Direct-to-consumer (DTC) sales have become increasingly popular in recent years, with more and more businesses opting to sell their products directly to customers. DTC marketing and sales allow brands to bypass traditional distribution channels and sell directly to their customers. In the past, businesses had to rely on third-party sellers and retailers to sell products. However, with a successful DTC strategy, brands can reap the rewards of skipping the middleman and take hold of the digital shelf. In this article, we will explore 10 strategies that have proven impacts on conversion rates and average order value (AOV) to help businesses boost their DTC sales.
Establish a Unique and Compelling Brand Identity
A crucial step for boosting your business’ DTC marketing performance is establishing a unique and compelling brand identity. Consumers prefer buying from DTC companies that stand for something. Take up a mission or cause that will benefit the community and ensure it is highlighted in all your promotional materials. This will help you set yourself apart from the competition and foster direct relationships with your customers.
Highlight Positive Reviews
Highlighting your positive reviews is essential when building your DTC strategy. Consider a shopping experience on a retail site like Amazon. Shoppers have access to hundreds, if not thousands, of product reviews. Online shoppers need ample product content to make a purchase. Seven out of ten online shoppers decide not to buy products due to poor quality. Therefore, highlighting positive reviews can help build trust with potential customers and increase conversion rates.
Optimize Your Website for Mobile
In today’s digital age, mobile optimization is crucial for any business. According to a report by Statista, mobile devices accounted for 53.3% of global website traffic in the second quarter of 2021. Therefore, optimizing your website for mobile devices is essential to ensure that customers can easily navigate your site and make purchases.
Influencer marketing, or having a public figure promote your products, is a hugely successful growth strategy. A survey conducted by the Interactive Advertising Bureau (IAB) found that celebrities influence 20% of DTC shoppers. The goal of influencer marketing is to inspire clients to make a purchase. With the rise of social media, marketing efforts are more effective when consumers see a person they recognize and admire using a product. This is especially the case with DTC shoppers.
Use Personalization to Enhance the Customer Experience
Personalization is a powerful tool that can help businesses enhance the customer experience and increase conversion rates. According to a report by Epsilon, personalized emails have an open rate of 29.9%, compared to 18.3% for non-personalized emails. Therefore, businesses should use personalization to tailor their marketing messages to individual customers and provide a more personalized shopping experience.
Optimize Your Checkout Process
A complicated checkout process can lead to cart abandonment and lost sales. Therefore, businesses should optimize their checkout process to make it as simple and straightforward as possible. This can include offering multiple payment options, providing a progress bar to show customers how far along they are in the checkout process, and minimizing the number of form fields required.
Offer Free Shipping
Offering free shipping is a proven way to increase conversion rates and average order value. According to a report by Walker Sands, 79% of consumers say that free shipping would make them more likely to shop online. Therefore, businesses should consider offering free shipping to incentivize customers to make a purchase.
Use Retargeting Ads
Retargeting ads are a powerful tool that can help businesses increase conversion rates and average order value. Retargeting ads work by showing ads to customers who have previously visited your website but did not make a purchase. According to a report by AdRoll, retargeting ads have a click-through rate that is 10 times higher than display ads. Therefore, businesses should use retargeting ads to remind customers of products they were interested in and encourage them to make a purchase.
Provide Excellent Customer Service
Providing excellent customer service is essential for any business, but it is especially important for DTC businesses. According to a report by HubSpot, 93% of customers are likely to make repeat purchases from companies that offer excellent customer service. Therefore, businesses should prioritize providing excellent customer service to build trust with their customers and encourage repeat purchases.
Use Data to Optimize Your Strategy
Data is a powerful tool that can help businesses optimize their DTC strategy. By analyzing data on customer behavior, businesses can identify areas for improvement and make data-driven decisions. For example, businesses can use data to identify which products are most popular and adjust their marketing strategy accordingly.
In conclusion, a successful DTC strategy can benefit your business in myriad ways. By implementing the 10 strategies outlined in this article, businesses can increase conversion rates and average order value, build trust with their customers, and take hold of the digital shelf. However, it is important to remember that building your business requires thoughtful intentionality. If you excel in key areas, you can position yourself to win market share and thrive with this marketing and sales method.
If you’re looking to boost your DTC sales, reach out to geekspeak Commerce to learn more about how we can help you optimize your strategy and achieve your goals.