The Race for Top Bridal Web Site Heats Up
By Evan I. Schwartz
The New York Times
Beware the bridal-industrial complex.
Embarking on what is probably the most acquisitive year of their lives, the
newly engaged often find their hearts, minds and checkbooks being tugged in
many different directions at once. The 2.5 million couples who get married
every year in the United States generate wedding-related spending of about
$50 billion, according to research by Modern Bride magazine, which works out
to an average of $20,000 each.
So it's no wonder that the cyberspace race to create the ultimate wedding
site is now heating up in this, the height of marriage season.
One problem with launching a national bridal commerce site, however, is that
much of the business -- the caterers, the florists, the photographers and
the like -- is intensely local. It's difficult, for instance, for one
all-purpose nuptials site to recommend the best wedding singers for both
Valley Stream, N.Y., and Simi Valley, Calif.
And yet, one of the biggest chunks of the wedding business -- the buying of
the gifts -- is the picture perfect Web commerce application. Friends,
family and other guests spend about $17 billion annually on ceramic napkin
holders, silver candlesticks, pasta-making machines and the various other
treasures that couples will stash away for many years to come.
The task of buying these items is poised to go digital because the guests
have no need to physically see or touch the merchandise. They already know
that whatever they pick from an online gift registry has already been deemed
wedding worthy by the recipients. And by putting their gift registries on
the Web, the engaged couple solves the problem of being limited to
registering only at stores that have locations near all their far-flung
relatives and college buddies.
As is typical with fast-evolving electronic opportunities, the early
contenders to dominate this market don't come from the ranks of the
industry's traditional players -- in this case, the bridal magazines and
large department store chains. Rather, they come from the world of
well-funded Internet start-ups founded by people in their 20s with personal
experience in the ways of modern wedding planning. What's surprising,
though, is how widely divergent these new-wave business models are.
Perhaps the most popular wedding site, the Knot, takes an approach similar
to Amazon.com, bypassing brick-and-mortar stores altogether. Stocked with
4,000 different gift items, theknot.com allows the bride and groom to browse
the online catalog, add their choices to their personal registry page, and
tactfully alert their guests. Founded by David Liu and Carly Roney, a young
New York couple, the service is based on the premise that today's busy young
couples do not enjoy the experience of registering for gifts in large
department stores. "The off-line world is somewhat broken," Liu said. "We
think the Web has changed people's consumer patterns."
To help with the logistics and fulfillment, the Knot recently took a $15
million strategic investment from the television shopping giant QVC Inc.,
which is owned by Comcast and is now procuring, warehousing, and
distributing all of the Knot's gift merchandise from one location in
Virginia.
Vehemently disagreeing with that anti-store approach is Tim Grey, co-founder
and chief executive of WeddingChannel.com, a three-year-old Los Angeles
start-up backed by more than $19 million in venture capital, including
financing from the personal computer magnate Michael Dell. Newly engaged
couples like going to the store to select their china, flatware, linens and
other accouterments of married life, Grey contends. "They want the
face-to-face contact with store employees and a place to return
merchandise," he said.
That's why WeddingChannel has teamed up with Federated Department Stores.
The operator of Macy's, Bloomingdales and five other chains has taken a 20
percent equity stake in the company, and will be automatically adding the
in-store registries of the 300,000 brides it signs up each year to the Web
site.
Then there's Stephen Cunningham, founder and chief executive of
WeddingNetwork.com. Instead of just one giant retail partner, like
Federated, his company has signed pacts with dozens of smaller ones,
including the bridal specialist Ross-Simons and the linen giant Bed, Bath &
Beyond. With more than 60,000 products to choose from, $16 million in
venture financing and equity backing from Primedia, the parent of Modern
Bride, Cunningham claims that his company is the one to beat.
And now comes a Silicon Valley start-up called WeddingChannel.com, which has
combined elements of many of these other business models -- while also
tackling the daunting job of integrating online bridal registries with the
back-office data bases and order-fulfillment operations of major retailers.
Named after the young newlyweds in the O. Henry short story "The Gift of the
Magi," and backed by the venture capital firm Kleiner-Perkins, WeddingChannel.com
says it is the first wedding Web site to offer real-time updating between
Web gift registries and store-based ones. So when Cousin Buffy shops online
and selects a crystal vase from Harcourt General's Neiman Marcus on a
Wednesday morning, Uncle Bertrand knows upon arriving at a physical store
later that day that he must choose something else.
Besides working with Neiman Marcus, the company has integrated the
registries of Crate and Barrel, Dillard's, Williams-Sonoma and the outdoors
specialist REI into its service.
Jessica DiLullo, the 26-year-old cofounder and vice-president of Della &
James, is getting married in September to her Stanford University sweetheart
at a ceremony in California's wine country. The couple have a personal home
page on the company's site, complete with a fetching photo, details about
the event, and of course a growing list of what they want, including a gift
certificate for ballroom dancing lessons ($50), walkie-talkies ($109.95
each), a backpack ($80), and sterling-silver salt and pepper shakers ($90).
Ms. DiLullo is thrilled that the service is ready for a trial run in time
for her big day. "I wanted to be a beta bride," she said.
In the end, these sites are supposed to simplify the hectic lives of the
newly engaged -- a group that can use all the help it can get in that
regard. An interactive poll being taken by WeddingBells.com, yet another
site that plans to start a bridal registry, asks this question: Are the two
of you having sex before getting married? Out of 1,264 votes received, 9
percent selected the response "No, it's more special this way," and 13
percent chose "No, it's against our beliefs." A whopping 77 percent selected
"Yes! Why shouldn't we?" But maybe there should have been a fourth choice:
"Too stressed. We're planning a wedding, you know."
Evan I. Schwartz is the author of the newly released book "Digital
Darwinism" (Broadway Books; www.digitaldarwinism.com).
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