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Chart of the Day: Cross Town Rivals Battle for Apparel

Chart of the Day: Cross Town Rivals Battle for Apparel

The healthy margins of the apparel category combined with the fact that apparel is the most frequently purchased category within Prime (20% of all US consumers use Prime to purchase apparel) has led Amazon to enhance its Prime offering through Prime Wardrobe.

At the cross hairs of Amazon’s ambitions is cross town rival Nordstrom.  Higher end retailers such as Nordstrom are most likely to be impacted by Amazon’s advance in apparel for three reasons:
 

Amazon’s ability to hit the high end of apparel, while immediately concerning to Nordstrom, is also concerning to the overall apparel space due to the influence these higher end customers have on the rest of the market.  Establishing a foothold in high end apparel will allow Amazon to more easily move across the rest of the apparel space.

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