What a term means, and if naming of the term is appropriate for thing it represents are two different discussions. I don’t think it is relevant how DLC is interpreted by an individual, but what it was coined to represent. It’s a bit like an argument that metroidvania isn’t a good term, because it doesn’t explain itself to new players - which is a fair criticism, but it also doesn’t make metroidvania mean something different, when someone misuses it.
Even if a term is widely misused it doesn’t mean that the word changes its meaning - people keep calling any piece of music “songs”, but it doesn’t change the fact that song is a specific musical form with voice, and people who keep misusing word “song” are [CENSORED].
That said, definitely DLC could use a neater term. Having to abbreviate it is a problem in itself, and as it has been proved it’s actual meaning is not well represented.