A United Parcel Service employee hundreds orders onto a truck within the transport space on the Overstock.com distribution middle in Salt Lake City, Utah.
Ken James | Bloomberg | Getty Images
Overstock.com goes all in on failed retailer Bed Bath & Beyond.
The e-commerce dwelling items retailer will not go by its eponymous title on-line and can as a substitute transfer beneath the Bed Bath & Beyond area title within the coming weeks after buying the bankrupt rival’s mental property, Overstock introduced Wednesday.
It will relaunch the Bed Bath & Beyond web site in Canada throughout the subsequent week, adopted by a rollout of an internet site, cell app and loyalty program within the U.S. “weeks later.”
Overstock introduced the strikes because it accomplished its $21.5 million acquisition of Bed Bath’s mental property and digital property. The firm hopes the model title will assist to carry sagging gross sales.
“Bed Bath & Beyond is an iconic consumer brand, well-known in the home retail marketplace,” Overstock CEO Jonathan Johnson mentioned in a press release. “The combination of our winning asset-light business model and the high awareness and loyalty of the Bed Bath & Beyond brand will improve the customer experience and position the Company for accelerated market share growth.”
Despite declining gross sales, Overstock’s inventory has surged practically 32% this yr. Overstock shares jumped practically 5% in prolonged buying and selling Wednesday and in addition popped when it was first revealed that it efficiently received the public sale for Bed Bath’s property.
In its first-quarter ends in April, Overstock reported $381 million in income, a 29% drop from the prior-year interval. The e-commerce retailer posted a internet lack of $10 million. Still, the retailer’s outcomes got here in forward of some estimates, in response to Street Account.
Overstock won’t purchase any brick-and-mortar Bed Bath shops as a part of the deal. The failed dwelling items retailer has been internet hosting a collection of auctions for its myriad property, together with its retailer leases and property from its Buy Buy Baby banner.
Quite a lot of bidders have expressed curiosity in Buy Buy Baby’s shops nevertheless it stays unclear if any will likely be purchased and saved open.