Amsterdam Associates, Inc.

The fast fashion industry is being forced to slow down as it confronts rising tariffs, the end of the de minimis exemption, and a shift in consumer behavior favoring secondhand purchases. Maggie Barnett, CEO of LVK Logistics, emphasized these challenges in an interview with Retail Brew and a recent LinkedIn post.   Barnett noted that retailers previously leveraged the de minimis loophole for 20%–35% cost savings, enabling the fast fashion model of low-cost, high-volume merchandise, but with that advantage gone, she warns the traditional model is “financially unsustainable.”   To adapt, Barnett advises retailers to diversify supply chains beyond China and Vietnam, focus on “timeless basics” instead of fleeting trends, and embrace pre-sale models to validate consumer demand before production.   “The brands that will thrive in this new era will be those rethinking their entire approach to inventory”… Barnett stated, “the old model of overproduction and discounting will be financially unsustainable.”   In the interview, Barnett predicted consolidation in the industry, with many smaller retailers potentially folding or merging, especially those lacking strong brand identity or loyal followings. She emphasized the need to build community-driven brands and explore wholesale partnerships with established retailers like Nordstrom.   Barnett also encouraged smarter inventory management, such as pre-sale orders and small-batch production for trendier items, and slower shipping (e.g., freight) for evergreen merchandise.   “Retailers must embrace leaner, demand-driven models to stay competitive in a rapidly evolving market” –Barnett’s call is action is clear.   #FastFashion #RetailTrends #MaggieBarnett #LVKLogistics #SupplyChainStrategy #SustainableFashion #RetailInnovation #ConsumerBehavior #SecondhandShopping #RetailIndustry #InventoryManagement #FashionRetail #RetailNews #PresaleModel #TimelessFashion

The impact of Trump's "Liberation Day" tariffs is creating uncertainty across the retail and fashion industries. These tariffs, including a 34% levy on goods made in China and a 46% tariff on Vietnamese products, are severe enough to potentially disrupt existing business plans for many retailers. While luxury goods might experience less fallout compared to more price-sensitive products, the overall economic impact of the tariffs could affect the entire industry. Wall Street reacted negatively, with major consumer stocks like Amazon, Walmart, and Procter & Gamble losing significant market value. Brands like Nike and lululemon; however, benefitted somewhat from hopes of tariff relief from Vietnam, where tariffs on U.S. goods could be reduced to zero. Retail Advisor Sonia Lapinsky from AlixPartners urged CEOs not to make hasty decisions yet, but to focus on scenario planning and understanding the potential impact on margins. "Retailers need a tariff war room," Lapinsky emphasized, “advocating for data-driven decision-making to prepare for whatever comes next”. The uncertainty surrounding the tariffs has led to a state of "shock and awe," with industry experts like Brian Ehrig partner at Kearney emphasizing that relocating production or supply chains will take time and might not be viable under current circumstances. Furthermore, many companies are expected to pay close attention to Trump’s policies, as his trade strategies are rapidly becoming a reality. Luxury goods are facing price increases due to new tariffs, though some brands are managing these hikes in ways that minimize consumer backlash. For example, European luxury brands are adjusting prices by absorbing some of the additional costs at the wholesale level. Gary Wassner, CEO of Hilldun Corporation, highlighted the difficulty brands face as they may need to absorb tariff costs for several months before renegotiating with suppliers. The unpredictability of trade policy is creating a "wait-and-see" attitude, which could impact spending and could slow down the pace at which retailers pay vendors. Despite these concerns, some brands are sticking to their usual pricing strategies, with no major moves in response to the tariffs. Retailers like Bob Mitchell from Mitchells Stores and Ken Giddon, owner of Rothmans noted that while tariffs hurt, the more significant concern is the overall economic slowdown, which could significantly affect consumer behavior. In this environment, the key to navigating tariffs will be collaboration between brands, licensees, and retailers. Carolyn D’Angelo, who oversees the global, eponymous fashion and lifestyle brand Nicole Miller, emphasized the need for close cooperation with licensees to maintain product quality and to offer value to consumers, while balancing the increased costs. This collaborative approach could help mitigate some of the damage caused by tariffs and keep the end consumer engaged.

Trump’s Administration's new tariffs are creating significant challenges for retailers, with widespread impact on global supply chains and consumer behavior. As retailers brace for these changes, they are forced to adjust pricing strategies, reevaluate supply chains, and navigate a more complex trade environment. Several analysts from EMARKETER, including Blake Droesch, Suzy Davidkhanian, Matteo Ceurvels, and Paul Briggs, have weighed in on the implications. Droesch emphasized that U.S. retailers should prepare for erratic shifts in consumer spending as inflation and tariff-related price increases hit essential goods. Consumer sentiment remains fragile, with lower-income shoppers expected to shift spending patterns as prices rise. Davidkhanian noted that consumers are adopting a "wait-and-see" approach, due to uncertainty surrounding tariffs. Consumer sentiment, measured by the University of Michigan's Index, has continued to decline, making consumers less willing to spend on discretionary goods. The tariffs are also reshaping trade relationships in North and South America. In Latin America, U.S. brands face a competitive disadvantage, particularly in countries like Mexico and Brazil, as rising costs and supply chain disruptions take hold. Ceurvels suggests U.S. retailers will need to adjust pricing strategies, reevaluate supply chains, and enhance brand loyalty to compete with local, Asian, and European players. In Canada, retailers are advised to explore new buying and selling channels with domestic partners or stable trade agreement countries to avoid tariffs. Briggs recommends capitalizing on the growing "Buy Canadian" sentiment to help mitigate challenges. As retailers move forward, the key to success will be value-focused strategies. Retailers who can protect margins without alienating price-sensitive consumers and develop alternative supply chains with stable trade partners will have the advantage. Ultimately, the retail sector must navigate a tough road ahead, with consumer sentiment remaining fragile and costs rising across the board. Droesch notes that the future will be challenging for retailers, requiring resilience and strategic adjustments. #TrumpTariffs #RetailChallenges #GlobalTrade #ConsumerBehavior #SupplyChainDisruptions #RetailStrategy #Retailers #RetailMargins #LatinAmericanMarket #BuyCanadian #TariffImpact

Tariffs announced this April sent shock waves through the retail and global sectors, causing significant drop in stock prices. Many retailers are struggling to stay afloat with this move, which includes a 10% baseline tariff on international imports and higher rates on specific countries, which threatens to exacerbate challenges that retailers are already facing with inflation impacting consumers' budgets and rising unemployment. Tariffs are particularly painful for retailers such as Target, Best Buy, Kohl's, Macy's, @RH (Restoration Hardware), and Wayfair, that rely heavily on overseas manufacturing. Products imported from China, Vietnam, and Mexico, which account for a large portion of their inventories, are now subject to tariffs of up to 54%, with other countries facing similar increases. These new costs may lead to price hikes for consumers, further shifting spending toward essential goods and putting additional pressure on already struggling retail businesses. Several retailers saw dramatic drops in stock prices on April 3rd. RH was down 40%, Five Below fell 28%, Wayfair dropped 26%, Gap Inc. lost 20%, and Urban Outfitters was down 18%. Even larger retailers like Kohl’s (down 23%) and Macy’s (down 14%) saw major losses, with Kohl’s particularly impacted by private-label apparel sourced overseas. Target, more insulated than competitors like Walmart due to its higher percentage of grocery sales, even saw an 11% drop in its stock price. Best Buy, which sources 60% of its products from China, dropped 18%, with CEO Corie Barry acknowledging that price hikes are inevitable due to tariffs on imported goods. As tariffs disrupt supply chains and increase costs, the retail sector may face further instability, with some retailers possibly heading toward bankruptcy if relief doesn’t come soon. The landscape is changing rapidly even as we post this article and caption with updates that may differ from this content. #TariffsImpactRetailers #RetailStruggles #Target #BestBuy #Kohls #Macy's #RetailMarket #ConsumerPrices #SupplyChainChallenges #Ecommerce #PrivateLabelGoods

H&M CEO Daniel Ervér has cautioned that U.S. import tariffs will lead to higher prices for American consumers as the retailer adapts to new trade barriers. With China and Bangladesh as its key manufacturing hubs, H&M faces additional 20% tariffs on Chinese imports and potential new tariffs on Bangladesh under upcoming "reciprocal" measures set for announcement last April 2. As the U.S. remains H&M’s second-largest market, the retailer is actively adjusting its supply chain to shift production to less affected countries, while maintaining product quality; however, Erver emphasized that tariffs ultimately hurt consumers and undermine fair global trade. Despite ongoing uncertainty, H&M is monitoring developments closely, recognizing that trade policies remain a "moving target" with unpredictable consequences for retailers and shoppers alike. #RetailNews #Tariffs #GlobalTrade #HM #FastFashion #RetailEconomy #TradePolicies #SupplyChain #USMarket #ConsumerPrices #RetailIndustry

Retail is far from declining—it’s evolving rapidly. At Shoptalk 2025, over 10,000 retail executives, tech innovators, and brand marketers gathered to discuss the industry's future. Joe Laszlo, head of content at Shoptalk, highlighted five key trends shaping retail’s resurgence: 1. Customer Centricity as a Business Imperative: Retailers must prioritize customer needs to remain competitive. Claire's, the tween-focused retailer, has embraced this by involving Gen Alpha in shaping store designs and content. 2. Physical Retail as a Growth Engine: The divide between bricks-and-mortar and e-commerce is disappearing. Wayfair’s physical stores are driving regional online sales, while Primark thrives with an in-store-only model in the U.S., emphasizing tactile, value-driven shopping experiences. 3. AI’s Shift from Generative to Agentic: AI is no longer just about content creation—it’s driving actions. Wayfair’s AI tool, Muse, enhances design experiences, while Kroger uses AI to detect shifts in wellness trends. Reddit is influencing AI-driven search with its human-led data. 4. Retail Media as a Major Revenue Driver: Retailers are evolving into media powerhouses. Kroger’s media arm (KPM) leverages decades of shopper data, and Albertsons is considering acquiring traditional media firms to expand its influence. 5. Trust as the Ultimate Growth Strategy: Transparency and reliability are fueling retail success. Back Market wins with clear pricing and policies, Reddit fosters trust through authentic community interactions, and even SHEIN is working to increase supply chain transparency. Retail’s transformation is well underway, proving that innovation, customer focus, and trust will define the industry’s next chapter. #RetailTrends #RetailInnovation #ShopTalk2025 #RetailMedia #CustomerExperience #RetailAI #RetailGrowth #EcommerceStrategy #RetailLeadership #RetailMarketing #RetailTechnology #BrickAndMortar #RetailTrust #AIinRetail #RetailTransformation

Kristin Shane has been named REI Co-op’s new chief merchandising officer where she will develop and implement strategies across their merchandising categories to drive sustainable business growth and enhance REI members experiences. Shane most recently served as chief merchandising and marketing officer at Guitar Center and brings extensive retail experience to the position. Previously, she spent over four years at Petco, two years as chief merchandising officer, and also held various leadership roles for more than a decade at Target, including VP and merchandise manager of the beauty and personal care category. “We’re thrilled to welcome Kristin to the co-op,” said Mary Beth Laughton, REI Co-op president and CEO, who officially assumed her role in March. “Her leadership and decades of experience working with an array of consumer and retail brands is sure to inspire innovation and play an instrumental role in furthering our mission to help people get outdoors.” As chief merchandising officer, Shane will oversee teams focused on identifying new category and brand opportunities, enhancing regional and local product relevance, strengthening brand relationships, and expanding REI’s private-label offerings. REI, headquartered near Seattle, has a community of 24 million members and operates approximately 185 stores in 42 states. #REI #KristinShane #RetailLeadership #OutdoorRetail #MerchandisingStrategy #RetailNews #CLevelExecutive #RetailIndustry #OutdoorGear #RetailInnovation #RetailGrowth #BrandStrategy #SustainableRetail #RetailTrends #REIMerchandising #OutdoorLifestyle #RetailMarketing #RetailBrands #RetailLeadershipMoves #RetailUpdates

At Shoptalk 2025, the premier e-commerce and retail conference, AI was the dominant theme, but generative AI adoption remains surprisingly low. Lutz Finger, a Silicon Valley AI expert and faculty member at Cornell, analyzed 683 vendors and found that while 40% claim to use AI, only 25% explicitly mention generative AI. Strikingly, just more than 1% of vendors are leveraging multimodal AI for true personalization.    Despite generative AI’s potential to revolutionize e-commerce—offering 1:1 personalization beyond static templates and filters—most retailers have yet to fully integrate it. Among the 1% of vendors pushing the boundaries, six are startups, highlighting that disruption is still in its early stages. With AI driving much of retail’s innovation, the slow embrace of generative AI raises questions about the timeline for real transformation in the industry.    Finger notes that if generative AI isn't widely visible at ShopTalk, it may be further off than expected, likening the situation to the long-promised rise of self-driving cars. However, as startups continue to push the envelope, the evolution of AI in e-commerce and retail remains one to watch.   #ShopTalk2025 #EcommerceInnovation #RetailTech #AI #GenerativeAI #RetailIndustry #Personalization #StartupTech #FutureOfRetail #AIinRetail

Andrea Albright, executive vice president of sourcing at Walmart and operating partner for Massmart, was featured in an episode of Women in Retail Talks with Women in Retail Leadership Circle Co-Founder Melissa Campanelli. As one of the 2025 Top Women in Retail honorees, Albright discussed Walmart’s approach to operational efficiency, emphasizing trust, value, and resiliency. She highlighted the challenges of communication across global operations and mentioned her use of the Radical Candor leadership technique to foster transparency and collaboration.     Albright shared her perspective on empathetic feedback as a leadership tool and provided an example of Radical Candor in action. She discussed how she cultivates an open, coachable environment for mentorship and reflected on a key leadership lesson that transformed her approach. Additionally, she touched on current product sourcing trends which is what she enjoys most about the retail industry.    Since joining Walmart in 2005, Albright has played a vital role in merchandising, people operations, and global sourcing, leading teams focused on delivering quality products at competitive prices. She has been recognized as an International Women's Forum’s fellow and one of the Most Powerful Women Next Gen Fortune honorees.    Albright holds dual master’s degrees in Business Administration and Human Resources Development from the University of Arkansas and a Bachelor of Science in Apparel and Textile Science from Kansas State University. She actively serves on multiple boards, including the Zero100 Advisory Board, Walmart Foundation Board, and university alumni boards. She resides in Bentonville, Arkansas, with her husband, Patrick, and their children, Mackenzie and Liam.   Listen to the podcast by following the link below to hear Albright’s approach. https://lnkd.in/dmu-syWG   #RetailLeadership #WomenInRetail #ExecutiveLeadership #RetailIndustry #RetailInnovation #GlobalSourcing #Merchandising #SupplyChain #LeadershipDevelopment #CareerGrowth #RadicalCandor #Mentorship #WomenInBusiness #TopWomenInRetail #Walmart #Massmart

Macy's has appointed Daniel Leppo, senior vice president and general merchandising manager for men’s and children’s merchandise. Leppo replaces Sam Archibald and will report to Macy’s chief merchant, Nata Dvir.  Leppo, has held various leadership positions at the luxury retailer, including executive vice president and general merchandise manager for men’s and kids, as well as home, and prior to that, leading women’s and intimate apparel, having begun his career 30 years ago as an intern. Bloomingdale’s is determining how to manage his departure.     Leppo’s hiring aligns with Macy’s ongoing merchandising upgrades, particularly at locations poised to remain open amid the company’s planned downsizing. Under CEO Tony Spring, Macy’s announced in February 2024 that it would close 150 locations over three years. Other retailers, undergoing merchandising improvements have seen better performance.  Those slated to remain open have experienced a 1.2% increase in comparable sales during the holiday quarter, compared to a 0.5% decline at other locations. Overall, Macy’s net sales fell 5.3% in the period, with comparable sales down 0.9%.   Adrian Mitchell, Macy’s chief operating officer and chief financial officer, recently told analysts that the company expects gross margins to improve through better inventory control and merchandising strategies. This includes expanding product variety, introducing new brands, and reducing redundant styles across labels. Dvir emphasized Leppo’s deep expertise in men’s fashion, strong vendor relationships, and industry connections, positioning him as a key figure in Macy’s merchandising evolution and having a strategic effect on the future of its business.   #RetailIndustry #RetailNews #DepartmentStores #RetailLeadership #RetailTrends #LuxuryRetail #Merchandising #FashionMerchandising #RetailMerchandising #ProductStrategy #InventoryManagement #BrandStrategy #LeadershipMoves #ExecutiveLeadership #RetailExecutives #CareerGrowth #BusinessLeadership #Macys #Bloomingdales #RetailCareers #RetailTransformation