What: Retail-as-a-service startup, B8ta, has shuttered its U.S. operations.

Why it is important: B8ta was hoping to reinvent brick-and-mortar retail, but ultimately its reliance on brick-and-mortar stores proved to be its downfall after the company failed to reach a deal with landlords that would allow them to stay afloat.

B8ta dubbed itself a retail-as-a-service platform, rather than a retailer. Brands paid a monthly fee to not only display their products at a B8ta store, but also to get access to the company’s software, through which they received information like how much time customers spent demoing a product. The thesis of B8ta was that brands would ultimately pay for the software because of the great in-store experience and foot traffic it provided.

The conflict with the landlords follows a decision last year made by the company to half its store count due to decreased foot traffic. International affiliate B8ta Japan, which operated three stores, acquired the brand’s licenses and is now a standalone, operational business. B8ta Mena also remains operational in the UAE.

B8ta shutters U.S. operations after failing to reach a deal with landlords