Interactive Advertising Bureau released two studies “Disruptor Brands: Founders Benchmark Study” and “Direct Brands: Media & Customer Acquisition.”
An overwhelming majority of DTC brands are profitable and use multiple media channels beyond social media to fuel their growth, according to new research by IAB. DTC brands are also moving into the brick-and-mortar sector, with two in five DTC brands owing at least one location.
Despite popular belief that DTC’s are dependent on social media for their advertising, Search (67%) is the most popular digital advertising channel. For offline media Direct mail (63%) and print (62%) were the top choices followed by television (58%).
IAB’s CEO Randall Rothenberg said, “all consumer brands have no choice but to become direct brands, and build two-way, data-enriched relationships with their end consumers.” Established brands are increasingly learning and emulating from DTC brands, he added.
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