McDonald's Mideast pain, Walmart's new thing, and Aldi wins inflation: Retail news roundup
Wendy’s said it’s being careful about pricing, likely in an effort to avoid the public relations fiasco of February. McDonald’s is seeing a slowdown in sales, which it is chalking up to consumers in the U.S. being more “discriminating with every dollar.” And Walmart plans to close its health centers, while simultaneously launching its own premium grocery brand.
Meanwhile, Peloton is trying to get back into the saddle through a partnership with Hyatt Hotels to provide it with 800 of its stationary bikes, and Yum Brands says consumers are spending less at its KFC and Pizza Hut divisions.
Wendy’s exec says it won’t ‘get too greedy’ with pricing, following its surge pricing debacle
Wendy’s doesn’t want another surge pricing debacle. The fast food restaurant chain said it has tapped an external pricing consultant “to make sure they’re making the right pricing decisions.”
McDonald’s is still getting hit by Middle East boycotts
A Big Mac and fries doesn’t appear to be capturing the attention of consumers for now. McDonald’s said the slowdown was in part due to consumers in the U.S. tightening their wallets — and others staging boycotts related to the Israel-Hamas war.
Walmart is closing its ‘unsustainable’ health centers
Walmart is closing all 51 of its health centers across five states and its virtual health care service due to a lack of profitability. The big-box retail chain cited a “challenging reimbursement environment and escalating operating costs.”
Walmart is launching its own premium grocery brand to compete with Trader Joe’s and Whole Foods
Walmart is stepping up its grocery game with a new line of trendy, chef-inspired foods, in its largest private brand food launch in two decades. But it really may just be trying to rival Trader Joe’s and Whole Foods.
Coca-Cola is getting a boost from higher prices
Coca-Cola’s consumers are making it pop, even if it costs them more. The beverage company reported better-than-expected first-quarter earnings on Tuesday, thanks in part to an increase in its prices.
Yum Brands stock is falling as KFC and Pizza Hut fail to attract customers
Cash-strapped consumers are not splurging on pizza and chicken, and that’s hurting sales at restaurant company Yum Brands. Meanwhile, its Taco Bell division is seeing just a slight jump in sales.
California fast food joints were raising prices even before the minimum wage hike, report says
Fast food restaurants in California have been increasing menu prices at a faster rate than anywhere else in the U.S. — and were doing so even before the state’s new minimum wage law went into effect, according to an analysis conducted by global food and beverage intelligence company Datassential. The new state law hiked the minimum wage to $20 on April 1.
Discount grocer Aldi is winning the inflation era
Cash-strapped consumers are flooding the aisles of discount grocer Aldi – giving it the boost it needs to emerge as a winner in the inflation era, the Wall Street Journal reported. The supermarket chain is seeing an increase in shoppers on the hunt for bargains.
Unilever sales are rising because beauty shopping is back
Shoppers are purchasing name-brand beauty products again, and that’s lifting sales at consumer goods company Unilever. Consumers are upping their purchases of Dove, Tatcha, and Vaseline products.
Fast-fashion giant Shein is the latest to face EU’s strictest digital regulations
Online fast-fashion retailer Shein will soon face stricter digital regulations from the European Union. Shein joins the ranks of Amazon, Meta, and TikTok, which are also on the trading bloc’s list.