Which statement is NOT an advantage of selling DTR?

• A. No intermediary costs
• B. Producers decide which retailers to pursue
• C. Producer has control over brand image
• D. Difficult with large retailers

Answer: (D)

Direct-to-retail (DTR) means selling straight to retailers, skipping wholesalers or distributors. The main advantage is that you eliminate intermediary costs, improving margins and giving you direct control over how products are priced and presented. It also lets you choose exactly which retailers align with your brand strategy, and keep tight control over brand image and messaging in-store.

The statement that isn’t an advantage is the idea that selling DTR is difficult with large retailers. In practice, large retailers are precisely the kind of customers that can be hard to win over, often requiring substantial scale, strong terms, and formal logistics. That challenge isn’t a benefit of DTR; it’s a hurdle.