Following its April acquisition of TheKidsStore.com.au, DealsDirect.com.au has purchase of ToyBarn.com.au for an undisclosed sum.
The founders of ToyBarn launched ToyBarn.com.au in 2007. Initially designed to showcase IT applications such as a gift registry, reward points, wish lists, online chat support and call centre interface, the response was so encouraging that they built a sizeable online toy business.
Paul Greenberg, co-founder of DealsDirect.com.au reaffirmed that DealsDirect are keen to position themselves at the epicentre of e-commerce roll ups.
“We are in discussions with numerous parties now. Our acquisition of Toybarn is the latest in a long list including TotalDVD.com.au, EntertainmentHouse.com.au, Stuff.com.au, TheKidStore.com.au, DinosaurDeals.com.au and more,” said Greenberg.
“Having just returned from the Internet Retail Conference in San Diego, it seems clear from current data there is a focus on scale. The bigger retailers online are growing dramatically, whilst the smaller retailers are not enjoying such high average growth. We are thrilled that smaller retailers like ToyBarn are happy to throw their hat in the ring with us. With our investment earlier in the year from Ellerston Capital, we have the capital and resource to push hard in this area.”
The founders of ToyBarn have decided to refocus their efforts on IT consulting.
“One of the big benefits of these acquisitions is the learnings and contribution that we get from these smaller but nimble ecommerce professionals. The big boys can learn from them,” said Greenberg.