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Walmart expected to buy Jet.com for competitive prices on market

Thursday 4 August 2016 08:40 CET | News

Walmart plans to buy Jet.com, an ecommerce company, to provide consumers with low-cost items.

Walmart seeks to grow beyond its brick-and-mortar storefronts with speedy home delivery from a network of massive suburban warehouses, wsj.com reports.

Jet could be valued at up to USD 3 billion. That would be Walmart’s biggest acquisition since buying South African retailer Massmart Holdings for USD 2.3 billion in 2010.

Walmart’s ecommerce sales reached nearly USD 14 billion, or 3% of its USD 482 billion in annual revenue in 2015.

Jet is offering low prices based on a formula that takes into account basket size and the proximity of the merchandise to buyers, as well as other factors.

Walmart would gain Jet’s pricing software, as well as warehouses and customer data. The retailer also would get a brand that can appeal to higher-income shoppers.


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Keywords: Walmart, Jet.com, ecommerce, acquisition, Customers, merchants, US
Categories: Payments & Commerce
Companies:
Countries: World
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