蘑菇AV

The entire US EV market鈥攁nd the broader auto industry鈥攆ace mounting headwinds. A limited market: Many consumers pulled forward their vehicle purchases in late 2024 and early 2025, anticipating price hikes from looming tariffs. That demand surge has left automakers and dealers with a thinner pool of potential buyers this quarter.

The insight: The vast majority鈥�80%鈥攐f automakers鈥� $30 billion tariff costs next year will be passed along to the consumer, according to a report by AlixPartners. The consulting firm expects car prices to rise by $1,760 on average鈥攚hich will slash US auto sales by 1 million over the next three years. Our take: Cars are an essential expense for a majority of Americans. But as the cost of ownership (including insurance, maintenance, and gas) rises, more consumers will be forced to cut spending in other areas. Those pressures could be particularly acute for households that rushed to buy vehicles before tariffs kicked in and are now struggling with higher monthly payments they hadn鈥檛 fully planned for.

The RSM US Middle Market Business Index fell almost 19 points in Q2, its biggest drop since the pandemic. While the index is still in expansion territory (for now), gross revenues and net earnings declined for about a quarter of respondents. Many are delaying capital expenditures and reducing hiring in a bid to manage expenses. With margins lean, many businesses have had no choice but to raise prices.

Retail and commerce media were huge topics at last year鈥檚 Cannes Lions festival, and this year, the festival is doubling down on the channel by introducing a new retail media sub-category in the Media Lions and Creative Commerce Lions awards. However, 鈥渢he tone is definitely shifting鈥� as the industry matures鈥攁nd faces the threat of tariff-related impacts, according to our analyst, Sarah Marzano.

Nearly two-thirds of US consumers (61%) are worried that tariffs will affect their Christmas celebrations by limiting the availability of decorations, toys, and electronics, while making affordability more challenging, per a survey conducted by Ipsos for the American Christmas Tree Association.

Stay tuned: Our Retail & Ecommerce Q1 Earnings Report will unpack challenges facing mass merchants, grocery, and other retail sectors.

The news: Shein鈥檚 and Temu鈥檚 influence in the US is fading quickly as both companies cut ad spending and look to Europe for growth. Our take: Shein and Temu are finding that the billions of dollars they plowed into US advertising have not been enough to secure US customers鈥� loyalty in the face of higher prices. But rather than find ways to extend the longevity of their US businesses, both companies are fleeing to Europe to take advantage of the (currently) more favorable trade environment.

Chinese consumers鈥� travel spending softened during a recent holiday: That鈥檚 a clear sign that confidence is strained due to trade tensions with the US.

In-store AR innovations present a strong case for investment even before broader consumer AR adoption, because of the power to transform retail into experiential spaces that drive traffic, engagement, and ultimately conversion rates. Click here to view our full forecast for US virtual and augmented reality users.

The situation: Strong performances in ecommerce and pharmacy helped Albertsons beat top- and bottom-line expectations despite continued pressure across the grocery industry. Albertsons is also winning over more shoppers by making its loyalty program more rewarding and easier to use. Membership rose 14% in the quarter thanks to more deals, simpler ways to earn points, and bigger cash-back perks. Our take: Consumers remain laser-focused on value, especially at the grocery store. While food inflation has eased since the sharp spikes of 2021 to 2023, the impact of those increases鈥攑lus the threat of new tariff-driven price hikes鈥攈as shoppers watching their grocery bills closely. Albertsons鈥� 14% growth in loyalty membership last quarter signals just how eager consumers are for savings. With more people eating at home to stretch their dollars, Albertsons鈥� value-focused approach helped it outperform expectations and could drive strength in coming quarters.

Expanding packaging formats can be costly, and even efficient rollouts face an uphill battle for limited shelf space at retail. Our take: Offering more packaging options is a smart way for CPG brands to stay competitive in a value-focused environment. Offering more pack sizes is a smart move given consumers鈥� razor-sharp focus on value. But execution matters.

The brand has generated almost $500 million in sales since launching last year, Rainey said in early June, thanks to its low price point (70% of items retail for less than $5) and enticing array of items, which includes items like beef bulgogi empanadas and tiramisu gelato. Overall, Walmart鈥檚 more trend-focused private label assortment has helped it profit from Target鈥檚 decline.

Amazon and Walmart dominate the landscape, but the other half of US ecommerce sales is still up for grabs.

The impact: In an exclusive interview with 蘑菇AV, Valley Bank鈥檚 executive vice president and head of retail banking Mark Beausoleil said, 鈥淲e鈥檝e seen a lot more people walking in.鈥� And though it isn鈥檛 the biggest bank in the city, 鈥減eople walking by 鈥� now know who Valley is鈥� and have a better understanding of what it could offer them.