Yoox & Net-A-Porter, The Future of Digital Luxury

Yoox and Net-A-Porter announced their merger today. What can be expected of it, besides the colossal logistics and global reach the newly formed company will have?

The merger is said to be a strategic move to protect the position of these two Internet luxury giants and pioneers. It will enable them to join efforts and resources to conquer and retain even more market shares. While ASOS and other e-tailers such as Vente-Privée.com are fighting for the mass market, the new Richemont company will reign on luxury fashion, beauty, and the luxury outlets.

Many luxury fashion brands like Dior or Céline, refuse to have a digital store because they consider the experience to be well below what they can offer in-store. I am also a firm believer of the physical store because shoppers should be more than data or a username, they are human beings who seek emotions and want to create relationships. This is especially true for Luxury of course. Yet, I don't think high-end fashion brands should be absent from the digital e-commerce world altogether.

The same way stores shouldn't stock and sell the same products in their stores in Shanghai or Sao Paolo, they also should work on trade marketing and retail strategy to bring a specific web-friendly offer to their e-commerce store. It might be easy customizable small products or wardrobe staples that the customer will want to renew easily... Fashion brands should think about ways to create both emotions and sales online, while still preserving their identity and exclusivity.

Net-A-Porter and Yoox, through this merger, should be able to up the technology game to create amazing e-shopping luxury experiences and solutions.