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One Quarter Of D2C Brands Hit New Heights During COVID-19 Crisis, Study Finds

By Steve Wynne-Jones
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One Quarter Of D2C Brands Hit New Heights During COVID-19 Crisis, Study Finds

Just one quarter (24%) of 'direct to consumer' (D2C) brands posted stronger monthly visits during the COVID-19 crisis, compared to their 2019 peak, a new study has found.

The report, by PipeCandy, analysed some 1,000 D2C brands across various categories, including food and beverages.

It found that 36% of brands declined more than 50% from their respective 2019 peaks.

Strong Categories

The only D2C categories to achieve stronger monthly visits during the COVID-19 crisis (compared to their 2019 peak) were fitness, pet and meal-kit brands, the study found, while grocery, wine and spirits and cosmetics all performed above average.

Pipecandy also noted that most of the 'peaks' achieved last year were launch- or PR-related, and did not sustain over the course of the year.

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'We hypothesise that what we see in 2020 across categories is likely the real demand and what we say in 2019 was inflated,' Pipecandy said.

© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.

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