Persuading a customer who usually buys from Amazon or Sephora to purchase directly from your DTC store is incredibly difficult. Doing this from an upper-funnel demand generation channel is even harder, but that shouldn’t be a concern. You can drive significant customer and revenue growth through indirect impacts that affect all revenue channels simultaneously. Strong content raises the tide and lifts all revenue streams.
Dan Wilson argues “You don’t just need to run Amazon ads to drive Amazon sales. We work with fashion and beauty brands that generate 20% of their Amazon sales through influencer reach campaigns. This content doesn’t send customers to Amazon (in fact, we frequently see that the best content doesn’t intend to send users to any sales channel), but showcases the product and allows customers to navigate to their preferred sales channel.”
These same campaigns also drive up to 40% of DTC sales and up to 15% of physical walk-in store sales. Often, the same customer will purchase across multiple revenue streams.
When brands focus on measuring the true increase in demand generation from each marketing channel, they can be more flexible in allowing customers to purchase in the environments they are already comfortable in, significantly reducing friction and increasing effectiveness. These same campaigns also drive up to 40% of DTC sales and up to 15% of physical walk-in store sales. Often, the same customer will purchase across multiple revenue streams.
Directing customers to purchase from a specific channel can create barriers, but showing behaviour that we want to encourage can have very strong results. By increasing the exposure of walk-in retail content on influencer channels, we were able to shift the relative purchase ratios between physical retail and Amazon, both increasing total order volume and relative blended margin.
What can you do today?
Where possible, review your customer-level data between sales channels to determine customer overlap and potential cannibalisation between sales channels.
Deploy a measurement framework that values the halo impacts of marketing channels on all sales platforms.
Deploy full-funnel attribution measurement to measure both direct and indirect impacts of marketing channels on all sales platforms, and understand the cannibalisation between sales channels.
You can read the full playbook here and if you want to learn more about how to measure and attribute ROI across your full marketing strategy then drop us a line.
