The direct-to-consumer (DTC) food and beverage industry has grown substantially since the pandemic. While the upward trend started before 2020, COVID-19 and the changes that resulted accelerated the growth of the DTC food and beverage industry. Restaurant closures, recommendations to limit indoor exposure, mask mandates, work-from-home lifestyles, grocery shortages, and a renewed focus on health were among the factors that encouraged consumers to find new options for their dining needs. DTC brands were there to answer that call.
A recent industry report highlighted some drivers and trends that the DTC food and beverage brands have seen in recent years. These businesses have found success by appealing to consumers who are looking for several features and benefits, including:
With over 74% of consumers interested in buying DTC products, the market is expected to continue growing over the coming years. With increased competition in this arena, it will be important to pay attention to growth trends and understand who the top performers are and what they are doing to earn market share. When looking at DTC brands by category, the DTC food and beverage segment has many exciting brands that are finding ways of standing out from the competition. Let’s take a look at the top ten.
Here are the ten fastest-growing DTC food and beverage brands. Their positions on the leader board are based on Charm.io’s Growth Score.
Charm.io’s Growth Score is a multi-dimensional scoring algorithm that is indicative of a brand’s performance over time. Charm.io calculates the rate of change in channels of growth common for digitally native brands and derives scores on a relative rank compared to all brands.
Metrics such as Social Growth, Website Traffic, Advertising, Wholesale, & Marketplaces are considered. The score tracking is based on a time series of the last year and the data gets more heavily weighted closer to the present time. The ecommerce industry moves fast and scores frequently change, so Growth Scores can vary over time.
Photo courtesy of drinklmnt.com
LMNT is riding the wave of demand for function-focused beverages, offering multiple flavor formulations of healthy, sugar-free electrolyte drink mixes. The company’s website and social media accounts educate audiences about the importance of achieving the optimal electrolyte balance alongside a healthy diet and exercise. LMNT’s team comprises experts ranging from neuroscientists to doctors, and their partnerships include high-profile athletes such as Brett Favre and Lance Armstrong.
LMNT Brand Report page via Charm.ioEstablished in 2018, LMNT is achieving top rankings when comparing DTC brands by category. The health-first company has attracted a loyal following, with impressive 12-month growth statistics between 2021 and 2022. A noteworthy part of its profile is LMNT’s advertising activities. The business updates its ad content every 2–4 days, maintaining a steady output YOY. This disciplined strategy has helped LMNT become a top performer, with high customer ratings, which they share across multiple campaigns to build social proof and trust.
Photo courtesy of crumblcookies.com
In 2017, Crumbl Cookies opened its first location in Logan, Utah. Specializing in freshly baked, beautifully decorated cookies and quality ingredients, the company’s founders made a few critical decisions that set Crumbl apart from the crowd.
Crumbl Cookies cBrand Report page via Charm.ioHitting on the convenience factor, Crumbl Cookies are available to their customers via takeout, delivery, curbside pickup, catering, and nationwide shipping. Crumbl also designed one-of-a-kind pink boxes that made their brand immediately recognizable and enabled the cookies to sit side-by-side, which preserved the decorations. The focus on aesthetics encouraged customers to share photos on Instagram and other social sites.
The company also created a rotating weekly menu introducing new flavors alongside their classic favorites, like the chocolate chip and chilled pink sugar cookies. The changing menu keeps consumers excited and provides a weekly invitation for fans to return for a new experience from their favorite brand. Crumbl has over 300 bakeries in 36 states nationwide.
Photo courtesy of sugoimart.com
Sugoi Mart has become a go-to source for all Japanese products, including food, beverages, and everything in between. As consumers seek more one-stop-shop options, Sugoi Mart has hit the stage at the perfect time, offering over 5,600 products. With nearly 2 million followers on Tiktok and a social media growth score of 94, it’s evident that the community Sugoi Mart has built is vital to its success.
Sugoi Brand Report page via Charm.ioSee the rest of the list for FREE when you enter your info.
These fast-growing DTC food and beverage brands are just some of the in-depth information you can view with Charm.io, the premier ecommerce intelligence platform that tracks 160+ metrics across over 4 million DTC brands.
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