Direct-to-consumer (D2C) ecommerce is evolving, driven by Gen Z’s shopping habits and the rise of powerful AI tools.

The situation: Nike’s turnaround will likely take some time. In FYQ4, the company’s sales fell 12% YoY (11% on a constant-currency basis), reflecting what CFO Matthew Friend called the “largest financial impact” from the company’s reset strategy. Still, he expressed confidence that “headwinds will moderate from here,” emphasizing Nike’s focus on execution and controlling what it can. Our take: Turning around a company the size of Nike is like trying to turn around an ocean liner in rough waters. Change takes time, especially amid headwinds like tariffs and shaky demand, and execution missteps keep dragging on performance. Nike is adjusting course—leaning back into wholesale, cleaning up its inventory, and getting more surgical with product drops—but calm seas are still a ways off.

US retail and ecommerce sales growth will take a hit in 2025 as unpredictable changes in tariff policies ripple through the economy, shaking consumer confidence.

Direct-to-consumer (D2C) brands like Eyebuydirect are overcoming traditional barriers in high-consideration purchase categories like eyewear.

On today’s podcast episode, we discuss how to get folks to buy something they can’t go and see in a store, how D2Cs should be thinking about generative AI, and how one DTC is negotiating the tariff minefield. Listen to the conversation with our Senior Analyst Sara Lebow as she hosts Principal Analyst Sky Canaves and CEO and president of Eyebuydirect Sunny Jiang.

Williams-Sonoma buys Dormify’s IP: The move aims to help the housewares retailer capture a larger share of the college-age consumer market.

ESPN’s new platform marks a bold digital pivot: Meanwhile, Fox is launching Fox One to stay competitive in the streaming era.

Acadia acquires Crush to expand Amazon-first capabilities: The deal reflects growing demand for full-funnel retail media solutions.

This year’s festival highlighted a maturing creator economy, a reality check for AI, and bigger and bolder brand activations and marketing trends.

NWSL secures key women-led sponsorships: E.l.f. Cosmetics and Unwell partner with the soccer league, marking a shift in how beauty and lifestyle brands invest in sports.

WBD grows streaming profits as TV revenues decline: It added 6.4 million Max subscribers, but TV ad declines and cord-cutting continue.

Comcast gives details on its spinout of several NBCU cable networks: As Peacock takes center stage, legacy TV networks must adapt to stay relevant.

Nike's recent struggles highlight the risks of an ill-timed shift to direct-to-consumer (D2C) sales. The sportswear giant's sales slumped 10% YoY for the quarter ending August 31 as competitors gained market share.

The boom times for ecommerce and retail have largely passed. “It’s going to be harder [for retailers] to identify pockets of growth and opportunity. But, the good news is that it’s not going to be that roller coaster of demand fluctuations that has been challenging for retailers to navigate over the last couple of years,” our analyst Blake Droesch said.

Nike’s Olympics efforts kicked off in April, with the brand launching new products, hosting in-person events with athletes like Jordan Chiles and Sha’Carri Richardson, and debuting a controversial ad campaign.

Ecommerce has become a dominant sales channel in the pet industry, fueled by convenience and a broad range of online offerings. By 2028, nearly half of pet products sales will come from ecommerce.

After boosting the D2C model over the last decade, digitally native vertical brands (DNVBs) face a slowing market, with sales growth declining every year through the end of our forecast period in 2028. That means acquiring customers and revenue can’t solely be done through online channels such as social media, as DNVBs have relied on in the past. Here are three ways DNVBs can continue the momentum of their digital buzz.

Brands and marketers have an increasingly prominent presence at the annual technology, arts, and culture festival in Austin, Texas, which this year took place from March 8 to 16. We break down the key topics that drew the most attention from attendees.

Our analysts have already made their big predictions for the year ahead, but the newsletter team has a few more to add to the list. As Amazon hits the gas on grocery, it may use its Amazon Fresh stores for fulfillment. Plus, we think beauty will get personal, Amazon could give digitally native brands a helping hand, and a healing economy could spell trouble for discount stores.