‘Head, heart and home’: Why direct consumer relationships are changing the marketing rules
From the Koala Mattress to Dollar Shave Club, direct-to-consumer brands are everywhere. IAB Australia’s Vijay Solanki considers what the huge retail shift towards a direct brand economy means for Australian brands.
One of the key learnings I brought back from last week’s IAB Annual Leadership Meeting (aside from global interest in the words of Unilever’s CMO Keith Weed) was just how much the shift to a direct brand economy is changing the way marketers are, and will need to operate.
Experts from brands, agencies and publishers discussed how best to operate in a world where digital has made it considerably less expensive for businesses to go direct to the consumer with their product or service.
Permanent changes in the supply chain
These direct brands also need to have the best or equal product to win. Dollar shave club is cheaper than Gillette and more convenient than Gillette, but a far inferior product for mine. I did dollar shave club and really wanted it to work, but even their premium razors were not great. The products need to stand on their own and not just be convenient and well branded.
Great article. I agree with Bernie. I’ve tried every razor out there. Gillette was the iconic brand, now you’ve got emerging brands… the best I’ve found is Defender Razor.