Updated: Sep 5, 2020
There are two evolving worlds of commerce – the physical world and the internet ecommerce world The 5 Ps of marketing – Product, Price, Place, Promotion and Packaging too could be different for these two worlds of commerce While brands may talk about Omni-Channel, it is only a way to get better conversion rates from offline and online advertising. In an Omni-channel world, the product, price and packaging could still the same, whether bought online or offline. Only the promotion and place are the variables that change. As the CEO of a large successful company, you will be faced with a huge set of challenges posed by the world of ecommerce You have to manage two different channels without creating conflict. You also have to sit side by side with a huge number of competitors who may not have the muscle to get shelf space in the physical world, but easily sit next to you in an online marketplace. And compete with you on product and price with nimbleness that cannot be matched by a large company.
Large companies can consider a strategic move to create internet only brands
Such brands can be created using the vast expertise that the large company has in product creation, marketing and supply chain. Such internet only brands can be focused on making themselves relevant for ecommerce and can be customized for different markets based on consumer needs in that market. What will it take for a large company to create and internet only brand?
Buy-in of the concept and creation of an Internet Only Brand strategy. The CEO and leadership team have to be enthusiastic about the idea and it has to be a part of the company strategic plan
Creation of a separate business unit with a nimble team that has the freedom to create and execute
Leveraging of existing capabilities in the areas of product development, marketing and sales, finance and supply chain. This will give the internet only brand a base level of strength and support to assist in its success
Strong deal making with online platforms to get the internet only brand to be created, sold and delivered to the end consumer
Partnership with an ecommerce sales and distribution specialist like ND Commerce (Ndcommerce.in) who will be able to enable the entire online selling process
Partnership with a good sourcing and cross border commerce company like Tiger Pug (Tigerpug.com) who can help with product sourcing and global fulfillment
Summary Large companies can seriously evaluate the opportunity to create internet only brands. They will not only gain from sales but can have value creation for shareholders. It will also help the large company be more nimble and able to leverage the vast opportunities presented by the world of internet and ecommerce To know more and to get assistance in creating an internet only brand please write to us