Thursday, July 7, 2011
Analizing GILT
Gilt, is not a social media company but it has a similar idea: belonging to a special, unique club in this case a clothing club by invitation only. Something like Facebook meet Groupon for clothing. They are one of the growing, flash sales website and have become one of the seek after companies for IPO. They also have GILT CITY which is a kind of Living Social with pretty decent deals although somehow the do not grab my attention as Living Social or Groupon does. Recently they added GILT Taste. This one is not a flash sale site but a very expensive internet food site. GILT in this case has lost completely focus on their core business not only from the flash sales point of view but from the clothing point of view unless you intend to dress Lady Gaga. I was visiting the site today and although food other than meat looks delicious [I do not eat meat], I was wondering how will GILT feel if Dean and Deluca decide to start selling dresses on their online store, or what about Eataly selling Italian clothing luxury brands?. Choosing food as a way to grow seems rather odd. Food speacilly meat and fashion they just do not mix, unless you are Lady Gaga. Women, in fact, rather dress than eat. I would consider cosmetics and parfums flash sales, more related to their core business.
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