With the worldwide economy in recession, it seems that frugality and smart bargaining are becoming more commonplace. As such, it’s no surprise to see the rise of members only sites that feature and advertise designer wears at discounted prices. At this point, who among the fashion bloggers hasn’t heard of Gilt Groupe, Rue La La, or Ideeli?
It’s very easy to get caught up in the excitement, energy, and overall frenzy of discounted designer clothes, especially if you don’t live in a big city. It may be your only opportunity to own Gucci, Donna Karan, or Alexander McQueen for such a discounted price.
After a couple of recent sales though, I have to wonder… how much of a discount are we really getting? Are we overlooking obvious alternative choices, who often have comparable prices & we, as buyers, have better change of buying what we want for a longer time? Are we duping ourselves in to believing that we’re getting current styles at discounted prices, or is it really just an online outlet mall?
I think part of the success of these sites are the sense of urgency they create; as buyers, we are only given a limited time to purchase the limited quantities they have at their low prices. For only 2 days, you can buy X-DESIGNER! It’s not surprising to see items selling out within half an hour of the “boutique” or “shop” opening. When you think about it like this, are they just digital version of infomercials?
Recently Rue La La featured a pair of Frye Boots I’ve been desperately coveting, the Ava Button Bootie, at the cost of $180 a pair.
While this boot regularly retails for $300+ on other retail websites, Amazon.com has been featuring them for months from $130-$380 (the grey running for $188). These sold out within 20 minutes on Rue La La, and yet they sit on Amazon, with many sizes remaining.
When items are so deeply discounted, I wonder about the effects of products being last season– do buyers care? Are they solely buying so that they can own a piece by their favorite designer, are they buying in hopes of getting this season’s styles at a great price, or are they buying because they truly love the item?
In light of all this, there are even more things I worry about: the increase in limits on product purchases makes me worry that eBay buyers are buying the bulk of the product for resale (at a higher profit). I believe this discourages buyers interested in the product for themselves because they can’t get the products.
In many ways, I worry about the increase in consumer debt that can result in these sales. Who doesn’t get caught up in the frenzy? Who hasn’t bought something on impulse because they were told they may not be able to get it past a certain time, or date, or price point? Who among us haven’t thought, “I’ll put it on my credit card and pay it off next month,” only to repeat and rinse that mantra?
Many of these sites encourage buying, by offering referral cash for those of us whose friends join & buy products.
Is this all a part of the due course in online shopping? Is it merely part of the natural progression of e-commerce? Are the popularity of these sites a reaction to a failing economy, where social status and materialism still reign strong but pocket books are being pinched?
What some of you had to say about the phenomenon
Despite all of my questions and thoughts about the sites, I’m not sure that they are bad. Ideeli regularly features designer giveaways and hosts charity sponsored shops. Gilt offers a lovely $25 referral fee– just a couple of these can easily afford you an inexpensive pair of shoes or jewelry. For the savvy shopper, these can be a great and inexpensive way to buy the designer product you’ve been saving for & waiting to go on sale. But you have to be persistent, eager, and well timed to make a go of it.
Referrals to Join (if you haven’t already):
Gilt Groupe
Ideeli
(If you’d like an invite to Rue La La, please leave me a message & I will send an invite!)
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I’ve been unimpressed with the shopping sites. How is everything interesting gone the SECOND the sale starts? Also, I check the department store sites before buying anything from Bluefly, Yoox or any discount site. If they happen to have your piece on sale, most likely it will be at a better price than the discounters. I saw Prada shoes at Barney’s that were $300 less than on Bluefly.
i have $150 credit on gilt… i thought i bought a pair of thi hi boots only to have an email sent two weeks later ‘we’re sorry, we can’t send you the boots’ here’s another $25. great, now i have $175 and since everything is sold out anyway, it’s like having mad money. i think i’d rather have the (real) cash thank you.
I second WendyB’s note on how everything is GONE immediately. The stuff left over is out of my desired price range.
I find it to be very hit or miss… and not always a deal like Wendy says. I’ve only bought one thing that was steeply discounted from the original price and even the last sale price I saw from the department store. I was happy with it but I don’t have access to the sales racks in the big stores, at least not easily, like Neiman Marcus or even Saks to check for better prices there.
I think location comes into play a bit. If I can get a bargain online that I can’t duplicate because I don’t live somewhere like NYC or even, heck, Charlotte, that I’m only going to know what I can see online.
Great post! Obviously, part of the reason these sites are so successful is that they really instill a false sense of URGENCY in the shopper – you’ve gotta buy now or lose these deals.
I think people enjoy the sense of exclusivity they get from it being an invite only site.
Sometimes I suspect that it makes them feel so special they don’t even question whether they could get a better deal elsewhere. At the end of the day that’s what most designer fashion is about, I guess? That feeling of owning something a bit exclusive.
Personally I’ve never found anything that I like, is available in my size, and I can afford so I’ve yet to purchase from any of these sites!
What a well thought out article. I have been thinking about this alot lately. I am a member to all of these sites, and I can vouch that my eagerness has me wanting to buy buy buy, but if I sit back for a moment, I realize its just because of my impulse to buy when its a good deal. If I really think about it, I dont need it. I am just buying into the sites generated hype.
I also have been questioning how so many items are sold within seconds and I am starting to think that its another ploy by the online shop itself. They have to create demand and by showing that things are quick to go do they push that shopper that is right on the edge .. well right over.
Please RueLaLa me.
Oh my gosh, that Schiffer – Levitt editorial was on fire. How could I forget about that one?? It was really sexy. I think Richardson did a great job with this editorial too. My jaw dropped the first time I saw it… lol!
These sites don’t seem bad to me…I’m just not saavy enough to keep up with them. :)
I was a bit weary of these kinds of sites, and still am. I joined up to a couple (Gilt & Ideeli) and while some of the stuff seems ok, a lot of it seems like last season’s dregs to me. RetroChick is right on the money when she talks about exclusivity, which I guess is going to be why these sites are successful (if they are). But me, I’m not buying it…literally!
Great post! I agree, those sites are maddening, bc I can somehow never log on right at 12pm and by the time I do, everything good is sold out! But I do love Ideeli for their giveaways :)
Thank you for so many thoughtful comments on the subjects, ladies!
Like Poochie said, I think that the location aspect of it is really useful; but as she & Wendy both said, you have to know what you’re watching for and what it’s going for on other sites– why play prey to the exclusivity if it’s not actually going to get you anything?
Jennine, I am SO sorry about your boots. How lousy. It would really bother me to get so much in credit and not have any way to use it because they can’t compensate for sales.
I would definitely agree that the time pressure accounts for much of their success, a lot of the time the items they have for sale aren’t all that nice but they offer the designer label for less. However I do think they can be a good thing given that it opens up the exclusivity of the market to an audience who wouldn’t otherwise be able to afford it. There is no criteria to become a member so I think the ‘members only’ tag is simply a way of portraying their website as high end.
Really good, thoughtful post
http://thestitched.blogspot.com
Hot boots and not a bad price either!
What a thoughtful post! The thing that irks me about these sites is that they sometimes have restrictions on Canadians. I’ve been an ideeli member for a while and I keep getting their emails, but I don’t care enough to keep up with what’s on sale and I’m ineligible for their giveaways because I’m Canadian.
i’d like an invite to rue la la, please! :)
Flawed as they may be, if you’d like to skip the wait list for some of the better ones I’ve come across–ideeli, rue la la, billion dollar babes, the top secret, gilt groupe, editor’s closet, hautelook, gomatta girls, and DD Push–follow this link for invitations:
http://bestonlinesamplesales.blogspot.com/