E-commerce, manufacturing, retail, transportation and logistics supply chain, and wholesale organizations in Europe say that their investment in the Direct-to-Consumer (DTC) delivery model has increased since early 2020, with 18% saying that it has increased significantly.

Companies believe that by investing more, they can boost profits, cut costs, and provide better customer service.

Deposco, a leading provider of omnichannel supply chain fulfillment solutions and WMS systems, wrote this in a European Direct-to-Consumer research report. It was also supported by polling decision-makers in the UK, Benelux, and Nordic countries, indicating a dynamic and rapidly expanding DTC industry.

When it comes to achieving the DTC success that they want, organizations, on the other hand, are also confronted with a variety of obstacles relating to people and technology.

In the first group, these include a lack of skilled workers and the company’s culture. In the second group, these are issues with the physical infrastructure and finding the right infrastructure for DTC.

In Europe, DTC’s main growth drivers are sustainability and the customer experience. The most recent technology helps businesses protect themselves from not meeting customer expectations when operating DTC. According to the survey, numerous businesses are considering DTC for entire product ranges or even entire product categories.

Associations should guarantee that they are putting resources into individuals and innovation, and ensuring that their frameworks and cycles are working at ideal proficiency levels. One important part of that will be putting money behind order management and fulfillment.

42% of respondents to the survey cited increasing their investments in order management and fulfillment technology as a key strategy for preventing DTC failure to meet customer expectations. Developing real-time visibility across all inventory locations was mentioned by 29%.

The complimentary report from Deposco titled “The Rise of Direct-to-Consumer in Europe”: It is now possible for businesses to overcome the obstacles and succeed in DTC channels.