Express Checkout #86 - the latest in CPG, Retail, and eComm

Hello hello.…from Boston!

I’m out in Beantown until Wednesday for eTail East. If you’re in town, I’d love to say hi!

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Now onto the news of the week!

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🗞️ News from the week (8/5/24 - 8/11/24)

🔥Big News 🔥

• No one can escape Bezos. TikTok introduced a new feature that allows users to shop for Amazon products and complete purchaess directly within the TikTok app.

• Still in their PRIME? Refresco, one of the largest bottlers in the U.S, filed a lawsuit against the owner of Logan Paul's Prime hydration drink. They claim the company backed out of an agreement to produce the beverage—and want $67.7 million. Paired with the brand’s serious decline in sales…could this be the demise of Prime?

• That’s a lot of doors. Roughly 300 Big Lots stores are expected to close across 34 states as the company faces speculation of potential bankruptcy.

• Plant-based alts are still hot. Plonts launched its first product, an aged plant-based cheddar, following a $12 million seed round. The cheese is now available in select restaurants in New York City and San Francisco.

  • Their strategy? Foodservice first. Impossible Foods got its start in high-end restaurants, which did a great job of giving the brand some credibility before going the retail route. Plonts is taking this strategy and running with it.

🛒 CPG & Consumer Goods

• Let’s Smoosh at Urban. Smoosh, a zero-waste grooming brand, has launched at Urban Outfitters. This collaboration marks their debut in physical retail! Congrats Adam and the Smoosh team!

  • I ❤️ my Smoosh. I’ve been using it for a few months and it’s incredible.

• CPG takes on sports 🏈 ⚽️ 

  • Open Water is now the official water of the LA Clippers and their new arena, Intuit Dome.

  • Athletic Brewing Company partnered with Arsenal F.C. to become their first Official Non-Alcoholic Beer Partner.

• We need more accessibility in CPG. e.l.f. Cosmetics partnered with blind Paralympian swimmer Anastasia “Tas” Pagonis. They have created the “Beauty for Every Eye” bundle, which includes QR codes linking to audio descriptions of the products.

  • Another great example? Flaus, an electric flossing device. It was designed for people with dexterity or visual impairments. It includes braille on the packaging and provides a QR code that links to an audio-described how-to video for the product.

• My dog smells like tortilla chips, so this would be an upgrade. Dolce & Gabbana has launched a $100 alcohol-free perfume for dogs named “Fefé,” inspired by the brand owner's poodle.

• 7-Eleven hops on the trends. 7-Eleven launched two new beverages: 7-Select Fusion Energy and 7-Select Rehydrate.

  • 7-Eleven is onto something here. This convergence of three major trends—hydration, energy, and private label (more on that later)—is bound to see some success.

• Peanut butter whiskey goes down undah. Peanut butter-flavored whiskey brand Skrewball expanded into Australia and New Zealand, leveraging its partnership with Pernod Ricard to enhance its global reach.

• I love this RTD brand. Tip Top Proper Cocktails launched its latest canned cocktail, Naked & Famous, a modern classic featuring my favorite spirit, Mezcal. This was created in collaboration with renowned barman Joaquín Simó.

• You don’t make it as a milk company unless you’re in a café! Mooala has introduced its new Organic Barista Blend Oatmilk, designed for optimal steaming and frothing, now available on Amazon and select Whole Foods stores.

• I can’t believe this didn’t happen sooner. JetBlue Airways introduced oat milk as part of its complimentary beverage offerings in partnership with Lakeland Dairies’ Oat milk.

  • Delta Airlines partnered with Lakeland offering the same product back in 2023.

• It’s tough out there. Akua, a New York-based startup known for its kelp-based burgers, is ceasing operations after 7 years due to logistical challenges and a decline in the plant-based meat market.

• …meanwhile, this plant-based brand hit the bullseye. Tomorrow Farms has launched its Bored Cow animal-free milks, including a new limited-edition Pumpkin Spice flavor, at select Target stores across the U.S. Bored Cow's offerings are now available nationwide.

💻 eCommerce

• AI or bust. ThredUp launched a suite of AI-powered shopping tools including improved natural language search, image search, and an AI-powered chatbot for creating personalized outfits.

• Why get out of bed when you can get it delivered? Well, in Q2 2024, Walmart apparently secured a 37% share of the U.S. online grocery market. In contrast, traditional supermarkets experienced a decline, losing market share.

🛍 Retail

• Smart carts go global. Instacart’s Connected store technology is expanding into ALDI stores across the U.S. and testing AI-powered Caper Carts in Austria.

  • And it’s working. Instacart saw a 10% year-over-year increase in GTV to $8.194 billion, a 15% rise in total revenue to $823 million, and a 7% growth in orders to 70.8 million.

• Uniqlo is putting roots down in NYC. Vornado Realty Trust and Brookfield Properties are selling Uniqlo's flagship store on Fifth Avenue for $340 million to Uniqlo. This acquisition reflects a growing trend of luxury brands purchasing their retail properties across New York.

• Private label is on fire. A recent report by Numerator reveals that Walmart's private label brands dominate the market, with Great Value leading in household penetration at 86%. Kroger's Smart Way is noted as the fastest-growing store brand, with a sales increase of 135%.

  • The report indicates that nearly all U.S. households purchase private label products—accounting for 24% of total units sold across various sectors.

• Retailers continue to pursue resale. Rebag partnered with Bloomingdale's to enhance access to the luxury resale market, offering over 2,500 curated designer items online and in-store.

🏭 Supply Chain

• China e-commerce gains access to the US. FedEx is expanding its International Connect Plus service to include destinations in the U.S. and Europe to support the growth of cross-border e-commerce for Chinese e-tailers.

💸 Funding news

• L'Oreal announced its acquisition of a 10% stake in Swiss skincare company Galderma for 1.6 billion Swiss francs. This strategic move aims to capitalize on the growing injectable cosmetics market.

• Salt & Stone, a Los Angeles-based body care brand, announced a significant investment from Humble Growth to enhance its growth trajectory, particularly with Sephora.

• Irresistible Foods Group, owner of brands like King’s Hawaiian, acquired a majority stake in The Killer Brownie Co.

• GrubMarket acquired Good Eggs, an online grocery service known for its commitment to sustainability and local sourcing. This acquisition aims to enhance GrubMarket's eCommerce capabilities and expand its footprint in the consumer market.

🧐 Interesting reads + data

• The big interview: Pronghorn - The Spirits Business

• How Celebrity Coffee Brands Really Work - YouTube - James Hoffman

• Circana Reports 8% Growth in U.S. Prestige Beauty

• Social Commerce Shoppers Pick Instagram for Apparel, TikTok for Beauty

• 2024 Fraud Consumer Report by Loop Returns

😋 Brands and things I’ve tried this week

I got two skincare ones for you! Magic Molecule and men’s skincare brand, Caldera Lab. 👇️ 

Nate :)

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