The D2C revolution in India arguably began with the Liberalization in the Early 1990s that gave rise to several manufacturing oriented companies to sell to customers through mail orders and via other forms of direct advertising through newspapers or other print media.
However, D2C as a business principle only really began gaining traction after the booming usage of the internet globally, and, in India. The rise of newer technologies in supply chain management, manufacturing and online cataloging alongside digital advertising acted as a strong backbone to support this shifting business model, especially since the last couple of years .[Read more Here].
This change resulted in positive outcomes for both the consumers as well as the suppliers themselves. The consumer benefits due to a direct reduction in cost as many middlemen are automatically eliminated from the supply chain, the reduction in margins are partly passed onto the customer directly. Another benefit for the customer stems from the ability to avail customizing options directly from the factory operations itself.
However, a bulk of the benefits of this model are reaped by the suppliers, who can either be the selling entity or a supplier that represents the selling entity.
Since 2015, consumer durables, food and beverages, home furnishings and health and wellness are some of the industries that witnessed a wave of businesses turning towards this model. In recent times, several garment and apparel companies like Bewakoof and Bombay Shirt company have also entered this space.
While apparel companies like Rustorange have also been betting big on this model, their scale is much smaller and their target audience is also a rather small niche from the total addressable market.
This is precisely where early stage E-tailers like Monastoor.com aim to help discerning women pick saree sets at the right price, in the right design and style by sourcing unique designs directly from craftsmen, khadi weavers and artisans from every popular garment hub in India.
Through exclusive partnerships, arrangements for last mile logistics and best-in-class supply chain practices, we’ve managed to make a dropshipping-like model work in an efficient manner and are confident in such a D2C approach, Akshay Prabhale, the founder of Monastoor informed TechStory.
The company is now in the fray to increase their catalog size in order to service the depth of choices when it comes to Indian Sarees. This includes sourcing the garment in a myriad fabric types; including cotton, silk, georgette, chiffon and linen: types; including Paithanis, Bandhanis. Kanjeevaram, Gadwal, Assamese, Patola, Khun, Jamdani and more.
Given that the consumer’s preferences and likelihood of buying is directly correlated with the availability of preferred designs, the company is actively stocking saree wear in a plethora of prints, border styles, contrast blouses and colours that can be used for wedding functions and party occasions.
While there is no one-size-fits-all solution in today’s digital ecosystem and multiple E-commerce websites that act as aggregators, direct sellers and affiliates are likely to continue to thrive while serving different types of consumers; time and the market response will tell how much of an impact this creative model will have on the saree market in India.