Traditional products or services are delivered through online channels only, thus removing costs associated with running a physical branch infrastructure. Customers benefit from higher availability and convenience, while the company is able to integrate its sales and distribution with other internal processes.
How they do it: Dollar Shave Club is only availabe online through its website, eliminating the need for physical stores, in-person sales staff and paying vendor margins.
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How they do it: Nike’s online store has the latest collections and lets the customers order directly from and to their home. In addition, customers can customize their Nike products online.
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How they do it: Swatch sells directly via their website, Swatch.com, and in its retail stores.
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How they do it: Nintendo sells its game consoles, games as well as accessories via their online store. In addition games can be downloaded directly from the interface of the console only requiring a registered account and an internet connection. This channel allows Nintendo to avoid any distribution or physical production costs.
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How they do it: Blacksock’s subscriptions are purely available online, eliminating the need for physical stores and in-store sales associates.
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