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Germany takes Amazon to task over price controls.

Hello, it’s Thursday, and Louis Vuitton is apparently selling a “Chocolate Egg Bag” made entirely of, well, chocolate. Designed by celebrated pastry chef Maxime Frédéric, its shells are made from 70% dark chocolate with 40% milk chocolate zipper pulls and handles. At a mere $250, it sounds like a pretty sweet deal to us.

In today’s edition:

—Alex Vuocolo, Vidhi Choudhary, Jeena Sharma

STORES

Stack of Amazon Prime delivery boxes

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Germany’s Federal Cartel Office, or Bundeskartellamt, has issued a statement claiming Amazon’s price-setting practices likely violate the European Union’s antitrust laws.

According to the agency, the e-commerce giant does not allow third-party sellers to price their products above a certain limit.

“As Amazon directly competes with the Marketplace sellers on its platform, influencing its competitors’ pricing, including in the form of price caps, is inherently problematic from a competition perspective,” Andreas Mundt, president of the Bundeskartellamt, said in a statement.

  • Amazon’s Marketplace comprises 60% of online sales in Germany, making the company a hugely consequential player in the country’s e-commerce space.

Mundt added that these caps become even more problematic when sellers are unable to cover their costs—a scenario that could become more likely if global tariffs raise prices.

The agency said Amazon employs algorithmic price control mechanisms that in cases where an offer is classified as a “pricing error” will automatically remove items. And for offers classified as “significantly high prices” or “uncompetitive prices,” the mechanism could limit access to the item by not displaying it in the Buy Box or restricting its presence in search results.

Keep reading here.—AV

Presented By Bloomreach

RETAIL MEDIA

Reddit app logo

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Reddit recently rolled out its main shopping ad solution, Dynamic Product Ads (DPA), to all advertisers globally with the expectation to make shopping a big part of the social media platform.

Reddit launched DPA in beta in 2024. This year, the companies testing the new ads with their regular campaigns saw double the return on their ad spend compared to standard ads alone, the platform said. Plus, there are now four times as many product catalogs running on Reddit compared to a year ago.

DPA works by automatically creating personalized ads for each user. It pulls products straight from a company’s catalog and figures out which products to show to which user based on what they’re interested in and what conversations they’re having on Reddit. The ad tool uses AI-powered product matching with real-time catalog data. It combines on-platform engagement plus off-platform behavior for precise targeting.

Reddit’s new ads are similar to personalized product ad solutions offered by other major ad platforms like Amazon’s sponsored product ads and Google’s performance max ad units.

Keep reading here.—VC

E-COMMERCE

summer pool fun

Fg Trade/Getty Images

Shopify shoppers embraced a summer state of mind in May. Consumers prioritized orders for everything from baking supplies to pool skimmers to group tents and bookshelves.

Making bread was top of mind, with orders for breadmakers popping 533%, per the latest data from Shopify shared first with Retail Brew. Orders for cookware and bakeware combo sets jumped 266%. Shoppers also purchased pizza pans (up 115%) and pie and quiche pans (up 98%). Casserole dishes and bread and pastry dough orders rose 79% and 50%, respectively.

Keep reading here.—VC

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SWAPPING SKUS

Today’s top retail reads.

Troubled waters: Why Procter & Gamble is eliminating 7,000 jobs. (the New York Times)

Skin in the game: TikTok’s favorite apparel and home goods retailer Quince is now betting on skin care. (Business of Fashion)

Short run: Shein and Temu see major consumer spending pullback with the end of the de minimis exemption. (CNBC)

Here’s what you missed: Bloomreach just launched seven new agentic AI features at Innovation Fest. Watch the event on demand to learn how Bloomreach is empowering brands to automate campaigns with a single prompt. Tune in.*

*A message from our sponsor.

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