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Thread: Walmart is buying Bonobos?

  1. #11
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    I don't believe Wal-Mart will cheapen the Bonobos brand or its quality. They are looking for this purchase to diversify their online profits and differentiate their online offerings from Amazon. They also want ecommerce talent. I'd be very surprised if you saw Bobobos branded clothing in Wal-Mart as I bet most of their customers have never even heard of the brand.

  2. #12
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    Hey, if it helps Walmart shoppers dress better...

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    Quote Originally Posted by DrewCPA View Post
    I'd be very surprised if you saw Bobobos branded clothing in Wal-Mart as I bet most of their customers have never even heard of the brand.
    Not to mention the fact that Bonobos prices don't really mesh with everything else they sell.

    In regards to the acquisition, it's definitely an unexpected move.

  4. #14
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    Looks like Walmart is in a mood to shop, based on several recent online clothing acquisitions. Someone already mentioned Moosejaw, but there's also been Shoebuy and Modcloth. Certainly much faster in growing the online presence and scale by acquiring select businesses rather than trying to build it out organically.

  5. #15
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    It'll be interesting. I'm no businessman but I doubt there'd be much change in the near future. Still an up and coming brand that they'll probably help grow in their current model before cheapening it for better profits.

    And people concerned Walmart will get their info through Bonobos.....I'd bet money Walmart already has your info, or could easily have it if they wanted....

  6. #16
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    I think that the only way for Wal-Mart to grow at this point was to go higher-end. They tried higher quality stuff in their stores (to compete with Target) it didn't last.

    I could see a Bonobos show room in the front of some Walmarts, next to the bank. They might not mesh the two businesses. It may be like Fiat owning Ferrari.

  7. #17
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    I dont think it will necessarily alter anything. A parent company is capable of owning ,multiple companies that operate at different levels and with different structures. Every body always assumes that a company buys another one just to mold it into a model of the parent. Most of the time it is the exact opposite. They acquire a company to do one of 2 things. Eliminate competition or expand into a market that the parent company cant penetrate. Walmart will NEVER attract the bonobos target demo. the only way to get some of their money is to buy a company that already has it. Ford owned jaguar and land rover for that reason. Ford had no modern higher end offerings, risked losing target demo if they moved away from their core image and didn't have the luxury clout to get customers to accept them as a luxury brand anyway. So they bought one. Hyundai and Kia ended up as the same company because Hyundai absorbed one of their stiffest rivals. Pepperidge Farm Cookies is owned by Campbells soup. I haven't seen any creamy tomato milanos on the shelf. Anyway, There may be an effect but I wouldnt expect it to be drastic.


    EDIT - replied befroe reading the entire thread. @SaWuttae and @Kazoo said it better with less words.

  8. #18
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    For me, it has more to do with "Wal-Mart" owning a company I like to shop. I choose not to buy stuff from Wal-Mart because I don't like what they represent. On the other hand, I really like Bonobos clothes. The acquisition forces me to give money to a company I don't care for, or give up on a retailer that I like.

  9. #19
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    Quote Originally Posted by batkins9 View Post
    For me, it has more to do with "Wal-Mart" owning a company I like to shop. I choose not to buy stuff from Wal-Mart because I don't like what they represent. On the other hand, I really like Bonobos clothes. The acquisition forces me to give money to a company I don't care for, or give up on a retailer that I like.
    that I can totally understand and get behind.

  10. #20
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    Quote Originally Posted by ryn View Post
    I could see a Bonobos show room in the front of some Walmarts, next to the bank. They might not mesh the two businesses. It may be like Fiat owning Ferrari.
    I can't imagine that at all. The Bonobos guide shop experience is the opposite of the Walmart experience.

    I can see reasons Walmart could want to own businesses like Bonobos. I can't see why they would try to put Bonobos locations inside Walmarts.

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