Amazon shutters MyHabit, inks $30M e-book deal

Amazon (NASDAQ:AMZN) is shuttering its fashion flash sale site MyHabit as the online retailer shifts its apparel focus to private labels, complete with an in-house video sales component.

MyHabit launched during the height of the flash sale boom and after five years has seemingly been played out. Category leader Gilt Groupe was recently sold to Hudson's Bay for $250 million, a fraction of its estimated value. Gilt shops are being integrated into the Saks Off Fifth discount formats.

The microsite will close at the end of May, according to Women's Wear Daily.

While fashion may still be a hard sell for Amazon, e-books remain a growth category. The retailer has won a $30 million contract to sell e-books to the New York City public school district.

The deal is strictly for digital textbooks and related content, and does not extend to hardware. The New York education department expects to purchase roughly $4.3 million in content from Amazon in the first year, $8.6 million in year two, and $17.2 million the following year, according to The Wall Street Journal.

Amazon's commission will be between 10 and 15 percent.

For more:
- see this Wall Street Journal story (tiered subscription)
- see this Women's Wear Daily article (tiered subscription)
- see this Re/code story

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