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Hims to offer a generic GLP-1 in 2025: It鈥檚 preparing for headwinds if the FDA halts compounded versions of weight loss drugs. But we think its diverse D2C offerings and strong subscriber growth should help insulate it financially.

Paramount鈥檚 Q3 results reflect strong streaming growth: To attain 3.5 million new subscribers and $49 million in DTC profit, it鈥檚 leveraged cost cutting and content innovation to balance revenue pressures from traditional TV.

Walgreens expands D2C telehealth to 30 states: We examine how the move aligns with Walgreens鈥� strategy to rightsize its retail pharmacy business.

Senators probe Pfizer, Eli Lilly about their D2C telehealth platforms: But we don鈥檛 expect a slowdown in Big Pharma鈥檚 push into direct-to-consumer sales. Here鈥檚 why.

Insurance agents marked 鈥榮afe鈥� from disruption: The ups and downs of the direct-to-consumer life insurance market have taught the industry a lot about contemporary consumers and in-person experiences.

Volkswagen aims to attract truck buyers with retro-themed Scout SUVs and pickups designed and built in the US.

Our thought bubble: Drugmakers in the D2C market want to funnel people to their online platforms where folks can order health products, schedule services, and access educational resources. Novo just recently joined the D2C space, but might be purposely avoiding tie-ups with telehealth companies amid senators鈥� increased scrutiny of such deals.

Plus, the D2C market for weight loss drugs is already paying off. Lilly said on its Q1 earnings call that about 10% of its first-quarter Zepbound sales and 25% of new Zepbound prescriptions came through the self-pay channel.

This isn鈥檛 surprising, considering D2C pharmacy services side-step common barriers to medication access, such as long wait times to see a doctor, inadequate pharmacy access, and lack of transparency around medication costs. The final word: Pharma companies might view 鈥渟cript lift鈥� as a key metric to measure progress of their D2C models.

We expect more pharma players to join the D2C market this year. Their aim is to build trust and customer loyalty鈥攅specially as access to traditional care and treatment worsens and gets more expensive.

The news: Embattled direct-to-consumer genetic testing company 23andMe filed for federal bankruptcy protection and announced the resignation of CEO Anne Wojcicki. 23andMe鈥檚 stock plummeted nearly 60% on Monday following its Sunday night filing. How we got here: 23andMe was a market trailblazer in the DNA testing segment, becoming the first company to sell FDA-approved genetic tests to consumers.

The company added 6.4 million streaming subscribers, increased direct-to-consumer (DTC) profits, and posted a deeper $494 million net loss. Studio revenues grew 15% as WBD restructured to address linear TV challenges. By the numbers:. Global Max and Discovery+ subscribers: 116.9 million, up 6.4 million in Q4. WBD projects 150 million streaming subscribers by the end of 2026.

Nike is trying to reposition its direct-to-consumer (D2C) segment as a full-price business, starting with its ecommerce channels. Nike Digital went from having over 30 promotional days last January and February in North America to zero, Hill said. That helped boost full-price sales, but not enough: Nike Digital鈥檚 North America sales fell 12% YoY during the quarter.

As linear TV viewership declines, live sports continue to drive engagement and brand loyalty, making them an attractive option for direct-to-consumer brands. Agencies are responding to demand. Publicis recently launched an initiative to streamline women鈥檚 sports ad buys.

This approach allows them to test new styles in their direct-to-consumer (D2C) channels before potentially expanding successful items across their 50+ US stores and ecommerce platform. D'Arcy said this responsiveness helps them stay relevant while maintaining their core identity. "The chase program means that we are looking at trends that are happening right now in the market," she said.

The final word: Amazon鈥檚 healthcare strategy is advancing, with D2C telehealth and primary care now established and pharmacy sales growing (from $1.25 billion in 2023 to $1.8 billion in 2024, per Business Insider). The Health AI chatbot for search and medical advice could be the virtual consumer concierge to amplify engagement and increase sales.

Kennedy Jr. to ban pharma direct-to-consumer advertising. A pharma ad deduction ban also could generate new revenues for the cost-cutting administration. Banning advertising tax deductions for pharma could generate $1.5 billion to $1.7 billion in federal tax revenues, according to Campaign for Sustainable Rx Pricing鈥檚 ad spending analysis of 10 leading pharma companies.

Total Entertainment segment income, which includes DTC and linear networks, grew 61% YoY to $1.26 billion. Hulu ended the quarter with 54.7 million subscribers, up from 53.6 million in Q1.

The news: Acadia has acquired Crush, an Amazon-focused consultancy built for mid-market and direct-to-consumer brands, Adweek reports. It鈥檚 Acadia鈥檚 sixth deal since launching in 2021. Co-founded by former 360i CEO Jared Belsky, Acadia derives nearly half its headcount, profit, and revenues from retail media and marketplaces.

Our take: This tie-up will be a large volume opportunity for Affirm鈥擲titch Fix鈥檚 direct-to-consumer (D2C) ecommerce sales will total $1.28 billion this year, according to our forecasts. It will help the BNPL player keep growing its GMV, which shot up 35% YoY in its most recent quarter.

By the numbers: The significant brand heat On is generating is translating into higher D2C and full-price sales, which explains its sizable profit margins. D2C sales rose 43.4% YoY to account for 48.8% of Q4 net sales, another company record, bolstered by On鈥檚 growing store footprint.

Look to D2C healthcare and pharma companies as digital innovators. Consumer-focused brands are prioritizing a convenient online experience with an emphasis on price transparency (which is easier when insurance isn鈥檛 accepted). Some traditional healthcare and pharma players are responding with their own D2C offerings.