‘Counting On’: Followers Think Amy Duggar’s Store Is Failing For This One Reason
Amy Duggar and the entire Duggar family had a pretty eventful 2019 and 2020 is shaping up to be more of the same. The family welcomed several new children into the fold, including Amy’s son, Daxton Ryan. They had to say goodbye to Grandma Mary, who died tragically in June 2019, and they Duggar clan is now battling a federal investigation and an ongoing feud with Jill Duggar’s husband, Derick Dillard. Through it all, Amy has been chugging away at her business, 3130 Clothing Boutique, but followers think the retail shop might be in danger of shutting down, and Amy’s promotional plug is why they think that’s the case.
Amy offers 50% off to VIP subscribers
Amy took to Instagram to share some exciting news with people who shop at 3130 Clothing. Amy is officially offering a membership program. The concept is pretty simple, and most people have seen similar offers. Shoppers can pay $10 a month, and that gives them access to the entire store at a discount.
For 3130, that discount is 50% off the entire store, and there are no limits to how much one can purchase. In theory, a shopper can walk in and buy $500 worth of goods for just $250. The membership also comes with a free stylist upon request, and it allows shoppers to earn points towards loyalty rewards. It all sounds like a steal, but some followers don’t believe it’s sustainable and fear Amy’s business is losing money already.
Is Amy’s business in trouble?
3130 Clothing is a private business, and Amy has never shared how well the store is doing, followers in the area, however, note that Amy’s target demographic just isn’t spending time in Tontitown, Arkansas, where the storefront is located. One Reddit user, who claims to live in the area, alleges that the small strip mall where 3130 Clothing is situated doesn’t see much traffic. The user also notes that most people who live in the area prefer shopping in large chain stores or online, rather than in small, independent boutiques.
The strip mall that houses the boutique seems to be pretty empty when glancing at a Google Map of the area. The mall contains a dance studio, a nail salon, a spa, Tradesman International, and a few other small businesses. 3130 clothing appears to be the only actual retail shop in the mall.
Critics of the store owner also wonder if the goal of the subscription is to get people to sign up, hoping they’ll forget the program altogether. One can not sign up for the promotion monthly. Instead, there appear to be quarterly and annual options only. Sure, the monthly fee is low, but is it too costly for Amy to sustain? It’s possible.
Is such a steep discount good for business?
Far be it for us to give Amy business advice, but business and retail experts all seem to agree that steep discounts can lead to trouble in the long run. Working Knowledge, a publication put out by Harvard Business School, notes that offering discounts on products is an expensive venture. The higher the markup on the items, the more a store can technically afford to discount those items, but that’s not always the best way to attract more buyers, advises retail expert, Rajiv Lal.
Amy appears to be comparing her store’s loyalty program to subscription boxes like Stitch Fix. There is one big difference between Stitch Fix and Amy’s boutique; Stitch Fix is a curated subscription box, and the company has established relationships with the designers they feature. That means the company is getting the clothing at a discount and passing only some of that discount onto the customers. The overhead is also relatively low for a company like Stitch Fix, as they don’t actually have a storefront. The same is not true for Amy’s boutique.