Last Thursday, entrepreneur Kath Purkis launched her second startup Her Fashion Box. It is Australia’s first monthly subscription fashion box, sent out for a cost of $49.95 a month, with all the latest products in trend across the beauty and fashion sector that suit your personality type.
Purkis used her already large and engaged database of contacts from her first business Le Black Book to communicate the launch and talk about the service, which has served as a real strategic advantage, being that she already has the trust of existing customers as an online retailer and as an editor of the magazine and blog that accompanies this site.
According to Purkis, on day one from the communication she sent out, they received a 20% conversion rate, which if you look at the facebook page, take 5,000 people out of the 15,000 people as an estimate of the amount on the email database, then multiply 20% of that by $49.95 – You have a pretty bloody good first day of trading. In fact because it is a subscription service, you have a pretty awesome financial year in business ahead of you, if the customers are loving what they are getting.
Although the investment portfolio for the startup is not being disclosed at this stage, we do know that Purkis has a cofounder for this business with a massive amount of experience in the beauty and lifestyle sector, Kerry Osborn.
In another first for this business, Her Fashion Box is the first company in the country to use Text to Buy, as part of their offering, making it even easier for customers to get their hands on the product. We are going to hazard a guess and say that someone within the investor portfolio is in the telecommunications sector or at least very familiar with it – a very clever move. Smart money is the bomb.