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Is Staples' Services Strategy Enough to Save the Office Supply Giant? | Fast Five Shorts · Omni Talk Retail

• 0:00
  Staples
• 0:00
  appears
• 0:01
  to
• 0:01
  be
• 0:01
  angling
• 0:01
  for
• 0:02
  new
• 0:02
  relevance
• 0:03
  with
• 0:03
  services
• 0:04
  on
• 0:04
  top
• 0:04
  of
• 0:05
  office
• 0:05
  supplies,
• 0:05
  according
• 0:06
  to
• 0:06
  modern
• 0:06
  retail
• 0:07
  other
• 0:07
  than
• 0:07
  pens
• 0:08
  and
• 0:08
  computer
• 0:09
  paper,
• 0:09
  business
• 0:09
  retailer
• 0:10
  Staples
• 0:11
  says
• 0:11
  these
• 0:12
  days
• 0:12
  they
• 0:13
  derive
• 0:14
  traffic
• 0:14
  from
• 0:15
  services
• 0:16
  like
• 0:16
  printing,
• 0:17
  shipping
• 0:17
  and
• 0:18
  passports.
• 0:18
  Chris
• 0:19
  Most
• 0:19
  recently
• 0:20
  this
• 0:21
  includes
• 0:21
  a
• 0:21
  pilot
• 0:21
  with
• 0:22
  Verizon
• 0:22
  to
• 0:22
  sell
• 0:23
  phones
• 0:23
  and
• 0:23
  devices
• 0:24
  in
• 0:24
  store,
• 0:24
  plus
• 0:25
  business
• 0:25
  specific
• 0:26
  services
• 0:26
  like
• 0:26
  Internet
• 0:27
  and
• 0:27
  phone
• 0:27
  plans.
• 0:28
  President
• 0:28
  of
• 0:29
  Staples
• 0:29
  US
• 0:30
  Retail
• 0:30
  Marshall
• 0:31
  Warkinton
• 0:32
  said
• 0:33
  that
• 0:33
  the
• 0:33
  company
• 0:33
  introduced
• 0:34
  the
• 0:34
  partnership
• 0:35
  with
• 0:35
  Verizon
• 0:36
  in
• 0:36
  five
• 0:36
  stores
• 0:37
  earlier
• 0:37
  this
• 0:37
  year
• 0:37
  and
• 0:37
  will
• 0:38
  expand
• 0:38
  it
• 0:38
  to
• 0:39
  30
• 0:39
  more
• 0:40
  stores
• 0:40
  later
• 0:41
  this
• 0:41
  summer.
• 0:41
  Once
• 0:42
  a
• 0:42
  mainstay
• 0:42
  of
• 0:42
  the
• 0:43
  Fortune
• 0:43
  500
• 0:43
  list,
• 0:44
  Staples
• 0:44
  lost
• 0:44
  ground
• 0:45
  in
• 0:45
  the
• 0:45
  office
• 0:45
  supply
• 0:46
  sales
• 0:46
  during
• 0:46
  the
• 0:46
  mid
• 0:46
  2010s
• 0:47
  amid
• 0:48
  competition
• 0:48
  from
• 0:49
  e
• 0:49
  commerce
• 0:49
  players.
• 0:50
  An
• 0:50
  attempt
• 0:50
  to
• 0:51
  acquire
• 0:51
  Office
• 0:51
  Depot
• 0:52
  and
• 0:52
  Office
• 0:52
  Max
• 0:53
  in
• 0:53
  2015
• 0:53
  failed
• 0:54
  on
• 0:54
  antitrust
• 0:55
  grounds
• 0:55
  and
• 0:55
  the
• 0:56
  company
• 0:56
  then
• 0:56
  pivoted
• 0:57
  to
• 0:57
  a
• 0:57
  B2B
• 0:57
  strategy
• 0:58
  and
• 0:58
  was
• 0:58
  bought
• 0:59
  by
• 0:59
  Sycamore
• 0:59
  Partners
• 1:00
  in
• 1:00
  2017.
• 1:01
  As
• 1:02
  a
• 1:02
  private
• 1:02
  company,
• 1:02
  Staples
• 1:03
  doesn't
• 1:03
  share
• 1:03
  revenue
• 1:04
  or
• 1:04
  profit
• 1:04
  figures,
• 1:05
  but
• 1:05
  its
• 1:05
  future
• 1:06
  relies
• 1:06
  on
• 1:06
  its
• 1:06
  ability
• 1:07
  to
• 1:07
  provide
• 1:07
  business
• 1:08
  services.
• 1:09
  Out
• 1:09
  of
• 1:09
  about
• 1:09
  945
• 1:10
  locations
• 1:11
  that
• 1:11
  are
• 1:11
  within
• 1:12
  roughly
• 1:13
  five
• 1:13
  miles
• 1:14
  of
• 1:14
  the
• 1:14
  90%
• 1:15
  of
• 1:15
  the
• 1:15
  US
• 1:15
  population,
• 1:17
  printing
• 1:18
  is
• 1:18
  still
• 1:18
  the
• 1:18
  main
• 1:19
  driver
• 1:19
  for
• 1:20
  the
• 1:22
  they
• 1:22
  can
• 1:22
  print
• 1:22
  from
• 1:22
  the
• 1:23
  design
• 1:23
  service
• 1:23
  Canva,
• 1:24
  which
• 1:24
  allows
• 1:24
  users
• 1:25
  to
• 1:25
  pick
• 1:25
  up
• 1:25
  items
• 1:27
  store.
• 1:27
  In
• 1:27
  2022,
• 1:28
  it
• 1:28
  introduced
• 1:29
  same
• 1:30
  day
• 1:30
  passport
• 1:30
  photos
• 1:31
  and
• 1:31
  processing
• 1:31
  services,
• 1:32
  and
• 1:32
  about
• 1:32
  200
• 1:33
  stores
• 1:33
  also
• 1:34
  offer
• 1:34
  TSA
• 1:35
  PreCheck
• 1:35
  enrollment,
• 1:36
  yielding
• 1:36
  about
• 1:37
  1
• 1:37
  million
• 1:38
  approvals
• 1:38
  a
• 1:39
  year.
• 1:40
  Chris
• 1:40
  that
• 1:40
  was
• 1:40
  a
• 1:40
  lot
• 1:41
  of
• 1:41
  information.
• 1:42
  Are
• 1:42
  you
• 1:43
  buying
• 1:44
  the
• 1:44
  services
• 1:44
  salvation
• 1:45
  story
• 1:45
  at
• 1:46
  staples?
• 1:48
  Absolutely
• 1:48
  not.
• 1:48
  100%?
• 1:49
  No,
• 1:49
  I'm
• 1:50
  not
• 1:50
  buying
• 1:50
  it
• 1:51
  one
• 1:51
  iota.
• 1:52
  And,
• 1:52
  and
• 1:52
  the
• 1:53
  reason
• 1:53
  for
• 1:53
  that
• 1:53
  is
• 1:53
  pretty
• 1:54
  simple
• 1:54
  for
• 1:54
  me.
• 1:54
  Like
• 1:55
  if
• 1:55
  your
• 1:55
  core
• 1:55
  business,
• 1:56
  as
• 1:56
  the
• 1:56
  article
• 1:56
  says,
• 1:57
  is
• 1:57
  still
• 1:58
  printing,
• 1:59
  that's
• 1:59
  a
• 1:59
  dying
• 1:59
  business.
• 2:00
  Like
• 2:00
  at
• 2:00
  the
• 2:01
  end
• 2:01
  of
• 2:01
  the
• 2:01
  day,
• 2:01
  there's
• 2:01
  no
• 2:02
  two
• 2:02
  bones
• 2:02
  about
• 2:02
  it.
• 2:02
  It's
• 2:03
  a
• 2:03
  dying
• 2:03
  business
• 2:04
  and
• 2:04
  the
• 2:04
  services
• 2:05
  that
• 2:05
  you're
• 2:05
  offering
• 2:06
  that
• 2:06
  you're
• 2:06
  purporting
• 2:07
  are
• 2:07
  helping
• 2:07
  you.
• 2:08
  Passport
• 2:09
  photos,
• 2:09
  TSA
• 2:09
  precheck
• 2:10
  and
• 2:10
  mobile
• 2:10
  phone
• 2:11
  activations
• 2:11
  particularly
• 2:12
  those
• 2:12
  are
• 2:12
  the
• 2:12
  three
• 2:12
  that
• 2:13
  were
• 2:13
  called
• 2:13
  out
• 2:13
  the
• 2:13
  most.
• 2:14
  They're
• 2:14
  all
• 2:14
  one
• 2:15
  offs
• 2:15
  and
• 2:15
  have
• 2:15
  nothing
• 2:16
  to
• 2:16
  do
• 2:16
  with
• 2:16
  printing.
• 2:17
  Absolutely
• 2:17
  zero
• 2:18
  to
• 2:18
  do
• 2:18
  with
• 2:18
  printing.
• 2:19
  So
• 2:19
  long
• 2:19
  term
• 2:20
  there
• 2:20
  are
• 2:20
  many
• 2:20
  competitors
• 2:21
  in
• 2:22
  all
• 2:22
  of
• 2:22
  those
• 2:22
  spaces
• 2:23
  and
• 2:23
  other
• 2:23
  options,
• 2:24
  which
• 2:24
  means
• 2:25
  the
• 2:25
  customer
• 2:25
  acquisition
• 2:26
  costs
• 2:26
  for
• 2:26
  these
• 2:26
  services
• 2:27
  will
• 2:27
  be
• 2:27
  relatively
• 2:28
  higher
• 2:28
  for
• 2:28
  Staples
• 2:29
  than
• 2:29
  it
• 2:29
  will
• 2:29
  be
• 2:29
  for
• 2:29
  other
• 2:30
  people
• 2:31
  while
• 2:31
  your
• 2:31
  printing
• 2:32
  business
• 2:32
  is
• 2:32
  still
• 2:32
  dwindling.
• 2:33
  So
• 2:33
  no,
• 2:34
  I'm
• 2:34
  selling
• 2:35
  this.
• 2:36
  It
• 2:36
  sounds
• 2:37
  like
• 2:37
  a
• 2:37
  completely
• 2:37
  crafted
• 2:38
  narrative
• 2:38
  to
• 2:39
  make
• 2:39
  Staples
• 2:39
  sound
• 2:39
  better
• 2:40
  than
• 2:40
  it
• 2:40
  potentially
• 2:40
  is.
• 2:41
  That's,
• 2:41
  that's
• 2:41
  my
• 2:41
  take,
• 2:42
  and
• 2:42
  I
• 2:42
  hate
• 2:42
  to
• 2:42
  be
• 2:42
  blunt
• 2:43
  but
• 2:43
  that's
• 2:44
  what
• 2:44
  I
• 2:44
  feel.
• 2:44
  Luckily
• 2:45
  no
• 2:45
  one
• 2:45
  is
• 2:46
  holding
• 2:46
  stock
• 2:46
  in
• 2:47
  this
• 2:47
  company
• 2:47
  right
• 2:47
  now,
• 2:48
  so
• 2:48
  they
• 2:48
  don't
• 2:48
  have
• 2:48
  to
• 2:48
  be
• 2:48
  too
• 2:49
  worried
• 2:49
  about
• 2:49
  just
• 2:49
  the
• 2:49
  private
• 2:50
  investors.
• 2:50
  The
• 2:51
  private
• 2:51
  investors.
• 2:52
  Um,
• 2:52
  but
• 2:53
  so
• 2:54
  I,
• 2:54
  when
• 2:54
  I
• 2:55
  read
• 2:55
  this
• 2:55
  story,
• 2:55
  it
• 2:56
  reminded
• 2:56
  me
• 2:56
  of
• 2:56
  a
• 2:57
  conversation
• 2:57
  that
• 2:57
  I
• 2:57
  had
• 2:57
  with
• 2:58
  the
• 2:58
  president
• 2:58
  of
• 2:59
  Office
• 2:59
  Depot,
• 3:00
  Kevin
• 3:00
  Moffett,
• 3:01
  back
• 3:01
  at
• 3:01
  Etail.
• 3:02
  We
• 3:02
  were
• 3:02
  talking
• 3:03
  about,
• 3:03
  you
• 3:03
  know,
• 3:03
  I
• 3:04
  asked
• 3:04
  him
• 3:04
  this
• 3:05
  question
• 3:05
  point
• 3:05
  blank
• 3:05
  and
• 3:06
  I
• 3:06
  was
• 3:06
  like,
• 3:06
  what,
• 3:06
  why
• 3:07
  are
• 3:07
  you
• 3:07
  still
• 3:07
  relevant?
• 3:08
  Like
• 3:08
  what's,
• 3:09
  what
• 3:09
  is,
• 3:09
  what
• 3:09
  needs
• 3:10
  are
• 3:10
  the
• 3:11
  Office
• 3:11
  Maxes
• 3:11
  and
• 3:12
  Office
• 3:12
  Depots
• 3:12
  of
• 3:12
  the
• 3:12
  world
• 3:13
  still
• 3:13
  serving?
• 3:14
  And
• 3:15
  while
• 3:15
  I
• 3:15
  agree
• 3:15
  with
• 3:16
  you
• 3:16
  that
• 3:16
  there
• 3:16
  will
• 3:16
  be
• 3:17
  burnout
• 3:17
  and
• 3:17
  he,
• 3:18
  he
• 3:18
  agreed
• 3:19
  that
• 3:19
  like
• 3:19
  their
• 3:19
  businesses
• 3:20
  is
• 3:20
  evolving
• 3:20
  quite
• 3:21
  a
• 3:21
  bit,
• 3:22
  he
• 3:22
  still
• 3:22
  sold
• 3:22
  me
• 3:23
  on
• 3:23
  the
• 3:24
  value
• 3:24
  that
• 3:24
  they're
• 3:24
  providing
• 3:25
  small
• 3:26
  businesses.
• 3:26
  I
• 3:27
  do
• 3:27
  think
• 3:27
  that
• 3:28
  we're
• 3:28
  in,
• 3:28
  we're
• 3:29
  in
• 3:29
  a
• 3:29
  slow
• 3:30
  phase
• 3:30
  out
• 3:30
  of
• 3:31
  the
• 3:31
  mass
• 3:32
  printing
• 3:32
  like
• 3:32
  we
• 3:33
  used
• 3:33
  to
• 3:33
  see
• 3:34
  the,
• 3:34
  you
• 3:35
  know,
• 3:35
  the
• 3:35
  copying
• 3:36
  paper
• 3:36
  and
• 3:36
  all
• 3:37
  the
• 3:37
  things
• 3:37
  like
• 3:38
  that.
• 3:38
  But
• 3:38
  I
• 3:38
  do,
• 3:39
  when
• 3:39
  he
• 3:40
  explained
• 3:40
  to
• 3:40
  me
• 3:40
  like
• 3:41
  they
• 3:41
  have
• 3:41
  the
• 3:41
  fastest
• 3:42
  in
• 3:42
  store
• 3:43
  pickup,
• 3:43
  buy
• 3:44
  online
• 3:44
  pickup
• 3:44
  in
• 3:45
  store
• 3:45
  of
• 3:45
  anyone
• 3:46
  in
• 3:46
  the
• 3:46
  world,
• 3:46
  he
• 3:46
  said,
• 3:47
  so
• 3:47
  within
• 3:47
  20
• 3:48
  minutes
• 3:48
  or
• 3:48
  less,
• 3:48
  you
• 3:48
  can
• 3:49
  go
• 3:49
  to
• 3:49
  an
• 3:49
  Office
• 3:49
  Depot,
• 3:50
  you
• 3:50
  can
• 3:50
  get
• 3:50
  the
• 3:51
  things
• 3:51
  that
• 3:51
  you
• 3:51
  need.
• 3:52
  And
• 3:52
  to
• 3:53
  be
• 3:53
  within
• 3:53
  five
• 3:54
  miles
• 3:54
  of
• 3:54
  90%
• 3:55
  of
• 3:55
  the
• 3:55
  country,
• 3:56
  like
• 3:56
  there
• 3:56
  is
• 3:56
  still
• 3:57
  some
• 3:57
  value
• 3:57
  there.
• 3:58
  For
• 3:58
  a
• 3:58
  lot
• 3:58
  of
• 3:58
  the
• 3:59
  small
• 3:59
  businesses
• 3:59
  that
• 4:00
  do
• 4:00
  depend
• 4:00
  on
• 4:01
  them
• 4:01
  as
• 4:01
  their
• 4:01
  one
• 4:02
  stop
• 4:02
  shop,
• 4:02
  it's
• 4:03
  their
• 4:03
  printer,
• 4:03
  it's
• 4:03
  their,
• 4:04
  you
• 4:04
  know,
• 4:04
  shipping
• 4:05
  location,
• 4:05
  it's,
• 4:06
  it's
• 4:06
  a
• 4:06
  place
• 4:06
  that
• 4:06
  they
• 4:07
  can
• 4:07
  go
• 4:07
  and
• 4:07
  do
• 4:07
  all
• 4:08
  the
• 4:08
  things
• 4:08
  in
• 4:08
  one
• 4:08
  place.
• 4:09
  But
• 4:09
  I
• 4:10
  do
• 4:10
  agree
• 4:11
  that
• 4:12
  eventually
• 4:13
  we
• 4:13
  will
• 4:13
  find
• 4:14
  new
• 4:14
  ways
• 4:14
  of
• 4:14
  doing
• 4:14
  this.
• 4:15
  The
• 4:16
  menu
• 4:16
  example,
• 4:17
  printing
• 4:17
  off
• 4:17
  new
• 4:18
  menus
• 4:18
  every
• 4:18
  day
• 4:18
  like
• 4:20
  that
• 4:20
  will
• 4:20
  likely
• 4:21
  go
• 4:21
  by
• 4:22
  the
• 4:22
  wayside
• 4:22
  some,
• 4:23
  something
• 4:23
  will
• 4:23
  change
• 4:23
  there.
• 4:24
  So
• 4:24
  I
• 4:24
  don't,
• 4:25
  I
• 4:25
  don't
• 4:25
  think
• 4:25
  I'd
• 4:25
  be
• 4:25
  putting
• 4:26
  my
• 4:26
  money
• 4:26
  on
• 4:26
  this
• 4:27
  one
• 4:27
  for
• 4:28
  the
• 4:28
  long
• 4:28
  term,
• 4:29
  but
• 4:29
  I
• 4:29
  do
• 4:29
  think
• 4:29
  it's
• 4:30
  going
• 4:30
  to
• 4:30
  be
• 4:30
  a
• 4:30
  bit
• 4:30
  more
• 4:30
  of
• 4:31
  a
• 4:31
  slow
• 4:31
  burn
• 4:32
  than,
• 4:33
  than
• 4:33
  most
• 4:33
  of
• 4:34
  us
• 4:34
  would
• 4:34
  expect.
• 4:35
  Yeah,
• 4:36
  it's,
• 4:36
  I
• 4:36
  mean
• 4:36
  it's
• 4:36
  a
• 4:37
  smart,
• 4:37
  it's
• 4:37
  a
• 4:37
  smart
• 4:37
  pitch
• 4:38
  and
• 4:38
  a
• 4:38
  smart
• 4:38
  way
• 4:38
  to
• 4:38
  try
• 4:39
  to
• 4:39
  get
• 4:39
  extra
• 4:39
  business
• 4:39
  like
• 4:40
  get
• 4:40
  TSA
• 4:40
  PreCheck
• 4:41
  applications
• 4:42
  going
• 4:42
  through
• 4:42
  your
• 4:42
  store.
• 4:42
  And
• 4:43
  they
• 4:43
  do
• 4:43
  get
• 4:43
  a
• 4:43
  lot
• 4:44
  like
• 4:44
  Office
• 4:44
  Depot
• 4:45
  and
• 4:45
  Office
• 4:45
  Max
• 4:45
  do
• 4:45
  that
• 4:45
  too.
• 4:46
  And
• 4:46
  he
• 4:46
  said
• 4:46
  it's
• 4:46
  crazy
• 4:47
  like
• 4:47
  the
• 4:47
  amount
• 4:47
  of
• 4:48
  volume
• 4:48
  that
• 4:48
  they
• 4:48
  get.
• 4:49
  But
• 4:49
  I'd
• 4:50
  rather
• 4:50
  go
• 4:50
  there
• 4:50
  than
• 4:50
  the
• 4:51
  airport
• 4:51
  for
• 4:51
  100%.
• 4:52
  You
• 4:52
  know,
• 4:53
  I
• 4:53
  mean,
• 4:53
  if
• 4:53
  I'm
• 4:53
  a
• 4:53
  retailer
• 4:54
  listening,
• 4:54
  I'm
• 4:54
  like,
• 4:55
  why
• 4:55
  are
• 4:55
  not,
• 4:55
  why
• 4:55
  not,
• 4:55
  why
• 4:56
  not?
• 4:56
  Why
• 4:56
  aren't
• 4:56
  I
• 4:56
  doing
• 4:57
  that
• 4:57
  too?
• 4:57
  Like
• 4:57
  if
• 4:57
  I'm
• 4:58
  Costco
• 4:58
  or
• 4:59
  Sam's
• 4:59
  Club
• 4:59
  or
• 4:59
  whatever.
• 5:00
  Like,
• 5:00
  why
• 5:00
  aren't
• 5:00
  I
• 5:00
  doing
• 5:00
  that?
• 5:01
  Why
• 5:01
  am
• 5:01
  I
• 5:01
  letting
• 5:01
  this
• 5:01
  business
• 5:02
  go
• 5:02
  to
• 5:02
  go
• 5:03
  to
• 5:03
  the
• 5:03
  go
• 5:03
  to
• 5:03
  Staples?
• 5:04
  Like,
• 5:04
  people
• 5:04
  are
• 5:04
  in
• 5:05
  my
• 5:05
  store
• 5:05
  more
• 5:05
  often.
• 5:06
  Why
• 5:06
  aren't
• 5:06
  I
• 5:06
  setting
• 5:06
  up
• 5:06
  these
• 5:07
  things?
• 5:07
  Right.
• 5:07
  I
• 5:07
  don't
• 5:08
  know.
• 5:08
  But
• 5:08
  are
• 5:08
  people
• 5:08
  are
• 5:09
  people
• 5:09
  buying
• 5:09
  the,
• 5:10
  you
• 5:10
  know,
• 5:11
  $500
• 5:11
  office
• 5:12
  chair
• 5:12
  while
• 5:12
  they're
• 5:13
  there?
• 5:13
  Probably
• 5:14
  not.
• 5:14
  And
• 5:14
  that's
• 5:15
  the
• 5:15
  thing
• 5:15
  that
• 5:15
  you
• 5:15
  have
• 5:16
  to
• 5:16
  look
• 5:16
  at,
• 5:16
  like,
• 5:17
  how
• 5:17
  much
• 5:17
  that's
• 5:18
  the
• 5:18
  that's
• 5:18
  the
• 5:18
  business
• 5:19
  that
• 5:19
  you're
• 5:19
  making
• 5:19
  the
• 5:19
  real
• 5:20
  margins
• 5:20
  on.
• 5:21
  Are
• 5:21
  you
• 5:21
  going
• 5:21
  to
• 5:22
  see
• 5:22
  people
• 5:23
  do
• 5:23
  that
• 5:23
  behavior?
• 5:25
  Probably.
• 5:25
  You
• 5:25
  know,
• 5:25
  they're
• 5:26
  probably
• 5:26
  looking
• 5:26
  online
• 5:26
  for
• 5:27
  that
• 5:27
  stuff
• 5:27
  to
• 5:27
  find
• 5:27
  the
• 5:28
  best
• 5:28
  price.
• 5:28
  And
• 5:30
  I
• 5:30
  don't
• 5:30
  know
• 5:30
  that
• 5:30
  Office,
• 5:31
  Office
• 5:32
  Max
• 5:32
  Depot
• 5:32
  or
• 5:33
  Staples
• 5:33
  are
• 5:33
  are
• 5:34
  going
• 5:34
  to
• 5:34
  be
• 5:34
  that
• 5:34
  for
• 5:34
  them.
• 5:35
  Yeah,
• 5:36
  100%
• 5:36
  agree.