retail news in context, analysis with attitude

MarketWatch has a story suggesting that one of the reasons that Walmart has been bulking up through the acquisition of online fashion businesses - like Moosejaw and ModCloth - has been to " compete with, and fend off, Amazon.com Inc., which is also making a push in the apparel arena."

The story notes that Amazon "has been adding private label brands at a pace as robust as Wal-Mart’s acquisitions. By KeyBanc Capital Markets’ count, Amazon has at least 14 private-label apparel brands in the U.S. and U.K., nine for Prime members exclusively. Analysts there estimate that the e-commerce giant has a $14 billion-plus apparel business ... Moreover, Amazon is highlighting the brands when customers do a generic search. And the pricing is competitive."

In acquiring these online businesses - and operating them separately - Walmart is "evolving," with the apparent recognition that it has to improve its assortment and expertise, as well as reach out to shoppers who in the past might have avoided Walmart, if it is going to be competitive with Amazon in the fashion arena.
KC's View:
Like I said, the landscape is changing. It is going to be a fascinating game to watch play out.