Beyond, Inc. acquires Zulily IP, brand assets for $4.5 million
Zulily will live to see another day.
Beyond, the owner of online retailers Overstock and Bed Bath & Beyond, has acquired the intellectual property and other brand assets related to flash sale pioneer and e-commerce retailer Zulily, which ended operations at the end of 2023.
The purchase price was put at $4.5 million plus acquisition-related costs, and was funded entirely with cash on hand.
The acquisition includes website and domain names, trademarks, tradenames, customer database, social media accounts, software to run the Zulily website and goodwill associated with the brand. It excludes all of Zulily’s liabilities, liens and debts.
In a release, Beyond said the addition of Zulily will complement its suite of brands, including Overstock, which is scheduled to relaunch later this month.
“This acquisition doubles down on our belief in the off-price market, and its importance to building our business, improving our margin profile, and growing our customer file,” said Marcus Lemonis, executive chairman of Beyond. “Zulily, in combination with our legacy brand, Overstock, will provide our vendors multiple outlets that, not only meet customers at various price points, but also offer an additional outlet to improve their inventory turns and financial performance.”
The new Zulily site is expected to be fully functional by the end of the second quarter of 2023 and contribute to Beyond’s 24-month revenue goal without adding any additional incremental fixed expense. (In February, Beyond said it was reviewing its portfolio after a disappointing fourth quarter.)
“Bringing the trusted Zulily brand into our asset-light business model allows us to offer furniture and home furnishings, apparel and footwear, jewelry and watches, among other categories that are also core competencies of our off-price Overstock business with flash sale deal pricing,” said Dave Nielsen, who was recently named CEO of Overstock. “The ramp with Zulily is simple, as the website and mobile app are already built and available in the Shopify environment. We will be able to integrate it seamlessly into our back-end systems for order fulfillment, logistics, and operations to be handled by our existing teams.”