DTC, or direct-to-consumer retail, is taking off lately, and platforms like Shopify are part of the reason why.

This year, Ordergroove was thrilled to partner with Shopify Plus, as part of a push to help retailers of all sizes maximize their opportunities for recurring revenue. It’s no coincidence that Shopify a key partner of ours – they’re long had a deep understanding of the way Relationship Commerce is transforming modern retail. As Shopify Plus VP and General Manager Loren Padelford told  Retail Touch Points recently, the company sees subscriptions as a key driver of emerging D2C brands:

“We see this accelerating through new types of DTCs like subscriptions becoming huge,” Padelford told RTP.

Subscriptions are one of the best examples of direct-to-consumer retail, since they’re usually personalizable and can be modified based on consumers’ exact needs. And they’re also a key source of recurring revenue, and are one of the cornerstones of Relationship Commerce. 

As Padelford explained, DTC commerce is all about asking, “How do you go directly to the consumers to get them to interact with you?” Other tactics include a strong social media presence, and encouraging customers to create one-to-one relationships with brand representatives. According to Padelford, these methods are also how smaller businesses will be able to compete with retail giants like Amazon long term.

“With large merchants…consumers have no tolerance anymore,” Padelford said. “Their expectations are just through the roof on experience, fee, effectiveness, product mix, and if you’re a large traditional retailer, this is a hard move.”

Shopify has one of the most impressive e-tail growth stories in recent years, with their stock shooting 130% in the year so far and a reported 48% revenue surge of $362 million in Q2. If there’s anyone’s advice that we should look to to make the most of DTC strategies, it’s theirs. Check out the rest of what Padelford had to say to RTP, and learn more about Ordergroove’s latest offerings that seek to improve your Relationship Commerce potential.