Stitch Fix offers shoppers curated assortments; passes sales milestone

Stitch Fix Inc. is moving a bit closer to a traditional e-commerce model by enabling customers to buy items directly without first ordering picks from a stylist.

The online clothing-subscription retailer is launching a new service, Stitch Fix Freestyle, which creates a personal online shop for each consumer based on their style preferences from a quiz, shopping history, fit and size. Customers can then discover and purchase curated items from a variety of brands across a wide range of apparel categories.

The new service allows anyone, not just subscribers, to purchase items directly from Stitch Fix. Shipping, returns and exchanges are free, with no styling fee or minimum order required with Stitch Fix Freestyle.

“No two Stitch Fix Freestyle experiences are the same, as each set of recommendations is driven by the shopper’s unique style preferences, size and fit,” the company stated. “Items refresh frequently throughout the day as inventory updates, so there’s always something new to try.”

Stitch Fix’s business is booming. The company reported that its fourth-quarter revenue rose 29% to $571 million, helping it pass the $2 billion in annual sales for the first time.

"After a decade head-start in personalization, we're reimagining the future of e-commerce, with the consumer at the center of it,” said Elizabeth Spaulding, CEO of Stitch Fix. “The introduction of Stitch Fix Freestyle delivers true personalized shopping, envisioned for today's consumer, who wants a highly-curated and personal experience."

StitchFix’s new shopping experience as consumers are expressing a desire for more personalized and flexible services. A survey from financial technology company Broadridge Financial Solutions reveals that nearly 60% of consumers, including 71% of millennials, believe companies need to improve their customer experience. 

More than half (56%) of surveyed consumers believe the pandemic has fundamentally changed how they communicate and engage with businesses, with 54% seeing an increase in “humanity” in the communications they have received from businesses. Survey results also illustrate the potential dangers of not meeting customer expectations for digital personalization. More than four in 10 respondents (43%) have stopped doing business with a company just because it did a poor job of personalizing the experience. Millennials (59%) and gen X (51%) were most likely to change providers, compared to only 28% of boomers.

Existing customers can access Stitch Fix Freestyle once logged into their account.