**Overstock.com Rebrands as Bed Bath & Beyond in the US**
Bed Bath & Beyond CEO Jonathan Johnson recently announced that Overstock.com has completed its rebranding in Canada and is now operating as Bed Bath & Beyond in the US. Johnson expressed enthusiasm about the positive experience in Canada, which prompted the company to swiftly initiate the rebranding process in the US.
**Successful Rebranding in Canada**
Johnson revealed in an interview on Bloomberg TV that the rebranded Bed Bath & Beyond website in Canada has shown promising results. The website has attracted more customer traffic, yielded a higher return on advertising spending, and witnessed an increase in the number of shoppers who browse and make purchases.
**Shift to Bed Bath & Beyond Website in the US**
From now on, when US customers visit Overstock.com, they will automatically be redirected to the newly revamped Bed Bath & Beyond site. With this shift, Overstock.com will begin operating under the well-established Bed Bath & Beyond brand in the US market.
**Acquisition of Assets and Intellectual Property**
To facilitate the rebranding process, Overstock.com acquired certain assets and intellectual property from the bankrupt retailer, Bed Bath & Beyond. The acquisition, worth $21.5 million, did not include Bed Bath & Beyond’s network of stores or its Buybuy Baby brand.
**Suppliers Eager to Collaborate with Bed Bath & Beyond**
Jonathan Johnson expressed that suppliers have shown a keen interest in partnering with the revitalized Bed Bath & Beyond. This demonstrates a positive response from the industry, indicating that the rebranding effort holds promise for the future of the company.
**Strategic Benefits of the June Deal**
Analysts believe that the acquisition of assets and intellectual property from Bed Bath & Beyond in June was a strategic move. Bed Bath & Beyond had a larger customer base and stronger brand recognition compared to Overstock.com. Integrating these assets is expected to provide strategic advantages for the company.
**Revitalizing Sluggish Revenue**
Overstock.com has embarked on this rebranding initiative to address issues such as sluggish revenue in the homewares category and declining market share. By aligning itself with the well-known and trusted Bed Bath & Beyond brand, Overstock.com aims to revitalize its revenue and regain market momentum.
**Challenges and Future Outlook**
While the rebranding effort holds promise, analysts are cautiously optimistic about its success. There will be significant challenges ahead, particularly in marketing and retraining consumers to engage with the new Bed Bath & Beyond website and app. This endeavor coincides with a difficult time for the home market, which adds further complexity to the company’s efforts to retain and attract customers.
**Conclusion**
Overstock.com’s rebranding as Bed Bath & Beyond in the US marks a significant strategic move for the company. With the positive reception of the rebranded website in Canada, Bed Bath & Beyond aims to replicate the success in the US market. The acquisition of assets and intellectual property from Bed Bath & Beyond will provide the company with substantial opportunities for growth and revitalizing its revenue. However, the challenges associated with marketing and consumer engagement during a challenging period in the home market should not be underestimated. Overstock.com’s future success will rely on effectively navigating these obstacles and winning over both existing and new customers.
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