We start this column by making this clear: Direct-to-fan is not the same as direct-to-consumer (DTC). We often find sports and entertainment brands talking about DTC without considering that they don't have consumers, but fans. And that changes the approach.
Fans are not necessarily consumers. And consumers are not usually fans of the brands they buy (think of your detergent brand). Sports and entertainment brands want their fans to also be consumers, while consumer brands would give an arm for their buyers to become fans. But neither of these two evolutions is simple.
A fan has an emotional connection with the brand that is distorted when the brand adds a transactional component. They feel that the club, athlete, or artist takes advantage of that feeling. And if not, just ask Willyrex, who was criticized from all sides for wanting to launch a collection of NFTs. Many of his fans considered that he was looking to make easy money at their expense.
The best of both worlds? A consumer brand that is also a love brand and has fans, not consumers. A status that sports and entertainment brands almost have by default, but very difficult to achieve in other areas.
Your logo/crest is not enough
Returning to our point -- How do you get these fan communities to become consumers without breaking the magic?
All you have to do is provide them with value. And ownership. So easy to say and complex to execute. Making them participate in the definition and evolution of the brand and creating top products that they want to consume at all costs.
Many times, these brands consider that the emotional connection will do all the work and fans will buy almost anything they put their logo on.
But we know that this does not provide real value. These brands must operate with the dynamism of a consumer-focused brand but very oriented to building and nurturing a community. Understanding their desires and needs and giving them tools to actively participate in their evolution.
This will allow the creation of strong brand narratives that articulate the organization, ensure that it matters, and facilitate the creation of products, services, experiences, and content that provide real value to a relevant set of these fans. Beyond what happens in the stadium.
With great power comes great responsibility
To achieve this, these brands have a great advantage and a terrible disadvantage. The advantage: they have fans! But with great power comes great responsibility. There is much more at stake when we talk about fans and not consumers. Loyalty is higher, but so are expectations. And acquisition is very complex. In sports, for example, it usually happens when we are children.
And now the disadvantage. Direct-to-fan activities are not usually the core business of these brands. They have other priorities: winning games or releasing albums, for example. This is not ideal for ensuring focus and prioritization to have the right level of resources and talent.
The result? Brands that are exploited below their real potential. In the case of football clubs, for example, they are often very recognized, but generate little B2C revenue if we compare them with often unknown consumer companies. The big question: Can the direct-to-fan operation be managed under the same roof as the sports area?
First-class direct-to-fan
You may like him more or less, but Kanye West is a master of direct-to-fan. He has just released his latest album, Donda 2, exclusively through the purchase of his own speaker, the Stem Player. It costs 200 dollars and allows you to play with the 4 tracks of the song (vocals, percussion, bass, and samples) isolating parts, adding effects, etc.
He has sold 1.3 million dollars worth in the first 24 hours of sale. Some have loved it, others have hated it, and many others have pirated it. What is clear is that it has left no one indifferent. Remember that they are fans, not consumers.
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