Case study · E-commerce
An online handbag store built from scratch – the investment paid back 6 times in 5 years
In one of the portfolio companies we co-created – together with the project team – an online handbag store: from buying the domain and the brand, through an offer from leading designers, to the launch and marketing. It was one of the most expensive e-commerce projects we have run. It paid off many times over.
Situation and goal
A new brand in a demanding category
A portfolio company wanted to enter e-commerce with its own handbag store. The store was built from scratch – with no brand, traffic or customer base.
Goal: to build a store that would stand out with its offer and brand, sell at a high margin and pay back the investment. And the investment was high – buying the domain and launching the store alone were among the most expensive projects we have delivered.
Our role was hands-on operational involvement: preparing the strategy, running the project and overseeing implementation together with the company’s project team.
What we did
Four stages – from the domain to the first thousands of orders
The brand foundation
- Analysis of options to buy one of the best domains in the category
- Negotiating and buying the domain
- Logo design
An offer that stands out
- Partnerships with leading Polish and international designers and manufacturers of women’s handbags
- At a later stage – extending the offer to men’s bags
Implementation and store launch
- Design and implementation of the online store
- Product photo shoot
- An information campaign with a PR agency and a launch campaign
Marketing and sales
- Marketing strategy and oversight of materials: newsletter, banners, display ads
- Google Ads and Facebook campaigns
- Partnerships with fashion portals, bloggers and influencers
Results
High margin, high volume, fast payback
The offer from recognised designers attracted both women and men. Over 5 years the store handled several thousand orders a month, with an average order value of about PLN 500 and an average margin above 50%.
The investment in launching the store – despite the high cost of the domain and implementation – paid back six times over within 5 years.
Takeaways for your company
What worked in this project
A higher cost of entry can pay off – if there is a plan behind it: a strong brand, a well-thought-out offer and marketing from day one.
Margin starts with the offer. Working with recognised designers made it possible to sell at higher prices rather than compete on price.
A launch is a campaign, not just an implementation. PR, influencers and advertising started together with the store.
Who led the project
Strategy Partners expert
Damian Rusiecki
Founder and Managing Partner of Strategy Partners. He advises on strategy, e-commerce and technology – based on his own experience of building and running companies.
View profile →Free conversation
Talk to us about your e-commerce
Tell us in a few sentences what your company is facing. We will reply within 24 hours and propose a time for a conversation.
- The first conversation is free and without obligation.
- Full confidentiality – on request we sign an NDA before the conversation.
- You talk to an experienced adviser, not a salesperson.
Contact form
Fields marked * are required. We treat all information as confidential.