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Direct-to-Consumer eCommerce (D2C) Business Model: The Dilemma of Getting It Right
Abstract
COVID-19 brought substantial shifts in market dynamics and consumer behaviour. It drove enterprises to innovate and alter their business models, culminating in the emergence of the dynamic eCommerce model, often known as D2C. Direct-to-consumer (D2C) businesses such as Made.com, Typology, Patch Plants, and Glossier flourished well in 2021, with an average growth rate of 19.2%. Additionally, Indian D2C startups such as boAt, Mamaearth, Wakefit, and Country Delight have earned approximately Rs. 100 crores revenue in a relatively short time, with an estimate of the Indian D2C industry to expand up to $100 billion by 2027 based on the current trend. Thus, this chapter seeks to comprehend the D2C model, its benefits, obstacles, and a viable approach for adopting the D2C model in light of the shifting competitive landscape and favorable environment for online purchases.
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