Hey Snackers,
Started from recession now we here.
Instead of looking back, your Snacks team snagged some champagne early and brainstormed our boldest wishful business predictions for 2020 based on 2019's trends (+ our imaginations).
Tesla's New Year's Resolution... is fit for a black belt, Jedi Master, and Head Boy/Girl at Hogwarts. Elon Musk's electric car company always sets insane goals, but 2020 looks particularly crazy for Tesla:
Tesla stock is at an all-time high... thanks to a surprise profit last quarter (despite broken window-gate). But Tesla is polarizing, and the stock could quickly turn south if Tesla's win streak goes on the fritz. If shares fall 50% (that's happened before), then Tesla would be worth $39B. That's where Apple comes in. Hear us out:
What about Elon?... If Tesla got acquired by Apple, Elon Musk would probably need to let Apple's CEO take the wheel. But Elon's leadership has been critical — he published the Secret Master Plan in 2006 and Part Deux in 2016. Apple would bring financial stability to Tesla, but possibly downshift Elon's revved up ambitions.
You'll never have to hear 'Guac is extra' again... Chipotle should become the 1st major US restaurant chain to eliminate tables and make every store offer pre-order pickup/delivery only. We could stuff a burrito and rip the tinfoil with reasons why:
Convenience is taking over retail... In department stores, Target's stock is at a record high largely thanks to curbside pickup. Walmart is committed to "delivery unlimited" subscriptions at 1,400 locations (and grocery curbisde pickup, too). Now we're noticing retail convenience spill onto food:
Eliminating tables will be Chipotle’s differentiator... It's facing fresh fast-casual competition from Sweetgreen, Cava, and Shake Shack. Plus, fast food is upgrading (McD's is dropping $6B to renovate its stores). Going table-free isn't just a profit move or PR stunt — it's how Chipotle can stand out in a saturated world of quick quality food options.
It's getting hot in here... So take off all your packaging. Billions of packages shipped each year means billions of tree-made cardboard boxes. Since Amazon launched "The Climate Pledge," a goal to meet the Paris Climate Agreement 10 years early, we wish it would offer naked shipping.
Think outside the box... To get net zero carbon by 2040, Amazon needs to spend money. It's ordered 100K electric delivery vans and is investing $100M in planting trees. Amazon already offers Prime shipping, "Now" 2-hour shipping, and "No-rush" shipping. Time to add "naked" shipping to the mix:
Carbon neutrality isn't profit neutrality... Most economists agree that greenhouse gases pollute, but most governments don't tax/limit them like they do other pollutants. That means Amazon is voluntarily taking care of Mother Earth with its Climate Pledge. Here's how it could affect profits:
Disclosure: Authors of this Snacks own shares of Amazon and Tesla
ID: 1045550