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 the widening of the economy’s K-shaped gap to Ashley going luxe, here’s our closeout for the week.
What you may have missed
Reebok skates back into hockey
Reebok is reentering the hockey category in Q4 this year through a deal with Wholesale Sports Inc, continuing a years-long effort to return to the sports it exited under former parent Adidas.
As part of the partnership, Reebok will sell a line of ice and inline hockey equipment ranging from sticks to helmets and skates. WSI will be responsible for product development, sales and distribution of the Reebok Hockey line.
WSI President Chris Malki said Reebok brings “real credibility” to the sport and is “one of the most respected names to ever compete in hockey.” Meanwhile, for Reebok, it’s about “returning Reebok to a space where it has real authority,” according to Steve Robaire, executive vice president of Reebok.
“Our strategy has been focused on identifying the sports and segments where Reebok has historically been a market leader and investing in those categories with the right partners and the right product,” Robaire said in a statement. “Hockey is one of those sports, and we’re excited to bring Reebok back into the market in a way that shakes up the category and reflects what the brand does best.”
Other sports that fall under that description include basketball, golf and soccer, which Reebok has already reentered. It’s a strategy the brand has embarked on under Authentic Brands Group, which bought the company from Adidas in 2022.
Ashley makes play for luxury market with new home line
Furniture retailer Ashley has launched Ashley Luxe, a home line that “aims to make luxurious living beautifully attainable,” according to a company press release.
Ashley Luxe has five collections at launch: Bracken, Neo, Calden, Modero and Whitehaven. Pieces include sofas, beds, dressers, dining tables and more.
"Grounded in the quality, comfort and value the Ashley brand is known for, this collection delivers a more elevated design expression, with craftsmanship and details that feel refined — while remaining within reach,” Ashley CEO Todd Wanek said in a statement.
The company has partnered with actress Hailee Steinfeld to be the face of the collection, which includes Steinfeld appearing in an ad spot that airs across broadcast, CTV, streaming video and Ashley's owned channels.
Retail therapy
Moomin-themed Swedish candy
Popular candy brand BonBon Swedish Candy Co. launched a collaboration with the Moomins cartoon characters, according to a Tuesday press release. The collection includes Moomin-themed sour gummies, as well as strawberry and blueberry cloud-shaped candies.
The two new candies are made in the “Nordic confectionery tradition,” per the release, and are packaged in soft pink wraps featuring original Moomin illustrations.
What we’re thinking about
2
That’s the number of additional Nordstrom Local service hubs that will open in California as the department store expands its presence in the state. One will open in San Diego on June 4, while the other will open in Danville on June 18. The locations will be the fifth and sixth Nordstrom Locals in California.
At both locations, customers will have access to online order pickup, returns, alterations, gift boxes and clothing donation drop-off, according to a Monday announcement.
"Northern and Southern California represent two of our most significant markets, and these new locations reflect our continued focus on evolving alongside our customers,” Fanya Chandler, president of Nordstrom stores, said in a statement. “By extending our presence closer to where our customers live and work, we believe Nordstrom Locals will offer greater convenience, broader access to what they need, and a more personalized experience."
What we’re watching
As wage growth accelerates for top earners, US economy’s K-shaped gap widens
An expanding wage gap is exacerbating the K-shaped economy, where the rich get richer while the poor get poorer, according to research this week from the Bank of America Institute. In March, higher-income households’ after-tax wage growth accelerated to 5.6% compared to a year ago, while reaching just 1% for lower-income households and 2% for middle-income households.
Equifax researchers this week also found “a widening K-shaped divide across consumer segments and among generations.” Middle-income consumers – about 70% of the population, as defined by the firm – “are at a crossroads between financial security and rising economic pressure,” according to Emmaline Aliff, advisory leader at Equifax.
The full picture can be nuanced. Due to pressures from lifestyle choices and other variables, some higher earners are living on the edge, while consumers able to live within their means are more comfortable, even at lower incomes, according to research from the Kearney Consumer Institute.
