The Trump administration had argued the president has wide-ranging authority over national security matters.Politicsread more
Sen. Bernie Sanders will announce a plan Monday to forgive the country's $1.6 trillion outstanding student loan tab, intensifying the higher education policy debate in the...Personal Financeread more
Nineteen billionaires released a bipartisan letter on Monday asking the 2020 presidential candidates to support a tax on the American families with the largest fortunes.Economyread more
The major indexes have stretched to all-time highs and are riding one of their best first halves in decades.Trading Nationread more
Six women are running for president. Five of them are career politicians. Then there's Oprah-approved self-help guru Marianne Williamson.2020 Electionsread more
As candidates from Elizabeth Warren and Bernie Sanders to John Delaney jockey for position in the 2020 Democratic primary, business issues will come up in the first debates.2020 Electionsread more
McDonald's said Monday that it gained market share in the informal eating out category for the first time in five years, thanks to its nationwide launch of fresh beef.Restaurantsread more
The brokerage says that the globe is "one step away" from recession as the world's two largest economies head to the G-20 summit.Marketsread more
President Trump issues an executive order that would pressure insurers, doctors and other providers to disclose more information about health-care prices.Health and Scienceread more
J.P. Morgan analyst Stephen Tusa is sticking to his guns when it comes to General ElectricInvestingread more
The planet of Batuu is now open to all Disneyland guests, but that doesn't mean visiting this galaxy far, far away is going to be easy.Entertainmentread more
results@ (Adds details on lower orders for Jet, falling sales, background)
WASHINGTON, June 12 (Reuters) - Walmart Inc on Wednesday announced a sweeping overhaul at Jet.com, an e-commerce start-up it acquired in 2016 for $3.3 billion, as the world's largest retailer competes with Amazon and tries to grow its online revenue.
Walmart said it will integrate Jet.com's retail, technology, marketing, analytics and product teams with its own e-commerce business. The current president of Jet.com, Simon Belsham, will leave in early August.
Walmart's move reduces the scope and importance of Jet.com in its overall U.S. e-commerce ambitions of taking on Amazon.com Inc, according to interviews with six vendors, two consultants and three Walmart employees.
Jet.com, which was expected to boost Walmart's reach particularly with city dwellers and millennial shoppers, has not lived up to the retailer's expectations of becoming a driver for online grocery sales and growing market share in urban areas, the sources added.
Multiple large and medium-sized consumer goods companies that do business with both Walmart and Jet have told Reuters they began noticing Walmart executives buying less of their merchandise to sell through Jet.
The reductions in Walmarts order sizes for its Jet unit, they said, started in March, when many vendors began discussing business priorities with Walmart for the 2019 fiscal year. In 2016, Jet forecast revenue of $1 billion and according to recent estimates from consulting firm Kantar, which was shared with some vendors, the companys sales shrunk to $689 million in 2019.
The data from Kantar also shows the number of U.S. households that shopped on Jet.com in January 2019 was 2%, down from 3% during the same period three years ago, forcing Walmart to recalibrate using Jet as a platform to drive online grocery sales.
Several vendors, who told Reuters they were keen to introduce new packaging and pricing on Walmart.com and Walmart-owned websites like Jet this year, said the retailer told them to look for ways to push more sales on Walmart.com going forward and not spend resources on a new strategy for sales of their merchandise on Jet.
Walmart merchants are also informing grocery, apparel and electronics suppliers that want to introduce new products online that Jet is not a priority, according to vendor sources.
Separately, current and former Jet employees told Reuters that Hoboken, New Jersey-based Jet, is struggling to keep up its sales momentum and hit revenue goals. Two retail consultants, who advise Walmart on e-commerce and online grocery, have confirmed to Reuters that Jet is failing to keep pace with Walmarts internal sales goals. The retailer has previously said it expects losses from its online business, including Jet.com, to increase this year, without giving additional details. Going forward, Kieran Shanahan, who oversees Walmart's food, consumables, health and wellness categories, will be responsible for Jet.com's strategy and management, in addition to his current role. (Reporting by Nandita Bose in Washington; Editing by Lisa Shumaker)