Mood chocolate, nootropic whiskey and ten-cent toothpaste: what the K-shaped economy means for your shopping basket

RBC Capital Markets' consumer & retail note argues the K-shaped economy is structural and will deepen through the decade, forcing consumer goods companies to adopt “barbell” product portfolios — premium and ultra-value — rather than middle-market offerings. The shift is driven by unequal AI access, compounding wealth concentration (top 0.1% vs bottom 50% in stock ownership), health and longevity divides, and educational polarisation. RBC outlines premium concepts (e.g., longevity milk, bespoke $500–$2,000 skincare, nootropic whiskey) and extreme-value ideas (dissolvable toothpaste strips under $0.10, $1.50 protein blocks, sachet powders). Amazon and Temu are highlighted as competitive threats able to serve both ends. Market impact: greater dispersion in consumer sector revenues and margins, potential winners among data-enabled brands and platforms, and downside for legacy mid-market names within the US SP 500.