Stitch Fix customers are basically dropping the "Fix"

Pizza fix, wine fix, Netflix, Stitch Fix... One of these does not belong in the corona-conomy. Stitch Fix is the online personal styling service that uses stylists and algorithms to send you curated boxes of outfits each month (are you boho chic or sporty grunge?). Stitch Fix was a rare profitable young techy start-up — now, it's back to unprofitable basics:

• Stitch Fix lost $44M last quarter, compared to a $7M profit during the same quarter last year. Shares plunged 14% after the update last week.
• “Undoubtedly not what it was pre-COVID": Stitch's thoughts on the overall demand for clothes. Your personal stylist is whichever sweats came out of the dryer first.

Drop the last name... Like Madonna, but not at all. Stitch Fix's customers have been increasingly dropping the "Fix" (aka: the stylist-curated subscription part that it's known for). Earlier this year Stitch intro'd "direct buy," offering the option to buy individual clothing items. While this makes Stitch Fix way less interesting (and Fix-y), it provides:

• More price flexibility: People aren't as willing to pay for a box of blazers and floral maxi skirts that they'll probably only wear to the grocery store.
• More choice specificity: Stitch's women’s activewear sales surged 350% last quarter compared to last year as people traded work fits for workout fits.