| 12-02-2002 |
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Page 3
Customization not only expands markets but also allows businesses
to charge more. Take Branches Hockey in Osceola, Wis. In April,
2001, the stickmaker launched a service that lets consumers order
customized products. Players pick from 26 options, including the
length of a stick, blade patterns, and curve patterns for the blade.
Branches plugs the data into its digital cutting equipment and cranks
out a custom stick in five days. The company charges 39% more for
custom sticks. Branches says the online offering has increased revenues
for the entire business by as much as 25% in the past year.
Companies that turn to customization can offer services that wouldn't
work without the Web. Catalog clothing company Lands' End Inc. (LE
), which only has a handful of outlet stores, introduced customized
chinos online a year ago and jeans early this year. Now, custom
orders make up 40% of chinos and jeans sold online. In November,
Lands' End introduced made-to-order twill pants and dress shirts.
This is welcome news for shoppers who spend hours in mall changing
rooms, hunting for the elusive fit. Christine Hobbs, a 33-year-old
database marketing manager in Costa Mesa, Calif., has always had
a hard time finding pants to fit her 5-ft.-11-in. frame. It got
worse after she turned 30. "As you get older, your body turns
into shapes you never predicted," says Hobbs. So she was happy
to pay $54 for a pair of brown chinos--$19 more than the off-the-rack
equivalent. Lands' End has to charge more to cover the higher cost
of making customized clothing. But the company is hoping that as
the custom operation picks up steam, higher-capacity manufacturing
processes will lower the cost per unit, boosting profit on the premium
line.
For shoppers, buying tailor-made clothing online requires a little
work and an honest look in the mirror. Hobbs typed in her measurements
and had to answer a series of questions about the shape of her body.
Yet all this effort works to the advantage of the e-merchant. Once
shoppers have laboriously created profiles at one e-merchant, they
are far more likely to revisit the same site than to repeat the
process with a competitor.
This is leading more apparel retailers to hurry into the market.
Bob's Stores, based in Meriden, Conn., is experimenting with Web
kiosks in a couple of its casual-wear stores in the Northeast. Casual
Male Big & Tall in Canton, Mass., also plans an online system
by next year. "We think we can attract new customers who can't
fit into our traditional sizes," ranging from a 44-inch waist
up to 80 inches, says CEO David Levin.
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