Fashion Existing Online - Case Study Example

Fashion Existing Online Insert Insert s Moda operandi was founded in the year by Aslaug Magnusdottir and Lauren Santo Domingo (Mukti, 2014). It is an online-based luxury fashion retailer, which allows its customers and clients to preorder designer looks direct from the designers or brands. The concept of preordering the looks gives the women the power of choosing from the full collection. Being an online fashion retailer, Moda Operandi hosts several online trunk shows that allow the customers’ to secure runway fashions a few months in advance (Mukti, 2014). The site allows access to designer pieces for its customer that might not become available or be found in traditional luxury retail stores. In order for the company to successful in this competitive market of fashion, it has targeted particular market and potential customers worldwide. The targeted customer by MO is women who love fashion and are willing to pay adequately and in full price for luxurious shoes, clothes and accessories. The company targets specific customer; a customer who will be able to afford designer looks right off the runway and who is fashion conscious enough to buying the clothing. The company has already targeted 80% of American who are shoppers in New York, outside New York and Florida, whereby the company’s initial customers were their personal network and customers referred by the network (Mukti, 2014). The company is still low on target markets that they are aware to be biggest luxury markets; although it ships it’s good to more than 150 countries. They have targeted the European, Asian and Middle East markets as they are growing very fast. Fulfillment eService for Moda Operandi can plug into its sales system in order to monitor the orders’ status and track deliveries. For Moda Operandi, it allows its customers to preorder exclusive designer looks that are ready to wear fashions, handbags, shoes, and accessories in online designer trunk-shows. With many designer products originating in Europe, Middle East and Asia, the company outsources fulfillment in order to service customer; thus making substantial financial savings. Orders outside the US for Moda Operandi are fulfilled by Seko Synergy (Mukti, 2014). Because of its high-value, quality products, the company uses a unique packaging process to ensure that customers receive their products while in their highest standards. Therefore, Moda Operandi uses NetSuite software in its fulfillment and trains its staff on the best way to use the application. So that the customer can order for a design, when the runway show takes place, photos of the show are taken and put online, where the customer sees the photos or watch the show online. Moda Operandi runs the trunk-show for like three days, where the members can preorder any style that they like from the entire runway collection paying a deposit of 50% (Mukti, 2014). The styles are produced between one to four months and delivered to Moda Operandi and after verifying and packing the merchandise the customers pay the rest then delivered to them before the styles hit the stores. Being the first site that allows customers to preorder from an entire runway fashion collections of the best designers in the world, the company directly connects with women with the designs and brands they love. As opposed to how other online retailers focus to sell at a discount last season’s inventory, Moda Operandi focuses on selling tomorrow’s fashion today - in order to differentiate their brands from other online retailers. The customers are given access to the special pieces in the collections that often have never been produced. The company offers an unparalleled degree of customer service whereby they have a powerful team of very skilled stylists. The stylists act as their primary point of contact for the customers. The fact that customers can speak with skilled stylists who understands fashion design makes the company extra-ordinary, thus making the customer differentiate their brand from other retailers (Mukti, 2014). The targeted market perceives the ability to preorder special pieces that might never be put in the market as the brand image of Moda Operandi. There is a lot of competition among online fashion retail companies. Moda Operandi gets its competition from a company like Net-A-Port Limited, which owns Net-A-Porter.com. In addition, an online luxury fashion retailer was established in 2000. It ships its products to over 172 countries from over three hundred of the world’s leading designers. The company is located in UK while Moda Operandi is located in the US. Net-A-Port also offers matchless customer services just like Moda Operandi thus the stiff competition between the two online fashion retailers (Mukti, 2014). However, with an e-commerce enabled model of business that Moda Operandi uses it can challenge established competitors such as Net-A-Port. In order for the company to draw more members into the site, the company partners with media houses, print media and social media such as vogue.com, which is an online magazine. When the fans of the magazine, visit the site, they can click on the runway show photos and, therefore, preorder from Mode Operandi. Hence, the company increases its members. It also promotes its members by giving them complete access to collections and runway pieces immediately after the show (Mukti, 2014). It adds value to their customers by recommending them for top stylists; personal shopping assistant, offers photo sharing and the site have tools for seeing the looks from any angle. The company makes the most daring designs available and accessible, thus attracting more customers into their site. Editorial partnerships have also helped the company to attract more members whereby they have partnered with sites, brand and blogs such as Rachel Zoe, Goop among others (Mukti, 2014). Mode Operandi packaging is extra-ordinary from other online retailers; it has an attractive product packaging thus increasing the perceived value of their goods. The Moda Operandi strategy is to gain a full competitive advantage in the online fashion market. The company is currently using advance information that they reap from trunk-shows sales. This where the company looks for the particular products the customers during the trunk-show; therefore, when they are stocking their boutique they will act accordingly. The company has transformed the fashion industry as it gives designers a place to sell their special pieces from the runway. The company has adapted the use of sophisticated technology so as to remain competitive. For an instant, the launching of the iOS mobile application depicts that the company is focused on making sure the customer is happy. The application includes the features that are in the company’s web site; therefore, allows customers to pre-order from the designers’ collection via flash online trunk-shows (Mukti, 2014). Therefore, it means that the company is now able to reach fusionist as on the go and can engage with the customers in another channel. I think that the company should invest more in marketing its products and focus of the newly launched application. It is essential to the customers since it is engaging and its unlined way of reviewing trunk-shows and saving preferences. References Mukti, K (2011). "Moda Operandi: A New Style of Fashion Retail." Harvard Business School Case 812-040, October 2011. (Revised September 2014)  Read More