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How software is helping d2c businesses

As software makes it simpler than ever for businesses to start D2C selling, expect to see more personalized shopping experiences emerge in the future. 

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It’s no secret that software has transformed the way we live. From dating apps to social media, it seems that algorithms are enabling us more control than ever when it comes to getting what we want from our personal lives. But software has also revolutionized the world of business – and this is particularly true when it comes to companies with D2C business plans.

D2C stands for ‘direct-to-customer’, a phrase which refers to businesses that sell their products (as you might expect) directly to their customers. This is used to distinguish D2C companies from brands which sell to middlemen or an intermediary instead. A production company that sells its products to a wholesaler or retailer isn’t D2C because it doesn’t have to have any interaction with the consumers who eventually take its products home. 

As software enables small and big businesses alike to take greater control of their strategies, we’ve seen a huge increase in the number of D2C businesses. Not only does a D2C approach allow companies to lower their costs – it also affords them more freedom when it comes to marketing, manufacturing, and selling their products. 

Let’s take a closer look at how software is helping D2C businesses achieve this. 

Software reduces the need to outsource

There was a time when almost every business needed to hire people such as accountants, bookkeepers, and administrative staff to ensure the smooth running of its finances and supply chain. But thanks to the adoption of software including accounting programs and production scheduling software, those days have gone. 

Now, software enables business owners to manage almost every aspect of their company from the cloud. With automated functions such as tax calculations, profit margins, and inventory trackers, many businesses no longer need to outsource work. As a result, they can track every stage of their supply chain themselves, from raw materials to point of sale. 

Not only does this enable businesses to take control of the extra admin associated with selling D2C. It also allows them to save money on hiring help, which can instead be invested in improving their products. 

E-Commerce software enables D2C businesses to launch online stores

Shopify, WooCommerce, Magento, BigCommerce – agile e-commerce software such as these enable businesses to set up their own online storefronts simply. With a whole host of personalization options, many of which don’t require the user to write a single line of code, it’s never been easier for companies to start selling D2C over the Internet. 

According to Criteo’s Global E-commerce Review in 2018, roughly 65% of transactions now occur on a mobile device. This signals a shift away from the traditional method of shopping, which required consumers to visit third-party retailers in order to buy products. Instead, businesses can start selling D2C without having to create a physical store. 

There are many benefits to this, not only for the company but also its consumers. Selling D2C is often cheaper than selling via an intermediary, which generally has to inflate prices in order to make a profit. Additionally, it creates a channel of communication between the business and its customers. This makes it possible to give and receive feedback, resulting in rapid improvements to the quality of its products or business plan. 

As software makes it simpler than ever for businesses to start D2C selling, we can expect to see more personalized shopping experiences emerge in the future.

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Chris has been blogging since the early days of the internet. He primarily focuses on topics related to tech, business, marketing, and pretty much anything else that revolves around tech. When he's not writing, you can find him noodling around on a guitar or cooking up a mean storm for friends and family.

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