>>> benchmarks

2026 DTC Benchmarks by Category

Category-level data for consumer brands: customer acquisition cost, gross margin, contribution margin, EBITDA, repurchase rates, and lifetime value. Sourced from published datasets and written for brands doing $5M to $75M.

Benchmarking data in ecommerce usually gets published as a single average across all categories. That makes it almost useless as a diagnostic tool. A supplement brand where 37% of new customers reorder within about three months is in line with its category (Decile, Q1 2024 cohort: 37.67%). A home goods brand at that rate would be doing something exceptional: in Bluecore's data, 14.7% of first-time home goods buyers bought again in the same year (2023). A $53 CAC in food and beverage is average (First Page Sage, 80+ ecommerce clients, 2020-2025). That same number in jewelry would mean you've found an acquisition channel nobody else has.

Knowing your numbers is the first step to seeing the business clearly. The numbers below are pulled from six primary datasets: First Page Sage (fully loaded CAC, 80+ ecommerce clients, 2020-2025), Finaloop (P&L benchmarks, 2024 data, hundreds of 7- and 8-figure brands), Ecom CFO (2025 P&L data, 18 private brands), Bluecore (repeat purchase, 100+ retailers), Decile (supplement repurchase), and Onramp Funds (inventory turnover guidance). I use these benchmarks in my advisory work with consumer brand founders, and I update them as new data comes in.

If you run a consumer brand between $5M and $75M, these are the numbers your business should be measured against. The goal here is diagnosis, not vanity: understanding where you sit relative to your category so you can make better decisions about where to focus.

The comparison table

This table shows the core operating metrics across six consumer brand categories. CAC is First Page Sage's fully loaded figure: all marketing and sales spend divided by new customers. Gross margin is Finaloop's 2024 category median, and it is also fully loaded, after shipping, fulfillment and payment fees. Compare it with your own margin after those same costs. Repurchase rate is the share of first-time buyers who bought again in the same calendar year (Bluecore, 2023 data, 100+ retailers, mostly omnichannel). The supplements figure is Decile's and uses a window of about three months. "(est.)" marks my own estimates, and a dash means I found no sourced figure. The category cards below use the same figures. The "Key Insight" column highlights the single most important thing to understand about operating in that category.

Category Avg CAC (fully loaded) Gross Margin (fully loaded) Repurchase Rate (same year) Key Insight
Beauty $61 53% 21.5% Margins vary widely, from 16% to 76% (Finaloop). The risk is CAC inflation eating the margin.
Fashion $66 57% 20.2% Returns and inventory kill more fashion brands than slow growth does.
Supplements $61 (est.) n/a 37.67% (within ~3 months) Repeat comes fast. The business model runs on subscriptions.
Food & Beverage $53 n/a n/a Lowest CAC. Retail distribution is where the profitability math works.
Pet $59 (est.) 50% n/a Huge spread between the best and worst brands (74% GM vs 27%, Finaloop). Category rewards loyalty.
Home $58–$77 n/a 14.7% Below-average repeat. But by month 12, top-quartile brands earned $122 (+102%) more revenue per customer than the median (Varos × Bamboo, 2022 Shopify data).

A few things stand out. First, CAC varies less across categories than you might expect: $53 to $91 for the full range (First Page Sage, 80+ ecommerce clients, 2020-2025). The real differentiator is what happens after the first purchase. In Decile's data, 37.67% of supplement customers acquired in Q1 2024 bought again within about three months. In Bluecore's retailer data, 14.7% of first-time home goods buyers came back within the same year (2023), a much longer window. That difference in repurchase rate is why a supplement brand can afford the same CAC as a beauty brand but build a fundamentally different P&L. If you are looking at your CAC in isolation, you are answering the wrong question. The question is: what does your CAC buy you in terms of repeat orders, and does that payback math close within 12 months?

Second, gross margin alone is not a reliable indicator of business health. Pet brands have a 47-percentage-point spread between the best and worst performers (74% vs 27%, Finaloop, 2024 data). That spread is wider than the gap between the apparel median (57%) and the sporting goods median (43%). The variation within a category is often larger than the variation between categories. The operating implication: comparing your margin to a cross-category average is misleading. Compare against your own category, then check whether your contribution margin (gross profit minus fulfillment, shipping, processing, and variable marketing) still looks healthy after the real costs are loaded in.

Why category-level benchmarks matter

Generic ecommerce benchmarks create two problems. They give high-margin categories false confidence ("our gross margin is above average") and they make low-margin categories look broken when they're actually performing well for their vertical.

A sporting goods brand running a 48% fully loaded gross margin is performing solidly for its category, where Finaloop's 2024 median is 43%. An apparel brand at the same margin sits 9 points below its category median of 57%. Without category context, both would be measured against the same 52% median Finaloop reports for 7-figure brands, and both would look slightly below average. Both readings would be misleading.

The same logic applies to CAC. Northbeam reports that median first-time CAC rose nearly 9% in 2025 (vendor data, sample not disclosed). That is the macro trend. But the question that matters for your business is: given your category's margin structure and repeat purchase behavior, what CAC can you actually afford? That requires category-level math, not a universal benchmark.

How to use these benchmarks

Start with your category page below. Compare your gross margin, CAC, and repurchase rate against the category data, using the same definitions and windows. Then run the math on your LTV-to-CAC ratio. A 3:1 ratio is a common rule of thumb, and below 2:1 is a warning sign. Measure LTV on fully burdened gross profit (net of COGS, discounts, returns, fulfillment, shipping, and processing fees), over a window that matches how often your customers reorder. If you are sitting between 2:1 and 3:1, the priority is retention economics: increasing repeat rate and AOV on existing customers will move the ratio faster than cutting CAC.

Next, look at your contribution margin. This is gross profit minus variable costs (fulfillment, shipping, payment processing, variable marketing). Top-quartile brands (75th percentile) run about 35% contribution margin; the median is around 25% (Finaloop, 2024 data). My red line is 20%. Below it, the business is in trouble regardless of what gross margin says. Gross margin tells you what the product earns. Contribution margin tells you what the business earns after it actually gets the product to the customer. If you have never separated these two numbers, that is the single most important financial exercise you can do this quarter.

Finally, check your EBITDA margin against your revenue tier. Median EBITDA for brands doing $1M–$10M is 4%. For $10M–$100M, it is 7% (Finaloop, 2024 data). Ecom CFO's 95th percentile for $10M–$50M brands was 17.51% in 2025 (18 private brands), so 15–20% is roughly top-5% territory. If your EBITDA margin has dropped, the question is whether you know why and are doing something about it. If your EBITDA is below 5% at the $10M+ stage, the path to improvement almost always runs through cost structure (G&A, headcount, tool spend), not revenue growth.

Benchmarks by category

Category

Beauty & Personal Care

Margins vary widely from brand to brand. The challenge is rising CAC and crowded paid channels.

Avg CAC: $61 | Gross Margin: 53% (fully loaded)
View beauty benchmarks →
Category

Fashion & Apparel

Solid margins with high return rates and inventory complexity.

Avg CAC: $66 | Gross Margin: 57% (fully loaded)
View fashion benchmarks →
Category

Supplements & Wellness

Repeat comes fast. The business model is built on subscriptions.

Avg CAC: $61 (est.) | Repurchase: 37.67% (~3 months)
View supplement benchmarks →
Category

Food & Beverage

Lowest CAC. Retail distribution is where profitability lives.

Avg CAC: $53
View F&B benchmarks →
Category

Pet & Animal

Huge performance spread. The best brands run 74% GM vs 27% for the worst.

Avg CAC: $59 (est.) | GM range: 27–74% (fully loaded)
View pet benchmarks →
Category

Home & Accessories

Below-average repeat purchase, but a wide gap between top-quartile and median revenue per customer.

Avg CAC: $58–$77 | Repurchase: 14.7% (same year)
View home benchmarks →

The cross-category patterns

CAC keeps rising everywhere

Triple Whale's data across 53,000+ brands shows median paid-ads cost per acquisition up 5.1% year on year (Aug 2025–Jul 2026). If your CAC has climbed in the past 12 months, the first question is whether you are tracking it at all. The second is whether you are measuring blended CAC or channel-level CAC. The difference matters: your Meta CAC might be $85 while your organic CAC is $12, and a blended number of $55 tells you nothing useful. Pull your channel-level CAC from your ad accounts and attribution tool this week. If blended is the only number you have, that is the first thing to fix.

Contribution margin separates healthy from struggling

Gross margin gets the attention. Contribution margin determines the outcome. The gap between the two is fulfillment, shipping, payment processing, and variable marketing costs. In Finaloop's H1 2025 data, gross profit after shipping, fulfillment and payment fees was 55% of revenue, and variable ad spend took another 29 points, leaving a 26% contribution margin. At Finaloop's category medians, an apparel brand (57%) has 14 more points left for marketing than a sporting goods brand (43%), so it has more room to absorb mistakes. If you have never calculated your contribution margin as a standalone number, start there: Gross Profit minus fulfillment, shipping, processing, and variable marketing. If the result is below my 20% red line, your business is making money on paper and losing it in the warehouse.

Channel mix is shifting fast

Business of Fashion's case study on balancing DTC and wholesale (2024) makes the point that most brands need both. In Hahnbeck's late-2024 survey of about 12 PE firms, two-thirds valued omnichannel brands above pure-play DTC. My rule of thumb: if any single channel represents more than 70% of revenue, that is a high-risk concentration. Your margins might look great today, but you are one algorithm change or terms renegotiation away from a problem. Check your trailing-12-month revenue by channel. If one channel is above 60%, start planning the second channel now, not after the first one gets disrupted.

Inventory is the silent margin killer

The median brand in Finaloop's 2024 data held 129 days of inventory, and the range ran from 42 days to 466 days. The spread is enormous. Onramp Funds, a lender, calls 4–8 turns a year healthy on a COGS basis and says small sellers commonly turn 3–6 times (Sep 2026). Its rule of thumb: if product has been sitting for 90–120 days with no sales, it is time to consider discontinuing. Dead inventory does not show up on the P&L until you write it off, but it ties up cash every single day. Run an aging report on your current inventory. Any SKU over 90 days with zero sales velocity is a markdown candidate, and anything over 180 days is a liquidation or write-off decision you are deferring.

Universal benchmarks across all categories

Some metrics apply regardless of what you sell. Here are the thresholds I use when reviewing a brand's financial health. They are my own screen, separate from the sourced data above.

My health check thresholds

LTV:CAC: Green above 3:1, yellow at 2:1 to 3:1, red below 2:1.
Gross Margin (product, landed cost): Green above 55%, yellow at 45-55%, red below 45%.
Contribution Margin: Green above 30%, yellow at 20-30%, red below 20%.
EBITDA Margin: Green above 10%, yellow at 5-10%, red below 5%.
Inventory Turnover: Green above 4x, yellow at 2-4x, red below 2x.
Channel Concentration: Green below 50%, yellow at 50-70%, red above 70%.

Quick diagnostic

Pull these 3 numbers from your Shopify admin and accounting system: trailing-12-month gross margin after shipping, fulfillment and payment fees, fully loaded CAC (all marketing and sales spend divided by new customers), and repurchase rate from your email/CDP platform, measured over the same window as the benchmark. Compare against the category benchmarks in the table above. If your gross margin is healthy but your repurchase rate is below the category benchmark, the priority is retention (email flows, subscription, hero SKU strategy). If your CAC is above category average while your repurchase rate is strong, the priority is acquisition efficiency (channel-level CAC tracking, creative testing, organic investment).

Methodology and sources

The data in these benchmarks comes from six primary sources: First Page Sage (fully loaded CAC from 80+ ecommerce clients, 2020-2025), Finaloop (P&L benchmarks, 2024 data, hundreds of 7- and 8-figure brands), Ecom CFO (FY2025 P&L data from 18 private DTC brands), Bluecore (repeat purchase across 100+ retailers, mostly omnichannel), Decile (supplement repurchase, Q1 2024 cohort), and Onramp Funds (inventory turnover guidance). Individual points also cite Northbeam and Triple Whale (CAC trends), Business of Fashion and Hahnbeck's PE survey (channel strategy), and Varos × Bamboo (revenue per customer, 2022). Where category-specific data is not available from these sources, I've noted estimates based on adjacent category data and cross-referenced against patterns from my advisory work. Where I have neither, the table shows a dash.

I use these benchmarks with brands in the $5M to $75M revenue range. The source samples use their own size ranges: Finaloop's, for example, runs from $1M to $100M. Smaller brands (under $5M) typically have higher volatility in all metrics and should use these as directional targets rather than performance standards. Larger brands ($75M+) will have different cost structures and margin profiles that diverge from these midmarket ranges.

Frequently asked questions

What is a good CAC for a DTC brand?

Average CAC varies by category, from $53 for food and beverage to $91 for jewelry (First Page Sage, fully loaded: all marketing and sales spend divided by new customers). A good CAC depends on your LTV. A 3:1 LTV-to-CAC ratio is a common rule of thumb, and below 2:1 is a warning sign.

What gross margin should a DTC brand target?

The screen I use for product gross margin (landed cost) is green above 55%, yellow at 45–55% and red below 45%. Check the definition before you compare with category data. Finaloop's 2024 category medians are fully loaded, after shipping, fulfillment and payment fees: 53% for health and beauty and 57% for apparel and accessories (Finaloop, 2024 data). These vary significantly by category and business model.

What is a healthy EBITDA margin for an ecommerce brand?

Finaloop's 2024 data puts the median EBITDA margin at about 5% overall: 4% for $1M–$10M brands and 7% for $10M–$100M brands (Finaloop, 2024 data). Full-year 2025 data points the same way. In Ecom CFO's sample of 18 private brands, the $10M–$50M median was 8.09%, and the average fell to 7.25% from 9.97% in 2024. Ecom CFO's 95th percentile for that band was 17.51%, so 15–20% is roughly top-5% territory. On the screen I use, above 10% is green and below 5% is red.

How do I compare my brand's metrics to industry benchmarks?

Start with category-specific benchmarks rather than all-industry averages. Compare your gross margin, CAC, LTV-to-CAC ratio, contribution margin, and EBITDA margin against your specific category, then look at revenue-tier benchmarks for brands your size.

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