The GILT group website may not be part of a fading enterprise. The GILT group is part of a new breed of limited-time sales eCommerce websites that build a huge volume of sales for retailers in a short burst. For one, it is a fantastic way to off-load excess inventory through web purchases. The experience is still high-end, so the brand image is not tarnished. And, as the NY Times points out, it also serves the purpose of advertising to new customers, whom end up coming back to purchase full-price merchandise from the brand later on.
This new breed of eCommerce websites straddles three distinct terrains: editorial, advertising and commerce. There may be an increasing trend for websites to serve all three purposes--the trend reflecting a successful online business strategy. Such websites help customers locate new brands and hip gear, with a deal attached upon the outset of the relationship. These sites, whether GILT or Ideeli, have become status symbols helping to position some emerging and growing labels.