Legendary chocolate company Hershey’s has decided to close its online retail shop, Hershey Gifts—and is offering 25% off of its sweet treats until July 31.
The decision to close Hershey Gifts and effectively end Hershey’s official online retail presence is a curious one, but as Hershey spokesman Kirk Saville tells the Tribune, "Hershey’s is making the strategic decision to exit the online retail business. The current business model is not sustainable."
This doesn’t mean that Hershey will be out of the e-commerce biz forever, however. According to the Tribune, Saville says Hershey is currently exploring strategic partnerships and licensing agreements after Hershey Gifts closes on July 31.
Nixing Online Shops
Hershey's to Close Web Store, Offers Discount Until 7/31
Trend Themes
1. E-commerce Shift - Hershey's decision to close its online store and explore strategic partnerships and licensing agreements indicates an opportunity for businesses to shift their e-commerce strategies.
2. Brand Partnership - Hershey's exploration of strategic partnerships presents a trend for companies to join forces to expand their reach and product offerings.
3. Sustainable Business Models - Hershey's decision to close its online retail business due to an unsustainable business model highlights an opportunity for innovation in creating sustainable e-commerce models.
Industry Implications
1. Food and Beverage - The Hershey's announcement presents an opportunity for food and beverage companies to reassess their e-commerce strategies and explore brand partnerships.
2. Retail - The shift in Hershey's e-commerce strategy may indicate a trend for retailers to focus on brick-and-mortar sales and explore strategic partnerships for online sales.
3. Technology - The Hershey's announcement presents a trend for technology companies to develop sustainable e-commerce models and innovative solutions for brand partnerships.