Whilst the pandemic has left many businesses struggling to stay afloat, there is one sector that has seen unprecedented growth; direct to consumer (D2C) sales, also referred to as “home shopping”.
The example most often cited is that of Amazon who saw profits grow by 200% year on year in the 3rd quarter of 2020 to an astonishing £6.3 Billion. This extreme example is symptomatic of a broad-based explosion in “home shopping” that shows no sign of slowing down.
The reasons behind this growth are obvious and familiar to us all. Traditional high street retail has been closed down and when it has been open, consumers have been fearful of encountering crowds. For the most part, consumers have been heeding government advice to stay at home where they spend more time reading newspapers, watching TV and surfing the web, than ever before. Shopping from home has not just become a necessity for millions, it has become a popular pastime; the daily deliveries bringing excitement and distraction in an otherwise extremely dull day.
Inevitably, as this becomes the “new normal” there are winners and losers. The winners are not just traditional, established home shopping companies but also those brands that have recognized the opportunity and reacted quickly to take advantage of this fundamental change in consumer behaviour. These brands are the pioneers of “Performance Brand Marketing”. They recognize that in the course of selling direct via broad based, highly cost effective, mass market media they are engaging not just the growing numbers of “home shoppers” but simultaneously, a much wider audience to whom they can communicate their brand. This brand communication essentially comes at zero cost. It is an important by-product of a marketing effort that drives profitable direct sales and builds a valuable one-to-one long-term relationship with the consumer.
Lavery Rowe have over 40 years’ experience creating and placing performance driven ads. We place more performance driven ads than any other UK agency. We’d love to share this experience with you and welcome you to the unique benefits of “Performance Brand Marketing”.