Trends and Scenarios

A Global Brand’s DTC Transformation

From Retail Dependence to Consumer-Centric Innovation

A leading global appliance brand sought to redefine its DTC strategy, moving beyond third-party retailers to build direct, meaningful customer relationships and a seamless omnichannel experience.

How can a legacy brand transition from retailer reliance to a dynamic, customer-centric DTC ecosystem that fosters loyalty and sustained growth? Through trend forecasting, customer insights, and market analysis, we developed a forward thinking DTC framework—ensuring differentiation, scalability, and long-term success.

This report explores key trends, evolving customer behaviors, and business scenarios that will shape the future of DTC commerce for this brand.

Breaking the Retail Mold: The Shift to a Direct-to-Consumer Powerhouse

Challenge

The brand relied on third-party retailers for decades, limiting direct customer relationships and data ownership. Digital-native competitors were gaining ground with seamless, personalized DTC experiences, creating urgency for transformation.

Opportunity

By building a robust DTC model, the brand could create a direct, data-driven relationship with customers, enhance personalization, and introduce new revenue streams through services, subscriptions, and loyalty programs.

Role

We developed a forward-thinking DTC strategy integrating trend analysis, customer insights, and business scenario planning, positioning the brand as a leader in digital commerce, customer experience, and omnichannel innovation.

DTC has evolved from selling to connecting

It’s no longer about transactions — it’s about building ecosystems of value, delivering meaningful experiences, and forging long-term relationships that turn consumers into loyal advocates.

These trends are shaping the future, redefining how brands engage, transact, and build loyalty in a competitive landsscape. Let’s dive into the top three most relevant to this appliance leader and their specific ask.

    1. Tailored Touchpoints - Personalization

    2. Profit with Purpose - Conscious Commerce

    3. Empowered Ownership: Lifecycle Engagement

    4. Seamless Everywhere - Omnichannel Integration

    5. Communities that Convert: Social Commerce

  • Tesla:
    Bypassed traditional dealerships, proving that a direct sales model, seamless digital experiences, and continuous software updates can redefine ownership.

    Apple:
    Frictionless ecosystem, where hardware, software, and services integrate to drive loyalty and recurring revenue.

    Dyson:
    Immersive retail showrooms, guided onboarding, and premium service model create deeper engagement beyond the point of sale.

    Nike:
    Blends exclusive digital experiences, membership perks, and brand storytelling to foster a highly engaged, loyal community.

  • What’s Working Well:

    • Stronger Omnichannel Experiences

    • Personalization & AI

    • Post-Purchase Engagement

    What’s Falling Short:

    • Limited Ownership Engagement

    • Sustainability Transparency Gaps

    • Underleveraged Community & Social Commerce

    Key Considerations:

    • Move Beyond Transactions

    • Build Trust Through Transparency

    • Think in Ecosystems

Trend 1: Tailored at Every Touchpoint

Personalisation at scale uses AI to deliver unique, meaningful experiences by anticipating customer needs and preferences. It transforms interactions into moments of connection that build loyalty and drive engagement.

This brand can position itself as a trusted, consumer-first brand by leveraging AI to make every interaction tailored and intuitive.

71%

of consumers expect personalized interactions, and 76% get frustrated when this doesn’t happen.

  • Market Readiness: High
    AI-driven personalization is already embedded in consumer expectations.

    Trend Acceleration: Fast
    Advancements in AI and behavioral data are driving hyper-personalized experiences at scale.

    • Use AI to recommend tailored products?

    • Deliver more dynamic, personalized content on the homeapge, (i.e., videos, product tips, promotions) based on browsing behavior?

    • Ensure personalization strengthen brand loyalty without feeling invasive or overwhelming?

  • Progressive personalization:
    Allows customers to opt-in for deeper AI-driven suggestions while keeping default experiences neutral.

    Loyalty-driven personalization:
    Personalized promotions and rewards based on purchase history, sustainability habits, or brand interactions.

Trend 2: Profit with Purpose

Sustainable commerce emphasizes reducing environmental impact while addressing consumers’ growing desire for socially responsible brands. It’s about making sustainability accessible, actionable, and transparent, building trust and loyalty with values-driven shoppers.

This brand can further highlight their products made with sustainable materials, energy-efficient solutions, and repairability to reduce waste and extend product lifecycles.

85%

of consumers have adopted more sustainable behaviors
McKinsey & Company, How Playing Offense on Sustainability Can Power E-Commerce Performance, 2023.

  • Market Readiness: High
    Sustainability and ethical business practices are becoming table stakes for consumer trust.

    Trend Acceleration: Growing
    Regulatory changes and Gen Z/Millennial purchasing behaviors are driving the shift

    • Elevate sustainability positioning from a product feature to a key part of the customers' lifestyle and identity?

    • Make energy and resource efficiency more visible and actionable in everyday appliance usage?

    • Transform product ownership int a sustainability journey that extends beyond usage?

  • Trade-in & Recycling Programs:
    Seamless DTC take-back program allowing customers to return old appliances for credit or responsible recycling.

    Subscription-based Sustainability Upgrades:
    Allows users to swap out appliance components (filters, batteries) to extend product lifespan and minimize waste.

Trend 3: Empowered Ownership: Lifecycle Engagement

Empowered ownership gives customers the confidence, control, and proactive support throughout their entire experience with their appliance. From setup to ongoing maintenance and brand advocacy, it ensure their ownership is intuitive, stress-free, and deeply connected to customer needs.

This brand can bridge online and offline experiences throughout the customer journey to build a seamless, customer-centric journey that strengthens brand trust.

66%

of customers switch brands due to poor service.
Deloitte. “Radically Transforming Your Support Models”. 2019

  • Market Readiness: Moderate to High
    Consumers are increasingly seeking greater control over the products they buy, from customization to resale and repairability.

    Trend Acceleration: Moderate
    Circular economy initiatives and self-service technology are making ownership more flexible.

    • Ensure customers feel confident and in control of their appliances from day one, through intelligent intuitive experiences?

    • Proactively anticipate customer needs and offer solutions before issues arise?

    • Ensure seamless, effortless troubleshooting and servicing that eliminates frustration and downtime?

  • AI-Powered Troubleshooting:
    Customers can use a visual diagnostic tool via their phone camera to analyze issues and receive real-time solutions.

    Virtual Service Appointments:
    Seamless scheduling for tech support, repairs, or troubleshooting directly through the DTC platform.

Consumer Realities: Aligning with Evolving Expectations

With consumer behavior rapidly evolving, understanding pain points, expectations, and shopping motivations was critical to designing a DTC model that meets real needs. Through qualitative research and data analysis, we uncovered key insights.

  • Overwhelming Product Discovery:
    Customers struggle to navigate the wide range of options, making it difficult to confidently choose the right product.

    Lack of Personalized Guidance:
    The shopping experience feels generic and transactional, rather than tailored to individual needs.

    Disconnected Ownership Experience:
    Customers feel left on their own post-purchase, with limited support to help them maximize their product’s value.

  • Simplify Product Discovery:
    Shopping should feel effortless, with intelligent recommendations that guide customers toward the right product.

    Create a Seamless & Personalized Journey:
    The experience should anticipate needs, providing relevant content and support at the right moments.

    Empower Ownership from Day One:
    Customers should feel confident and in control, with proactive insights that help them optimize their appliances over time

  • Research Phase:
    Customers seek clarity and confidence in their purchase decisions but are often overwhelmed by too many choices.

    • Opportunity: AI-powered product recommendations and interactive content

    Intent Phase:
    Customers want assurance that they’re making the right choice, but often lack personalized guidance at checkout.

    • Opportunity: Interactive decision-making tools—such as product impact insights, energy savings comparisons, and personalized sustainability recommendations

    Onboarding Phase:
    Customers expect a seamless, intuitive setup experience but often receive generic, one-size-fits-all instructions.

    • Opportunity: A guided, interactive onboarding experience

Key Scenarios for the Future: The Future of DTC for This Brand

To successfully transition into a high-performing, competitive DTC model, the brand needed to prepare for multiple potential market evolutions.

By focusing on three critical moments in the customer journey—Research, Intent, and Onboarding—these scenarios explore how the brand can transform friction points into competitive advantages.

Each scenario represents a strategic pathway that not only addresses today’s pain points but also positions the brand for long-term differentiation in the DTC space.

Scenario 1: Meet Luxie. A smarter shopping experience

Research Phase | Tailored Touchpoints | Horizon 2

A customer needs a new washing machine but feels overwhelmed by choices. Instead of endlessly scrolling through specs, she interacts with Luxie, an AI-powered assistant that asks smart, intuitive questions about her home size, laundry habits, and sustainability preferences.

With personalized recommendations tailored to her needs, she confidently selects the best appliance—no second-guessing, no friction.

  • Rising Consumer Expectation for AI-Powered Shopping:
    Shoppers increasingly expect AI-driven recommendations to streamline decision-making.

    Analysis Paralysis & Choice Overload: Too many options lead to frustration and cart abandonment.

    Shift Toward Personalization as a Brand Differentiator:
    Brands that deliver customized shopping journeys gain consumer trust and loyalty.

  • 5-10% increase in conversion rates:
    AI-driven guidance reduces decision fatigue and leads to more completed purchases.

    8-12% increase in average order value (AOV):
    Personalized recommendations encourage bundling and upselling.

    8-15% decrease in cart abandonment: Customers feel more confident, reducing drop-offs at checkout.

    Stronger customer satisfaction & retention:
    A more tailored experience builds trust and long-term loyalty.

  • Data Privacy & AI Transparency:
    Consumers may be skeptical about AI-driven personalization; transparency and clear opt-in features are key.

    Balancing Automation with Human Touch:
    AI should feel helpful, not intrusive, ensuring recommendations enhance, not overpower, the shopping journey.

    AI Model Accuracy & Bias:
    The assistant must be trained on diverse customer needs to avoid biased or inaccurate recommendations.

    Integration Complexity:
    Requires seamless backend integration with the e-commerce platform, product inventory, and CRM data.

Scenario 2: The Conscious Choice—A Sustainability Impact Calculator

Intent Phase | Profit with Purpose | Horizon 2

A customer is ready to buy a new appliance but wants to ensure they’re making the most sustainable choice. Instead of relying on vague eco-labels, she uses the Sustainability Impact Calculator, a dynamic tool that provides personalized insights into energy efficiency, water consumption, and long-term savings.

With clear, actionable data, she sees how one model reduces her carbon footprint and lowers utility costs over time—giving her the confidence to choose wisely.

  • Rising Consumer Demand for Transparency:
    Seventy percent of consumers prefer brands that clearly communicate their sustainability impact.

    Regulatory Pressure and Sustainability Mandates:
    New policies are pushing companies to disclose energy efficiency and lifecycle impact.

    Increased Focus on Long-Term Value and Cost Savings:
    Economic uncertainty makes consumers more conscious about efficiency and return on investment.

  • 5-12% increase in conversion rates:
    Providing clear sustainability insights removes decision barriers.

    10-15% increase in high-efficiency product sales:
    Customers are more likely to choose premium, eco-friendly models.

    6-10% decrease in return rates:
    More informed buyers lead to higher purchase confidence and lower post-purchase regret.

    Brand differentiation and trust:
    Transparency around sustainability reinforces brand credibility and customer loyalty.

  • Ensuring Data Accuracy and Credibility:
    Calculations must be backed by trustworthy environmental impact data to avoid skepticism.

    Balancing Simplicity and Detail:
    Too much complexity could overwhelm customers, while too little detail may not build confidence.

    Sustainability Fatigue:
    Some consumers may be disengaged from eco-messaging; the tool should emphasize tangible benefits such as cost savings and efficiency.

    Implementation Complexity:
    Requires robust data integrations with product specs, energy certifications, and potential third-party sustainability sources.

Scenario 3: A smart start through QR Setup

Onboarding Phase | Empowered Ownership | Horizon 2

A customer unboxes their new appliance, excited but unsure if they’ve set it up for optimal performance and efficiency. Instead of flipping through a dense manual, they scan a QR code that launches a personalized setup experience.

Through a guided series of tailored questions, the customer inputs key details—location of the appliance, water hardness levels, and usage frequency—allowing the system to provide custom efficiency tips and optimization guidance.

By the time they’re finished, they feel confident that their appliance is set up for maximum performance, with proactive reminders and access to on-demand support whenever needed.

  • Rising Expectations for Effortless Setup:
    Consumers expect plug-and-play convenience and personalized onboarding for all major purchases.

    Shifting from Ownership to Optimization:
    Customers want more than a product; they want guidance to maximize efficiency and longevity.

    Growing Role of Digital Touchpoints Post-Purchase:
    Brands that provide ongoing value beyond the sale drive stronger loyalty and retention.

  • 5-10% increase in product engagement:
    Personalized onboarding helps customers maximize features and settings.

    8-12% reduction in customer support inquiries:
    Proactive setup guidance reduces common troubleshooting issues.

    Higher retention and loyalty:
    Customers who feel empowered early on are more likely to engage with brand services.

  • Adoption Barrier:
    Customers may not scan the QR code unless prompted effectively.

    Balancing Simplicity and Depth:
    The onboarding flow must feel intuitive and helpful, not overwhelming.

    Ongoing Content Maintenance:
    Optimization recommendations should stay up to date with product improvements.

A DTC Future Designed for Market

For this brand, transitioning to a mature, experience-driven DTC model isn’t just about capturing e-commerce revenue—it’s about building a direct, trusted, and data-rich relationship with consumers.

By combining strategic foresight, customer intelligence, and business scenario planning, this roadmap ensures the brand is not just adapting to the future, but actively shaping it.

Let’s build the future of DTC—one strategic move at a time.

With a clear vision and roadmap in place, the next phase is about execution.

Validating Key Assumptions – Conduct pilot programs for high-priority initiatives such as AI-driven personalization and sustainability engagement.

Defining Success Metrics – Establish KPIs for customer engagement, revenue growth, and operational efficiency to track progress.

Cross-Functional Alignment – Ensure seamless collaboration between product, marketing, technology, and customer experience teams to drive implementation..