5 Common Challenges to Building a DTC Brand

There are five common challenges to building a DTC (Direct To Consumer) brand.

Cost:
Your Brand/Product may be solid, but not cost effective from a fulfillment, shipping, maintenance, and user acquisition perspective based on your particular volume goals

Changing Regulations:
Technology based products can be extremely clever and beneficial to the user, but if the category is regulated by an external body that suddenly changes the rules, does your core product suffer (and do you have the capital to react?)

One Time Use Product:
Consumers may be less apt to risk their credit card on a new website for one-time-purchases because may be easier to go to a trusted retailer (like Target or Amazon)

Everyday Use Product:
While this is what started the subscription service category, churn can be extremely high if you don’t keep your user experience quick, easy, affordable, and fun

Brand Loyalty:
Many consumers are only loyal to a handful of brands in a handful of categories–and more likely than not, that loyalty lies with the retailer who has already built the relationship (ex. Amazon)

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