DtC is booming. Forward-thinking companies like Apple, Nike and Tesla are betting on the Direct-To-Consumer model. Largely driven by the Internet, e-commerce and now blockchain, it allows to bypass the middlemen by facilitating the dialogue between manufacturers and consumers.
According to industry reports, the share of manufacturers selling directly is expected to double over the next couple of years, as more of them are now facing unprecedented competition, and the battle for shelf space intensifies.
Today, manufacturers find themselves at the mercy of retailers. When their products don’t sell, manufacturers have very little say on how to improve in-store experience, keep their customers satisfied and loyal to the brand.
In turn, going DtC gives manufacturers control over how their products are perceived by consumers: from pricing and packaging, to delivery and promotion. This can be achieved by setting up mono-brand stores, together with dedicated websites, in parallel with current distribution channels.
DtC-channels can serve as a smaller, safe environment and a way to test new products before they are scaled out to conventional retail.
One of the most compelling reasons for manufacturers to sell directly is the potential to engage in a continuous cycle of feedback and collect data that can be used to figure out consumer segments and their preferences.
In this way, companies will be able to improve their products and cultivate relationships with the most active and helpful customers.
We at INS Ecosystem are building a platform for manufacturers of all sizes to take advantage of Direct-To-Consumer model. INS Platform will adopt blockchain technology designed to improve direct sales, supply chain efficiency and customer identity protection standards.
To date, hundreds of both local and global manufacturers from all around the world expressed interest to join INS Ecosystem. We have signed MoUs with:
- Aviko, Europe’s largest potato processor and producer, owned by Royal Cosun
- Borjomi, the biggest producer of natural mineral water, and market leader in the CIS and the Baltics, looking towards expanding its distribution network
- 2Sisters Storteboom, largest producer of chicken in the Netherlands, and the Dutch subsidiary of UK-based 2Sisters Food Group
- Henri, a well-known Dutch producer of ready-made meals
- and more manufacturers, including local suppliers and farmers