Why Brand-Owned Sales Channels Beat Marketplaces Now

According to Entrepreneur, direct-to-consumer (DTC) strategies are gaining ground as Amazon saturation and digital ad costs climb. This guide helps brands reclaim control by building simple DTC funnels—from unique bundles and email launches to social storefronts—designed to improve margins and encourage repeat purchases.

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The Case for Direct-to-Consumer Today

For years, platforms like Amazon and eBay provided low-friction ways for brands to reach millions of buyers. But that convenience now comes at a cost. Marketplace fees, higher ad spending on Meta and Google, and limited customer data access all erode brand equity.

McKinsey reports that acquisition costs have risen more than 60% over the last five years, while margins on marketplaces remain capped by escalating seller fees. By contrast, brands that prioritize DTC models control their margins, own their customer data, and can design experiences that foster loyalty.

Building Simple, Effective DTC Funnels

Direct-to-consumer does not need to be complex. Brands can begin with three straightforward approaches:

1. Unique Bundles – Offering curated product bundles that are unavailable on Amazon creates differentiation and higher average order value.

2. Email-Driven Launches – According to HubSpot, email generates an average ROI of $36 for every $1 spent, making it a crucial DTC tool.

3. Social Storefronts – Platforms like Shopify integrate with Instagram Shops and TikTok, allowing brands to sell natively while retaining ownership of customer data.

Why DTC Builds Repeat Purchases

Unlike platforms where customer loyalty skews toward the marketplace, DTC channels enable direct engagement. Brands can launch loyalty programs, subscription models, and personalized offers based on behavioral data.

A Statista report estimates the U.S. DTC market will reach $213 billion by 2025. The growth is fueled by repeat buyers—consumers who respond to personalization and exclusive access more than generic price comparisons.

Expert Voices

Harvard Business School professor Sunil Gupta emphasizes, “The holy grail in consumer marketing is owning the relationship, not just the transaction.” In practice, that means email addresses, first-party purchase data, and long-term retention strategies hold more value than the fleeting boost of a high-ranking Amazon listing.

Similarly, Forrester Research notes that 70% of online retailers who shifted to DTC reported improved profitability within two years

Just launched your new business and need resources to ace direct marketing at lower costs with higher ROI?

Check out Salesfully’s course, Mastering Sales Fundamentals for Long-Term Success, designed to help you attract new customers efficiently and affordably.

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