Why Walmart is looking a lot more like Amazon
Walmart is aggressively expanding its e-commerce business once again to keep pace with the seismic shift in consumer shopping trends.
The world's largest retailer is in talks to buy men’s clothing retail startup Bonobos Inc. for about $300 million, according to Bloomberg. The acquisition could be seen as another way for Walmart to make a bid for Amazon's core customer.
Bonobos started in 2007 by selling dress pants to men and quickly expanded its repertoire to shorts and colorful plaid shirts. While the brand started as an online-only retailer, Chief Executive Officer Andy Dunn has in recent years started to incorporate brick-and-mortar stores into its strategy.
Over the last few years, Bonobos has also opened more than 30 brick-and-mortar showrooms, called Guideshops, where customers can get fitted and place orders to be delivered to their home. It has raised more than $125 million from investors like Forerunner Ventures, Lightspeed and Mousse Partners in part to fuel this expansion.
Walmart acquired Jet.com for $3.3 billion last year in a deal that transformed Walmart’s e-commerce operations and brought in a fresh team of e-commerce executives, including Marc Lore. Walmart followed that by snapping up smaller sites, including outdoor retailer Moosejaw and women’s apparel seller ModCloth, earlier this year.