Bed Bath & Beyond Inc has revealed its plans to launch a national franchise system as it focuses on operating a smaller footprint of corporate stores.
The franchise system will enable local entrepreneurs to own and operate the Bed Bath & Beyond home retail brand.
Franchise locations will feature turnkey formats of a traditional store, including home, kitchen living, storage and organization, and holiday shoppe, all designed with a neighborhood feel.
Franchisees will also share in the economics of the brand’s e-commerce site. Approximately 80 per cent of each store’s assortment will be curated by Bed Bath & Beyond, with 20 per cent localized by franchisees to highlight regional products and designers.
According to the retailer, the new model will allow it to operate a smaller footprint of corporate stores nationwide, while a complementary franchise network extends its reach to major communities.
“Our goal is to grow Bed Bath & Beyond in the most capital efficient manner,” said executive chairman Marcus Lemonis. “This system enables local owners to deliver personal service and local flavor while leveraging our national infrastructure, marketing, and technology.”
Ron Taylor, VP of franchise development, and a team of experts will provide franchisees with guidance, operational support, and oversight to ensure consistent standards and execution.
Franchisees will have flexibility to raise capital through the traditional Small Business Administration (SBA) financing as well as tokenization via the TZero platform. They will also have access to AI-powered tools and data analytics capabilities to forecast demand, manage inventory, and optimize merchandising and staffing decisions.
The company expects to finalize franchise documentation within six months.
Bed Bath & Beyond Inc, formerly Beyond Inc, owns the Bed Bath & Beyond, Overstock, and Buybuy Baby brands.
The company marked the return of its physical presence with a store opening in Tennessee in August. It recently acquired Kirkland’s Home trade name and related brand assets from The Brand House Collective for $10 million, with plans to convert Kirkland’s Home locations into Bed Bath & Beyond stores.
