From startups like Allbirds and Harry’s to larger companies like Tesla, the Direct-to-Consumer (D2C) business model is becoming increasingly popular.
Today, the supply of consumer products greatly outstrips the demand that exists in the market. As a result, consumers are demanding a new experience that big box retailers and other “middlemen” simply can’t provide. Companies want a way to reach consumers directly and control every aspect of that experience.
The rise of D2C companies follows off the back of what General Catalyst’s Hemant Taneja refers to as “economies of unscale.” Modular services have greatly reduced the barriers to launching a D2C strategy. Back in the early 2000s, it was difficult for an e-commerce startup to build and man...