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 Adidas introducing a vast new sports bra collection to Peloton cutting 20% of its corporate workforce, here's our closeout for the week.
What you may have missed
Lululemon to bring mental health first aid training to employees
Lululemon this week put out its second Global Wellbeing Report, which rates how the public feels across their physical, mental and social wellbeing. The company said that its Global Wellbeing Index rose by one percentage point to 66, thanks to better mental health coping strategies during the pandemic.
The report notes that 21% of the Gen Z population have strong wellbeing, compared to 29% of the general population. Gen Z also feel higher levels of loneliness (53% compared to 40% of the general population), according to the report.
In conjunction with the report, Lululemon announced it will make mental health first aid training available to all employees by 2023. "Starting with managers, the training will equip participants with tools to identify signs of emotional distress and connect them with the appropriate resources," the company said.
Ulta adds Supergoop to its lineup
Ulta this week announced it has added sun protection brand Supergoop to its assortment, both online and in stores nationwide.
"This launch marks the next phase of growth for the brand as they continue to prioritize their mission of making SPF available — and fun! — for all," the brand said in details emailed to Retail Dive.
The deal with Ulta helps Supergoop expand its presence even further, particularly offline. The DTC brand already sells through Sephora, Nordstrom, Bluemercury, Anthropologie, Amazon and others.
The move also falls in line with Ulta's mission to highlight digitally native brands.
The Container Store slips below pandemic highs, but sales growth continues to outpace 2019
The Container Store on Tuesday reported third quarter net sales fell 3% to $267.3 million. But compared against 2019, sales increased nearly 17%, marking the third consecutive quarter of at least 16% sales growth on a two-year stack.
Net income fell 30% year-over-year to $13.7 million, while the gross margin fell 90 basis points to 57%.
CEO Satish Malhotra said the results exceeded expectations.
"We are particularly proud of the performance we delivered within Custom Closets and our general merchandise categories, with growth of 19.5% and 15.6%, respectively, when compared to fiscal 2019," Malhotra said in a statement. "Our recent acquisition of Closet Works provides us with the opportunity to meet the growing consumer demand for custom closets, specifically for premium wood-based spaces with an expanded assortment."
The company in late December closed on a deal to acquire Closet Works for $21.5 million.
Smell my feet
Cole Haan this week launched its first sustainable shoe, dubbed Generation Zerogrand II. The product has an outsole made from FlowerFoam, which sports a minimum of 25% natural dandelion rubber, and helps absorb impact.
The shoe also consists of, among other things, vegan microfiber suede, which is made with 21% recycled content, and a reconstituted felt fabric made with 85% recycled plastic bottles. The laces are 100% recycled plastic bottles.
Additionally, all Cole Haan products labeled as sustainable will include a minimum of 25% naturally derived or recycled content by weight.
Generation Zerogrand II is available on the company's website and in select stores in the U.S. and globally, and retails for $130.
Virtual enlightenment comes to Roblox
Lifestyle brand Alo Yoga announced a partnership with Roblox to open its virtual "Alo Sanctuary." Visitors can go to a computer-generated island on Roblox and receive a digital yoga mat to carry as they attend meditation retreats and participate in daily on-demand yoga content.
"There is a vast variety of truly unexpected and inspiring experiences on Roblox for people of all ages, and now our community has a space to practice mindfulness and learn about the importance of meditation directly from top wellness experts," Christina Wootton, vice president of global brand partnerships for Roblox, said in a statement.
If all that mediating makes you want to spend money, Alo is also offering a fashion collection that you can shop on the platform. Products include a trucker hat, tank, sweatshirt, leggings, socks, and two Alo logo pieces.
The company is also preparing to open its IRL "wellness sanctuary" in person during New York Fashion Week, where it will offer daily mediation at 11:30 a.m. and 3:00 p.m. from Feb 12 through Feb. 14.
What we're still thinking about
That's when Roland Auschel, head of global sales at Adidas, and Brian Grevy, head of global brands, both were expected to reach the end of their appointments to the athletics giant's executive board. Both got their tenures extended, with Auschel's lasting through 2024 (a member of the board since 2013) and Grevy's lasting until 2028 (a member of the board since 2020).
"Our long-term strategy ‘Own the Game' has the consumer at its heart. Both Roland and Brian play key roles in bringing this consumer focus to life with their respective functions," Thomas Rabe, chairman of the supervisory board, said in a statement. "We are convinced that they will continue the successful execution of our strategy together with the entire Executive Board."
That's the number of sizes that Adidas now has available in its new SS22 Bra Collection, which also come in 43 different styles.
The sportswear company said that 90% of women don't wear the right size sports bra, which can impede sports performance, damage tissue and cause pain. The collection was developed in partnership with Joanna Wakefield-Scurr, a biomechanics researcher and head of the Research Group in Breast Health at the University of Portsmouth in the U.K.
"Unknown to many, athletes may require the same amount of breast support during power walking as they do during sprinting, and a lack of support has the potential to cause irreversible damage," Wakefield-Scurr said in a statement. "Breast movement in sport continues to be an area that is overlooked."
What we're watching
What's next for Peloton?
Connected fitness tech maker Peloton was a pandemic success story. But 2022 has been a rough ride for the company, starting with CNBC's scoops that it halted production of new cycles and treadmills because of a demand drop-off and lowered sales projections for its new apparel line. This week, Peloton announced it would reduce 20% of its corporate staff and bring in a new CEO, a former Spotify executive, as it looks to restructure for a market with less appetite for its products and services.
Amid the tumult, and with Peloton's stock price way below its early pandemic highs, acquisition speculation is heating up, with some big retail names in the mix. Amazon, Nike and Lululemon have all been mentioned as possible suitors. The question is, is Peloton a good fit for any of them?