1400+ Startup Leaders 🚀 Can't Be Wrong - #17
Welcome to the 17th edition of the Post Purchase Profits! Here I dive into the world of startups and business growth. As you read, this newsletter reaches 1400+ operators and leaders from startups like Google, Stripe, and more.
Hello Profiteers
The myth that India's Tier 1 cities dominate e-commerce sales is debunked. This year, Amazon and Meesho reported over 80% of sales from Tier 2, 3, and 4 cities. The e-commerce landscape is evolving, creating a significant opportunity for D2C brands.
Share this with a D2C founder friend. They need to understand these core insights and consider the bigger picture.
Why Only D2C?
Direct-to-consumer brands like mamaearth , Noise, @boAT, and so many more rely on e-commerce platforms for most of their sales if not all.
Today as we talk, there are 1,00,000 brands out there selling and making more than $100 Million in India itself. Looking at the bigger picture and becoming a global brand is even better than this number.
Let’s look at the numbers now, and understand how platforms like Amazon, Flipkart, and Meesho are making it so big in 2024.
Meesho 's success with under ₹500 apparel and Amazon / Flipkart 's focus on smartphones highlight the entry-level products attracting first-time online buyers from our country.
Contrary to popular belief, credit cards and EMI options drive online purchases more than price parity. The number of credit cards issued jumped from 57 million to ~80 million in three years, with a 42% year-on-year growth in Tier 3+ towns.
Logistics for remote pin codes have significantly improved. Shipping items under 500 grams to almost every pin code in India costs under ₹140 with a 3 to 5-day delivery timeline, thanks to Amazon and Meesho.
Lastly, E-commerce is resonating with Tier 2+ towns. High retention rates indicate a healthy market, with Meesho reporting over a billion orders annually, 85% from repeat customers.
Building a $100 Million D2C Brand?
Well, let’s be honest who doesn’t want to make their brand big? At Dyrect , our everyday ideology is to make our brand better and bigger with every client.
Helping D2C brands improve their revenue while lowering costs is our MANTRA.
But how can your brand, make it big?
In reality, there are multiple ways to do so.
You Hold the power of decision. NO ACTUALLY!
These are some points on what you should do to reach the $100 million goal.
Keep the pricing structure as it is (no-one likes to spend more in this inflation era)
Redirect your customers (How to do so — is Subjective)
KEEP things simple
Our people do not like spending even a second more than what is needed.
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Understand this psychology, keep registrations, loyalty redemption, or claim management process very simple — no one should be taking more than 2 mins to fill our a whole form of registration.
Look at how the BEST US Brand for Luggage is registering thousands of users every month.
What will you EARN?
Money!
Yeah, ik you wanted to hear this one word. (very badly)
Your brand will be saving so much more than money—just as Briggs & Riley and Norton did.
P.S. And that’s how we define Dyrect 😉
Action Steps for Improving After-Sales Service:
Streamline Communication: Ensure easy access to support via multiple channels (email, chat, phone).
Offer Comprehensive Warranties: Provide clear and fair warranty policies.
Implement Feedback Systems: Regularly collect and act on customer feedback.
Train Support Staff: Equip your support team with the knowledge and tools to resolve issues promptly.
Leverage Technology: Use CRM systems to manage and analyze after-sales service performance.
But, Wait, WHO are we?
Hey, I’m Abhishek — founder of Dyrect. Dyrect is a go-to solution for your D2C brand that helps build a complete warranty infrastructure that saves you money while doubling what you’re already generating (revenues). We like simplifying things, so you ended up reading this newsletter till here.
Please subscribe and share in your circle of D2C founders, marketers, and leaders.
Subscribe now
Let’s meet next time with ONE of the coolest American brands.
Abhishek Agrawal.
Founder, Dyrect
The strategies outlined in this cheatsheet are certainly noteworthy. It would be interesting to hear how they can be adapted for smaller brands looking to scale.