And how long until they shut those operations down and merge everything into their core business?
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I don't see how it was a good fit but I am also not in the know of everything. I wish them the best of luck for the next fifteen years till I can retire.
I agree about questioning the fit. Same with Mod Cloth. I didn't get that purchase either. Don't know why they don't focus on their true core customer and build grocery to home. WalMart bought Yumprint back in 2014. What did that accomplish? Don't know why they don't have the inhouse talent to come up with their own ideas instead of spending $$$ for others. If they bought Yumprint 3 years ago, why can't I go to Walmart.com today, choose a recipe and have all the ingredients at my door when I get home from work? I'd support that over some funky $129 dress I'd never order off of ModCloth.
We shouldn't have paid 300 million if it was just to get the tech. So the tech is good? Doesn't mean anything if it can't be grafted onto Walmarts ancient systems.
Their tech is pretty good - customization, high volume, connections to back end - it was a good buy, not sure about the price though
I think it was brand suicide. No way will a high end customer shop Walmart long term. Any aspirational brand acquired by Walmart would have this issue. It's why the big brands won't sell them to begin with.
The top "Liked" comment on Bonobo's Facebook page announcing the deal reads:
" . . . it's also a move that your loyal customer base sees as the ends justifying the means. You're joining an organization that millennials, your core consumers, loath and vilify as destructive, unethical, and cheap—essentially the polar opposite when previously thinking about Bonobos. In doing so you've alienated the voice of your customer—that which heavily contributed to the Bonobos brand initial success. In the mind of the consumer, the connection has been made and the perspective of quality tarnished."
Doesn't appear to be a fit when looking at who the Bonobos shopper is compared to typical Walmart shoppers. The reaction on social media from Bonobos shoppers was that of disgust, as if the purchase by Walmart was brand suicide for Bonobos. Clearly, the Bonobos shopper doesn't want to be associated with being a Walmart shopper. Not sure how Walmart will overcome that type of reaction. It's a bit of a culture clash.