Spell and the Gypsy Business Model

(Spell and the Gypsy, 2018)

Spell and the Gypsy Collective AKA Spell, is a women’s, bohemian, online fashion and sustainability empire. Based in Byron Bay, however primarily online, Spells vision is ‘to become one of the most inspiring and conscious fashion brands in the world’ (Spell and the Gypsy, 2018).

“Rather than strive for sustainability to be our point of difference, we hope to drive change within the textile industry so that a new ‘normal’ is achieved universally” - Spell and the Gypsy, 2018.

Together with their global success, both a national and international online store, their drive to promote sustainability both in fashion and every day life, and developing a huge social media following, Spell is a true leader in their industry and inspiration to all other women’s clothing stores.

(Spell and the Gypsy, 2018)

Regarding their business model, Spell operates business-to-consumer, or B2C, selling their items directly to customers through their transactional e-commerce site (AKA E-shop) (Chaffey, 2016). However, Spell also operates the business-to-business model, or B2B (Chaffey, 2016). This is done by selling their products at wholesale price to other businesses, for them to then sell. Together, these are the company’s primary source of income and form their revenue model.

(Turquoiselane.com, 2018)

Spell is not just an online store. They have a huge social media presence with over 927,000 Instagram followers, over 252,000 followers on Facebook and managing a super successful Blog on the side. Together, these create Spells consumer-to-consumer (C2C) business model (Chaffey, 2016). Spells customers can actively communicate with the Spell team through their posts, by engaging through comments, likes and shares.

(Spell and the Gypsy Blog, 2018)

Finally, another cheeky way Spell entice sales is through using digital media channels for display ads. Basically, this means a site can use rich media ads to target its website visitors through their social media channels. This achieves brand awareness, familiarity and purchase intent (Chaffey, 2016).

E.g. Have you ever been looking online at something, and then suddenly that product is appearing on the sides of your Facebook, YouTube, daily news update etc.?! This is a marketing strategy, trying to pry you back in to buy that product!

See example below, where Spell Ads appear on my Facebook, because of looking at their website.

(Facebook, 2018)

References –

Chaffey, D. and Ellis-Chadwick, F. (2016). Digital marketing. 6th ed. Harlow (GB): Pearson.

Spell & The Gypsy Collective - Australia. (2018). Our Vision + Commitment • Spell & The Gypsy Collective - Australia. [online] Available at: https://shop.spelldesigns.com.au/pages/our-vision-and-commitment [Accessed 24 Aug. 2018].

Spell & The Gypsy Collective - Australia. (2018). Dresses • Spell & The Gypsy Collective - Australia. [online] Available at: https://shop.spelldesigns.com.au/pages/dresses [Accessed 24 Aug. 2018].