Direct-to-consumer (DTC) brands are expected to drive over $226 billion in retail sales for 2025 (Statista).
DTC brands sell directly to customers, cutting out the “middleman,” or third-party retailers and wholesalers. Eliminating this blockage allows those brands to establish direct relationships with consumers and power a loyal community. With the rise of social media usage and online shopping, online community engagement has become the foundation of successful DTC strategies.
In this blog, we’ll explore the power of online community engagement, its benefits for DTC brands, and community engagement techniques to help you build a thriving, loyal customer base.
Data of Total Projected DTC E-commerce Sales in Billions YoY (Statista, 2025)
Online community engagement refers to a virtual community of customers actively interacting through digital platforms, fostering a meaningful relationship between them and the brand. Unlike traditional marketing, which focuses on one-way communication, community engagement is about creating a two-way dialogue where customers feel heard, valued, and engaged in something bigger.
For DTC brands, this means going beyond transactional relationships and focusing on engagement & community building.
+Learn more: How to Build a Successful Online Community
1. Builds Trust and Loyalty
Brands actively engaging within their communities show customers that they care about more than just sales, building emotional connections and fostering long-term loyalty.
2. Drives Customer Retention
Engaged customers are more likely to stick around. Increasing customer retention rates by just 5% can boost profits by 25% to 95% (HBR).
3. Encourages Word-of-Mouth Referrals
Given a platform to manage an ambassador community, DTC brands can turn loyal customers into brand advocates who spread the word organically. This simultaneously builds credibility and reduces customer acquisition costs.
4. Provides Valuable Customer Insights
Grow alongside your brand community with two-way communication. Brand rewards engagement and ambassadors provide valuable feedback. This relationship helps identify pain points, improve products, and tailor your offerings to meet customers’ needs.
Most successful brands leverage user-generated content (UGC) on different social media accounts to establish a connection to their targeted audience. Understanding your demographics and planning effective UGC is the most important task when it comes to engagement and community building.
Start planning your content ahead of time to maximize reach and make your brand stand out! Download our free 2025 UGC Calendar for Ambassadors!
User-generated content is any form of customer-made content shared on a social media platform. Consumers are 77% more likely to buy products found through UGC (Bazaarvoice).
Originally, influencer marketing was the strategy to gain traction for a brand, using influencers’ large followings as a vessel to connect with potential customers. However, branded content through a well-known figure is inauthentic, which discourages the buyer’s decision.
By harnessing the power of loyal customers and fans, brands can promote UGC that are authentic, engaging, and fresh. At the core, humans crave connections and relatability, and what’s more perfect than an online community where brands can engage with their customers’ and fans’ content–all in one place.
+Read more: How to Find Ambassadors for Your Brand
UGC is a game-changer for online community engagement. By creating branded hashtags, running contests, and showcasing customer content, you can turn your audience into active participants and brand advocates. These community engagement techniques not only boost loyalty but also drive organic growth for your DTC brand.
Pro Tip: Don’t just collect UGC—engage with it! Like, comment, and share posts from your community. A simple “Thank you!” or “We love this!” can go a long way in building relationships and encouraging ongoing participation.
DTC brand, Dormify, expresses their concern in building an authentic community around their brand more efficiently while managing the seasonality of college “move-ins.”
After partnering with SocialLadder, Dormify’s ambassador program was transformed. They had full ownership of their ambassador program, allowing them to customize the experience without losing their brand’s identity.
+Read more: Dormify’s $760K Success
In just one year, Dormify saw significant success with their revamped ambassador program:
For DTC brands, staying ahead of the curve means embracing emerging trends and technologies that can deepen connections with their audiences.
Here’s a look at what’s in store for the future of engagement & community building:
By embracing these key strategies, you can create a thriving, engaged community that not only supports your brand but also drives its growth. Strengthen your community by growing with them–it is a team effort!
A brand’s success is not measured by the product they sell, but rather, the community they engage. The most powerful and influential brands harness the power of communities to create an authentic and inspiring space for loyal fans and customers.
SocialLadder understands how important it is for brands looking to grow through active engagement with customers. From starting to managing the ambassador program, we can be your guide to a strong and vibrant community.
Ready to harness the power of an online brand community?
Start by listening to your community, celebrating their contributions, and creating opportunities for them to shine! Your engaged community is the greatest asset for success.