Five Key Things DTC Brands Must Consider For Building A Successful Subscriptions Program
Mar 11, 2022
10 min read
Today, retail and wholesale businesses are trying to reach out to more consumers and get more people to buy their products in this fast-paced world. While retail and wholesale stores still exist, many users and consumers have moved towards purchasing online products and services.
Technology has grown to where stores provide various options and products on their websites or mobile or web applications. Businesses have increasingly been moving towards setting up their digital platforms and using digital devices and social media platforms as much as possible to reach out to more clients and set up a broader consumer base.
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While many businesses sell to businesses, businesses also directly sell to consumers. Businesses can now directly reach customers and eliminate the middleman. It helps both the companies and the clients since it increases the profits and decreases the expenses of the customers.
Businesses use virtual digital platforms and various digital tools to reach the target audience and even keep data of their purchases to serve their clients better.
Hence, many businesses have become direct-to-consumer brands, selling directly to end consumers.
By becoming direct to consumer brands, businesses eliminate the middleman and take all the sales, advertising, marketing, costs, revenue, and profits on themselves. It increases the businesses' profits, enhances clients' customer experience, and even sets better relationships between consumers and companies.
Let’s understand how DTC brands can implement a successful subscription plan. It is essential to understand what direct-to-consumer brands are and how they work.
What are direct-to-consumer brands?
Direct-to-consumer brands are companies or organizations that sell directly to end-users or the final user of any product or service. These direct-to-consumer brands can be consumer product businesses, service providers, huge companies, or even individuals selling something or the other for the users. Direct to consumer brands are meant to sell to the final consumers, and the products or services are not meant to be sold further.
1. They save costs of maintaining warehouses
Direct-to-consumer brands mostly have their websites or mobile or web applications to buy the products directly. These brands eliminate the middleman of all kinds and instantly serve the needs of a consumer to maximize their profits. With the intermediaries gone, selling through online platforms saves on the costs of maintaining an instant warehouse and a fully loaded store.
2. All mediators are eliminated from the chain
Direct to consumer brands directly sell to customers by removing all the intermediaries between a business and its final users. It benefits both – the users and the company – because the business can earn a high profit by removing mediators. On the other hand, consumers can buy products at lower costs since the middleman's gain is not more included in the sale of the product.
3. They offer a seamless shopping experience
Direct to consumer brands are at a great advantage since most people buy products online. Be it the younger or, the older generation, everyone has begun to shop for most things online because of how convenient and easy it is. It is a vast opportunity for Direct to consumer brands to sell their products directly to the final customers through their websites or applications.
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4. They offer better discounts and deals
Direct to Consumer brands have more room and budget to provide discounts and other offers to the customers. It attracts more and more users to buy a product and keeps competitors on their toes. With no intermediary in between, Direct to Consumer brands can easily offer discounts and coupon codes, and keeping their profit aside, DTC brands can easily offer competitive pricing to customers.
5. DTC brands have more control over their business
Direct to Consumer brands have complete control over everything in selling directly to the customers. That includes making their advertising, marketing, cost-cutting, revenue-making, and all other decisions. Direct to Consumer brands also have complete freedom to make creative or any other changes in their advertisements or marketing techniques. These brands can try different things out and then choose the one that suits their brand's image the most.
By switching to the Direct to Consumer business model, businesses have many more clients and users than ever before. Direct to Consumer brands can easily target a specific audience through various digital mediums and online platforms and convert customers. Direct to Consumer brands also have immense opportunities to convert customers and create their loyal client base. With the right content, website elements, and products, Direct to Consumer brands can easily attract more and more users every day and earn more profits.
Five Key Things DTC Brands Must Consider For Building A Successful Subscriptions Program
Direct to Consumer brands have increasingly been moving towards building a subscription plan. In fact, after the pandemic, it has become even more critical to get a subscription plan. With a subscription model, the lifetime value of customers is also increased. The subscription model also offers higher margins for Direct to Consumer brands to operate within.
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By offering a subscription model, Direct to Consumer brands can provide users with various shopping experiences and choices. It also makes it extremely easy for businesses to keep track of demands through these subscription models.
Five major things that businesses need to keep in mind while developing a successful subscription program are:
- Before building a subscription plan, businesses should ensure that they sell only one product or one single range of products. This way, it becomes effortless for companies to keep track of their subscribed users. It also becomes elementary for businesses to seek feedback on just one product from users. It also helps Direct to Consumer brands to ensure the availability of a product and collect data on the purchases made by clients. Not just that, but Direct to Consumer brands selling one product can quickly become the best in the business and become known as the king in the industry.
- It is essential to ensure that your product is such that it is relevant to be subscribed to. Subscription should be provided on a recurring event or keeps happening or updating every month. It doesn't make sense to offer a subscription model that either doesn't offer anything new or doesn't get updated.
- When Direct to Consumer brands offer a subscription program, they should ensure that the dates for subscribing vary. It means that the users choose how often they wish to receive your subscription package or how long they want to be subscribed to you. While keeping your target audience in mind, these choices should be made and should be plenty. Also, users should choose to make adjustments to their subscription programs at any point in time.
- Direct Consumer brands should also focus on delivering a more incredible and better customer experience to the subscribed users than to unsubscribed users. The customers should receive a better consumer experience and should want to keep subscribing to you because of the quality of your product.
- Direct to Consumer brands that make subscriptions extremely easy to cancel are known to do a lot better than those who make it difficult on the users. It should be effortless for your customers to cancel their subscriptions at any time without any hassle.
We help Direct to Consumer brands in building a successful online presence. Our team of marketers and online experts understand your target audience and work towards increasing your business's profits and delivering a good consumer experience. Contact us today!
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Social Media Advertising Trends To Watch In 2021 And Beyond For Your Business
Social media marketing demands a lot of time and attention because you need to constantly review your existing strategies and publish new types of content on the platform. To stay in a sink with the updates one needs to keep a close eye on new trends because social media marketing is constantly evolving and influencing the way businesses will work in the future. As we begin the year 2021, all social media platforms are introducing new features, updates, and are modifying their old algorithms. As the time ticks, social media trends are evolving each minute and therefore your Social media marketing tactics should also undergo a makeover. Remember Snapchat's Snap Streak feature? It was so addictive, do you think so? Users had to maintain Snap Streaks by sending snaps or photos to your friends every day. This was a huge trend! On the contrary, Instagram has features like Reels, which can last forever on your feed, and ‘Story’, which lasts for 24 hours only, are highly popular among young adults. Instagram Reels feature came as a quick alternative for Tik Tok, and now almost every social media platform is planning to add such features to their interface too. Instagram has over 500+ million active user profiles, which makes this platform the second largest platform after Facebook. So, it boils down to one thing, social media evolution is all about exploring, adapting, and innovating new trends. But that’s not the end, presenting new trends before the audience is not sufficient, it's all about how quickly one can introduce these features. These instant changes pose new challenges for brands and businesses. Remoulded algorithms and updates keep social media marketers on their toes. If you are a business leader, marketer, or entrepreneur and you use social media sites for your online business then we have tried to list down some of the top social media trends of 2021 that can help your brand to grow more so that you can ace your sales target. But why Social media platforms important for an online business. Social media is one of the most powerful tools when it comes to social media advertising. It helps in creating brand awareness, boosts audience engagement, and helps you in driving large traffic to your eCommerce website or shop. It can bring huge conversions for your business. Having a great social media presence can help you to induce loyalty and trust in your customers towards your business. Social Media Trends That Can Enhance Your Social media marketing Brands need to revisit their marketing campaigns User-generated content can help you in building trust Create short format high-quality audio-visual content Companies should focus on authentic communication Analyze trends followed by your industry leaders on social media The Instagram story can be a powerful tool for storytellingCreate buzz using social media platforms 1. Brands need to revisit their marketing campaigns You need to be spontaneous and creative at the same time. Earlier brands and businesses use to plan their social media posts, releases, and promotions way before the date of actual action. But the year 2020 left everyone bewildered and introduced a twist to these tactics. We saw advertising companies withdrawing their ad strategies, campaigns, and way of delivering their messages to the crowd. Due to the risks associated with the spread of Covid-19, we saw brands scrapping out product catalog posts and spreading awareness about safety measures like social distancing and the importance of sanitizing. Popular brands that used to hire professional actors for shooting brand endorsements were sharing photos of their employees with their families who were working from home. So one should stop planning their social media releases? Should you drop your annual social media plans? No, not completely! You can plan certain special days but you should be open to developing new ideas. You need a mix of both. Be flexible with your campaigns, messaging, and product launches. Follow the recent campaign trends, take advantage of viral hashtags, and engage with your audience on a personal level. 2. User-generated content can help you in building trust Social media advertising is not just about selling products and services, it is much more than that. Crafting user-generated content is a way to make your brand look more authentic, fresh, and reliable. As per the statistics provided by Stackla, 78% of users said that user-generated content influences their purchasing choices. We also saw that paid or promoted ads left various customers skeptical about the authenticity of their products. Therefore brands should use user-generated content to induce trust among their customers. Feature Raw Instagram stories - Post raw videos and images that you receive from your customers. People on the internet love content that is more human to them. You don’t need to just invest all your money on creating perfect videos or images, try sharing or featuring Instagram stories that come from your fans. It makes your brand look more authentic. Post About Social Issues - Don’t fill your Facebook or Instagram feed with product images and videos about your company, highlight some social issues too. Your customers will value your brand even more. It will also attract other like-minded individuals to your brand. You Can Save Money On Advertising - Featuring user-created content like images, videos, stories, etc allows you to save money on producing costly video content. Photoshoots or video recordings are not only expensive but also time-consuming. Use UGC that’ll allow you in lowering your social media expenditure. Saving UGC files is also a great idea because they can be used for some future campaigns. 3. Create short format high-quality video content You must be aware of the fact that videos on social media have a better reach and audience engagement as compared to any sort of content. Adding descriptions, offers, CTAs to your videos can drive audiences towards purchasing your products. As we have discussed earlier, recording videos can be expensive too. Therefore you should emphasize your Return On Investment. You can make this affordable by using a smartphone camera to shoot a video. You can use your smartphone camera to make engaging videos because features like Reels, stories, or IGTVs provide some really helpful editing options. Short format content like Reels can be used to create remarketing ads and sponsored ads. Another great feature from Facebook, Instagram, YouTube, etc is the Live feature. You can use live streams when you are introducing or launching a new product. Live streams can be used directly to connect with your audiences because from there you would be able to see their comments or opinions in real-time. Customers love it when they can ask questions on live streams. Remember, live streams can stay on your feed and new audiences can come and watch it later. The algorithm pushes such streams too! Your audiences will be able to see the unedited stream that will give the stream a human touch. When a large group of customers watches your live stream together, they feel as if they are a part of your family. 4. Companies should focus on authentic communication Customers on social media platforms tend to revisit their ‘following list’ from time to time and unfollow accounts that are redundant or irrelevant to them. As a brand, you can manage to engage your audience and keep them hooked on by posting content that can boost brand loyalty. How? Make sure to go live once a month or once a week. Talk to your customers, make sure you answer their questions and thank them for being a part of your online business. Post stories and photos of your office, working style, office activities, etc. You can also create ‘memory posts’ where you can recall a memory, for example - your first delivery order. You can also curate posts where you can thank them for their support in the journey so far. You can also post pictures or videos about your brand’s vision and mission. 5. Analyze trends followed by your industry leaders on social media Have you heard about ‘social listening’ on social media? Social listening means analyzing what trends your industry leaders are following currently and also listening to the demands of your online customers. You need to hear what they are trying to say. In short, you need to know what’s in demand? Without social listening, you won’t be able to figure out things that are currently popular. Pay attention to what investors and influencers are trying to convey. It’ll help you in gathering enough information about the ongoing trends. Plan your moves according to them. Use social media management tools that provide you updates about the current trends. By monitoring these trends, conversations, and actions you can figure out the best social media tactic for your brand as well. 6. The Instagram story can be a powerful tool for storytelling We have already talked about the importance of humanizing social media posts and campaigns. Instagram’s ‘story’ feature, which keeps the story on your feed for 24 hours, has been adopted by Facebook, Twitter, LinkedIn, and YouTube ‘Shorts’ as well. These quick 15 second snippets can help you to introduce new products, offers, and deals. It also allows your customers to remain connected with your brand daily. On Instagram stories, you can set up question polls, QnA, GIFs, memes, and more. Such features give your fans a reason to check your profiles back again. 7. Use social media to boost purchase intent among your customers Instagram provides various types of user interfaces such as ‘Private account’, ‘Public account’, ‘Creator’, and ‘Business account’. It depends on your needs. Each of them provides a different set of features. For instance, a business account on Instagram can reap the benefits of the ‘Shops’ feature where they can display their product catalog. Customers can learn more about the products and services. A feature like this enhances the consumer experience and provides a user to do window shopping on the go. This feature can also allow a buyer to simply click on the link to place an order without leaving the app. Similar features are available on Facebook as well. These features are really helpful, especially for small and medium businesses. Conclusion Social media platforms have grown exponentially. The growth in their audience base says it all. Social media is one of the most powerful tools that can be used to empower your marketing efforts. From creating brand awareness, boosting audience engagement, to helping you in driving large traffic, Social media can help you to boost your revenues and bring large conversions. It can help you to induce loyalty and trust in your customers towards your business. Follow these top social media trends of 2021 to build a user base of dedicated fans and smash your sales targets. ...
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5 Lead Generation Methods You're Probably Missing Out
As marketers it is our job to find lead generation tactics and test them in the field that will both bring us more qualified leads and deliver value for our readers, customers and visitors. Leads could be generated either by giving the potential customers something in exchange for an opt-in to our service, or by simply delivering a better experience or by more accurate ad targeting. While we of course apply many proven lead generation tactics in our daily work, but we also try to get creative and test the waters on ideas that generate in our heads at random times. Keeping this in mind, we have compiled the list of some tactics that have been experimented by many marketers across the globe but are still not known to many that these exist. Hope you try them for yourself to analyze whether they work out for you or not: Exit-intent Popups Sometimes you can see that the analytics are screaming at your face that people are leaving from the landing page itself. The clear reason that comes into notice is that as soon as visitors click on the website link they are immediately smacked in the face with a popup before they can even check what the website is all about. This gives them a frustrating experience and can “sometimes” turn them off of your website. However, what if you don’t get any popup when you visit the website but as soon as you are ready to leave the website, then you are offered something of value? Bang on! Now this makes the visitor think twice before leaving, depending on what is offered. There are many tools across the internet, but the one that we recommend is OptinMonster. For example, WP Beginner wrote about how they increased their email subscriptions by 600% using OptinMonster. SlideShare Slideshare is a visual community of visual presentations that could be in the format of a PDF, KeyNote, Powerpoint or an OpenDocument. These slides can be publicly or privately shared on the platform and by the way it was one of the awesome organic lead generation opportunities platform. This is one content marketing way that many do not know of but users who submit high quality slides on a topic that command viewer’s attention reap the rewards. Note: Slideshare Pro allows for analytics, email lead generation, video uploads, etc. but as of now the product is still under changes internally and is not allowing new memberships, but yes the free version of SlideShare is worthwhile and can be a huge opportunity to take advantage of. Udemy Online Education is booming, and while many people are reaping the benefits of providing online courses in various marketplaces such as Udemy, Edx, Coursera, there are scores of other marketers who are actually teaching classes for free simply to get traction from the target audience. The another most attracting aspect of this strategy is that you can message your audience at any time with updates, which effectively gives you the same access an email opt-in does. Bronson Taylor from Growth Hacker Tv executed this strategy for himself as he posted GHTV episodes for free, which acted both as a free trial and a communication stream between him and over 5000 interested individuals. Gated Video Content Ungated video content is the one that is freely available to the public or any visitor who wishes to view it. While, a gated content is the one that is not so stringently restricted but requires just an email subscription, free membership, submitting contact information, etc. to view the content. B2B marketers do know the benefits of offering ebooks, whitepapers, etc. for an email, but few are taking advantage of other forms of content offering, such as video content. For example Neil Patel does this for QuickSprout University, where he displays all of the amazing content that he had available in short, bite-sized videos, but upon clicking on them, you’re directed to sign up. Old Content Is Still Gold Content Marketers generally make this mistake and probably is there biggest one if they believe old content is not useful anymore. To make it new again, there are so many things you can do to improve its design, add some more content, update the post with more blogs, and create a proper distribution strategy for it. In addition to improving upon the content itself, you should take time to identify your most top performing or have performed, pieces of content and add relevant CTAs at the bottom. Have a look at how this has been executed by HubSpot to take advantage of their organic traffic. Conclusion The article concludes on the same note where we started that marketers do find new ideas and test waters with them. Sometimes the best ways are the most simple of all and do not require technical hacks, APIs, coding or any other kind of crazy methodology. ...
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What Are Instagram Chatbots and How Can They Transform Customer Engagement?
Having a business account on Instagram means constantly full of DMs and comments. But with limited resources, there’s a high chance you won’t be able to reply to all the comments, which can lead to customer loss. That’s where Instagram chatbots step in! These AI-powered tools automatically reply to messages and handle common tasks, so you never miss a chance to engage with customers. Whether answering questions or helping with purchases, chatbots do it all right on Instagram. In this blog, we’ll explain Instagram chatbot automation, how it works, and how it can benefit your business. What is an Instagram Chatbot Automation? An Instagram chatbot automation is an advanced tool that leverages AI and predefined workflows to engage users on Instagram seamlessly. It can automatically respond to direct messages, comments, and inquiries, offering instant replies, guiding users through the sales funnel, and even delivering personalized promotional content. This type of automation allows businesses to manage high volumes of interactions efficiently, nurture leads, and enhance customer engagement, ultimately driving conversions and boosting brand loyalty. By integrating Instagram chatbots as part of your social media marketing services, businesses can create more dynamic and interactive experiences, maximizing the potential of their social media presence while saving time and resources. In simple terms, an Instagram chatbot is a virtual assistant that operates within the Instagram platform and interacts with customers in a human-like manner. Types of Instagram chatbot Instagram chatbots leverage Artificial Intelligence (AI) and pre-defined workflows to automatically respond to messages, answer frequently asked questions (FAQs), provide product recommendations and even process purchases. Instagram chatbots can be used in two main ways: 1. Public replies These chatbots respond to comments on your Instagram posts. The replies are visible to anyone who views the post. The chatbot must understand the comment's context and tone to respond appropriately. While chatbots can handle basic replies, more complex or nuanced comments may require human intervention. 2. Private messages These chatbots handle direct messages sent from Instagram posts or ads. Businesses commonly use this method as it carries less risk for reputation issues. Private message chatbots can assist with the following: Lead generation and sales Customer support Automating bookings Gathering customer feedback What are the benefits of the Instagram Chatbot Automation? Instagram Chatbot Automation helps businesses boost customer engagement and streamline service. Here are some of the key advantages: 1. Instant customer support With Instagram chatbot automation, businesses can offer 24/7 support, ensuring immediate responses to customer queries, regardless of the time of day. This enhances customer satisfaction and reduces response times. 2. Cost Efficiency Automating routine interactions with a chatbot helps businesses reduce their reliance on large customer support teams. Companies can save on operational costs by handling repetitive tasks such as answering FAQs or confirming orders while providing high-quality support. 3. Increased efficiency and scalability Instagram chatbots can manage a large volume of conversations simultaneously. Whether you have 10 customers or 1,000, the bot can respond to each one instantly, ensuring all interactions are handled efficiently and without delay. 4. Improved lead generation Instagram chatbots can be programmed to qualify leads by asking specific questions and collecting necessary customer details. These leads can then be forwarded to the sales team for further follow-up. This automation streamlines the lead generation process, saving valuable time and increasing conversion rates. 5. Better engagement Instagram chatbots automate personalized messages, like product recommendations and targeted offers, keeping customers engaged and encouraging repeat interactions. 6. Increased sales Instagram chatbots can also serve as virtual sales assistants, guiding users through product catalogs, providing detailed information, and assisting with purchases directly within the chat. This frictionless buying experience improves sales conversion rates and encourages customers to purchase. What can you do with your Instagram Chatbot Automation? Instagram chatbots are versatile tools that businesses can leverage for various tasks. Here are some of the essential functions you can automate with a chatbot: Automate customer support Chatbots can be programmed to answer various questions, from product availability to shipping information. This makes it easier for customers to get the information they need without waiting for a live agent. Promote products and services Chatbots can introduce new products, share promotions, and inform customers about special offers. For example, a chatbot might notify customers about a flash sale or a new product launch, increasing engagement and sales. Generate leads Chatbots can initiate conversations by asking users questions such as “What are you looking for?” or “Can I help you find something?” Based on responses, the bot can collect customer details such as email addresses or phone numbers, which it can use to follow up with personalized offers. Facilitate purchases Instagram chatbots can streamline purchasing by guiding users through product catalogs and offering payment options directly within the chat. By providing a seamless shopping experience, businesses can reduce friction in the sales process and increase conversions. Collect feedback Chatbots can request customer feedback after a transaction or interaction to understand their satisfaction levels. This data can be invaluable in improving services and products and building better customer relationships. Book appointments and reservations For businesses that require appointment booking, Instagram chatbots can handle scheduling by accessing available slots and confirming bookings directly within the chat. This is especially useful for service-based industries like salons, spas, or medical practices. How do Instagram bots work? Instagram chatbots are powered by automation platforms and AI technology, allowing them to perform tasks that mimic human interactions. Here’s how they work: 1. Triggers Bots are typically activated by specific triggers, such as when a customer sends a direct message, comments on a post, or engages with a story. The trigger sets the bot into action and automatically begins a conversation. 2. Workflows and pre-defined responses Businesses create workflows that define how the chatbot will respond to specific user actions. For example, suppose a customer asks about product availability. In that case, the chatbot might respond with a message such as “Let me check that for you” and provide options based on the inventory. 3. Natural language processing (NLP) More advanced bots use NLP to analyze and understand user intent. This means they can interpret the meaning behind a customer's message and respond appropriately, making interactions feel more natural and human-like. 4. Integrations with other platforms Most Instagram chatbots can integrate with third-party tools such as customer relationship management (CRM) systems, e-commerce platforms, and analytics tools. This lets businesses sync data and streamline their operations. How to Create an Instagram Chatbot for Your Business? Setting up an Instagram chatbot for your business doesn’t require advanced technical knowledge. Follow these steps to get started: Step 1 - Define your objectives Decide what the purpose of your bot is. Are you using it for customer service, lead generation, or sales? This will guide your workflow design. Step 2 - Choose a bot-building platform Several platforms, like ManyChat, MobileMonkey, and Chatfuel, offer easy-to-use interfaces for building Instagram chatbots. Choose a platform that fits your needs and provides integration with Instagram. Step 3 - Link your Instagram account Connect your Instagram Business account to the bot-building platform. This may require API access to allow the bot to communicate with your Instagram profile. Step 4 - Design chatbot workflows Create the conversation paths for your bot, including responses to common questions and actions such as product recommendations or appointment bookings. Test all workflows to ensure they function properly. Step 5 - Launch and monitor After testing the bot, launch it to your Instagram profile. Monitor its performance, analyze user interactions, and optimize the bot's responses based on feedback and data. Best practices for Instagram chatbots To make sure your Instagram chatbot delivers the best results, follow these best practices: Be Transparent About Automation: Always inform users that they interact with a bot, especially if the chatbot cannot handle complex queries. Provide users the option to speak with a live agent when necessary. Keep It Simple and Intuitive: Chatbots should be user-friendly. Avoid overwhelming customers with too many options, and keep responses clear and concise. Personalize Interactions: Use customer data to personalize responses. For instance, address users by their first name or refer to their past interactions. This makes the conversation feel more human. Regularly Update the Bot: Continuously update it with new product information, FAQs, and any changes to your services. Test and Monitor Performance: Regularly test your bot to ensure it works as expected. Monitor user interactions, measure engagement rates, and adjust workflows to improve performance. Conclusion Instagram chatbot automation is a powerful tool for businesses looking to elevate their social media marketing strategy, streamline customer interactions, and drive higher engagement and conversions. However, implementing an effective chatbot strategy requires expertise in designing workflows, integrating with existing systems, and maintaining a balance between automation and human support. At Saffron Edge, we specialize in comprehensive social media marketing services, including seamlessly integrating Instagram chatbots. Our team ensures your business can leverage these tools effectively, optimizing customer interactions and maximizing ROI. Contact us to discover how we can transform your social media presence with intelligent chatbot solutions that align with your business goals. ...
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Direct-to-Consumer Excellence
Enhance customer experience and loyalty with expert DTC marketing to maximize revenue.
Talk to Experts