Weekly Consumer News Roundup // December 26, 2023

Happy Holidays! Here's our weekly roundup of recent consumer and retail news. This week, Nike announces plan to cut costs by about $2 billion, major streaming services test children’s content on YouTube, and more. 

WORDS FOR THE WEEK

For more inspiration, visit @dailystoic and @dailyphilosopher on Instagram. 

M&A and INVESTMENTS

• Lionsgate to spin off studio business in $4.6-billion SPAC deal Reuters
• Mike Ashley’s Frasers Group Buys Matchesfashion for $63 million BoF
• Amazon in Talks to Invest in Diamond Sports WSJ
• Warner Bros. Discovery in talks to merge with Paramount Global Axios
• Unilever to Buy Biotech Hair Care Brand K18 WWD
• Shiseido Acquires Dr. Dennis Gross Skincare WWD
• British Billionaire Strikes Deal to Acquire Minority Stake in Manchester United WSJ
• Toshiba delisted after 74 years, faces future with new owners Reuters

INDUSTRY NEWS

CPG

Hemp Gummies Are Sending Hundreds of Kids to Hospitals

Surge of THC products, vapes has states struggling to regulate the booming market. WSJ

PepsiCo’s small snacking brands fill a big void for CPG giant

With brands such as SunChips and PopCorners, the food maker can attract and retain consumers while growing its business faster. Food Dive

Nike to Undergo Layoffs, Cost-Cutting Amid Weakening Sales Outlook

Nike announced a program to cut costs by about $2 billion over the next three years, including through layoffs, as it sees a “softer” sales outlook for its fiscal second half. SGB Media

Why Kellanova’s Pop-Tarts sales are going strong 60 years later

Sixty years after their invention, Pop-Tarts are on the cusp of becoming the company’s next billion-dollar product. In 2022, the toaster pastry brought in about $978 million in U.S. sales. CNBC

RETAIL

Mango to Add 500 Stores by 2026

The Spanish fast-fashion brand also expanded its board and forecast 2023 revenues above €3 billion euros. BoF

Prada Buys New York Fifth Avenue Space for $425 Million

Prada SpA has agreed to buy the building housing its flagship store on New York’s Fifth Avenue for $425 million, as demand from American consumers holds up against inflation and high borrowing costs. Bloomberg

Walmart outpaces Target, Macy’s for most recent holiday purchases: report

A fourth of respondents to a new survey said their last holiday shopping stop was at the big box retailer, followed by Target and Kohl’s. Retail Dive

MEDIA & TECH

How TikTok, Shein and Temu Are Changing the Look of E-Commerce

All three companies have embraced a busy, garish design that’s popular in China and ideally calibrated to sell plenty of low-cost products. Will the same be true as these companies attempt to move upmarket? BoF

Your Kid Prefers YouTube to Netflix. That’s a Problem for Streamers.

Major streaming services test releasing children’s content on YouTube and cut back on fare for kids. WSJ

RESTAURANTS & HOSPITALITY

The Fast-Food Industry Wants to Be the Fast-Drinks Industry, Too

McDonald’s new CosMc’s brand serves up colorful drinks, bumping up against Starbucks. WSJ

Every restaurant chain wants to beat Chick-fil-A, but it’s stronger than ever

Chick-fil-A is the third-largest restaurant chain in the U.S. by sales — and the company that everyone in the restaurant industry, from McDonald's to Popeyes, is looking to beat. CNBC

McDonald’s is bringing Squishmallows to Happy Meals

Beginning on December 26 for a limited time, US locations of the fast food chain are rolling out the Squishmallows Happy Meal, which contain a miniature-sized version of plush toy. CNN

Robots are taking over fast-food kitchens. See how chains are using automation to make chips, salads, burgers, and fries.

Fast-food chains like Chipotle, White Castle, and Sweetgreen are turning to kitchen robots to increase efficiency and offset labor costs. Business Insider

COMINGS & GOINGS

• Revolution Beauty appoints new president of North America Retail Dive
• Canada Goose Appoints Co-President; Shuffles Other Executive Roles SGB Media
• Vuori Names Former Levi’s Exec Riley-Grant as Chief Marketing Officer WWD
• Bastien Daguzan Steps Down as Jacquemus President WWD
• Alibaba Names New Commerce Division Heads in Internal Shuffle BoF
• Slack undergoes more leadership changes as 3 executives leave, including the COO Fortune

GOOD READS 

• What Social Trends Taught Us About the 2023 Economy NYT
• Can Luxury E-Commerce Be Saved? BoF
• Consumers are feeling better about the economy. Is the ‘vibecession’ really coming to an end? MarketWatch