Mail order company definition
A mail order company, also known as a direct-to-consumer (DTC) company, is a business that sells products or services directly to customers through the mail or online, without the use of intermediaries such as retailers or wholesalers. Mail order companies typically operate by:
- Creating a catalog or website that showcases their products or services.
- Receiving orders from customers through mail, phone, or online.
- Processing and fulfilling orders by shipping products directly to customers.
- Providing customer service and support to customers.
Mail order companies can operate in various industries, such as:
- Retail: selling clothing, accessories, home goods, and other consumer products.
- Healthcare: selling medical equipment, pharmaceuticals, and health supplements.
- Subscription services: offering recurring deliveries of products such as books, magazines, or beauty products.
- Educational: selling educational materials, courses, or online training programs.
The benefits of mail order companies include:
- Convenience: customers can shop from the comfort of their own homes.
- Wide reach: mail order companies can reach customers across the country or even globally.
- Cost-effective: mail order companies can reduce costs by eliminating the need for physical storefronts.
- Targeted marketing: mail order companies can target specific customer segments with tailored marketing campaigns.
However, mail order companies also face challenges, such as:
- Competition: with the rise of e-commerce, mail order companies face increased competition from online retailers.
- Customer service: mail order companies must provide excellent customer service to build trust and loyalty with customers.
- Returns and exchanges: mail order companies must have a clear returns and exchanges policy in place to handle customer dissatisfaction.
- Shipping and logistics: mail order companies must ensure timely and efficient shipping to maintain customer satisfaction.
Examples of successful mail order companies include:
- Amazon (online retailer)
- QVC (home shopping network)
- L.L.Bean (outdoor apparel and gear)
- Harry & David (gift baskets and gourmet foods)
- 1-800-Flowers (florist and gift delivery)