Kering is planning to bring an end to outsourced or JV e-commerce, according to a report published by Reuters and will instead bring the capability in house.
Luxury brands have long been cautious about online sales, struggling to maintain their exclusivity while catering to those customers who prefer the convenience of digital. However, with the channel now well established, luxury brands are increasingly investing in their digital presence.
What’s more, many, including Kering, have partnered with companies such as KD, Alibaba, Farfetch or Yoox Net-a-Porter (YNAP) to develop their e-commerce. With YNAP becoming part of rival Richemont this year, Kering’s exit may be the tip of the iceberg as companies think twice about their data sitting in a competitor’s hands.
“This is a natural evolution for a large group with the scale of Kering,” YNAP told Reuters in an email.