Katie Foreman
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3/8/2016
Fashion
E-tailing Vs Retailing
Dissertation – DE0449
Katie Foreman
Multimedia Design – School of Design
Year 3 – Dissertation – De0449
Northumbria University
Katie Foreman
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3/8/2016
Contents
Introduction
2
Chapter 1 – The Internet Revolution
3
Chapter 2 – Case Study – Boohoo - $135
7
million, 18 months…a dot com story from
concept to catastrophe
Chapter 3 – Data Collection – Comparing
15
E-tailing and Retailing
Chapter 4 – The Expansion of E-tailing
21
Introduce One Way to Shop
Chapter 5 – A Good Experience Makes
29
Retailers Profit
Chapter 6 - Retailers and E-tailers have
38
contrasting advantages in the Fashion
Industry
Conclusion
42
Bibliography
44
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Fashion E-tailing Vs Retailing
Introduction
This dissertation is a study on fashion e-tailing verses retailing. Analysing the ways they
compete against each other to dominate the consumer market.
The Internet made a major impact on the world, especially when it started to evolve
around 1996 and retail companies started to look into this new phenomenon. The fashion
world also has been progressing along side the rising popularity of using the Internet;
exploring the world into a whole new medium.
Research suggests fashion e-tailing and retailing have been competing against each other
since fashion took up this new medium. This has had a major impact on fashion branded
companies around the world. Shop retailers began to feel under pressure, as if they were
at risk of being usurped by the Internet as more and more companies turned to online etailing.
The ‘fashion e-tailing Vs retailing’ war began.
It was a rough start for many e-tailing companies; trying to workout the best strategy for
getting suppliers onboard and enticing consumers to shop online rather than in retail
shops. In doing so many retailers felt their profit margin was being jeopardised; part of
their consumer base started turning to online stores. Retailers were then faced with the
task of creating an unforgettable retail shopping experience.
Further research should support the argument of whether fashion e-tailing is taking over
from fashion retailing using secondary data and testing, along with a case study on
boo.com; the rise and fall of the company. Collecting primary data; conducting a
questionnaire asking people where they prefer to shop online or on foot in the shops, will
also show to some extent what people want.
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Chapter 1
The Internet Revolution
The Internet revolution began in the early 1990’s.
Mosaic web browser was setup in 1993 by Marc Andreessen, Eric Bina and others whilst
working at the University of Illinois in America; in the National Centre for Super
Computing (NCSA). They setup something that had never been seen before; using
imagery, text, video and audio to build a graphically impressive interface for the Mosaic
web browser. However it was not until 1994 when the Internet first began to attract the
attention of the public.
The web was finally coming to life; people started calling it a web explosion.
As Mosaic developed it soon changed its’ name to Netscape.
“Mosaic was a major catalyst in revolutionising the world. It helped cause the Web to
explode, and ultimately, the Internet to go commercial.” Sean MacLennan, 2007
Netscape have now been usurped in popularity by Internet Explorer which is now used as
the main browser by people surfing the web all over the world.
1995 was the beginning of the dot com bubble. Internet companies started appearing
everywhere; with a sudden surge young entrepreneurs setting up e-tailing business’.
Investors were constantly handing out money. The bubble burst in 2000; companies
failed to strive amongst their competitors and fell apart, whilst others such as Amazon
pulled through and proceeded with their success.
By 1996 many general trade companies were beginning to develop a desire for being on
the Internet, which was increasingly becoming a low cost, easy way of publicising a
business.
The Internet explosion started in America; they were ahead of Europe in their advance of
technology. The Americans predicted that by the year 2002 the Internet would become a
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three hundred billion dollar sector; already the amount of Internet traffic was doubling
every one hundred days.
Launching in 1995 Amazon became a leading e-tail company swiftly over taking many of
its competitors. Founded by Jeff Bezos the online bookstore gained one hundred orders
within the first day.
“Amazon.com Inc. was the poster child for the new Internet economy with its dynamic,
young chief executive and highly valued stock.” Frey, Cook, 2004
(Seattle Post-Intelligencer Reporters)
By 1998 Amazon launched its music store and continuing its success the company has
now progressed to sell DVDs, games, sports and leisure equipment and much more
building on its success in the online industry and expanding its consumer base every day.
Amazon did encounter rough patches along their journey; scraping through the so called
‘bursting of the dot com bubble’ they came across a major decrease in their profit margin.
However once Bezos started thinking he found the answer; he cut expenses, lost many of
his work force and transformed into an online portal in addition to the store.
“Amazon transformed itself from a specialty retailer into an online shopping portal,
taking a cue from auctioneer eBay, which set itself up as a mediator between buyer and
seller. It started selling products from companies such as Toys "R" Us and Target on its
Web site. It added merchandise from smaller retailers in its zShops. And it competed
directly with eBay through its Amazon Auctions.” Frey, Cook, 2004
(Seattle Post-Intelligencer Reporters)
As Amazon grew alongside other e-tailers the fashion industry started to investigate the
idea of fashion online. It was the late 1990’s when fashion started to appear on the
Internet, this amazing revelation got many people excited about the prospect of buying
their fashion clothes from the comfort of their home and getting their hands on designer
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labels which they were unable to purchase. This was due to store location and travel
expenses to reach them.
Boo.com was the company who brought this notion to life, spending millions of dollars
they become the true entrepreneurs of fashion online. Boo will go down in history for its
determination and courage throughout the Internet revolution however they will mainly
be remembered as the fashion company who lost $135 million dollars in eighteen months.
“Everything about boo was big. It was going to be the first global sportswear site, it was
going to use cutting edge technology, it had attracted more investment than any other
Internet start-up in Europe, and it had already burnt up a lot of money.” Cellan-Jones,
2003, p.63
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Reference List:
Cellan-Jones, R. (2003) dot.bomb – The strange death of dot.com Britain. Great Britain:
Aurum Press Ltd, p.4
Frey, C. Cook, J. (2004) Available at:
http://seattlepi.nwsource.com/business/158315_amazon28.html (Accessed: 8 January
2008) p.3
Sean MacLennan (2007) Available at: http://seanm.ca/mosaic/ (Accessed: 7 January 2008)
p.2
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Chapter 2
Case Study –
Boohoo - $135 million, 18 months…a dot com story from concept to
catastrophe.
Two minds, bags of imagination, enthusiasm and inspirational ideas, Ernst Malmsten and
Kajsa Leander set out to make a major impact within the Internet sector; making their
mark on the revolution of fashion on the Internet. The dot com bubble had begun and
they wanted to be ahead of all other competitors wanting to conquer the Internet.
Enabling people to get what they want when they want it, for a low cost and with
efficient delivery from any corner of the world.
Coming from Sweden Ernst and Kajsa were well aware of the technical advance America
had over Europe and their aim was to bring Europe up to speed. They began their
entrance into the World Wide Web in 1996 with a simple bookstore web site named
Bokus; selling a wide variety of books to students studying in Sweden. A few mistakes
were made and after getting too deeply involved with too many share holders and
investment bankers, Ernst and Kajsa decided to sell their stake in the business, however
they did agree to stay on as consultants for Bokus. This whole experience helped them
both to become young Internet entrepreneurs with a millionaire status. They were now
ready for a really ambitious project.
Time had passed by and by 1998; after taking some well deserved time out Ernst and
Kajsa were ready to expand their minds.
Kajsa had an extremely ambitious idea. She had discovered a dark area of the Internet
which needed to be explored. Fashion had barely reached any form of status on the
Internet. Kajsa wanted them to go global, selling clothing and fashion accessories to
anyone and everyone that wanted them; for a low cost with an efficient, free if possible,
delivery service. Ernst reluctant at first, later agreeing to this new venture with a lot of
enthusiasm, took all of this information onboard; deciding that they must get started
straight away.
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The pair; Ernst and Kajsa took on an investment banker whom had helped them during
the Bokus sale; Patrik Hedelin. They needed someone to handle the financial side of the
business and between them they decided, due to past experience he was perfect for the
job. Patrik showed immediate interest and the three of them joined together to form a
strong partnership; of which Patrik would be the CFO (Chief Financial Advisor).
After a lot of gruelling research they decided to focus their website on major sports and
fashion brands suited to people all over the world.
The first hurdle the team came to was trying to get suppliers onboard; many of the shop
retailers thought that the internet was going to take over from their shops which would
lead to their businesses being closed, therefore they were not willing to agree to supply
there good for boo.com to sell online until other well known retailer were onboard.
It was June 1998 when things started looking up as Partik received a call that would get
the company off the ground. JP Morgan; one of the most influential banks in the US, had
agreed to become their main investment advisor/bank, although they were based in New
York they also had another branch situated in central London. All that needed to be
discussed now was the launch date. When would boo.com be launched all over the world?
May 1999 was the target they gave themselves, now all they had to do was meet it. This
was a tasking thought for the team as they wanted to create something new, something
which had never been seen before; using 3D models of fashion items, revolving 360° to
show all aspects of the design, and using a virtual sales person named ‘Miss Boo’ to take
the user on a whole new shopping experience, it was going to be a journey the Boo team
would never forget.
Step by step they began to acquire their suppliers including New Balance, North Face and
Converse, using their best presentation skills to pitch their ideas for this global revelation.
“Because the Internet is global and can reach customers anywhere, anytime. We will
jointly market with suppliers to help strengthen brands.” Malmsten, Portanger and
Drazin supported the views of Kajsa Leander, 2002, p.52
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Failing to get Nike onboard was a major let down for Boo. Nike had decided to wait until
after the launch to make any decisions. To Boos’ surprise Nike was later seen signing a
deal with Internet sporting retailer Fogdog. After many months of trying to win over Nike
there was still no sign of success.
Late September arrived and Ernst, Kajsa and Patrik joined by Thomas Paulmichl; of JP
Morgan, met with Ericsson who gave a presentation of how they could be the technical
team Boo would need. They were sold. However this relationship did not last long; due to
junior staff with lack of experience Ericsson were soon replaced.
A lot of meetings were beginning to accrue and it became apparent that executive
assistants were needed to help out. Ernst employed Edward Griffith; ex-researcher of new
Internet technologies. Kajsa employed Martin Bartle; ex-marketing director of a small
Internet company and Patrik employed Charlotte Neser; ex-manager of Isis (university
magazine). They all started work in early November and by early December the team had
acquired a small office on Carnaby street, Soho.
Gathering investors day by day as the team had managed to get billionaire share holder,
Bernard Arnault of LVMH onboard as their lead investor.
Boo.com was to become something which had never been seen before using new, novel
ideas; people outside the company did not understand what this new, online retail website
was going to be like, but they were eager to find out.
Ernst, Kajsa and Patrik began hiring consultants, technical experts and buyers. The
workforce soon reached a team of over one hundred in London alone, not accounting for
those working in the offices elsewhere in Europe and New York.
With the business coming together Boo needed to be established in the fashion and
computing industry. Heading the advertising and promotions department Kajsa wanted
up-to-date, quirky designs for adverts and online magazines. Initially employing a design
company called Leagas Delay to handle this she was unhappy with the work they were
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producing and soon replaced them with BMP; a division of DDB; one of the worlds’
biggest advertisement agencies. They employed the ‘geek/chic’ approach to design.
“Instead of showing top sports people, boo’s ads would show geeks trying to be sporty
and failing. We’re trying to say that boo.com is where sports meets the computer world.
The geeks have found out about the sports by buying their clothes from boo.” Malmsten,
Portanger and Drazin, 2002, p.130 supported the views of Jeremy Craigen
Jeremy Craigen then gave Boo its slogan; ‘boo.com sports and streetwear on the net’
As ads went out and interviews with top magazine Vogue and weekly magazine
Woman’s Wear Weekly, Ernst, Kajsa and Patrik were becoming well known and global
consumer interest began into the journey of Boo and when this new use of technology
was to be launched. Receiving positive feedback following the interviews the Boo team
was pleased, although they were beginning to worry that they would not reach their
launch date.
As the 1st May passed people were disappointed globally. The pressure built up, the
workforce expanding; thousands of dollars were being spent on staff wages.
Cracks in the company had begun to appear as investors were unsatisfied with Patriks’
performance handling the finances; he later stepped down as CFO and took on a much
smaller post within the company.
Despite Boos’ failure to launch in May they were still receiving good feedback from
write-ups in newspapers and magazines. People were still showing interest and were very
excited about this new idea and the notion of having a virtual sales person to help them
make the right fashion decisions.
“boo.com’s dinky retro-graphics made me feel right at home. With zippy five-day
deliveries, 3D/360-degree product viewing, styling advice from Miss Boo the virtual sales
assistant/model, plus boo.magazine due to be launched online later in the year, we think
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we’ve seen the future of fashion.” Malmsten, Portanger and Drazin, 2002, p.195
supported the views of Wallpaper Magazine
More investors were needed to keep Boo afloat. New offices were opening in France; the
company was huge, and still Boo had not launched.
1st November 1999 was set as the new launch date, Ernst and Kajsa wanted to find and
resolve any underlying problems with the website before the launch. In order to do this
they decided to start a ‘soft launch’ on the 5th October; to be accessed purely by friends
and family. The site used the disguise web address of www.vodkagrapefruit.com.
Slowness and a few technical issues were raised and tech teams attempted to improve and
amend these problems previous to the launch.
The official launch of boo.com was late; occurring at 8:59am on the 3rd November 1999.
The moment many people had been waiting for had arrived and by 3pm there were
twenty-five thousand visitors, but only eighty orders were made, which was a
disappointment to the team.
Following the launch user feedback stated two main faults with the site. The first being
that those with a Mac computer were unable to make a purchase; the site made the
computer crash. This was resolved within two weeks. The second being slow download
times.
Sales slowly increased and within the first week boo.com received six hundred and nine
orders.
The technology used for boo.com was so advanced and expensive to run; cut backs had to
be made as they were rapidly running out of money. One hundred and thirty one people
lost their jobs as the online magazine was dropped. Sales were not increasing as hoped;
many people were not used to using the Internet, especially not for shopping for clothes.
Despite all the excitement and build-up to the launch something was holding customers
back from buying online.
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Ernst and Kajsa could only wonder if the support of Nike would have helped them reach
success, but this was something they would never find out. They were struggling
financially.
The companies’ structure needed a complete rethink. Sitting down to work out their next
plan of action they decided Boo was more like two separate companies, serving different
purposes, they were to be split. The first being boo.com as the online retail shop and the
other as a global retailing platform, shipping products anywhere in Europe and the United
States within five working days, handling in excess of 1500orders per day. This company
was named dolphin.com. The workforce was cut dramatically leaving a team of seventy
working for boo.com and team of one hundred and ten working for dolphin.com. This did
increase their sales, but it was not enough.
Offices had closed everywhere apart from those left in the London offices and they had
hit a financial crisis. Boo needed at least twenty million dollars to keep the business up
and running. Managing to get twelve million they were on their way but no further
progress was made. The liquidation of the company began, they were bankrupt and the
dream came to an end.
‘Boo collapses as investors refuse funds, 18th May 2000.’ Malmsten, Portanger and
Drazin, 2002, p.386 supported the views of Financial Times
Lessons have been learnt from the trials and tribulations of Ernst Malmsten and Kajsa
Leander. Spending $135 million in eighteen month their company did not succeed in the
online fashion world. Ernst and Kajsa simply spent far too much money on unnecessary
items. They tried to become too big too fast. They spent thousands starting up an online
magazine called ‘Boom’, which soon had to be scrapped due to lack of funding. The
technology the used was far to advanced for its time and cost millions of dollars to run.
Running there business into bankruptcy the Boo team failed to realise that they may have
been more successful having aimed lower; only have one unusual, desirable feature and
build up to what they had imagined in the beginning, rather than developing a website
which was not financially feasible.
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Progression through advanced technology has now seen many companies succeed as
various fashion e-tailers make more profit each day they are running; although the
majority of e-tailers still have not developed their sites to use the technology boo had
aspired to create.
Some consumers now look to the Internet before they consider the traditional retail shops
however others still prefer the whole experience of retail shopping over online shopping,
will one take over from the other, or are they equal in terms of popularity?
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Reference List:
Malmsten, E. Portanger, E. and Drazin, C. (2001) Boo Hoo; $135 million, 18month… a
dot.com story from concept to catastrophe. London: Business Books, p.7, 9, 10, 11
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Chapter 3
Data Collection Comparing E-tailing and Retailing
The underlying conspiracy still stands as to whether or not the online shopping
experience has taken over from the experience people get doing their shopping on the
high street.
Chris Nuttall (1999) an Internet Correspondent, carried out some extensive research into
this subject.
In the early stages of his research Nuttall found that there had been many contradictions,
as a survey by Dell; the computing company suggested ‘more than three million
households would buy their Christmas presents off the net’, whilst BT Click commented
‘only 20 per cent of the population used the net.’
Following Nuttalls’ research into other peoples findings, he decided to carryout a test of
his own; ‘The Oxford Street Test’, conducting a comparison between doing your
Christmas shopping in the crowds and the rain of West End London or doing it online.
Nuttall chose three different presents: a My Little Pony figure, a book; Glenn Hoddles’
World Cup Story and a satin camisole.
The following comparisons were made:
My Little Pony figure – in the famous Hamleys toy store Nuttall found a huge choice in
what he could purchase. There was a brilliant interactive element to the experience; the
toys could be held and played with. However this was not possible with all of the toys as
there were so many people. The My Little Pony cost sixteen ninety nine in Hamleys store.
The Hamleys Internet store was quite good however there was not as much choice. He
did find the My Little Pony and it was the same price with no delivery charge.
Glenn Hoddles World Cup Story – Nuttall loved the experience of browsing around
Waterstones bookstore; handling the book and having a sneaky read and scan through the
books. Although some of the books were discounted this one was not, it was seventeen
ninety nine. Online Nuttall logged on to www.amazon.com where he found the book for
more than seven pound cheaper. He ordered it, with delivery charge, gift wrapped with a
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message for an additional two pound. Resulting in there being only a two pound thirtytwo saving.
The satin camisole – Nuttall felt embarrassed in Dorothy Perkins looking for a camisole
for his wife. He saw that the price was twenty-eight pound and left the shop without
buying it. Online the camisole did not look as appealing as it had in the shop and it was
the same price with an additional one pound ninety-five delivery charge. He ordered the
camisole online. The following day Nuttall received a letter explaining that the item was
out of stock and he had not been charged. This was a disappointment and rather annoying
that this fact had not been expressed whilst the order was being made online.
All in all Nuttalls’ test proved there to be advantages and disadvantages of shopping
online and in the retail shops; savings were made, however the experience of browsing
round the store was lost, embarrassment was prevented, but the item was never received,
others had a very similar outcome.
There is a significant difference between the two types of shopping; each proving popular
with different people for various reasons. This will be discussed in further detail later.
In order to collect some more data a short survey/questionnaire was prepared. Around
two hundred people were targeted; one hundred male and one hundred female asking the
same questions; hoping this would provide a better view of how people like to do their
shopping and which experience they prefer.
They were asked to answer the following questionnaire:
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Questionnaire - E-tailing Vs Retailing
Sex:
Male
Female
Age:
16 – 24
25 – 30
31 – 50
51 +
If you had the option would you rather use an online model which could be adjusted
to your size (weight/height/hair/eye colour) to try clothes on and see what they look
like, or go into a shop, find an outfit and try it on in person?
Online
In the shop
Would you or have you ever been too embarrassed to buy something in a shop so
you bought it on the Internet?
Yes
No
Do you find items cheaper on the Internet rather than the shop, including delivery
charges?
Yes
No
Which items would you be more likely to shop for on the Internet?
Clothes
Electronics
Books/Dvd/Cd
Accessories
Would you say would buy more fashion items off the Internet rather than in the
shops?
Yes
No
Would you use the Internet to shop rather than the retail shops at a busy time of
year such as Christmas?
Yes
No
Which do you prefer the online shopping experience or the high street shopping
experience?
Online
High street
How many times a year do you use Internet shopping?
Weekly
Every other
Monthly
week
How many fashion websites do you know of?
1 or 2
5 to 10
10 to 20
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Once or twice
20+
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After the results had been collected there was a reasonable spread throughout the age
groups. However the majority (approximately eighty percent) of the people were under
the age of fifty; this did not affect the results as the answers given by those over fifty
were very similar; they did not know how to use the Internet.
A massive one hundred and eighty eight people found it very undesirable to use a virtual
model to try on clothes; they preferred the physicality of trying them on in a shop.
Reflecting back on Nuttalls’ survey; how some items can be embarrassing to purchase,
this questionnaire backed-up his theory as seventy of the individuals asked confessed to
buying items online due to embarrassment.
E-tailing did win the ‘price battle’; one hundred and ten people did find items a lot
cheaper on the Internet including delivery charges. Ninety of which were men. Although
this did seem to be because they were purchasing electrical equipment, books, DVDs and
CDs rather than fashion clothes and accessories; only forty eight people said they would
purchase clothing from the Internet.
An enormous one hundred and eighty people would buy fashion items in the retail shops
rather than online, given the option.
The questionnaire also shows that fashion websites can exists without many people
realising they are there as twenty people only knew of one or two fashion websites,
ninety three knowing of five to ten, sixty five knowing of ten to twenty and only twenty
one who knew of more than twenty sites.
Drawing from the results, the impression given is that although e-tailing has taken off in a
big way for many companies selling books, DVDs, CDs and electrical equipment the
fashion e-tailing companies still have a long way to go in order to compete with e-tailers
such as Amazon.
Fashion e-tailers are progressing slowly; introducing the virtual model and using various
‘pull’ factors, enticing customers to use their websites to shop, pushing their attention
away from the retailers.
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Pull factors are used by both retailers and e-tailers; they are what boosts their sales and
makes the customers want to return to their store or website. Pull factors are seen by
places advertising sales; ‘50% OFF’, ‘Everything MUST go!’ For retailers carrier bags,
shop windows and bill boards are a great way of advertising sales. E-tailers can use flyers;
handed out in the street, web banners which appear when a person is surfing the web,
seasonal mailings to previous customers and newsletters. The more pull factors the better,
good presentation and customer service all adds to what will pull a customer to shop in a
certain place. Push factors are the reason for the failure of some companies; bad
presentation and customer service, no given incentive for the customer to return, resulting
in very little customer satisfaction.
E-tailing and Retailing both have a lot to offer. How does each succeed and which really
has the most control over the fashion industry?
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Reference List:
Nuttall, C. (1999) Available at: http://news.bbc.co.uk/1/hi/special_report/1998/12/98/ecommerce/236118.stm (Accessed: 10 August 2007)
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Chapter 4
The Expansion of E-Tailing Introduces a New Way to Shop
Companies from Europe were finally beginning to understand that online shopping may
eventually take over traditional retail markets, becoming a more profitable business
sector to work within in the late 90’s. It was a new era, with the Internet having a sudden
surge in popularity, challenging the dominance of traditional retail shopping; the ever
growing e-tailing business was taking off; doubling their sales each year.
“What is new is that fashion and style now circle the globe as fast as news does. The best
example of this new globalisation is found with teenagers. Teens literally feel more at one
with other teens elsewhere in the world than they do with adults in their own house. Teen
fashion trends and styles are global.” Pooler, 2003, p.159
Zoom; was a new fashion company using the Internet in 1999, which began by
developing a website which concentrated on ‘the brands of its parent’ - The Arcadia
Group had now taken over changing the domain of the website from www.zoom.co.uk to
www.arcadiagroup.co.uk.
The managing director of Zoom, Eva Pascoe quotes:
“Zoom is about opening up the Internet to a wider audience who want benefits but until
now have seen it as technically too complex to be relevant to their everyday lives.”
Pascoe, 1998
The Arcadia Group is a website which acted as an arcade for fashion, allowing users to
locate and link to seven of the leading high street retail websites; Burton, Top Shop, Top
Man, Miss Selfridge, Evans, Outfit and Wallis. Users can then buy gift vouchers, check
for recruitment in the stores and also look at press relations of the companies. This is a
very easy method of getting where you want to the Internet.
The Arcadia Group has made an operating profit of three hundred point six million;
implying a strong site with a huge market in the e-tailing business.
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Some companies started to give up on their quest to becoming an e-tailing business as
well as or rather than a retailing business due to technical advances; these advances were
happening globally as technology was changing so quickly, people were falling behind.
Some companies proceeded with their online developments working out pull factors for
their website to compete with the high street retailers.
Many people are constantly aware of the way they look and how they portray their
individual fashion sense. Many people have been known to keep up to date with the latest
fashion trends by logging on to the Internet. Researchers have understood that more
people; mainly women, are using the Internet to keep up to date rather than browsing
through magazines. This theory has been found to have increased over the past four to
five year. Fashion e-tailers can frequently update their website, making sure that they are
ahead with the current fashion trends.
"Mail order has failed to change or diversify sufficiently to appeal to today's more
demanding and sophisticated home shopping audience and Mintel believes that the
situation is largely the same across Europe. Home shopping retailers must admit that the
days of the big book are over and that the great hope of the home shopping industry is, or
should be, the Internet. The trouble with the mail order industry at the moment is that it
tends to see the Internet as a threat, where it should be seen as an opportunity. The
Internet is still seen by many as an exciting, new and convenient way to home shop, while
catalogues are often seen as old fashioned and downmarket," Perks, Available at:
http://www.pindar.com/ecommerce/archives/000237.html
Perks expresses the threat the internet is having on other retail companies. It has already
made an impact in decreasing the sales of catalogues; the online store is vastly becoming
more desirable to many women in their early twenties to late thirties, than a large, heavy
book.
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E-tailers have an advantage over retailers as they simply update their site in a matter of
minutes, some websites even keep old stock online, available to customers and present
the up to date fashion trends in a different section named ‘new in’ or ‘just arrived’.
ASOS is a fashion website developed purely for e-tailing purposes and has become a
major success. Deidre Molloy (2006) suggested that ‘brand marketing is the holy grail’,
ASOS have increased their market using email marketing; connecting with their
customers via email; letting them know about their order and track it until arrival. The
pull factors used by ASOS are to have discounted items, which is a very common factor
of fashion websites, the other is that they sell fashion items by linking some of them to
celebrities, for example ‘Polo Drape Back Dress in the style of Mandy Moor’. A certain
level of the market is inspired by the cult of celebrities. Making some believe they can
look like those in the spotlight. ASOS offer a wide range of brands; appealing to a
variety of market levels and merchandise. The site offers clothing to two audiences; one
named ‘The Collection’; reasonably priced fashion clothing and accessories, from as little
as £5, some of which are in the style of a celebrity, and the other named ‘Premium
Collection’ offering designer clothing, such as jeans by Rock & Republic. The e-tail
store caters for all selling fashion clothing and accessories for both men and women and a
small collection of home and beauty gifts.
Not all of the websites which started up during and towards the end of the dot com burst
in 2000 became failures. Boo.com tried and failed to conquer the Internet fashion sector.
Others succeeded without losing $150 million.
Net-a-Porter.com was one of the few successes.
“It was always my dream to be able to click on images in a magazine and buy. I think
Net-a-Porter is as close as it gets.” Borrelli, 2002, p.100 supported the views of Natalie
Massanet
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This is the main concept behind the website; the whole design of the website resembles
that of a catalogue e.g. the layout, trying to make shopping online a more exciting
experience.
Net-a-Porter.com launched in 2000. Right at the end of boo.com failing they were
launching a site which also sold luxury fashion items, including many top designer names,
selling at full price; also offering a delivery period of forty-eight hours for consumers
anywhere in the world. Shopping in retail stores can be seen as an experience which
consumers do not get when shopping online. Online shopping offers a different
experience, which is felt when receiving your purchase; presentation is everything and a
nicely wrapped purchase can be just as exciting to open as browsing the shops for the
perfect gift.
“Christian Louboutin recalls first seeing Net-a-Porter’s distinctive black boxes arriving
at his friend Daphne Guinness’ house in London.
“They were all packaged like presents,” He said” Horyn, 2005, supported the view of
Christian Louboutin
Ever since Loubutin made that observation the site has sold many of his branded fashion
items.
With help from social and fashion contacts; including Jimmy Choo, Natalie Massanet
saw Net-a-Porter survive the failures in 2000, getting a big break in 2002 when the chief
executive of Chloe; Ralph Tolendano agreed to her wishes of selling their products on her
website. Accumulating hundreds of orders the website became a hit, without the help of
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any retail shops, they became and still are a well known high class fashion e-tailing
company.
What is more beneficial to a company and to the consumer shopping online or in the store?
Past research has found that there are many benefits for a person who wants to become an
e-tailer rather than a retailer.
“This new mode of shopping exploits the power of the Internet. Rather than having a
traditional catalogue to shop from, Web shoppers literally have the world at their
doorstep.” Pooler, 2003, p.171
In some ways e-tailing is just an online catalogue; transferring from mail order to e-mail
order, both resulting in the purchases made being delivered straight to the door.
Nevertheless over the past decade there has been a growing trend with people shopping
via the Internet.
“Usage of search engines continues to grow at a remarkable clip. Between March 2004
and March 2005, the number of searches performed at search engines grew a whopping
45 percent.
Avid searchers are more likely to be buyers, according to comScore. Users who are
"heavy searchers" a group that makes up just 16 percent of the online population, spend
a hefty 35 percent of total online dollars. "Medium searchers," a group that comprises 23
percent of the Net population, spends a substantial 34 percent of total online dollars”
Maguire, 2005
Going online fashion from around the world is at your fingertips. There are no travel
costs and no hassle waiting in queues, pushing your way through busy crowds (especially
at hectic times of year such as Christmas). In addition Internet shopping offers a twentyfour hour service; for all those people who work during the week and by the time they
finish the retail shops are often closed. Shopping from the comfort of your home at your
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own convenience from what was going to be a three hour frantic shopping trip can
convert into a relaxed three minute wonder.
“While a catalogue and a store can be limited to a set number of pages and items, a
website is limitless. It can have as many pages as the e-tailer wants.” Pooler, 2003, p.171
E-tailing is advancing its technology everyday. Allowing the online privilege of using a
virtual model, people can now see what they would look like wearing a garment of their
choice. The leader in the market for virtual models is a company called My Virtual
Model Inc; progression in technology has brought the virtual model from a simple figure
with the ability for the user to adjust the size accordingly to a model with your own
personal features; giving a unique look to each profile.
“Users can now superimpose a photo of their own face onto their 3D virtual model. This
application meets the expectations of fashion shoppers who for years have been asking
for more realistic avatars. Using The Face, they can now personalize their virtual selves
and achieve greater satisfaction in their shopping and social experiences.” My Virtual
Model, 2007
Within the consumer market for shopping online these improvements have shown a
major increase in the users of virtual models; as they become realistic they become more
desirable to shoppers.
“My Virtual Model Inc., which now employs about a hundred people, has been setting
the standard for virtual identity since 2000” My Virtual Model, 2007
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The virtual model creates a new online shopping experience through three steps of;
‘Dynamic 3D model creation’; creating the size of the model e.g. waist, height etc. ‘Mix
and Match and save with ‘My Favourites’’; saving garments on the model to a personal
profile and ‘Garment and Outfit recommendations’; suggestions of other purchases to
add to an outfit. This all creates a fully rounded experience making shopping online more
than just browsing through web pages.
Fashion e-tailers have a lot of advantages over retailers; they are global and do not need
to spend thousands renting shops to do it.
“A bricks-and-mortar store has a limited geographical range. Customers have to travel
to the store and the total number of potential customers is therefore limited by
geography.” Pooler, 2003, p.175
Many e-tailers try to be as simple as possible; user friendly, making the consumer feel
like they are in charge. Contact details can be given, expressing that personal touch that
some people need; this can be added to a purchase by e-tail companies following up a
purchase with a confirmation email, and supplying them with regular updates on their
delivery. E-tailers will often store a customer’s email, enabling them to send seasonal
mailings, newsletters and advanced sales notices, this keeps the customer in the ‘fashion
loop’, giving them extra information. This is an extra privilege, not received following a
purchase made in a retail store. The Internet can offer fashion items that may have been
considered out of reach due to location issues and travel costs. Consumers with no time to
shop can do it online; preventing any hassle and having your purchases delivered to their
door. Which is the most preferred way to shop, the most desirable, enjoyable experience?
The competition is fierce, have e-tailers got the edge?
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Reference List:
Borrelli, L. (2002) Net Mode; Web Fashion Now. London: Thames & Hudson, p.22
Molloy, D (2006) Available at: www.nmk.co.uk/article/2006/04/04/fashion-digital-lense
(Accessed: 10th August 2007)
Horyn, C. (2005) Available at:
http://www.iht.com/articles/2005/12/15/business/porter.php (Accessed 15 December
2007) p.23
Maguire, J. (2005) Available at: http://www.ecommerceguide.com/news/trends/article.php/3524581 (Accessed:16th January 2008) p. 24
My Virtual Model (2007) Available at:
http://www.mvm.com/press.php?id=1196442274&lang_id=en (Accessed: 17 December
2007) p.25
Pascoe, E. (1998) Available at: http://news.bbc.co.uk/1/hi/special_report/1998/12/98/ecommerce (Accessed: 15 December 2007) p.20
Perks, R. (Director of Retail Research at Mintel.) Available at:
http://www.pindar.com/ecommerce/archives/000237.html (Accessed: 2 December 2007)
p.21
Pooler, J. (2003) Why We Shop; Emotional rewards and retail strategies. London:
Praeger, p.20, 24, 25, 26
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Chapter 5
A Good Experience Makes Retailers Profit
Shopping can be a good experience or a bad experience for the consumer. Since the etailing revolution began, retailers have to step up their sale strategies. They need to revive
traditional shopping, giving the consumer an experience they will want to repeat. Much
research has been conducted in this field; exploring retail shopping from every possible
angle.
“Not only is shopping melting into everything, but everything is melting into shopping.
Through successive waves of expansion – each more extensive and pervasive than the
previous – shopping has methodically encroached on a widening spectrum of territories
so that it is now, arguably, the defining activity of public life.”
Inaba, Koolhaas, Leong, 2002, p.29
Although internet shopping has taken off throughout the past decade people are still
wondering ‘why has shopping become such a major pert of our existence?’ An obvious
answer to several women would be that it has become more of an activity of leisure and
entertainment; similar to the experience of going to the cinema or on a night out with
friends, many describe shopping as ‘magical.’
Anthropologist Victor Turner1 has completed research into the act of a person going
shopping and he states that it is an event of religious significance; a ‘ritual’; entering a
shop and becoming completely immersed in the whole experience. Some people live to
shop they become addicted to it and feel it’s the only thing that will make them happy. It
is like a release for them, making them feel free from worries they may have. Others
enjoy shopping; it makes them feel good and shopping becomes something a person can
look forward to and get excited about.
1
Moss, 2007, p.1 supported the work of Victor Turner
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Retail shops of all kinds including fashion shops have started to take the experience of
shopping to the next level. For example the FAO toy store in New York not only sells
toys, but allows customers to interact and relive their childhood, playing tunes on the
gigantic piano on the floor; jumping from one key to another. Customers can also play
with some of the toys and see what’s new.
Retailers want to expand their consumer base by making shopping an entertaining
experience. They all use similar strategies such as the use of spinning signs, flashing
lights, thumping music, video screens, interactive kiosks/games, play houses and some
even have day care for kids and in store cafés for all those ravenous shoppers.
Most retailers believe they can fight against online e-tailers who are trying to take over
the fashion consumer by setting up online stores with discounted offers and home
delivery. Many state that e-tail stores are destroying the shopping experience, the feel and
look of the clothes when you try them on can no longer be grasped and the ability to
wonder, and sensuality to browse through various clothes racks is lost.
From the window displays to the carrier bags, retail shops are excelling themselves;
making every aspect of their shop count towards the overall result. Manipulating the size
and scale of display boards, signs and decorations; their main intention to ‘WOW’ the
consumers as they enter the store. Making sure all needs are met to a high standard.
Urban Outfitters is a fashion retail shop with branches all over the world. In the authors
experience it appears that in the New York branch, they strive to please their consumers
using quirky layouts for the clothing racks, shaped shutters separating different sections
of the store, popular music playing throughout, and a comfy seating area for anyone to
relax and take a break, maybe browse through a fashion book. (Urban Outfitters sell more
then just clothing). Time can fly by; hours pass without realising it as consumers are
immersed in the shopping environment.
Theorists have looked at the art of shopping from different aspects; comparing shopping
in supermarkets to department stores; examining how each emits a completely different
experience for the consumer.
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“Department-store shopping was leisured, middle-class, metropolitan. Supermarkets and
self-service, the great retailing innovations of the twentieth century, came from the
opposite directions. Instead of luxury, they offered functionality and standard products;
instead of the pleasures of being served, consumers could congratulate themselves on
saving money by doing the work themselves. Food shopping was associated with
necessity and routine, whereas department stores had promoted a sense of goods that
engaged new desires and possibilities, out of the ordinary. It was the difference between
going shopping – an open-ended, pleasurable, perhaps transgressive experience – and
doing the shopping, a regular task to be done with the minimum expenditure of time,
labour and money.” Moss, 2007, p.37/38 supported the views of Bowlby, R.
Department stores seem to be increasingly aware of the need to impress and attract a
wide consumer base. Stores such as Harrods and Bloomingdales develop amazing
exhibitions and mounted displays, which coincide with each season of the year or the
highs of the fashion industry. Retailers are mimicking this by adding quirky backdrops to
the dressed manikins to pull the consumers in, with their best outfits and accessories on
display; expressing the trends of the time and how to wear them.
Lauren Foster analysed how Selfridges, London, has been a major success in making
shopping an experience to remember; utilising performance arts, having celebrity
appearances, sculptures and innovative designs to recreate the passion of shopping.
“We are trying to assault everyone’s senses in as many ways as we can. We’re in the
entertainment business to some extent. It is not just the other retailers that we are
competing with. We are competing for leisure time.” Moss, 2007, p39 supported the view
of Williams, P. (CEO of Selfridges)
Various high street stores have caught on to the celebrity appearance and fashion range
being a key pull factor for the consumer market. Top Shop have promoted themselves
using a new designer range from Kate Moss; as her new collections reach the shelves she
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visits the major stores where millions of eager shoppers queue for miles to see the star
and buy her clothes. 'M by Madonna' is the new fashion range which has arrived in H &
M, the customers were taken aback by the timeless, unique and always glamorous style.
Celebrities do attract a huge consumer base although this is not due to the physical
necessity of the consumer it is mainly about personal satisfaction. Past research has found
that people do not necessarily buy fashion items because they need them; ‘two thirds of
everything bought is unnecessary.’ People impulse buy, sometimes giving them an
adrenalin rush, however most of the time items are purchased because they are expensive
or carry a designer label; this makes a person feel better about themselves, giving selfbelief that they are impressing others and showing off with their new clothes.
To retailers the brand their company holds is their most valuable asset. The brand also
becomes the companies’ status within the fashion industry; using brand association each
is given a label. For example Louis Vuitton and Prada are known as expensive brands
associated with celebrities.
“The consumer may be shopping to show off his/her personal success, to achieve a sense
of self respect, or to fulfil deep, inner psychological needs. That audio system, or those
designer jeans, may carry an outrageous price tag, but they also fulfil some profound
emotional compulsion that the shopper has.” Pooler, 2003, p.2
An individual’s fashion sense can make a statement about their personality, grouping
them into certain stereotypes. Retailers need to accommodate this by evaluating their
product line; if they are selling grungy, skater clothing they need to make their shop
design replicate their product, this will entice the consumer into the shop making them
feel like they are in a familiar environments, giving them the freedom and comfort to
browse at their own leisure. This is called strengthening the brand; increasing brand sales
and most importantly the profit.
“Women do 75 percent of all shopping. That tells us a lot about the nature of retailing
and the direction that marketing should take.” Pooler, 2003, p.5
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This concerns mainly women those who like to indulge in self satisfaction and the
pleasure which browsing through the shops provides.
Retailers investigate the consumer trends, needs, wants and desires when they are
designing their shop layout. For example department stores such as Debenhams and John
Lewis have the cosmetics department right at the front of the store, why?
“Shopping becomes much more than an activity we carryout in order to acquire goods
and services. In fact, it becomes the most central event in people’s efforts to define
themselves as human beings. Self-definition is one of the most pivotal functions of
shopping.” Pooler, 2003, p.2
Some theorists believe most women have a psychological need to look good and an
essential asset to this is make-up. Cosmetics pull in the consumer, standing under to spot
light each brand with an individual section, invites the customers to browse, test and
purchase.
“Cosmetics play a central role in self-definition for women. While there are general
societal norms and expectations to which most women adhere, there are also
opportunities to make statements about the self.” Pooler, 2003, p.47
As the e-tail market started to take off smaller retail shops began to renew their
sales/marketing strategies. Retailers strive on creating a positive image for their store,
making it a memorable experience, which is an asset most websites do not have. As
research has shown; looking back to Nuttalls’ survey, many people tend to shop in shops
before they even consider shopping online. Therefore the retail shopping experience
needs to be one to remember.
“Research by Jupiter Communications, Inc., a worldwide authority on internet shopping,
shows that 39 percent of shoppers indicate that they would shop with online merchants
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with whom they had previously shopped through stores or catalogues.” Pooler, 2003,
p.184
Regular shoppers develop a mental mind map of their shopping routine and environment;
enabling them to know exactly what shop they need to go to in order to purchase a
particular item. Therefore first impressions when a consumer enters a shop are vital.
People will automatically associate stores with their prices and quality of clothing. For
example ‘Primark’ is associated with extremely cheap prices, but their clothing is not
very good quality. ‘Reiss’ is a store known for expensive clothing with excellent quality
fabrics and manufacture. The difference between the two is extremely evident, however
both carry a large customer base as they each target a different audience; the first for
students and people who want fashionable clothing for a cheap price, as they will not
wear them much, and the latter for people with a lot of money who prefer good quality
clothing which will last or an outfit for a special occasion.
“The level and quality of service you deliver to your customers is vital to your company's
success. Your customers' total experience with your company and your staff dictate
whether your company will succeed or fail...whether you will be profitable or not.”
(http://www.ishopforyou.com/New_to_mystery_shopping.html, 2006) (Accessed: 18
December 2007)
Retailers also have to consider their store location. A store needs to be clearly accessible;
somewhere shoppers will constantly pass by, creating walk-in traffic, which can lead to
impulse buying from unexpected customers. This is only a minor piece of the retail
puzzle; the layout, lighting and product presentation also has to be taken into account,
impressing consumers as they step though the door, offering them a shopping experience
that a website simply could not give.
All Saints, retail store (1.1), are an excellent example of this. They have succeeded in
providing a great new shopping experience, exclusive to them. From entering the store
customers become immersed in a new shopping environment; browsing the racks of top
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fashion items, whilst tapping your foot and singing along to the sound of a great band
playing live in store (1.2). Performances from new bands such as: Salon Boris and Eskimo
Disco.
1.1
1.2
1.3
Well known artists such as The Fratellis (1.3) and Babyshambles have entered and
performed in their early days in All Saints stores, providing the retailer with a major pull
factor; attracting a huge consumer base. It is not just a shopping experience it is a concert
and shopping experience rolled into one.
The Internet cannot offer this experience through online e-tailing; viewing a band whilst
shopping and listening to one are worlds apart in terms of experience.
Analysing the All Saints website implies that the companies main aim is to attract
customers to shop in the store; the homepage uses a very innovative design; shown in
images 1.4/1.5/16:
1.4
1.5
1.6
The main links on the site are ‘The store locator’, ‘News and Events’ (what is happening
in store) and ‘All Saints Presents’ (artists seen in store). The link to the online store is set
aside, along with contact details. This implies All Saints main priorities are in their retail
stores, although the website creates an interesting navigation experience, with backing
music it is not as pronounced as the experience given in store.
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“An appropriately thought-out location strategy is imperative for the success of retail
businesses. The location decision is perhaps one of the most important ones that a
business will make.” Pooler, 2003, p.162
Retail strategies are growing every day; giving that extra push to try and win over a major
part of the consumer market; deferring their attention away from shopping online back to
shopping in store. Delving deep into peoples’ train of thought, trying to give the
consumers what they want; meeting their every need from self-definition to selfsatisfaction; some people find it satisfying to reward themselves, if they complete a task
or do a good deed buying themselves something can make them feel better about
themselves. This creates the best possible environment for a perfect days shopping in the
most desirable location.
A lot of thought is going in at every level of retail shopping, but can they entice their
consumers back? Or were they never lost?
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Reference List:
Inaba, J., Koolhaas, R., Leong, S.T. Edited by: Chung, C.J. (2002) Harvard Design
School Guide to Shopping. Taschen, p.28
Moss, M. (2007), Shopping as an Entertainment Experience. U.S: Lexington Books, p.30
Pooler, J. (2003), Why We Shop; Emotional rewards and retail strategies. London:
Praeger, p.31, 32, 33, 34
http://www.ishopforyou.com/New_to_mystery_shopping.html (2006) (Accessed: 18
December 2007) p.33
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Chapter 6
Retailers and E-tailers have contrasting advantages in the Fashion
Industry
The battle for victory continued as E-tailers and Retailers went head to head to win over
the fashion industry.
Following the destruction of boo.com retailers started to feel like they still held the power.
Not all of the companies who received funding failed like boo, although they may have
been the only fashion website to start at this time.
Once E-tailers successfully took off in the fashion industry they found themselves with
an advantage which retailers could not emulate; to run their business successfully they
required one team of staff, a single website, accessible globally, giving a massive
consumer base for a low cost. Retailers require teams of staff, to run multiple stores, in
various locations all leading to the company having a smaller consumer base at a higher
cost.
Building on this advantage retailers needed to energise their stores, giving the customers
what they want.
“Retailers are becoming ever more obliged to make stock rotation an almost constant
process, and stock is seen to expire at an ever quickening pace.” Pooler, 2003, p.160
As fashion trends are constantly changing many retailers find it difficult to keep up,
renewing their clothing range each week can be a time consuming task. However some
do, which automatically produces a higher turnover rate for their store. To do this
successfully retailers have to put a lot of thought and effort into their shop layout; how
the lighting can brighten the appearance, attracting the eye of the consumers, whilst
engaging their attention to the ‘now’ trends. In the fashion retail industry this is seen as
the ‘green grocer principle; the products have fulfilled their shelf life and are then
replaced by the new.
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Using stock rotation retailers are offering consumers the same produce as the e-tailers;
with the advantage of a hands on experience; customers can feel the quality of a garments
fabric, they can see the colour under a natural light and most importantly when trying the
clothes on; allowing them to feel and touch the garment and see how it flows when worn.
Although e-tailers have progressed to the use of virtual models, adding a personal feel by
using face recognition as explained earlier, they have yet to become widely popular
within the fashion industry, giving retailers the advantage. However some people use the
advantage of the retail shops for ‘trying on’ purpose and the advantage of cheaper prices
online together to get the best outcome.
“If I decide to buy designer clothing, I’ll check the fit in the shops first. Then I visit an
Internet café to see if I can find the item at a better price or in a rarer colour and
sometimes I compare the price on www.kelkoo.co.uk” Scanlon, 2007, p.72
Retailing and E-tailing have contrasting advantages and disadvantages some chose to
work together in an attempt to cancel out the disadvantages.
This does not always work. When a retail company decides they want to develop a web
presence they need to research fully into the business of e-tailing in order to succeed.
Retailers such as H & M have become a major success in the retailing business but
failures online. H & M; sometimes looks like a jumble sale but is hugely successful. The
website does not allow customers to shop online which is a major downfall as shown in
reviews customers would like this option.
“Great prices for fun, trendy clothes. I just wish I could shop online for H&M.”
Liljessjess, 2007
This proves the site could benefit from reading some of these reviews and giving the
customers what they want.
Fashion retailers will always have the advantage of the store appearance.
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“Walking into the store and being overwhelmed by the quantity of goods available, the
variety of textures, the multiplicity of colours, the selection of different things and their
overall display, could certainly enchant the average consumer in a manner equal to
seeing a film.” Moss, 2007, p.37
E-tailers will succeed through hard work and achieving an excellent web presence, and
adding special touches; ensuring they will always be part of a persons shopping mind
map.
“Most of the successful Web enterprises have worked long and hard at promoting and
advertising their sites to the public.
What good is a good website if no one knows about it? Promotion is the key to success. It
could be suggested that at least two-thirds of the budget for a major company website
should be devoted to advertising and promotion.” Pooler, 2003, p.183
Taking all advantages and disadvantages into account it will always be the customer who
decides which the most desirable way to shop is; online or in store because the customer
is always right.
Multimedia Design – School of Design
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Northumbria University
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Reference List:
Liljessjess (2007) http://www.rateitall.com/i-4684-h-m.aspx?&orderBy=1&pagesize=all
(Accessed: 18 December 2007) p.39
Moss, M. (2007) Shopping as an Entertainment Experience. U.S: Lexington Books, p.39
Pooler, J. (2003) Why We Shop; Emotional rewards and retail strategies. London:
Praeger, p.37, 40
Scanlon, G. (2007) The Goddess Guide. London: Harper Collins, p.38
Multimedia Design – School of Design
Year 3 – Dissertation – De0449
Northumbria University
katie Foreman
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3/8/2016
Conclusion
Is fashion e-tailing taking over from fashion retailing or have the retailers won the war?
Some work well together, but more work better apart. As shown retailers, and e-tailers
can work together in some cases; cancelling out disadvantages of each. However most
businesses choose to go down one route or another.
E-tailing companies such as ASOS have shown that a successful fashion store can work
very well online; they succeeded supplying fashion items for all; from cheap to expensive,
designer to not, and celebrity status to none. Although this is true and they are successful
it seems from research that people still prefer buying fashion clothing from retail stores
rather than online. This was evident in the primary data collection and Nuttalls’ survey.
Retail stores have created an experience for their shoppers with the use of music, cleaver
lighting and store layout. Many keep on top of new fashion trends and have shock
celebrity appearances. This all adds to extra customer satisfaction. However many feel
the main reason for shoppers preferring retailers over e-tailers for fashion clothes is the
appeal of the hands on experience; the ability to feel fabrics, see them under different
lights and try them on to see the drape and flow of the fabric.
Research has shown that e-tailers are progressing towards the act of trying on clothes
through the use of virtual models. This technology has not yet been used in a lot of the
popular fashion e-tailers as of yet, but may pull more customers towards online shopping
in the future.
E-tailers may not have won the war for fashion clothing yet, but the research shown they
are more successful for selling electrical equipment, DVD’s, CD’s and books. The
questionnaire results express this also from the point of view of men and women. Etailers have successfully taken over this half of over the consumer industry so what is to
stop them making a mark on fashion clothing online in years to come.
Multimedia Design – School of Design
Year 3 – Dissertation – De0449
Northumbria University
katie Foreman
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3/8/2016
To conclude the argument over fashion e-tailing Vs retailing; retailing is still seen as a
more desirable way to shop for fashion items, mainly clothes as some, not many buy
accessories and footwear online. This is true for men and women although as shown
women do dominate the consumer market when it comes to shopping.
Retailers have won the war to date, remaining a preferable way to shop over shopping in
e-tail stores.
Multimedia Design – School of Design
Year 3 – Dissertation – De0449
Northumbria University
katie Foreman
-45-
3/8/2016
Bibliography
Word Count – 9925 (not including reference lists/questionnaire/bibliography)
Books
Cellan-Jones, R. (2003) dot.bomb – The strange death of dot.com Britain. Great Britain:
Aurum Press Ltd
Borrelli, L. (2002) Net Mode; Web Fashion Now. London: Thames & Hudson
Inaba, J., Koolhaas, R., Leong, S.T. Edited by: Chung, C.J. (2002) Harvard Design
School Guide to Shopping. Taschen
Malmsten, E. Portanger, E. and Drazin, C. (2001) Boo Hoo; $135 million, 18month… a
dot.com story from concept to catastrophe. London: Business Books
Moss, M. (2007) Shopping as an Entertainment Experience. U.S: Lexington Books
Pooler, J. (2003) Why We Shop; Emotional rewards and retail strategies. London:
Praeger
Scanlon, G. (2007) The Goddess Guide. London: Harper Collins
Philips, T. (2000) Me-T@iling – Ho to help your customers help themselves. London:
Bowerdean
Falk, P. Campbell, C B. (1997) The Shopping Experience. Sage Publications Ltd
Cassidy, J. (2002) Dot.Con: Greatest Story Ever Sold. Great Britain: Allen Lane
Kaplan, P J. (2002) F'D Companies: Spectacular Dot-com Flameouts. UK: Simon &
Schuster Ltd
Multimedia Design – School of Design
Year 3 – Dissertation – De0449
Northumbria University
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Websites
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Multimedia Design – School of Design
Year 3 – Dissertation – De0449
Northumbria University
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http://www.hm.com/it/press/fashionpressrelease.ahtml?pressreleaseid=786&nodeid=316
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www.nmk.co.uk/article/2006/04/04/fashion-digital-lense (Accessed: 10th August 2007)
Multimedia Design – School of Design
Year 3 – Dissertation – De0449
Northumbria University