Say NO More....

I taught a web marketing seminar this Thursday hosted by Fashion Business Inc. located in“lovely,” downtown LA. One of the audience members whom I'll refer to as "George," asked the pointed question "Do retailers get upset when a wholesale company they buy from decides to sell online?"

This is something I’ve been asked time and time again….and something I’ve had to personally address as an Ecommerce project manager. It’s a very rational assumption, and if you’re a smart business person trying to cover all your bases it is definitely a reasonable question to give a thought to. “A Thought” notice the singular tense. I thought of answering that question with one word which would have been “NO," but of course I had to elaborate.

So, Let’s think about this….. I’m a loyal retail buyer, purchasing your product by the hundreds...so why in the world do you feel like you need to open a fabulous online store that will make MY customers drop me like a wet rag and buy from you?. .

The good thing is most retailers aren’t that insecure. Their store is about an experience they create which your product is only a portion of. The essence of a good boutique is the collection….where the buyer produces something where the whole is bigger than the sum of all parts.

Think about Intermix, Scoop, Shopbop. These successful stores’ merchandise mix, marketing and presentation make them successful. Whether or not you decide to sell on line is typically not an invasion on their customer or the sales of a particular product. Between the stresses of running a retail store they really shouldn’t even have time to give a damn. (excuse my french;)

Recently many luxury wholesalers such as Bottega Venata, Gucci and Diane Von Furstenberg have gotten the picture and pulled the veil off of their online stores.

Selling online has become a great branding technique and is also a revenue stream in the sense that transfers you into becoming a multi channel enterprise. In short Ecommerce can be a phenomenal way to strategically grow your business.

We did talk about it quite a bit. "George," understood and followed up with this question. ”What about taking about selling it for like 10% less than other retailers since you have a bigger margin???” My gosh “George,” just wanted it all. Now that my friend is equivalent to launching a website that has your middle finger on the front of it...then sending it to all of your current and prospective accounts. The answer to that question…..is actually four words “no…no and absolutely not.” And I'll say no more about it.