On Monday, Walmart (NYSE: WMT) announced that they will offer Lord & Taylor selling space on their very own website in hopes to dig deeper into the fast growing online fashion market. The website will soon start to offer higher end clothing and accessories from Lord & Taylor beginning in the spring of 2018. Walmart aims to boost customer traffic to their website by reaching a wider audience and enhance their online assortment with premium products while also reaching to millennial shoppers who usually don’t shop on their website.
Walmart has been making increasing efforts to acquire small online fashion brands this past year such as Modcloth, Shoebuy, and Bonobos in an attempt to recover a decline in sales against Amazon and other rivals in the online fashion marketplace. The company reported a 2016 sales of $23 billion but still struggled to attract young consumers. Last year’s clothing and footwear market sales totaled to $13 billion which was up $9 billion 5 years prior. Walmart predicts American apparel shares to triple in the next 4 years.
“I believe this is truly a pivotal moment for Lord & Taylor,'' says Liz Rodbell, the department store chain's president, adding that the partnership can "create tremendous growth for us. .. and this relationship will catapult forward Lord and Taylor’s digital footprint and expand our reach.''