Meet customers where they are, focus on core metrics: Beco founder tells D2C brands
Aditya Ruia, Co-founder, Beco, highlighted how brands can sift through innumerable data points to understand their rate of returns on investments and expenses, at TechSparks 2024 held in Bengaluru recently.
It is important for brands to meet consumers where they are, reach users sustainably, and simplify data points, says Beco founder Aditya Ruia.
“What always works across D2C and any other business is that it's always backwards (working backwards from results to process). So, where the consumer is engaging with content and where the consumer is buying is where I need to be,” noted Aditya Ruia, Co-founder, Beco, at YourStory's flagship startup summit TechSparks.
Beco makes eco-friendly and plant-based sustainable alternatives for everyday home care needs. It initially started out with the offline channel, before moving into ecommerce during the pandemic. The brand is also now available via quick commerce.
A significant part of Beco's consumer base still purchases from offline channels.
Focus on key metrics
Ruia breaks down how brands can sort and sift through innumerable data points to understand their rate of returns on investments and expenses. He suggests focusing on core metrics under each department. For instance, marketing should deliver mainly on two counts: increase in mental awareness and increase in physical presence.
Along with data, which, in his opinion, accounts for only 25% of the big picture, executives should also focus on various macro and micro trends in the ecosystem. Such strategies should be driven by lower customer acquisition costs.
A healthy D2C brand or consumer company should split its topline equally between marketing, cost of goods sold, overheads, and profit.
"While you can build good content, you can actually, sort of, distribute it across mediums that have the lowest cost per reach,” advised Ruia.
He also noted that the organisation or the company should always be bigger than the personal brand of the founders associated with it.
“I think personal brand works only to build credibility for the cause that you're advocating, for the problem you're trying to solve,” said Ruia.
“I think the stronger the personal brand is, the smaller the startup is in its journey,” he said.
Edited by Swetha Kannan