YOOX Net-a-Porter Group

The name YOOX was created by Costas Constantinou and is composed of the male (Y) and female (X) chromosome letters linked by OO, the infinity symbol ∞ or "the ‘zero’ from the binary code, the fundamental language of the digital age".[7] YOOX's concept is to buy up overstocked or unsold items from previous seasons in "a direct relationship"[8] from renowned fashion houses "including Dolce & Gabbana, Diesel, Gucci, Armani and Cavalli"[9] as well as "manufacturers and authorized dealers"[8] and sell them online at discounted outlet prices. This is to enable "luxury brands to off-load last year's merchandise without undermining their brands or cannibalizing sales at their existing stores".[10] Vintage designer clothing (Chanel, Dior, Gucci etc.)[11][12] is collected with the help of fashion editor Polly Allen Mellen[13][14] and sold at special occasions. Some fashion designers have created capsule collections exclusively for yoox.com, such as Hussein Chalayan (menswear)[15][16] or Alexandre Herchcovitch.

In 2006, YOOX Group launched its first online flagship store for Marni.com. Since then, the company has worked with individuals in the fashion and luxury industry in the development of their e-tail strategies, launching websites for brands such as Armani and Marni. In 2007 Yoox began building its own warehouses, as previously goods had shipped directly from the design houses, rather than from Yoox itself. Yoox also began selling additional items beyond fashion, including artwork from artists like Damien Hirst, Mark Quinn and Peter Blake.[17] In 2008, Yoox launched its full-price online menswear retail store The Corner featuring established designer brands and a selection of niche fashion labels from Italy and elsewhere.[18][19][20] September 2009 saw the launch of womenswear at The Corner.[21]

Net-a-Porter founder Natalie Massenet is an American-born former fashion journalist with Women's Wear Daily and Tatler.[22] She developed the concept of a magazine in website format where users could 'click' to buy while trying to source product online for a fashion shoot.[23] Having raised the £1.2m (approx $2m) start-up costs with the assistance of her then-husband and co-founder Mark Quinn-Newall, they launched the company from the Massanet's flat in Chelsea, London.[22][24]

In the early days, the operation was so low-key that the company's black delivery boxes were stacked up in the bathtub.[22] Initially, designers and investors were reluctant to support Net-a-Porter because it lacked a physical retail outlet. Massenet recalled the credibility gap in a 2013 interview in The Observer: "They'd listen and they'd nod and then afterwards they'd say, 'Just tell me one more thing: where is your store?'" However, in 2001, Roland Mouret was persuaded to sell his collection via the website.[22] By 2004, the same year in which it won best fashion shop at the British Fashion Awards, the company was profitable.[22]

In 2010, Massenet sold a majority stake in Net-a-Porter to Swiss luxury goods holding company Richemont for an estimated £50m.[22] She remains an investor and executive chairwoman.[23] At the time it was bought by Richemont in 2010, Net-a-Porter was valued at $533 million.[25][26] The Outnet, a site focusing on previous seasons' designs at discount prices, was launched in 2009; in 2011, a menswear site, Mr Porter, was established[27] under the stewardship of Toby Bateman who then said: "The original concept around the Mr Porter customer was that he was the man in the Net-A-Porter girl's life."[28] Bateman left Mr Porter in 2019 and was replaced by Fiona Firth as managing director.[29]

In 2013 beauty was launched under the leadership of David Olsen.[30][22] In August 2014, The Outnet launched a partnership with Victoria Beckham to sell items of her clothing to raise funds for the nonprofit organization mothers2mothers to educate women about HIV/AIDS in Africa.[31]

The business continues to grow and in 2013 it retailed products from more than 350 designers, attracted more than two million monthly visitors to the site and an average spend of £500 (around $850).[22] Brands it retails include Stella McCartney, Yves Saint Laurent and Diane von Furstenberg. Labels such as Alexander Wang, Yves Saint Laurent and RM by Roland Mouret have created capsule collections specifically for the site. Writing in The Observer in 2010, Eva Wiseman noted that being stocked by Net-a-Porter is becoming important to designers as it: "not only guarantees new customers but its [Net-a-Porter's] credibility gives a fashion brand value".[23]

As of September 2013, Net-a-Porter employed 2,600 people in the UK, US, and Hong Kong, with further offices in Shanghai and fulfillment centres on the outskirts of three cities.[22][32] In early 2014, Net-a-Porter launched a print magazine called Porter, with an associated app and digital version of the magazine.[33] Some 400,000 copies will be distributed six times a year in 60 countries.[34] Playing off of its name, Net-a-Porter recently added a sportswear section to their website called Net-a-Sporter. The sportswear section of the website was launched in July 2014.[35] When speaking of the addition of Net-a-Sporter to the e-tailer's online roster, the company's President Alison Loehnis said "We spotted a gap in the market for being a one-stop shop for workout wear where fashion meets function and where performance and style are equally valued."[36] In August 2014, Massenet revealed that she originally wanted to call the website "What's New, Pussycat?"[37]

The combined revenues of the two companies prior to the merger was about $1.4 billion and their websites received a combined 24 million unique visitors annually. The deal was announced in March 2015, and went into effect in September. The combined network reached about 180 countries. The parent company of Net-A-Porter, Richemont, received 50% of the total available shares; however, their voting rights were capped at 25%, giving Yoox the ability to run the company.[38] Yoox founder Federico Marchetti became the group's CEO and Net-a-Porter founder Natalie Massenet left the company after the merger was completed.[39]

A Net-a-Porter branded taxi in London