🛍 VLOP watch

…and Venice's tourism entry fee

(Richard A. Brooks/Getty Images) Uniqlo has alleged that Shein sold knockoffs of its viral shoulder bag Sponsored by Yesterday's market moves Dow Jones 38,386 (+0.38%) S&P 500 5,116 (+0.32%) Nasdaq 15,983 (+0.35%) Bitcoin $63,070 (-0.06%) Dow Jones 38,386 (+0.38%) S&P 500 5,116 (+0.32%) Nasdaq 15,983 (+0.35%) Bitcoin $63,070 (-0.06%) Hey Snackers, Peelable candy from Walgreens is going viral on TikTok. The drugstore's had to limit purchases of its $2 Gummy Mango treats to one bag/customer to try to keep them in stock. The S&P 500 rose yesterday, helped by a 15% rally in Tesla, after the EV maker cleared a hurdle to roll out its driver-assist tech in China. Amazon, Starbucks, and other big names report today. And the Fed's expected to keep rates steady at its meeting tomorrow. STITCH Shein faces strictest EU regulations as officials crack down on mega-marketplaces Shein (over)haul… The world's biggest fast-fashion brand is facing fresh scrutiny. Shein was officially labeled a "very large online platform," or VLOP, under the EU's Digital Services Act. Passed in 2022, it was designed to clamp down on illegal online content from companies with 45M+ monthly users (Shein said 108M Europeans visit its app each month). Now it'll have to comply with the DSA's strictest regulations, including against knockoffs and items that violate IP rights. The Chinese ecomm behemoth has faced IP-theft accusations from companies and indie designers. New rules: Starting in August, Shein will have to follow the EU rules or risk fines of up to 6% of its annual revenue (estimated to be more than that of H&M and Abercrombie combined). Bad dupe: Shein was given four months to address potentially illegal products on its site after facing copyright-infringement lawsuits from the likes of Ralph Lauren, Uniqlo, and Oakley. From VIP to VLOP… While the EU's "very large online platform" status has largely been tied to big techies like Meta, TikTok, and Google, ecomm titans are also getting attention. Shein joins 20+ other retailers under the EU's VLOP watch, including Amazon and AliExpress. Experts say required transparency reports and audits could shed light on Shein's biz practices. Audit pending: US lawmakers have urged the SEC to pause Shein's IPO till it can prove it doesn't use forced labor to make its clothes. Shein has said it has "zero tolerance for forced labor."  THE TAKEAWAY Digital content is more than social posts… It's product listings too. Regulators have long focused on social-media giants for harmful content like misinfo. Now ecomm biggies are facing greater scrutiny for risks related to their listings (think: counterfeits, unsafe/mislabeled products). As the popularity of Shein rival Temu grows, it could be next to join the EU's VLOP list. Sponsored by Jurny Is AI About to Disrupt Hospitality? This AI company is set to disrupt the $4.1T hospitality industry, and this is your chance to invest.* Jurny is an AI platform automating hotel and short-term rental operations, targeting over $355B in inefficiencies. Partnered with industry giants like Airbnb, Vrbo, and Expedia, Jurny's technology is fully automating operations for thousands of properties globally. • In 2023, Jurny's customer base grew 5x and it processed $35M+ in bookings. • Featured by Forbes, Bloomberg, Skift, and more, Jurny has raised more than $12M from leading VCs and 1,200+ individual investors since 2021. For a limited time, Jurny has opened its investment round to its customers and the public, offering you a unique opportunity to invest alongside top VCs. Invest in Jurny today.* Sponsored by Jurny Is AI About to Disrupt Hospitality? This AI company is set to disrupt the $4.1T hospitality industry, and this is your chance to invest.* Jurny is an AI platform automating hotel and short-term rental operations, targeting over $355B in inefficiencies. Partnered with industry giants like Airbnb, Vrbo, and Expedia, Jurny's technology is fully automating operations for thousands of properties globally. • In 2023, Jurny's customer base grew 5x and it processed $35M+ in bookings. • Featured by Forbes, Bloomberg, Skift, and more, Jurny has raised more than $12M from leading VCs and 1,200+ individual investors since 2021. For a limited time, Jurny has opened its investment round to its customers and the public, offering you a unique opportunity to invest alongside top VCs. Invest in Jurny today.* DAYPASS Venice rolls out a Disneyland-style entrance fee, as hot destinations struggle with overtourism The gondola fast pass… Venice, Italy, last week became what's believed to be the world's first city with an entrance fee for tourists. The floating city started charging a ~$5/person fee during peak travel season (late April to mid-July) to counter overtourism and encourage visitors to check for canal dolphins some other time. Tourists trying to enter Venice have to register online and buy a QR code — or face up to a $320 fine. Some residents say the fee turns Venice into a theme park, but the move is part of a growing effort by global tourist hotspots to protect historic sites. Tourism bump: Daytrippers make up 73% of Venice visitors but just 18% of the city's $2B/year tourism economy. Hotel guests — exempt from the fee — account for nearly half of tourism revenue. Euro trip: Venice's population was 50K last year, down 70%+ since the 1970s (there are now more tourist beds in the city than residents). 20M visitors flocked to the two-square-mile city last year. The overtourism test… Venice is far from the only honeymoon spot looking to control crowds. Last week a Japanese resort town announced plans to build a barrier to dissuade tourists flocking there for Mount Fuji pics. Barcelona just removed a bus route from Google and Apple maps because tourists were taking it over. Greece capped Acropolis on-lookers at 20K/day starting last year. US national parks have instituted similar daily-visitor caps. This summer Galapagos National Park will double its entrance fee to $200. THE TAKEAWAY Hotspots are reaching a melting point… As global sites test crowd countermeasures, tourism is set to keep growing. Global tourists are expected to number 1.8B by the end of the decade, and most are visiting the same destinations. As sightseers keep crowding popular spots, there could be more restrictions ahead. What else we're Snackin' Cheesin': Domino's stock popped ~6% yesterday after the 'za icon unboxed a 20% jump in quarterly profit. Driving growth: Uber Eats ads, loyalty-program updates, and promos like "Emergency Pizza." BeiWin: Elon Musk's quick trip to Beijing appears to have paid off. Tesla reportedly got tentative approval to intro its controversial full-self-driving tech in China, its No. 2 market. Minty: The Biden admin stubbed out the FDA's plan to ban menthol cigarettes, delaying the move after backlash. The FDA has already cracked down on menthol and fruit-flavored vapes. Delist: L'Occitane is going private in a $1.8B deal. The French skincare co will be removed from the Hong Kong stock exchange, as luxury and beauty companies like LVMH deal with unglowy demand in China. Pause: Paramount narrowed its streaming losses in Q1 and expects Paramount+ to be profitable next year. The entertainment co also announced the departure of its CEO as it considers a merger with Skydance. Snack Fact of the Day About 3.6M babies were born in the US last year, the fewest since 1979 Tuesday Binance founder Changpeng Zhao expected to be sentenced February US house-price index April consumer-confidence index Asian Pacific American Heritage Month begins Earnings expected from 3M, PayPal, Eli Lilly, McDonald's, Enterprise Products Partners, Coca-Cola, SiriusXM, Marathon Petroleum, Archer Daniels Midland, Stellantis, HSBC, GE HealthCare, Amazon, Advanced Micro Devices, Supermicro, Starbucks, Pinterest, Caesars Entertainment, and Mondelez Authors of this Snacks own shares of Alphabet, Amazon, Apple, Starbucks, Tesla, and Uber *Advertiser's disclosure: This is a paid advertisement for Jurny's Regulation CF Offering. Please read the offering circular and related risks. Equity crowdfunding investments in private placements, and start-up investments in particular, are speculative and involve a high degree of risk and those investors who cannot afford to lose their entire investment should not invest in start-ups. Companies seeking startup investment through equity crowdfunding tend to be in earlier stages of development and their business model, products and services may not yet be fully developed, operational or tested in the public marketplace. There is no guarantee that the stated valuation and other terms are accurate or in agreement with the market or industry valuations. Further, investors may receive illiquid and/or restricted stock that may be subject to holding period requirements and/or liquidity concerns. 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