Gilt Groupe Launching Full-Retail Men’s Clothing Site

Dec 03, 2010

By George Anderson

So why would a company that has made its reputation offering
flash sales to consumers suddenly decide to launch a full-price site for guys?
Because it can and because it thinks it will work.

Gilt Groupe announced it
would launch its new full-price site next summer to introduce pre-Fall fashions
to men.

“With a strong understanding of the way men shop and the rapid growth
seen on Gilt Man in the past year, we feel the time is right time to enter
the full-price e-commerce space,” said John Auerbach, president of the
new venture, in a press release. Mr. Auerbach has served as general manager
of Gilt Man.

The new site will mix men’s apparel with accessories, athletic
gear, gadgets and more with editorial content. The company is taking a curated
approach to its product selection and merchandising.

Kevin Ryan, founder and
CEO, Gilt Groupe, said, “The new site will leverage
Gilt Groupe’s existing $100 million plus men’s business including
400,000 male customers, and 350 brand partners, making this new business at
launch one of the most robust men’s online retail experience available.”

“Men shop differently than women. … It’s often said that women
tend to buy something they like and then find an occasion to wear it, while
men will think about the occasion and outfit themselves accordingly,” Mr.
Auberbach told Mashable.

“There are very few men’s-only shopping destinations and most outlets
treat men’s online retail as either a commodity or an afterthought. … [Men]
deserve an e-commerce experience designed with their needs [as well],” he

Discussion Questions: Is the time right for the launch of a full-price
retail site for men’s clothing? Are you more or less optimistic about the
site knowing that it is being launched by Gilt Groupe?

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5 Comments on "Gilt Groupe Launching Full-Retail Men’s Clothing Site"

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Ryan Mathews
11 years 5 months ago

I’m reasonably optimistic.

As to the price point–why not? If they know their market, and they do, I assume they’ve vetted their customers’ appetite for pricing elasticity.

Michael Tesler
Michael Tesler
11 years 5 months ago

I think men visit Gilt for known brands and wanted fashion and quality…ON SALE!, and with a sense of urgency, at that. Take away the sale and sense of urgency and a) it is not Gilt anymore and b) It will not work.

Chuck Palmer
11 years 5 months ago

This is a huge opportunity to reach the mass of men that don’t shop like women. Gilt owns a huge and valuable base of fashion conscious men that they can migrate to full price.

This is a great example of a brand’s value transcending its function. Keep an eye on Groupon in the coming year–odds are they will make moves like this too.

Camille P. Schuster, Ph.D.
11 years 5 months ago

If sales really are up and if sales continue to stay up and if they really have a good understanding of their consumers, then this could be an great time for them to launch their new idea.

Ed Rosenbaum
11 years 5 months ago

Gilt Groupe is thinking out of their comfort box and certainly out of the traditional retailer’s. I think they will be successful if for no other reason, they are thinking and pushing the limits of the box. I applaud them.

I read a blog by Seth Godin on a very similar subject just this morning. Standing out is important. You can come out with a new car and show it to the world; but it is still a car. Add a different element and you get the world’s attention. Gilt Groupe is doing something that will make them stand out as different. Too bad others continue to do the same thing year after year and wonder why there is little/no change. Which reminds me of Zig Ziglar who has a phrase he calls “stinkin thinkin.” We need some change.


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