Direct-to-consumer (DTC or D2C) is a business model where brands sell their products directly to customers, bypassing traditional intermediaries such as wholesalers, distributors, and retailers. This approach allows companies to control the entire process from product development, marketing, sales, to fulfillment, often through their own e-commerce platforms or physical stores. The model is characterized by direct interaction with customers, enabling brands to build closer relationships, gather customer data, and provide personalized experiences.
Traditionally, products would pass through multiple stages—manufacturer, wholesaler, distributor, retailer—before reaching the consumer, with each step adding costs. The DTC model simplifies this by selling directly from the manufacturer or brand to the end consumer, often online, which can reduce costs and speed up delivery.
DTC has grown significantly with the rise of e-commerce and digitally savvy consumers who prefer authentic brand connections and personalized shopping experiences. Many well-known brands like Warby Parker, Dollar Shave Club, Glossier, and Allbirds have successfully adopted this model, often starting as digitally native brands selling primarily online.
In summary, DTC means selling products straight to customers without middlemen, leveraging online platforms to enhance customer engagement, reduce costs, and improve control over the brand experience and fulfillment