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Top 15 DTC Retail Trends in 2022

Bharath Vittal
Bharath Vittal
Jun 13, 2022
5
Min Read

The direct-to-consumer (DTC) marketplace has witnessed exponential growth since 2019 and continues to grow at a rapid rate.

With more brands entering the public market, direct-to-consumer retail marketing has become increasingly competitive and remains a highly sought-after strategy for numerous companies.

Selling directly to the customers enables companies to get better control over the marketing process. To remain relevant in the coming months, organizations need to adopt a holistic DTC eCommerce strategy. 

Here are the top retail trends to look out for in 2022:

1. The subscription model

The subscription model continues to trend in 2022 and is predicted to grow in the coming years. Shoppers often prefer ongoing relationships with brands they trust, and this keeps the subscription economy going. Companies that offer subscriptions are expected to grow faster than the ones that don’t.

2. SEO will be the king

SEO is set to become a DTC superpower in 2022.

Excelling in direct-to-consumer marketing will require companies to invest more in SEO to strengthen their connections with the existing and potential customers and ensure higher visibility for their brands on Google search results.

3. More control over the customer journey

In 2022, brands that are able to take more control over the customer’s journey have a better chance of maintaining and building their reputation.

In direct-to-consumer retail, companies are investing in resources that promise to make the customer’s experience effortless and hassle-free. Brands are aware that directly catering to the needs of the consumer can lead to long-term benefits.

4. The rise of the socially-conscious customer

The modern-day customer is looking for more than just value for money while making a purchase.

In the DTC marketplace, the trend of brand retail points toward an ever-rising demand for sustainable, ethical, and locally-sourced products. This heightened product consciousness will have a great impact on the DTC marketplace.

5. Focus on social media commerce

Besides SEO, social media will be another driver of DTC marketing in 2022.

Social media platforms are predicted to play a major role in helping wider audiences discover businesses. DTC brands need to ensure their presence on all major social media platforms.

6. Rise of revenue-based financing

It is time to move over from traditional venture capital in 2022.

It is not easy for small and growing brands to get access to venture capital firms for funding. This year, the focus will be more on revenue-based financing as more small and independent businesses rise in number.

7. The value driver model

One of the top retail trends in direct-to-consumer retail is to create value for the customer through multiple drivers. The companies that are able to successfully bundle products together to provide increased value are more likely to have a higher number of satisfied customers.

Bundling also helps entice customers into spending more, thus boosting the total sales revenue.

8. Growing popularity of live events

The live events industry is a fast-growing one, and many companies are looking to make it big as direct-to-consumer providers of solutions for the industry. Trade associations and consumer event organizers are now offering niche marketplaces to cater to the unique requirements of the clients in the live events industry.

9. DTC brands are expected to spend more on performance marketing

The year 2022 is all set to be the year of small DTC brands making it big. Several independent DTC brands are spending more on digital ads and performance marketing to widen their brand reach.

10. Rise in women-led DTC businesses

One very heartening direct-to-consumer retail trend in 2022 is the rise in the number of women-led DTC businesses. As more small businesses learn the benefits of selling online as an independent entity, we can expect to see more female entrepreneurs in the DTC marketplace.

11. Rise in the trend of multiple channels

The trend of multiple channels, including specialized ones, is going to continue in the coming years, and it is time DTC companies braced themselves for this. Leveraging multiple channels can help marketers deal with some of the supply chain and logistics constraints that make it difficult to deliver timely and high-quality services to consumers.

12. The brand loyalty model

Loyal, returning shoppers are among the greatest assets of any organization. The brand loyalty DTC model helps leverage customer loyalty in order to increase sales and improve profitability. Building communities through social influence and peer-to-peer recommendations is a great way of retaining existing customers.

13. Convergence of physical and digital markets

While an increasing number of businesses are moving their operations online, one of the top retail trends in 2022 is the surprising resurgence in the popularity of mortar-and-brick stores.

14. Livestream shopping

A major emerging marketing trend this year is livestream shopping through channels like Amazon Live, TikTok, YouTube, and Instagram. It is not just influencers and brands who are tapping into this booming segment; livestream shopping is also as accessible to the regular person operating their channel from anywhere, even their basement.

15. Enhanced customization

Today’s customers are more aware of their choices than ever and have very specific demands. They are willing to spend more when their shopping experiences are curated to their unique needs. Increased personalization of DTC brands is one top retail trend that companies cannot afford to ignore in 2022.

Wrapping up

As the DTC marketplace continues to develop and grow, companies are looking for both tried-and-tested tactics and innovative ways to stay competitive. Keeping track of the trends in the industry and taking steps to stay in the game is necessary to survive in the ever-changing business scenario.
Companies need to look at holistic eCommerce strategies that keep the customer at the fore and seek to grow their businesses by creating irresistible value for the customer through multiple channels.

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HQ Location: Beaverton, Oregon, United States Of America, 97005
hm.com, operated by H & M Hennes & Mauritz AB, is an internationally-focused online store that generates eCommerce net sales primarily in Germany as well as in the United States and the United Kingdom. With regards to the product range, hm.com achieves the greatest part of its eCommerce net sales in the “Fashion” category.
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