According to drapers latest article by Jill Geoghegan ‘Boohoo sales for the three months to 31st May have soared 106% to £120.1m’ indicating the demand for affordable, on trend clothes. Such brands are particularly doing well who are in which only online retailers. In comparison Rixo are not in the same bracket price wise, being on a higher price, with also a different target audience but are an online retailer who are in fashion, following certain trends which coordinate with their own style. The rise in popularity for online retailers can in turn connect any brand more to their customers from varied locations, different to any physical store; which emphasises the importance of online promotion and awareness of the brand. This is shown by the website Fabacus stating ‘68% – of UK internet users buy clothing and footwear online (Mintel, 2015)’ This old statistic shows over half of women used internet shopping which has only increased since the data was collected, suggesting the direction that fashion buying is evolving and developing.
In addition business of fashion states in their forecast for fashion retail 2017 ‘Product categories are expected to grow in line with the overall industry average, but the biggest winners will be those companies’ with coherent channel strategies and clear value propositions’. In the eyes of business Rixo must have a strong business proposition, with a business plan to help their brand grow as a whole. By collaborating with a celebrity Rixo will be expanding their latest collection, appealing not only to their customers but the influencer’s audience; expanding their marketing and promotions including the customers they are reaching to. A collaboration is one way to help the business grow as well as release a new collection in the public eye backed up by a strong influencer with a strong following. In turn this will help Rixo to stand out from other women’s fashion retailers to reach to as many customers as possible, giving them an advantage of promoting their latest collection and brand. Rixo’s competitors consist of smaller designers who may have concession stores in department stores such as Debenhams and John Lewis. As Rixo has such a specific niche by their style and audience, to have a certain competitor to compare to is hard to come by. For Rixo to compete in the women’s retail industry they need to carry on promoting their unique concept, including focusing on online marketing and shopping; following in the movement of online shopping.