Retail and personalized shopping service Stitch Fix has a new CEO at the helm, and 90 days in, he’s looking at the company’s digital strengths in order to craft a long-term strategy that will build on existing efforts.
In a recent call with investors, Matt Baer, CEO of Stitch Fix, said he is working closely with the company’s executive leadership team to inform a long-term strategy that expands on the existing “compelling, differentiated and innovative experience powered by advanced technology, offering personalization, convenience and service at scale.”
Fundamental to the company’s model are personalization algorithms, AI, machine learning, and data science, he said.
“It is clear that these capabilities are changing the way companies create and deepen relationships with customers,” added Baer. “And while they have certainly become popular buzzwords among retailers who are investing heavily to catch up, they have been part of the DNA of Stitch Fix since its inception and something we will build upon going forward.”
Baer believes doubling down on these technologies will help elevate client experiences to continue delivering personalization, strengthen profitability, and invest carefully to drive growth. Offline shopping is often cumbersome and time-consuming, he said, but online shopping in general is leaving much to be desired.
“Although the online experience has gotten better, it is still too focused on session-level conversion and lacks the inspiration and personalization that make great style, great fit, and great value attainable,” said Baer.
“Looking ahead, I am confident that being data-led, customer-centric, and technology-driven will continue to be key contributors to ensuring that every client engagement, interaction and solution is personalized.” — Matt Baer, CEO of Stitch Fix
What does that future look like? According to Baer, Stitch Fix will continue to evolve the application of AI and human touch, continuing its combination of data science and human connection.
“Doing this will ensure we are consistently investing in new capabilities to bring stylists and clients closer together, creating new ways of interacting with clients and continuing to advance our operational capabilities to be optimized for scale,” he emphasized. “The leadership team and I are aligned and focused on delivering long-term profitable growth.”