Walmart To Acquire Online Men's Clothing Retailer Bonobos

Walmart To Acquire Online Men's Clothing Retailer Bonobos

Walmart To Acquire Online Men's Clothing Retailer Bonobos

Not to be outdone by rival Amazon buying Whole Foods Market for a whopping $13.7 billion, Wal-Mart Stores on Friday said it would shell out $310 million for a purchase of its own - online men's clothing retailer Bonobos. Now it's trying to catch up with Amazon, the clear leader in that space, while capturing a customer that's younger, urban, and more affluent than the one it already has - the type of bro who buys his work wardrobe at Bonobos, say.

Walmart is already encouraging customers to order online and then pick up in-store for a discount. The company said it would offer Bonobos brands through its recently-acquired division and "possibly other Walmart brands in a variety of countries over time".

Walmart's acquisitions of and trendy ecommerce brand ModCloth helped bring Dunn around to a new understanding of how ecommerce brands and platforms could develop.

Under the deal, the founder and CEO of Bonobos, Andy Dunn, will oversee Bonobos and ModCloth.

"Adding innovators like Andy will continue to help us shape the future of Wal-Mart, and the future of retail", Wal-Mart's Lore said in a statement.

"We believe that with Walmart's scale, we'll be able to create efficiencies and an evolved shopping experience that benefits you, our customers". Two months later, Walmart scooped up Moosejaw, an online outdoor gear and clothing retailer.

Even Bonobos founder Andy Dunn publicly admitted that being associated with Walmart has baggage, and he said in a blog post that after the offer initially landed, he thought "no way". But elsewhere on the shopping front, there was another significant move: Bonobos, the menswear brand that launched 10 years ago with the promise of offering dudes better fitting trousers, has sold to Walmart.

An ad for Bonobos.Facebook/BonobosWalmart just acquired Bonobos and some loyal fans of the menswear brand are deeply disturbed by the news. You may think that the $5.5 trillion USA retail industry has room for everyone to share, but Amazon and Walmart look ready to fight for every last morsel.

Walmart bought nearly a year ago to up its competition against Amazon. While the cheapest shirts at Walmart retail in the single digits, clothes at Bonobos start around $90, and top out around $500.

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