Laura Kate Bradley is one of many fashion boutique owners who have enlisted the Internet, and more specifically social networking systems, to increase sales and be able to compete globally with their larger competitors. The term ‘e-tailer’, has developed to identify this growing practice. Boutiques, storefronts, Main Streets, and downtowns have all begun to disappear, as small business can no longer afford to compete with companies that have been able to globalize with new technology.
It is important that “mom and pop” stores can compete in today’s economy, and this is a great way to protect those types of institutions. Boutique owners are using that same technology to globalize, while using even newer technology for their strategies. Large competitors from GAP to Polo have used the Internet to sell their products for years. Unlike small boutiques, most of these brands already had a well-established brand name. Laura Kate Bradley is using social networking for her top line strategy, focused on increasing sales. Google has taken advantage of this new practice. “…the global Internet giant Google has launched a new service for its users, in which online shopping has been integrated with the social networking and allows making purchases on the Internet. The new service is located at: Boutiques.com” (Kar). The boutiques featured on the site will subsequently benefit from the marketing done by Google. Bradley, and other retailers, can use the Internet and social networks to support their main primary value process, which is marketing and selling their clothing.
Rivalry among competitors in the clothing retail industry is extremely high, and doesn’t leave a great window for success for single store businesses. Having only one storefront restricts the traffic that is exposed to the merchandise everyday. This is very limiting to sales. New virtual storefronts have create endless opportunities for people to come across the products, whether it be someone searching for unique clothing or someone just surfing the internet at their leisure. Kelly Spors agrees; she advises, “You’ll also want to use social media like Facebook and Twitter to build a following and help your business rise to the top of the online search rankings” (Spors).
Many e-tailers have agreed that social network sites like twitter and facebook have been the best resource for marketing and increasing sales. These sites allow customers to stay connected with other customers and the boutique itself. Customers that are particular to a certain brand can easily stay on top of new products and styles. When people write about products on their facebook or twitter, the products are marketed for the boutiques. This is extremely helpful for owners that do not have the time or resources to form a major marketing campaign.
Some obstacles boutique owners should be aware of are the negative effects of social network marketing. Shoppers can respond to tweets and facebook posts, and leave negative comments that might turn other potential customers away. Social network marketing is riskier because business owners have less control. Also, the boutique owners are now incurring shipping costs that they need to make sure they can afford. Previously, customers could only buy items from boutiques when they walked in the store.
Customers may also worry about their favorite boutiques marketing and selling online. One thing many boutique shoppers enjoy is the uniqueness of products they buy. It is less likely someone else will have the same article of clothing if they buy it from a boutique. Now that they are online, this may not be true. Also, shopping at boutiques affords a unique experience. Laura Kate Bradley has tried to maintain this experience online, again by using social networks. Many women frequent boutiques with their friends, so she uses a “share it” link that allows people to stay connected through her site. By clicking the link shoppers can send a facebook link, tweet, or email of an article of clothing to their friends.
Works Cited
Britten, Fleur. "New-Style Technology Helps Old-Style Sales." New York Times February 21, 2011: n. pag. Web. 21 Feb 2011. <http://www.nytimes.com/2011/02/22/fashion/22iht-rvintage22.html>.
Kar, Naveen. "Google integrates social networking with online shopping in boutiques." Seer Press news (Nov. 19th 2011): n. pag. Web. 21 Feb 2011. <http://seerpress.com/google-integrates-social-networking-with-online-shopping-in-boutiques/14461/>.
Spors, Kelly. "Entailing Excellence." MyBusiness February 2011: n. pag. Web. 21 Feb 2011. <http://www.nfib.com/mybusiness-magazine/grow>.
I think that boutiques using social networking sites, as well as offering products online, is a very beneficial practice for them to partake in. As an employee at a boutique, it is easy to see the positive effects of a company having a Facebook page. Special promotions, such as daily discounts, can be announced over the internet so that anyone who is friends with the boutique on the networking site can become informed and potentially shop. I could see how negative feedback could be received however it can easily be deleted. All the local boutiques in my area are involved in social networking so it is absolutely necessary to maintain a competitive advantage. Also, many customers are so accustomed to getting instant gratification of online purchasing from big stores such as Bloomingdales and Nordstroms that smaller stores are finding it necessary to offer this service as well. The use of IT in the retail industry is becoming absolutely vital.
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