US retailers are facing a new crisis as they struggle with tariffs, labor strife, and cyberattacks. The latest incident involves United Natural Foods, a major US grocery supplier that has been battling a cyberattack since June 6. This led to product shortages at Whole Foods and other grocery stores across the country.
The breach is part of a string of cyber incidents hitting American retailers in recent weeks, including Victoria’s Secret, North Face, and Cartier. Google warned last month that a group of teen hackers was targeting American retailers after a similar spree in the UK.
Retailers are navigating a perfect storm of economic and logistical headwinds, with trade policy uncertainty forcing tough choices around pricing and supply chains. Labor tensions are escalating, with 60,000 Kroger and Albertsons workers voting to authorize strikes in multiple cities.
The threat level for retailers has increased due to sophisticated and multipronged cyberattacks, which often combine social engineering, data theft, and ransom demands. In 2024, the average cost of a data breach in the retail sector was $3.48 million, an 18% increase from the year before.
Retailers should take a hard look at their defenses, especially against social engineering attacks, warns John Hultquist, chief analyst at Google Threat Intelligence Group. As the situation remains unclear, retailers must remain vigilant and address these threats to avoid further disruptions and financial losses.
Source: https://www.axios.com/2025/06/17/whole-foods-cartier-cyberattacks