D2C Digest #50 | Unidentified shoppers, TikTok defends itself, 2024 ecomm trends, and more

Hey there, great people of the D2C community who are building fantastic things! This is your host Berkay writing.

Take a 5-minute break and dive into D2C Digest for a quick overview of what’s happening in the D2C market worldwide!

🔍 61% of TikTok users find new brands and products on the app

As a potential ban on TikTok looms, the platform is preparing a defense by highlighting its critical role in the online ecosystem. Besides arguing that a ban infringes on Americans' First Amendment rights, TikTok has released a detailed brand discovery report to emphasize its importance.

The report reveals TikTok's significant impact on product and brand discovery, with 61% of its users finding new brands and products on the app, 1.5 times more than on other platforms. Users perceive TikTok's search functionality as more authentic, entertaining, and concise compared to other social media and traditional search engines.

Key findings from the report include:

  • Swipe to Discover: TikTok users are 1.3 times more likely to discover new brands or products through ads compared to other social/video platforms.
  • Tap to Discover: 45% of users seek more information on the platform after discovering something.
  • Search to Discover: 29% of users specifically search for brands or retail accounts on TikTok.

The takeaway is clear: TikTok is more than a social media platform—it's a powerful tool for brand discovery and customer engagement, supporting the customer buying journey uniquely compared to other platforms. This makes TikTok a valuable asset for businesses aiming to drive traffic to ecommerce sites and convert customers.

TikTok against the court
TikTok against the court

Ecommerce trends in 2024 according to Forbes

The article from Forbes outlines the top e-commerce trends for 2024, highlighting significant shifts in how consumers shop and how businesses can adapt. Here are the key trends:

1. Generative AI: AI is revolutionizing e-commerce by enhancing machine learning and creating realistic content, which improves customer engagement and supports various business operations.

2. Composable Commerce: Businesses are moving away from monolithic platforms to composable commerce, allowing them to customize their tech stacks with best-of-breed solutions for better flexibility and adaptability.

3. Digital Wallets: The use of digital wallets like Apple Pay and Google Pay is increasing, providing secure and convenient payment options that streamline the checkout process and integrate loyalty programs.

4. Visual Search: Enhanced visual search capabilities, driven by technologies like Google Lens, allow consumers to find products through images, necessitating businesses to optimize their visual content for better search rankings.

5. Flexible Payment Methods: More retailers are adopting flexible payment options, including cryptocurrencies and digital wallets, to cater to diverse consumer preferences.

6. Personalization: As third-party cookies phase out, businesses are focusing on first-party data to deliver personalized shopping experiences, which can increase customer loyalty and retention.

7. Fast-Format Delivery: The demand for rapid delivery services is growing, pushing retailers to offer more immediate delivery options to meet customer expectations for speed and convenience.

8. Sustainability in Fulfillment: There's a rising emphasis on sustainable logistics, including the use of electric vehicles and localized fulfillment centers to reduce environmental impact and delivery times.

🤼‍♀️ FedEx is introducing a new ecommerce platform to challenge Amazon

FedEx is launching a new e-commerce platform called fdx this fall, offering end-to-end solutions for online merchants. The platform will integrate FedEx's existing tools and ShopRunner services with new features for custom post-purchase experiences and enhanced order management using FedEx's shipment data.

Christina Meek, FedEx's global relations manager, clarified that FedEx isn't entering the marketplace business but is providing digital tools and insights while businesses retain control over their customer interactions.

This move comes as FedEx competes with Amazon, which has surpassed FedEx and UPS in US home package deliveries.


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