These 8 retail trends are a must-watch in 2025
As wildfires continue to burn in Southern California, our thoughts are with everyone who has been impacted. Homes, jobs and businesses were lost within seconds and it’s not over yet, check updates here. Cash donations to the American Red Cross are urgently needed, and retailers from across the country have stepped up to provide essentials to those who lost everything. For impacted businesses, the SBA is providing disaster relief loans. We’ll continue to follow these stories in the weeks and months to come, as well as everything else you need to know this week, including a Q&A with Anna-Sophia Aguilar who runs a slow-fashion boutique in San Antonio.
[ RETAIL SPOTLIGHT ]
Boutique brings slow fashion and bold colors to the spotlight
In a charming adobe-style casita, built inside a multi-vendor market in San Antonio, Anna-Sophia Aguilar has transformed a small corner of her store into a vibrant showcase for MexiChicSA, a one-stop-shop for her curated collection of modern Mexican designs. The SKUpe sat down with Aguilar to learn how she’s grown her boutique from her mom’s living room during the pandemic to working toward opening a new location with a maker’s space. - Bianca Prieto, editor
How did launching during the pandemic shape MexiChicSA's growth and success?
We officially launched MexiChicSA in September 2020. Although we had been purchasing inventory well before that, the pandemic delayed our plans. Eventually, we realized that waiting for the "right time" wasn't an option, so we decided to move forward despite the uncertainty. To our surprise, the launch exceeded all our expectations. Since then our local news has featured us annually. The first time it happened we didn’t have our casita location yet and were operating out of my mom’s house. After that initial feature, there was a line outside our house, and my phone was buzzing nonstop. It was such a memorable moment and one of our first big milestones, it’s something I’ll always cherish.
How has MexiChicSA expanded its reach beyond the local market?
Sharing our products with as many people as possible was important, so we began by hosting live sales on Facebook and then on Instagram. We’ve joined TikTok, where we found even more ways to engage with our audience. Our unique, handmade items are often available in limited quantities, and going live allows us to connect with customers, share the story behind each piece and create a sense of community in real time. We also offer monthly website drops to keep the excitement going. One of the greatest advantages of modern marketing is the ability to promote your brand on social media for free. It’s an incredibly powerful way to reach and connect with a wide audience instantly.
How does MexiChicSA manage non-local sales and connect with online shoppers?
I’ve made it a personal goal to step out of director mode and get in front of the camera more frequently for live, virtual try-on events, giving customers a more authentic and relatable experience. During these sessions, I answer questions in real time and personally try on almost every piece we sell. This approach has been incredibly successful, as it helps customers visualize how items look and how they can be styled, creating a more interactive and engaging shopping experience.
How do artisans shape MexiChicSA's products and brand vision?
The artisans we partner with are the heart and soul of our business. Their knowledge, talent, and dedication to their craft are truly inspiring. I often say they have magic hands because everything they create is so beautiful and full of life. We’ve been fortunate to collaborate with them to design and bring incredible pieces to life. Beyond the work, we’ve built lasting friendships, creating a bond that goes far beyond business. I deeply value these relationships and never take for granted the trust and connection we’ve cultivated while building this brand together.
Looking ahead, what’s next for MexiChicSA?
The next step for MexiChicSA is to open a new location very soon. This space will serve as a store and a creative space where we can produce content and work daily. We have outgrown our current space, and this move will let us expand further. This year, I also want to get back to the basics and focus on creating more exclusive collections. Over the past few years, we have been in a rush to grow our customer base, but this year, I want to put more emphasis on the design process, even if it takes a bit longer to launch new collections. I will not lie, there are nights when I cannot sleep because of all the ideas racing through my head, and I feel anxious to bring them to life. I also want to be more intentional with everything we do this year, embracing the journey and enjoying every step. My goal is to see MexiChicSA in a big retailer as a brand collaboration and to break the stereotype that Mexican-inspired attire is only for holidays, showing that it can be worn every day, as part of an everyday lifestyle.
8 retail trends to watch in 2025
There’s a lot to chew on in the ongoing retail saga, and some of the biggest storylines this year will include: Distressed retailers experiencing even more distress, more M&A deals like the JC Penney-SPARC Group tie-up, DEI walkbacks, tariff-induced price sensitivity, ongoing struggle against theft and retail crime, a DTC brand rethink, department store evolution and customer service evolution.
Why this matters: Some of these macrotrends may apply to mega companies, but the trickle-down effect is real. At the same time, this is a golden opportunity for smaller businesses to win as consumers start to look for other options as their favorite stores close or change. (Retail Dive)
Higher inflation could force smarter promotions
With “economic headwinds,” otherwise known as looming Trump tariffs, a slowing jobs market, interest rate uncertainty and inflation blowing hard, 2025 is shaping up to be another year of price-consciousness. Promotions, or aggressive discounting, has not only upended the way people shop and negatively impacted millions of retailers, it’s created a never-ending sale cycle that threatens the entire retail ecosystem. Will this be the year that retailers rethink their pricing?
Why this matters: It’s never a bad time to rethink your pricing strategy, but the beginning of the year is the best time. “Savvy retailers will need to go back to best practices used during peak inflation,” one expert said. “This includes leveraging AI and analytics to identify the items that are most important to consumers then price and promote them accordingly.” Volumes will also play a role for larger businesses. (Retail Brew)
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Poshmark and Loop offer a third returns option. Will it work?
It’s the “Why didn’t I think of this before” partnership we all dreamed of: Popular returns platform Loop has partnered with social resell platform Poshmark to offer a new option that lets consumers resell unreturnable merchandise with a few clicks. When shoppers enter a Loop merchant’s returns portal, the “Resell on Poshmark” option will appear for Final Sale items that are normally unreturnable. With many Poshers already using the platform to unload this merchandise, it will not only streamline the process, it exposes both platforms' users to new audiences and brands and saves some items from the landfill.
Why this matters: So far, retailers seem to be of two mindsets on returns: offer everything for free or ban them altogether. Merging returns and resale could be a viable option for some, not to mention being more sustainable. If you’re not a Loop merchant, other returns platforms will likely follow suit. (Retail Wire)
TalkShopLive takes on TikTok with shoppable video shorts
Several emerging social platforms are preparing to step up should the U.S. Supreme Court deny TikTok’s existence in the U.S. and president-elect Trump doesn’t step in to save it (both still big a big “if”). TalkShopLive, which has hosted livestream shopping events with Oprah Winfrey and Drew Barrymore, is now offering TSL Shoppettes — shoppable short-form videos akin to Reels for Meta platforms Instagram and Facebook. This will allow brands to attach up to 5 products per reel, which are 15 to 90 seconds long.
Why this matters: With TikTok’s fate in the U.S. still TBD, TalkShopLive and similar livestream shopping platforms will gain traction. Whether you do it via Zoom, TSL Shoppettes or Whatnot, connecting with customers online in real time will be a game-changer for SMB retailers. (Modern Retail)
What we’re reading: Help Wanted: A Novel (W. W. Norton & Company) racked up accolades in 2024 including appearing on Barack Obama’s Summer Reading List, New York Times Book Review Editor’s Choice, and Best Book of the Year by The New Yorker. It may be fiction, but the workplace caper by Adelle Waldman set in a small-town big box store highlights some economic truths.
What we’re watching: Entrepreneur, business coach and micro influencer Stacy Tuschl’s YouTube video “Why Most Small Business Fail (But Yours Doesn’t Have To)” helps focus your sales goals for 2025.
What we’re listening to: "The Retail Transformation Show with Oliver Banks," where the U.K.-based retail expert breaks down the essential retail trends and themes shaping 2025. His punchy tone and jolly accent make it seem more like a teatime chat than a wonky business podcast.
Thanks for reading this week's edition!
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The SKUpe is curated and written by Marcy Medina and edited by Bianca Prieto
