Consumer E-Commerce

1. What is your overall evaluation of this particular study?

The study is useful as it has highlighted the opportunities that e-commerce has created. It has also shown that it is possible for brand manufacturers to do direct-to-customer business and how that enriches the manufacturer customer relationship. The study has also highlighted the challenges that accompany this approach.

 

2. Do you think the same concept is applicable here in the USA?

The concept of direct-to-customer is applicable in the USA, particularly for new businesses. Cutting off intermediaries gives the consumer access to the brand manufacturer directly, and the whole transaction happens on the online platform. The concept allows the brand manufacturer to maintain control of the brand in terms of distribution and prices. The consumers also have the assurance that they are purchasing original products. However, brand manufacturers who have worked with traditional distribution partners may face numerous challenges in direct-to-consumer trading. These challenges include competing with their traditional trading partners and a lack of sales channels and D2C know-how.

 

3. Which one of the three strategies do you find more pertinent? Why?

The multi-touch-point strategy is more pertinent as it avoids conflicts with existing distribution partners and mainly focuses on incorporating new customer touchpoints in sales. However, it is also not necessarily a sales channel, and its objective is to be in the customer’s journey in as many places as possible.

4. Given that the pure-online and the multi-touch-point strategy are mutually exclusive, in what manner do you think they can be combined into direct sales via a digital platform with a platform strategy? Explain!

According to Leimstoll and Wölfle (2021), the pure-online and the multi-touch-point strategies are mutually exclusive. However, direct sales via a digital platform can be used by pure online brand manufacturers and manufacturers who maintain several contact points. Distribution via digital platforms is considered to fall within the direct online distribution. Many manufacturers are unable to offer their brands on digital platforms available as they feel that they cannot have control over their brand. There are ways to overcome these challenges, such as; 

4.1 Creating their own websites: A brand manufacturer’s website will provide accurate and comprehensive information about the product and provide the avenue for customers to purchase. The consumer will interact directly with the manufacturer and raise any concerns or provide product reviews. This platform is beneficial to both the manufacturer and the consumer as the manufacturer will be able to provide their brand experience directly to the consumer. Direct consumer feedback will enable the manufacturer to improve on their product. The website will also provide details of physical locations where the consumers can access the products if they prefer to purchase on location (Kleinlercher & Emrich, 2018).

4.2 Creating websites that consumers can access by mobile phone and tablets: These days, many people access the internet via their smartphones to access the internet. Ensuring that consumers can access the website is providing an easy way for consumers to reach the manufacturer. It creates a platform for easy purchase as the consumer does not have to use a desktop or a laptop to make their purchases. 

4.3 Ensuring that the websites are user-friendly: A website that is easy to use encourages consumers to log in and purchase. The inclusion of self-help options on the website is an added advantage as the consumer will easily get a solution if they get stuck during the purchasing process. It will also reduce the support that the brand manufacturer provides to the consumers (Agarwal & Raychaudhuri 2019).

4.4 Social media presence for the brand: Social media has a broad outreach and is an excellent platform for reaching consumers directly, and a solid social media presence can drive traffic to the manufacturer’s website. Social media will provide much feedback on a brand, and it is an easy way to do market research. It can also drive brand loyalty and brand awareness.

4.5 Online webinars and tutorials: Doing online webinars and tutorials of the brand products is a great way to reach the consumer directly. The webinars provide knowledge and insights on brand products and provide a face to the brand. In addition, the feedback from social media will provide the manufacturer with a wide variety of topics that the manufacturer can use for a webinar.

4.6 Use of mobile apps and digital kiosks:  Due to the increased use of mobile phones, taking advantage of mobile apps is an easy way to connect with consumers directly. Many people also have access to digital kiosks, and the manufacturer can easily reach them (Roggeveen & Sethuraman, 2020). 

4.7 Personalizing products and messages: The manufacturer should try to personalize products for the consumers as it gives them a sense of recognition and appreciation; this creates brand awareness and brand loyalty which subsequently turns into lifetime consumer relationships. 

4.8 Direct consumer mailing: Direct consumer emailing is a great way to create brand awareness among consumers directly. The manufacturer needs to ensure that they put together relevant information on the brand and regularly keep their consumers updated about new product launches and new development (Melzer & Zech, 2018).

4.9 Making use of partnerships with big brands: Partnering with a big brand can be an excellent way to reach consumers directly. Taking advantage of the big brand gives a brand manufacturer the chance to get consumer recognition and consumer trust and confidence (Monem & Nagy, 2021).

 

References

Agarwal, S., & Raychaudhuri, P. S. (2019). Consumer Perception of B2C Websites: An Empirical Study of Delhi–NCR. Indian Journal of Marketing, 49(6), 35-47.

Kleinlercher, K., Emrich, O., Herhausen, D., Verhoef, P. C., & Rudolph, T. (2018). Websites as information hubs: How informational channel integration and shopping benefit density interact in steering customers to the physical store. Journal of the Association for Consumer Research, 3(3), 330-342.

Leimstoll, U. & Wölfle, R. (2021). Direct to consumer (D2C) e-commerce: Goals and strategies of brand manufacturers. In New trends in business information systems and technology. Springer, Cham. (pp. 237-250).

Melzer, J., & Zech, B. (2018). How social media influencers enabled a B2B company to drive awareness and engagement with their target consumers. Journal of Brand Strategy, 7(2), 110-116.

Monem, A., & Nagy, H. (2021). The effectiveness of advertising personalization. Journal ofDesign Sciences and Applied Arts, 2(1), 335-344.

Roggeveen, A. L., & Sethuraman, R. (2020). Customer-Interfacing Retail Technologies in 2020 & Beyond: An Integrative Framework and Research Directions. Journal of Retailing, 96(3), 299-309.

These is the second one below.

1. What is your overall evaluation of this particular study?

The study is useful as it has highlighted the opportunities that e-commerce has created. It has also shown that it is possible for brand manufacturers to do direct-to-customer business and how that enriches the manufacturer customer relationship. The study has also highlighted the challenges that accompany this approach.

 

2. Do you think the same concept is applicable here in the USA?

The concept of direct-to-customer is applicable in the USA, particularly for new businesses. Cutting off intermediaries gives the consumer access to the brand manufacturer directly, and the whole transaction happens on the online platform. The concept allows the brand manufacturer to maintain control of the brand in terms of distribution and prices. The consumers also have the assurance that they are purchasing original products. However, brand manufacturers who have worked with traditional distribution partners may face numerous challenges in direct-to-consumer trading. These challenges include competing with their traditional trading partners and a lack of sales channels and D2C know-how.

 

3. Which one of the three strategies do you find more pertinent? Why?

The multi-touch-point strategy is more pertinent as it avoids conflicts with existing distribution partners and mainly focuses on incorporating new customer touchpoints in sales. However, it is also not necessarily a sales channel, and its objective is to be in the customer’s journey in as many places as possible.

4. Given that the pure-online and the multi-touch-point strategy are mutually exclusive, in what manner do you think they can be combined into direct sales via a digital platform with a platform strategy? Explain!

According to Leimstoll and Wölfle (2021), the pure-online and the multi-touch-point strategies are mutually exclusive. However, direct sales via a digital platform can be used by pure online brand manufacturers and manufacturers who maintain several contact points. Distribution via digital platforms is considered to fall within the direct online distribution. Many manufacturers are unable to offer their brands on digital platforms available as they feel that they cannot have control over their brand. There are ways to overcome these challenges, such as; 

4.1 Creating their own websites: A brand manufacturer’s website will provide accurate and comprehensive information about the product and provide the avenue for customers to purchase. The consumer will interact directly with the manufacturer and raise any concerns or provide product reviews. This platform is beneficial to both the manufacturer and the consumer as the manufacturer will be able to provide their brand experience directly to the consumer. Direct consumer feedback will enable the manufacturer to improve on their product. The website will also provide details of physical locations where the consumers can access the products if they prefer to purchase on location (Kleinlercher & Emrich, 2018).

4.2 Creating websites that consumers can access by mobile phone and tablets: These days, many people access the internet via their smartphones to access the internet. Ensuring that consumers can access the website is providing an easy way for consumers to reach the manufacturer. It creates a platform for easy purchase as the consumer does not have to use a desktop or a laptop to make their purchases. 

4.3 Ensuring that the websites are user-friendly: A website that is easy to use encourages consumers to log in and purchase. The inclusion of self-help options on the website is an added advantage as the consumer will easily get a solution if they get stuck during the purchasing process. It will also reduce the support that the brand manufacturer provides to the consumers (Agarwal & Raychaudhuri 2019).

4.4 Social media presence for the brand: Social media has a broad outreach and is an excellent platform for reaching consumers directly, and a solid social media presence can drive traffic to the manufacturer’s website. Social media will provide much feedback on a brand, and it is an easy way to do market research. It can also drive brand loyalty and brand awareness.

4.5 Online webinars and tutorials: Doing online webinars and tutorials of the brand products is a great way to reach the consumer directly. The webinars provide knowledge and insights on brand products and provide a face to the brand. In addition, the feedback from social media will provide the manufacturer with a wide variety of topics that the manufacturer can use for a webinar.

4.6 Use of mobile apps and digital kiosks:  Due to the increased use of mobile phones, taking advantage of mobile apps is an easy way to connect with consumers directly. Many people also have access to digital kiosks, and the manufacturer can easily reach them (Roggeveen & Sethuraman, 2020). 

4.7 Personalizing products and messages: The manufacturer should try to personalize products for the consumers as it gives them a sense of recognition and appreciation; this creates brand awareness and brand loyalty which subsequently turns into lifetime consumer relationships. 

4.8 Direct consumer mailing: Direct consumer emailing is a great way to create brand awareness among consumers directly. The manufacturer needs to ensure that they put together relevant information on the brand and regularly keep their consumers updated about new product launches and new development (Melzer & Zech, 2018).

4.9 Making use of partnerships with big brands: Partnering with a big brand can be an excellent way to reach consumers directly. Taking advantage of the big brand gives a brand manufacturer the chance to get consumer recognition and consumer trust and confidence (Monem & Nagy, 2021).

 

References

Agarwal, S., & Raychaudhuri, P. S. (2019). Consumer Perception of B2C Websites: An Empirical Study of Delhi–NCR. Indian Journal of Marketing, 49(6), 35-47.

Kleinlercher, K., Emrich, O., Herhausen, D., Verhoef, P. C., & Rudolph, T. (2018). Websites as information hubs: How informational channel integration and shopping benefit density interact in steering customers to the physical store. Journal of the Association for Consumer Research, 3(3), 330-342.

Leimstoll, U. & Wölfle, R. (2021). Direct to consumer (D2C) e-commerce: Goals and strategies of brand manufacturers. In New trends in business information systems and technology. Springer, Cham. (pp. 237-250).

Melzer, J., & Zech, B. (2018). How social media influencers enabled a B2B company to drive awareness and engagement with their target consumers. Journal of Brand Strategy, 7(2), 110-116.

Monem, A., & Nagy, H. (2021). The effectiveness of advertising personalization. Journal ofDesign Sciences and Applied Arts, 2(1), 335-344.

Roggeveen, A. L., & Sethuraman, R. (2020). Customer-Interfacing Retail Technologies in 2020 & Beyond: An Integrative Framework and Research Directions. Journal of Retailing, 96(3), 299-309.