Online Marketplaces for Direct-to-Consumer (D2C) Companies – An Area Where D2C Brands Can Quickly Build Scale with Growth

The direct-to-consumer (D2C) market has moved way beyond using digital to see if there is any business model. Digital is the future of consumer purchasing behaviour, and now digital is also a key area for D2C brands looking to build their business models around.

Today, with the rapid growth of Android, iOS and the larger global application marketplace ecosystem, D2C brands need to be very selective when it comes to the online application market and should be looking for those online marketplaces that provide sufficient visibility and trust, along with the ability for D2C brands to have a long-term relationship with their customers through value-based relationships.

In this article, we will discuss how D2C brands can take advantage of online marketplaces and how the best online marketplaces are different from the rest.

Direct-to-consumer (D2C) brands are opting for online marketplaces as a way to gain maximum exposure while keeping it as simple as possible to do business. As opposed to creating a new traffic stream from nothing, an online marketplace allows the D2C brand to reach customers who already have developed trust in an established shopping application and use it frequently.

Advantages for the D2C brands will include:

1. - Faster customer discovery than a traditional brick-and-mortar
2. - Greater levels of trust because of being connected to established shopping applications
3. - Consistent demand from consumers who use the app repeatedly
4. - Simplicity of scalability compared to traditional offline channels

An Indian shopping application provides D2C brands with a ready-to-use ecosystem for growing their business.

Top online marketplaces for D2C brands will exhibit the following characteristics:

1. A strong mobile-first experience.

Smartphones are the primary method of access to the internet in India. Therefore, leading D2C online marketplaces have created shopping applications that are enabled for mobile shopping through streamlined navigation and rapid loading times.

With a responsive shopping application, D2C brands can increase their conversion rates and improve customer satisfaction.

2. Visibility as a brand within the marketplace.

Many of the top online marketplaces have systems that allow businesses to highlight their brand over generic listings of many products.

Providing visibility for brands is essential for brand recognition and purchase repeatability.

D2C brands will grow more quickly in an environment that provides brand recognition.

3. Trust and credibility.

Trust is the basis for e-commerce. In India, consumers feel more comfortable purchasing on a well-known shopping application. The credibility of a shopping platform will contribute to the higher likelihood that D2C brands will experience a higher conversion rate on that platform due to its established trust.

4. Seamless shopping online.

Marketplace leaders are focused on creating ease in all areas of the buying process, from product discovery through its checkout process.

Shopping Apps Help D2C Brands Succeed

Shopping apps are no longer simply a channel to purchase products; they also serve as a way to discover new items for consumers. Indian consumers frequently check their shopping applications for deals and new items from brands, resulting in regular exposure to D2C brands by these consumers.

The opportunity for brands to be included within the proper online plaza gives brands the opportunity to:

• Habitual User Behavior
• Improved Interaction
• Impression of Trust through Familiarity with the Plaza
• A strong shopping plaza in India will greatly aid a brand's ability to grow.

D2C Brands and Online Marketplaces vs. Social Commerce

Although the popularity of social commerce is increasing, the use of online spaces in the D2C marketplace is much more developed, structured, and scalable than social media. Moreover, online shopping alliances attract more intent-driven customers as compared to the social platforms.

D2C brands that use shopping alliances are attracting consumers who are presently in the buying mood. This makes alliances far more reliable as a source of income.

Online Marketplaces Allow D2C Brands to Experience a Faster Scale

A D2C brand must create consistency in order to grow. Online Shopping Alliances provide brands with:

• A predictable influx of customers
• A greater diversity of consumers
• Less reliance on paid marketing efforts.

With online shopping alliances, consumers have the opportunity to discover a product, unlike on a single website where a consumer must rely solely on their knowledge of a brand and the product to find it. Therefore, online shopping alliances allow for faster expansion of a D2C brand.

India offers a highly suitable setting for the development of online retailers.

The growth of mobile technology has created a sound basis for the growth of online retailers. Increasing access to affordable mobile devices and higher levels of internet access means that using online shopping applications is becoming commonplace among Indian consumers.

Using a well-designed shopping application in India will allow businesses to easily market their products to consumers across a wide range of cities, towns, and other geographic areas, without the need for expensive physical shopfronts.

How to Determine the Right Online Retailer for Your Direct-to-Consumer Business

When selling directly to consumers (D2C), online retailers can vary widely in the degree to which they provide value to D2C brands. D2C brands should carefully consider how the following factors will impact their decision on which online retailer to use:

• Usability of the application.
• Level of trust by customers in the retailer.
• Visibility of the brand within the application.
• What type of growth does the application promote?

The top online retailers in India that cater specifically to D2C brands view their role as partners in the development of the brand, not just as sales channels.

The Long-Term Value of an Online Retailer to D2C Brands.

While it is important to generate sales quickly, the long-term success of a D2C brand is dependent mainly on creating a valuable brand image in the customers' minds. Online retailers that emphasise the shopping experience provide a way for D2C brands to develop strong, ongoing relationships with customers.

Using online shopping applications allows D2C brands to remain relevant and trusted over time.

What's Next for D2C Brands Shopping Online?

Online retailers will develop into curated and brand-friendly shopping environments that lend themselves to building customer relationships. As competition continues to increase, retailers that provide superior online shopping experiences will be the dominant players in the future market.

D2C brands will increasingly seek out online retailers that support storytelling, customer engagement, and sustainable growth.

Conclusions

As more people use their smartphones to shop, the number of D2C brands using online marketplaces has increased rapidly.

For effective growth, D2C brands must be present on platforms that provide them with trust, visibility, and scalability. Reliable online shopping apps and brand-focused online marketplaces offer both a seamless shopping experience and an effective way for D2C brands to thrive in the future.

FAQs

What Is an Online Marketplace for D2C Brands?

Online marketplaces are places where D2C brands can sell their products directly to consumers through application-based shopping experiences.

What Is the Importance of Shopping Applications to D2C Brands?

Shopping apps provide product discovery, returns for repeat traffic, and build customer trust, thus making them critical for D2C growth.

Are Online Marketplaces Better Than Selling Only on a Website?

Online marketplaces provide better and faster discovery than a dedicated website. Having both allows for optimal use of both types of platforms for D2C success.

How Online Shopping Applications Scale D2C Brands?

Online shopping applications automatically capture the habitual users and grow the amount of consistent traffic available for shopping. Additionally, they allow easier access to customers.

What Should D2C Brands Look for in a Shopping Application in India?

Brands should consider usability (ease of use), trust (a reputation for providing customers with a good experience), visibility (exposure as a result of a high ranking in search engine results), and alignment with their long-term growth goals.