Today’s news in brief-5/2/25
A Welsh fashion designer has taken Boohoo, and its affiliated brands PrettyLittleThing, Nasty Gal Limited, Misspap, and Debenhams, accusing it of copying her signature designs. Sonia Edwards claims that her designs, including a halter-neck bikini top, a rib organza mesh puff-sleeve top, a velvet ruched midi-skirt, a twist-front skirt, and leather-front ruched leggings, have been replicated without permission. Edwards has sought a court order to stop the importation or sale of these items, a declaration of copyright infringement, and compensation for damages. However, Boohoo’s legal team dismisses the allegations as nothing more than an “abstract cluster of features” that do not fall under copyright protection, with one barrister noting that similar complaints have been made by the designer for years.
Estée Lauder has announced a sweeping restructuring plan that will see the elimination of up to 7,000 roles globally. This strategic initiative is part of a broader effort to counteract falling net sales and shrinking cash flows—a downturn that saw the cosmetics retailer’s net sales drop by 6% to $4bn in the second quarter of 2024 and operating cash flows decline from $937m to $387m over six months. The restructuring, which includes pre-tax charges estimated between $1.2bn and $1.6bn, is expected to generate annual gross benefits of up to $1bn and restore the company’s operating margins.
The grocery sector is experiencing a buoyant start to the new year. According to the latest Kantar report, take-home sales increased by 4.3% in January, buoyed by a rising demand for wellness products and a notable shift toward healthier, less processed food choices. Consumers, squeezed by typical winter budget constraints, are taking advantage of increased discounts offered by supermarkets, with spending on promotions rising significantly. In a bid to cut costs, shoppers have increasingly opted for non-branded products, with own-label sales reaching a record 52.3% of the market. Notable trends include a surge in purchases of protein products, sports nutrition items, and low or no alcohol beverages.
The Very Group has ended a decade-long relationship with HSBC, transferring the management of its £1.8bn customer loan portfolio to Natwest. This change comes after HSBC’s controversial handling of a related logistics firm’s administration, which has now prompted The Very Group to reassess its financial partnerships. The company, which relies on customer loans for around 90% of its sales and has operated a long-standing securitisation facility, recently reported a modest year-on-year retail sales increase of 2.3% during the period ending 27 December 2024.
Amazon has reported record-breaking delivery times for its Prime members globally in 2024. The ecommerce giant has delivered more than nine billion items the same or next day worldwide, with over one billion such deliveries in the UK alone. Expanding its range of same-day services to include groceries and essential household items, Amazon’s investment in its logistics network is paying off.
