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Ulta Joins TikTok Shop Where Beauty Sales Are Exploding | Fast Five Shorts · Omni Talk Retail

• 0:00
  Ulta
• 0:00
  Beauty.
• 0:00
  Their
• 0:01
  CEO
• 0:02
  Keisha
• 0:02
  Steelman
• 0:03
  announced
• 0:03
  that
• 0:03
  Ulta
• 0:03
  is
• 0:04
  launching
• 0:04
  on
• 0:04
  TikTok
• 0:05
  shops
• 0:05
  while
• 0:05
  delivering
• 0:06
  Q4
• 0:06
  results
• 0:06
  showing
• 0:07
  an
• 0:07
  11.8%
• 0:09
  year
• 0:09
  over
• 0:09
  year
• 0:09
  jump
• 0:10
  in
• 0:10
  net
• 0:10
  sales
• 0:11
  to
• 0:11
  $3.9
• 0:12
  billion.
• 0:13
  Steelman
• 0:14
  also
• 0:14
  is
• 0:14
  saying
• 0:15
  that
• 0:15
  Ulta
• 0:15
  has
• 0:15
  gotten
• 0:15
  their
• 0:16
  quote
• 0:16
  Chris
• 0:17
  swagger
• 0:18
  back.
• 0:18
  Wow.
• 0:19
  Swagger.
• 0:19
  Yeah.
• 0:20
  So
• 0:20
  according
• 0:20
  to
• 0:21
  glossy
• 0:21
  Ulta
• 0:21
  launch
• 0:21
  in
• 0:22
  TikTok
• 0:22
  shops
• 0:22
  on
• 0:22
  March
• 0:23
  17,
• 0:23
  they
• 0:24
  brought
• 0:24
  15
• 0:24
  brands
• 0:25
  across
• 0:25
  the
• 0:26
  makeup,
• 0:26
  skincare,
• 0:27
  hair,
• 0:27
  from
• 0:27
  fragrance
• 0:28
  along
• 0:28
  the
• 0:28
  more,
• 0:29
  along
• 0:30
  with
• 0:30
  25
• 0:31
  other
• 0:31
  exclusive
• 0:32
  bundles.
• 0:33
  Critically,
• 0:33
  the
• 0:34
  launch
• 0:34
  was
• 0:34
  anchored
• 0:34
  in
• 0:35
  this
• 0:35
  only
• 0:35
  at
• 0:36
  Alta
• 0:36
  exclusivity.
• 0:37
  Right.
• 0:38
  That
• 0:38
  brought
• 0:38
  this
• 0:38
  unique
• 0:38
  spin
• 0:39
  to
• 0:39
  the
• 0:39
  TikTok
• 0:39
  shop.
• 0:40
  The
• 0:40
  company
• 0:40
  also
• 0:41
  cited
• 0:41
  a
• 0:41
  15%
• 0:42
  Ulta
• 0:43
  app
• 0:43
  growth
• 0:43
  and
• 0:44
  launched
• 0:44
  more
• 0:44
  than
• 0:44
  100
• 0:45
  new
• 0:45
  brands
• 0:45
  in
• 0:45
  2025
• 0:46
  as
• 0:47
  part
• 0:47
  of
• 0:47
  their
• 0:47
  broader
• 0:48
  turnaround
• 0:48
  momentum.
• 0:50
  Chris,
• 0:50
  here's
• 0:50
  the
• 0:50
  deal.
• 0:51
  Alta
• 0:51
  CEO
• 0:51
  says
• 0:51
  the
• 0:52
  company
• 0:52
  got
• 0:52
  its
• 0:52
  swagger
• 0:53
  back,
• 0:53
  as
• 0:53
  I
• 0:53
  said.
• 0:54
  But
• 0:55
  on
• 0:55
  a
• 0:55
  scale
• 0:55
  of
• 0:55
  1
• 0:55
  to
• 0:55
  10,
• 0:56
  how
• 0:56
  much
• 0:56
  swagger
• 0:57
  do
• 0:57
  you
• 0:57
  really
• 0:57
  think
• 0:57
  Ulta
• 0:58
  has
• 0:58
  right
• 0:58
  now?
• 0:59
  And
• 0:59
  is
• 0:59
  TikTok
• 1:00
  Shops
• 1:00
  truly
• 1:01
  the
• 1:01
  right
• 1:01
  move
• 1:02
  for
• 1:02
  the
• 1:02
  specialty
• 1:02
  beauty
• 1:03
  retailer
• 1:03
  or
• 1:03
  is
• 1:03
  it
• 1:04
  going
• 1:04
  to
• 1:04
  disrupt
• 1:04
  and
• 1:04
  degrade
• 1:05
  ultimately
• 1:06
  their
• 1:06
  core
• 1:06
  business?
• 1:07
  That's
• 1:07
  my
• 1:07
  question.
• 1:07
  Chris,
• 1:08
  what
• 1:08
  do
• 1:08
  you
• 1:08
  think?
• 1:09
  All
• 1:09
  right,
• 1:09
  Carter,
• 1:09
  you're
• 1:09
  making
• 1:10
  it
• 1:10
  hard
• 1:10
  for
• 1:10
  me
• 1:10
  here
• 1:10
  to
• 1:10
  start
• 1:11
  the
• 1:11
  show.
• 1:12
  Yeah,
• 1:12
  I
• 1:12
  mean,
• 1:13
  so
• 1:13
  two
• 1:13
  part
• 1:14
  question.
• 1:14
  So
• 1:14
  I
• 1:14
  think,
• 1:15
  I
• 1:15
  think
• 1:15
  Alta,
• 1:16
  I
• 1:16
  think
• 1:16
  Ulta
• 1:16
  definitely
• 1:17
  has
• 1:17
  its
• 1:17
  swagger
• 1:17
  back.
• 1:18
  I
• 1:18
  think
• 1:18
  CEO
• 1:19
  Kesha
• 1:19
  Stillman's
• 1:20
  peacocking
• 1:20
  a
• 1:20
  little
• 1:20
  bit
• 1:20
  here,
• 1:21
  and
• 1:21
  rightly
• 1:21
  so,
• 1:22
  because
• 1:23
  they've
• 1:23
  done
• 1:23
  a
• 1:23
  great
• 1:23
  job
• 1:23
  and
• 1:24
  they've
• 1:24
  made
• 1:24
  some,
• 1:24
  they've
• 1:25
  made
• 1:25
  some
• 1:25
  tough
• 1:26
  strategic
• 1:26
  choices
• 1:27
  here
• 1:27
  over
• 1:27
  the
• 1:27
  years
• 1:28
  as
• 1:28
  well,
• 1:28
  which
• 1:28
  I'll
• 1:29
  probably
• 1:29
  talk
• 1:29
  about
• 1:29
  in
• 1:29
  answering
• 1:30
  the
• 1:30
  second
• 1:30
  question.
• 1:30
  And
• 1:31
  so,
• 1:31
  you
• 1:31
  know,
• 1:32
  the
• 1:32
  second
• 1:32
  question
• 1:32
  is
• 1:32
  TikTok
• 1:33
  shop,
• 1:33
  you
• 1:34
  know,
• 1:34
  the
• 1:34
  right
• 1:34
  move
• 1:34
  here
• 1:35
  or
• 1:35
  is
• 1:35
  it
• 1:35
  a
• 1:35
  distraction?
• 1:36
  I
• 1:36
  100
• 1:37
  think
• 1:37
  it's
• 1:37
  the
• 1:37
  right
• 1:37
  move.
• 1:38
  You
• 1:38
  know,
• 1:38
  the
• 1:39
  difference
• 1:39
  between
• 1:40
  TikTok.
• 1:41
  I'm
• 1:41
  curious
• 1:41
  to
• 1:41
  get
• 1:41
  your
• 1:41
  take
• 1:42
  on
• 1:42
  this
• 1:42
  too,
• 1:42
  Carter,
• 1:42
  but
• 1:42
  the
• 1:42
  difference
• 1:43
  to
• 1:43
  me
• 1:43
  between
• 1:44
  being
• 1:44
  on
• 1:44
  the
• 1:44
  TikTok
• 1:45
  Shop
• 1:45
  marketplace
• 1:46
  and
• 1:46
  being
• 1:46
  on
• 1:46
  the
• 1:46
  Amazon
• 1:47
  marketplace,
• 1:47
  because
• 1:47
  you
• 1:48
  could
• 1:48
  make
• 1:48
  the
• 1:48
  argument
• 1:48
  of
• 1:48
  like,
• 1:49
  if
• 1:49
  you're
• 1:49
  going
• 1:49
  to
• 1:49
  do
• 1:49
  one,
• 1:50
  why
• 1:50
  wouldn't
• 1:50
  you
• 1:50
  just
• 1:50
  do
• 1:50
  both
• 1:51
  of
• 1:51
  them?
• 1:51
  But
• 1:51
  the
• 1:51
  difference
• 1:52
  for
• 1:52
  me
• 1:52
  with
• 1:52
  TikTok
• 1:53
  shop
• 1:53
  is
• 1:53
  it's
• 1:53
  about
• 1:53
  inspiration,
• 1:54
  it's
• 1:55
  about
• 1:55
  social,
• 1:56
  true
• 1:56
  social
• 1:56
  commerce
• 1:57
  versus
• 1:58
  just
• 1:58
  search
• 1:58
  and
• 1:59
  buy,
• 1:59
  which
• 1:59
  is
• 1:59
  always
• 2:00
  the
• 2:00
  delineation
• 2:00
  that
• 2:00
  I
• 2:00
  think
• 2:01
  is
• 2:01
  important
• 2:01
  for
• 2:01
  people
• 2:01
  to
• 2:01
  think
• 2:02
  about.
• 2:02
  And
• 2:02
  so
• 2:02
  that's
• 2:02
  what
• 2:02
  you're
• 2:03
  doing
• 2:03
  with
• 2:03
  TikTok
• 2:03
  shop.
• 2:04
  You
• 2:04
  want
• 2:04
  to
• 2:04
  be
• 2:04
  at
• 2:05
  the
• 2:05
  place
• 2:05
  where
• 2:05
  inspired
• 2:06
  traffic
• 2:07
  is
• 2:07
  being
• 2:08
  inspired
• 2:08
  to
• 2:09
  buy
• 2:09
  products
• 2:09
  and
• 2:10
  that
• 2:10
  is
• 2:10
  particularly
• 2:11
  important
• 2:11
  in
• 2:11
  the
• 2:11
  beauty.
• 2:12
  So
• 2:12
  100%
• 2:13
  Ulta
• 2:13
  should
• 2:13
  be
• 2:14
  on
• 2:14
  TikTok's
• 2:14
  marketplace
• 2:15
  and
• 2:15
  exploring
• 2:16
  how
• 2:16
  best
• 2:16
  to
• 2:16
  utilize
• 2:17
  it.
• 2:17
  So
• 2:17
  I
• 2:17
  like
• 2:17
  also
• 2:19
  that
• 2:19
  they're
• 2:19
  starting
• 2:19
  off
• 2:19
  slow.
• 2:20
  They're
• 2:20
  gonna
• 2:21
  test
• 2:21
  the
• 2:21
  waters
• 2:21
  with
• 2:22
  exclusive,
• 2:22
  you
• 2:22
  know,
• 2:22
  kind
• 2:22
  of
• 2:23
  exclusive
• 2:23
  collections
• 2:23
  and
• 2:24
  products,
• 2:24
  and
• 2:25
  then
• 2:25
  they'll
• 2:25
  decide
• 2:25
  what
• 2:25
  to
• 2:25
  do
• 2:26
  from
• 2:26
  there.
• 2:26
  And
• 2:27
  that's
• 2:27
  a
• 2:27
  really
• 2:27
  smart
• 2:28
  way
• 2:28
  to
• 2:28
  think
• 2:28
  about
• 2:28
  it
• 2:28
  from
• 2:29
  a
• 2:29
  smart
• 2:29
  retailer
• 2:30
  who
• 2:30
  knows
• 2:31
  when
• 2:31
  to
• 2:31
  call
• 2:31
  its
• 2:32
  bets
• 2:32
  back.
• 2:32
  Even,
• 2:32
  like,
• 2:33
  and
• 2:33
  that's
• 2:33
  what
• 2:33
  I
• 2:33
  alluded
• 2:33
  to
• 2:34
  at
• 2:34
  the
• 2:34
  front.
• 2:34
  Like,
• 2:34
  they
• 2:35
  made
• 2:35
  the
• 2:35
  big
• 2:35
  call
• 2:35
  to
• 2:35
  pull
• 2:36
  out
• 2:36
  a
• 2:36
  target,
• 2:36
  like,
• 2:37
  it
• 2:37
  wasn't
• 2:37
  gonna
• 2:37
  work
• 2:37
  for
• 2:38
  them
• 2:38
  to
• 2:38
  the
• 2:38
  way
• 2:38
  they
• 2:38
  want.
• 2:39
  That
• 2:39
  was
• 2:39
  a
• 2:39
  huge
• 2:39
  capital
• 2:40
  investment
• 2:40
  and
• 2:41
  a
• 2:41
  huge
• 2:41
  partnership
• 2:41
  that
• 2:42
  they
• 2:42
  just
• 2:42
  said,
• 2:42
  nope,
• 2:42
  we're
• 2:43
  not.
• 2:43
  Now
• 2:43
  we're
• 2:44
  gonna
• 2:44
  fund
• 2:45
  more
• 2:45
  attainable,
• 2:46
  more
• 2:46
  easily
• 2:47
  achieved
• 2:48
  revenue
• 2:48
  growth
• 2:49
  through
• 2:49
  means
• 2:49
  like
• 2:50
  this.
• 2:50
  This
• 2:50
  is
• 2:50
  one
• 2:51
  of
• 2:51
  them.
• 2:51
  I'm
• 2:51
  sure
• 2:51
  they've
• 2:51
  got
• 2:51
  a
• 2:51
  whole
• 2:52
  host
• 2:52
  of
• 2:52
  ideas.
• 2:52
  And
• 2:52
  so
• 2:52
  Keisha
• 2:53
  Steelman,
• 2:53
  yeah,
• 2:54
  she's
• 2:54
  doing
• 2:54
  a
• 2:54
  great
• 2:55
  job
• 2:55
  of
• 2:55
  putting
• 2:56
  the.
• 2:56
  Putting
• 2:57
  the
• 2:57
  chips
• 2:57
  on
• 2:58
  the
• 2:58
  table
• 2:58
  in
• 2:58
  terms
• 2:59
  of
• 2:59
  where
• 2:59
  they're
• 2:59
  going
• 2:59
  to
• 2:59
  pay
• 3:00
  off
• 3:00
  the
• 3:00
  best.
• 3:00
  What
• 3:01
  do
• 3:01
  you
• 3:01
  think?
• 3:02
  Yeah,
• 3:02
  I'm
• 3:02
  a
• 3:03
  huge
• 3:03
  fan
• 3:03
  of
• 3:03
  this.
• 3:03
  And
• 3:04
  I
• 3:04
  was.
• 3:05
  I've
• 3:05
  gone
• 3:05
  real
• 3:05
  deep
• 3:06
  in
• 3:06
  the
• 3:06
  TikTok
• 3:06
  shops
• 3:07
  world.
• 3:07
  I
• 3:07
  was
• 3:07
  actually.
• 3:08
  We
• 3:08
  launched
• 3:08
  one
• 3:08
  of
• 3:09
  the
• 3:09
  first
• 3:10
  food
• 3:10
  and
• 3:10
  Bev
• 3:10
  TikTok
• 3:11
  shop
• 3:11
  experiences
• 3:12
  when
• 3:12
  I
• 3:12
  was
• 3:12
  at
• 3:12
  General
• 3:13
  Mills.
• 3:14
  And.
• 3:14
  And
• 3:15
  the
• 3:15
  reality
• 3:15
  is
• 3:15
  this.
• 3:16
  There
• 3:17
  is
• 3:17
  no
• 3:17
  category
• 3:17
  that
• 3:17
  performs
• 3:18
  better
• 3:18
  than
• 3:18
  beauty
• 3:19
  on
• 3:19
  TikTok
• 3:19
  shops.
• 3:20
  And
• 3:20
  it's
• 3:20
  for
• 3:20
  many
• 3:20
  of
• 3:20
  the
• 3:20
  reasons
• 3:21
  that
• 3:21
  you
• 3:21
  talk
• 3:21
  about,
• 3:22
  plus
• 3:22
  some
• 3:22
  traditional
• 3:23
  reasons
• 3:23
  of
• 3:23
  E
• 3:23
  commerce,
• 3:24
  if
• 3:24
  you
• 3:24
  think
• 3:24
  about
• 3:24
  it,
• 3:24
  right?
• 3:25
  So
• 3:25
  beauty,
• 3:25
  it's
• 3:25
  all
• 3:25
  about
• 3:26
  inspiration,
• 3:26
  but
• 3:27
  also
• 3:27
  like,
• 3:27
  meeting
• 3:27
  them
• 3:28
  where
• 3:28
  they
• 3:28
  are
• 3:28
  for
• 3:28
  an
• 3:28
  emerging
• 3:29
  consumer
• 3:29
  market.
• 3:29
  Like,
• 3:30
  this
• 3:30
  is
• 3:30
  where
• 3:31
  these
• 3:31
  consumers
• 3:32
  are
• 3:32
  getting
• 3:32
  that
• 3:32
  inspiration,
• 3:33
  are
• 3:33
  making
• 3:33
  their
• 3:34
  purchasing
• 3:34
  decisions.
• 3:35
  And
• 3:35
  we're
• 3:35
  seeing
• 3:36
  continuously,
• 3:37
  especially
• 3:37
  in
• 3:37
  this
• 3:37
  category
• 3:38
  of
• 3:38
  beauty,
• 3:39
  that
• 3:40
  TikTok
• 3:40
  shops
• 3:41
  people
• 3:41
  want
• 3:42
  to
• 3:42
  buy.
• 3:42
  Like,
• 3:42
  there
• 3:42
  is
• 3:42
  no
• 3:43
  barrier
• 3:43
  to
• 3:43
  entry
• 3:43
  there.
• 3:44
  You're
• 3:44
  inspired,
• 3:44
  you're
• 3:45
  targeted.
• 3:45
  All
• 3:45
  of
• 3:45
  a
• 3:46
  sudden,
• 3:46
  purchasing
• 3:46
  is
• 3:47
  a
• 3:47
  click
• 3:47
  away.
• 3:48
  And
• 3:48
  then
• 3:48
  I
• 3:48
  mention.
• 3:48
  Mention
• 3:49
  the
• 3:49
  more
• 3:49
  traditional
• 3:50
  side
• 3:50
  of
• 3:50
  things.
• 3:50
  There's
• 3:51
  no
• 3:51
  better
• 3:51
  category
• 3:52
  than
• 3:52
  beauty
• 3:53
  to
• 3:53
  ship.
• 3:53
  E
• 3:53
  commerce,
• 3:54
  right?
• 3:54
  You
• 3:54
  got
• 3:55
  margins,
• 3:56
  small,
• 3:56
  lightweight
• 3:57
  products.
• 3:57
  And
• 3:57
  then
• 3:57
  back
• 3:57
  to
• 3:58
  your
• 3:58
  point
• 3:58
  when
• 3:59
  you
• 3:59
  can
• 3:59
  be
• 3:59
  in
• 3:59
  an
• 3:59
  immersive
• 4:00
  video
• 4:00
  experience
• 4:01
  compared
• 4:01
  to
• 4:01
  a
• 4:02
  dimly
• 4:02
  lit
• 4:02
  target
• 4:03
  aisle,
• 4:03
  like,
• 4:04
  which
• 4:04
  better
• 4:04
  way
• 4:04
  is
• 4:05
  it
• 4:05
  to
• 4:05
  bring
• 4:05
  this
• 4:05
  new
• 4:05
  brand,
• 4:06
  your
• 4:06
  brand,
• 4:06
  to
• 4:07
  life
• 4:07
  and
• 4:07
  keep
• 4:07
  it
• 4:07
  to
• 4:07
  be
• 4:07
  a
• 4:08
  premium
• 4:08
  experience
• 4:08
  like
• 4:09
  that?
• 4:09
  That's
• 4:10
  really,
• 4:10
  like,
• 4:10
  when
• 4:10
  you
• 4:11
  look
• 4:11
  at
• 4:11
  where
• 4:11
  you
• 4:11
  put
• 4:11
  your
• 4:11
  chips,
• 4:12
  I
• 4:12
  would
• 4:12
  put
• 4:12
  it
• 4:12
  on
• 4:12
  TikTok
• 4:13
  shops
• 4:13
  all
• 4:13
  day
• 4:14
  versus
• 4:14
  a
• 4:15
  retailer
• 4:15
  where
• 4:15
  you
• 4:15
  can't
• 4:16
  actually
• 4:16
  control
• 4:16
  that
• 4:16
  experience.
• 4:17
  Yeah.
• 4:18
  Your
• 4:18
  return
• 4:18
  on
• 4:18
  assets
• 4:18
  are
• 4:19
  gonna
• 4:19
  be
• 4:19
  a
• 4:19
  lot
• 4:19
  higher.
• 4:19
  You
• 4:19
  know
• 4:19
  Carter,
• 4:20
  I
• 4:20
  never
• 4:20
  thought
• 4:20
  about
• 4:20
  this
• 4:21
  until
• 4:21
  you,
• 4:21
  until
• 4:21
  I
• 4:22
  just
• 4:22
  started
• 4:22
  listening
• 4:22
  to
• 4:22
  you
• 4:22
  talk
• 4:23
  there
• 4:23
  too.
• 4:24
  How
• 4:24
  does
• 4:24
  TikTok,
• 4:25
  TikTok
• 4:26
  shops
• 4:27
  marketplace,
• 4:28
  how
• 4:29
  ultimately
• 4:29
  defensible
• 4:30
  is
• 4:30
  that
• 4:30
  against
• 4:31
  the
• 4:31
  rise
• 4:31
  of
• 4:31
  the
• 4:32
  GPTs
• 4:32
  and
• 4:32
  the
• 4:33
  LLMs?
• 4:33
  Like,
• 4:33
  you
• 4:33
  know,
• 4:34
  how,
• 4:34
  how,
• 4:34
  how
• 4:35
  will
• 4:35
  that
• 4:35
  marketplace
• 4:36
  factor
• 4:36
  into
• 4:37
  things
• 4:37
  compared
• 4:37
  to
• 4:37
  Amazon
• 4:38
  where
• 4:38
  Amazon
• 4:39
  is
• 4:39
  definitely
• 4:39
  under
• 4:40
  threat
• 4:40
  from
• 4:40
  the
• 4:40
  activities
• 4:41
  that's
• 4:41
  happening
• 4:41
  there?
• 4:42
  Is.
• 4:42
  Is
• 4:43
  TikTok
• 4:43
  shop
• 4:43
  relatively
• 4:44
  more
• 4:44
  immune
• 4:45
  to
• 4:45
  some
• 4:45
  of
• 4:46
  those
• 4:46
  threats
• 4:46
  or
• 4:46
  how
• 4:46
  do
• 4:46
  you
• 4:47
  think
• 4:47
  about
• 4:47
  that?
• 4:48
  Yeah,
• 4:48
  100%.
• 4:49
  I
• 4:49
  think
• 4:49
  you
• 4:49
  have
• 4:49
  to
• 4:49
  think
• 4:49
  about
• 4:50
  what
• 4:50
  the
• 4:50
  actual
• 4:50
  shopping
• 4:51
  experience
• 4:51
  is.
• 4:52
  Right.
• 4:52
  So.
• 4:52
  Right.
• 4:53
  You
• 4:53
  know,
• 4:53
  you
• 4:53
  put
• 4:54
  large
• 4:54
  language
• 4:54
  models,
• 4:55
  whatever
• 4:55
  shopping
• 4:56
  experience
• 4:56
  you
• 4:56
  want
• 4:57
  and
• 4:57
  Amazon
• 4:57
  doesn't
• 4:58
  love
• 4:58
  it
• 4:58
  because
• 4:58
  you're
• 4:59
  not
• 4:59
  sitting
• 4:59
  browsing
• 4:59
  their
• 5:00
  site.
• 5:00
  Right.
• 5:00
  You're
• 5:01
  not,
• 5:01
  you're
• 5:01
  going
• 5:01
  right
• 5:01
  to
• 5:02
  the
• 5:02
  pdp.
• 5:02
  You're
• 5:03
  making
• 5:03
  that
• 5:03
  purchase
• 5:03
  or
• 5:03
  maybe
• 5:04
  even
• 5:04
  making
• 5:04
  the
• 5:04
  purchase
• 5:04
  on
• 5:04
  a
• 5:05
  third
• 5:05
  party
• 5:05
  site
• 5:05
  like
• 5:05
  Chat
• 5:06
  GPT
• 5:06
  or
• 5:06
  whatever
• 5:07
  it
• 5:07
  might
• 5:07
  be.
• 5:07
  Right?
• 5:07
  Yeah.
• 5:08
  With
• 5:08
  TikTok,
• 5:09
  like
• 5:09
  first
• 5:09
  of
• 5:09
  all,
• 5:10
  the
• 5:10
  amount
• 5:10
  of
• 5:11
  time
• 5:11
  younger
• 5:12
  consumers
• 5:12
  are
• 5:12
  spending
• 5:13
  on
• 5:13
  these
• 5:13
  platforms
• 5:13
  is
• 5:13
  just
• 5:14
  insane.
• 5:14
  Right.
• 5:15
  If
• 5:15
  you
• 5:15
  look
• 5:15
  at
• 5:15
  back
• 5:16
  some
• 5:16
  of
• 5:16
  the
• 5:16
  social
• 5:16
  commerce
• 5:16
  stuff
• 5:17
  we
• 5:17
  talked
• 5:17
  about
• 5:17
  six
• 5:17
  years
• 5:18
  ago,
• 5:18
  right.
• 5:19
  Like
• 5:19
  I
• 5:19
  mean
• 5:20
  you're
• 5:20
  not
• 5:20
  sitting
• 5:20
  in
• 5:21
  Target
• 5:21
  cruising
• 5:21
  on
• 5:21
  Amazon,
• 5:22
  right.
• 5:23
  You're
• 5:23
  sitting
• 5:24
  on
• 5:24
  TikTok
• 5:24
  looking
• 5:24
  at
• 5:25
  all
• 5:25
  your
• 5:25
  friends
• 5:25
  and
• 5:26
  inspirational
• 5:26
  content
• 5:27
  from
• 5:27
  your
• 5:27
  favorite
• 5:27
  brands
• 5:28
  that
• 5:28
  you
• 5:28
  can
• 5:28
  buy
• 5:28
  before
• 5:29
  you
• 5:29
  actually
• 5:29
  hit
• 5:30
  the
• 5:30
  checkout
• 5:30
  at
• 5:30
  a
• 5:30
  more
• 5:31
  traditional
• 5:31
  store.
• 5:32
  Right.
• 5:32
  And
• 5:33
  so
• 5:33
  I
• 5:33
  think
• 5:33
  when
• 5:34
  you
• 5:34
  look
• 5:34
  at
• 5:34
  that
• 5:34
  experience,
• 5:35
  this
• 5:35
  is
• 5:35
  defensible
• 5:36
  because
• 5:36
  you're
• 5:36
  not
• 5:37
  getting
• 5:37
  that
• 5:37
  immersive
• 5:38
  video
• 5:38
  experience
• 5:38
  in
• 5:38
  ChatGPT.
• 5:39
  Now
• 5:40
  to
• 5:40
  say
• 5:40
  that,
• 5:41
  you
• 5:41
  know,
• 5:41
  that
• 5:42
  won't
• 5:42
  come
• 5:42
  around
• 5:42
  and
• 5:43
  there
• 5:43
  won't
• 5:43
  be
• 5:43
  some
• 5:44
  AI
• 5:44
  driven,
• 5:45
  you
• 5:45
  know,
• 5:46
  experience
• 5:46
  on
• 5:46
  that,
• 5:47
  sure,
• 5:47
  maybe.
• 5:48
  But
• 5:48
  you
• 5:48
  know,
• 5:49
  the
• 5:49
  other
• 5:49
  thing
• 5:49
  you
• 5:49
  got
• 5:49
  to
• 5:49
  remember
• 5:50
  is,
• 5:50
  is
• 5:50
  that
• 5:50
  the
• 5:50
  TikTok
• 5:51
  algorithm
• 5:52
  is
• 5:52
  one
• 5:52
  of
• 5:52
  the
• 5:52
  best
• 5:52
  in
• 5:53
  the
• 5:53
  world
• 5:53
  at
• 5:53
  serving
• 5:53
  you
• 5:54
  the
• 5:54
  exact
• 5:54
  content
• 5:54
  that
• 5:55
  you
• 5:55
  want,
• 5:55
  when
• 5:55
  you
• 5:55
  want
• 5:56
  it.
• 5:56
  And
• 5:56
  yes,
• 5:57
  you
• 5:57
  could
• 5:57
  say
• 5:57
  retail
• 5:57
  media
• 5:58
  is
• 5:58
  the
• 5:58
  same
• 5:58
  thing,
• 5:58
  but
• 5:58
  it's
• 5:59
  very
• 5:59
  different
• 5:59
  when
• 5:59
  I
• 5:59
  see
• 5:59
  a
• 6:00
  banner
• 6:00
  ad
• 6:00
  on
• 6:00
  a
• 6:00
  PDP
• 6:01
  or
• 6:01
  on
• 6:01
  a
• 6:01
  search
• 6:01
  results
• 6:02
  page
• 6:02
  versus
• 6:03
  seeing
• 6:03
  this
• 6:04
  beautiful
• 6:04
  content
• 6:04
  come
• 6:05
  to
• 6:05
  life
• 6:05
  full
• 6:06
  bleed
• 6:06
  on
• 6:06
  my
• 6:06
  phone
• 6:07
  between
• 6:07
  some
• 6:07
  of
• 6:07
  my
• 6:07
  best
• 6:07
  friends
• 6:08
  and
• 6:08
  the
• 6:08
  most
• 6:08
  entertaining
• 6:09
  content
• 6:09
  that
• 6:09
  I
• 6:09
  look
• 6:09
  at
• 6:10
  all
• 6:10
  day.
• 6:10
  So
• 6:11
  I
• 6:11
  do
• 6:11
  think
• 6:11
  it's
• 6:11
  defensible.
• 6:12
  Yeah.
• 6:13
  And
• 6:13
  for
• 6:13
  that
• 6:13
  reason
• 6:13
  it's
• 6:14
  a
• 6:14
  very
• 6:14
  clairvoyant
• 6:14
  move,
• 6:15
  you
• 6:15
  know,
• 6:15
  when
• 6:15
  you
• 6:15
  think
• 6:15
  about
• 6:16
  it.
• 6:16
  And
• 6:17
  there's
• 6:17
  nothing
• 6:17
  to
• 6:17
  say
• 6:17
  too
• 6:18
  that
• 6:18
  TikTok
• 6:18
  couldn't
• 6:18
  go
• 6:19
  and
• 6:19
  evolve
• 6:19
  in
• 6:20
  a
• 6:20
  way
• 6:20
  similar
• 6:20
  to
• 6:21
  what
• 6:21
  the
• 6:21
  LLMs
• 6:21
  are
• 6:22
  doing
• 6:22
  too.
• 6:22
  You
• 6:22
  know,
• 6:22
  Facebook's
• 6:23
  trying
• 6:23
  to
• 6:23
  do
• 6:23
  that.
• 6:24
  But
• 6:24
  Facebook,
• 6:24
  for
• 6:25
  some
• 6:25
  reason,
• 6:25
  you
• 6:25
  know,
• 6:26
  basically
• 6:26
  left
• 6:27
  their
• 6:27
  marketplace
• 6:27
  business,
• 6:28
  you
• 6:28
  know,
• 6:28
  for
• 6:28
  the
• 6:28
  most
• 6:28
  other
• 6:29
  than
• 6:29
  like
• 6:29
  the
• 6:29
  traditional
• 6:30
  third
• 6:30
  party
• 6:30
  marketplace
• 6:31
  business.
• 6:31
  But,
• 6:32
  you
• 6:32
  know,
• 6:32
  and
• 6:32
  I've
• 6:33
  been
• 6:33
  trying
• 6:33
  to
• 6:33
  get
• 6:33
  that
• 6:34
  back
• 6:34
  to
• 6:34
  a
• 6:34
  degree,
• 6:34
  but.
• 6:35
  Were
• 6:35
  you
• 6:35
  going
• 6:35
  to
• 6:35
  say
• 6:35
  anything
• 6:35
  else,
• 6:35
  Carter?
• 6:36
  Yeah,
• 6:36
  I
• 6:36
  was
• 6:36
  just
• 6:36
  going
• 6:37
  to
• 6:37
  say
• 6:37
  I
• 6:37
  think
• 6:37
  the
• 6:37
  other
• 6:38
  thing
• 6:38
  is
• 6:38
  that
• 6:39
  there
• 6:39
  are
• 6:40
  categories
• 6:40
  that
• 6:40
  don't
• 6:40
  work
• 6:41
  in
• 6:41
  social
• 6:41
  commerce.
• 6:41
  And
• 6:42
  I
• 6:42
  think
• 6:42
  we've
• 6:42
  seen
• 6:42
  that
• 6:43
  there's
• 6:43
  not
• 6:43
  this
• 6:43
  huge
• 6:44
  boom
• 6:44
  like
• 6:44
  grocery,
• 6:45
  I
• 6:45
  found
• 6:45
  out
• 6:45
  firsthand
• 6:46
  is
• 6:46
  not
• 6:46
  something
• 6:46
  you
• 6:47
  use
• 6:47
  on
• 6:47
  social
• 6:47
  commerce
• 6:48
  for
• 6:48
  a
• 6:48
  variety
• 6:49
  of
• 6:49
  very
• 6:49
  good
• 6:50
  reasons.
• 6:51
  Margins
• 6:51
  aren't
• 6:51
  good
• 6:51
  enough.
• 6:52
  You
• 6:52
  don't
• 6:52
  have
• 6:52
  the
• 6:52
  complete
• 6:53
  basket.
• 6:53
  The
• 6:53
  shopping
• 6:54
  journey
• 6:54
  is
• 6:54
  just
• 6:54
  different.
• 6:55
  So
• 6:55
  to
• 6:56
  say
• 6:56
  that
• 6:56
  social
• 6:56
  commerce
• 6:56
  is
• 6:57
  this
• 6:57
  massive
• 6:57
  home
• 6:57
  run
• 6:57
  that
• 6:58
  no
• 6:58
  one's
• 6:58
  been
• 6:58
  seeing
• 6:58
  isn't
• 6:58
  right
• 6:59
  anymore.
• 6:59
  But
• 7:00
  for
• 7:00
  specific
• 7:00
  categories,
• 7:01
  in
• 7:01
  this
• 7:01
  case,
• 7:02
  beauty
• 7:02
  hits
• 7:02
  on
• 7:02
  every
• 7:03
  single
• 7:03
  checkbox
• 7:04
  that's
• 7:04
  needed
• 7:04
  inspiration,
• 7:05
  easy
• 7:05
  to
• 7:06
  purchase,
• 7:06
  one
• 7:06
  off
• 7:06
  purchases,
• 7:07
  easy
• 7:07
  to
• 7:08
  ship,
• 7:08
  you're
• 7:08
  good
• 7:09
  to
• 7:09
  go.
• 7:10
  And
• 7:10
  so
• 7:10
  I
• 7:10
  just
• 7:10
  think
• 7:11
  this
• 7:11
  again
• 7:11
  is
• 7:11
  a
• 7:12
  home
• 7:12
  run.
• 7:12
  Yeah,
• 7:13
  it's
• 7:13
  interesting
• 7:13
  way
• 7:13
  to
• 7:13
  think
• 7:13
  about
• 7:14
  TikTok
• 7:14
  too.
• 7:14
  Yeah.
• 7:14
  And
• 7:15
  I
• 7:15
  misspoke
• 7:15
  to.
• 7:15
  I
• 7:15
  meant
• 7:16
  to
• 7:16
  say
• 7:16
  Facebook
• 7:16
  shut
• 7:17
  down
• 7:17
  its
• 7:18
  traditional
• 7:19
  B
• 7:19
  to
• 7:19
  C
• 7:20
  marketplace.
• 7:20
  Correct.
• 7:20
  But
• 7:21
  the
• 7:21
  C
• 7:21
  to
• 7:21
  C
• 7:21
  marketplace
• 7:22
  is
• 7:22
  what's
• 7:22
  still
• 7:22
  firing.
• 7:23
  So.