FMCG cos betting on D2C: Digital trend here to stay, say experts

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Consumer companies have been in focus on the back of direct-to-consumer (D2C) forays and their recent acquisitions. Arush Chopra, Co-Founder and CEO at Just Herbs, Harish Bijoor, Brand Strategy Specialist and Founder at Harish Bijoor Consults and Sunil Duggal, Former CEO at Dabur, discussed this further in an interview with CNBC-TV18.

Consumer companies have been in focus on the back of direct-to-consumer (D2C) forays and their recent acquisitions. Arush Chopra, Co-Founder and CEO at Just Herbs, Harish Bijoor, Brand Strategy Specialist and Founder at Harish Bijoor Consults and Sunil Duggal, Former CEO at Dabur, discussed this further in an interview with CNBC-TV18.
According to Duggal, the trend towards digital is very clear. It has gained incredible traction now, particularly post-pandemic and it is an unstoppable force.
“There are possibilities of cross-selling, which will emerge across channels for some of the brands and also it enables companies to connect with the younger generation of consumers,” Duggal said.
Duggal further mentioned, “This will be a niche but a very profitable niche.”
“We live in an era at this point in time where D2C has become the big lingo. Companies typically have been investing in buying brands. The difference today is that companies are buying channels now. D2C is not a brand, I am very specifically looking at it as yet another channel,” Bijoor mentioned.
“D2C was niche, it looks like D2C is going to be the new mass. So, companies are investing money to look at the niche that becomes the new mass,” Bijoor stated.
Bijoor also added that digital companies have been able to bargain much better, so the power of bargaining definitely lies with D2C companies.
“I would think that the relationship that we are going to start with Marico is going to be a symbiotic relationship. There is going to be learning on either side, it is going to be a symbiotic sort of partnership and it will be at multiple levels,” said Chopra.
For the entire discussion, watch the accompanying video.

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