In recent years, DTC brands have developed rapidly in the US market. This year, DTC brands such as Allbirds, Warbe Parker, and Caspe have either been listed or are developing rapidly, and their valuations have reached billions. The online celebrity brand Allbirds is valued at 2 billion, and Warbe Parker is also valued at 3 billion. In addition to being directly oriented to consumers, this type of DTC brand is also slightly different from other brands in shaping consumer concepts. For example, green consumption, lower prices, and the use of sustainable materials are ahead of other brands, and are consistent with the latest consumer concepts of the public.
According to consumer research firm GfK, in the past six months, as online shopping continues to gain popularity, DTC brands are becoming the mainstream model in the U.S. e-commerce market. According to statistics, fashion and skin care products are the most popular D2C categories among American consumers, accounting for 30% and 28% of the total, respectively. According to previous related studies, the clothing category has always ranked first.
According to Joe Beier, executive vice president of GfK, on the one hand, as the market cycles, DTC brands are becoming mainstream e-commerce brands while also establishing their own offline retail stores. Establishing offline retail stores is very important for the future development of DTC brands. On the other hand, traditional brands are transforming into DTC brands and establishing DTC platforms for their existing brands.
According to research, six out of 10 American consumers have purchased DTC brand products in the past six months, accounting for 62%. About 88% of consumers said they were satisfied with the products they purchased, and only 10% were dissatisfied.
70% of American consumers have switched from traditional brands to DTC brands in at least one category. 40% of American consumers will buy more DTC products and services after the epidemic, and only 13% will reduce their purchases. Research shows that cost-effectiveness, convenience, high quality, and customization have become the main reasons why DTC brands attract consumers, accounting for 37%, 48%, 36%, and 31% of the above attractions respectively. DTC USA E-commerce |
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