Ron Johnson is stepping again out into the limelight along with his subsequent huge thought.
The retail lightning rod — who helped make Target stylish and constructed a brick-and-mortar powerhouse at Apple solely to fall brief at J.C. Penney — is formally on his strategy to Wall Street along with his high-end retail companies enterprise Enjoy.
Shareholders of the Marquee Raine Acquisition Corp. SPAC signed off on a merger with Enjoy on Wednesday, giving the “commerce at home” firm greater than $450 million in development capital and an enterprise worth of $1.2 billion.
Marquee will rename itself Enjoy Technology Inc. and commerce beneath the ticker image “ENJY” as soon as the deal closes within the fourth quarter.
Enjoy is trying to shake up bodily retail (much more) with a high-touch mannequin that goes proper to folks’s house.
“We believe our disruptive ‘commerce at home’ platform can do everything a store can do but better, as our full-time experts deliver deeply personalized experiences in the comfort of customers’ homes,” Johnson has mentioned.
When consumers flip to Enjoy to purchase, say, an iPhone or Apple Watch, the corporate dispatches a van filled with goodies and an skilled, prepared to assist them join their new gadget after which promote extra items on the spot.
The in-home course of is powered by proprietary expertise, information science and human connection.
Enjoy has business relationships with AT&T and Apple within the U.S., BT Group within the U.Okay. and Rogers Communications in Canada, which pay “a variety of service, set-up and delivery fees.”
It’s a brand new enterprise mannequin going after a giant pool of cash.
“As the retail market increasingly shifts toward ‘commerce at home,’ Enjoy has a significant near-term revenue opportunity in a $265 billion total addressable market in its current categories,” Marquee mentioned in paperwork filed with the Securities and Exchange Commission that particulars the deal. “With its asset-light model, near-zero customer acquisition costs and significant early infrastructure investments, that opportunity will only grow as the company moves into new geographies and product categories.”
Enjoy is concentrating on greater than $1 billion in annual income by 2025, representing a compound annual development fee of 78 % over 5 years.
So whereas Johnson and workforce have laid the groundwork, many of the firm’s potential lies sooner or later.
Revenues in 2020 — a yr difficult by the pandemic — rose 32.1 % to $60.3 million whereas losses expanded to $157.8 million from $89.7 million the yr earlier than.
That places Johnson on the clock and dashing to assist Enjoy develop into its valuation.
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