Changing the Face of Ecommerce
In the "Executive Decision" segment, Cramer spoke with the CEOs two of privately held companies that are working to change the face of ecommerce , Kevin Ryan, CEO of Gilt Groupe and Andy Dunn, CEO of Bonobos. Gilt Groupe offers daily deals and flash sales similar to the pending Groupon IPO, while Bonobos is changing online fashion their unique take on menswear.
When asked how the flash sale concept is different than online sales at juggernaut Amazon.com (AMZN), Ryan said that Gilt Groupe focuses on the high end of the market, spanning multiple verticals, and using flash sales and scarcity to create urgency, something that traditional online retail lacks.
When asked how Bonobos is able to outwit other fashion retailers, Dunn said that for Bonobos, it all started with great fitting pants, then using the power of the Internet to find customers and create great relationships with them.Cramer noted that for many companies, going public seems not to be the goal anyone, and Ryan agreed. He said for companies Gilt Groupe's size, going public is less attractive than it was years ago and his company sees no urgency to do so. Finally, when asked why other retailers simply can't copy either company's concept, Dunn said that legacy distribution models tend to hold other companies back. "It's in our DNA and we hire the right people," he noted.