Performance Marketing: D2C brands’ next avenue for revenue?

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D2C brands have reached a tipping point where they are challenging age-old conglomerates and their mainstream product offerings. By providing healthier and more sustainable options, these direct-to-consumer brands have grabbed a sizable market share of the Indian consumer.

However, earlier D2C brands focused majorly on brand-building strategies to attract the consumer, whereas now, they are also looking to monetise their marketing efforts via measurable tactics. This also brings in a huge potential for marketers to be able to understand consumer demographics, their buying behaviour and their marketing ROI in real-time.

In an era where every consumer has personalised needs, D2C brands make an effort to provide experiences that stick with their TG via performance marketing, which unleashes the power for new-age brands to reach their consumer in every city.

Performance marketing offers the advantage of producing tangible, immediate results. When launching a new brand, especially with a limited budget, and operating in a category with high awareness, it’s possible to weave a compelling narrative that guides customers toward making a purchase, according to Suraj Nambiar, National Media Head, Tonic Worldwide.

“This is also why traditional marketing methods, such as 30-second TV commercials, have become less effective in today’s digital age. Instead, platforms like YouTube present a dual opportunity to both raise brand awareness and drive performance, allowing brands to efficiently reach their target audience and achieve their marketing objectives.”

According to Statista in 2022, about 68 per cent of marketers reported investing in data analytics and collection to improve digital marketing, especially in a soon-to-be cookie-free environment. This was followed by 49 per cent who invested in marketing automation.

Anshita Mehrotra, founder of Fix My Curls believes performance marketing is essential to gain insights about a brand’s audience. “Any brand currently…

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