Walmart acquires online art and wall décor retailer Art.com
Walmart entered yet another acquisition this year by buying assets from online art and wall décor retailer Art.com. The acquisition is expected to close in early 2019. The deal includes Art.com’s catalog, IP, trade name and U.S. operations.
The amount of the deal is still undisclosed, but Walmart says it’s in line with its other deals made over the past couple of years. Art.com has been doing more than $300 million in annual sales, according to CNBC.
Art.com will enhance Walmarts home decor category.
Walmart’s consumers will have a better experience in the home decor segment with Art.com’s inclusion. Founded in 1998, Art.com is the largest online retailer in the art and wall decor category with over 2 million chic posters and images.
Art.com already has knowledge of what customers prefer and with Waltmart comes a fairly huge consumer base. So this acquisition is likely to do wonders for Walmart.
Walmart has been on acquisition spree to out do Amazon
Recently Walmart had entered two major acquisitions. One was the apparel brand ELOQUII and other was the lingerie brand Bare Necessities. Walmart wants to enter as many categories as possible to offers much better choices to its customers.
ModCloth ($75 million), Bonobos ($310 million), Moosejaw ($51 million), ShoeBuy, Jet.com ($3 billion) and Hayneedle, are all under Walmarts acquisitions. It’s a clear indication that Walmart wants to stay ahead of Amazon and wants the best brands to be under it.
Art.com’s experience will come handy.
Art.com has an experience of two decades in the field of home decor. Art.com’s site includes technology like visual search and a way to visualize the art on your own walls. The site offers on-demand and customised products, it means Walmart won’t have to invest in inventory for this home décor business, as most of it is made-to-order.
Walmart says the plan is to add Art.com assortments to Walmart.com, Jet.com and Hayneedle.com, in the future. By doing so, customers will have access to “millions of additional choices for art, wall décor, and personalized print-on-demand capabilities”.