[et_pb_section fb_built=”1″ _builder_version=”4.18.0″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_row _builder_version=”4.18.0″ _module_preset=”default” width=”auto” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_column type=”4_4″ _builder_version=”4.18.0″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_text _builder_version=”4.22.2″ _module_preset=”default” custom_css_main_element=”||h3 {|| font-size: 18px !important;|| margin-top: 1px!important;|| margin-bottom: 1px!important;||}||||.et_pb_text_0 h2 {|| line-height: 25px!important;||}||||h2 {|| margin-top: 3px!important;|| margin-bottom: 5px!important;||}||||.blog-toc ol, .blog-toc ul {|| list-style-type: decimal!important;||}||.blog-toc ul {|| list-style-type: disc!important;||}||||.blog-toc {||margin: 0!important;||}” global_colors_info=”{}” theme_builder_area=”post_content”]What types of customers do your fulfillment operations serve? Are you fulfilling orders for other businesses in business-to-business (B2B) or business-to-consumer (B2C) situations? Many warehouse operations fit into these two categories. And while business is steady, you may be thinking of ways to kick your profits up a notch or two.<\/p>\n
Direct-to-consumer (DTC) warehousing can be the boost your business needs to grow as we move into another new year.<\/p>\n
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DTC fulfillment is selling products directly to customers without intermediaries or third parties such as retailers or wholesalers. DTC sales typically happen online, and worldwide sales in this space grew significantly during the global pandemic<\/a>.<\/p>\n So, what’s the difference between B2B and DTC fulfillment?<\/p>\n Imagine you have 10,000 pencils you need to ship. In a B2B fulfillment environment, you would put those 10,000 pencils on a couple of pallets, load them onto a truck, and then the truck drives away. You have successfully shipped 10,000 pencils.<\/p>\n In DTC warehousing, you could receive 8,000 different orders for pencils from 8,000 different customers. Your employees must make 8,000 boxes to package those orders and print 8,000 unique labels to ship the orders. In the DTC fulfillment space, you’re constantly shipping to earn the same revenue, and the process is much more labor-intensive.<\/p>\n Another way to think about the difference between direct-to-consumer and business-to-business fulfillment is pieces versus cases. In DTC warehousing, you’re shipping smaller pieces to different customers, while in B2B warehousing<\/a>, you’re shipping larger cases to fewer customers.<\/p>\n Our shopping habits have changed over the last few years. From groceries to clothing to mattresses and cars, we can buy almost everything we need without setting foot in a brick-and-mortar store. In fact, ecommerce revenues are expected to reach $6.54 trillion in 2022, and 40% of manufacturers are already implementing a direct-to-consumer growth strategy<\/a>.<\/p>\nDTC Fulfillment vs B2B Fulfillment<\/h3>\n
Why DTC Fulfillment is Growing<\/h2>\n