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The latest victims of the Amazon effect: The Kardashians

The latest victims of the Amazon effect: The Kardashians

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  • Better to sell stuff using their 464 million Instagram followers. Funny how a chain of fashion boutiques once seemed like a profitable and exciting option.

    The “Amazon effect” refers to the impact of all online retailers on brick-and-mortar stores that undercut physical stores in both price and convenience.

  • I think they had the wrong strategy. They should have focused on creating the ‘Kardashian effect’ in physical retail. A bit more accessible price points coupled with a truly experiential store would have been killer. If R29 can do 29 Rooms then why can’t the K’s leverage their social media following

    I think they had the wrong strategy. They should have focused on creating the ‘Kardashian effect’ in physical retail. A bit more accessible price points coupled with a truly experiential store would have been killer. If R29 can do 29 Rooms then why can’t the K’s leverage their social media following and chops to create something breakthrough. A little commitment to creativity would have gone a long way.

  • Two things to watch here, the first is that as we all know, the “Amazon Effect” is making it extremely difficult to operate physical stores without economies of scale. And the incentives for small business owners to do so are nonexistent compared to setting up shop online.

    The second is that, with

    Two things to watch here, the first is that as we all know, the “Amazon Effect” is making it extremely difficult to operate physical stores without economies of scale. And the incentives for small business owners to do so are nonexistent compared to setting up shop online.

    The second is that, with the exception of fast fashion, Amazon, Walmart, and Target are hollowing our the middle of the clothing economy. For mid-market retailers sitting between low-price and luxury, the economics just don’t work. And even for low-price, physical stores are a bad investment.

    We can expect to see an even greater delta over the coming years, with two options: online and cheap, or in-store luxury.

  • Agree with Lan, not clear the K's were victims of anything but their own desire for ever greater success. One consultant says margins were lower and prices were higher online, and another notes that "it was tough to build and maintain a brand whose price points were not accessible to the masses.”

    What

    Agree with Lan, not clear the K's were victims of anything but their own desire for ever greater success. One consultant says margins were lower and prices were higher online, and another notes that "it was tough to build and maintain a brand whose price points were not accessible to the masses.”

    What is surprising is that they couldn't find any residual value in their brand's retail presence.

  • amazon’s a killer but maybe the whole kardashian brand has jumped the shark? gasp!

  • This might be partly due to the Amazon effect that brick and mortar stores are going out, but Dash has tired out in terms of their excitement. I remember when velvet ropes were set up outside the Soho store just to go inside. Nowadays people never even realized it was there.

  • Amazon effect is sensationalized- they own 4% of the retail market since 4th quarter of last year. How many of you buy clothes from Amazon?

    Retail margins have always been tough, competition is growing, brick and mortars like Dash have pivoted their strategy by expanding their product line to diversify

    Amazon effect is sensationalized- they own 4% of the retail market since 4th quarter of last year. How many of you buy clothes from Amazon?

    Retail margins have always been tough, competition is growing, brick and mortars like Dash have pivoted their strategy by expanding their product line to diversify their risk. Dash is closing because their focus is shifting to brands that are thriving.

  • Choice in taste regarding Hollywood aside (and yes, I say bleh to the entire Kardashian types), the paring down of their portfolio was sound. The shift toward expedient and cost effective is pandemic, and even for those who pursue the varying gradients of luxury, time is valuable.

  • When I read this article, it made me feel like I needed to take a shower. Just way too much Kardashian in one place.

  • The small brick and mortar stores were put out of business by the big stores like Walmart and Target. Amazon, on the other hand, has provided another platform for people running their own Amazon stores to compete with the big box stores.