LOS ANGELES - SexToy.com has acquired Wholesale-Adult-Toys.net for an undisclosed amount of money in an effort to expand the wholesale business of SexToyClub.com.
SexToy.com is a division of Convergence Inc., a producer of adult products since 1995. Convergence Inc. President Dave Levine said the buyout eliminated a major source of competition.
"We have always seen Wholesale-Adult-Toys.net as one of our largest competitors in the wholesale space," Levine said. "Last year, after they began using us for some of their shipping, we discovered they had a great business that was very similar to ours in that we both have a similar product line and both offer wholesale and drop-shipping services."
The former owner of Wholesale-Adult-Toys.net said the acquisition came at a good time: "We have been selling sex toys online for almost 10 years, but we were concerned about our ability to invest in the technology to keep up with SexToyClub.com. As a result, we decided to sell out while we are still strong."
Levine said Wholesale-Adult-Toys.net will offer a larger product selection that will include lingerie and DVDs. SexToyClub.com will offer free data feeds and allow customers to save shopping-cart contents and create "favorites" lists.
"The larger combined company's economies of scale will allow SextoyClub.com to improve the customer experience by further reducing prices, increasing selection and investing in technology," Levine said.
