The state of DTC in 2025 shows brands shifting away from relying solely on platforms like Amazon and Walmart, instead investing in first-party data, owned channels, and direct customer relationships to build long-term value.
In 2025, the DTC model isn’t just growing, it’s evolving.
Brand owners are expanding beyond DTC websites and into social platforms, retail media networks, and influencer partnerships to reach high-intent shoppers.
As social commerce (53%) led in early 2025, influencers (70%) and retail media (59%) are now taking the lead, signaling a shift in where conversions truly happen.
The message is clear: relying on one channel won’t cut it anymore.
State of DTC in 2025 - A Landscape of Evolution, Not Extinction
Statista"In 2024, direct-to-consumer (D2C) sales in the United States are projected to reach $213 billion, marking a significant increase of approximately 178% since 2019."
Recent discussions have questioned the future of direct-to-consumer business models. However, in a recent episode of the Adweek Podcast, Bianca Bolouri of Wella Company explained that DTC’s role has simply evolved into a powerful engine for brand building and loyalty.
This perspective was also shared by Eze Vidra in his article at VC Cafe, where he argued that DTC is not dying but adapting to a new era. He points to Unilever’s recent $1.5 billion acquisition of Dr. Squatch as clear evidence of the model’s continued value.
Unilever’s interest in Dr. Squatch highlights the new priorities for successful DTC brands. The company was drawn to the grooming brand’s valuable first-party customer data and its proven ability to turn social media buzz into measurable revenue.
The financial outlook supports this narrative of robust evolution. The global DTC e-commerce market is projected to grow from $162.91 billion in 2024 to $595.19 billion by 2033, with U.S. sales alone expected to reach $212.9 billion in 2025.
A fundamental change driving this landscape is the shift away from the venture capital-fueled “growth at all costs” mindset. The new focus for DTC brands is on sustainable profitability, operating income, and creating positive cash flow.
This evolution is defined by several key strategic shifts that successful brands are now implementing:
Omnichannel Integration
Successful brands are moving beyond a pure DTC website, blending their online presence with retail partnerships and marketplaces to meet customers wherever they shop.
AI as an Essential Tool
Artificial intelligence is no longer an experiment but a core component for hyper-personalization, analyzing customer feedback, and improving operational efficiency.
First-Party Data as a Core Asset
With third-party cookies fading, brands are prioritizing the collection of their own customer data through quizzes, loyalty programs, and direct feedback to build relationships.
Supply Chain Resilience
Brands are increasingly exploring nearshoring to manufacturing hubs in Mexico and Central America to create more resilient supply chains that can withstand global uncertainty.
Deep Creator Partnerships
The model is moving from one-off sponsored posts to long-term partnerships with influencers, who are now deeply integrated into brand-building and marketing strategies.
Community-Centric Brand Building
The most successful brands are building strong communities through compelling stories and user-generated content, reducing their reliance on costly paid advertising.
Keep Up with the Trends to Optimize Growth from DTC
As the direct-to-consumer landscape continues its rapid evolution in 2025, staying ahead of key trends is critical for any business looking to maximize its growth potential. Insights from industry leaders Shopify reveal a clear shift towards more sophisticated strategies involving data ownership and complex omnichannel sales.
For many brands, navigating this new territory, especially when integrating with major online marketplaces, often requires the expertise of a specialized Amazon agency to ensure a seamless and profitable customer experience across all channels.
2025 DTC Trend - Building Trust with Zero-Party Data
While 71% of consumers demand personalization, they are also increasingly concerned with privacy. As traditional ad tracking fails, successful brands are meeting this need with zero-party data, which customers share willingly.
This strategy allows brands to build trust while gathering valuable insights for personalization. Actionable methods to collect this data include:
- Interactive quizzes that offer tailored product recommendations.
- Engaging polls on social media or via email.
- Post-purchase surveys to gather direct feedback.
2025 DTC Trend - Optimizing for AI Discovery
AI is now central to DTC shopping, with ChatGPT topping app charts and 400 million weekly users. Half of Gen Z shoppers use AI to research purchases.
AI tools now display product images, reviews, and buy links based on user preferences. To stay visible, brands must optimize for AI discovery.
Key actions include:
- Being present on DTC websites, Reddit, YouTube, and review platforms
- Gathering reviews across Yelp, Trustpilot, and Google
- Syncing product feeds with Facebook, Instagram, Google Shopping, and YouTube
AI drives discovery, but loyalty programs turn one-time buyers into repeat customers.
2025 DTC Trend - Driving DTC Growth with UGC
The creator economy has exploded, and consumers now rely on everyday voices -friends, influencers, and strangers for purchase decisions. Polished brand content is being replaced by relatable, self-shot videos that feel real.
DTC brands are gaining traction through authentic storytelling, especially on TikTok and Instagram. Tools like Bounty help brands collect genuine UGC from actual customers.
Quick tips:
- Use real customer videos on product pages and ads
- Offer incentives for user-submitted content
- Focus on storytelling, not studio polish
- Post across TikTok, Instagram, and Facebook
This shift isn’t a trend, it’s the new standard for DTC growth.
2025 DTC Trend - Leveraging Affiliate Marketing to Grow with DTC
Affiliate programs are gaining traction as consumers trust peer recommendations over branded ads. DTC brands are using this channel to grow sales with lower risk.
Unlike paid ads, affiliates are only paid per sale, making it cost-effective and performance-driven. Micro-influencers now play a key role in building trust and conversions.
Moonboon’s program spans 300+ creators in five markets, driving 10% of sales with a 6.5x ROI. Their success comes from vetting creators for brand fit and engagement.
Action Steps:
- Start an affiliate program with set commissions
- Use Shopify Collabs to vet and manage creators
- Focus on authentic, mission-aligned content
2025 DTC Trend - Founders Becoming Influencers
More DTC founders are becoming in-house influencers to build trust and boost visibility. Instead of relying solely on paid partnerships, they share their journey directly with customers.
Behind-the-scenes content and personal storytelling help humanize the brand and deepen customer connection. This approach turns the founder into a relatable face that drives engagement and long-term growth.
How to Keep Up:
- Share your business journey on TikTok or Instagram
- Post real, personal content beyond product promos
- Use your personal account to build audience trust
2025 DTC Trend - Smart Pricing Tactics for an Inflation-Hit Market
With inflation squeezing budgets, over half of consumers now expect discounts or plan to delay spending. Blanket price cuts, however, can harm brand value.
DTC brands should focus on smarter, value-driven strategies:
- Dynamic pricing adapts to trends and shopper behavior in real time.
- Smaller product sizes lower the entry point for new customers.
- Exclusive deals for loyal buyers boost margins and retention.
These approaches protect profitability while meeting changing customer expectations.
2025 DTC Trend - Driving Sales with Exclusivity and Customization
Wholesale expands reach, but DTC gives brands control over pricing, customer experience, and margins. It also unlocks first-party data for personalization.
To drive more value from DTC, brands are offering exclusives and customization. Nearly 30% of shoppers buy direct for access to unique products.
Buyers now expect personalization in their shopping experience. Offering tailored options builds loyalty and increases conversions.
2025 DTC Trend - BNPL to Drive Conversions
Despite inflation, shoppers are still buying, just more carefully. Buy Now, Pay Later (BNPL) offers flexible payments without interest, easing purchase decisions.
BNPL spending hit $686.3M during Black Friday-Cyber Monday 2024, up 8.8% from 2023. By 2028, 30% of the global population is expected to use it.
DTC brands can easily adopt BNPL using built-in tools like Shop Pay Installments. No extra coding is needed, and sellers still get paid upfront.
Offering BNPL can:
- Boost conversions
- Increase average order value
- Reduce cart abandonment
- Build customer trust
2025 DTC Trend - Targeting Gen Z Shoppers
Gen Z has overtaken Millennials as the dominant force in DTC spending. Their digital fluency, higher household income, and desire for convenience shape how and where they buy.
This generation, raised on smartphones and social media, is more willing to purchase directly from brands. They make up 25% of all U.S. social media users and expect fast, seamless shopping experiences.
Gen Z consumers prioritize self-expression and are drawn to brands that align with their identity. DTC brands like Starface tap into this by creating products that are both functional and visually shareable.
To capture Gen Z’s attention, DTC brands should:
- Build strong social media presence
- Offer mobile-first, fast-checkout experiences
- Focus on personalized, values-driven branding
- Create products that double as social content
Invesp"Many DTC brands are also adopting sustainable practices to appear to the new-age, environmentally-conscious consumer."
