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Amazon has launched an online luxury department store, even if only with a single partner: Oscar de la Renta is the first to open a shop-in-shop at the new Luxury Stores platform. More brands will follow in the coming weeks.
Separate shopping experience
Since this week, Oscar de la Renta has its own ‘Luxury Store’ in Amazon’s mobile app in the United States. The fashion label is the first partner in the online giant’s new project, where luxury brands can get a separate shopping environment on the platform. More ready-to-wear, accessory and beauty brands are expected in the coming weeks, says Vogue.
The webshops distinguish themselves from the rest of the marketplace with a separate look and feel. Amazon customers expressed their desire for a separate, more compelling experience in the luxury segment, says the retail giant. Not only do they want to understand the product itself, they also want to experience the story and craftsmanship behind the brand.
In the brand stores, customers can therefore discover videos and other content, such as an exclusive video clip made jointly by Amazon and Oscar de la Renta before the launch. Top model Cara Delevingne plays the leading role in the campaign. The most striking innovation, however, is the interactive 360-degree function, which allows customers to view a garment in any available size on a virtual model. This is how De la Renta wants to solve problems with fits and sizes.
Already on Amazon
Currently, only the 150 million or so Prime-members get an invitation to access Luxury Stores, but for De la Renta, Amazon’s large loyal customer base has been a critical element to join: “I think almost 100% of our existing customers are on Amazon and a huge percentage of them are Prime-members,” says CEO Alex Bolen, who wants to reach his customers where they already shop anyway. The choice for a mobile launch was prompted by the fact that Amazon customers have ordered more than a billion fashion items via their mobile device in the past year.
In addition to its reach and customer knowledge, Amazon also wants to convince luxury labels by giving them a lot of freedom. Luxury Stores is a concession model that lets labels choose which range, which prices and even which customer service will be offered. The new platform does not publish customer reviews either. Moreover, participating brands can but don’t have to rely on Amazon’s warehouses, even though being able to outsource the entire return issue is an asset according to Bolen.
