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D2C (Direct-to-Consumer) Definition
Direct-to-Consumer (D2C) is a business model where companies sell their products or services directly to end-users through owned channels, such as e-commerce websites or apps, without relying on third-party retailers or distributors.
How D2C Works
- Brands set up online stores or apps to sell directly to consumers.
- Marketing efforts target audiences via social media, search, and ads.
- Companies manage fulfillment, customer service, and data collection.
- D2C enables brands to control pricing, experience, and relationships.
Example of D2C
A skincare company sells exclusively through its website, using targeted ads and influencer marketing to attract customers.
Why D2C Matters in Advertising
- Gives brands full control over customer experience and data
- Eliminates retailer margins, boosting profitability
- Enables direct, personalized marketing and retargeting
- Fosters brand loyalty and faster market feedback
