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Amazon's latest luxury push is slow to win big fashion brands
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Oscar de la Renta took the plunge. The fashion house this fall began selling a $2,000 black lace cocktail dress in an unlikely place: Amazon.com Inc. Few others have followed.
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Amazon is off to a slow start in its latest effort to woo luxury goods onto its platform. Since creating a special section on its mobile app to house high-end fashions in September, the e-commerce giant has amassed just a handful of big brands.
It isn't the first time Amazon has tried to add designer wares to its sprawling and fast-growing marketplace. Luxury brands such as Louis Vuitton and Gucci have steered clear of Amazon in the past for insufficiently policing unauthorized sellers and counterfeit goods, or for not giving brands more control over what is sold and at what price.
AMAZON SCORES RECORD SALES FOR ANY THREE-MONTH PERIOD EVER
Amazon's newest offering, called Luxury Stores, addresses some of those concerns. It is an invitation-only service for select members of Amazon Prime, which has 150 million global subscribers. The designers get to pick which products to sell and can control the pricing. There are no product reviews or links to third-party sellers. Items are displayed with 360-degree views and motion graphics.
Both customers and partners have responded positively to Luxury Stores, an Amazon spokeswoman said, adding that brands have started to replenish inventory and expand selection. Other fashion houses have contacted the company to express interest since Luxury Stores launched, she said, but declined to name them.
One fashion house still not satisfied was LVMH Moët Hennessy Louis Vuitton SE, the French luxury conglomerate also behind Dior, Bulgari and Givenchy. The company rejected Amazon's proposal to join Luxury Stores, according to an LVMH executive, because it has its own e-commerce operations and doesn't want its brands to be associated with Amazon.