Creativity Isn’t Enough: Durex’s D2C E-commerce Harnesses Fan Economy for Accelerated Brand Monetization | 91APP

Creativity Isn’t Enough: Durex’s D2C E-commerce Harnesses Fan Economy for Accelerated Brand Monetization

Industry:
Category:

Durex, a global leader in the intimate wellness industry, is known for its creative marketing campaigns that generate social buzz, such as “The Sex DJ (愛愛做音樂)” for Valentine’s Day and the “The Game of Sex (大人的床遊)” card game launched in Taiwan in 2022. Apart from these short-term eyeballing promotional tactics, Durex has been ahead of the transformation in D2C (direct-to-consumer) e-commerce and has accumulated nearly 170,000 digital members in Taiwan since 2018. The key advantage for its long-term sales growth is leveraging its fan economy effects.

 

A Taiwan-born Foreign General Manager Leading Durex’s E-commerce Transformation

During the interview, Boudewijn Feith, General Manager of Reckitt Hong Kong and Taiwan, Durex’s parent company, shared Durex’s brand strategy. Boudewijn shared photos of his childhood in Taiwan as an introduction, reminiscing about his early years.

 

Boudewijn is well-acquainted with Taiwanese consumer behaviours. “Compared to consumers in Europe and the US who rely on comprehensive e-commerce platforms like Amazon, Taiwanese consumers are highly receptive to D2C e-commerce. They are willing to interact closely with brands and enjoy member-exclusive benefits. To be well integrated into Taiwanese life, we linked our e-commerce with our official LINE account,” he explained.

 

Localisation and consumer-centric brand management are essential for Durex to maintain its No. 1 market share in Taiwan, and combining rational promotional offers with emotional brand communication helps solidify consumer mindshare. For example, when you check out Durex’s LINE account, you receive personalised promotional messages, as well as listen to the “Talk about Sex (談性時間)” podcast, where influencers discuss their views on relationships and intimate wellness. In 2022, Durex made a new attempt to use social media platforms and D2C channels to manage content and fan engagement.

 

 

D2C Brand E-commerce Tripled in Four Years, Building Member Management Cycle with High Efficiency

In the FMCG sector, products are mainly distributed through retail chains, and only some brands actively venture into D2C operations, as most sales are generated from traditional retail channels. Building a member base requires a long period, and developing e-commerce is not guaranteed to yield significant returns in the short term.

 

In contrast, Durex established its e-commerce website and APP in Taiwan in 2018, accumulated nearly 170,000 members and achieved a D2C growth rate of over 300% in four years by August 2022. Other Reckitt’s brands, namely Dettol in the hygiene sector and Move Free in the VMS sector, have also set up e-commerce platforms in Taiwan to engage with consumers directly. Boudewijn indicates, “Our venture into D2C aims to establish a long-term brand strategy, ensuring consumers can seamlessly interact with our brands wherever they are.”

 

Durex is expanding its market share on major e-commerce platforms and retailers to accelerate digital sales growth while collaborating with 91APP to develop a D2C brand e-commerce strategy that nurtures member mindshare and enhances customer lifetime value.

 

Doris Lin, Head of Marketing of Reckitt Taiwan, said, “Our must-have criteria for choosing a D2C platform partner are a smooth backend operation and the ability to acquire and retain users to achieve sales growth. A seamless mobile shopping experience is also crucial for enhancing member loyalty.” Since 2018, Durex has adopted 91APP’s e-commerce system to create a comprehensive D2C growth plan that uses data-driven operations to enhance e-commerce effectiveness and integrates the advantages of APP and official LINE account member management to seize market opportunities.

 

 

Durex Uses Data-Driven Marketing to Cultivate High-Repurchase Members with APP and LINE

As of July 2022, Durex has accumulated 170,000 brand members, with nearly a quarter repurchasing more than twice. One key to this high repurchase rate is Durex’s usage of different D2C channels to effectively push various customer groups through the marketing funnel into the sales cycle.

 

Doris further analysed, “Our official website mainly drives new member acquisitions, while VIP member repurchases mostly come from APP, which has a 10x higher conversion rate than our website. The official LINE account is suitable for personalised brand interactions, providing consumers with relevant messages and promotional content to increase purchase rates.”

Durex uses its APP to engage in targeted communication based on different customer needs. This is combined with VIP events to create a sense of exclusivity, boosting member loyalty and repurchase rates.

 

In addition to reaching out to consumers through multiple digital channels, Durex further seizes value and opportunities from consumer behaviour data. The team analysed various dimensions from the e-commerce backend to develop more effective segmented communication strategies, such as product preferences, purchasing cycles, and member activities. Boudewijn said, “The consumer data collected through e-commerce helps us to communicate with consumers precisely and fully utilise our marketing resources.”

 

For example, Durex’s Valentine’s Day campaign 2022 focused more on sustaining growth in member engagement apart from leveraging creative marketing. The team designed exclusive activities for new and existing members with personalised messages sent via APP and LINE, which significantly increased conversion rates and average order value, with a 25% year-over-year increase in average order value.

 

 

Combining Technology and Experience to Strengthen Consumer Relationships and Achieve “Brand Monetisation”

Having deep roots in the Taiwan market, Durex holds the top position in market share. Given Taiwan’s high purchasing power, the company plans to introduce more brands into the local market.

 

Boudewijn revealed future development plans, “We are exploring new technologies, such as AI and CRM member data, to understand consumers better and predict consumer purchasing behaviour apart from e-commerce development. We aim to enhance lifetime value from consumers.” In-depth technology applications can also elevate corporate social responsibility. Thus, Reckitt maintains high data security standards and surpasses market norms to ensure a safe and convenient shopping journey for consumers.

 

Rather than passively waiting for consumers on shelves and platforms, actively engaging and cultivating deeper consumer relationships is more effective. Over the past few years, Durex has accumulated extensive D2C experience, creating experiences tailored to Taiwanese consumers and effectively monetising brand power to accelerate growth.