Harry's is the latest direct seller to go over to the other side
three years ago for $1 billion. It has recently expanded its offerings into other beauty products like shampoo and soap, logical extensions given its customer base.was by no means the only direct-seller to decide to disrupt itself. Walmart, under Marc Lore—himself a direct seller with Jet.com who went over to the other side when he sold to the Bentonville behemoth—has acquired a host of small, niche direct sellers including Bonobos, ModCloth and Moosejaw.
But is that really what happens? For most of these deals, it’s too soon to say. Many of the direct seller founders have stayed on with their corporate overlords but it’s unclear how much they are impacting their new owners' traditional businesses. Sites like Gilt.com, HauteLook and One Kings Lane were all e-commerce players that came on with a different business model, threatening the online businesses of conventional retailers. None of these deals have exactly panned out the way they were supposed to and only One Kings Lane, bought by Bed Bath & Beyond, truly functions as a stand-alone business today. Many of the others have been discarded or otherwise folded into their parents.
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