Direct-to-consumer is no longer a trend — it is the standard strategy for ambitious brands that want to control margins, customer data and brand experience themselves. And the market is growing: According to recent studies, more than 60% of manufacturing companies in the DACH region are planning to expand their D2C share over the next two years.
The enthusiasm is understandable. So are the challenges.
What D2C really means — from an operational point of view
Anyone who does D2C takes on tasks that retailers have previously carried out: storage, picking, shipping, returns, customer communication. That sounds like more control — and it is. But it's more complex at the same time.
A manufacturer who has previously delivered pallets to three wholesalers suddenly sends 500 individual packages a day. That's 500 picking processes, 500 shipping labels, 500 tracking updates — and potentially 50 returns.
If you manage this manually, you will have a capacity problem within six months. If you manage it with an integrated ERP system, you have a scalable infrastructure.
The three biggest D2C traps
Case 1: Your own shop runs parallel to the B2B channel without a common database. Inventory levels are maintained twice, prices have to be synchronized manually, and at some point you sell products that have long since sold out.
Case 2: Returns become cost guzzlers. In the D2C business, a return rate of 15 to 25% is not uncommon. If you do not have automated processes for incoming goods, quality inspection and inventory rebooking, you lose money and time with every return.
Case 3: Contributions are unclear. Many D2C brands know what they're selling — but not what they earn from it. Without ERP integration, there is no transparency about fulfillment costs, return rates per product and channel-specific margins.
D2C can work — with the right infrastructure
The good news is that all three traps can be solved. A modern ERP system that natively supports D2C processes makes the difference between a D2C channel that grows — and one that only produces effort.
fab4minds supports D2C brands in building scalable ERP infrastructure. Request a demo now.
