The Growth of D2C: Retail and the Role of Quality Engineering

Intermediaries and resellers are being phased out! Direct-to-consumer (D2C) and retail channels are leading the change in retail. The pandemic compressed years of direct-to-consumer growth into a few months. D2C enables retailers to manage, and gain insights from their data, allowing them to tailor personalized propositions and loyalty programs. 

The Challenges of D2C

D2C requires a considerable degree of communication between customer-facing apps and integrations which results in a large cloud data footprint. Customer data, including sensitive personal data and payment details, are cybersecurity liabilities for retailers. For D2C models, logistics companies can be perceived as the face of a company and may require additional brand and culture collaboration to maintain consistent levels of customer service. 

Engagement

Today's online and in-store customers expect a rich experience and personalized offers. The D2C model with its advantage of access to customer data can be used to segment and target existing and similar groups of potential buyers. The combined application of machine learning (ML) and artificial intelligence (AI) can help retailers derive insights from large sets of big data and drive campaigns that boost sales. 

Success Stories

Qualitest group is directly aiding the transition to efficient business models – we helped reinvent the global logistics fulfillment systems of a large global brand. As part of the program, Qualitest helped digitize robotic order picking to label printing systems of 42 warehouse distribution centers. In another successful program, Qualitest helped one of the largest grocery companies in the US to validate the accuracy of their stock checking using drones.

Feedback Driven Response

A market that is moving at a fast pace needs regular, feedback-driven updates and rigorous testing. Faster deployments, channels for customer communication, and integrations to order fulfillment systems are backed by AI & ML based on quality engineering, security testing, and IoT testing. Content management systems(CMS) and product and inventory management systems (PIM) systems need additional focus in the retail space as these are the applications that drive marketing efforts and order fulfillment services.

Qualitest, with its sound quality engineering expertise across the entire value chain of the retail industry, is a trusted partner of global retailers and helps them respond to market changes with the right mix of intervention in business processes and technological change.