Shoes.com Shuts Down and Steps into Bankruptcy

0

Shoes.com, No. 151 in the Internet Retailer 2016 Top 500 Guide, announced on Friday afternoon that it is shuttering its three e-commerce sites, including its flagship site Shoes.com as well as OnlineShoes.com and ShoeME.ca effective immediately. The retailer didn’t say why it is closing…although reports are also coming out that the company is filing bankruptcy.

The company took its websites offline and said it had closed its two stores in Vancouver and Toronto.

According to data from web traffic measurement firm SimilarWeb, traffic to Shoes.com from November-December dropped 27.1% year-over-year to 2,739,000 visits, down from 3,759,000 in 2015. The dropoff was even more significant in December, which saw 32.9% (1,870,000 in 2015 versus 1,254,000 in 2016) fewer visitors.

shoes com store

Shoes.com’s forerunner started in 2012 as Shoeme.ca, when former Coastal employee Sean Clark started an online shoe merchant after Zappos pulled out of the Canadian market.

According to Top500Guide.com, Shoes.com generated $223.0 million in sales in 2015, up 149.9% from $89.2 million last year. In May 2015, the retailer raised $45 million in a round of private equity funding.

It should also be noted that earlier this month rival online shoe maker Shoebuy.com sold to Wal-Mart for $70-million (U.S.). Combined with the fact market leader Zappos was already owned by e-commerce behemoth Amazon.com Inc., Shoes.com faced a much tougher competitive environment.

Amazing Domains - premium domain marketplace

 

Share.

Comments are closed.

Visit Us On TwitterVisit Us On FacebookVisit Us On Linkedin