Delivery, fashion tips, payment collection and returns by Lamoda’s couriers

An article in Bloombergbusinessweek titled “Where the Deliveryman Gives Fashion Advice” (February 10, 2014), describes the ecommerce website Lamoda in Russia. The internet fashion retailer offers home delivery of fashion that customers can try on and decide within 15 minute whether to purchase or return. Payments can be made to the courier as cash or credit card. The courier is a sales assistant who delivers items the next day and delivers items including 900 brands. The ecommerce company, operating in Russia, solves the problem of the current unreliable Russian postal system and reluctance to hand over payment, while delivering high margin fashion items whose sales are growing rapidly. What is the barrier to entry for competitors to Lamoda and how much of the benefit comes from fashion advice vs logistics convenience ? How important is the exclusivity of brands offered and how should Lamoda enable stores and brands to treat the echannel as profit improving rather than cannibalizing their sales ? Would you see a benefit to offering such options in the US or Europe?

About aviyer2010

Professor
This entry was posted in Ecommerce, Global Contexts, Service Operations, Supply Chain Issues and tagged , , , , , , , , , . Bookmark the permalink.

One Response to Delivery, fashion tips, payment collection and returns by Lamoda’s couriers

  1. Clare Mackie says:

    This sounds like many of the existing subscription models for apparel, but for those willing to pay an even greater premium. I can’t imagine this working well in US cities, where retailers/brands are in close physical proximity. In the suburban US the cost of delivery would just be prohibitive.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s