Zulily’s target customers are young mothers who would like to purchase items for their children or for themselves. The founders of Zulily, Daren Cavens and Mark Vadon, wanted to create a business targeting young mothers because there was a large market for new moms, which was untouched by other retailers. They discovered that 4.5 million kids are born in the U.S. every year, and the only discount retailers accommodating that demographic was T.J. Maxx (Gayomali, 2015). They figured if they could compete against Tiffany & Co and undermine them with their old business, they could do something similar with an online store focusing on children’s apparel.
Marketing strategies
Zulily uses a couple of marketing strategies to reach their target customer. Their biggest marketing strategy is their flash sales event which started in December of 2010. The event is targeted towards moms who would like to buy merchandise for themselves and/or their kids. The idea behind …show more content…
The system tests everything consumers click on to gather data about that consumer and to offer an assortment of products which are tailored to their preferences. “If you have an 8-year-old boy, and you sometimes buy him clothes, Zulily’s algorithms won’t show you dresses for 3-year-old girls”, so “what you see on your screen is engineered to be as close proxy to you in real life as possible” (Gayomali, 2015). What also makes their technology unique, is their ability to run many tests every day of the year. It gives them an advantage, over other retailers, because they can learn about their consumers quickly and react just as fast to provide them products they would like to buy. In addition, they get to launch a new e-commerce website everyday due to the technology they are