Technology has forever changed the D2C ecosystem, and it has done so for the better.
During and after the Covid-19 pandemic, the business world has observed a rapid and necessary incorporation of various technologies to raise their authority, strategy and overall position in their respective markets.
Today we find that there is not a single industry that has not been affected by the ever-advancing technology. E-commerce as we know it today is also another colossal success of the intelligent use of technology.
So it goes without saying that technology is the backbone of e-commerce. However, to understand the role of technology in relation to D2C businesses, the answers lie within a thorough understanding of the details and meticulous process of adopting new, ever-evolving technology.
Technology leads to better decisions and minimization of risks. The adoption of innovative technology creates a massive difference between businesses. How? Adoption of progressive technology such as artificial intelligence, machine learning, logistics planning, Internet of things, big data etc. leads to a better understanding of key business metrics, this, in turn, leads to higher conversions, engagement, brand loyalty and inevitably, accurate and profitable decisions.
My company ‘Rubans’ has also benefited greatly from similar technology. By enabling us to understand our customers’ needs, what they like, what they don’t like, when they choose to buy and much more, we are able to make decisions that contain the least possible risk, without missing out on potentially profitable opportunities.
Technology helps create a personalized customer experience. A great customer experience is one of the most important factors leading to the success of any business. Physical stores or experiential stores have a conversion rate that ranges between about 10-30%, and digital stores have a conversion rate of roughly 1-4%.
This massive change can be credited to the personalized experience a customer gets the moment they walk into a tangible store. With advances in technology such as Artificial Intelligence, Machine Learning and Big Data, businesses are able to provide personalized experiences for each customer, considering thousands of customers at the same time. In addition to a high-quality product, consumers are also looking for a hassle-free purchase, shipping and return process. By analyzing data collected by other technology tools, UI/UX designers are able to help customers navigate the website or online portal with ease, contributing greatly to the overall online shopping experience.
Outsmarting competitors
Market competition is increasing at a rapid pace, which means that D2C brands must outperform their competitors if they want to survive.
Technology plays a key role when it comes to increasing a brand’s visibility and market impact. Businesses are now able to access and observe customer data in real-time, which, in turn, enables them to curate personalized campaigns and different engagement strategies. This gives them a leg up, overcoming obstacles with ease, compared to similar difficulties faced by their technology-deficient competitors.
Conclusion
Technology has forever changed the D2C ecosystem, and it has done so for the better.
The ease of doing business, the strategies to reach countless customers from all over the world, the personalized experience one can have from the comfort of their own home, all this has been made possible by the adoption of smart technology in business. world.
Chinu Kala is the Founder, Ribbons Accessories.