Global luxury-shopping destination MatchesFashion.com has experienced another strong year of growth in 2017 with revenue up 44% year on year. And with the online luxury market penetration still fairly undeveloped, the company sees a “huge opportunity” moving forward.
Overall stats released are impressive:
- Full year revenues up 44% to £293m ($394m at current exchange rate*)
- EBITDA increased 34% from £19m ($26m*) to £26m ($35m*)
- Average Order Value of £542 ($729*)
- 95% of business generated online, growing 50% YOY
- 82% of online business generated outside of the UK
- Sales in the US led the way increasing by 54% making it the largest country by revenue
- Website visits increased 36% YOY to 75m
- 51% of online sales generated via mobile
The boon has come from international expansion, spurred by technology and power social innovation such as the launch of The Style Daily and The Style Social, delivering unique daily content to users and enhancing the consumer experience. The success of the app last year led to more than half of online business being conducted via mobile. 2017 also saw the launch of two local-language websites in French and Korean and, in October, funds advised by Apax Partners acquired a majority stake in the company.
Style Reports, Vacation Reports, Designer Interviews and more make the site much more than a strict shopping site.
In 2018, MatchesFashion.com increased their physical footprint; the Hong Kong office has tripled in size and in April they launched a state-of-the-art creative studio in East London. In the summer a new 500,000 square-ft global distribution center will open in London followed by a five-story townhouse residence in Mayfair, 5 Carlos Place. Conceived as a combination of retail, culture and broadcast, the townhouse is designed to connect and inspire customers, creating a range of content across editorial channels and social platforms.
“The luxury customer is driven by discovery and our aim at MATCHESFASHION.COM is to inspire loyalty by constantly innovating and partnering with the best brands,” says CEO Ulric Jerome. “We call it ‘luxury rewired’ and we’re investing at scale to meet these evolving customer needs. The global online luxury market is seeing strong growth but penetration is still very low, so the opportunity is huge. We continue to accelerate profitable growth in our international markets and we see that momentum continuing throughout 2018.”