I had no idea how data was behind Stitchfix. Do you have any sense of how the brands feel about the business model? I imagine the information Stitchfix gathers could be very useful to the brands if they shared it (maybe for a price). I might worry that some brands now do not own the customer experience and therefore might want to avoid this as a channel for sales. If that’s true, then a limited brand selection could hurt Stichfix going forward.
This sounds both interesting and delicious. The most interesting part is that while they develop the recipes themselves, they also sell them in stores which means they have multiple points to monetize consumers. However, consumers who buy Graze products in store don’t give feedback to the company, so it’s important for Graze to keep a strong subscription box base. Does Graze provide any incentive to subscribe, or do they incentivize feedback even from in-store purchases?
Great post! I had no idea to what degree Netflix was using data to make decisions on content purchases. It looks like they have a great proprietary data set that easily beats traditional cable players, but I would worry about Amazon Video since they also have data that far exceed Netflix since they track what detergent, shoes, and books consumers prefer. How do you think Netflix can defend against that?
Thank you for the post! It is hard to find any online evidence of major series of films that have come out of this platform. Looking at the relatively low prices they are paying for scripts, it is no surprise, given the adverse selection problem you alluded to. Additionally, amazon has so much data on consumers already that they should know fairly well what people want to see. It seems unlikely that crowdsourcing script reviews would give new information. I remain as skeptical as you.
Great post! I had never heard of Redbubble, but they have a great set of products on their site. Aside from the competition risk that platforms with large existing user and artist bases, it seems to me that RB risks also having a not fully coherent aesthetic. This could prove to be a strength because they appeal to a broad base, but it also makes them more vulnerable to platforms that have honed in on their user’s aesthetic preferences, such as Threadless or Etsy.
Really interesting post on a topic I know little about. I wonder if keeping the homepage not personalized was a principled decision based on the original intent and based on the desire to avoid echo chamber effects. Could Digg have avoided the concentration of power and undemocratic aspects by simply avoiding having a social network component to their site at all?
I am also a huge fan of the app, so your post caught my eye! I am more bullish on them because if nothing else they have created a lot of value and have the potential to explore different business models to capture it. I agree with your assessment of the continuing decrease of ad revenue they might get. However, they could use affiliate programs to capture some revenue as a mobile influencer aggregator with an active following. I think they can experiment with their business models.
Great post, thanks for sharing! As a customer it is clear to me how Nordstrom digital efforts have contributed to an improved experience. On the value capture side, they have also invested in digital solutions that help lower their inventory costs. You may know already that Nordstrom recently bought a stake in DS Co., a supply chain startup that allows Nordstrom to do more “drop shipping,” therefore lowering the amount of inventory on their books and even getting the products to customers sooner. This only adds to their edge in a sector that is struggling to adapt to the e-commerce era.
I had not heard of Famebit so thank you for sharing! Influencer marketing certainly has a bright future. A challenge they might face is that the brands and creators that increase in popularity through the help of Famebit could eventually outgrow Famebit itself and try to cut them out to avoid sacrificing 20% of the deal. Do you have any sense of how they might be curbing that or how large of a loss that is? I also suspect that many creators will have a limit on how much of their content is sponsored in order to maintain a semblance of neutrality and authenticity. This won’t kill Famebit’s prospects, but might place a cap on it.