Retail News

The Backroom: Dynamic pricing and the anxious consumer

Reported by Retail Dive, Retail Dive Staff on Oct 29, 11:46 AM ET

With the holidays approaching, consumers are zeroed in on price now more than ever — and Walmart is taking the heat. Welcome to The Backroom, a window into what goes on behind the scenes as the Retail Dive team covers the stories and trends reshaping retail. You can check out all our podcast episodes (past and present) here and listen on Apple Podcasts , iHeartRadio , Spotify and now YouTube .

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Retail DiveOct 29, 12:58 PM ET
Fanatics revamps outfit curation tool with OpenAI
A new version of the retailer’s Shop the Look tool generated 10% higher engagement in a pilot. Fanatics tapped OpenAI to underpin the digital infrastructure needed to revamp the Shop the Look tool. Following the retailer’s pilot of recommendations across about 30,000 MLB products, the OpenAI-supported tool has generated a 10% higher engagement than its previous version, the release noted. The Fanatics partnership is just the latest in a series of ventures OpenAI has worked on in recent months, aimed at courting consumers and retailers alike.
Retail DiveOct 29, 12:32 PM ET
Most consumers aren’t using AI for product discovery, yet
Retailers should consider the quality of their metadata to prepare for a predicted upswing in AI usage, new research finds. AI is an ascendent, if not yet commonplace, discovery channel for consumers, according the AlixPartners’ 2026 Consumer Sentiment Index. AI adoption varies by generation and income, but is still low across the board. The majority of consumers also said they aren’t ready to hand the actual purchase over to an AI agent. Despite this, the report predicts a forthcoming uptick in adoption, particularly for commoditized goods.
Retail DiveOct 29, 12:13 PM ET
Heydude wants to sell more in North America, but is unlikely to open new stores
The brand returned to growth in Q3 compared to its weak results last year, thanks largely to wholesale revenue from retail partners. Namesake Crocs is by far the bigger brand in this portfolio, but signs of life at struggling Heydude were capturing much of the attention Thursday. “The Heydude brand achieved its long-awaited return to growth in Q3,” Nikic said in a research note. On a call with analysts, Crocs CEO Andrew Rees said the “quarter marks an important inflection for the Heydude brand” and serves as an endorsement of the company’s three-pillar strategy.
Retail DiveOct 29, 11:51 AM ET
DoorDash to buy Instacart for $17B
The deal marks the consolidation of two major players in the retail delivery industry. In announcing their plans to combine, DoorDash and Instacart said that the acquisition would help their retailer partners, both large and small, better reach customers with innovative technology. DoorDash said it expects to retain Instacart’s brand, enterprise technology products and app. Until the transaction closes, the companies will continue to operate separately. Founded in 2013, DoorDash initially grew its business as a restaurant delivery provider and expanded into grocery and nonfood delivery in recent years.
Retail DiveOct 29, 11:49 AM ET
FTC orders Target, Walmart to provide details in personalized pricing inquiry
The agency sent the order to nine companies to examine how personal data is being used, even through loyalty programs, to potentially alter price tags. The orders — which were also sent to several airline companies, ride-sharing firms and food delivery entities — require the retailers to provide details to help assess if the “pricing for a ticket, ride share, food delivery or other product or service varies from one person to the next” based on analysis of personal data from artificial intelligence and more.
Retail DiveOct 29, 11:35 AM ET
Consumer confidence edges up on decline in gas prices: Conference Board
“The mood among consumers remains pretty bleak,” Pantheon Macroeconomics Chief U.S. Economist Samuel Tombs said. Relentless price pressures have undermined real incomes and strained household budgets for several months, influencing the outlook of voters with the approach of the Nov. 3 mid-term elections. Measures of the mood among consumers — including surveys by the University of Michigan and New York Fed — have traced a decline in sentiment since February, when air strikes by the U.S. and Israel against Iran led to a reduction in the supply of crude oil, pushing up fuel costs.

More Retail News

Fanatics revamps outfit curation tool with OpenAI

Most consumers aren’t using AI for product discovery, yet

Heydude wants to sell more in North America, but is unlikely to open new stores

DoorDash to buy Instacart for $17B

FTC orders Target, Walmart to provide details in personalized pricing inquiry

Consumer confidence edges up on decline in gas prices: Conference Board