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Week in numbers: UK CMOs expect DTC to account for 30% of sales in 5 years

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By Sam Bradley, Senior Reporter

September 10, 2021 | 5 min read

Pitch deck running low on hard numbers? Presentation slides looking a little bare? Allow us to help. Each week, we gather the insightful new research you may have missed to inform your work or inspire a new idea.

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Half of chief marketers in the UK said they expected DTC channels to make up a third of their sales in coming years

From the last week, new surveys shed some light on vaccine hesitancy in the States, the willingness of US workers to head back to the office, and attitudes from consumers and chief marketers regarding digital retail.

72% of Americans back vaccine mandates

Disqo, an audience insights platform, commissioned a survey of over 3,000 Americans about their confidence in the Pfizer coronavirus vaccine following the FDA finally approving it.

The survey offers some info on public support for vaccine mandates; 72% support compulsory vaccination for healthcare workers, 66% for school workers, 57% for entertainment venues and 54% back mandates for office workers. Interestingly, support for vaccine mandates correlates with education; 46% of high school grads support the mandates, compared to 63% from people with undergraduate degrees and 71% with postgraduate qualifications.

Hybrid working the preferred future for US workers

A similar, smaller AdColony survey of 300 workers in the US reveals some data on current workplace behaviors, also including vaccination attitudes. 75% of its sample had been vaccinated for Covid-19, with 10% saying they had no plans to become vaccinated – though 32% said their workplace had mandated vaccination. 49% were traveling in to physical workplaces, with the remainder split between fully remote and a mix of in-person and remote working; a mixed situation emerged as the preferred option for staff, at 44% approval (though there’s no data on which professions the sample are involved in). 13% say they’ll never come back to the office, while 37% expect to be back inside within the year. Further details on mask-wearing and ad recall can be found in the report.

South East Asian consumers eager for digital shopping

According to a study of 8,000 consumers across several regions from VMware, 41% of shoppers in South East Asia don‘t miss shopping in person. The survey found 54% of Singaporeans, 69% of Indonesians and 71% of Thais were ‘excited‘ about digital experiences and services taking on a greater role in their lives. The study suggests enthusiasm for retailers willing to embrace digital transformation in the region.

Brits find digital shopping troublesome

In sharp contrast, a survey from e-commerce provider Ve Global suggests Brits are reluctant to buy online – at least for categories such as clothing, food, cars and garden furniture – which were ranked as the most difficult categories for customer experience. Though with the seasons turning, they won’t have to worry about the latter again for quite some time.

Top reasons for difficulties were quality of browsing experience (25%), misleading specs (21%) and the lack of sales assistants for advice (21%). Further to that point, consumers want help from assistants most for the expensive stuff: white goods (37%), consumer electronics (37%), vehicles (29%) and beauty products (26%). The survey was conducted by Walnut Unlimited in August and used a sample of over 2,000 adults in Great Britain.

97% of chief marketers prioritize DTC sales

A study by ChannelAdvisor with 300 chief marketers at UK brands has found that 97% say DTC channels have become a priority during the pandemic; 47% say their brand is selling more as a result.

In fact, nearly half (46%) said they expected DTC to account for up to 30% of sales over the next five years. 16% expect DTC channels to account for 41-50% of their brand’s sales.

Furthermore, the study suggests use of DTC channels gives brands greater leverage with brick-and-mortar retailers. 90% of chief marketers said they were in a stronger negotiating position with partners than prior to the pandemic. Better data might redress that balance, with 42% of chief marketers in the sample saying they wanted more information from their retail partners.

Influencer marketers need to be in it for the long haul

Marketers should prioritize long-term relationships with influencers, says a new Forrester report called ’Stop Churning Through Influencers, And Start Building Partnerships’.

Based on a series of interviews with influencer firms, the report suggests strategic partnerships, rather than tactical ones, are the way to go – especially given the willingness of platforms to pay creators directly, and for brands to pay a retainer (rather than per post). “Influencers now have many ways to earn ... that the attraction of sponsorship cash, however, is about to be sorely tested,“ the report says.

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