Morning Brew - ☕ Food for thought

The year ahead in grocery.

It’s Monday, and the big news here in New York is that along with collecting Oscar nominations, Bradley Cooper has collaborated with restauranteur Danny DiGiampietro to open Danny & Coop’s Cheesesteaks in the East Village. While Cooper was seen making the sandwiches during a recent soft opening, with his busy schedule we expect future sightings to be, ahem, medium-rare.

In today’s edition:

—Erin Cabrey, Vidhi Choudhary, Alex Vuocolo

STORES

Grocery store

Francis Scialabba

The grocery industry had a big—and at times, a little dramatic—2024, and with many trends gaining even more steam and a new administration set to shake things up, 2025 promises to be a dynamic one for the industry.

This year, Coresight Research anticipates the US retail market will grow by 3.1%, driven by inflation, which will remain elevated at 2%–2.5%, Sujeet Naik, analyst at Coresight Research, told Retail Brew. Circana similarly predicted dollar sales in the food and beverage industry will grow between 2% and 4% this year, with volume growth ranging between flat to 1%.

Here are the policies, strategies, and consumer behaviors that could impact the industry’s growth this year.

Keep reading here.—EC

Presented By Bloomreach

E-COMMERCE

At CES 2024 ahead of Walmart's keynote

Consumer Technology Association (CTA)

CES, the world’s biggest technology trade show, is all set to roll out its red carpet in Las Vegas this week. The conference will take place from Jan. 7–Jan.10 at the Las Vegas Convention Center amid scores of gadgets on display.

As usual at this year’s show, there will be a section of panels and discussions focused on how technology (read: AI) can transform the retail sector. Here’s what retailers can expect at technology’s big show hosted by the Consumer Technology Association.

Keep reading here.—VC

RETAIL

2024 Consumer Electronics Show

Frederic J. Brown/Getty Images

It’s a new year, and Chipotle is incentivizing its customers to set some goals. The fast casual chain has partnered with exercise app Strava to offer 25 Chipotle-branded road and trail workouts, offering a city-wide “buy-one-get-one” entrée offer for the city with the highest total mileage logged.

Here is what else is going on in retail:

In conferences: The Consumer Electronics Show (CES) kicked off in Las Vegas this week, and there are a number of sessions tackling retail-related topics such as AI, robotics, and in-store media. Retail Brew Reporter Vidhi Choudhary will be on the scene to report back on the biggest trends and announcements.

In earnings: Albertsons is set to report Q3 results on Wednesday. This is the supermarket chain’s first earnings call following the collapse of its planned merger with Kroger, and executives could comment on the aftermath of the deal. The company reported higher sales in Q2 and a bump in loyalty members.

Keep reading here.—AV

Together With Ibotta

SWAPPING SKUS

Today’s top retail reads.

Apple juiced: Taiwan’s Foxconn, the biggest assembler of Apple iPhones, posted its highest revenue ever for Q4. (Reuters)

It rent that-a-way: Why commercial space in open-air shopping centers is becoming so hard to find. (the Wall Street Journal)

My cup runneth sober: A nonalcoholic bar owner says Dry January highlights how consumers are increasingly sober-curious. (CNN)

Retreat + relax: Looking for tranquil vibes at your next industry event? The NRF Retreat hosted by Bloomreach, Google, and Shopify is your chance to connect with e-commerce leaders in a laid-back setting. Register today.*

*A message from our sponsor.

HOT TOPIC

At the mall, it’s where band tees are the only tees. In Retail Brew, it’s where we invite readers to weigh in on a trending retail topic.

President Biden recently stopped Japan’s Nippon Steel from acquiring Pittsburgh’s US Steel because he thought the deal threatened national security.

You tell us: Should Japan’s Nippon Steel have been permitted to purchase US Steel? Cast your vote here.

Circling back: In other scuttled-merger news, last time we asked about the proposed deal between Kroger and Albertsons, which flamed out in December after rulings against the merger from courts in Washington and Oregon. We asked what you thought of the deal appearing to be dead, and more than half of you (51.7%) said you were happy it failed, while 31.7% of you were disappointed, and 16.7% didn’t know or weren’t sure.

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