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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 Chewy’s latest fashions to Office Depot’s new promise, here’s our closeout for the week.
What you may have missed
Mary Dillon, Frank Bracken and more depart Foot Locker as deal closes
CEO Mary Dillon, President Frank Bracken and other members of Foot Locker’s executive team left the retailer on Monday when its deal with Dick’s Sporting Goods closed, according to a Foot Locker SEC filing. Dick’s had previously not responded to questions from Retail Dive about Dillon’s status at the combined company. All of Foot Locker’s board members resigned as of the closing date as well.
Also leaving the company are Chief Financial Officer Mike Baughn, Chief Operations Officer Elliott Rodgers and Chief Human Resources Officer Cindy Carlisle. Dick’s Sporting Goods announced new leaders in some of these roles to guide Foot Locker’s North America business. Those include Foot Locker veteran Peter Scaturro as CFO and two Dick’s veterans to lead operations and human resources in the region.
Going forward, Foot Locker will be overseen by Dick’s Executive Chairman Ed Stack and two presidents: one for international and one for North America. In North America, 26-year Nike veteran Ann Freeman — who became embroiled in a sneaker resale scandal at the brand a few years ago — will take over leadership. An international president has yet to be named.
Best Buy taps Lululemon CFO for board spot
Lululemon CFO Meghan Frank has joined Best Buy’s board of directors, the electronics retailer said Friday. Frank has served at Lululemon since 2016 in various financial roles and as CFO since 2020. She has more than 20 years of industry experience, including almost a decade in finance at J. Crew and a stint as vice president of merchandise planning at Ross.
“Meghan’s deep leadership experience across finance, merchandise planning and retail will be a key addition to our Board as we continue to evolve how we serve our customers and grow our business,” Best Buy CEO Corie Barry said in a statement.
Walmart to open stores in South Africa
Walmart announced that it will open its first branded stores in South Africa this year, according to a Tuesday press release. Official opening dates will be announced in October.
“We’re thrilled to begin this journey introducing the iconic Walmart brand to South African associates, customers and communities,” Miles Van Rensburg, Massmart president and CEO, said in a statement. “By listening and working together, we aim to build lasting relationships and deliver a delightful shopping experience that reflects the needs and aspirations of South Africans.”
Stores in South Africa will offer a range of products including groceries, apparel, tech and household items. Walmart will also partner with South African suppliers and entrepreneurs to offer locally sourced merchandise.
Retail therapy
Serving looks at the dog park
New York City-based pet lifestyle brand Pupp St. is now available on Chewy’s website. The brand, which said it’s inspired by New York’s streetwear culture, features premium clothing for dogs.
Image courtesy of Chewy
“This is a big milestone for us,” Zon Beltran, founder of Pupp St., said in a statement. “We created Pupp St. to offer something thoughtful for people who live a fun lifestyle with their dogs, who are considered family.”
Featured on Chewy is the brand’s OG Collection, including its Marcy Sweater, which sells for $65.
What we’re still thinking about
15
That’s the number of minutes in Office Depot’s new promise. The company’s namesake and OfficeMax locations will provide in-store or pickup service on qualified online and mobile orders in just 15 minutes, the company said in an announcement. If the promise is not fulfilled, customers will receive a $15 coupon for their next qualifying purchase.
“At Office Depot, we’re committed to providing the fastest and easiest shopping experience in the nation for our customers, whether they’re wrapping up back-to-school lists or running their own small business,” Kevin Moffitt, Office Depot president, said in a statement. “Our 15-Minute Pickup Promise is designed to deliver convenience and peace of mind so that customers can get what they need — when they need it — and focus on what matters most.”
What we’re watching
Last month, the rich got richer and the poor barely got anything
The labor slowdown – which has entailed both a rise in unemployment and a decline in hiring – is hitting lower-income households much harder than higher ones, according to research from Bank of America Institute analysts. In fact, the rich appear to be getting richer.
In August, for lower-income households, after-tax wages and salaries rose less than 1% year over year, the weakest growth since 2016 when this research began. Meanwhile, wages and salaries in higher-income households rose to 3.6%, the strongest growth since November 2021. This divergence is also found in credit-card expenditures, with lower-income households spending less, according to the report, released Wednesday.
The analysts don’t define income thresholds, saying they fluctuate over time and depend on various factors. Still, the trend has implications for retail, where luxury brands increasingly cater to the wealthiest consumers, while value-oriented stores capture market share from players like department stores that cater to the shrinking middle class.