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Success Isn't in the Bag Yet

By Emily Schmitt (posted on July 21, 2009)

Success Isn't in the Bag Yet

BagNV
Founder Tamika Powell (right) and Johanna Rodriguez, sales vice-president

Women love purses, and many love low-stakes gambling, too. Put the passions together via a monthly raffle for designer handbags, and Tamika Powell figured she'd have a business. One day, perhaps. But her idea hasn't caught on yet. Powell, 30, launched her Web site, BagNV.net, in February, a year after she was laid off as a human resources consultant. She sells raffle tickets at $2 apiece (payable through Paypal) for a chance to win a high-end bag that retails for $300 to $500. With shoppers turning frugal, she thought her timing was about perfect. "We're trying to be an answer to the recession," she says. Prizes have included a Puma Remix grip bag and a Coach Sabrina Op Art handbag. So far, Powell, who lives in North Hollywood, Calif., has spent more than $1,200 on purses, shipping, and overhead. She has brought in just $100, however. Powell says she may hike ticket prices on the more expensive bags. She also says she can't rely only on word-of-mouth marketing. One option: sponsoring a fashion show.