Challenge Tuesday: Bluefly.com
Before the holidays, I talked about using flash sales to increase engagement and set yourself apart from competitors offering old-fashioned discounts. According to Internet Retailer, sales for retailers using flash sales increased 22% from 2010 to 2011. Bluefly Inc., an e-retailer, does not offer flash sales and is facing the challenge of building a new online strategy to compensate for sales lost to e-commerce sites that offer discounts for short periods of time.
Challenge: Develop a new online strategy that will give Bluefly a competitive edge over other flash sale sites in order to increase sales.
Solution: Bluefly Inc. strategically created a plan that would integrate their two online stores in order to increase sales at Bluefly.com. Bluefly.com sells less expensive products until stock runs out, while Belle & Clive sells luxury brands at discounts for a limited time. Many online stores like Belle & Clive typically do not have an option for liquidating their unsold inventory. Bluefly believes selling Belle & Clive unsold luxury products at a discount on Bluefly.com will increase sales and build the Bluefly.com brand as a discount apparel store.
Bluefly’s strategy will take advantage of the opportunity to gain online market share in the extremely competitive apparel and accessories category before top off-price retailers, TJX and Ross Stores enter the e-commerce sphere.
To read more about Bluefly’s online strategy, click here.