This post is a continuation of Alien Sighting Fast Fashion. It focused on Inditex’s fast fashion model and how it is disrupting traditional fashion retail competitors. This post is a continuation of how Amazon is disrupting the industry.
Amazon is attacking the brick and mortar approaches to fashion using its unique advantages and partnering. Rent the Runway and Gap (baby clothes and nursery goods) are partnering with Amazon to sell and fulfill in the Amazon sales channels. Amazon's research claims that fashion apparel is only worn by consumers five to seven times. Amazon looked to serve fashion shoppers with Prime Try Before You Buy, Personal Shopper, and Amazon Discover. Online shopping features like Merch on Demand (custom-produced clothing), Made for You (custom shapes and sizes), and virtual tryouts will be used to create a desirable shopping experience for consumers. The virtual try-on for shoes and focused shopping behavior methods were proven at Alien Invader Zappos. These proven approaches are now enabled in Amazon's web and app Ecommerce shopping.
Competing in global market spaces, Amazon will use its fulfillment capabilities and capacities, leverage enabling small and medium merchants to be merchandised alongside global brands, and common shopping experience features. Each of these capabilities (and the capacity usage they drive) brings Amazon and supplier/producer advantages:
1) People come to the 'Amazon Shopping Experience' on the web or app to shop in a highly monitored behavioral experience
2) Features can be scaled from tiny (limited edition influencers and Artist Merch Shop) to huge (applying to baby goods from The Gap or shoe brands on Zappos)
3) Partnering is huge – more than 500 brands focused on influencers and trend analysis, including global brands: Levi's, Calvin Klein, Adidas, Carter's, Ray-Ban, Skechers, and Guess
4) Suppliers see transparent logistics and fulfillment management – often at more efficient scales than they could possibly drive alone
5) Suppliers have a consistent platform to place advertising, influencer point-of-shopping videos, manage market rollouts, and limit in-house talent requirements
6) Managed supplier finances for tendering, returns, and payment flows
Amazon doesn't release detailed segment financials on shopping features or specific partners. Some Amazon Essentials/Basics/house brands are being restructured in ongoing assessment and evaluations. The longer term threat to brick-and-mortar and online fast fashion will be fought out one influencer and buyer at a time.
If you’d like to read more pieces about Alien Invasion – (Overwhelming competitors from another vertical market), you can find them at www.ekalore.com/alien-invaders
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