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Agile Supply Chain

       Udi Nir
ModCloth is a social shopping site...




     ..that’s shaking up the way fashion is
      discovered, developed, and delivered.
We’re Democratizing Fashion




Make the Cut is a crowdsourced   Be the Buyer allows our     Name It and Win It
design contest. Users submit     users to pick samples for   engages users in
designs and vote on which        our store.                  product-naming contests.
should be produced.
Sourcing
Traditional vs. Agile
Top-Down                  Be the Buyer



 •    Samples scouted        •  Community-driven
 •    Orders placed             sourcing
 •    Designer produces
 •    Products launched
Be the Buyer Process
Customers provide direct feedback . . .
“Get rid of the ruffles and it would be amazing”
                    11.3%       88.7%
Skip It or Fix It?
  •  Poor score
  •  LOTS of feedback
     (over 800 comments!)
Fix It!
•  High pick rate
•  Almost 12,000 votes
•  Over 1,000 comments
Leading to valuable improvements...
Additional Examples
Up Your Alley Cat Flat




Original Sample   Updated Design     Picked
Whole Neutral Outlook Dress




Original Sample   Updated Design   Picked
Lots of Learnings


     10%
   20%

80%
  90%
Insights + Engagement
          •    Average sales for Be the Buyer items
               have 2.2x the velocity of non-Be-the-
               Buyer items!

          •    Great engagement vehicle
                •  19 Million votes

                •    10% of members voting on BTB

                •    33% of BTB customers voted
                     before they placed their first order

                •    BTB customers spend 2.5x more
                     than non-BTB customers
Takeaways
•  Don’t throw the baby out with the bathwater – just
   because an idea gets roundly panned doesn’t mean
   it won’t be universally loved with just a few tweaks.

•  You don’t have to source and produce mass
   amounts of physical product to find out what will sell.

•  Involving them in the decision making process
   makes for loyal, high-value customers.
facebook.com/ModCloth
     @ModCloth
pinterest.com/ModCloth

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Udi Nir, ModCloth, SXSW Lean Startup 2013

  • 2. ModCloth is a social shopping site... ..that’s shaking up the way fashion is discovered, developed, and delivered.
  • 3. We’re Democratizing Fashion Make the Cut is a crowdsourced Be the Buyer allows our Name It and Win It design contest. Users submit users to pick samples for engages users in designs and vote on which our store. product-naming contests. should be produced.
  • 5. Traditional vs. Agile Top-Down Be the Buyer •  Samples scouted •  Community-driven •  Orders placed sourcing •  Designer produces •  Products launched
  • 6. Be the Buyer Process
  • 7. Customers provide direct feedback . . . “Get rid of the ruffles and it would be amazing” 11.3% 88.7%
  • 8. Skip It or Fix It? •  Poor score •  LOTS of feedback (over 800 comments!)
  • 9. Fix It! •  High pick rate •  Almost 12,000 votes •  Over 1,000 comments
  • 10. Leading to valuable improvements...
  • 12. Up Your Alley Cat Flat Original Sample Updated Design Picked
  • 13. Whole Neutral Outlook Dress Original Sample Updated Design Picked
  • 14. Lots of Learnings 10% 20% 80% 90%
  • 15. Insights + Engagement •  Average sales for Be the Buyer items have 2.2x the velocity of non-Be-the- Buyer items! •  Great engagement vehicle •  19 Million votes •  10% of members voting on BTB •  33% of BTB customers voted before they placed their first order •  BTB customers spend 2.5x more than non-BTB customers
  • 16. Takeaways •  Don’t throw the baby out with the bathwater – just because an idea gets roundly panned doesn’t mean it won’t be universally loved with just a few tweaks. •  You don’t have to source and produce mass amounts of physical product to find out what will sell. •  Involving them in the decision making process makes for loyal, high-value customers.
  • 17. facebook.com/ModCloth @ModCloth pinterest.com/ModCloth

Notas do Editor

  1. Lesson – give customers choices that help them articulate what they’re looking for. The same product in a heel and a hat that garnered such a negative response is a bestseller as a flat.
  2. People don’t always know at first what’s bothering them – give them time to articulate through the process.
  3. JOE NOTES: Change this lots of learnings slide – remove text altogether – initial build show blue and green == 20% on the green Next build shows two colors that are not blue and green have them be 90/10