How does rue la la make money

McWeeny compared Rue La La and Gilt to brick-and-mortar "off-price" store operator TJ Maxx, another Boston-based chain, which acquired Marshall's stores in and built up what has become one of the most valuable retailers of the Internet era by offering name-brand merchandise at discount prices.

He added that Rue Gilt planned to buy other brands as well. In the United States, Zulily is the moderate-price player, and "we are the premium player," Rubin said. He said a majority of Rue La La's business is generated by shoppers using mobile devices, with workstations and desktop computers accounting for the rest.

Rue Gilt says it has no immediate plans for brick-and-mortar stores. Skip to content Share Icon. We have affiliate relationships which means we may earn a small referral commission at no additional cost to you if you shop using our links. Each day, Ruelala has different curated sales for fashion, home, travel, kids and more.

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In a phone interview, Michael Rubin, executive chairman of Rue La La and founder of Kynetic, said the two businesses complement each other, though Gilt caters to a higher-income shopper. Each site gets about 60 percent of its sales from mobile devices. Rubin noted that there's only a 15 percent overlap in customers but most of the sites' suppliers are the same.