A Closer Look at DTC Brands’ Growth

March 9, 2020

Direct-to-consumer (DTC) brands continue to take the world by storm. These forward-thinking advertisers are everywhere, transforming the way millions of people think about, research and ultimately purchase anything and everything: beauty products, home goods, travel, you name it! Most of these digital natives established themselves through targeted, aggressive online marketing efforts, these brands continue to flock to TV—not necessarily for reach (though that certainly doesn’t hurt), but largely for performance.

As 2020 continues, DTC brands’ move to cross-screen TV now includes local TV. Specifically, an ever-growing number of DTCs are experimenting with local TV to fully maximize performance, hyper-target metro areas and expand into new regions—all while complementing (or, in some instances, enhancing) existing national campaigns.

As DTCs are expanding their TV buys to include local alongside national, the DTC vertical itself also continues to grow. The VAB (Video Advertising Bureau) has released a new marketer’s guide on DTC companies called, “Deciphering Direct-to-Consumer: An Insider’s Guide to America’s Fastest Growing Brands.” This guide takes a deep dive into why DTC brands across categories are finding success with consumers, the core characteristics of a “DTC shopper”, how these brands are consistently evolving strategies as they continue to mature and more.

Meanwhile, the IAB also released a new report, “Brand Disruption Study 2020: Direct Brands Go Mainstream." It features the IAB’s latest list of the 250 most disruptive DTC brands and services to watch, examines the overlap of content, data and commerce and examines why the direct relationship that DTC brands have established with their customers should not be ignored.

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