Modern Retail

Ulta Beauty, the largest brick-and-mortar beauty retailer in the U.S., is launching a third-party marketplace in a bid to regain lost market share. CEO Kecia Steelman, who was appointed in January, announced the new marketplace on an earnings call with investors last week as part of a larger growth strategy dubbed “Ulta Beauty unleashed.” The goal of the plan is to help Ulta navigate a rough patch as competition in the retail industry intensifies. With a third-party marketplace, the company is betting that a more diverse product offering will help it retain customers who may otherwise turn to Amazon or SEPHORA or TikTok Shop. Ulta’s marketplace is scheduled to open fall 2025.  In this piece by Allison Smith, we speak to Yaakov Antokol of Tiger Companies, Josh Friedman, George Hatch, and Andrew Waber of Momentum Commerce.

In the supply chain world, artificial intelligence is helping some companies streamline how they manage inventory. McKinsey in a March 2025 survey release found that about 78% of all organizations were using some form of AI in their business in July 2024, up from 55% in 2023. But out of consumer and retail goods businesses surveyed, just about 14% of companies said they were regularly using generative AI for supply chain and inventory management. Some who are, though, are saying generative AI or AI-powered algorithms are helping them save money on extra shipping fees or expedited orders. Companies like Bansk Beauty and diaper brand Kudos are using AI to zone in on inventory needs and overall counts, helping them ensure they’re making just enough to keep up with demand. Beyond getting more accurate figures in place, the companies are finding workers are freed up for other tasks or to simply meet more demand. 📰 Read the full story here: https://lnkd.in/e9tNZhj3 In this piece by Melissa Daniels, we speak to Chris Homer of ThredUp, Ilan Tagger of Kudos, and Liran Golan of Bansk Beauty.

For the biggest retailers in the space, like Target and Walmart, it’s become an arms race to offer the fastest and most convenient same-day delivery options. But even smaller players have realized how crucial improving fulfillment times and offering accurate delivery estimate arrivals are to maintaining customer loyalty. But to get there, retailers are making a myriad of investments. They’re retooling their distribution facilities and stores with automation. They’re investing in tech to get more granular insight into their inventory levels. And, overall, they’re figuring out what they need to build a reliable delivery network. 📰 Read the full story here: https://lnkd.in/eqsxtgqw In this piece by Mitchell Parton, we speak to Melissa Minkow of CI&T, and Tom Enright of Gartner.

Under Saks, Neiman Marcus Group is trying to grow once again. But it’s doing so at a challenging time for the luxury industry, which saw spending in 2024 drop to its worst year since the Great Recession, according to Bain. Luxury shoppers today have numerous options and channels for making purchases, and many high-end department stores have struggled to bring in a younger clientele. They’ve also faced increased competition from vendors, many of whom are opening their own stores in the same markets. Further complicating matters, Saks Global is attempting a turnaround for Neiman Marcus as it deals with its own issues. It has a now-18-month backlog of unpaid bills to vendors that puts its financial viability into question. Modern Retail's Melissa Daniels and Julia Waldow discuss below. Read the full story here: https://lnkd.in/dr9p8xFn

PopSockets is the leader of what its CEO, Jiayu Lin, likes to call the phone grip category. The company is known for small, retractable circles that come in a wide variety of prints and colors and attach to the back of someone’s phone, making it easier to grip. But, the company really wants to be known as a lifestyle brand. It’s an inflection point that many accessories brands reach at one point or another, as they want consumers to know them for more than just a single widget. And, Lin is thinking day in and day out about how to position PopSockets as a lifestyle brand through events, collaborations, new product launches and more. “I want to take [PopSockets] to the next level by transitioning the company from a tech accessory to a mobile lifestyle brand,” she said. Lin joined The Modern Retail Podcast to talk about her vision for PopSockets. She’s been with the company since 2022, starting out as its gm of APAC and becoming the company’s CEO in September. 

Target is revamping its baby aisles to include new brands and more products, upping its selection to include more premium brands like Lalo and Joie International as it eyes the category for future growth. Baby brand Lalo will debut across more than 750 Target locations and online this month. Lalo, which launched as a DTC brand with a top-selling high chair six years ago, has seen year-over-year growth while expanding into bath accessories, play kits and more. And while it has experimented with owned retail and Amazon, joining Target marks the brand’s commitment to growth as an omnichannel brand. In this piece by Melissa Daniels, we speak to Michael Wieder, Amanda Nusz, Jennifer Saxton of Tot Squad, and Gregory Davidson.

Americans’ appetite for snacking may be finally satiated. CPG giants have recently warned during their earnings calls that due to growing economic pressures and high grocery prices, more shoppers are forced to hold off on snackable items and focus on core meals. Moreover, when people are buying snack items, they’re prioritizing more nutritious alternatives like jerky, nuts and rice cakes over chips and cheese crackers. Now, big food manufacturers that make some of America’s most popular snacks are feeling a slowdown in sales. General Mills, which reported its earnings on Wednesday, said its organic net sales are expected to drop 2% to down 1.5% this fiscal year, compared to a flat rate the previous year. In this piece by Gabriela Barkho, we speak to Jonathan Deutsch, Ph.D., CHE, CRC of Drexel University, and Anna Whiteman of Coefficient Capital.

Purchase data has taken on a significant role in CPG advertising strategies, supporting both upper- and lower-funnel brand objectives. According to a new Digiday and NCSolutions survey, 82% of respondents are leveraging purchase/transaction data to optimize their digital advertising efforts. Sponsored by NCSolutions.

Best Buy plans to launch a program allowing influencers and creators to build their own branded digital storefronts on the retailer’s website this spring, its CEO Corie Barry said on the company’s fourth-quarter earnings call this month. Barry said the company expects the program to drive traffic, engagement and sales but did not elaborate with any other details. A Best Buy spokesperson said he had nothing to share yet outside of what was said on the earnings call.

As grocery prices remain a hot-button issue, ALDI USA sought external validation to prove to customers that it has the lowest grocery prices. In early 2024, Aldi commissioned the “Aldi Price Leadership Report” alongside an announcement that it would add more than 800 stores nationwide by the end of 2028. The company released the report last week. The grocer — which currently has 2,400-plus stores — included third-party analysis of shopper sentiment, price comparisons and economic contributions and said it had the lowest prices of any grocer. Read more: https://lnkd.in/dKS5tN-K