Tuesday Tipsheet: Wmart #1 w/Millennials | Target Deal Started w/Dinner | Online Sales Tax Debate Reignited
Target’s $1.9 Billion Deal Started With Friendly Dinner by Lauren Coleman-Lochner at Bloomberg. “(Brian) Cornell and CVS’s CEO, Larry Merlo, have known each other for years and are occasional dinner companions…“We would get together for dinner from time to time and we always compared notes in terms of challenges, opportunities,” he said…“Over time, I think we’ll continue to evaluate ways to work together,” Cornell said. Does that include putting CVS brands on Target shelves? “I wouldn’t rule out anything,” he said.” Read more
…Q&A with Brian Cornell via A Bullseye View. Read more
Groups allege Wal-Mart used charitable foundation to boost expansion by Jonathan O’Connell at Washington Post. “The 22-page complaint, addressed to IRS Commissioner John Koskinen, details the retailer’s marketing and lobbying activities as it sought approval to open stores in New York City, Boston, Chicago, Los Angeles and other cities. The groups allege that the foundation is completely controlled by the company and that it “appears to target its donations and influence its grantees primarily to assist Walmart to achieve those expansion goals.” Read more
Online sales tax debate reignited in the House by Bernie Becker at The Hill. “The bill, from House Oversight Chairman Jason Chaffetz (R-Utah) and a group of 15 other House members, would give states greater latitude to charge sales taxes on online purchases from out-of-state customers.” Read more
UPS Plans to End Some Shipping Discounts for Holiday Season by Laura Stevens at WSJ. “United Parcel Service Inc. is telling dozens of retailers it intends to do away with big discounts on oversize packages this holiday season and, in the case of some retailers, year round, according to people familiar with the matter.” Read more (Subscription)
Where Do Millennials Love to Shop? Hint: It’s Based in Bentonville, Ark. by Jack Neff at Ad Age. “Millennials now, as a generation, like Walmart the best, more so than Generation X, more so than boomers,” said Matt Kistler, Walmart senior VP-consumer insights and analytics. “That kind of shocks a lot of people, including inside the company,” admitted Walmart Chief Marketing Officer Stephen Quinn.” Read more
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Another top executive out at Lumber Liquidators by Michelle Celarier at NY Post. “Lumber Liquidators ousted its merchandising chief on Monday, just weeks after he was fingered in a shareholder lawsuit as the “go-to guy” for the company’s controversial Chinese operations.” Read more
First Look: Kohl’s debuts Innovation Center, culmination of $100M campus revamp by Alison Bauter at Milwaukee Business Journal. “(Janet) Schalk refers to “small i” and “big I” innovation taking place at the center. The capital letter refers to the sweeping, industry-disrupting changes currently rocking retail (think e-commerce and Amazon). The lower-case version answers the question, “How do we make things better every day?” said Schalk, who’s been with the company for five years.” See the 17 Pics / Read more
Coty reportedly nabs P&G beauty brands by Alexander Coolidge at Cincinnati.com. “The beauty company that produces Rimmel cosmetics and Calvin Klein perfume – has won the bidding for Procter & Gamble’s Wella hair care and Max Factor and CoverGirl makeup brands, the New York Post reports.” Read more
Five reasons Target’s deal with CVS Health makes it leaner and meaner by Phil Wahba at Fortune. “The CVS deal allows Target to speed that up a bit since their deal calls for them to co-develop 5-10 TargetExpress stores in the next two years, essentially doubling the size of the fledgling fleet.” Read more
Gap to close 175 stores and lay off 250 HQ workers by Karma Allen at CNBC. Read more
Quirky ditches device manufacturing, preps for new investment at Fortune. “…Quirky in February hired bankers to either find Wink some new outside investment or find it a buyer. Kaufman says that the process was moving along well until April, when Wink experienced a security glitch that that knocked its hubs offline…Wink’s hub remains unavailable to many Target shoppers, although it is now fully back in Home Depot and Amazon channels. “We love Target, but it was a question of prioritization,” Kaufman says.” Read more
Wayfair Launches Heart Home Conference Read the release
Tipsheet Extra
Australia: The six stages of Costco: which level are you?
Top 10 Emoji’s in Popularity (Smiley Face Falls to Fifth!)
Video: Concrete plant demolition clears way for Cabela’s (See it fall)
Fashion startup Nineteenth Amendment gets to-die-for deal with Macy’s
Hannaford names new ad agency
Amazon now allowing some third-party merchants to ship directly with Prime
A Tide Of People Come To Parking Lots For Discounted Laundry Detergent
Wal-Mart Welcomes Veterans Home with Job Guarantees
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Eye-on-Retail Tipsheet is created early every weekday morning and read by retail merchants and executives worldwide. We love data, earnings reports, executive presentations and stories off the beaten path that get at what’s really happening in the world of retail. See our website at www.eyeonretail.net