It’s really interesting how Bonobos has achieved operating efficiencies (selling online, carrying less inventory, etc) by matching the shopping experience to customer preferences in a unique way – e.g., guys want the fashion consulting piece in-store and don’t want to have the carry the clothes out with them afterwards. And the no-discounts approach seems to also appeal to a certain customer demographic that doesn’t like dealing with pricing complexity – Zara also does something pretty similar and it seems to work!
This is so cool – thanks for explaining it, Sinead! The way Musk has managed to reduce cost by insourcing parts reminds me of what Tata tried to do with its Nano car model, although I think that wasn’t quite as successful – possibly partly because the cost differential from insourcing vs. outsourcing parts in spacecraft is a lot more meaningful than in cars. I’m really surprised, though, that Musk pays salaries below market rate – it doesn’t seem like he lacks the funds to do so!
This is a fascinating business, and the videos are really helpful! It sounds like a key part of Enernoc’s operating model is its 24/7/365 staffing to support the real-time data that is key to its software solution. In addition to that and its strategy of growth through acquisition, I’m curious to keep learning about how Enernoc maintains an advantage over competitors – whether it’s through buying them out, a first-mover advantage, an aspect of its operating model, or something else. Thanks for sharing such an interesting model!