Now its official: Amazon is taking over BuyVIP (for a yet unconfirmed 70 million euro).
“Amazon.com, Inc. (NASDAQ: AMZN) today announced that it has reached an agreement to acquire BuyVIP.com, a fashion and lifestyle online buying community with more than six million members in countries including Spain, Germany, and Italy.
“BuyVIP.com offers their members an exciting selection of top fashion and lifestyle products at extraordinarily low prices,” said Greg Greeley, vice president European Retail at Amazon.
“BuyVIP.com is an excellent complement to Amazon’s European business and will provide another unique way for Amazon customers to find and discover unique and compelling products.”
As already described, it is a bit hard to follow the logic behind this acquisition. It might have been an emergency reaction, given that more attractive takeover candidates such as Vente-Privée or the more valued Privalia were not available to Amazon.
The only rationale for BuyVIP is that – their weakness in France and Germany notwithstanding – they are relatively well placed in Europe. The takeover would make more sense if Amazon would now buy out Brands4Friends to better cover at least the German and British markets.
Amazon has been for a while now prying into the live shopping business: in 2006 they took a stake in Woot! and this past summer they took it over completely for an alleged $110 million.
Related posts:
- Privalia Trumps Brands4Friends and BuyVIP in Latest Investment Maneuvers
- Gilt Groupe Exchanges CEO, Kevin Ryan Takes Over
- Woot! 2004 - 2010: After 6 Years, Sold To Amazon
- ShowRoomPrive Makes Number 2 Spot in France’s Private Shopping Club Scene
Originally posted in German by Jochen Krisch, adapted for excitingcommerce.com by Jason Soo.
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