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The news: The Trump administration is mulling new policies to make pharma advertising more difficult, per a Bloomberg report. Our take: RFK previously acknowledged the First Amendment hurdles in an outright pharma ad ban. But if he takes an alternate path with new D2C ad regulations, it鈥檚 a win for the industry. Pharma companies can budget for extra media costs of additional TV time and the loss of ad tax deductions, but they get to keep D2C advertising.

The news: GoodRx is rolling out a subscription service for erectile dysfunction (ED) treatment. Our take: GoodRx is in a great position to compete with the top D2C telehealth players since consumers are already on the site or app searching for prescription drug discounts鈥攊t has over 6 million active monthly consumers who use a coupon code. GoodRx might also be more trusted than pure-play telehealth companies in the eyes of consumers since its services help people save money on their healthcare.

The news: Novo Nordisk is terminating its short-lived partnership with Hims & Hers. The drugmaker is accusing Hims of illegally selling knockoff versions of Wegovy, while deceptively marketing its compounded GLP-1 products. Our take: Hims will likely regret its refusal to cooperate with Novo and Eli Lilly, who have taken control of the D2C weight loss drug market.

Healthcare costs for Americans who have employer-sponsored health insurance spike 7% annually: Employers will need to be more restrictive with their plan offerings, creating an opportunity for D2C healthcare brands to reel in new customers.

Levi Strauss sharpens its focus: The company agreed to sell Dockers to Authentic Brands as it looks to grow its D2C sales and expand its international presence.

Consumer packaged goods (CPG) brands have attempted to break into D2C ecommerce in recent years, to varying degrees of success. How can they avoid unprofitable strategies and develop a viable D2C ecommerce channel?

D2C ecommerce is rapidly evolving, driven by digital marketing, AI-enhanced personalization, sustainability, and more. By identifying and leveraging these emerging trends, businesses can effectively adapt to this competitive environment and address the dynamic expectations of consumers today.

Rapidly growing healthcare providers are reinvesting in online marketing: Incumbents must embrace social and search marketing to ward off competition from telehealth and D2C providers.

Eli Lilly adds Alzheimer鈥檚 treatments, resources to D2C platform: Lilly is progressing its D2C online offerings even as lawmakers ramp up scrutiny of drugmaker-telehealth partnerships.

Novo Nordisk launches D2C platform, drops price of Wegovy for cash-pay patients: The move could start a marketing showdown鈥攁nd possible price war鈥攂etween Novo and Lilly.

Walmart to sell Bonobos as digitally native D2C brands lose their luster: WHP Global and Express will acquire the brand for $75 million to shore up the latter鈥檚 business.

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 top two reasons shoppers worldwide buy directly from brands are a better price (53%) and free delivery (49%), followed by fast and convenient delivery and free returns (both 36%), according to Wunderman Thompson.

Lawmakers investigate telehealth tie-ups with pharma: Despite more scrutiny over potential conflicts of interest, we expect even more Big Pharma D2C launches this year.

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.

Senators reintroduce Drug-price Transparency for Consumers Act: If passed, the Act could empower patients to make informed decisions about their healthcare amid a torrent of direct-to-consumer drug ads.

After years of emphasizing direct-to-consumer under former CEO John Donahoe, Nike is now rebalancing its approach. That pivot was evident in the company鈥檚 FYQ4 numbers:. Nike Direct revenues fell 14% YoY to $4.4 billion. Wholesale revenues dropped 9% to $6.4 billion. Other Q4 highlights:. Earnings per share were 14 cents, down 86% YoY, but slightly above the expected 13 cents.

Dormify complements the company鈥檚 existing Pottery Barn Dorm offering, giving it a deeper foothold in the Gen Z and college-age market, which should help it better engage younger shoppers and build long-term brand loyalty.

Sanofi鈥檚 Opella secures FDA nod to pursue OTC Cialis study: If Cialis鈥� shift from a prescription drug to over-the-counter product comes to fruition, both consumers and D2C retailers could benefit.

In our September 2024 survey with CivicScience, more than three-quarters of respondents said they weren鈥檛 comfortable sharing personal information in exchange for enhanced shopping experiences. Consumers were split on expectations of AI鈥檚 impact on their lives over the next decade, with 33% taking a very or somewhat negative view versus 37% who had a very or somewhat positive outlook.

The news: Target is testing a factory-direct shipping model that would enable it to offer lower-cost products to customers, per Bloomberg. The model, which lets suppliers ship products directly to shoppers, closely resembles the strategy used by Temu and Shein to keep prices low. Our take: Unfortunately for Target, now is not the best time to increase its reliance on overseas suppliers. While the Temu-Shein model worked spectacularly well for several years, the conditions that fueled their growth鈥攏amely, the de minimis exemption and low tariffs鈥攁re no longer in place.