If you have not heard, retail is in trouble. Except hundreds of clothing stores that have closed permanently after the coronavirus brought shopping to a screaming halt, we have also spent the last year watching the slower (though no less tragic) decline in malls as Macy’s and JC Penny, not to mention bankruptcies by Always 21 and Neiman Marcus. Meanwhile, consumer surveys are suggests that there is a good chance that some people will be okay with never setting foot in a brick store ever again.
It is against this incomprehensibly fucking background that Amazon rolled out Luxury shops, which may be one of the most disgusting companies in general $ 1.5 trillion dollars the company has started. The program that is invited only is intended to provide 1% access to what the company calls “A” store within a store “experience” inside the Amazon app. Brands can “independently make decisions about their inventory, choices and pricing” about what they want displayed on their Amazon page, and potential customers can review their items via full 360-degree views of every piece of clothing at the highest details Amazon’s website can pattern.
“Enjoy access to the latest collections and exclusive items from each luxury brand with Prime delivery,” the company describes in its website, which it labels as “the address of the world’s most sought-after fashion and beauty brands is in your hollow hand.”
Despite being it largest retailer for clothing all over the United States, the Amazons fought for the right to high-end brands (and their high-end shoppers) for years. Major couture brands such as Louis Vuitton and Chanel have turned their respective noses up to the e-commerce giant as far back as 2016 with reference to concern over the many, many counterfeits floating across the Amazon ecosystem that the company directly benefits from every day.
Earlier this year, LVMH CEO Bernard Arnault (who oversees the conglomerate that houses Louis Vuitton, Fendi and others) directly said:
“They use their database to connect customers with sellers, and they take a percentage that leads them – and we will try to combat this on their part and others – to sell counterfeit products.”
Yes no thank you. And it does not even touch the road generic brands has largely come to dominate the platform over the years and the fact that the Amazon store format just does not scream “Upscale” to the average upscaler. That’s probably why the sneaky examples of the app-within-an-app that Vogue has got his hands on—With its spartan design and gold on white color scheme – looks distinct in contrast to the average Amazon pages we see when we’re full of buying Guy Fieri hoodies (or Anything else) on a Saturday night.
Luxury stores feel like a jubilant victory based on Amazon’s merits, and the more it just looks like the result of a perfect pandemic-induced storm. An entire country is largely locked inside for several months in a row approached Amazon to get his shopping fix and is now stuck in the company internet.
During the company’s last quarter subscription services skyrocketed, and the company reaped a hefty $ 50 + billion in retail sales. If Bezos’ ultimate goal for his company is to undertake online shopping synonymous with the Amazon brand, he does a pretty good job.
That’s why Vogue’s interview with Alex Bolen – CEO of luxury retailer Oscar de la Renta and the first brand to collaborate on Amazon’s latest venture – is so telling, especially as Bolen was pressured over the brand’s previous reluctance to indulge in this kind of partnership (highlight our):
I would guess that somewhere close to 100% of our existing customers are on Amazon, and a large percentage of them are Prime members. So they are already in that environment, ”he says. “For me to get more thinking with existing customers in addition to getting new customers – that’s the name of the game. We will be able to talk to her where she enjoys shopping. ”
When pressured by perceived perceived opposition to the world’s largest online retailer, he adds: “This idea that you do not want to talk to a customer where she spends much of her time is a mistake.”
Amazon’s marketplace is a mediocre product. It’s rich fraud, fake reviewsand shit that can literally get you killed. The people who keep it in operation are exposed inhuman working conditions And sometimes that as a result. But in the end, Amazon does not think so, as long as it can maintain the market power of this mediocre product and in turn use the same market power to strong arm competitors to play by Amazon’s unfair rules. IWhen it comes to its luxury wing, it seems that Amazon finally managed to get the edge over a of its toughest opponents not only through brute force, but by exploiting a deadly, economic-crushing global pandemic.