Consumers’ shift to online shopping, from the outbreak of the pandemic to the present day, introduces the D2C business model, a model that has companies focus on direct and immediate sales, eliminating resellers’ role. PayPal’s "How We Shop - Measuring the Rapid Digital Shift" findings confirm this trend, with 37% of consumers preferring to make purchases directly from a company.
Consumers who choose to make a direct purchase from the brand seek a better shopping experience that is linked to the trusting relationships built through the D2C business model. After all, in this research, trust is the first and foremost reason why consumers choose D2C companies.
The D2C model helps businesspeople gain complete control over every action, from packaging to marketing, and at the same time, define themselves in which ways they want to promote their brand and beam their messages.
A particularly important advantage of the model is that the brand has the opportunity to get to know its customers better and build long-term trusting relationships with them. At the same time, the brand itself defines how and in what packaging consumers will receive their product. 50% of buyers say they would recommend the product they bought if it came in a gift box or a branded box (source: Dotcom Distribution).
Why is packaging important in the D2C business model?
1. Consumer experience: consumers are no longer just looking to get a product. They seek to live a special experience from the first to the last moment of their interaction with a brand. By investing in creating packaging that stands out for its originality and highlights the brand’s messages, consumers can experience this "WOW" feeling that is what 60-80% of consumers want (source: Forbes).
2. Reaching a wider audience (with no advertising): When the consumer has such a positive experience from the brand, he/she will not hesitate to share it with their friends and acquaintances either in a closed circle or on social media. 40% of consumers will post at least one photo of your business’s packaging, if it is unique or branded (Dotcom Distribution, 2021). This is of particular importance if you take into account the fact that a potential customer spends at least 5 hours per day on his/her mobile phone (SEPE, 2022). In this way, you manage to reach a wider audience and enhance brand awareness, without spending money and time on advertising.
3. You win over the Gen Z and the Millennials: Gen Z and Millennials spend endless time on social media, and by 2025 they will account for 65% of global social commerce spending (source: SEPE). This is a dynamic audience that can take off your business, as long as you offer them a remarkable experience that cannot be forgotten. This audience is looking for unique packaging that beams a message while it respects the environment.
4. Trusting relationships: by offering a unique and branded packaging, you manage to create added value to your product and at the same time give your customers value. Your customers recognize that you are a brand that respects consumers and feel that they can trust you for their future purchases. So, you build long-term relationships with loyal customers who will come back to you again and again. 55% of consumers who shop online say they would return to an e-shop in the future if the product packaging was unique (source: drupa.com).
Is it time to invest in packaging? At Packit-Up you will find customized packaging for all your needs, while our creative team will propose innovative ideas for you to make a difference and win over your customers. We are at your disposal to answer any question but also to guide you in creating the packaging that will set you apart from the competition.