Chico’s decides to join Amazon, since it can’t beat it
Chico’s FAS is the latest large retail chain — joining the ranks of Best Buy, The Children’s Place, Sears and others — to decide that the potential benefits of selling on the Amazon.com marketplace outweigh the risks of trying to go it alone against the e-tailing giant.
Yesterday, the company that operates its namesake brand as well as Soma and White House Black Market, announced that it would begin selling a selection of Chico’s brand clothing and accessories, including its Zenergy athleisure, no-iron shirts and So Slimming pants, on Amazon beginning the middle of this month.
All items sold on the site will be eligible for free shipping, returns and other benefits through Amazon. Chico’s will maintain control of the marketing, pricing and promotions for its products sold on the marketplace.
Shelley Broader, CEO and president of Chico’s FAS, said her company “will be one of the few vertically-integrated specialty retailers with Prime eligibility,” a fact that she says is “a testament to the strength of our iconic brands and their growth potential.”
Chico’s, which operates 1,460 stores in the U.S. and Canada, saw its same-store sales fall 5.2 percent during the fourth quarter.
- Chico’s FAS to offer Chico’s Brand Apparel and Accessories on Amazon – Chico’s FAS
- Chico’s, Joining Nike and Sears, Turns to Amazon to Sell Its Products – The Wall Street Journal
- Why brands need to use Amazon to acquire customers – RetailWire
- Best Buy and Amazon expand their coopetition – RetailWire
- Co-opetition with Amazon works for The Children’s Place – RetailWire
DISCUSSION QUESTIONS: Do you see the floodgates opening for major brands and retailers to begin selling on Amazon’s marketplace? What are the ramifications for retailers with strong customer bases such as Chico’s?