The big-box retail giant released itsquarterly earnings
[https://corporate.walmart.com/newsroom/2020/05/19/walmart-releases-q1-fy21-earnings] this week. It was good news for Walmart and bad news for Jet.com. In the
earnings release, Walmart confirmed the e-commerce site it acquired in 2016
would be shut down because, well, Walmart can live without it.
It should come as little surprise that Walmart did well during the first couple
months of the COVID-19 pandemic in the U.S., with an 8.6 percent increase in
total revenue and an eye-popping 74 percent increase in revenue from its
self-branded e-commerce platform. People wanted to use Walmart.com to order
products instead of a Walmart-owned site they had possibly never heard of,
Walmartspent $3 billion
Jet in 2016. It never really took off as the Amazon competitor Walmart surely
wanted it to be, despite are-brand
[https://www.prnewswire.com/news-releases/jet-relaunches-with-new-experience-assortment-and-service-to-become-the-shopping-destination-for-city-consumers-300711804.html] in late 2018. Jet started showing personalized homepages and item
recommendations for users in big cities, most notably with a New York
City-themed template. Walmart doesn?t really exist in the Big Apple, so Jet
could have been a way to hop into that market under a different name.
Still, Walmart doesn?t seem to consider Jet to be a colossal failure or
anything. In the earnings release, Walmart commended Jet for being ?critical to
accelerating our omni strategy.? It sounds like Jet simply became redundant
after Walmart launched an express shipping option for Walmart.com deliveries.
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