The Oprah Effect

It may not be such a merry Christmas for every fashion company, except for those lucky enough to be mentioned on Oprah's holiday shopping list. This year, Oprah is zeroing in on the latest Ugg boots, which this time come in crochet, rather than sheepskin.

You may think Ugg boots are so three years ago, but then again, you may be seriously underestimating the "Oprah factor." The "Oprah factor" is the talk show host's ability to turn anything she features on her show, or in her magazine, into a major retail success. Think I'm kidding? Then, check out this Business Week slideshow.

One company featured in the slideshow, Adam + Eve, an undergarment company founded in 2004, had filled about 3,000 orders just one year later. After being featured on Oprah's show "Big Ideas that Made Millions" as well as her "O List" in mid-2006, the company received 12,000 orders in three months. Now, its founder, Adam Lippes, has his own design label, Adam. The Web site, of course, has its own section called "Oprah's picks."

Indeed, her effect on consumer products, as well as books is well documented. She's is Forbes' #1 top celebrity, raking in $225 million each year from her magazine, television, books and even sometimes, movies. A study done by Brigham Young University in 2004 talks about the effect her book club has had on otherwise unknown books. It also mentions that the "favorite things" portion of her show, launched in fall 2004, lifted her show's ratings by an additional 15 percent according to Nielsen Media Research.

Instead of slashing prices, or even making additional product accessories, maybe retailers and fashion companies should just try to get their products on "Oprah."

To be sure, let's see how many crochet boots we see on the streets during and just after the holiday season. My bet is people wil be wearing these boots a lot more than they would otherwise.