Wayfair stock (NYSE:W) went tumbling as the online store took another page from Amazon, but investors aren’t happy.

Wayfair (W) launched a new, exclusive shopping holiday Thursday morning, clearly “borrowing” a concept from a more significant competitor. The market, however, did not enjoy the news, with investors trading the company’s shares down by more than 3% on an otherwise highly lively day for the market.

Wayfair Stock: What Happened?

The forthcoming Way Day will begin on Wednesday, October 26. Contrary to its name, the event will span two days, during which shoppers may take advantage of up to 80% discounts on Wayfair’s items. The firm promised “unbeatable discounts” on its specialized retail brands, including AllModern and Birch Lane.

This is the second Way Day in the company’s existence. The first took place at the end of April and was identical in terms of products on sale and price levels promised to the forthcoming one.

In both instances, investors significantly reduced the Wayfair stock (NYSE:W) price. Assertive discounting is a high-wire act in the typically low-profit margin retail business, and Wayfair has been losing money recently. Its most recent quarterly loss of $378 million was the largest in the business’s history as a publicly listed corporation.

So, what now?

While Way Day is a memorable and catchy moniker, it is also reminiscent of Amazon’s significantly more flashy Prime 2. Amazon has turned the latter into quite the spectacle, with its massive hype machine generating lots of media attention and consumer traffic.

Wayfair deserves credit for trying, but this seems like a poor replica. Furthermore, rather than their firm holding a new shopping party, investors would undoubtedly want to see promising indications of revival.

Featured Image – Megapixl © Timonschneider 

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