WASHINGTON – Walmart Inc. on Wednesday announced a sweeping overhaul at Jet.com, an e-commerce retailer it bought for $3.3 billion in 2016, and said it will eliminate the online business' president.
Walmart said it will integrate Jet.com's retail, technology, marketing, analytics and product teams with its own e-commerce business. Jet's president, Simon Belsham, will leave in early August.
Jet.com, which was expected to boost Walmart's reach 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, industry sources said.
The retailer has previously said it expects losses from its online business, including Jet.com, to increase this year, without giving details.
Kieran Shanahan, who oversees Walmart's food, consumables, health and wellness categories, will add responsibility for Jet.com's strategy and management.