Morning Brew - ☕ Tales out of school

Back to school post mortem.
September 05, 2024

Retail Brew

Particl

Hey there, it’s Thursday, and did you know that people living in the Mountain time zone are on average 6% happier? At least that’s what Mountain Dew believes and to put its money where its mountain is, it is giving out free Mountain Dew to anyone who crosses into Mountain Time via planes, trains, cars, or even on foot. Sounds like an excuse to enjoy a weekend in the mountains.

In today’s edition:

—Alex Vuocolo, Erin Cabrey, Andrew Adam Newman

STORES

Checking the list

school supply shopping Getty Images

The back to school shopping season has been going strong since at least the beginning of July, per a survey from the National Retail Federation. However, with more school-related purchases still coming their way, retailers are only offering hints of how this crucial pre-holiday shopping season is going so far.

Walmart US president and CEO John Furner told shareholders on August 15 that back to school “started off strong this last couple weeks,” but that “about 50% of our customers still say they have a lot of shopping left to do.”

“We have to continue to execute really well, clean up, come out of the season strong so that then we can move to the next holiday, which will be Labor Day,” he said. “So good start, but a lot of trading left to do.”

Target’s Chief Commercial Officer Rick Gomez said back-to-school sales reached their peak in the front half of Q3, and highlighted that the home category, which grew more than 7 percentage points in Q2, is on track to perform well again. In addition, he stressed the importance of affordability, noting that Target is offering 20 of the most popular school supply items such as crayons, notebooks, and backpacks for a combined price of less than $20.

Both retail giant’s Q2 results included the month of July, but the bulk of back-to-school shopping was expected in August, which means many retailers won’t have to reveal their sales numbers for the period until the middle of fall. But how experts are interpreting these early signals appears to vary widely.

Keep reading here.—AV

   

PRESENTED BY PARTICL

What’s the BCFM 411?

Particl

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What can Particl really do for you? They can help you:

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Dominate the holiday season.

GROCERY

Strike up the brand

Albertsons new private label Overjoyed Albertsons

Albertsons today debuted a new private label brand, Overjoyed, spanning treats, gifts, and decor.

The new line, which the company noted is its “first major private label debut in recent years,” is sold across Albertsons, Safeway, Vons, Jewel-Osco, ACME, and Shaw’s.

Offerings include sugar cookies, mini palmiers, French macarons, baking chips, snack mixes, and seasonal items like vampire fang gummies. An extension of the brand called Overjoyed Boutique includes vases, candles, and seasonal gifts. Bakery items appear to range from $4.49 to $39.99, per the Safeway website.

Keep reading here.—EC

   

RETAIL

For good measure

An illustration of Tootsie, a friendly monster who appears on the screen of a Aetrex's 3D foot scanning device to guide children when their feet are being measured. Aetrex

Retailers are always trying to get a foot in the door with consumers, but surely none so literally as shoe stores, and a new size-measuring device for kids aims to win them—and their credit-card wielding parents—over.

Aetrex, which already makes a popular 3D foot scanning device used by shoe stores, Albert 2 Pro, is introducing a new twist: Tootsie, a friendly monster on the device’s screen who instructs and entertains kids for the short process of holding still while the scale-like platform they’re standing on measures their feet.

The new software has rolled out on Aetrex devices at more than 1,000 US shoe stores, including at Tradehome Shoe Stores and some DSW locations.

Keep reading here.—AAN

   

TOGETHER WITH SIMILARWEB

SimilarWeb

Add to cart. Online shopping numbers are regaining their buzz. E-commerce saw 1.4% growth in 2023, a solid rebound from a slight dip in 2022. Want the full scoop? SimilarWeb’s State of Ecommerce 2024 report is jam-packed with stats, performance numbers, and must-know info for crushing the retail game. See for yourself.

SWAPPING SKUS

Today’s top retail reads.

Private practice: Inside Nordstrom’s founding family’s bid to take the firm private for $3.8 billion. (Business of Fashion)

Two sides: Why a Shein pop-up is dividing opinions in South Africa. (Reuters)

Squeezed in: How cash-strapped consumers and competition from the likes of Walmart are driving the dollar store into hard times. (CNN)

JOBS

Forget generic job searches. CollabWORK leverages the power of community to connect you with relevant opportunities in Slack channels, Discord servers, and newsletters like Retail Brew. Land your dream job through the power of your network with CollabWORK.

NUMBERS GAME

The numbers you need to know.

Who doesn’t love a trip to the mall? It seems a lot of Americans do. Shoppers flocked to malls throughout August and the Labor Day weekend, perhaps to beat the heat and score a good deal.

  • According to data on foot traffic from the PropTech firm MRI Software, shopping mall traffic during the weekday period was up 10.7% YoY and 9.9% over the holiday weekend.
  • Overall, shopping mall traffic increased 2.5% month over month and 10.4% YoY.

And of course, with Labor Day weekend ushering in deals and promotions, shoppers were only more inclined to shop at the mall with foot traffic up by 38.9% week over week.

  • The really good news is that those rates were up 56.2% compared to Labor Day weekend in 2019 hinting at a “full recovery from pandemic-induced struggles,” according to MRI.
  • Things were looking good even in downtown areas, which saw an 11.2% YoY increase in visits on Sunday over the Labor Day weekend.

“Our takeaway for the US overall is that people love outdoor events, but good sales can drive them indoors,” Cederick Johnson, senior director at MRI Software, said in the report. “That’s why downtowns and malls alike thrived over the holiday weekend.”

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