How DTC Evolves During And Post-COVID-19
Video Recap And Top Takeaways From Future Of DTC Pop-Up
COVID-19 is an accelerant for change, forcing the digitization of inundated industries. As consumers shelter in place for social distancing requirements, brands are strategizing new ways to reach them. One area we see a particular focus on is the Future of Direct-to-Consumer (DTC).
DTC is the creation, marketing, selling, and shipping of products by consumer brands, without a middleman. DTC is often defined by borrowed supply chains, web-only retail, direct distribution, social media marketing, and specific visual brand identity. We aren’t seeing just startups utilize DTC, but also legacy brands and institutions like pharma and health systems.
The COVID-19 pandemic has upended life as we know it, and the world of consumer retail is in the process of trying to figure out its new normal. Between how sudden everything changed and the uncertainty of when it will all end, there have been a lot of questions about what we’re all seeing in the market, best practices for brands, and the re-invention of the DTC business model.
We’re witnessing a personal wellness surge in DTC trends, like beauty & anti-aging, nutrition, fitness, and workplace wellness. eMarketer projects consumer spending on DTC brands will increase more than 24%, reaching $18 billion in the U.S. in 2020, despite “mounting challenges” created by the pandemic.
As longstanding brands see DTC models like Peloton emerge and succeed, will this DTC trend experience further growth? We’ve gathered innovators, thinkers, and disrupters from across the tech industry to help answer some of these questions. The agenda featured a panel of DTC veterans and a Chatroulette-style networking tool to meet and connect with new colleagues.
Speakers:
Lauralynn Drury, Advisor & Founder of DTC brands
Michael Ward, Venture Partner, Impact Venture Capital
John Gillis, Director of Strategy for Nike Direct (DTC), Nike
Joe Spector, Co-Founder & SVP Strategic Initiatives, hims & hers
Below is a video recording from the lively discussion. Listen to the innovators and founders discuss customers’ changing habits, health, how COVID-19 impacts eCommerce, retail, supply chains, digital transformation, and much more.
Top Takeaways
- There’s a surge in personal wellness and healthcare.
- COVID-19 has accelerated product and service launches.
- Winning trust will present new challenges.
- Reducing exposure to future risks.
- Building resiliency.
- COVID-19 surfaced new and interesting partnerships for they might not have previously considered.
- Consumer behavior may impact willingness to try out a new brand.
- Both big and small brands view COVID-19 as an opportunity to be more agile.
- The responsibility to customers extends to their end-users, practically and ethically.
- “No Humans were harmed in the production or delivery of this item to you.”
Thank you to all who attended and a special thanks to our speakers. Sign up for future events, and as always, sign up for our mailing list, follow us on Twitter or Medium, and stay tuned for future humble programming.
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Humble Ventures is a venture development firm that drives innovation forward in partnership with startups, established enterprises, and investors.
We focus on diverse entrepreneurs that are solving problems for the fastest growing demographic segments. We believe that diverse entrepreneurs provide opportunities for disproportionate returns and represent the markets of the future.
