Good morning,

Amazon may be shaking up the retail calendar. The company is reportedly planning to move its flagship Prime Day shopping event from its traditional July slot to late June, a rare shift for the decade-old sales event.

The change would pull billions in discount-driven shopping into Amazon’s second quarter, as the company looks to stay ahead of rivals from Walmart and Target.

Let’s dive into today’s edition.

Amazon secured a temporary court injunction against AI startup Perplexity, blocking its Comet AI browser from accessing and scraping Amazon’s website without permission.

What’s the issue? The lawsuit, filed in November, accused Perplexity of concealing its AI shopping agents to bypass Amazon’s restrictions. The tool allowed users to ask the AI to find products on Amazon and even make purchases directly through the assistant.

The court ruled that Amazon provided “strong evidence” of unauthorized access, noting the company had already spent over $5,000 and significant employee time developing tools to block the AI agent. The temporary injunction will remain in place while the case continues, though Perplexity has been given a week to appeal the decision.

Target announced it is lowering prices on more than 3,000 products across categories, including apparel, home goods, baby items, and food, as shoppers prepare for the spring season.

Most of the price reductions range from 5% to 20% below original prices, with items including clothing, bedding, footwear, and everyday household essentials. The retailer said the move is aimed at helping budget-conscious families manage spending while updating their homes and wardrobes for spring.

The price cuts come at a time when Target is facing slowing sales and intense competition from retailers such as Walmart, Amazon, and Aldi. The company’s revenue has declined for five straight quarters, pushing its new CEO to focus on price reductions and value-driven promotions to bring shoppers back to stores.

Ulta Beauty will become the first U.S. specialty beauty retailer to launch on TikTok Shop, marking a new push into social commerce as the platform’s influence over beauty shopping continues to grow.

The TikTok storefront will launch with more than 15 brands, including Ulta exclusives such as Shakira’s hair-care brand Isima, Gen Z fragrance label Noyz, and UK makeup brand Made by Mitchell. Ulta also plans to promote products through shoppable livestreams and exclusive bundles, tapping TikTok’s creator-driven discovery engine to reach younger shoppers.

The announcement comes on the back of Ulta’s latest earnings, where the retailer reported strong Q4 sales but warned of slower growth ahead. Ulta posted 11.8% year-over-year revenue growth to $3.9 billion, but expects comparable sales growth to slow to 2.5%–3.5% in fiscal 2026, down from 5.4% in 2025.

U.S. e-commerce sales reached $316.1 billion in the fourth quarter of 2025, rising 1.7% from the previous quarter, according to the U.S. Census Bureau. The increase highlights how online retail continues to grow faster than the broader retail sector.

During the same period, total retail sales rose just 0.4%, underscoring the widening gap between digital commerce and traditional retail. Online purchases accounted for 16.6% of total U.S. retail sales, showing how deeply e-commerce has become embedded in consumer spending habits.

Data also shows that changing consumer behavior is helping drive the shift. Around 30% of consumers made an online purchase in the past month, up 13% year over year, as shoppers increasingly turn to digital platforms to compare prices and find deals.

Chinese collectible toy giant Pop Mart is pushing new characters as the viral Labubu craze begins to cool. While the doll remains central to the company’s business, fans are increasingly turning to newer figures such as Twinkle Twinkle, Skullpanda, and Crybaby, which are climbing sales rankings and commanding premiums on resale platforms.

Pop Mart sold more than 400 million toys in 2025, with about a quarter tied to the Labubu-led “The Monsters” series. New character Twinkle Twinkle generated 390 million yuan ($57 million) in global sales within the first six months of 2025, becoming one of the company’s fastest-growing intellectual properties. Analysts estimate it could reach about half of Labubu’s sales scale in China by 2026.

Despite the push for diversification, Labubu still drives a large share of demand. The character accounted for roughly 100 million dolls sold last year and more than half of Pop Mart’s overseas sales, according to analysts.

A Costco customer in Illinois has filed a lawsuit seeking a share of any refunds the retailer may receive from tariffs imposed under President Donald Trump’s trade policies. The case argues that if Costco recovers tariff payments from the government, customers who paid higher prices should receive compensation.

The lawsuit claims Costco could otherwise benefit from “double recovery”—first by raising prices to offset tariffs and later by receiving refunds from the government. The shopper, Matthew Stockov, said he paid higher prices on tariff-affected items, including electronics, appliances, food, and household goods.

Costco CEO Ron Vachris has said that any refunds would likely be passed on to customers through lower prices and better value, rather than as direct payments. However, the lawsuit argues that lowering future prices would benefit future shoppers instead of those who already paid the higher costs.

Lululemon founder Chip Wilson has intensified his criticism of the company’s board as the athleticwear brand continues its search for a new chief executive. In a letter to prospective CEO candidates, Wilson warned that the company’s problems stem from board governance issues rather than the leadership vacancy.

Wilson, a major shareholder, has been campaigning against the board since October, accusing it of weak oversight and poor strategic execution. He argues that the board has failed to preserve the company’s creative roots and translate the brand’s strengths into long-term success.

In the letter, Wilson reiterated the sweeping changes he believes Lululemon needs and promoted three preferred board nominees ahead of this year’s annual meeting. Earlier this month, he also launched a website to intensify his campaign against the company’s board.

Dollar General expects muted sales growth in fiscal 2026, signaling softer demand as financially stretched consumers cut back on discretionary purchases. The retailer forecast same-store sales growth of 2.2% to 2.7%, roughly in line with analyst expectations, while its shares fell about 7% in early trading following the announcement.

Despite the cautious outlook, Dollar General delivered strong recent results. Fourth-quarter same-store sales rose 4.3%, beating expectations, and the company reported earnings of $1.93 per share, above forecasts of $1.65.

Dollar General plans to introduce a new store format in 2026 designed to encourage browsing and “treasure hunting,” as the discount retailer looks to boost customer engagement and spending. The company is also preparing to pilot a subscription-based loyalty program, part of a wider strategy to strengthen customer retention and drive discretionary purchases.

Chinese e-commerce giant JD.com has launched its European online shopping platform Joybuy, marking a major push into international markets as it seeks to compete with Amazon and other Chinese rivals expanding overseas.

The platform is debuting in six European markets, including the U.K. and Germany, offering products from international brands such as L’Oréal Paris and De’Longhi. JD.com is betting on fast delivery and brand partnerships to stand out in Europe’s crowded e-commerce landscape.

Unlike rivals such as AliExpress and Temu, which ship goods directly from China through third-party sellers, JD.com is relying on its own logistics network and local warehouses to speed up deliveries. The company says customers in some areas can receive same-day delivery on orders placed before 11 a.m., with free shipping on orders above £29 in the U.K.