US-based retailer Zulily has announced to shut down business as the leadership found it a necessary decision in order to maximise value for the companies’ creditors. Zulily, founded in 2010 and based in Seattle, specialised in kid’s and women’s clothing.
Ryan Baker, Vice president of Douglas Wilson Companies of Zulily, commented, “This decision was not taken lightly. However, given the difficult economic climate in which Zulily functioned, and its associated instability of its finances, Zulily decided to take decisive and prompt action.”
Customers who are waiting for orders should expect them to be processed or reimbursed by 22nd January. As per The Wall Street Journal, it went public in 2013 and was valued at around US $ 9 billion at one point.
In 2019, the business, previously connected to Seattle’s tech sector, obtained a multiyear sponsorship contract with the Major League Soccer franchise Seattle Sounders. Zulily has recently become noted for its aggressive social media advertising.
The company’s excursion to liquidation has culminated in hundreds of layoffs across several states over the past year. In May, it was bought by the owner of Qurate Retail Group, which also owns the QVC and HSN brands, which are renowned for their television-based shopping channels.
The collapse of Zulily follows the liquidation of the e-commerce website Jane.com. Both failed to outperform better-capitalised competitors such as China’s Temu and SHEIN, as well as Amazon. Zulily filed a lawsuit against Amazon earlier in December, accusing the retail and shipping logistics behemoth of anti-competitive conduct. Amazon denied the charges in a statement.
