Vente Privee.Com

THE NEW WAY TO MAKE WORLDWIDE E-BUSINESS
Isabelle POLOMACK

VENTE-PRIVEE.COM: OVERVIEW
Created in 2001 by Jacques-Antoine GRANJON
Consist of sellingunsoldluxuryproductssuch as clothes, purses, cutlery…
by internet
Specializing in organization of short time sales events by Internet
Realize online trailers and create online catalogs for the distributors
Implemented in Germany, Spain, Italy and United Kingdom

VENTE-PRIVEE.COM: OVERVIEW
240 millions of dollar generated in 2006
30 000 dispatchedorders per year
More than 850 availableproducts online
470 events in 2006
More than 500 employees

VENTE-PRIVEE.COM: CUSTOMERS BENEFITS
Access to inaccessible productsatdesirablepricing (-50% to -70% OFF)
Doing shopping everywhereatanytimewith no constraints
Findexcellentqualityproductswithcompetitiveprices
Discover a new way of doing shopping
Be recognized as a VIP customer and have someprivilege
Be membership of a private club
Direct access to the unsoldproductsand their stocks

VENTE-PRIVEE.COM: DISTRIBUTORS BENEFITS
Getrid of leftover stock
Widentheir distribution network
Acquire new customers
Maintain and increasetheir revenue by direct sales channel
Diversifytheir distribution strategy by direct positioning
Have additional revenue thanks to the private online channel
No revenue and stock loss
Fidelizecustomersthanks to the privateclub’smembership

VENTE-PRIVEE.COM: OWNERS BENEFITS
Low operating cost
Lowcost
Large revenue sources (affiliation, commissions, auctions, subscription …)
Profitable business model even if an economiccrisisappeared

VENTE-PRIVEE.COM: CONSTRAINTS
Need to find a « godfather » to make the suscription and become a member
High shipping costs
Long delivery
Loss and theft of packages
Online payment (canbe a constraint for somecustomers)
Indirect Customer service (external to the company)

VENTE-PRIVEE.COM: POTENTIAL RISKS
Customerscandecide to exclusively consume destocking (discounted)products. This way of consumptioncanbevery destructive for companiesbecausetheycanbeconstraint to sellproductsatlowpriceexclusively. Moreover, thispricingpoliticcangenerate revenue lossatmedium term.
Customerscandecide to not buy offline because of the good online offers
Internet security system canbepirated and the customers’ transactions canbefraudulentlyused. Because of thisinsecurity system, customerscandecide do not anymorebuy online products

VENTE-PRIVEE.COM: GLOBAL BENEFITS
According to an interview realised in 2007 with Jacques-Antoine GRANJON,
the Vente-Privée.com’s owner, the main keys to success of the company are:
http://www.journaldunet.com/itws/it-granjon-lecteurs.shtml
Read the article:

VENTE-PRIVEE.COM: GLOBAL BENEFITS

DOES THE PRIVATE SALES BUSINESS MODEL CAN BE APPLY TO THE TRAVEL INDUSTRY?
Travel Industry Main issue: Take advantage of the more profitable strategies to face the competitive market
Sincemanyyears, wecan note that the travelindustryneed to get and stay in control of revenues by using business modelsthatcanattract new customers all around the world.
So, in order to maximise profits, travelcompanies must to apply a powerfulpricing and revenue optimizationstrategy
as well as they are building customerloyalty.
Becausetravelcompanies have to selltheir global stock, itis crucial for them to not loose money or sellat a loss.
For this main reason, the Private Sales’ business model isnowaday
an excellent way for travelagencies to getrid of leftover stock
and generateadditional revenue.

HOW WOULD THE ONLINE PRIVATE SALES BUSINESS MODEL CAN WORK FOR TRAVEL AGENCIES?
EXCLUSIVE HOTELS
TRAVEL AGENCIES ONLINE PRIVATE SALES
ONLINE CUTSOMERS
OFFLINE TRAVEL AGENCIES
EXCLUSIVE TOUR OPERATORS

OBJECTIVES
Getrid of leftover stock
Increase online traffic
Generateadditional revenue
Enlarge the customersdatabase
Animate the travel distribution network
Transformeach invitation into a pruchasingact
BUSINESS MODELS
Subscriptionfee or registration fee
Advertising
Affiliate programs
Infomediary
Manufacturer
Merchant

STRATEGIES
Create a feeling of dependance to traveling
Develop impulsive purchasingacts
Offer a Gold Club Membership to increasecustomers’ loyalty
Offerpersonalizedtravel packages to customers
TOOLS
E-mailing
Newsletters
Sponsorship/Membership
Widgets
RSS feeds
Community network (Iphone, Facebook, Twitter…)

EXEMPLE OF ONLINE PRIVATE SALES BUSINESS MODEL FOR TRAVEL AGENCY

EXEMPLE OF ONLINE PRIVATE SALES BUSINESS MODEL FOR TRAVEL AGENCY
‘Voyage-Privée’ is a specializing website in private sales for holidays and luxury trips
Websitecreated: in 2006
Owner: Denis Philipon
2007 Revenue: 21 millions of Euro
Members: 2 millions
Pageviews per day: 26,919
http://www.voyage-prive.com/login

ONLINE PRIVATE SALES BUSINESS MODEL: KEY TO SUCCESS

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Vente Privee.Com

by mbaebusiness on Oct 09, 2009

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