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With its lower start-up costs and potential audience reach, the online space has proved itself a great breeding ground for disruptive retailers. Here’s a look at four innovative e-tailers that are generating buzz and sales increases — enough to place them among the top 15 fastest-growing e-retailers in a recent study.*
Casper: Less is more for mattress-maker Casper, which launched two years ago with only one SKU: a mattress made out of memory and latex foams that is shipped inside a small box. The mattress springs to life after the packaging is removed.
With sales hitting a reported $100 million-plus in 2015, Casper is credited with reinventing the staid $14 billion mattress industry. Free shipping and a 100-day trial period — customers can have the mattress picked up and returned for a full refund — go a long way in adding to the brand’s appeal.
Playful marketing and a strong focus on social media help Casper stand out. The brand is expanding into Europe, and is also expanding its product line, adding a pillow and sheet set to date.
Everlane: A curated collection of in-house designed, modern basics for men and women. And “radical transparency.” That’s the offer at Everlane, which launched five years ago. Sales grew 100% in 2015 — not bad for a company that does almost no advertising and offers no discounts.
The socially conscious brand is upfront about pricing. On its site, the retailer discloses how much it costs to make its products, breaking down each item by materials, labor, duties and transport. It then compares its price to that of a “traditional” retailer. Everlane also is transparent about the factories where its products are manufactured.
The online retailer has made small forays into the physical space, opening well-received pop-up “studios” and, most recently, a permanent showroom complete with personal stylist at its San Francisco headquarters. Currently, it is focused on expanding into new categories and spicing up its minimalistic style aesthetic with some fashion elements.
Harry’s: Specializing in men’s razors and shaving items, Harry’s has been on an upward trajectory since it was launched in 2013 by two college friends (one, Jeff Raider, was a co-founder of Warby Parker). Customers can sign on for monthly subscriptions or buy products at their own pace.
In a competitive niche, Harry’s competes with a vertically integrated business model. The company manufactures its products at a razor factory it purchased in Germany.
From its sleek packaging and product design to its overall messaging, Harry’s trades in sophistication. And quality. The company says its model allows it to offer higher-quality items at a good value. With a reported nearly 1 million subscribers, the company’s sales grew 400% in 2015.
Touch of Modern: Think flash sales are over? Think again. Launched in 2012, flash-sale e-commerce site Touch of Modern did an estimated $100 million in sales in 2015 — up 233.3% from 2014 — and claims 7 million customers.
Unlike most flash-sales sites, Touch of Modern is aimed mostly at men. It has a membership model and offers a curated selection of cool, one-of-a-kind in-season products from both well-known brands and up-and-coming designers. The selection ranges from clothing and watches to tech accessories and home goods, all with a cool edge.
* Internet Retailer 2016 Top 500 Guide
Marianne Wilson
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