The Direct-to-Consumer Craze is Slamming into Reality

Published September 19, 2022

Rising Facebook ad prices are harming the direct-to-consumer (DTC) industry. Warby Parker, Stitch Fix, FIGS, and Allbirds are struggling to survive. It is reported that the cost to advertise on Facebook has nearly tripled within the past two years. In addition, Apple’s iOS privacy changes have made it more difficult to measure the success of ad campaigns. Lastly, DTC brands face supply chain issues like reliance on factories to produce product and cost of shipping caused by the pandemic. As a result, DTC companies have seen a drop in their net income and stocks over the past year and need to figure out how to capitalize on low-cost advertising techniques. 

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