Best Buy shuts down marketplace

Best Buy (NYSE:BBY) is closing its website to third-party sellers, effectively shutting down the retail marketplace citing low revenue and high customer confusion. The retail marketplace has been operating for five years.

In an email to vendors obtained by Twice, Best Buy e-commerce President Mary Lou Kelley said, "We believe we can continue to provide a positive customer experience on our site through other product sourcing methods."

The platform shuttered on Feb. 24.

Many retailers including Amazon, Jet, Walmart and Sears operate marketplaces—Amazon's marketplace sales grew 40 percent on Cyber Monday. But Best Buy said the business detracted more than it added to its business. Marketplace sales contributed "a tiny fraction of 1 percent of domestic revenue," a spokesperson told Twice.

For more:
-See this Twice story

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