There is a huge untapped opportunity to sell luxury goods online, fuelled by digital communications that inspire a daily "urge to splurge", the Shoptalk Europe conference (Copenhagen, October 2017) heard.
Ulric Jerome, CEO MatchesFashion.com, the online luxury fashion business valued at US$1 billion, explained that while 20% of general apparel is now sold online, 50% of consumer electronics and 60% of travel, only 8% of luxury goods are now sold via e-commerce.
This is despite heavy digital usage by the buyers of high-end goods, and the ability to make the process of receiving goods fast and easy. MatchesFashion.com, for example, enables users in some areas to order clothes when their morning alarm goes off at 6am, and have them delivered in time for breakfast at 7.30am.
Social media – including the ability to be inspired and actually make a purchase without having to move from content to a dedicated shopping page – has been a complete game-changer for the industry, according to Jerome.