Can Stitch Fix's "Shop Your Looks" Become a Major Revenue Driver?

Stitch Fix (NASDAQ: SFIX) makes its money by selling customers a "fix," a box of curated clothing items sent to them after they take a style quiz. The customer then chooses the items she or he wants to buy and sends back the others. It's a successful model so far, with Stitch Fix beating analysts' earnings expectations for the past four quarters. Some observers have been concerned, though, that customers might tire of the "fix" concept and move on.

But Stitch Fix has something else up its sleeve. The company has been beta-testing a direct-buy option, and Retail Dive recently reported the option, called "Shop Your Looks," has moved out of testing and is now available to more customers. Shop Your Looks may become a big revenue driver for the company; it gives customers more control, yet still offers the personalization they love.

Image source: Getty Images.

Source Fool.com