Sure, supply chain issues have been incredibly problematic.
And Facebook's increased ad prices and Apple’s iOS privacy changes have had an impact.
But despite those challenges, the D2C bubble was going to burst for 2 main reason:
1. An over reliance on bottom of the funnel performance ad channels and short-term growth strategies. You can't growth hack your way to brand awareness. And certainly not to a long term business.
2. Astronomical valuations despite low brand awareness.
When founders and investors operate on the assumption that every single product has a limitless addressable market (or that all consumers are just like them), it's only a matter of time until reality bites.
Read more about how the direct-to-consumer craze is slamming into reality.