Retail Brew // Morning Brew // Update

March 26, 2025

Hey hey. Consumer confidence plummeted another 7.2 points in March, the Conference Board said yesterday, with consumers’ future expectations hitting a 12-year low. Or, to phrase that in a slightly less alarming way: Consumer pessimism is surging off the charts! Any better? Hey, we tried.

In today’s edition:

—Alex Vuocolo, Jeena Sharma, Erin Cabrey

STORES

Crystal clear

A crystal ball with pictures of a rainy cloud, shipping boxes, and binary code inside of it depicting predictive analytics

Francis Scialabba

No retailer has a crystal ball when it comes to predicting the future, but many are now taking a closer look at the past to come up with a plan for what’s next. Known as predictive analytics, this body of techniques utilize historical data to understand consumer preferences and demand trends, and project those insights into the future.

Use cases for predictive analytics run the gamut of retail operations, ranging from inventory management and supply chain optimization to pricing and promotional practices.
Major retailers such as Walmart and supply chain players such as Prologis are acknowledging its importance and investing in new technologies.
This trend is driving the growth of the overall retail analytics market, which was valued at $7.56 billion in 2023, and is projected to hit $31.08 billion by 2032, according to Fortune Business Insights,

Here are some of the ways retailers are currently using predictive analytics.

Keep reading here.—AV

Presented By Listrak

Mobilizing on mobile (and email) insights

In a highly competitive retail environment, it can be hard to tell if you’re ahead of the curve or getting left in the dust.

Thankfully, Listrak’s 2025 Cross-Channel Benchmark Report is here. It outlines the SMS and email benchmarks lead retailers and brands use to drive engagement, conversions, and revenue growth. This report analyzes click-through rates, conversion rates, and revenue per send performance data across 15 campaign types, spanning 13 retail verticals.

The report’s data and analysis, powered by AI and industry-specific expert analysis, can help you:

Learn how retailers increased email sends by 43%, increased SMS sends by 93%, and achieved 104% SMS revenue growth YoY.
Get expert recommendations on reactivating subscribers, increasing CLTV, and using high-performing triggers like Browse Abandonment and Price Drop Alerts.
Adapt to evolving shopping habits with insights into mobile-first engagement, personalized messaging, and strategic automation.

Get the report and see how you match up to the competition.

FASHION

Risky business

Penske Media/Getty Images

Earlier this month, Gucci appointed Demna as its new creative director, while Sabato De Sarno left the post after a two-year stint. Many in the industry are still scratching their heads about just what the thinking was behind the surprising decision.

Demna is best known for his role as creative director at Balenciaga and brings with him a certain appeal and a younger consumer base that Gucci seems to need. The Italian luxury retailer has had a rough couple years, with sales taking a serious hit, which seemingly also led to the abrupt departure of De Sarno.

“Gucci has been in a serious decline and the product is not resonating with its core customer base like it used to,” Brian Ehrig, partner in the consumer practice of Kearney, told Retail Brew via email. “This is a clear indication they seek to shift focus from timeless pieces to bold statements.”

Ehrig added that while Demna can likely help attract a “younger, fashion forward audience,” it is still a big bet for both Kering and Gucci that will require patience on the brand’s part to figure out what will work.

Keep reading here.—JS

COMMUNITY

Coworking with Renee Caceres

Renee Caceres

On Wednesdays, we ~~wear pink~~ spotlight Retail Brew’s readers. Want to be featured in an upcoming edition? Click here to introduce yourself.

Renee Caceres is head of retail media at digital advertising platform StackAdapt.

How would you describe your job to someone who doesn’t work in retail? Did you notice an ad for the cereal you’re almost out of while checking the score of last night’s game? Or when you were watching Hulu? Or when you were scrolling through your phone? Did you click on it? Did you buy it from your favorite retailer? You’re welcome.

One thing we can’t guess about your job from your LinkedIn profile? You might have guessed it, but let me confirm—this is one of the smartest, most collaborative groups of changemakers I’ve ever had the privilege of working with. What you wouldn’t guess from LinkedIn is the depth of innovation, heart, and pure grit that goes into our day to day. It’s a place where no two days look alike, that keeps me on my toes and constantly learning. Behind the scenes, we push each other to rethink challenges, pivot when we need to, and build where we can instill change. Our ethos is service, speed, and innovation and there’s a collective drive to see each other succeed both personally and professionally.

What’s your favorite project you’ve worked on? Hands down it was Fashion Week + Starbucks Frappuccino with PepsiCo.

Keep reading here.—EC

Together With The Ibotta Performance Network

Retail as old as time. Change is a-comin’, and tracking retail’s constant evolution starts with keeping an eye on its trends. That’s why Ibotta gathered seven retail trends to watch in 2025. From tech to social commerce to—yes—AI, you can check out Ibotta’s full 2025 predictions report right here.

EVENT

Add to cart

Morning Brew

Retail is evolving fast—are you keeping up? Join us live in NYC or via livestream on July 23 for expert insights and strategies to tackle ad fatigue, rising costs, and customer loyalty. Learn from top brands as we break down data-driven growth, smarter inventory management, seamless customer experiences, and effective omnichannel strategies. Grab your early bird ticket now and save!

Quarter Century Project

Marco Bertorello/Getty Images

From Walmart.com’s debut (2000) to Amazon Prime’s launch (2005) and the rise of social commerce, retail has transformed in ways we never imagined. This quarter-century project explores the defining moments that reshaped shopping, supply chains, and consumer engagement. See how the past fuels the future of retail.

Check it out

SWAPPING SKUS

Today’s top retail reads.

Dye trying: Spice maker McCormick & Co. is working with food brands and restaurants to formulate products away from food dyes as Health and Human Services Secretary Robert F. Kennedy Jr. has warned of his plans to ban artificial dyes. (Bloomberg)

Under surveillance: As the Trump administration has pulled back on FTC efforts to crack down on retailers’ use of surveillance pricing, California lawmakers have introduced a series of bills to combat the issue. (Fast Company)

Follow suit: Kroger has countersued Albertsons, claiming the grocer collaborated in secret with C&S Wholesale Grocers to undermine their deal to merge. (Progressive Grocer)

Don’t mind if KP-I do: With Listrak’s 2025 Cross-Channel Benchmark Report, see the SMS and email benchmarks, KPIs, and takeaways lead retailers and brands use to stay ahead of the competition. Get it here.*

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