Weekly Consumer News Update // May 2, 2023

Here's our weekly roundup of recent consumer and retail news. This week, Adidas’ post-Ye strategy to focus on sports, Veronica Beard plans global expansion, and more. 

 M&A and INVESTMENTS

• UFC owner Endeavor to sell sports school IMG Academy in $1.25 bln deal Reuters
• Oddity Acquires Biotech Start-up Revela for $76 Million WWD
• First Republic Bank fails, taken over by JPMorgan CNBC
• Dibs Beauty Gains L Catterton Investment WWD
• Francesca’s Acquires Richer Poorer, L.A.-based Women’s and Men’s Apparel Brand WWD

INDUSTRY NEWS

RETAIL

Gap Plans to Lay Off Hundreds of Corporate Workers in Latest Cuts

Gap is eliminating hundreds of corporate jobs from its global workforce as part of a broad restructuring aimed at making the company more nimble and less bureaucratic. WSJ

Uniqlo to add stores in North America

Uniqlo is opening six stores -- four in the U.S. and two in Canada -- this summer as part of its expansion plan to reach more than 200 locations in North America by 2027. Reuters

Target rolls out curbside returns as retailers hope convenience will boost sales

Target is sweetening its curbside-pickup service, Drive Up, to attract and retain customers as the retailer braces for a potential sales slowdown and tries to hang on to pandemic-fueled gains. CNBC

Consumer confidence sinks, implying downturn to come

US consumer confidence fell this month to the lowest point since July 2022, persisting below a level that usually presages recession during the following 12 months, the Conference Board said Tuesday. Retail Dive

Skims Opens Dedicated Shop Inside Saks Fifth Avenue Flagship

The Los Angeles-based underwear, loungewear and shapewear brand, launched at Saks Fifth Avenue Wednesday, bringing Skims further into retail. WWD

EBay launches ‘Certified by Brand’ luxury resale

Launching on Thursday, the eBay “Certified by Brand” program is based on direct partnerships between the marketplace and luxury brand partners. Glossy

Mattel and Hasbro become ‘coopetitors’ in co-branded deals

Hasbro will produce Barbie-branded Monopoly games starting in the fall. Mattel will make UNO games and Hot Wheels vehicles with the Transformer brand. CNBC

Veronica Beard Is a Hit in the US. Will Its Formula Work Globally Too?

The contemporary label is on track to hit $250 million in sales this year. Up next are stores and new wholesale accounts in Asia, Europe and the Middle East. BoF

Bed Bath & Beyond store closures will kick off a land grab for fast-growing retailers

Bed Bath has nearly 500 locations that could open up for other companies to rent. CNBC

Tuesday Morning is going out of business after 49 years

The Dallas-based off-price home decor retailer will go out of business following a court-approved bankruptcy sale to Hilco Merchant Resources for $32 million on Thursday. Retail Dive

How live shopping is shaping the future of retail

Marketers, agencies and publishers/platforms are still in the early stages of testing live shopping features, but they believe it has the potential to shape commerce media and video content — especially for younger consumers. Modern Retail

Revlon Taps New Directors as Lenders Take Control in Bankruptcy

Beauty products business will get new owners and will field a board with executives from such companies as Bloomin’ Brands, Sephora and Walgreens. WSJ

TECH

RFID’s ‘Quiet Revolution’ in Retail

Zara, Uniqlo and American Eagle are among those leaning on the technology for abilities like self-checkout and better inventory tracking. BoF

‘The Godfather of A.I.’ Leaves Google and Warns of Danger Ahead

For half a century, Geoffrey Hinton nurtured the technology at the heart of chatbots like ChatGPT. Now he worries it will cause serious harm. NYT

Adidas Is Bringing Web3 Into Its Confirmed App

The app, where Adidas releases its most in-demand products, will offer preferred access to select drops through NFTs, a capability enabled by the company’s new three-year partnership with technology provider Tokenproof. BoF

FOOD & BEV

McDonald's says people are cutting back on ordering fries with their burgers as consumers tighten their budgets

McDonald's is still a "beneficiary" of the slowing economy as people switch to the chain to save money, its CFO said. Business Insider

Prebiotic soda Olipop approaches $200 million in annual sales

Olipop’s rise coincides with declining soda consumption in the U.S. and rising interest in “gut health.” PepsiCo and Coca-Cola have already come knocking. CNBC

Kit Kat Cereal is hitting US shelves

General Mills is launching a bunch of new breakfast cereals, including Kit Kat Cereal, Cinnamon Toast Crunch Tres Leches and Vanilla Spice Cheerios. CNN

SPORTS

Adidas Targets Basketball, Soccer to Drive Post-Yeezy Rebound

Sportswear brand seeks to reassert its identity as a sports company first and foremost. WSJ

COMINGS & GOINGS

• Canada Goose Makes Five Appointments To Leadership Team SGB
  
• Ted Baker CEO set to leave after Authentic takeover Fashion Network
• Chanel Names Stephane Blanchard President of U.S. Region and Chanel Inc. WWD
• Fanatics Hires Crawford for IR Role With Possible IPO on Horizon Yahoo
• Guillaume Jesel to Lead Tom Ford, Peter Hawkings Named Creative Director WWD
• Davide Cerrato Is the New CEO of Bremont WWD
• The Inkey List appoints new CEO Retail Dive
• Anthropologie Taps Anu Narayanan as President of Women’s: Apparel, Accessories, Weddings and Beauty WWD

GOOD READS

• Is Mass Appeal Even Possible Anymore? BoF
  
• Big Tech Is Back (Maybe) With a Big AI Bet (Definitely) WWD
• Social-Media Shopping Scams Are Growing. Young Adults Are the Targets. WSJ

INSPIRATION