Direct-to- Consumer Best Practices As ecommerce sales have taken off over the past few years, a few direct-to-consumer capabilities have become “table stakes,” says Robbie Baxter, founder of Peninsula Strategies. These include free shipping for loyal customers, predictable delivery time frames, and easy returns. With The Return Drop at Kohl’s, the retailer has expanded its successful partnerships for accepting returns at its stores. It now accepts returns from Carhartt, Hanes, and other brands. Leather Skin Shop has taken several steps to ensure its direct- to-consumer interactions are as positive as possible. One is being transparent and using high- resolution product photos that showcase the leather’s inherent variations and texture. Detailed product descriptions, highlighting the type of leather, construction methods, and care instructions also ensure customers make informed decisions. Because customers can’t physically touch or try on leather goods they purchase online, Leather Skin Shop offers detailed size charts and fit guides, while design consultants help customers choose the right features for customized leather products. Return and exchange policies are clear and customer-friendly. “Responsive and helpful customer service builds trust and encourages future purchases,” says Peter Martinez, co-founder.
to assemble outfits that fit a client’s style, personality, and body shape, so they’ll wear them month after month. Because it’s a subscription service, Meadows can roughly plan out her supply needs for an entire year, which streamlines the buying process. So, if linen pants are forecast to be in style, she picks up enough for her customers. Once an item is purchased, Meadows logs it and assigns it a barcode. As Meadows’ business scales, she’s looking into AI to help with the styling process, so she can devote as much time as possible to client service. For example, while Meadows might picture a peasant top with a billowy skirt, AI might suggest pairing it with a miniskirt, providing new ideas while also streamlining operations. CRITTER DEPOT GETS THE BUG Optimizing a company’s distribution network by strategically holding inventory in various locations can improve efficiency and meet consumer demands for speed. For example, ecommerce company The Critter Depot breeds and sells live insects to reptile enthusiasts, pet stores, and zoos across the United States. When the management team noticed it had many repeat customers, it decided to offer a subscription model. A subscription model helps A Curated Thrift ( above ) and The Critter Depot ( right ) better predict cash flow, plan out supply needs, and forecast order volume.
In addition to better predicting cash flow, a subscription model also helps forecast order volume. Crickets are sold in a variety of ages and sizes, and knowing the ones that will be in demand enables Critter Depot to keep them in stock. During the pandemic, many local pet shops shut down and orders at Critter Depot surged. “This was great, but we could not handle all the sales,” says Jeff Neal, operations manager. The team reached out to other insect farms. It still works with seven facilities to help fill orders, using technology to coordinate which facilities fill which orders. This can cut shipping costs, even as orders arrive at their destinations more quickly, which also boosts critters’ survival rates. Collaborating with competitors has proven key to Critter Depot’s success. “Without working with competitors, we would never have been exposed to the idea of opening additional breeding shops,” Neal says. n
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