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It\u2019s been another week with far more retail news than there is time in the day. Below, we break down some things you may have missed during the week and what we\u2019re still thinking about.\u00a0<\/p>\n
From Abercrombie & Fitch Co.\u2019s continued sales growth to Duke\u2019s Mayonnaise merchandise, here\u2019s our closeout for the week.<\/p>\n
What you may have missed<\/h3>\n L’Or\u00e9al sells Carol\u2019s Daughter<\/em><\/p>\nL’Or\u00e9al announced this week plans to sell Carol\u2019s Daughter to its founder, Lisa Price, and an independent beauty entrepreneur for an undisclosed sum. L’Or\u00e9al in 2014 announced its plans to acquire the beauty brand, which specializes in products designed for textured hair.<\/p>\n
Price \u2014 who created the brand in 1993 with her mother, Carol \u2014 will step into a new role as president and hold an equity stake in the company.\u00a0<\/p>\n
\u201cTen years ago, I made a decision to take Carol\u2019s Daughter \u2014 my brand, my vision, my passion \u2014 to heights I had once only dreamed of. Being a part of the L’Or\u00e9al family gave us the ability to touch so many lives. This journey has been nothing short of extraordinary,\u201d Price said in a video posted to the brand\u2019s Instagram page. \u201cBut my dreams are not finished. Today I begin a new chapter and reclaim the indie spirit of my brand as its forever founder, and newly appointed president. \u2026 This next chapter: It\u2019s bolder. It\u2019s fearless. It\u2019s about innovation that doesn\u2019t just follow trends, but sets them.\u201d<\/p>\n
Halara goes offline with Austin event<\/em><\/p>\nDTC activewear brand Halara is continuing to test out in-person retail, this time with an RSVP-only experience in Austin, Texas. The brand, which calls its Active Dress a \u201cviral TikTok sensation,\u201d is planning a scenic trail walk on March 15, in partnership with Hot Girl Walk.<\/p>\n
The first 50 participants to sign up for the event will receive a free Halara Active Dress, according to a company press release. The brand will also give away gifts at the in-person event.\u00a0<\/p>\n\n\n
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\nHalara\u2019s Active Dress will be given away at the event.<\/p>\n
Courtesy of Halara<\/p>\n
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While a small effort, Halara\u2019s Austin experience comes as the brand considers other options for meeting its customers IRL. The activewear brand opened its first pop-up shop last summer\u00a0in New York City and is planning to open permanent stores within the next three years.<\/p>\n
The activewear space is a popular one for DTC entrants, but some formerly buzzy brands have since fallen off the radar. Outdoor Voice, once a DTC darling, rose to popularity for its casual view on \u201cdoing things\u201d and, you guessed it, an exercise dress. In recent years, however, the brand struggled financially\u00a0and eventually shuttered its entire store footprint\u00a0and was sold to Draper James-owner Consortium Brand Partners.<\/p>\n
Victoria\u2019s Secret comps up 5% in Q4<\/em><\/p>\nVictoria\u2019s Secret on Wednesday reported fourth-quarter net sales increased 1% \u2014 with one fewer week compared to the year-ago quarter \u2014 to about $2.1 billion, while comparable sales grew 5%.<\/p>\n
\u201cI am pleased with the strength of our fourth quarter holiday results, which saw sales up in both our Victoria\u2019s Secret and Pink brands and our powerhouse beauty business,\u201d VS&Co CEO Hillary Super said in a statement. \u201cSales increased across most major merchandise categories, in our stores and digital channels, and in both our North America and International businesses. We won in the big moments of the quarter and gained more than our fair share of the traffic in the mall and online.\u201d<\/p>\n
The retailer\u2019s operating income grew 3.6% year over year to $267.7 million, while net income increased 5.7% to about $194 million.<\/p>\n
For the full year, net sales grew 1% from the prior year to $6.2 billion, while comps were flat. Operating income grew 26% to $309.6 million and net income expanded 46% to $169 million.<\/p>\n
Looking ahead, Victoria\u2019s Secret expects net sales for the full year to be between $6.2 billion and $6.3 billion and adjusted operating income to be between $300 million and $350 million.<\/p>\n
Retail Therapy<\/h3>\n Get your mayonnaise merch<\/em><\/p>\nIn partnership with clothing brand Girl Tribe Co., Duke\u2019s Mayonnaise is offering five exclusive pieces as part of a collection for mayonnaise enthusiasts, including a crewneck sweatshirt, a T-shirt, a trucker hat, a tote bag and a sticker.\u00a0The items will be available online and at Girl Tribe\u2019s flagship store.<\/p>\n\n\n
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\nDuke\u2019s Mayonnaise merch.<\/p>\n
Courtesy of Girl Tribe Co.<\/p>\n
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“It may look like a non-serious collection, but in fact our love for Duke’s is intensely serious,\u201d Girl Tribe co-founder Sarah Baucom said in a statement.\u00a0\u201cThe little yellow jar has been present for many of our fondest memories and celebrations growing up in the south.\u201d<\/p>\n
Duke’s Mayo mascot, Tubby, will attend the collection launch party on Saturday at Girl Tribe\u2019s Charlotte, North Carolina, store.\u00a0<\/p>\n
Who doesn\u2019t want to eat glow-in-the-dark candy?\u00a0<\/em><\/p>\n\nSour Patch Kids released gummies<\/span> online on Wednesday that glow under blacklight<\/span> in a strawberry-watermelon flavor.\u00a0The glow comes from flavorless turmeric extract infused in the candy through edible confetti.<\/p>\nThe candy, perfect for eating in the dark, will be in stores later this month.\u00a0For those that don\u2019t have a blacklight<\/span>, Sour Patch Kids is offering a Snapchat filter that shows off the candy\u2019s glow.\u00a0Also later in March, Swedish Fish will feature a similar glow-in-the-dark candy offering.<\/p>\nWhat we\u2019re still thinking about<\/h3>\n 9%<\/em><\/p>\nThat\u2019s how much Abercrombie & Fitch Co grew its net sales\u00a0in Q4,\u00a0reaching $1.6 billion, with comparable sales up 14%. For the quarter, the company\u2019s namesake brand was up 2%, a slowdown for the banner.\u00a0 For the full year, net sales for the overall company were up 16% to nearly $5 billion.\u00a0<\/p>\n
The apparel retailer expects its full-year net sales growth to be in the range of 3% to 5%, and Q1 to be between 4% to 6%.\u00a0<\/p>\n
\u201cLast year, we did have a bit of a flawless transition into spring, and, this year, it’s a bit more normalized,\u201d CEO Fran Horowitz said on an earnings call. \u201cHollister came in very strong off of a very, very strong Q4, and Abercrombie is a bit negative.\u201d<\/p>\n
$250,000<\/em><\/p>\nThat\u2019s the cash bonus\u00a0Stewart Glendinning will receive from Dollar Tree upon achievement of performance objectives related to the ongoing review of strategic alternatives\u00a0for Family Dollar.\u00a0That\u2019s alongside a one-time additional equity award with an aggregate value of $975,000, according to a filing with the Securities and Exchange Commission.\u00a0<\/p>\n
Glendinning has been with Dollar Tree since January in a senior role focused on transformation initiatives, and this week was announced as the company\u2019s next CFO.\u00a0<\/p>\n\nWhat we\u2019re watching<\/h3>\n Trade organizations say tariffs will hurt industry stability, growth<\/em><\/p>\nThree retail industry groups issued statements on Monday regarding the negative impact of tariffs implemented against Canada, Mexico and China. President Trump on Tuesday implemented 25% tariffs on Canadian and Mexican imports, and doubled tariffs on Chinese products to 20%.\u00a0<\/p>\n
But the situation continues evolving. The Trump administration on Thursday afternoon said that Mexico and Canada won\u2019t have to pay tariffs on products that fall under the United States-Mexico-Canada Agreement until April 2. Ahead of the unexpected reversal, the Retail Industry Leaders Association urged the Trump administration to reconsider tariffs in pursuit of economic growth and lower prices.<\/p>\n
\u201cTariffs on Canada and Mexico put those goals in serious jeopardy and risk destabilizing the North American economy,\u201d Michael Hanson, RILA\u2019s senior executive vice president of public affairs, said. \u201cStacking tariffs on household goods will also raise costs on American families, millions of whom have struggled through the worst bout of inflation in forty years.\u201d<\/p>\n
The American Apparel & Footwear Association issued a similar statement, saying in part that tariffs will escalate \u201cinto a growing \u2014 and potentially crushing \u2014 burden on American businesses and hardworking American families,\u201d Steve Lamar, the association\u2019s president and CEO, said.\u00a0 \u201cUncertainty and instability are corrosive, undermining the vitality of our consumer driven economy, and the 3.5 million American jobs created by our industry,\u201d\u00a0<\/p>\n
The National Retail Federation, in its statement, echoed RILA, saying tariffs negatively impact the U.S.\u2019s largest trading partners and allies. \u201cThe decision to impose tariffs on our North American neighbors and two of our largest trading partners is a significant measure,\u201d David French, the NRF\u2019s executive vice president of government relations, said. \u201cUnfortunately, it is one that will only hurt hardworking Americans and the businesses that strive to provide customers with the products they want and need on a daily basis.\u201d<\/p>\n<\/p><\/div>\n
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