Direct-To-Consumer Market Size, Share, and Industry Analysis, By Type (Fashion & Apparel, Beauty & Personal Care, Health & Wellness, Home & Living, Food & Beverage, Electronics, and Others), By Distribution Channel (Offline Stores and Online Stores/E-commerce), and Regional Forecast, 2024 – 2032

The direct-to-consumer (DTC) market refers to companies selling their products directly to consumers through offline & online channels without intermediaries such as retailers and wholesalers. It allows companies to have full control over their branding, pricing, and customer experience.

The growing disposable income among the middle-class population, leading to increased discretionary spending power, boosts the market growth. In addition, with rising disposable income, consumers are usually more willing to spend on non-essential items, including premium and lifestyle products. Furthermore, the demand for luxury products is gaining significant traction owing to the growth of HNI (High net worth) individuals worldwide and consumers' strong brand loyalty. According to Forbes, an American business magazine, there were over 2,668 billionaires globally in 2022.

The increasing number of residential units, including houses, condominiums, and apartments, coupled with rapid urbanization, propels the market growth. The demand for various products, such as home appliances, home décor & furniture, and groceries, is rising significantly owing to the growing number of residential units and the increasing population worldwide. Moreover, the growing availability of smart and eco-friendly products boosts the demand among tech-savvy eco-conscious consumers.

The COVID-19 pandemic had a severe impact on the direct-to-consumer market in 2020. Governments across countries imposed global lockdowns in 2020, which resulted in the closure of all retail stores. In addition, the lockdown led to disruptions in the supply chain, including transportation restrictions. Moreover, the closure of retail stores boosted the popularity of online shopping.

Segmentation

Key Insights

The report covers the following key insights:

• Overview of the overall direct-to-consumer industry


• Supply Chain Analysis


• Industry SWOT Analysis


• Porter's Five Forces Analysis


• Recent Technological Advancements

Analysis by Type

Based on type, the global direct-to-consumer market is segmented into fashion & apparel, beauty & personal care, health & wellness, home & living, food & beverage, electronics, and others. The fashion & apparel segment is anticipated to dominate the market in the coming years owing to increasing product availability coupled with the growing popularity of gender neutral clothing and rising disposable income. Furthermore, increasing environmental awareness among consumers across the region boosts the demand for products made using sustainable materials. Various key industry participants are focusing on launching new products to diversify their product portfolio. For instance, in October 2021, Levi's, a California, U.S.-based clothing company, launched its new range of Levi's 501 jeans. According to the company, the new range is made using organic cotton and post-consumer recycled denim.

The electronics segment is expected to grow significantly over the forecast period owing to the growing population and increasing number of households globally. Moreover, the rising availability of smart products with technologically advanced products boosts the product demand among tech-savvy consumers, thus propelling the segment's growth in the coming years. For instance,

In February 2024, Panasonic Life Solutions India, a subsidiary of Panasonic Holding Corporation, a Japan-based electronics company, launched its new range of smart matter-enabled room air conditioners.

In March 2024, LG Corporation, a South Korea-based electronics company, launched its new smart refrigerator, the LG MoodUp Refrigerator. According to the company, the new refrigerator features a bluetooth speaker, a smart color alarm system, a welcome light, and a night-time mood light.

Analysis by Distribution Channel

Based on distribution channel, the global direct-to-consumer market is divided into offline stores and online stores/e-commerce. The offline stores segment held a major market share in 2023 due to the extensive availability of a wide array of products from several brands, providing individuals with multiple choices. Several prominent international players are launching new retail stores to expand their reach and strengthen their brand presence. For instance,

In April 2024, Louis Vuitton, a brand of LVMH Moët Hennessy Louis Vuitton, a France-based luxury goods company, launched its new watches and jewelry store in Shinsegae Department Store Gangnam in South Korea.

In December 2023, Puma, a Germany-based apparel & footwear company, launched its new 432.75 sq.m City Walk store in Dubai. According to the company, the new store features the Field of Play concept.

The online stores/e-commerce segment is expected to grow significantly in the coming years owing to the growing preference for online shopping and increasing internet penetration globally. Moreover, the rising availability of products through e-commerce platforms across countries fuels the segment's growth. Various major market participants are focusing on new product launches. For instance, in July 2022, Proya Cosmetics, a China-based cosmetics company, launched its new Proya ultra-luminizing brightening essence on Tmall, a China-based e-commerce platform.

The growing number of brands launching their online stores propels the market growth. Furthermore, various key market players are focusing on launching online stores. For instance, in January 2023, Kerastase, a brand of L'Oreal, a France-based personal care company, launched its first official online store across India to strengthen its presence across the country. 

Regional Analysis

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The global market is geographically segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. North America is anticipated to lead the global direct-to-consumer market during the forecast period due to wide product availability, high disposable incomes, and the strong presence of prominent players across the region. Moreover, smart products with technologically advanced features are gaining significant popularity owing to increasing demand from tech-savvy consumers across the region.

Asia Pacific is expected to grow significantly in the coming years owing to rapid urbanization, rising product awareness, and increasing disposable income. Moreover, the growing population across China, India, Japan, and South Korea, coupled with increasing product availability by international market players across the region, is expected to propel market growth in the coming years.

Key Players Covered

The report includes the profiles of key players, such as L'Oreal, Amazon, Walmart,  LVMH Moët Hennessy Louis Vuitton, Samsung Electronics, Nike, Apple, and Ikea.

Key Industry Developments

• April 2023: Samsung Electronics, a South Korea-based electronics company, announced the launch of its 15 premium experience stores across various cities, including Bangalore, Chandigarh, Pune, Kolkata, Chennai, Delhi, and Mumbai in India.


• February 2023: Samsung Electronics, a South Korea-based electronics company, launched its new premium range of air conditioners, WindFree, with various features, including in-built Wi-Fi, voice control, artificial intelligence (AI) auto cooling, and motion detection sensors.