How Can D2C Brands Use Data to Grow E-commerce Sales?

How Can D2C Brands Use Data to Grow E-commerce Sales?
Mangesh Panditrao - CEO and Co-Founder, Shoptimize
The article is contributed by Mangesh Panditrao - CEO and Co-Founder, Shoptimize.

Propelled by the incumbent pandemic, online shopping has gained immense traction over 2020 and 2021, and the positive ripple effect is still being seen in the e-commerce industry. Throughout this period, e-commerce and omnichannel businesses innovatively leveraged the digital avenue to manage their offline stores and sustain themselves in the pandemic-battered business environment. However, with the rising competition, the next phase of success for e-commerce companies will be led by a deep understanding of the target market and meaningful connections with the customer. This is where data comes into effect.

Significance and Benefits of Data in E-commerce

Data Assist Brands Stay Updated With Crucial Business Insights

The overarching goal of every business is to increase its revenue. To accomplish that, the brand must make the right decisions at the right time, which can be done efficiently by analyzing data. Insights driven from consumer-centric data can help brands understand how the company is being perceived by customers, how the brand is performing in different markets, and the improvements required to maximize profits. This allows businesses to serve consumers, grow revenue, and improve operations.

Enables Brands to Provide Personalized User Experiences

Understanding how customers interact with your company is critical to determining what appeals to them. As a result, e-commerce companies might leverage data analytics to better understand their customers’ needs and improve their end-to-end purchasing experience through personalization. For instance, various platforms use data to understand customer demographics and tailor their marketing messages to suit different cohorts of consumers.

Helps in Making Data-Driven Decision

Customers’ needs are constantly changing, and with many brands available, they have more options than ever before. And to keep up with the ever-evolving needs of the consumers’ D2C brands will need to focus on improving their capabilities. Hence, data-driven decision-making is necessary for success. Brands may track their customers’ preferences through data and analytics based on factors such as location, demographics, and online behaviour. An evidence-based data enables brands to make informed decisions and thoughtfully prepare to achieve their objectives.

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How Brands Can Leverage Data to Increase E-commerce Sales

Converge Data From Various Platforms and Channels

Ever since doing business went digital, the amount of data it has been generating on the side continues to get bigger and bigger every day. Analyzing this data to make critical decisions becomes overwhelming for internal teams and marketing companies. It requires a highly specialized skill set and cutting-edge technology to gauge insights and aid quick, efficient decision-making. E-commerce analytics helps brands quickly and easily gather data in one place, break down data silos, and increase productivity, efficiency, and business agility.

Join the Dots Between Your Customers and the Numbers

Simply collecting data and not being able to use it results in wastage of money and time. After the data is collected, data analytics gives a detailed view of the big picture; it also looks at relationships and patterns among several of its components before delivering business insights. Hence, one way of achieving this is through unified data analytics. Unified data analytics is basically a process that merges data processing with cutting-edge artificial intelligence to deliver business insights and outcomes.

Know When to Take Action

Seasonality and trends can play a significant part in your efforts to provide your consumers with the most seamless experiences possible. As a result, it’s essential to consider and maintain a close check on trends to take timely action. Understanding seasonal patterns & trends might assist you in determining how things will pan out throughout the year. As a result, you’ll be able to focus on the right products that are available at the right time so that customers’ expectations are met.

Reading Data to Understand Websites Shopping Behavior Flow

To understand the website’s shopping behaviour flow, you can monitor how a customer lands on your site, browses through products, adds them to the cart, and checks out. Sifting through this data will help you understand your website’s purchasing behaviour flow and reveal where customers are more engaged and which paths lead to conversions. Furthermore, it will draw attention to what isn’t working. This will allow you to read your visitors’ minds by observing their behaviour and better cater to them.

Use Data to Track Your Product Performance

It’s critical to look at detailed product data for both marketing and sales tracking. It helps in understanding the price band for different consumer segments. How are individual products performing & figuring out the bestsellers and the low-performing products. This allows businesses to devise the marketing campaigns accordingly. Furthermore, keeping track of returns and refunds helps improve the product’s quality. This approach can help an e-commerce business improve its services and quality, increase revenue, and improve operations.


Data is critical for businesses to thrive in this digital age. So, it’s high time that companies start making data-driven decisions to succeed at online selling. Integrating e-commerce analytics across the customer lifecycle is essential for creating a competitive customer experience. These findings will help brands improve the discovery, acquisition, conversion, retention, and advocacy process.

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