The dream D2C stack: $2m edition
Here's the D2C stack you need to get to the next level
At this stage - You’re kicking ass. You’re roughly making $2m a year, so roughly $150k / mo in revenue and processing 1,000-5,000 orders a month in D2C depending on your AOV.
I’ve worked with a number of teams at this stage in their business, and it’s the point at which the barebones systems are relatively stable and you might look for additional efficiency in your operation. You have a bit of breathing room and can shop around for tools to get to the next milestone: $5mm ARR perhaps. Btw - You may have existing constraints based on your location, your fulfilment setup, your product regulations - But for the most part, this stack can definitely be applied to you - especially if you’re running on Shopify. Without further ado, here is:
The dream D2C stack for a $2m D2C
You’ve (hopefully) been on Klaviyo since day 1 - but just in case you haven’t, this is absolutely the tool of choice to send all your automated messages as well as campaigns from. There’s still a lot of room for improvement from Klaviyo - but they’re chipping away at it. They raised $200m less than a year ago, so it’s coming. For ex: I would have normally suggested a separate SMS tool like Attentive, but their brand new SMS capabilities are quite strong already. Check out this great video on the flows you should set up.
It’s really these Okendo or Junip that do it for me. There are actually 2-3 other great tools to look at (which I review in this post) but these 2 are my go-tos. The review capturing capabilities for both the tools are exemplary, the designs can be customized, the support teams are top notch and they integrate with almost every tool in this stack.
No need to do much digging here either - Gorgias is simply much more powerful than alternatives, it’s also packaged in a much cleaner UI, and has clutch direct integrations to tools like ReCharge and Okendo (see below). Those deep integrations help you answer queries extremely efficiently and free up your Customer Support ressources.
I must say - ReCharge is back on top. I was desperately looking for alternatives in the past year, but since summer 2021, they’ve just executed perfectly to integrate with the Shopify subscription API’s and have created easy, yet sophisticated customer portals for customers to edit their subscriptions. You can feed data straight into Klaviyo email and SMS to send crucial “upcoming order” or “pause/edit/cancel” messages. What’s more is that businesses are now being built on top of ReCharge because of how popular they are. Check out Rebundle which helps create bundles via Recharge as an example. If you’re running subscription - this is it.
This one is slightly more controversial. I’ve only seen Triple Whale live with one business I worked on, but they absolutely loved it. And then I read more and more reviews from great D2Cs like Crossnet - and they all love Triple Whale. I then met their team and reviewed their tool - it’s very solid and most importantly, it’s got no crazy bells & whistles. It’s just simple, and tells you all you need to know: CLV, ROAS and all that good stuff. Check out this post if you want other analytics suggestions.
For the first time, you now have enough volume to see an impact on the referral front. The referral marketing space still has a lot of room for improvement: All the successful D2C’s are paying thousands of dollars for tools like Friendbuy and Talkable - but for the young, energetic, daring and nimble D2C like yours - there’s one that stands head and shoulders above the rest: Conjured. Conjured’s got a simple UI, great on-site design, a good support team, all the key functionality you want + good pricing. So go with that ;)
You may have never of the term WISMO - but you’ve for sure experienced it: “Where is my order?” - That might represent 80% of your Gorgias tickets - let’s get rid of all that drama altogether with Wonderment. Wonderment has API connections to all the logistics and delivery providers so you have real-time data on all your orders. You feed that data directly into Klaviyo and your SMS tool (also Klaviyo) so you can send texts like “Oh snap! Your order is going to be 2 days late, sorry about that - we’ll text you once it’s almost at yours”. What’s more is you can host a clean Order Tracking page on your site for your customers to not even have to go through your CS to check on their order status.
Total cost = $1780/mo or 1.18% of your monthly revenue*.
*You also have to pay Shopify - don’t forget that.