Proctor & Gamble launches direct to consumers eCommerce store

This comes as No surprise that another manufacturer (P&G) is adopting the direct to consumer business model by launching their own eCommerce store http://www.pgestore.com/   P&G's e-store comes as other package-goods marketers are also ramping up e-commerce efforts.  The store is currently in beta but has a fully integrated marketing campaign that includes a heavy dose of Social Media. 

According to Advertising Age, for the latest venture, P&G is adding touches such as product ratings, shopper feedback forums for users to share tips and links to its Facebook brand fan pages, through which consumers can buy products directly.  Did I just here, Social Shopping?  The e-store is meant to be a "living learning lab" for e-commerce capabilities, the company said in a statement. Online retailing has been a high priority for P&G Chairman-CEO Bob McDonald since he took the company's top job last year.  While P&G today gets less than 1% of sales online, or $500 million, Mr. McDonald has said he sees no reason the company can't increase such sales tenfold.

Manufacturers direct to consumer eCommerce

This business model strategy was attempted during the first big dot.com wave but fizzled out with lack of proper technology platforms and tools in addition to bitterness from retailers/dealers.  But now the wave is back (Increase in number of manufacturers request to WCN Group for eCommerce strategy solutions).  *Interesting to note that manufacturers that I had discussions with several years ago who were resistant to ecommerce are now the ones frantically calling. 

Manufacturers who adopt the eCommerce business model will find success this time around because the tipping point for shopping online has been reached (customers are confident).  Ecommerce platforms are universal and most notably, the social media and social shopping (experience) aspect.  Customer will not have to leave their comfort zone in order to shop and purchase products.  As an example, they can stay on Facebook, ask their friends what to buy and for a review, than click and purchase.  It is that easy!