Zero Party Data in D2C eCommerce with Jon Ivanco

Blues Brothers Podcast

In this episode, Nathan and John Ivanco (founder of Formtoro) discuss the concept of D2C as a channel, the cost of retail and ad costs, the commoditisation of products, the role of media figures in pushing brands, the value of zero-party data, and the overhyped KPIs in marketing. They also delve into the challenges of attribution and the limitations of attribution software. Overall, the conversation highlights the need for a customer-centric approach and a focus on branding, messaging, and understanding the customer journey.
Takeaways

• D2C should be seen as a channel rather than the entire brand.
• The cost of retail is often equivalent to ad costs, and the advantages of being D2C have diminished.
• The commoditization of products is leading to a shift in the market, with brands focusing on branding and nostalgia.
• Media figures can play a significant role in brand acquisition.
• Zero party data collection can provide valuable insights for marketing strategies.
• Overhyped KPIs, such as ROAS and conversion rate, should be considered in the context of other metrics. Focus on profitability and avoid chasing KPIs that don't align with profitability.
• Keep pop-up offers simple and use coupons and discounts strategically.
• Rethink attribution and focus on branding, attitude, and messaging.
• Build a brand with limited releases and a focus on customer data.
• Collect and leverage zero-party data to better understand and serve your customers.

Chapters
00:00 Introduction and Background
05:21 D2C as a Channel
10:05 The Cost of Retail and Ad Costs
13:26 The Commoditization of Products
16:18 Unique Value Proposition in Fashion Brands
23:29 Data Collection and Insights
25:33 The Value of Zero Party Data
29:30 Overhyped KPIs
33:06 The Problem with Chasing KPIs
33:39 Structuring a Pop-Up Offer
35:07 The Importance of Coupons and Discounts
36:05 Attribution as a Company Journey
37:52 Branding, Attitude, and Messaging
38:21 Understanding Sales Attribution
39:27 Rethinking Acquisition and Branding
40:30 The Importance of Messaging in Ads
41:47 The Limitations of Attribution Software
42:38 Building a Brand in E-commerce
44:04 The High Failure Rate in E-commerce
45:13 The Importance of Product Packaging and Shipping
46:12 The Strategy of Limited Releases
48:28 Avoiding Failure in E-commerce
51:19 The Value of Collecting Customer Data
55:27 The Limitations of Predictive Analysis
58:15 The Power of Zero-Party Data