Dive Brief:
- Subscription startup FabFitFun is installing a two-day pop-up in downtown Los Angeles at Grand Central Market to celebrate its spring box, which includes items like a Free People eye mask, candles from Anderson Lilley, a Rachel Pally reversible clutch, Ettika tassel earrings, and other jewelry, cosmetics and personal care items from Murad, ISH, Dermelect Cosmeceuticals and others, according to a company press release.
- The location is primed for visitors to take photos to post on social, with hand-painted cacti and plants from local florist Strega Flora by Nikki Pettus, the company said. Anyone posting a picture with the hashtag #FFFParadise will receive a discount on the spring FabFitFun box.
- The pop-up will be open Saturday and Sunday, March 10-11 from 10 a.m. to 10 p.m. The company most recently opened a similar short-term pop-up in West Hollywood in October, according to Women's Wear Daily.
Dive Insight:
While FabFitFun, founded in 2010, avoids overwhelming its subscribers by keeping deliveries to just four times a year, the company has also begun to engage with customers further by meeting them face to face. A pop-up shop, which provides opportunities for over-the-top, if temporary, installations, could be especially conducive to the subscription model, which in many cases is struggling to gain traction after initial trials.
The e-commerce retailer can provide shoppers with a rare opportunity to touch and feel their goods without contemplating opening stores of their own. And while potential customers can see what they'd be getting, the subscription services can learn a lot, too.
"As an LA-based company, we love opportunities to support local institutions like Grand Central Market," Daniel Broukhim, co-founder and co-CEO, said in a statement. "We wanted to bring a piece of FabFitFun to downtown and create a true urban paradise with this installation. It's a great opportunity for both locals and visitors to experience FabFitFun, take some great pictures and walk away with one of our boxes."
Boxes in general could use the boost. While subscriptions are a way to cement loyalty and grow repeat business, the model has run into trouble in some cases. Just 55% of consumers who consider a subscription service ultimately subscribe, with replenishment services enjoying a 65% conversion rate (driven by a more staid motivation than those considering a curation service, with 52% conversion, or an access style service, with a 51% conversation rate), according to a study from McKinsey and Co. emailed to Retail Dive.
It doesn't help that there's a subscription service for just about everyone and everything — boxes that come regularly filled with meal ingredients and ones that arrive monthly with pet food and treats, along with a slew of apparel retailers, like Gap, Under Armour, J.C. Penney and Target, among others, that have recently gotten into the game.