The term curated shopping describes online business models that set themselves apart from conventional online stores by offering an individual and personal advisory service. The aim is to offer advice that is just as relevant and targeted as in bricks-and-mortar retail.
Curated shopping – origin and concept
Curated shopping is still a relatively new trend that originated in the USA. Stores such as Trunkclub, Frank & Oak and Shoedazzle were the first companies to take up this concept. In Germany, providers such as Modomoto, Outfittery, 8Select, Kisura and Zalon rely on this model.
The unique selling point of these online stores is their exceptional customer service. Style advisors and fashion experts ensure a targeted product selection based on the customer’s preferences. Customers receive an individual product selection that matches their personal preferences and are advised directly. This advisory service is free of charge, which makes the concept even more attractive.
Curated Shopping – Procedure
The survey, which providers use to find out more about customers’ style, is structured similarly for most providers. Users rate various outfits, select favorite brands or absolute no-gos and provide information about their appearance. Optionally, a photo can also be uploaded.
At the beginning, customers fill out a digital survey in which they provide essential information about their preferences, sizes, style preferences, favorite colors and preferred materials.
This is followed by a personal consultation with style and fashion experts. Customers receive a message or a call from the store employee to clarify any unanswered questions. This allows the consultant to make a targeted product selection for the next phase.
Based on the information from the questionnaire and the information provided during the consultation, a stylist puts together suitable outfits. These are then sent by post.
At home, customers can try on and test the products at their leisure. After a thorough examination, they decide which items they would like to keep.
Products that are not selected can usually be returned to the online store free of charge. You only pay for the items that ultimately remain in your closet.
Curated shopping providers
There are already various providers in the curated shopping segment, particularly in the fashion sector. Modomoto and Outfittery have been represented in Germany with their curated shopping concepts since 2012. Zalando entered the market in 2014 with Zalon and expanded its target group to include shopping advice for women. Kisura, on the other hand, focuses exclusively on women and has been active since 2013. When choosing the right provider, it is worth taking a closer look at the different concepts, as advertising claims are often not meaningful enough. Many providers are more specialized in women than men. On average, the return rate is between 60 and 90 %, especially for the first order, although this figure is usually significantly reduced over time thanks to a more precise product selection.
A personal conversation plays a central role in the consultation, as it improves the quality of the product selection and reduces the number of returns in the long term. The concept of curated shopping is now also being used beyond the fashion sector – 99chairs, for example, is already implementing this model in the furniture sector.
Advantages of curated shopping
A key advantage of curated shopping is the increased potential for customer loyalty through personal contact and individual advice. By sending complete outfits, customers are not only encouraged to make targeted purchases, but also to make inspirational purchases that go beyond their actual needs.
The model can also be easily transferred to other sectors, particularly to industries that rely on advice, where individual product recommendations offer added value. In addition, the collection of user data through questionnaires or direct contact with stylists provides a valuable basis for a personalization strategy – both on-site and off-site.
Disadvantages of curated shopping
However, the model also brings challenges. The logistical effort involved should not be underestimated, especially if you do not have your own warehouse like Zalando, for example. In addition, the costs for style advice must be covered by the sales generated, which initially requires an investment.
Special features of curated shopping
Curated shopping is specifically geared towards long-term customer loyalty. In contrast to advice in bricks-and-mortar stores, customers voluntarily disclose information about their wishes and preferences when shopping online. This data provides detailed insights into the purchasing behavior of individual customers and allows online stores to better assess potential sales. The advantage is that a store’s product range adapts more and more precisely to customer needs over time. This benefits both the online store and the customer in equal measure. In the long term, personalized advice should lead to higher customer satisfaction, as satisfied customers shop more often and the perceived value of the company from the customer’s point of view increases continuously.
Conclusion on curated shopping
According to a study by EEC Cologne, only 3.6% of the 1,300 German online shoppers surveyed have tried curated shopping to date. This is mainly due to the fact that many customers are not yet aware of the benefits of this model. However, bricks-and-mortar retailers can also benefit from curated shopping. Some providers already offer online style consultations where customers can then pick up their selection at the point of sale. Whether online or offline, curated shopping is a growing trend that is becoming increasingly important.