Beyond and Kirkland’s Partner on Bed Bath & Beyond Stores
Bed Bath & Beyond brick-and-mortar stores are set to return in a new, smaller format. The plan is part of a partnership between Beyond, which is the owner of Bed Bath & Beyond, Overstock, Zulily and other online retail brands, and Kirkland’s, which is a specialty retailer focused on home decor, the companies said in a Monday press release. The partnership will also see Beyond invest $25 million in Kirkland’s, and the two companies collaborate on several initiatives, according to the release. Kirkland’s will become Beyond’s exclusive operator and licensee for the new “neighborhood” Bed Bath & Beyond locations across the country.
Total Retail's Take: The re-emergence of traditional brick-and-mortar chain Bed Bath & Beyond figures to attract nostalgic shoppers longing for the days of the brand's iconic coupon postcards. While Beyond may not be reinstating BB&B's discount-heavy pricing strategy, it is betting that physical retail is a vital part of the brand's turnaround — albeit in a smaller format. Digital native Beyond is tapping into Kirkland's expertise in brick-and-mortar retail and, more specifically, home decor, in its attempt to re-establish BB&B as a viable name in the category.
“We view this partnership as a meaningful step forward in our long-term vision of growing through asset-light collaboration with complementary businesses while monetizing both the intellectual property of our iconic brands as well as the suite of affinity products being developed,” Beyond Executive Chairman Marcus Lemonis said in the release.
