Although the individual platforms have low revenues, CEOs claim they use their microsites as launch platforms, to collect customer data, nurture loyalty, and then roll out in other larger channels for volume, or to direct users to scale platforms such as Amazon or Flipkart.
Major packaged goods firms like Nestle, Panasonic, Dabur, and Wipro Consumer want to enter or allocate large investments in the direct-to-consumer (D2C) market, joining others such as Hindustan Unilever, ITC, Marico, and Emami, according to ET.
In a conversation with ET, Dabur’s chief executive officer Mohit Malhotra said,” Dabur shop is currently in the Beta testing stage, and we expect the roll out by March 2023. We also intend to use this platform to launch digital-first brands.”
According to the article, Wipro Consumer Care intends to enter the direct-to-consumer foods sector for the first time in the coming year. Nestle is also piloting its own site, MyNestl, which will select items, personalized gifts, subscriptions, and discounts, according to the business.
Although the individual platforms generate little income, executives believe they use their microsites as launch platforms to collect customer data, nurture loyalty, and then roll out in other bigger channels for volume, or direct users to scale platforms like Amazon or Flipkart.
According to a new report by RPSG Capital Ventures, which has invested in independent D2C businesses such as Souled Store, mCaffeine, Vedix, and SkinKraft, between January and December 2022, more than 800 new D2C platforms (or those that sell directly to consumers online rather than through marketplaces such as Amazon or Flipkart) were introduced, bringing the total number of customers on these platforms to 40-50 million.
Source – ET
