The ATO Is Quietly Killing Your Favourite Brands

End of financial year is done and — despite the sale noise — the market actually went backwards in real terms, with Roy Morgan tipping EOFY growth of just 1.9%, under CPI. Mal's on the road in Sydney (yet another hotel), Alex is dodging a South Australian thunderstorm, and between the World Cup and NBA free agency it's basically Christmas in Mal's world. Plenty to get through.The spine of this week: community is the last real moat — and the tax office is quietly pulling the rug out from under brands that forgot it. Hyrox is a billion-dollar cult with near-zero acquisition cost, while Stax and Geedup — two former Young Rich List darlings — have collapsed inside a fortnight, with the ATO increasingly the trigger. Plus a new boss at David Jones, a COO move at Adore Beauty, an Uber Eats campaign we loved, and a Made-in-Australia marketplace worth watching.EOFY reality check — Roy Morgan tipped EOFY sales growth at just 1.9% (below CPI), and while some brands cleared stock brilliantly, the 80%-off-for-three-weeks crowd waved a red flag on margin.Discovery is the new battleground — timings were all over the place (Click Frenzy's comeback, early vs late-June sales), and getting onto a curated list like Two Broke Chicks' EOFY round-up is earned-media gold.David Jones' new CEO — Erica Berchtold (ex-The Iconic, ex-Mosaic) becomes DJ's first female CEO, replacing Scott Fyfe, with PE owner Anchorage Capital unlikely to be patient as pre-tax losses widen to $95.5m on sales of ~$2bn.Adore Beauty's new COO — Jasmine Russell joins from gifting brand Lvly as Adore leans further into its store rollout and omnichannel growth.Uber Eats "bags" the city — giant Uber Eats bags wrapped around rival brands' billboards (GYG, Maccas, KFC, Hungry Jack's, Petbarn) — a masterclass in leaning on a distinctive brand asset rather than making Meta and Google do all the lifting.Made in Australia marketplace — Haroon Sheikh's new platform lists only verified Australian-made brands and competes on founder storytelling over price, with the real test being whether that goodwill converts at a viable cost of acquisition.Hyrox's billion-dollar cult — LVMH-backed L Catterton is reportedly in talks to take a major stake in Hyrox at a valuation as high as ~$1bn, buying not a sport but a cashed-up, referral-driven community with almost no paid acquisition.The AU brand reckoning — Stax entered receivership on 24 June across all four entities (12 stores down to two, permanently 50% off) and Geedup into liquidation, with Mal's "gym test" and a failure to renew the brand as the cautionary tale.The ATO is the silent assassin — insolvencies are up sharply YoY (retail and hospo leading), the ATO is now a leading creditor and far less willing to negotiate payment plans, so budget for tax like a household bill — buy the Hyundai, not the Lambo.See us at Online Retailer (22–23 July) — all-access passes are nearly gone, but free expo-floor passes are available (https://www.google.com/url?q=https://www.onlineretailer.com/en-gb/register.html?cat%3DRetailer%26ct%3DU2FsdGVkX18zizAT%252FPRxllJH9%252FV5p%2B%2BH4EYAQXzu%2BZFrIUBftFov4nFdHg365ESU%26utm_source%3DMalChia%26utm_medium%3DPartner%26utm_campaign%3DMarComms&source=gmail&ust=1782853352122000&sa=E); Mal's hosting the NORA podcast stage. Use code: TWIEVIP