Will Amazon’s new online store disrupt the luxury fashion and beauty business?
Amazon.com has launched an online store-within-a-store concept — Luxury Stores — with the goal of establishing itself as a major player in the luxury fashion, beauty and accessories market.
The e-tailing giant is looking to attract both established and startup brands to serve as the luxury everything store for its Prime members. Amazon’s timing, depending on its ability to attract popular brands, could be particularly troubling for upscale department and specialty stores already struggling in the face of challenges created by the coronavirus pandemic.
The first major brand working with Amazon is Oscar de la Renta. The designer will feature its Pre-Fall and Fall/Winter 2020 collections, including ready-to-wear apparel, handbags, jewelry, accessories and a new perfume. Childrenswear is expected to be added soon. The Fall/Winter collection is currently only available in de la Renta’s boutiques and on its website.
“I would guess that somewhere near 100 percent of our existing customers are on Amazon and a huge percentage of those are Prime members,” Oscar de la Renta CEO Alex Bolen told Vogue. “So, they’re already in that environment. For me to get more mindshare with existing customers in addition to getting new customers — that’s the name of the game. We want to be able to talk to her wherever she’s comfortable shopping.”
Luxury Stores is now available by invitation-only to eligible Prime members in the U.S. Those not already included may request an invitation through Amazon. Shoppers can access the store through the latest generation Amazon mobile app.
With its new offering, Amazon is also taking on concerns about counterfeits on its site. The e-tailer said all products purchased through Luxury Stores are sold directly by the brands themselves and guaranteed to be authentic.
Amazon is also seeking to address oft-voiced concerns about the luxury shopping experience, or lack thereof, on its site with “View in 360,” an interactive feature that allows Prime members to see the items they are thinking of buying in “360-degree detail,” according to a statement provided to the press. The idea behind the feature is to give shoppers a better idea of an item’s fit while making it easier and more entertaining to shop.
The designer and Amazon collaborated on a launch video for Luxury Stores starring Cara Delevingne.
- Luxury Stores video and images
- The next destination for luxury – Amazon.com
- Amazon Launches Luxury Stores on Its Mobile App With Oscar de la Renta as First Brand Partner – Vogue
- Will Amazon’s new luxury online store be fashion’s savior — or archenemy? – NBC News
- Will Bloomingdale’s grab hold of the luxury products market? – RetailWire
- Neiman Marcus launches digital hub to bring the in-store experience online – RetailWire
- Can luxury retail attract a new generation of shoppers? – RetailWire
DISCUSSION QUESTIONS: Will Amazon’s Luxury Stores disrupt the luxury fashion and beauty business? How do you expect Amazon’s retail rivals and mall operators to respond?