Retail Brew // Morning Brew // Update
“Boneless” couches.

Hey there. As part of its turnaround strategy, Panera will begin slicing cherry tomatoes and avocado halves for its salads, after previously serving them whole to save on labor costs, CEO Paul Carbone told CNBC. We can’t wait for QSR execs orchestrating their own turnarounds years from now to regard their bright ideas as the best thing since sliced tomatoes.

In today’s edition:

—Andrew Adam Newman, Alex Vuocolo, Erin Cabrey

E-COMMERCE

A Rove Lab boneless sofa alongside the much smaller boxes that it was shipped in.

Rove Lab

Unboxing videos are popular for tech gadgets, cosmetics, and toys, but recently they’ve caught on for the most unlikely of products: couches.

“Boneless couches,” as they’ve come to be known on social media, have no internal wooden frames. Instead, like their mattress-in-a-box predecessors, they are constructed entirely of foam, then compressed and vacuum-packed in deceptively small boxes. When opened—as millions of TikTok, Instagram, and YouTube users have witnessed—they expand dramatically to assume their sofa forms.

Google searches for “boneless couches” and related terms were virtually non-existent before this year but, per Google Trends, are in full-throttle now:

The #bonelesscouch hashtag had been used on 13,200 TikTok videos, including one from @shellysharesdeals with more than 10.9 million views and another from @remi.and.the.beans with more than 10.1 million views.

While there are elements of luck and serendipity in viral trends, some furniture brands have been instrumental in starting and fueling this one.

Keep reading here.—AAN

Presented By SAP Emarsys

STORES

a shopping cart in a home depot garden center

Scott Olson/Getty Images

The Home Depot set a bleak tone on Tuesday as it kicked off a week of big box earnings. The home improvement chain said it expects profits to decline 5% YoY in 2025, as consumer uncertainty, pressure in the housing market, and a lack of revenue-driving storm activity in Q3 take their toll.

“Affordability is a word that’s being used a lot,” CEO Ted Decker told shareholders. “Layoffs, increased job concerns, etc., that’s why we don’t see an uptick in that underlying storm-adjusted demand in the business.”

However, over the same quarter consumers showed a willingness to buy costlier items, with comparable average ticket price increasing 1.8% and big-ticket comp transactions (purchases more than $1,000) increasing 2.3% YoY on the strength of categories such as appliances, portable power, and gypsum.

Keep reading here.—AV

COMMUNITY

A portrait of Dundee Growth Partners founder, Jennifer DiMotta

Jennifer DiMotta

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

Jennifer DiMotta is founder of retail consultancy Dundee Growth Partners.

How would you describe your job to someone who doesn’t work in retail? You know how a lot of great products never quite make it big? My job is to fix that. At Dundee Growth Partners, we work with founders to scale emerging consumer brands into category leaders. We focus on smart, profitable growth across e-commerce, Amazon, and wholesale. I think of it like being both coach and architect—we help design the blueprint for growth, then stand on the field with founders to execute it, so their business can move from scrappy startup to a sustainable, $20-million-plus brand.

One thing we can’t guess about your job from your LinkedIn profile? One thing you wouldn’t guess from my LinkedIn is how much of my work is about being in the trenches with founders. Yes, I build growth strategies—but I’m also coaching them as leaders, rolling up my sleeves on product margins and marketing, and aligning their teams and investors so everyone is pulling in the same direction. It’s equal parts strategist, coach, and operator.

What’s your favorite project you’ve worked on? One of my favorite projects was helping a founder with a great product who felt stuck in the low millions.

Keep reading here.—EC

Together With National Retail Federation

FROM THE CREW

discount

Amelia Kinsinger

Holiday discounts are disappearing, but strategy is taking center stage. Explore how retailers are managing inventory constraints; testing alternative incentives like buy now, pay later; and leveraging AI tools to deliver personalized offers that keep shoppers engaged and spending smarter.

Check it out

SWAPPING SKUS

Today’s top retail reads.

Partnering up: As it leans into partnerships with third-party delivery companies like Instacart, DoorDash, and UberEats, Kroger is closing three e-commerce fulfillment centers, taking a $2.6 billion hit. (Reuters)

To the Maxx: TJX, the parent company of TJ Maxx, upped its full-year outlook from 3% to 4%. (the Wall Street Journal)

Jumping through dupes: MCoBeauty, the beauty brand known for its knock-offs of luxury products, has duped everything from Sephora shopping bags to Timothée Chalamet himself to market its low-priced versions of prestige beauty offerings. (the Hollywood Reporter)

Now trending: With trends now driving customer loyalty, traditional tactics don’t work. SAP Emarsys’ Customer Loyalty Index 2025 report surveyed 10k+ customers around the world to learn how customer loyalty is evolving. Read on.*

*A message from our sponsor.

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