Here are 1-3 brief analogies to describe Digital Brands Group (DBGI):

• A digital-first Procter & Gamble for fashion brands.
• A 'Thrasio' for direct-to-consumer fashion brands.

• Women's Contemporary Apparel: Offering a range of sophisticated and relaxed clothing items through brands like Sundry and Bailey44.
• Denim and Ready-to-Wear Apparel: Providing denim jeans and other casual wear, primarily through the Pistola Denim brand.
• Luxury Bath & Body Products: Featuring premium sugar scrubs and other body care items from the Harper + Ari brand.
• Luxury Vintage and Pre-Owned Fashion: Supplying high-end authenticated vintage and pre-owned luxury apparel and accessories through What Goes Around Comes Around.

Digital Brands Group (symbol: DBGI) primarily sells its products to other companies (B2B), although it also operates a direct-to-consumer (D2C) channel. For the third quarter of 2023, wholesale sales accounted for $3.8 million, significantly exceeding direct-to-consumer sales of $1.5 million.

Based on the company's SEC filings (Form 10-K), no single customer accounted for more than 10% of Digital Brands Group's net sales for the fiscal years ended December 31, 2022, or 2021. Therefore, there are no individually identifiable "major customers" that can be listed by name as exceeding this threshold.

However, Digital Brands Group distributes its brands (such as Bailey44, Stateside, and Sundry) through various types of retailers. While these are not identified as individual major customers due to the lack of sales concentration, they represent the categories of companies that purchase from DBGI. Examples of the types of companies that carry their brands include:

• Department Stores: Large national and regional department stores that stock fashion apparel. Examples of public companies that operate in this category include:
  • Nordstrom, Inc. (symbol: JWN)
  • Macy's, Inc. (symbol: M)
  • Dillard's, Inc. (symbol: DDS)
• Online Fashion Retailers: E-commerce platforms specializing in contemporary fashion. An example of a public company in this category is:
  • Revolve Group, Inc. (symbol: RVLV)
• Specialty Fashion Boutiques: Independent and multi-brand fashion boutiques. These are typically smaller, privately-owned businesses located across various geographies.

John Hilburn Davis IV ("Hil"), Chief Executive Officer

Hil Davis has served as President and Chief Executive Officer of Digital Brands Group since March 2019, having joined the company in March 2018 to overhaul its supply chain. Prior to his tenure at Digital Brands Group, he founded and was CEO of BeautyKind from October 2013 to January 2018. He also founded and served as CEO of J. Hilburn from January 2007 to September 2013, growing the made-to-measure men's apparel brand to $55 million in revenues in six years. Before entering the e-commerce sector, Mr. Davis worked as an equity research analyst, covering consumer and luxury publicly traded companies at firms such as Thomas Weisel Partners, SunTrust Robinson Humphrey, and Citadel Investment Group from 1998 to 2006.

Reid Yeoman, Director of Finance/CFO

Reid Yeoman has served as the Director of Finance/CFO of Digital Brands Group since September 30, 2019.

Laura Dowling, Sales & Marketing

Laura Dowling is involved in Sales & Marketing for Digital Brands Group since January 31, 2019.

There are two clear emerging threats for Digital Brands Group (DBGI):

• Rapidly Evolving Digital Commerce Landscape with the Rise of Social Commerce: The accelerated growth and increasing dominance of social commerce platforms, particularly TikTok Shop, Instagram Shopping, and similar live shopping models, represent a significant shift in how consumers discover and purchase products. These platforms are transitioning from mere advertising channels to integrated transactional ecosystems that prioritize in-app discovery and direct purchase. This trend challenges traditional direct-to-consumer (DTC) marketing strategies that rely heavily on paid ads driving traffic to brand-owned websites. For DBGI, whose business model centers on acquiring and scaling "digitally-native" lifestyle brands, their existing omnichannel platform and marketing infrastructure may not be agile or deeply integrated enough to effectively compete within these new social commerce paradigms. Brands not optimized for these platforms risk diminished visibility, increased customer acquisition costs, and reduced sales against competitors that leverage native social commerce capabilities.

• Diminished Investor Appetite and Increased Scrutiny for the DTC Brand Aggregator Model: Following a period of rapid expansion and significant capital infusion, numerous DTC brand aggregators (often referred to as "roll-ups" or "Thrasio-clones") have encountered substantial operational hurdles, struggled with profitability, and in some cases, failed outright. This has led to a notable cooling of investor sentiment towards the brand aggregation model and a much higher bar for valuation and funding within the sector. While DBGI focuses on lifestyle brands rather than purely Amazon FBA brands, the underlying challenges of integrating disparate brands, achieving economies of scale, and navigating rising digital marketing costs are universal. This emerging skepticism directly impacts DBGI's ability to raise capital for future acquisitions, secure favorable financing terms, and attract or retain talent, thereby undermining its fundamental growth strategy in a capital-intensive industry.

Digital Brands Group (NASDAQ: DBGI) operates in the apparel retail sector, focusing on a portfolio of luxury lifestyle brands distributed through direct-to-consumer and wholesale channels. The company also emphasizes the integration of technology, particularly AI, into its e-commerce operations for brand protection, data security, and enhanced customer experiences.

The primary addressable markets for Digital Brands Group's main products and services are the e-commerce apparel market and the rapidly emerging digital fashion market.

E-commerce Apparel Market

• The global e-commerce apparel market was valued at approximately USD 714.30 billion in 2024 and is projected to reach around USD 1,706.58 billion by 2034, growing at a Compound Annual Growth Rate (CAGR) of 9.10% between 2025 and 2034.
• Another estimate places the global e-commerce apparel market at USD 766.17 billion in 2024, expected to grow to USD 1504.37 billion by 2032.
• The global fashion e-commerce market size was valued at US$ 886.18 billion in 2025 and is expected to reach US$ 2110.80 billion by 2032, with a CAGR of 13.2% from 2025 to 2032.
• In terms of regional share, North America's e-commerce apparel market was valued at USD 242.86 billion in 2024 and held the largest market share globally at 34%. Europe also held a dominant position in 2021, accounting for over 35% of the revenue share. The Asia Pacific region is anticipated to experience the quickest growth in e-commerce apparel.

Digital Fashion Market

• The global digital clothing market, which includes virtual apparel and 3D fashion, was valued at $498.7 million in 2021 and is projected to reach $4.8 billion by 2031, exhibiting a substantial CAGR of 26.4% from 2022 to 2031.
• More recent projections indicate the global digital fashion market size was valued at USD 1,097.26 million in 2024, is projected to reach USD 2,935.61 million in 2025, and is expected to hit nearly USD 7,853.94 million by 2026, advancing to USD 7,705,628.36 million by 2033 with an extraordinary CAGR of 167.54% during the forecast period 2025–2033.
• Another report estimates the global digital fashion market size at USD 2.91 billion in 2025, projected to reach USD 7.8 billion in 2026, and further grow to USD 147.5 billion by 2035 at an estimated CAGR of 167.54% from 2026 to 2035.
• North America was the largest market for digital clothing in 2021, capturing nearly two-fifths of the global market share, and is expected to maintain its lead in revenue by 2031. Europe holds a 38% market share, North America 33%, and Asia-Pacific is rapidly expanding with a 29% share in the digital fashion market.

• Increased Digital Revenue through Strategic Partnerships: Digital Brands Group has partnered with VAYNERCOMMERCE, a digital growth agency, to significantly boost its digital revenues. This collaboration has already demonstrated positive early results, with a reported 34% increase in daily digital revenues and a 7% rise in average order volume during a 17-day period in late 2024. The company intends to further expand this partnership to include email and SMS campaign services, aiming to enhance online presence and sales.
• Strategic Pricing Initiatives: DBGI plans to implement price increases for its wholesale products and introduce direct-to-consumer pricing strategies. These adjustments are aimed at improving revenue generation and overall profitability.
• Expansion of Direct-to-Consumer (DTC) Offerings and Market Channels: The company is focused on expanding its reach through platforms like TikTok for product launches and increasing its direct-to-consumer sales. This includes the recent launch of a new DTC women's apparel brand, AVO, which aims to provide premium apparel at competitive prices. DBGI also emphasizes leveraging customer data and purchase history to create personalized content and looks, with the goal of increasing "closet share" by encouraging customers to buy more of its brands.
• Shift to Top-Line Growth Focus: Following a period concentrated on debt and liability reduction, Digital Brands Group transitioned in October 2024 to prioritize increasing top-line revenue growth. This strategic shift is expected to fuel future sales expansion as the company actively pursues growth initiatives.

Share Issuance

• In May 2021, Digital Brands Group completed a small-cap unit offering at $4.15 per unit, consisting of one share of common stock and one warrant, totaling 2.4 million units.
• In August 2025, the company issued 14,031.25 shares of Series D Convertible Preferred Stock with a stated value of $14,031,250 as part of an $11.225 million PIPE financing.
• An amendment to the PIPE financing in September 2025 led to the issuance of an additional 1,875 shares of Series D Convertible Preferred Stock with a stated value of $2.16 million, securing an additional $1.5 million in investment.

Inbound Investments

• Digital Brands Group secured an $11.225 million Private Investment in Public Equity (PIPE) financing in August 2025 from select investors.
• The company received an additional $1.5 million in September 2025 through an amendment to its PIPE financing, with a new accredited investor purchasing Series D Convertible Preferred Stock.

Outbound Investments

• Recent initiatives include the acquisition of technology assets from Open Daily.