frozen yogurt is having its moment
+ the latest in consumer
So many things happening in CPG right now! some huge call-outs:
ELF acquires Rhode for $1B
As I’ve shown my love for ELF many times, I am yet again amazed to see the brand execute a major acquisition with Rhode. This acquisition means a lot for ELF. Though known for its deep vertical penetration in “drugstore” or “dupe” makeup, acquiring Rhode allows ELF to broaden its brand to stand for simple, minimalistic makeup that Rhode emphasizes. Additionally, ELF can now step into the mid-tier luxury beauty market, breaking into a previously considered “white space” for them.
David Protein raises $75M…and is now getting sued
Nothing says protein-forward more than a CPG brand catching this much funding in this confusing economic state. I didn’t think it was possible for another brand to disrupt the protein market this quickly. The brand used the funding to acquire Epogee, a food tech company making EPG, a plant-based fat alternative that helps provide flavor with fewer calories. This puts David way ahead of the market, but at a cost. Now the brand is getting sued because this acquisition is showing signs of monopolistic behavior. Nonetheless, 150 calories and 28g of protein is hard to beat…I can’t imagine that it takes like anything but chalk but I’ll have to get my hands on this soon.
Fro-Yo is coming back
I never would’ve believed frozen yogurt at Butterfield market, NYC’s closest thing to Erewhon, would be hitting the news. But I think it made everyone think about the last time they had frozen yogurt and why they stopped getting it. It truly does make sense that frozen yogurt is having a moment of virality, given that high-protein diets are all the rage right now. Threading the line of indulgence and health is a constant challenge for everyone, not Gen Z alone, so products that are able to deliver both are carving out a winning path forward. That being said, while I don’t have Butterfield Market, I will be making a trip to the closest Cherry Berry very soon <3
💡what’s up with gen z:
Labubu dolls are another nostalgia purchase trend
From American Girl Dolls, ZuZu pets, and Webkinz to now Squishmallows and Jellycats, another brand has entered the circle: Labubu dolls. These monster elves now symbolize a fashion status symbol for Gen Z. Pop Mart, the company that makes Labubus, reported a 170% YoY increase in revenue, with 9x sales growth in America alone. Revenue in 2024 was $1.8B, and celebrities, such as Kim Kardashian and Rihanna, are public supporters of the brand.
Respectfully, I don’t get the hype, but we listen and do not judge.
Got Milk? Yes.
I’m impressed that Gen Z isn’t afraid to revert to old habits of drinking whole milk again. NIQ data shares that whole milk is up 7.2% in sales compared to last year. Now that Gen Z is prioritizing a high-protein diet and natural foods, overly processed plant-based milks sound less and less appealing. The New York Times even stated that “whole milk” searches surpassed “oat milk” since 2020. Influencers are emphasizing “grass-fed, whole milk” in their What I Eat In A Day videos, convincing Gen Z consumers to incorporate whole milk back into their diet.
📰the latest in consumer:
food & beverage:
Misfits Market acquires The Rounds, a regional grocery delivery service for household essentials that uses sustainable packaging
Just Ice Tea is valued close to $200M
The origin story of this brand is incredible. The co-founders of Just Ice Tea actually founded Honest Tea, which Coca-Cola acquired in 2011. In 2022, Coca-Cola decided to discontinue the brand, so four months later, the co-founders re-entered the ice tea business with Just Ice Tea. Now it’s become one of the fastest-growing brands in the natural foods space.
An oldtime favorite YouTuber of mine, Ryan Trahan, is the co-founder of Joyride, a low-sugar candy brand, and recently raised $30M in equity funding
Mush just launched protein overnight oats - 15g of protein and nine flavors
Oatly’s Spring & Summer Lookbook just released and it’s incredible
Hershey just released Reese’s PB&J Big Cups
i’m SO excited about this
beauty & fashion:
Summer Friday’s just launched a new lip balm flavor…Guava!
D.S. & Durga launches its first men’s fragrance line and the names? Grey Blazer, Golf Jazz, Rum Bay Rum.
they did a killer job with these names and bringing Alix Earle in the campaign
+ good father’s day gifts!
True Beauty Ventures invests in Jupiter, a scalp hair care brand
Alli Webb, the founder of drybar, just launched a new hair brand called Messy
retail:
Williams-Sonoma has acquired Dormify, a college dorm decorating company
CVS recently did a brand refresh to modernize the brand and deliver more appeal through its packaging
🛍️things i’ve been loving:
Releasing a separate blog series on this because it deserves more space and love for my takes on my favorite (and not-so-great) CPG finds
Thanks for reading,
Sanjana
She has always been my moment 🙏🏼