Solar energy is the most promising green energy resource, as there is an enormous supply of solar power. It is considered a good potential solution for energy crises in both domestic and industrial sectors. Nowadays, many types of solar systems are used for harvesting solar energy. Most of the research is focused on direct absorption solar collectors (DASCs) due to their ability to capture more solar energy. The effectiveness of DASCs is dependent on various factors, such as working fluid properties, geometry, and operating parameters. This review summarizes the impact of different design and operating parameters on the performance of DASCs. Many effective parameters are considered and their impact on optical and thermal properties is summarized. The influence of working fluid parameters, such as base fluid type, nanoparticle type, nanoparticle size, nanoparticle shape, and nanoparticle concentration on heat transfer performance, was discussed and their optimum range was suggested. The effects of collector dimensions and many novel design configurations were discussed. The effect of the most important operating parameters, such as temperature, flow rate, flow regime, and irradiance on collector performance, was briefly summarized.