| In recent weeks we’ve seen headlines asking if the days of free shipping were coming to an end or if the days of fast shipping were over, while at the same time some retailers are still building out the means to make both a continued reality for all. Target announced that it’s testing an extension facility that helps it get online orders to more shoppers the day after they click “buy”; Walmart announced Inventory Transfer Services that give sellers the option to send goods to one centralized location and offer two-day to same-day shipping; and even Dominos is introducing new technology to help them reach customers where they are. The takeaway? The value of your property when it comes to proximity to customers, space for warehousing or the understanding you have of customers from a 360-degree view is invaluable, and you should continue to activate those spaces and data sets ASAP.
This week we also got more details on one of the big summer shopping holidays, a “we could have told you that” article about why DTC brands want to be in department stores, and an interesting tactic a retailer is trying to curb returns. You can find us over on Twitter and LinkedIn, where we share our thoughts on the hot retail headlines of the week.
A quick programming note: our newsletter will be on hiatus next week for the 4th of July weekend in the U.S. |
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| Amazon Go closures continue [C-Store Dive] Amazon has closed its Amazon Go location at 5th Avenue and Marion Street in Seattle. The location opened in August 2018, and was the second store to open under Amazon’s frictionless c-store brand. So far, 2023 has been a tough year for Amazon Go. This closure comes about three and a half months after the company announced it would be closing eight of its automated-checkout convenience stores — two each in Seattle and New York City and four in San Francisco. |
| Amazon will hold Prime Day 2023 on July 11-12, adding invite-only deals and ‘Buy with Prime’ sites [GeekWire] Amazon will hold its 2023 Prime Day sales event on Tuesday, July 11, and Wednesday, July 12, the Seattle-based e-commerce giant announced tonight. The company will introduce a new invite-only Prime Days deals program, giving Prime members the ability to request invitations in advance to purchase products that are expected to sell out during the Prime Day event. |
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| 5 takeaways on digital innovation from top Walmart execs [GroceryDive] As Walmart places growing emphasis on digital innovation, the company’s CFO and head of investor relations outlined how supply chain automation, in-store technology and remodels are impacting labor, sales and consumer behavior. |
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| Micro & Last Mile Fulfillment |
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| Walmart rolls out inventory service for third-party sellers marketplace [SupplyChainDive] Walmart has begun to roll out a new inventory-focused offering as part of Walmart Fulfillment Services, its third-party marketplace for sellers, according to a June LinkedIn post. “Our new solution allows for the seamless and efficient transfer of inventory to Walmart fulfillment centers, optimizing supply chain logistics and enabling faster delivery to customers,” Jaré Buckley-Cox, vice president of Walmart Fulfillment Services, said in the LinkedIn post.
Target races to bring next-day delivery to customers farther from city centers [CNBC] The big-box retailer said Wednesday that it is testing an extension facility that helps it get online orders to more shoppers the day after they click “buy.” The discounter may open similar hubs in other major U.S. cities. The company’s e-commerce sales have declined, especially as shoppers buy fewer discretionary items. |
| Domino’s delivers anywhere on the map with latest tech innovation [MarketingDive] Domino’s Pizza Inc. unveiled Pinpoint Delivery, a new technology that allows users of the chain’s app to have pizza delivered to a pin dropped on a map. The tech allows customers to receive their order at “a countless number of dynamically created hyper-local spots,” such as parks and beaches, track their order with Domino’s Tracker, see their driver’s GPS location and receive text alerts.
Retailers Are Trying to Fix Their Supply-Chain Forecasts [The Wall Street Journal] Retailers are turning to new technology and greater use of data across their supply chains in an effort to fix forecasting tools that were effectively splintered during the Covid-19 pandemic. The efforts are aimed at closing gaps that emerged over the past three years as merchants veered between product shortages and overstuffed inventories in rapidly changing consumer markets. |
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| Walmart opens high-tech fulfillment center in Indiana [RetailDive] Walmart on Thursday celebrated the grand opening of a new 2.2 million-square-foot fulfillment center in McCordsville, Indiana, near Indianapolis. The company said that the high-tech facility is its “largest fulfillment center to date, and will enable the retailer to fulfill more orders, more quickly.” |
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| Restaurants & Ghost Kitchens |
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| The World’s 50 Best Restaurants 2023 Revealed: Central In Lima Tops The List [Forbes] The restaurant Central in Lima has climbed to first place on the list of the World’s 50 Best Restaurant 2023, reconfirming Peru’s capital as one of the gastronomic centers of the world. Announced at a ceremony in Valencia, Spain, the list includes restaurants from 24 territories on five continents and introduces 12 new to the list. |
| The Next Era of Restaurant Openings Is Paid for by You [Eater] Ross Chanowski does not consider NuMarket to be the Kickstarter or GoFundMe for the hospitality industry. He admits has been a hurdle from the jump. “They’re not donations; they’re contributions,” he says. The company positions itself as a means for food fans to support their communities while getting something in exchange. |
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| Making of Chipotle’s Fresh-Forward Ghost Kitchen [QSR] In the wake of COVID, virtual concepts have turned into culinary goldmines. The industry could potentially reach $1 trillion by 2030, according to research firm Euromonitor International. In early February, Chipotle joined the fun with Farmesa, a virtual concept offered via Kitchen United in Santa Monica, California. So far, the fast casual is one of the largest restaurant chains to explore this emerging culinary space. |
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| Brands Wanted to Cut Out Stores. Not Anymore. [The Wall Street Journal] When Nate Checketts co-founded men’s sportswear brand Rhone, he asked other founders of online startups what their biggest regrets were. Their answer: waiting too long to sell their goods in department stores and other traditional retailers.
More Online Clothing Sales Come With a Catch: No Returns [The Wall Street Journal] Today’s shoppers are still trying to figure out life after the end of unlimited returns. Early in the pandemic, online shopping and easy returns proliferated as millions hunkered down. Then, in 2022, clothing retailers started selling some more nonreturnable items, when the decline of pandemic-related “revenge shopping” coincided with an influx in inventory, says Sandrine Devillard. |
| South Moon Under launches online return policy that encourages final sales [RetailDive] Apparel retailer South Moon Under changed its return policy through the launch of its KeepIt program. Online shoppers receive 15% off full-priced items when they use the code “KEEPIT.” Using the code makes the entire purchase final and ineligible for returns both in store and online.
S.F.’s Westfield mall has an uncertain future. What about other Bay Area malls? [SF Chronicle] There’s high drama this month at Westfield San Francisco Centre, with its owners abandoning the huge downtown mall to their lenders while Nordstrom, its largest tenant, prepares to close this summer. But similar dramas have played out for decades around the Bay Area, California and the nation. |
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