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D2C vs B2C: Understanding the Sales Channels
Inshorts
ยท
3m ago
Medial
D2C (Direct-to-Consumer) brands sell directly to customers, cutting out middlemen like wholesalers and retailers, which allows for better control over pricing, branding, and customer experience. On the other hand, B2C (Business-to-Consumer) models typically involve layers of intermediaries distributors, wholesalers, and retailers before products reach the end user.
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17
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Profit Margins - Who is Winning? : D2C vs B2C
Inshorts
ยท
3m ago
Medial
D2C brands benefit from higher profit margins by selling directly to consumers, eliminating costs associated with intermediaries like wholesalers and retailers. This streamlined approach allows for better pricing control and increased revenue retention. Conversely, B2C brands involve multiple parties in their sales process, such as distributors and retailers, which often leads to slimmer margins.
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B2B vs. B2C Product Strategy: Similarities and Differences
Internet
ยท
1y ago
Medial
The article by Tim Herbig explores the similarities and differences between B2B and B2C product strategies. While fundamental patterns in shaping product strategies are similar, the implementation tools differ. Key points include considering B2B behaviors in B2C strategies, the importance of pattern recognition over templates, and the need for collaboration. Differences lie in audience inputs, risk levels, and expansion strategies.
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What Mamaearth IPO Means For D2C Brands
Inc42
ยท
1y ago
Medial
In the lead up to Honasa Consumer's IPO, the article discusses Mamaearth's evolution from an online D2C brand to a retail FMCG player with a services arm. The company has recognized the importance of offline sales and distribution and has also acquired the salon chain BBlunt to reach customers. The article examines the expectations investors can have from Mamaearth, highlighting the importance of a healthy mix of online and offline channels for profitability. It also discusses how BBlunt can reinforce Mamaearth's presence in retail and online channels. The IPO is seen as a litmus test for the D2C segment and the Indian ecommerce ecosystem.
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Amazon plans to offer logistics network to sellers not using its platform
Money Control
ยท
1y ago
Medial
Amazon India plans to open its logistics network to merchants who don't sell on its platform. This will allow Direct-to-Consumer (D2C) brands to use Amazon's warehousing and transportation services, leveraging the company's logistics and supply chain capabilities to fulfill orders from various sales channels, including their own websites. The move comes ahead of India's festive season sales, which account for a significant portion of yearly e-commerce sales. Amazon also aims to digitize 10 million small businesses in India by 2025, with around 6.2 million already digitized.
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How Nestasia Aims To Become The Go-To Brand For All Home Decor Needs
Inc42
ยท
1y ago
Medial
The Indian home decor industry is experiencing a shift towards direct-to-consumer (D2C) models. Previously, purchasing home furnishings meant shopping offline or buying local products. However, the growth of digital channels has transformed the market. One D2C brand in particular generates the majority of its sales through online channels, with only a small portion coming from its physical stores. The brand focuses on providing high-quality and well-designed products to attract customers. By engaging with their audience through social media and offering DIY projects, the brand has successfully built a strong online presence. Additionally, the brand has expanded its product categories to include kitchen items, which now contribute significantly to its revenue. With plans for increased scale and efficiency, the brand aims to achieve profitability by 2025.
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Choosing between D2C and B2C models
Inshorts
ยท
3m ago
Medial
Choosing between D2C and B2C models depends on factors such as market competition, available resources, product nature, and the target audience. Many companies opt for hybrid approaches that blend direct-to-consumer and traditional retail strategies. This combination helps them maximise market reach, optimise profitability, and cater to diverse customer preferences.
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Customer Relationships in D2C and B2C Models
Inshorts
ยท
3m ago
Medial
D2C companies engage directly with customers, enabling personalised experiences and real-time feedback that help refine products and services. This direct connection also allows better control over branding and marketing strategies. In contrast, B2C companies depend on retailers for customer interactions, which can reduce direct engagement and limit access to valuable consumer data.
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Brand Control and Data Ownership
Inshorts
ยท
3m ago
Medial
D2C brands maintain complete control over their brand image and customer data, allowing them to tailor marketing campaigns and product development closely to consumer preferences. This direct ownership supports more agile decision-making. In contrast, B2C brands often have less influence over branding and limited access to customer data, since these functions are frequently managed by retailers.
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A COMPREHENSIVE GUIDE TO SETTING UP AND SCALING A DIRECT-TO-CONSUMER (D2C) BRAND
Internet
ยท
1y ago
Medial
Arnab Ray's blog post provides a comprehensive guide to establishing and scaling a Direct-to-Consumer (D2C) brand. It covers understanding the D2C landscape, identifying a niche and target audience, developing a business plan, building a strong brand identity, and ensuring product quality. Additionally, it discusses the importance of establishing an online presence, optimizing marketing strategies, and leveraging data analytics. The guide also addresses logistical challenges, scaling strategies, and the significance of customer experience in D2C business models.
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Is the D2C Craze Getting Over
StartupTalky
ยท
1y ago
Medial
A recent survey conducted by MMA India and Publicis Commerce has revealed that the majority of Direct-to-Consumer (D2C) brands in India are not profitable. The poll shows that 63 percent of D2C enterprises have yet to achieve profitability, and only 12 percent have declared profitability. This challenges the notion that the D2C model is a guaranteed path to success. Factors contributing to the lack of profitability include increased competition, rising customer acquisition costs, limited distribution channels, and a need for innovation and adaptation. D2C brands are advised to focus on product quality and explore alternative marketing and distribution methods.
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