Disrupting the motorcycle industry

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DTC Case studies of manufacturing industries

The 3 case studies or examples of manufacturing companies that have disrupted their industry and connected directly with their customers by eliminating middlemen are Triumph Motorcycles, Canyon Bicycles, YT Industries, and Bonobos. Triumph Motorcycles ventured to business to consumers model through creating a seamless website and integrating features which help obtains a 23% increase in online revenue and 45% increase in mobile traffic. Additionally, Canyon Bicycles’ PPS (Perfect Position System) tool, 30-day return policy with no questions asked, and native speaking and technologically savvy customer service representatives gaining the company an almost €159,000,000 turnover each year plus online market coverage of 104 countries. Meanwhile, Bonobos 90%+ rate of responding to all phone calls within 30 minutes and support emails plus its free, no-questions-asked returns making the company a $310M brand.

CASE STUDY 1: MOTORCYCLE MANUFACTURING COMPANY

Triumph Motorcycles

OVERVIEW
DTC ACTIONS
  • Triumph Motorcycles uses a direct-to-consumer sales model.
  • They enable their direct-to-consumer sales "through integrations with UPS logistics, eBay and Amazon marketplace, motorcycles, parts, accessories, clothing, and merchandise sales are on one site, with the customer journey and supply chain logistics tracked from click to ship. "
RESULTS
  • Triumph Motorcycles's online revenue grew 23% in 2018 and their mobile traffic grew 45% in the same year.

CASE STUDY 2: TRANSPORTATION SECTOR

A. Canyon Bicycles

OVERVIEW
DTC ACTIONS
RESULTS

B. YT Industries

OVERVIEW
DTC ACTIONS
  • YT Industries began their direct-to-consumer model in 2015.
  • They sell their products exclusively through online sales "and thus arrive directly from the manufacturer to the customer."
  • Customers have commented that "their website is well-designed and easy to navigate, making it easy to purchase and address many questions that you have regarding the process and how to assemble."
RESULTS


CASE STUDY 3: ANY OTHER INDUSTRY

Bonobos

OVERVIEW
  • Bonobos an e-commerce-driven apparel subsidiary that Walmart began in 2007 in order to design and sell men's clothing directly to consumers.
  • Bonobos ships to Mexico, Peru, and Madagascar.
DTC ACTIONS
  • Bonobos aims to sell and distribute exclusively online on a global scale. (Source 10)
  • To mitigate customer's fears about ordering clothing online without the opportunity to try them on, the company offers free, no-questions-asked returns.
  • Because of this model, Bonobos encourages customers to order multiples of the same item in different sizes, and then return the ones that do not fit.
  • Business Insider reports that Bonobo's model of direct-to-consumer sales is “the best way to convince people to regularly buy clothes from a new online company."
  • Additionally, they wrote that Bonobos focuses "on a level of customer service other businesses didn’t offer.”

Bonobos achieved the following statistics overview the responsiveness of their support team:
RESULTS
Sources
Sources

Quotes
  • "Online stores such as Chain Reaction, Wiggle, JensonUSA and Competitive Cyclist all have international shipping, including both complete bikes, frames, components, parts and accessories."
  • "This has been a smart move by YT and a recent poll on pinkbike had suggested that YT was high on the wish list of many as their next bike, beating many well-known brands in the process. Their website is well designed and easy to navigate, making it easy to purchase and address many questions that you have regarding the process and how to assemble."
Quotes
  • "YT has been consumer-direct since its inception. YT acknowledges that consumer-direct sales are disruptive to bike shops"
Quotes
  • "Canyon, founded in 1996, has been distance-selling bikes directly to consumers from its very first day. Today, Canyon sponsors two pro-cycling teams and has grown to sell online in 104 countries, boasting a staff of 850 worldwide and has a turnover of close to €159,000,000 each year."
  • "“People were telling Canyon it’s impossible to sell bikes online. We have proven everyone wrong. The business model has worked for us for a long time now, and we have gradually built up an expertise in running an online business. For others to add an online channel is not that easy, everyone must find their own way,” Frank Aldorf, Chief Brand Officer at Canyon Bicycle"
Quotes
  • "Through integrations with UPS logistics, eBay and Amazon marketplace, motorcycles, parts, accessories, clothing and merchandise sales are on one site, with the customer journey and supply chain logistics tracked from click to ship."
Quotes
  • "Just summarized - the direct sales without intermediaries is the part of the puzzle that allows us to offer an exceptional price-performance ratio. "
  • "Our products are exclusively offered online and thus arrive directly from the manufacturer to the customer. The wholesale and retail margins associated with traditional sales models are not ours. We give this price advantage directly to you."
Quotes
  • "YT's growth in numbers has been impressive with turnover that has been doubling every year for the last few years."
Quotes
  • "Founded in 2007, Bonobos is the oldest company on our list of direct-to-consumer success stories. The now-subsidiary of Walmart launched with a simple premise: make a better pair of pants. Succeeding on that premise gave Bonobos clout with its customer base and kickstarted its growth."