As the food industry evolves, natural food brands face a pivotal decision: should they embrace the direct-to-consumer (DTC) model or stick with the tried-and-true retail route? The right choice can lead to explosive growth—while the wrong one might drain resources and stall momentum. With changing consumer habits, rising competition, and tight margins, this choice isn’t as simple as it sounds.
Let’s break down the advantages and drawbacks of both strategies—and explore how working with experienced CPG consultant can help brands confidently choose the right path forward.
1. The Allure of DTC: Control, Data, and Margins
Selling directly offers brands full control over the customer experience, pricing, and messaging. You own the relationship, collect first-party data, and keep more of each sale by cutting out the middleman.
Pros
- Higher profit margins
- Immediate customer feedback
- Greater brand control
Cons
- High logistics and fulfillment costs
- Customer acquisition is expensive
- Scaling can be slow without brand awareness
Many natural food brands are drawn to DTC for its direct connection to the consumer but underestimate the cost and complexity of maintaining it.
2. The Power of Retail: Reach, Trust, and Volume
Retail shelves offer what most DTC channels struggle to replicate—scale and visibility. For natural brands looking to break into mainstream households, retail remains a dominant force.
Pros
- Established trust and foot traffic
- Access to a wider audience
- Faster volume growth potential
Cons
- Slimmer margins
- Less control over the presentation
- Reliance on buyer relationships and planograms
Retail can feel like a safer bet—but it comes with the challenge of standing out in a crowded aisle.
3. The Hybrid Approach: Why Many Brands Choose Both
Many successful natural food brands take a hybrid approach: start online, grow a loyal base, and then expand into retail. Or vice versa. But juggling both models takes serious planning and strategy.
Without the right systems, a brand can quickly stretch itself too thin—leading to stock issues, mixed messaging, or burned-out teams.
4. How CPG Consultants Help Brands Choose Wisely
This is where CPG consultants come in. With deep experience in natural food trends, market-entry, and scaling strategies, they can help brands:
- Analyze margins and true cost-to-serve across channels
- Forecast growth and demand accurately
- Navigate distributor relationships and DTC logistics
- Align marketing with channel strategy
CPG consultants remove the guesswork from the equation, ensuring your choice fits both your brand’s stage and long-term vision.
Final Thoughts
There’s no one-size-fits-all answer. DTC offers freedom and intimacy, while retail offers reach and scale. The real power lies in choosing intentionally—and having expert guidance to navigate the nuances.
Unsure whether to go direct or double down on retail? emerge Natural Sales Solutions helps natural food brands uncover the smartest path forward. Our CPG consultants bring clarity, strategy, and growth—no matter your stage. Let’s build your ideal CPG sales management roadmap together. Contact our CPG consulting agency today and take control of your future.