Weekly Consumer News Roundup // June 18, 2024

This week, Walmart targets Gen Z with private label fashion brand relaunch, Skims to open stores in five top markets, and more.

WORDS FOR THE WEEK

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

M&A and INVESTMENTS

• Express, Bonobos bought out of bankruptcy for $174M Retail Dive
• DayDayCook Acquires Beloved Asian Food Brand, Omsom Yahoo
• Sony Pictures is buying Alamo Drafthouse CNN
• Primo, Poland Spring owner BlueTriton agree to water merger Food Dive
• Simply Good Foods completes acquisition of OWYN Food Business News
• Rise Baking Company acquires US peer Table Talk Pies Just Food

CULTURE/ GOOD READS

• In His First Interview as Bloomingdale’s CEO, Olivier Bron Shares His Vision for Change WWD
• Off-Price Retailer TJX is Unstoppable Robin Report

INDUSTRY NEWS

CPG

TikTok has ignited a cottage cheese renaissance

From startups like Good Culture to legacy makers like Breakstone's, demand for cottage cheese is skyrocketing thanks to social media platforms like TikTok. Modern Retail 

Mondelēz and Biscoff owner Lotus Bakeries partner to develop new products

The companies will create products that meld the flavor and texture of the popular cookie with Mondelēz’s Cadbury, Milka and other chocolate brands. Food Dive

How Merit Won Over the Grown-Up Glossier Girl

Instead of getting caught up in Gen-Z mania, Merit has become profitable and expects to hit $100 million in revenue this year by targeting Millennials with classic luxury branding and no-makeup makeup. BoF

Care/of is shutting down

The vitamin and supplement company said it no longer has the needed funding to operate and has canceled all existing subscriptions. Retail Dive

Zyn Nicotine Pouch Maker Halts Sales on Its Website

Sales were halted after Swedish Match North America received a subpoena regarding the sales of banned flavored nicotine pouches. WSJ

RETAIL

Walmart Takes on Abercrombie with Relaunch of No Boundaries

The $2 billion business is being totally revamped and given a cohesive brand positioning for the first time. WWD

Poshmark launches its latest live shopping bet Posh Party Live

Poshmark’s latest feature is a beefed-up version of the platform’s existing Posh Parties, which are real-time shopping events where sellers and shoppers meet up in the company’s app to shop and sell items. Modern Retail

From dying mall brand to Wall Street winner: How Abercrombie & Fitch pulled off retail’s biggest comeback

Abercrombie & Fitch has transformed itself from a dying mall brand into a Wall Street darling after spending years revamping its product assortment, overhauling its supply chain and rebranding as an inclusive retailer. CNBC

Ozempic Fuels Hunt for Smaller Clothes

Retailers see nascent sales boost fueled by people switching to smaller sizes; ‘not something we’ve seen before’. WSJ

US retail sales rise less than expected in May

U.S. retail sales barely rose in May and data for the prior month was revised significantly lower, suggesting that economic activity remained lackluster in the second quarter. Reuters

Skims to Open Permanent Stores in Five Top Markets

With an eye toward an IPO, Kim Kardashian’s Skims is getting serious about the brick-and-mortar game with stores in Georgetown, D.C., followed this summer by Aventura, Fla.; Austin; Houston; and Atlanta. WWD

MEDIA & TECH

US sues Photoshop maker Adobe for hiding fees, making it difficult to cancel

The U.S. government sued Adobe, accusing the Photoshop and Acrobat maker of harming consumers by concealing hefty termination fees in its most popular subscription plan, and making it difficult to cancel subscriptions. Reuters

RESTAURANTS & HOSPITALITY

McDonald’s pulls AI ordering from drive-thrus — for now

McDonald’s is pulling the plug on artificial intelligence ordering technology it was testing at more than 100 restaurant drive-thru systems in the US, a possible hiccup in the rapid rollout of AI in the fast food industry. CNN

Cava is worth $33M per restaurant after blistering debut

Of all the hot IPOs over the past year — AI firms and biotech startups and the like — none has popped on Wall Street quite like Cava Group. Cava shares have surged more than 300% since its IPO one year ago. Crain's

Subway is expanding its menu with more footlong snacks

The $3 rollups, called Dippers, are part of its Sidekicks menu, adding to its successful lineup of giant cookies, churros and soft pretzels. CNN

COMINGS & GOINGS

• Unilever Prestige CEO Vasiliki Petrou to Step Down BoF
  
• Beyond shakes up C-suite in quest for profitability Retail Dive
• Shake Shack hires Arby’s vet as COO Restaurant Dive
  
• Xponential Fitness Appoints Former Adidas NA President as CEO SGB Media