Book cover of The Direct to Consumer Playbook by Mike Stevens

Mike Stevens

The Direct to Consumer Playbook

Reading time icon11 min readRating icon3.6 (30 ratings)

Success in the Direct-to-Consumer world isn't about starting big; it's about starting right.

1. Patience Is the Foundation of Success

Launching a brilliant product is exciting, but rushing can doom even the best idea. Jane, the founder of Sugru, teaches us that patience during early stages can make or break a Direct-to-Consumer (DTC) venture. Her silicone-based glue took six years to perfect before hitting markets, ensuring it was robust and market-ready.

Jane devoted years to assembling a skilled team, working with top silicone experts, and tirelessly testing her product. This long process wasn’t spent idly. Instead, the extended period allowed her to focus on quality. When she finally launched, Sugru’s reliability gained positive customer and press attention, building trust that carried the product forward.

Her story also contains a lesson about starting small when necessary. When large companies rejected her idea, she scaled her ambitions down, opening her own small production facility. By testing the market with 1,000 units that sold out in six hours, Jane demonstrated how slow, thoughtful beginnings can gradually build momentum.

Examples

  • Jane’s development lab transitioned into her first factory, keeping costs low.
  • Sugru’s first PR campaign sent free samples to journalists, leading to a 10/10 review in The Telegraph.
  • Time magazine listed Sugru as one of its top 50 inventions after her product launched.

2. Solve Real Customer Problems First

Success isn’t always about inventing something new – it’s often about fixing what’s broken. Aron Gelbard of Bloom & Wild saw major flaws in the flower industry and used them as a starting point for his DTC business. Frequent complaints involved flowers arriving wilted, being delivered inconveniently, or requiring someone to be at home.

Aron’s solution was simple yet revolutionary: letterbox bouquets. By shipping flowers dehydrated and boxed, Bloom & Wild eliminated most of the logistical issues customers faced. The company not only solved an industry problem but also created a signature product that set it apart.

Beyond product innovation, Aron kept improving customer experience through continued feedback. For instance, when some users found reminders for occasions like Mother’s Day distressing, Aron implemented an opt-out feature. This empathetic approach birthed the “Thoughtful Marketing Movement,” influencing many other companies.

Examples

  • Bloom & Wild’s slim flower boxes fit through standard letterboxes, resolving delivery challenges.
  • Surveys revealed dissatisfaction with reminder emails, leading to customizable opt-out options.
  • Four million people receive Bloom & Wild mailboxes annually, emphasizing their impact.

3. Data Equals Direction

The digital space provides endless opportunities to track how customers interact with a business, and this data has real power. The team behind Graze leveraged online customer feedback, testing, and habit monitoring to adjust their offerings and refine their snack box subscription services.

Early on, Graze learned hard lessons about customer preferences. When introducing fruit items didn’t perform well, they monitored reviews closely and pivoted quickly to provide more popular options. Their ability to iterate at lightning speed was only possible because they gathered meaningful data points throughout the customer journey.

Additionally, Graze’s in-house manufacturing meant they could make adjustments quickly. Instead of relying on slow external suppliers, they adapted processes within days based on feedback. This hybrid approach of technology and production flexibility established Graze as a leader in their space.

Examples

  • User reviews helped Graze pivot away from poorly-received items quickly.
  • They tracked how long customers browsed snack options, tailoring recommendations accordingly.
  • In-house manufacturing allowed rapid product turnarounds based on real-time data.

4. Keep Your Operations In-House

Relying on external manufacturers can slow innovation in a competitive DTC market. Instead, Graze chose vertical integration for production – from recipe development to packaging to shipping, they controlled it all. This allowed for smoother operations and faster responses to customer needs.

By keeping every part of the chain in-house, Graze minimized costs and maximized agility. They could quickly test new flavors, tailor packaging, and gather efficiency insights across production lines. This approach also empowered them to deliver fresh, exciting snacks that wouldn’t be possible under traditional outsourcing.

For new DTC founders, Graze offers an invaluable lesson: owning your processes allows you to identify cost-saving opportunities and refine your product faster than the competition.

Examples

  • Graze produced small-batch snacks, giving them flexibility to release and remove items quickly.
  • Vertical integration taught them how to improve workflow and cut unnecessary costs.
  • Controlling production enabled Graze to scale from a small idea into a multi-million dollar enterprise.

5. Use Market Tests Before Scaling

Testing ideas before scaling is a low-risk way to determine whether a product has demand. JP, founder of Allplants, did just this before launching his vegan meal business. Rather than assuming demand, he shipped 150 test orders to gauge satisfaction and delivery efficiency.

The initial market test provided critical data. It revealed that frozen shipping was feasible, and his meals resonated with non-vegans as well. By removing barriers, such as rushed consumption timelines, JP let the meals speak for themselves.

After successful tests, JP launched Allplants during the hype of Veganuary, ensuring he had a strong marketing push at zero cost. The thoughtful launch set a solid foundation, leading to consistent customer growth.

Examples

  • 15% of test customers became repeat buyers, proving demand.
  • Free marketing came from timing the launch with Veganuary.
  • Allplants made frozen meals mainstream, rethinking food shipping.

6. Make Things Easy for Your Customers

Convenience is king in DTC markets. If a product adds hassle to a customer’s life, it likely won’t succeed. JP’s Allplants solved this by shipping vegan meals frozen, prioritizing ease of storage and flexibility for the customer.

The simpler you make it for people to access, use, and reorder a product, the greater chance you have of winning them over. Many Allplants customers weren’t vegan initially, but the simplicity of ready-to-cook meals led them to try – and embrace – the product.

This focus on accessibility reminded consumers that healthy, ethical meals didn’t have to require complex cooking or wasted food.

Examples

  • Frozen shipping allowed customers to eat meals at their own convenience.
  • Surveys revealed buyers appreciated easy-to-follow instructions inside Allplants boxes.
  • 60% of Allplants users weren’t vegan, proving broader appeal.

7. Start Small to Mitigate Risks

Grand launches may sound appealing, but small starts help DTC brands remain flexible. Jane’s Sugru and JP’s Allplants both prioritized lean beginnings, creating test batches and allowing organic growth. Doing so minimizes costs and reveals gaps early.

Starting small also makes it easier to pivot. Whether Jane was rethinking distribution strategies or JP had to refine cold shipping, lower costs gave them more freedom to make adjustments.

Small-scale thinking doesn’t hinder success – instead, it lays the groundwork for experimentation and learning.

Examples

  • Sugru’s initial launch was just 1,000 units, selling out in six hours.
  • Bloom & Wild adapted their letterbox delivery prototype before mass distribution.
  • Graze tested snacks on small audiences before launching large-scale campaigns.

Takeaways

  1. Spend the time perfecting your product before launching. Rushing an incomplete idea often leads to failure.
  2. Always prioritize the customer by solving real problems and being open to feedback. Customer satisfaction should be a recurring focus, not a one-time metric.
  3. Use detailed customer data as a guide for decision-making, from design to delivery to marketing, because it empowers continual improvement.

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