Dick’s Sporting Goods to Buy E-Commerce Outdoor Retailer Moosejaw From Walmart – NBC Los Angeles

• Dick’s Sporting Goods is looking to expand its market share in the outdoor market by acquiring retailer Moosejaw from Walmart.
• Moosejaw could help Dick’s improve its digital channels and build new vendor relationships.
• Walmart bought Moosejaw in 2017 for $51 million.

Dick’s Sporting Goods has agreed to buy outdoor retailer Moosejaw from Walmart for a stake in the multi-billion dollar outdoor market.

The cost of the deal, which is expected to close in March, has not been disclosed. Walmart bought Moosejaw in February 2017 under then-e-commerce president Marc Lore for $51 million.

The acquisition, a rare move for Dick’s, could help the retailer expand its presence in the outdoor market and expand its e-commerce footprint following the launch of Public Lands in 2021, which is more brick-and-mortar-focused.

During the Covid pandemic, Americans stuck at home rushed into the great outdoors to hike, boat, bike and engage in other activities deemed safer than dining out or travelling.

A Penn State study released last year found that outdoor recreation in the US increased by 20% during the pandemic, leading to the emergence of a new group of outdoor enthusiasts.

Dick’s wants to convert these outdoor enthusiasts into customers and overall sees great opportunity in the market, which is uncrowded and valued at approximately $40 billion.

While Moosejaw operates about a dozen brick-and-mortar locations in the Midwest and near the Great Lakes, it’s primarily an e-commerce company that’s been around since 1992.

The Moosejaw acquisition should help Dick’s grow its e-commerce channels. Dick’s gains access to the retailer’s loyal customer base and supplier relationships.

“We admire what Moosejaw has accomplished over the past 30 years as leaders in the outdoor industry and look forward to the opportunity to share insights and learn from one another,” said Todd Spaletto, President of Public Lands and Senior Vice President at Dick’s.

“We believe there is potential to grow the Moosejaw business and provide its millions of loyal customers with compelling experiences and an expanded product range,” he said.

Walmart acquired Moosejaw in 2017 while trying to grow its online presence under Lore, the founder of Jet.com.

Moosejaw was just one of the digital-native brands the mega-retailer picked up under Lore’s tenure and later sold, including Bare Necessities, Shoes.com and ModCloth. Lore left Walmart in 2021.

“Moosejaw has joined the Walmart family to expand our range and expertise in the outdoor specialty category and bring Moosejaw to more customers. Since acquiring Moosejaw, Walmart.com has grown from 70 million items to hundreds of millions of items,” a Walmart spokesperson told CNBC. “While operating as a standalone company, Moosejaw was able to leverage Walmart’s scale and customer reach to fuel the Moosejaw madness.”

Eoin Comerford, CEO of Moosejaw, will report to Spaletto once the transaction closes. The company will continue to operate independently.

“Like Moosejaw, Dick’s sees a huge opportunity to bring more people into the great outdoors,” Comerford said in a statement. “Together we will serve outdoor enthusiasts from novice to expert across multiple channels and locations.”

– CNBC’s Melissa Repko contributed to this article.