Net-a-porter, which celebrates its 10th anniversary next month, is such a retailing sensation that the luxury products company Richemont bought it last month. Richemont had, in fact, held a minority stake in Net-a-porter but decided it wanted more.
The upmarket retailer, which sells clothing and accessories, has a sterling reputation for up-to-the-minute styles and top-quality customer service. When it features a product, affluent fashion fans click to buy. For example, the popularity of Judith Leiber's sparkly evening purses soared once Net-a-porter offered them for sale.
Because Net-a-porter is so successful, Richemont stands to gain from its experience in e-marketing luxury items. The key is service. Net-a-porter will deliver to London or New York City customers on a same-day basis. Its elegant packaging has special cachet to customers and reinforces the brand's exclusive image.
Marketing online brings its own challenges and opportunities. Net-a-porter understands how to use Twitter, Facebook, YouTube and other social media to build buzz and generate sales. (Note how the black backgrounds on Twitter and YouTube echo Net-a-porter's sleek black packaging.) What's next for Net-a-porter?
