Tuesday Morning, the off-pricer specializing in an array of home and seasonal goods, announced recently that it is exiting its e-commerce business. I don’t think it’s a bad call, and I voiced my thoughts on RetailWire:
As a fellow panelist pointed out, it’s a “requirement” to offer e-commerce only if you can make money at it over the long haul. Few companies can afford the sort of investment spending that drained profitability from Amazon for years while it built market share, but of course Amazon is a web-only play for now.
If Tuesday Morning found that it could not execute e-commerce well — because of the unpredictability of its merchandise flow — then it was probably detrimental to the brand. The brick-and-mortar customer may tolerate a “treasure hunt” in the store, but the e-commerce customer has different expectations. This will be an interesting case study for how TJX plans to re-enter the omnichannel fray.