GILTY PLEASURES & CHEAP THRILLS

Introducing Gilt Fuse Dear Ashley: We have some exciting news. We’re thrilled to announce the upcoming launch of Gilt Fuse! Gilt Fuse gives you inside access to a new lineup of fashion, exclusively for women. It’s a great way to shop for today’s most-wanted labels as well as tomorrow’s hottest emerging brands – at prices that are impossible to resist. Fashion that suits your need for effortless, everyday style. It’s your style, Gilt Fuse lets you express it. Stay tuned, Alexis and Alexandra

The power of Gilt is astonishing. Gilt Group launched in 2007 and boosts an impressive online closet of designer goods, as well as earnings. The company founded on the sample sale concept (offering designer goods for less by invitation only) through e-commerce earned an impressive $25 million in revenue last year, projects $150 million this year, and $500 million next year. 

While the site's success has clearly created a wave of imitations (Ruelala.com, Outnet.com,Hautelook.com),  Gilt has also pursued opportunities to expand its e-tailing venture to a diverse clientele.  

On August 10, Gilt will launch Gilt Fuse, a lower price point driven shopping experience (everything under $100) with a focus on a younger demographic but still promoting the designer names. Its first sale, is expected to feature Plenty by Tracy Reese, Kova & T, Modern Amusement, CC Skye, TKO Orologi, RJ Graziano, and BCBG, all at prices up to 70% off retail.

I am extremely impressed with Gilt's business model . Its reliance on excess designer inventory is strong (thanks in large part to the economy) as well as their ability to create prestige and demand through limited quantity offerings, timed sales, and invitation only status. And despite the doubt of some analysts, I feel like Gilt Group has the ability to continue to expand its business on its founding principles. There has already been talk of penetrating new markets (currently the site only operates in the US and Japan) as well as new product categories beyond accessories and apparel, such as travel packages. 

All in all, Gilt has created an online shopping experience breaking the consumers perception of Internet shopping as the complicated less than perfect shopping mall. Rather, Gilt has emerged as one of the leading dot-commers changing the fashion game from the browse and buy to the bid and buy. A bright futures a head both for the fashion hunters and the Gilt gatherers!