Today In Retail: US Retail Sales Up 0.7% in August; Walmart Retains 10-to-1 Grocery Lead Over Amazon

In today’s top retail news, consumer spending saw an increase last month despite deflated consumer sentiment, and Amazon is still struggling to increase its share of food and beverage sales, the sole category where Walmart has a solid lead. Also, ShipBob is adding new features to expand its platform for eCommerce merchants, and Brilliant Earth charts a path for post-IPO growth.

Back-to-School, eCommerce Help Boost August Retail Sales by 0.7%

U.S. consumer spending unexpectedly rose 0.7% in August, reversing a slump in July and defying concerns that a surge in COVID cases and business restrictions would crimp consumption. Economists had been expecting a second month of declines but took the gains in retail as a sign that Americans were willing and able to spend as students prepared to return to the classroom.

Amazon’s Food Fight Fails to Minimize Walmart’s 10-to-1 Lead

Though Walmart has fallen slightly from a fourth-quarter high of over 20%, it still has a nearly 10-to-1 lead over Amazon, which failed to move the needle even during a pandemic that forced shoppers inside and accelerated adoption of eCommerce across nearly every sector. Food and beverage is a critical category for Walmart, accounting for 56% of all sales made in the second quarter; for Amazon, grocery made up just over 5% of sales.

ShipBob Expands Platform Ahead of Holiday Shopping

Global eCommerce fulfillment startup ShipBob is adding integrations with eCommerce customer service platform Gorgias and commerce solution Linnworks in its latest software update in a move meant to streamline operations for small and medium-sized businesses. ShipBob allows eCommerce brands to offer two-day delivery across the continental U.S. and recently added regional carriers across the country and expedited shipping from its U.S., Canadian and European fulfillment centers.

Brilliant Earth Says Millennials, Gen Z Key to Future Growth

Direct-to-consumer (D2C) jeweler Brilliant Earth says its path to growth after its expected public trading debut next week relies on omnichannel capabilities and a younger set of consumers — assuming it can overcome significant headwinds and a fragmented market. Millennial and Gen Z consumers collectively represent 87% of the brand’s active customers based on the company’s digital presence and emphasis on sustainability, both of which are resonant factors for younger shoppers.

Live Shopping Platform Whatnot Hits $1.5B Valuation

Live shopping platform Whatnot has raised $150 million in Series C funding, pushing the company into unicorn status with a $1.5 billion valuation. The platform began as a place devoted to standard resales, where people could go to get their Funko Pops authenticated and without as much emphasis on live shopping. But when COVID altered everyone’s lives and people began staying home, Whatnot pivoted to more live broadcasts and began seeing rapid growth.