Consumers Are Becoming More Selective—How D2C Fashion Brands Can Still Unlock Growth

Fashion brands are facing a shift. Consumers aren’t necessarily spending less – they’re becoming more selective. Economic pressures and shifting priorities mean shoppers are narrowing their brand set, choosing only a few they feel most loyal to.

As Hanna Lane, Group Director, Fashion at Power Digital, noted in a recent intake:

“Consumers are still shopping, but they’re reducing the number of brands they shop with. They’re tightening their circle to brands they feel most loyal to.”

For D2C executives, the challenge is clear: growth targets don’t disappear just because consumers are getting more selective. The key isn’t to spend more—it’s to spend smarter.

Not all markets are created equal. Some geos consistently produce high-value customers who stick, spend more, and buy again. Others deliver one-and-done deal-seekers.

This is where Expected Value Percent (EV%) comes in. EV% compares audience potential (TAM) against actual revenue share in each geography.

By mapping your revenue against EV%, you can clearly see where high-value growth opportunities exist—and avoid pouring dollars into already saturated markets.

One of the biggest mistakes brands make in selective-spend environments is doubling down on their strongest markets. While intuitive, it often means paying more for customers who would have purchased anyway.

Lane explained the risk:

“We’ve seen with some brands that 70% of their ad spend was flowing into regions where everyone already knew about them—because that’s where platforms naturally spend. It’s not efficient. EV% forces us to push dollars into areas where the audience is strong but under-penetrated.”

Instead of fueling brand-saturated DMAs, EV% helps you find “hidden growth markets” where your target customers live but revenue is lagging.

Reallocating budget isn’t about cutting spend—it’s about redirecting it for maximum incremental growth.

Consider a recent case study: Power Digital applied the EV% framework to a client in the shoe category known for comfortable, lightweight styles. By focusing Meta investment on underperforming but high-potential markets, the brand achieved:

The takeaway: in a selective-spend environment, reallocation beats brute force.

Beyond geo allocation, D2C fashion brands can layer on complementary strategies to protect growth when consumers are consolidating spend:

More selective consumer behavior doesn’t have to mean slower growth. It means shifting how and where you invest.

By leveraging Expected Value Percent (EV%), avoiding over-investment in saturated geos, and reallocating spend into high-LTV regions, D2C fashion brands can unlock hidden growth even as consumers consolidate their brand choices.

At Power Digital, we’re helping fashion executives turn consumer selectivity into competitive advantage with frameworks like EV%. Contact our fashion team today to explore how EV% can reframe your growth strategy in today’s market.