It’s 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’re still thinking about.
From Chipotle partnering with Urban Outfitters to consumers feeling pressure during the back-to-school season, here’s our closeout for the week.
What you may have missed
Bed Bath & Beyond battles California
Beyond Inc. (now Bed Bath & Beyond) has picked a fight with the state of California — also known as the world’s fourth-largest economy.
“We will not open or operate retail stores in California,” the company’s Executive Chairman Marcus Lemonis said in a statement Wednesday. “Instead, we are investing in a California strategy that works: 24–48-hour delivery, and in many cases, same-day service. Californians will continue to get the products they love through BedBathandBeyond.com — but without the inflated costs created by an unsustainable model.”
Lemonis believes California is overregulated, expensive and has a risky business environment.
The executive received a sharp response on the social platform X (formerly Twitter) from the press office of California Governor Gavin Newsom.
“After their bankruptcy and closure of every store, like most Americans, we thought Bed, Bath & Beyond no longer existed,” the post said. “We wish them well in their efforts to become relevant again as they try to open a 2nd store.”
The company opened its first retail store since bankruptcy in August through a complex deal with home retailer Kirkland’s (now The Brand House Collective).
Milk Makeup parent company announces strategic review
Waldencast, parent company to Milk Makeup and Obagi Medical, announced Monday that it was undergoing a strategic review. The company also postponed reporting its H1 earnings and conference call and lowered its outlook, but is working to file its H1 with the U.S. Securities and Exchange Commission within regulatory deadlines.
Co-founder and CEO Michel Brousset said the company and board have received a “growing number of opportunities.”
“We believe the actions we are taking will set us up to strengthen our foundation for delivering our long-term ambitions and accelerated future growth and profitability,” Brousset said in a statement.
Authentic acquires majority stake in Guess
Authentic Brands Group announced it is acquiring a majority stake in the intellectual property of fashion company Guess, which will go private, according to a Wednesday press release. The deal is for around $1.4 billion and is expected to close in the fourth quarter of Guess’s 2026 fiscal year, according to documents filed with the SEC.
Under the agreement, Authentic will own a 51% stake in a newly formed entity that will own and license nearly all Guess IP and will assume the majority of the company’s product licensing agreements. The remaining 49% of the entity will be owned by co-founders Maurice Marciano and Paul Marciano, Nicolai Marciano and Guess CEO Carlos Alberini.
Authentic will leverage the IP by launching into new categories and territories, per the release. Guess will become Authentic’s second-largest brand in its portfolio.
Retail therapy
Sports and burgers, please!
Two Texas-based companies, Academy Sports and Outdoors and Whataburger, have partnered on a limited-time collection that celebrates tailgate season.
Items include a co-branded Hey Dude shoe alongside jerseys, hats, shirts, drinkware, coolers, wagons, tables, chairs, blankets and outdoor games.
“When you think of Texas, you think of football — so teaming up with Academy for a third campaign just in time for the season made perfect sense,” Rachael Jones, Whataburger’s group director of CPG and retail marketing, said in a statement. “This collaboration brings a fresh take on tailgating and gives fans a fun way to work both iconic brands into their fall traditions.”
Products are available at Academy Sports and Outdoors locations and online at both companies.
Chipotle launches rewards program, partners with Urban Outfitters
As scholars return to college campuses, Chipotle announced a student rewards program in what the company says is the “first major national restaurant brand to launch a loyalty program for college students.” Chipotle U rewards members will receive 1,000 points upon signing up, and 12 points for every $1 spent at the restaurant.
To celebrate, Chipotle teamed up with Urban Outfitters on a limited-edition “A Little Extra” dorm collection inspired by its menu. The capsule includes a tumbler, doormat, pillows, chairs, a throw blanket and more.
"Urban Outfitters is Gen Z's destination for their next favorite find, and Chipotle is an iconic part of campus life, so teaming up was a natural fit," Cyntia Leo, head of brand marketing at Urban Outfitters, said in a statement. "We're excited to bring this collaboration to life together, encouraging consumers to be a little extra and bring that energy into their dorms and homes."
What we’re thinking about
$1.50
That’s the price of some Dollar Tree items, marked up from $1.25. On a store visit to a Dollar Tree location in Maryland, Retail Dive observed employees placing stickers marked with “$1.50” over products previously marked $1.25.
Dollar Tree has been testing higher prices in recent years. In 2021, the dollar store chain announced plans to increase prices from $1 to $1.25 across the majority of its assortment. And executives last year said some items in its stores will cost up to $7.
1,500+
That’s how many pop-up locations Spirit Halloween intends to open this season.
Stores feature a Madison Scare Park theme — a haunted subway platform with interactive design elements. This year, stores includes costumes of popular characters from “Squid Games,” “Wicked” and “Marvel.”
"We know every guest looks to our stores as an entertainment destination that brings the spirit of the season to life – and this year is no different, as we unveil our unique in-store experience inspired by the gritty allure of underground subways, alongside the best selection of costumes, decor and accessories for every type of Halloween enthusiast,” Spirit Halloween CEO Steven Silverstein said in a statement.
What we’re watching
Back-to-school season under pressure as consumers remain ‘stretched and selective’
Some retailers, especially those selling apparel and footwear, will be under pressure during back-to-school season, as tariff-related concerns weigh on them and many of their customers, according to Jefferies analysts. Inflation is still a top concern for those surveyed by the firm’s consumer team, with 12% reporting “maximum anxiety,” according to a Wednesday research note.
“Mall traffic is softening, compares are challenged, inventories are elevated, and tariffs continue to weigh on margins,” the analysts said. “After two years of strong consumer trends, many retailers now face the challenge of sustaining peak fundamentals amid signs of a stretched and selective U.S. consumer.”
Off-price retailers and discounters like Walmart are poised to benefit. More than 45% of consumers waited for Amazon’s Prime Day to tackle their back-to-school lists, and Walmart+ is perceived by frequent online shoppers as an even better deal than Amazon Prime, Jefferies found. Walmart’s basket is also cheaper than Target’s, according to a Jefferies pricing study.
