Bed Bath & Beyond announced a $10 million purchase of the Kirkland’s Home trade name and related brand assets from The Brand House Collective.
The move accelerates the companies’ national store conversion strategy focused on converting Kirkland’s Home locations into Bed Bath & Beyond stores. In doing so, Bed Bath & Beyond said it would be able to drive a larger national footprint and create greater operating efficiencies while underscoring the company’s conviction in the power of omnichannel retail.
At the same time, the companies will expand Kirkland’s Home into the wholesale market, extending the brand’s nearly 60-year legacy in seasonal home décor and furnishings to independent retailers nationwide and creating a new, recurring revenue stream.
Bed Bath & Beyond will continue to receive the same collaboration fee as in the existing arrangement with The Brand Housewares Collective, now broadened to include revenue from the wholesale channel.
Kirkland’s changed its corporate name to The Brand House Collective in July. Bed Bath & Beyond opened its first of a new generation brick-and-mortar namesake stores in August. The Nashville, TN, store (pictured above) operates under an updated banner, Bed, Bath & Beyond Home.
“The excitement around the Bed Bath & Beyond brand has been undeniable with the first of many store conversions,” said Marcus Lemonis, Bed Bath & Beyond executive chairman and principal executive office. “This early success reinforces our conviction in the strategy and our commitment to accelerate the rollout nationwide. Kirkland’s Home design and product development will expand through both Bed Bath & Beyond Home stores and the wholesale market, and I have full confidence in (The Band House Collective CEO) Amy Sullivan and her team to drive this growth.”
In other news from the company, Bed Bath & Beyond stated it has made an additional $3 million convertible note investment in agricultural technology and fintech GrainChain, in which it already held a stake.
In addition to the investment, Bed Bath & Beyond maintained it has separately engaged GrainChain to analyze the company’s entire supply chain in order to improve efficiency, margin and inventory turns. The engagement includes international and domestic sourcing, fulfillment of customer orders and last-mile delivery to stores. Bed Bath & Beyond added that the company believes GrainChain’s technology has applications far beyond agriculture and is leveraging its own business to demonstrate the platform’s broader potential.
