Things have been bad.
We have cringed as we watch retailers report increasingly worse sales as we tighten our grasp on our own purse strings, and it seems there is no letting up.
Today WWD reported that <a href=" https://www.eluxury.com” rel=”nofollow”>eLuxury.com, the designer e-commerce site launched in June 2000 by LVMH Moët Hennessy Louis Vuitton, is closing its retail site. Over the next six months, the site will become an online magazine focusing on luxury goods.
The official word from parent company LVMH is that they are not closing because of the site’s poor financial performance, but because the brands it supports have their own e-commerce sites and they cannibalize the audience. Whether or not you believe the party line, the news is sending shockwaves through the industry. If such a stalwart is closing down, what can that possibly mean for everyone else?
People in the industry, from magazine editors to e-commerce analysts are agape at the news, and in a bit of shock. “I’m honestly really surprised,” said one analyst. “It seemed to be doing so well.”