The untold story of how Wesfarmers killed Catch.com.au
Insiders dispute the $80 billion conglomerate's explanation for the demise of the once popular deals website, in a classic case of a corporate killing a startup.
Wesfarmers' recent decision to dump Catch.com.au has unleashed a torrent of anger within Australia’s close-knit e-commerce industry, with insiders arguing strategic mistakes by the $80 billion conglomerate were the key factor behind the demise of the once-popular deals website.
Ten former Catch executives and senior leaders gave detailed accounts to Capital Brief of their experiences at the company under Wesfarmers' ownership. They disputed the ASX-listed Bunnings owner's narrative that Catch was unable to generate returns in a market that is simply too competitive due to an influx of offshore competition.
Speaking candidly and on the condition of anonymity to protect ongoing business relationships, the insiders say Wesfarmers oversaw an exodus of key talent, fostered a poor internal culture, misjudged the impact of global giants such as Amazon and Temu on the online retail market and failed to recognise Catch's natural strengths.
In its public statement announcing the decision to wind down Catch, Wesfarmers cited a "recent increase in competitive intensity in the Australian e-commerce sector", revealing that Catch's fulfilment centres and online assets would be absorbed by its retail businesses, primarily Kmart.
