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What is Direct-to-Consumer (DTC) Ecommerce?

Direct-to-consumer (DTC) is a sales strategy where manufacturers and consumer packaged goods (CPG) brands sell their products directly to their customers instead of selling them through

Published: May 27, 2023 12:28 PM

By Jeanel Alvarado

DTCGlossary

DTCGlossary

What is Direct-to-Consumer (DTC) Ecommerce?

Direct-to-consumer (DTC) is a sales strategy where manufacturers and consumer packaged goods (CPG) brands sell their products directly to their customers instead of selling them through retailers and wholesalers. Nearly 60% of online shoppers say they will go out of their way to purchase directly from a brand instead of a third-party retailer when possible.

According to eMarketer’s forecast, US DTC ecommerce sales reached $151.2 billion in 2022, an increase of 16.9% compared to 2021. This trend has been growing rapidly and research predicts that the DTC online market will reach $213 billion by the end of 2023.

This growth highlights the importance of understanding and embracing the DTC retail trend. One of the main reasons for this shift towards DTC brands is the benefits they provide for both customers and brands.

In fact, almost a quarter of shoppers believe DTC brands have better quality products, and over 60% believe they provide the best personalized and most engaging digital experiences, compared to traditional brands.

To succeed in this rapidly changing landscape, brands need to stay informed about emerging trends, technologies, and best practices…

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