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The Way Too Early 2025 Retail Year-in-Review With Ethan Chernofsky | Ask An Expert · Omni Talk Retail

• 0:00
  Foreign
• 0:08
  welcome
• 0:09
  to
• 0:09
  the
• 0:09
  latest
• 0:09
  edition
• 0:10
  of
• 0:10
  the
• 0:10
  Omnitalk
• 0:11
  Retail
• 0:11
  Ask
• 0:11
  An
• 0:12
  Expert
• 0:12
  series.
• 0:12
  I
• 0:13
  am
• 0:13
  one
• 0:13
  of
• 0:13
  your
• 0:13
  co
• 0:13
  hosts
• 0:14
  for
• 0:14
  today's
• 0:14
  interview,
• 0:15
  Chris
• 0:15
  Walton.
• 0:16
  And
• 0:16
  I'm
• 0:16
  Anne
• 0:16
  Mazinga.
• 0:17
  And
• 0:17
  we
• 0:17
  are
• 0:17
  the
• 0:18
  founders
• 0:18
  of
• 0:18
  omnitalk,
• 0:19
  the
• 0:19
  fast
• 0:19
  growing
• 0:19
  retail
• 0:19
  media
• 0:19
  outlet
• 0:20
  that
• 0:20
  is
• 0:20
  all
• 0:20
  about
• 0:20
  the
• 0:20
  companies,
• 0:21
  the
• 0:21
  technologies
• 0:21
  and
• 0:22
  the
• 0:22
  people
• 0:22
  that
• 0:22
  are
• 0:22
  coming
• 0:22
  together
• 0:23
  to
• 0:23
  shape
• 0:23
  the
• 0:23
  future
• 0:24
  of
• 0:24
  retail.
• 0:24
  And
• 0:25
  our
• 0:26
  next
• 0:26
  guest
• 0:27
  likely
• 0:27
  needs
• 0:27
  no
• 0:28
  introduction
• 0:28
  and
• 0:28
  I
• 0:28
  of
• 0:29
  course,
• 0:29
  am
• 0:29
  talking
• 0:29
  about
• 0:29
  Ethan
• 0:30
  Chernofsky,
• 0:31
  Placer
• 0:31
  AI's
• 0:32
  chief
• 0:32
  marketing
• 0:33
  officer.
• 0:33
  Ethan
• 0:34
  is
• 0:34
  here,
• 0:34
  as
• 0:35
  he
• 0:35
  has
• 0:35
  been
• 0:35
  now
• 0:35
  for
• 0:35
  I
• 0:36
  think
• 0:36
  the
• 0:36
  past
• 0:36
  three
• 0:37
  years,
• 0:37
  to
• 0:38
  give
• 0:38
  us
• 0:38
  what
• 0:38
  we
• 0:38
  are
• 0:38
  calling
• 0:38
  his
• 0:39
  way
• 0:39
  too
• 0:40
  early
• 0:40
  2020
• 0:41
  five
• 0:41
  year
• 0:42
  end
• 0:42
  review
• 0:43
  analysis.
• 0:43
  Ethan,
• 0:44
  welcome
• 0:44
  back
• 0:44
  to
• 0:44
  Omnitalk
• 0:45
  and
• 0:45
  congrats
• 0:46
  on
• 0:46
  holding
• 0:47
  on
• 0:47
  to
• 0:47
  your
• 0:47
  title
• 0:48
  as
• 0:48
  our
• 0:48
  most
• 0:48
  interviewed
• 0:49
  guest
• 0:49
  in
• 0:49
  2025.
• 0:51
  It's,
• 0:51
  it's,
• 0:51
  it's
• 0:52
  great
• 0:52
  to
• 0:52
  be
• 0:52
  here
• 0:52
  and
• 0:52
  I,
• 0:53
  I
• 0:53
  feel
• 0:53
  like
• 0:53
  we're
• 0:54
  doing,
• 0:54
  we're
• 0:54
  doing
• 0:54
  what
• 0:55
  the
• 0:55
  world
• 0:55
  needs,
• 0:55
  which
• 0:55
  is
• 0:56
  giving
• 0:56
  annual
• 0:57
  lessons
• 0:58
  in
• 0:58
  the
• 0:58
  start
• 0:58
  of
• 0:59
  November,
• 1:00
  right?
• 1:00
  In
• 1:00
  month
• 1:00
  11.
• 1:01
  Yeah,
• 1:02
  yeah.
• 1:02
  That's
• 1:02
  the
• 1:02
  way
• 1:02
  to
• 1:02
  do
• 1:02
  it.
• 1:03
  Nothing
• 1:03
  can
• 1:03
  change
• 1:03
  in
• 1:03
  month
• 1:04
  12.
• 1:04
  Nothing
• 1:04
  can
• 1:04
  change,
• 1:04
  Nothing
• 1:05
  can
• 1:05
  impact
• 1:05
  this
• 1:05
  analysis.
• 1:06
  It's
• 1:07
  not
• 1:07
  like
• 1:07
  anything
• 1:07
  happens
• 1:07
  in
• 1:08
  retail
• 1:08
  in
• 1:08
  the
• 1:08
  end
• 1:09
  of
• 1:09
  November
• 1:09
  and
• 1:10
  December.
• 1:10
  No,
• 1:11
  no,
• 1:11
  no,
• 1:11
  no,
• 1:12
  no.
• 1:12
  That's
• 1:12
  what
• 1:13
  all
• 1:13
  the,
• 1:13
  Exactly.
• 1:14
  Yeah.
• 1:14
  That's
• 1:14
  what
• 1:14
  all
• 1:14
  the
• 1:15
  prediction,
• 1:15
  prediction
• 1:16
  content
• 1:17
  is
• 1:17
  for
• 1:17
  at
• 1:17
  the
• 1:17
  beginning
• 1:18
  of
• 1:18
  the
• 1:18
  year
• 1:18
  in
• 1:18
  January.
• 1:19
  Right.
• 1:19
  But,
• 1:19
  but
• 1:20
  for
• 1:20
  those
• 1:20
  watching
• 1:20
  and
• 1:20
  listening
• 1:21
  in
• 1:21
  real
• 1:21
  time,
• 1:21
  keep
• 1:21
  in
• 1:22
  mind,
• 1:22
  and
• 1:22
  this
• 1:22
  is
• 1:23
  a
• 1:23
  hallmark
• 1:23
  of
• 1:23
  how
• 1:23
  we
• 1:24
  do
• 1:24
  things
• 1:24
  here
• 1:24
  with
• 1:24
  our
• 1:24
  friend
• 1:25
  Ethan
• 1:25
  from
• 1:25
  Placer
• 1:25
  AI
• 1:26
  Ann
• 1:26
  and
• 1:27
  I
• 1:27
  have
• 1:27
  literally
• 1:28
  no
• 1:28
  idea
• 1:28
  what
• 1:29
  Ethan
• 1:29
  is
• 1:29
  going
• 1:30
  to
• 1:30
  share
• 1:30
  with
• 1:30
  us.
• 1:30
  And
• 1:31
  so
• 1:31
  we,
• 1:31
  like
• 1:31
  all
• 1:32
  of
• 1:32
  you,
• 1:32
  will
• 1:32
  be
• 1:33
  reacting
• 1:34
  in
• 1:34
  real
• 1:35
  time
• 1:35
  to
• 1:35
  what
• 1:35
  Ethan
• 1:35
  says
• 1:36
  100%,
• 1:36
  organically
• 1:37
  and
• 1:37
  authentically.
• 1:38
  So
• 1:39
  an
• 1:39
  I
• 1:39
  think
• 1:39
  we
• 1:40
  should
• 1:40
  get
• 1:40
  started.
• 1:40
  Yes.
• 1:41
  But
• 1:41
  before
• 1:41
  we
• 1:41
  do,
• 1:42
  just
• 1:42
  a
• 1:42
  quick
• 1:42
  reminder
• 1:43
  to
• 1:43
  all
• 1:43
  of
• 1:43
  you
• 1:43
  who
• 1:43
  are
• 1:43
  joining
• 1:44
  us
• 1:44
  live,
• 1:45
  if
• 1:45
  you
• 1:45
  want
• 1:45
  to
• 1:46
  razz
• 1:46
  Ethan,
• 1:47
  you
• 1:47
  want
• 1:47
  to
• 1:47
  send
• 1:47
  him
• 1:48
  a
• 1:48
  question,
• 1:48
  you
• 1:48
  want
• 1:49
  to
• 1:49
  question
• 1:49
  any
• 1:49
  of
• 1:50
  the
• 1:50
  content
• 1:50
  that
• 1:50
  he's
• 1:51
  about
• 1:51
  to
• 1:51
  put
• 1:51
  in
• 1:51
  front
• 1:51
  of
• 1:52
  us,
• 1:52
  you
• 1:52
  know
• 1:52
  where
• 1:52
  to
• 1:53
  do
• 1:53
  that
• 1:53
  in
• 1:53
  the
• 1:53
  chat
• 1:54
  field
• 1:54
  to
• 1:54
  the
• 1:54
  right
• 1:55
  of
• 1:55
  your
• 1:55
  screen.
• 1:56
  Throughout
• 1:56
  our
• 1:56
  conversation,
• 1:57
  Ethan
• 1:57
  will
• 1:58
  be
• 1:58
  responding
• 1:59
  to
• 2:00
  hopefully
• 2:00
  all
• 2:00
  of
• 2:01
  your
• 2:01
  questions.
• 2:01
  The
• 2:01
  razzing,
• 2:02
  maybe
• 2:02
  not,
• 2:02
  but,
• 2:03
  but
• 2:03
  we're
• 2:04
  so
• 2:04
  excited
• 2:05
  to
• 2:05
  have
• 2:05
  you,
• 2:05
  Ethan,
• 2:06
  and
• 2:07
  all
• 2:07
  of
• 2:07
  you
• 2:07
  who
• 2:07
  are
• 2:07
  joining
• 2:08
  us
• 2:08
  live
• 2:08
  today.
• 2:08
  But
• 2:09
  before
• 2:09
  we
• 2:09
  get
• 2:10
  started,
• 2:10
  Ethan,
• 2:11
  please
• 2:12
  tell
• 2:12
  the
• 2:12
  audience,
• 2:12
  for
• 2:13
  those
• 2:13
  who
• 2:13
  might
• 2:13
  be
• 2:13
  joining
• 2:14
  us
• 2:14
  for
• 2:14
  the
• 2:14
  first
• 2:14
  time
• 2:14
  and
• 2:14
  learning
• 2:15
  about
• 2:15
  Placer,
• 2:16
  what
• 2:16
  is
• 2:17
  Placer
• 2:17
  and
• 2:17
  what
• 2:18
  is
• 2:18
  it
• 2:18
  about
• 2:18
  the
• 2:18
  data
• 2:18
  that
• 2:18
  you're
• 2:19
  collecting
• 2:19
  that
• 2:19
  makes
• 2:19
  it
• 2:20
  Such
• 2:20
  a
• 2:20
  useful
• 2:21
  tool
• 2:21
  in
• 2:21
  providing
• 2:22
  the
• 2:22
  insights
• 2:23
  into
• 2:23
  the
• 2:23
  topic
• 2:24
  at
• 2:24
  hand
• 2:24
  today.
• 2:26
  So
• 2:26
  happy
• 2:26
  you
• 2:27
  asked.
• 2:27
  So
• 2:27
  Placer
• 2:28
  is
• 2:28
  a
• 2:28
  location
• 2:28
  analytics
• 2:29
  company.
• 2:29
  What
• 2:29
  that
• 2:30
  means
• 2:30
  is
• 2:30
  people
• 2:31
  vote
• 2:31
  with
• 2:31
  their
• 2:31
  feet.
• 2:31
  We
• 2:31
  show
• 2:31
  you
• 2:32
  how
• 2:32
  they
• 2:32
  vote
• 2:32
  across
• 2:32
  the
• 2:33
  United
• 2:33
  States
• 2:33
  every
• 2:33
  single
• 2:34
  day.
• 2:34
  We
• 2:34
  do
• 2:34
  that
• 2:34
  by
• 2:35
  observing
• 2:35
  a
• 2:35
  panel
• 2:35
  of
• 2:36
  tens
• 2:36
  of
• 2:36
  millions
• 2:36
  of
• 2:37
  mobile
• 2:37
  devices
• 2:37
  very
• 2:37
  critically.
• 2:38
  This
• 2:38
  data
• 2:39
  is
• 2:39
  all
• 2:39
  aggregate
• 2:39
  data
• 2:40
  that
• 2:40
  has
• 2:40
  been
• 2:40
  stripped
• 2:40
  of
• 2:40
  identifiers
• 2:41
  like
• 2:41
  maids.
• 2:42
  So
• 2:42
  we
• 2:42
  are
• 2:42
  gdpr,
• 2:43
  CCPA
• 2:43
  compliant.
• 2:44
  We
• 2:44
  then
• 2:44
  analyze
• 2:45
  that
• 2:45
  data
• 2:45
  with
• 2:45
  machine
• 2:46
  learning
• 2:46
  and
• 2:46
  AI
• 2:46
  algorithms
• 2:47
  and
• 2:48
  make
• 2:48
  utilize
• 2:49
  those
• 2:49
  algorithms
• 2:50
  to
• 2:50
  make
• 2:50
  estimations
• 2:50
  of
• 2:51
  visits
• 2:51
  to
• 2:51
  locations
• 2:52
  across
• 2:52
  the
• 2:52
  country.
• 2:52
  And
• 2:53
  we
• 2:53
  display
• 2:53
  that
• 2:53
  in
• 2:53
  a
• 2:54
  wealth
• 2:54
  of
• 2:54
  different
• 2:54
  reports
• 2:54
  within
• 2:55
  our
• 2:55
  platform
• 2:55
  and
• 2:55
  everything
• 2:55
  from
• 2:56
  cannibalization,
• 2:57
  the
• 2:57
  customer
• 2:58
  journey,
• 2:58
  visitation
• 2:59
  trends,
• 2:59
  and
• 2:59
  a
• 2:59
  whole
• 3:00
  lot
• 3:00
  more.
• 3:01
  All
• 3:01
  right,
• 3:01
  let's
• 3:02
  not
• 3:02
  keep
• 3:02
  the
• 3:02
  audience
• 3:02
  in
• 3:02
  suspense
• 3:03
  any
• 3:03
  longer.
• 3:04
  What
• 3:04
  is
• 3:04
  the
• 3:04
  first
• 3:05
  thing
• 3:05
  you're
• 3:05
  going
• 3:05
  to
• 3:05
  share
• 3:05
  with
• 3:06
  us
• 3:06
  in
• 3:06
  this
• 3:06
  way
• 3:06
  too
• 3:07
  early
• 3:07
  2025
• 3:08
  review?
• 3:09
  I
• 3:09
  genuinely
• 3:10
  get
• 3:10
  excited
• 3:10
  about
• 3:10
  this
• 3:11
  because
• 3:11
  it's,
• 3:11
  I'm
• 3:12
  excited
• 3:12
  to
• 3:12
  see
• 3:12
  how
• 3:12
  you
• 3:13
  guys
• 3:14
  respond
• 3:14
  to
• 3:14
  it.
• 3:15
  But
• 3:16
  lesson
• 3:16
  number
• 3:16
  one,
• 3:17
  and
• 3:17
  it
• 3:18
  is
• 3:18
  without
• 3:18
  question
• 3:19
  the,
• 3:20
  the
• 3:20
  biggest
• 3:20
  lesson
• 3:21
  for
• 3:21
  me
• 3:21
  from
• 3:22
  this
• 3:22
  year
• 3:22
  is
• 3:23
  reason
• 3:23
  for
• 3:23
  being
• 3:23
  and
• 3:24
  the,
• 3:24
  what
• 3:24
  we're
• 3:24
  calling
• 3:24
  the
• 3:25
  consumer
• 3:25
  preference
• 3:25
  epiphany.
• 3:26
  Right.
• 3:27
  And
• 3:27
  so
• 3:27
  let's,
• 3:27
  let's,
• 3:28
  let's
• 3:28
  break
• 3:28
  this
• 3:28
  down.
• 3:29
  Okay.
• 3:29
  We
• 3:30
  have
• 3:30
  talked
• 3:30
  for
• 3:30
  a
• 3:31
  long
• 3:31
  time
• 3:31
  about
• 3:32
  the
• 3:32
  idea
• 3:32
  that
• 3:33
  convenience
• 3:33
  is
• 3:34
  overrated.
• 3:34
  We've
• 3:35
  talked
• 3:35
  about
• 3:35
  it
• 3:35
  multiple
• 3:36
  times
• 3:36
  about
• 3:36
  the
• 3:36
  idea
• 3:37
  that
• 3:37
  like,
• 3:37
  visits
• 3:38
  per
• 3:38
  category
• 3:39
  are
• 3:39
  going
• 3:39
  up
• 3:39
  for
• 3:40
  like
• 3:40
  the
• 3:40
  average
• 3:40
  visitor,
• 3:40
  so
• 3:41
  they're
• 3:41
  going
• 3:41
  to
• 3:41
  more
• 3:41
  grocers,
• 3:42
  more
• 3:42
  superstores,
• 3:42
  more
• 3:43
  home
• 3:43
  furnishings
• 3:44
  players
• 3:45
  within
• 3:45
  their
• 3:45
  ongoing
• 3:46
  journey,
• 3:47
  that
• 3:47
  they're
• 3:47
  willing
• 3:48
  to
• 3:48
  travel
• 3:48
  farther
• 3:48
  than
• 3:49
  they
• 3:49
  were
• 3:49
  for
• 3:49
  four,
• 3:49
  for
• 3:50
  brands
• 3:50
  that
• 3:50
  they
• 3:50
  like,
• 3:50
  for
• 3:51
  products
• 3:51
  that
• 3:51
  they
• 3:51
  love,
• 3:51
  for
• 3:52
  value,
• 3:52
  for
• 3:52
  experience,
• 3:53
  whatever
• 3:53
  it
• 3:53
  may
• 3:53
  be.
• 3:54
  That's
• 3:55
  one
• 3:55
  thing
• 3:55
  that
• 3:55
  we're
• 3:56
  seeing
• 3:56
  pop
• 3:57
  in
• 3:57
  the
• 3:57
  data
• 3:57
  and
• 3:57
  continue
• 3:58
  to
• 3:58
  happen,
• 3:59
  if
• 3:59
  not
• 3:59
  actually
• 3:59
  get
• 4:00
  more
• 4:00
  significant
• 4:01
  over
• 4:01
  time.
• 4:02
  At
• 4:03
  the
• 4:03
  same
• 4:03
  time,
• 4:04
  when
• 4:04
  we
• 4:04
  look
• 4:04
  at
• 4:05
  the
• 4:05
  retail
• 4:05
  space,
• 4:05
  there
• 4:06
  are
• 4:06
  a
• 4:06
  lot
• 4:06
  of
• 4:06
  things
• 4:06
  that
• 4:07
  are
• 4:07
  showing
• 4:07
  us
• 4:07
  that
• 4:09
  focus,
• 4:10
  flexibility,
• 4:11
  a
• 4:11
  real
• 4:12
  message,
• 4:12
  a
• 4:12
  real
• 4:13
  kind
• 4:13
  of
• 4:13
  core
• 4:13
  ability
• 4:14
  to,
• 4:14
  to
• 4:14
  deliver
• 4:15
  on
• 4:15
  a
• 4:15
  brand
• 4:15
  promise,
• 4:16
  a
• 4:16
  clear
• 4:16
  brand
• 4:16
  promise.
• 4:17
  All
• 4:17
  those
• 4:18
  things
• 4:18
  are
• 4:18
  more
• 4:18
  important
• 4:19
  than
• 4:19
  they
• 4:19
  were
• 4:19
  before.
• 4:20
  You
• 4:20
  take
• 4:20
  those
• 4:20
  two
• 4:21
  things
• 4:21
  together.
• 4:22
  A
• 4:22
  consumer
• 4:22
  that
• 4:23
  says,
• 4:23
  I
• 4:23
  want
• 4:24
  specific
• 4:24
  things
• 4:24
  that
• 4:25
  I
• 4:25
  love
• 4:25
  and
• 4:26
  a
• 4:26
  retailer
• 4:27
  that
• 4:27
  says,
• 4:27
  I'm
• 4:27
  going
• 4:27
  to
• 4:28
  get
• 4:28
  really
• 4:28
  good
• 4:28
  at
• 4:28
  providing
• 4:29
  this
• 4:29
  and
• 4:29
  I'm
• 4:30
  not
• 4:30
  going
• 4:30
  to
• 4:30
  overextend.
• 4:32
  That's
• 4:33
  a
• 4:33
  very
• 4:33
  powerful
• 4:34
  element
• 4:34
  of
• 4:35
  what's
• 4:35
  going
• 4:35
  to
• 4:35
  drive
• 4:35
  retail
• 4:36
  moving
• 4:36
  forward.
• 4:36
  And
• 4:37
  I
• 4:37
  think
• 4:37
  we're
• 4:37
  going
• 4:37
  to
• 4:37
  talk
• 4:37
  about
• 4:37
  this
• 4:38
  in
• 4:38
  another
• 4:38
  frame
• 4:38
  of
• 4:38
  reference
• 4:39
  in,
• 4:39
  in,
• 4:39
  in
• 4:39
  a
• 4:40
  few
• 4:40
  lessons
• 4:41
  from
• 4:41
  now
• 4:42
  idea
• 4:42
  of
• 4:42
  like
• 4:43
  doubling
• 4:44
  and
• 4:44
  tripling
• 4:45
  down
• 4:45
  on
• 4:46
  what
• 4:46
  is
• 4:46
  it
• 4:47
  that
• 4:47
  makes
• 4:48
  you
• 4:48
  great?
• 4:49
  What
• 4:50
  fundamentals
• 4:51
  are
• 4:51
  necessary
• 4:51
  for
• 4:51
  you
• 4:51
  to
• 4:52
  show
• 4:52
  that?
• 4:52
  How
• 4:52
  do
• 4:52
  you
• 4:52
  create
• 4:52
  an
• 4:53
  experience
• 4:53
  around
• 4:53
  that?
• 4:54
  That
• 4:54
  is
• 4:54
  the
• 4:55
  biggest
• 4:55
  lesson
• 4:55
  from
• 4:56
  2025
• 4:56
  for
• 4:57
  me.
• 4:57
  I
• 4:57
  think
• 4:57
  it's
• 4:58
  going
• 4:58
  to
• 4:58
  carry
• 4:58
  for
• 4:59
  quite
• 4:59
  a
• 4:59
  few
• 4:59
  years.
• 5:00
  Like,
• 5:00
  I
• 5:00
  don't
• 5:00
  think
• 5:00
  we're
• 5:00
  going
• 5:00
  to
• 5:00
  see
• 5:01
  this
• 5:01
  reversion
• 5:02
  to
• 5:02
  mission
• 5:03
  driven
• 5:03
  shopping
• 5:03
  where
• 5:03
  people
• 5:04
  try
• 5:04
  to
• 5:04
  do
• 5:04
  as
• 5:04
  much
• 5:04
  as
• 5:04
  possible
• 5:05
  in
• 5:05
  fewer
• 5:05
  spaces.
• 5:06
  I
• 5:06
  think
• 5:06
  this
• 5:06
  is
• 5:06
  something
• 5:07
  that
• 5:07
  is
• 5:07
  here
• 5:07
  to
• 5:07
  stay.
• 5:08
  It's
• 5:08
  bucked
• 5:09
  things
• 5:09
  that
• 5:09
  should
• 5:10
  have
• 5:11
  offset
• 5:11
  their
• 5:11
  value.
• 5:11
  So
• 5:12
  for
• 5:12
  example,
• 5:12
  economic
• 5:13
  uncertainty,
• 5:14
  high
• 5:14
  gas
• 5:15
  prices,
• 5:15
  those
• 5:15
  should
• 5:15
  have
• 5:16
  pushed
• 5:16
  us
• 5:16
  to
• 5:16
  do
• 5:17
  more
• 5:17
  emission
• 5:17
  driven
• 5:18
  shopping
• 5:18
  and
• 5:18
  it
• 5:18
  didn't.
• 5:19
  So
• 5:19
  I
• 5:19
  think
• 5:19
  this
• 5:19
  is
• 5:19
  one
• 5:20
  of
• 5:20
  the
• 5:20
  key
• 5:20
  trends
• 5:20
  that
• 5:20
  has
• 5:21
  huge
• 5:21
  staying
• 5:21
  power.
• 5:22
  Ethan,
• 5:22
  I'm
• 5:22
  curious
• 5:22
  for
• 5:22
  those
• 5:23
  watching
• 5:23
  and
• 5:23
  then
• 5:23
  maybe
• 5:24
  those
• 5:24
  listening
• 5:24
  that
• 5:24
  can't
• 5:25
  see
• 5:25
  the
• 5:25
  slide
• 5:25
  in
• 5:25
  front
• 5:25
  of
• 5:26
  them.
• 5:26
  You
• 5:26
  know,
• 5:26
  you're
• 5:27
  pointing
• 5:27
  out
• 5:27
  sprouts,
• 5:28
  particularly
• 5:28
  in
• 5:28
  Barnes
• 5:29
  and
• 5:29
  Noble,
• 5:29
  on
• 5:29
  the
• 5:29
  slide.
• 5:29
  What
• 5:30
  is
• 5:30
  it
• 5:30
  about
• 5:30
  them
• 5:31
  that,
• 5:31
  you
• 5:31
  know,
• 5:32
  really
• 5:32
  rings
• 5:32
  home
• 5:33
  in
• 5:33
  this
• 5:33
  idea
• 5:33
  of
• 5:33
  the
• 5:34
  preference
• 5:34
  epiphany
• 5:35
  that
• 5:35
  you're
• 5:35
  describing
• 5:36
  here.
• 5:36
  So
• 5:37
  sprouts
• 5:37
  is
• 5:37
  such
• 5:37
  a
• 5:38
  great
• 5:38
  example
• 5:38
  because
• 5:38
  when
• 5:38
  we
• 5:39
  think
• 5:39
  about
• 5:39
  the
• 5:40
  grocery
• 5:40
  space,
• 5:41
  it's
• 5:41
  really
• 5:41
  divided
• 5:42
  into
• 5:42
  these
• 5:42
  subcategories
• 5:43
  that
• 5:43
  are
• 5:43
  super
• 5:43
  significant.
• 5:44
  So
• 5:44
  you
• 5:44
  could
• 5:44
  create
• 5:44
  a
• 5:45
  value
• 5:45
  subcategory
• 5:46
  where
• 5:46
  they're
• 5:46
  clearly
• 5:47
  leading
• 5:47
  with
• 5:47
  that
• 5:47
  process.
• 5:48
  You
• 5:48
  could
• 5:48
  create
• 5:49
  an
• 5:49
  all
• 5:49
  in
• 5:49
  one
• 5:49
  category
• 5:50
  where
• 5:50
  I'm
• 5:50
  trying
• 5:50
  to
• 5:51
  accomplish
• 5:51
  as
• 5:51
  much
• 5:51
  as
• 5:51
  possible
• 5:52
  with
• 5:52
  your
• 5:52
  basket.
• 5:53
  And
• 5:53
  if
• 5:53
  we
• 5:53
  think
• 5:53
  about
• 5:54
  2020
• 5:55
  to
• 5:55
  2022,
• 5:56
  what
• 5:56
  we
• 5:57
  saw
• 5:57
  was
• 5:57
  mission
• 5:58
  driven
• 5:58
  shopping.
• 5:58
  I
• 5:58
  want
• 5:59
  to
• 5:59
  go
• 5:59
  to
• 5:59
  the
• 5:59
  all
• 5:59
  in
• 5:59
  one.
• 5:59
  I
• 6:00
  want
• 6:00
  to
• 6:00
  go
• 6:00
  to
• 6:00
  the
• 6:00
  place
• 6:00
  where
• 6:00
  I
• 6:01
  can
• 6:01
  accomplish
• 6:01
  as
• 6:01
  much
• 6:01
  as
• 6:01
  possible.
• 6:02
  I
• 6:02
  want
• 6:02
  to
• 6:02
  walk
• 6:02
  all
• 6:03
  the
• 6:03
  aisles
• 6:03
  and
• 6:04
  I'm
• 6:04
  going
• 6:04
  to
• 6:04
  get
• 6:04
  as
• 6:04
  much
• 6:05
  done
• 6:05
  in
• 6:05
  a
• 6:05
  place
• 6:05
  that
• 6:05
  allows
• 6:06
  me
• 6:06
  to
• 6:06
  do
• 6:06
  as
• 6:07
  much
• 6:07
  as
• 6:07
  possible.
• 6:08
  That
• 6:08
  was
• 6:08
  the
• 6:08
  preference
• 6:09
  for
• 6:09
  the
• 6:09
  consumer
• 6:10
  that
• 6:11
  changed.
• 6:11
  And
• 6:12
  it
• 6:12
  didn't
• 6:12
  change
• 6:12
  overnight,
• 6:13
  but
• 6:13
  it
• 6:13
  was.
• 6:14
  It
• 6:14
  started
• 6:14
  shifting
• 6:15
  pretty
• 6:15
  aggressively
• 6:15
  from
• 6:16
  22
• 6:16
  to
• 6:17
  2023.
• 6:17
  And
• 6:17
  then
• 6:18
  we've
• 6:18
  seen
• 6:18
  that
• 6:18
  trend
• 6:19
  continue
• 6:19
  on.
• 6:20
  And
• 6:20
  I
• 6:20
  think
• 6:21
  sprouts
• 6:21
  is
• 6:21
  such
• 6:22
  an
• 6:22
  awesome
• 6:22
  example
• 6:22
  of
• 6:22
  who
• 6:22
  benefits
• 6:23
  from
• 6:23
  it.
• 6:23
  They
• 6:23
  know
• 6:24
  who
• 6:24
  they
• 6:24
  are,
• 6:24
  they
• 6:24
  know
• 6:25
  what
• 6:25
  they're
• 6:25
  trying
• 6:25
  to
• 6:25
  provide.
• 6:26
  They're
• 6:26
  not
• 6:26
  looking
• 6:27
  to
• 6:27
  be
• 6:27
  your
• 6:27
  only
• 6:28
  grocery
• 6:28
  provider,
• 6:29
  but
• 6:29
  they're
• 6:29
  going
• 6:29
  to
• 6:30
  do
• 6:30
  certain
• 6:30
  things
• 6:31
  better
• 6:31
  than
• 6:31
  others.
• 6:32
  And
• 6:32
  that
• 6:32
  doesn't
• 6:33
  just
• 6:33
  give
• 6:33
  them
• 6:33
  the
• 6:33
  ability
• 6:33
  to
• 6:34
  execute
• 6:34
  on
• 6:34
  that
• 6:34
  promise
• 6:35
  more.
• 6:35
  It
• 6:35
  gives
• 6:35
  them
• 6:36
  format
• 6:36
  flexibility
• 6:37
  so
• 6:37
  they
• 6:37
  can
• 6:37
  fit
• 6:38
  in
• 6:38
  a
• 6:38
  smaller
• 6:38
  location
• 6:39
  where
• 6:39
  others
• 6:39
  can't.
• 6:40
  It's
• 6:40
  harder
• 6:40
  for
• 6:40
  them
• 6:40
  to
• 6:41
  edit
• 6:41
  and
• 6:41
  figure
• 6:41
  out
• 6:41
  what
• 6:42
  to
• 6:42
  put
• 6:42
  in
• 6:42
  each
• 6:42
  space.
• 6:43
  It
• 6:43
  gives
• 6:43
  them
• 6:43
  a
• 6:43
  better
• 6:44
  sense
• 6:44
  of
• 6:44
  who
• 6:44
  their
• 6:44
  audience
• 6:45
  is,
• 6:45
  where
• 6:45
  their
• 6:45
  audience
• 6:46
  is,
• 6:46
  what
• 6:46
  it
• 6:46
  takes
• 6:47
  to
• 6:47
  convert
• 6:47
  people
• 6:48
  to
• 6:48
  become
• 6:48
  part
• 6:49
  of
• 6:49
  their
• 6:49
  audience.
• 6:50
  It
• 6:50
  gives
• 6:50
  them
• 6:50
  so
• 6:50
  much
• 6:51
  power.
• 6:51
  That's
• 6:51
  why
• 6:51
  Sprouts
• 6:52
  is
• 6:52
  such
• 6:52
  a
• 6:52
  big
• 6:52
  one,
• 6:53
  leaving
• 6:54
  Barnes
• 6:54
  and
• 6:54
  Noble,
• 6:55
  because
• 6:55
  I'm
• 6:55
  also
• 6:55
  going
• 6:55
  to
• 6:55
  steal
• 6:56
  that
• 6:56
  example
• 6:56
  for
• 6:56
  a
• 6:56
  later
• 6:57
  one,
• 6:57
  but
• 6:57
  another
• 6:57
  great
• 6:57
  example
• 6:58
  about
• 6:58
  what
• 6:59
  was
• 6:59
  going
• 6:59
  wrong
• 6:59
  with
• 6:59
  Barnes
• 7:00
  and
• 7:00
  Noble,
• 7:01
  you
• 7:01
  know,
• 7:02
  five,
• 7:02
  10
• 7:02
  years
• 7:02
  ago
• 7:03
  over
• 7:03
  expansion.
• 7:04
  They're
• 7:04
  trying
• 7:04
  to
• 7:04
  do
• 7:04
  too
• 7:05
  much
• 7:05
  that
• 7:05
  loses
• 7:05
  the
• 7:06
  sense
• 7:06
  of
• 7:06
  what
• 7:06
  made
• 7:06
  them
• 7:06
  exciting
• 7:07
  and
• 7:07
  popular
• 7:07
  to
• 7:07
  begin
• 7:08
  with.
• 7:08
  And
• 7:08
  this
• 7:09
  refocus
• 7:09
  on
• 7:09
  being
• 7:09
  a
• 7:10
  great
• 7:10
  bookstore,
• 7:11
  a
• 7:11
  great
• 7:11
  bookstore,
• 7:12
  a
• 7:12
  space
• 7:12
  where
• 7:12
  you
• 7:13
  want
• 7:13
  to
• 7:13
  have
• 7:13
  these
• 7:13
  kind
• 7:13
  of
• 7:14
  events
• 7:14
  and
• 7:14
  like,
• 7:14
  kind
• 7:15
  of
• 7:15
  a
• 7:15
  hub
• 7:15
  of
• 7:15
  the
• 7:15
  community.
• 7:16
  This
• 7:16
  town
• 7:16
  square
• 7:18
  has
• 7:18
  really
• 7:18
  been
• 7:18
  a
• 7:18
  huge
• 7:19
  part
• 7:19
  of
• 7:19
  their
• 7:19
  recovery
• 7:20
  as
• 7:20
  well.
• 7:21
  This
• 7:21
  is
• 7:22
  really
• 7:22
  interesting,
• 7:22
  Ethan,
• 7:23
  too,
• 7:23
  as
• 7:23
  we
• 7:23
  look
• 7:23
  at
• 7:23
  it
• 7:23
  in
• 7:24
  the
• 7:24
  context
• 7:24
  of,
• 7:24
  like,
• 7:25
  what's
• 7:25
  happening
• 7:25
  with
• 7:26
  Amazon
• 7:26
  and
• 7:26
  Whole
• 7:27
  Foods
• 7:27
  now
• 7:27
  where
• 7:27
  they're,
• 7:28
  you
• 7:28
  know,
• 7:29
  Amazon's
• 7:29
  pushing,
• 7:30
  selling
• 7:30
  Doritos
• 7:30
  and
• 7:31
  Pepsi
• 7:31
  and
• 7:31
  stuff
• 7:32
  inside
• 7:32
  the
• 7:32
  Whole
• 7:32
  Foods.
• 7:33
  But
• 7:33
  you
• 7:33
  look
• 7:34
  conversely
• 7:34
  at
• 7:34
  this
• 7:34
  data
• 7:35
  that
• 7:35
  you're
• 7:35
  showing
• 7:35
  from
• 7:35
  Sprouts
• 7:36
  here,
• 7:36
  where
• 7:36
  Sprouts
• 7:37
  is
• 7:37
  doubling
• 7:37
  down
• 7:38
  on.
• 7:38
  We
• 7:38
  know
• 7:38
  we're
• 7:38
  an
• 7:39
  extra
• 7:39
  trip,
• 7:39
  but
• 7:39
  we
• 7:40
  know
• 7:40
  you
• 7:40
  want
• 7:40
  that
• 7:40
  extra
• 7:41
  trip
• 7:41
  because
• 7:41
  it
• 7:42
  provides
• 7:42
  you
• 7:42
  a
• 7:42
  unique
• 7:43
  value,
• 7:43
  100%.
• 7:44
  All
• 7:44
  right,
• 7:45
  let's
• 7:45
  go
• 7:45
  to
• 7:45
  the
• 7:45
  next
• 7:46
  slide.
• 7:46
  Ethan.
• 7:46
  Cause
• 7:47
  growth,
• 7:47
  innovation
• 7:48
  and
• 7:48
  the
• 7:48
  store's
• 7:49
  future
• 7:49
  state.
• 7:50
  So
• 7:51
  one
• 7:51
  of
• 7:51
  the
• 7:51
  things
• 7:52
  that
• 7:52
  we,
• 7:53
  that
• 7:54
  I
• 7:54
  think
• 7:54
  the
• 7:54
  three
• 7:54
  of
• 7:54
  us
• 7:54
  really
• 7:54
  enjoy
• 7:55
  talking
• 7:55
  about
• 7:55
  is
• 7:55
  innovation
• 7:56
  in
• 7:56
  the
• 7:56
  retail
• 7:57
  space.
• 7:58
  I
• 7:58
  think
• 7:58
  one
• 7:58
  of
• 7:59
  the
• 7:59
  really
• 7:59
  cool
• 7:59
  things
• 7:59
  from
• 8:00
  looking
• 8:00
  at
• 8:00
  our
• 8:00
  data
• 8:00
  is
• 8:01
  you
• 8:01
  can
• 8:01
  kind
• 8:02
  of
• 8:02
  identify
• 8:02
  certain
• 8:03
  places
• 8:03
  where
• 8:04
  strategies
• 8:05
  make
• 8:05
  sense
• 8:05
  in
• 8:06
  terms
• 8:06
  of
• 8:06
  what
• 8:06
  they're
• 8:06
  attempting
• 8:06
  to
• 8:07
  achieve,
• 8:07
  and
• 8:07
  certain
• 8:08
  places
• 8:08
  where
• 8:08
  strategy
• 8:09
  just
• 8:09
  misses
• 8:10
  the
• 8:10
  mark.
• 8:10
  Right.
• 8:11
  It
• 8:11
  doesn't
• 8:11
  make
• 8:12
  sense.
• 8:12
  And
• 8:12
  what
• 8:13
  I
• 8:13
  mean
• 8:13
  by
• 8:13
  that
• 8:13
  is
• 8:14
  not
• 8:14
  is
• 8:14
  there
• 8:15
  a
• 8:15
  cool
• 8:15
  technology,
• 8:15
  is
• 8:16
  there
• 8:16
  a
• 8:16
  cool
• 8:16
  innovation,
• 8:16
  but
• 8:17
  does
• 8:17
  it
• 8:17
  drive?
• 8:17
  The
• 8:18
  main
• 8:18
  thing
• 8:18
  that's
• 8:18
  going
• 8:19
  to
• 8:19
  push
• 8:19
  retail
• 8:20
  forward,
• 8:20
  especially
• 8:21
  when
• 8:21
  we
• 8:21
  think
• 8:21
  about
• 8:21
  physical
• 8:22
  spaces.
• 8:22
  So
• 8:23
  let's
• 8:23
  think
• 8:24
  about
• 8:25
  what
• 8:25
  we're
• 8:25
  seeing
• 8:25
  trend
• 8:25
  wise
• 8:26
  in
• 8:26
  terms
• 8:26
  of
• 8:26
  consumer
• 8:26
  behavior.
• 8:27
  Again,
• 8:27
  people
• 8:28
  are
• 8:28
  going
• 8:28
  to
• 8:28
  more
• 8:28
  stores,
• 8:29
  they're
• 8:30
  spending
• 8:30
  less
• 8:30
  time
• 8:31
  in
• 8:31
  stores,
• 8:31
  they're
• 8:31
  willing
• 8:32
  to
• 8:32
  travel
• 8:32
  further.
• 8:32
  They're
• 8:32
  looking
• 8:33
  for
• 8:33
  that
• 8:33
  reason
• 8:33
  for
• 8:33
  being,
• 8:35
  which
• 8:35
  means
• 8:36
  the
• 8:36
  battle
• 8:37
  is
• 8:37
  less
• 8:37
  about
• 8:37
  the
• 8:37
  visit
• 8:37
  and
• 8:38
  it's
• 8:38
  more
• 8:38
  about
• 8:38
  maximizing
• 8:39
  the
• 8:39
  visit.
• 8:39
  So
• 8:40
  it's
• 8:40
  more
• 8:40
  about
• 8:40
  this
• 8:41
  kind
• 8:41
  of
• 8:41
  dollar
• 8:42
  per
• 8:42
  location,
• 8:43
  dollar
• 8:43
  per
• 8:44
  visit
• 8:44
  gain.
• 8:45
  So
• 8:46
  what
• 8:47
  we're
• 8:47
  essentially
• 8:47
  agreeing
• 8:48
  on,
• 8:48
  if
• 8:48
  we
• 8:49
  agree
• 8:49
  with
• 8:49
  that
• 8:49
  kind
• 8:49
  of
• 8:49
  that
• 8:49
  Sprouts
• 8:50
  concept,
• 8:50
  just
• 8:50
  like
• 8:50
  you
• 8:50
  just
• 8:51
  said,
• 8:51
  Ann,
• 8:51
  is
• 8:52
  that
• 8:52
  I
• 8:53
  care.
• 8:53
  I'm
• 8:54
  less
• 8:54
  concerned
• 8:55
  with
• 8:55
  what
• 8:55
  makes
• 8:55
  my
• 8:55
  life
• 8:56
  more
• 8:56
  convenient
• 8:56
  and
• 8:56
  I'm
• 8:57
  more
• 8:57
  concerned
• 8:57
  with
• 8:57
  what
• 8:58
  makes
• 8:58
  my
• 8:58
  life
• 8:59
  better
• 8:59
  because
• 8:59
  it
• 8:59
  has
• 9:00
  products
• 9:00
  or
• 9:00
  things
• 9:00
  that
• 9:00
  I
• 9:01
  really
• 9:01
  appreciate
• 9:01
  and
• 9:01
  like.
• 9:02
  So
• 9:03
  I
• 9:03
  think
• 9:03
  what
• 9:03
  we're
• 9:03
  going
• 9:03
  to
• 9:03
  see
• 9:04
  is
• 9:04
  a
• 9:04
  heavy
• 9:04
  emphasis
• 9:04
  on
• 9:05
  elements
• 9:05
  that
• 9:05
  drive
• 9:05
  that
• 9:06
  dollar
• 9:07
  within
• 9:07
  the
• 9:07
  store.
• 9:08
  So
• 9:08
  obviously
• 9:09
  if
• 9:09
  a
• 9:09
  technology
• 9:10
  gives
• 9:10
  you
• 9:10
  a
• 9:10
  path
• 9:11
  to
• 9:11
  increase
• 9:11
  basket
• 9:12
  size,
• 9:12
  that's
• 9:12
  going
• 9:12
  to
• 9:12
  be
• 9:12
  exciting.
• 9:13
  I
• 9:13
  know
• 9:13
  it's
• 9:13
  overhyped,
• 9:14
  I
• 9:14
  know
• 9:14
  there's
• 9:14
  huge
• 9:15
  issues,
• 9:15
  but
• 9:15
  it's
• 9:16
  why
• 9:16
  I'm
• 9:16
  still
• 9:16
  bullish
• 9:16
  on
• 9:17
  retail
• 9:17
  media,
• 9:18
  specifically
• 9:18
  in
• 9:18
  the
• 9:18
  physical
• 9:18
  environment,
• 9:19
  even
• 9:19
  more
• 9:20
  than
• 9:20
  in
• 9:20
  the
• 9:20
  digital
• 9:20
  environment,
• 9:21
  especially
• 9:21
  when
• 9:21
  we
• 9:21
  think
• 9:22
  of
• 9:22
  what's
• 9:22
  happening
• 9:22
  on
• 9:22
  the
• 9:22
  AI
• 9:23
  side,
• 9:23
  because
• 9:23
  there
• 9:24
  is
• 9:24
  this
• 9:24
  need
• 9:25
  to
• 9:25
  expand
• 9:26
  out
• 9:26
  what
• 9:26
  we're
• 9:26
  doing.
• 9:27
  Store
• 9:27
  fulfilled
• 9:28
  E
• 9:28
  Commerce.
• 9:29
  This
• 9:29
  is
• 9:29
  going
• 9:29
  to
• 9:30
  be
• 9:30
  an
• 9:30
  even
• 9:30
  bigger
• 9:31
  area
• 9:31
  of
• 9:31
  emphasis
• 9:31
  because
• 9:32
  it's
• 9:32
  how
• 9:32
  do
• 9:32
  I
• 9:32
  maximize
• 9:33
  that
• 9:33
  location,
• 9:33
  how
• 9:34
  do
• 9:34
  I
• 9:34
  do
• 9:34
  more
• 9:34
  with
• 9:34
  it,
• 9:34
  how
• 9:35
  do
• 9:35
  I
• 9:35
  increase
• 9:35
  the
• 9:36
  value
• 9:36
  of
• 9:36
  each
• 9:37
  trip?
• 9:38
  Something
• 9:38
  that
• 9:38
  we
• 9:38
  call
• 9:38
  adjacent
• 9:39
  innovation,
• 9:39
  which
• 9:40
  is
• 9:40
  something
• 9:40
  that's
• 9:41
  a
• 9:41
  step
• 9:41
  away.
• 9:42
  So
• 9:42
  the
• 9:42
  example
• 9:43
  that's
• 9:43
  up
• 9:43
  here
• 9:43
  for
• 9:43
  us
• 9:43
  is
• 9:44
  H
• 9:44
  E
• 9:44
  B
• 9:45
  with
• 9:45
  their
• 9:45
  true
• 9:45
  Texas
• 9:45
  barbecue.
• 9:46
  Like
• 9:46
  H
• 9:46
  E
• 9:46
  B
• 9:46
  is
• 9:47
  brilliant.
• 9:47
  This
• 9:48
  idea
• 9:48
  that
• 9:48
  now
• 9:48
  there's
• 9:48
  this
• 9:49
  kind
• 9:49
  of
• 9:49
  restaurant
• 9:49
  component
• 9:50
  next
• 9:50
  to
• 9:50
  it.
• 9:51
  This
• 9:51
  isn't
• 9:51
  a
• 9:51
  shocking
• 9:52
  concept,
• 9:52
  right?
• 9:53
  Like
• 9:53
  Whole
• 9:53
  Foods
• 9:53
  has
• 9:54
  prepared
• 9:54
  food,
• 9:54
  Wegmans
• 9:55
  has
• 9:55
  prepared
• 9:55
  food.
• 9:55
  It
• 9:55
  does
• 9:56
  really
• 9:56
  well.
• 9:56
  Lots
• 9:57
  of
• 9:57
  places
• 9:57
  have
• 9:57
  bakery
• 9:57
  components
• 9:58
  or
• 9:58
  coffee
• 9:58
  components
• 9:59
  within
• 9:59
  their
• 9:59
  four
• 9:59
  walls.
• 10:00
  This
• 10:00
  idea
• 10:01
  that
• 10:01
  once
• 10:01
  you
• 10:01
  come,
• 10:02
  you're
• 10:02
  going
• 10:02
  to
• 10:02
  now
• 10:02
  do
• 10:02
  more
• 10:03
  and
• 10:03
  I'm
• 10:03
  going
• 10:03
  to
• 10:03
  increase
• 10:04
  that
• 10:05
  amount
• 10:05
  of
• 10:05
  dollars
• 10:06
  you're
• 10:06
  spending
• 10:06
  with
• 10:06
  me
• 10:06
  with
• 10:06
  these
• 10:07
  locations
• 10:07
  is
• 10:08
  a
• 10:08
  really
• 10:08
  significant,
• 10:09
  powerful
• 10:10
  step
• 10:10
  forward.
• 10:11
  I
• 10:11
  mean,
• 10:11
  Walmart
• 10:11
  we
• 10:11
  have
• 10:12
  up
• 10:12
  here
• 10:12
  because
• 10:12
  of
• 10:12
  what
• 10:12
  they're
• 10:13
  doing
• 10:13
  a
• 10:13
  lot
• 10:13
  on
• 10:14
  the,
• 10:14
  you
• 10:14
  know,
• 10:14
  kind
• 10:14
  of
• 10:15
  both
• 10:15
  on
• 10:15
  the
• 10:15
  retail
• 10:16
  media
• 10:16
  side,
• 10:16
  but
• 10:16
  also
• 10:16
  with
• 10:17
  the
• 10:18
  store
• 10:18
  fulfilled
• 10:18
  E
• 10:19
  Commerce.
• 10:19
  And
• 10:20
  then
• 10:20
  I
• 10:20
  think
• 10:21
  the
• 10:21
  element
• 10:21
  here
• 10:22
  that's
• 10:22
  really
• 10:22
  exciting
• 10:22
  and
• 10:23
  again,
• 10:23
  not
• 10:23
  the
• 10:23
  most
• 10:23
  exciting
• 10:24
  brand
• 10:24
  in
• 10:24
  retail
• 10:24
  is
• 10:24
  the
• 10:25
  Staples
• 10:25
  where
• 10:25
  visits
• 10:25
  are
• 10:26
  really
• 10:26
  spiking.
• 10:26
  They're
• 10:27
  seeing
• 10:27
  a
• 10:27
  lot
• 10:27
  of
• 10:27
  improvements
• 10:28
  because
• 10:28
  of
• 10:29
  services,
• 10:29
  because
• 10:29
  of
• 10:29
  things
• 10:29
  that
• 10:30
  they're
• 10:30
  doing
• 10:30
  with
• 10:30
  the
• 10:30
  store.
• 10:31
  Because
• 10:31
  let's
• 10:31
  be
• 10:31
  honest,
• 10:32
  Amazon
• 10:32
  isn't
• 10:33
  going
• 10:33
  anywhere.
• 10:33
  Staples
• 10:34
  could
• 10:34
  have
• 10:34
  had
• 10:34
  a
• 10:34
  slow
• 10:35
  death
• 10:35
  where
• 10:36
  it's
• 10:36
  like,
• 10:36
  hey,
• 10:36
  we're
• 10:36
  just
• 10:36
  going
• 10:37
  to
• 10:37
  compete
• 10:37
  with
• 10:37
  Amazon
• 10:38
  and
• 10:38
  hope
• 10:39
  that
• 10:39
  people
• 10:39
  are
• 10:39
  going
• 10:39
  to
• 10:39
  come
• 10:39
  to
• 10:39
  our
• 10:40
  store
• 10:40
  continually
• 10:40
  and
• 10:41
  it
• 10:41
  wouldn't
• 10:41
  have
• 10:41
  worked.
• 10:41
  But
• 10:42
  instead
• 10:42
  they
• 10:42
  did
• 10:42
  pivots
• 10:43
  to
• 10:43
  try
• 10:43
  to
• 10:43
  shift
• 10:43
  to
• 10:43
  more
• 10:43
  B2B
• 10:44
  to
• 10:44
  try
• 10:44
  to
• 10:45
  shift
• 10:45
  to
• 10:45
  more
• 10:45
  stores,
• 10:45
  services
• 10:46
  and
• 10:46
  things
• 10:46
  that
• 10:46
  you
• 10:46
  can
• 10:46
  accomplish
• 10:47
  from
• 10:47
  the
• 10:47
  store
• 10:47
  that
• 10:48
  allow
• 10:48
  them
• 10:48
  to
• 10:48
  increase
• 10:48
  their
• 10:49
  value
• 10:49
  and
• 10:49
  they're
• 10:49
  seeing
• 10:50
  visits
• 10:50
  surge.
• 10:51
  So
• 10:51
  I
• 10:52
  think
• 10:52
  that
• 10:53
  the
• 10:54
  biggest
• 10:54
  takeaway
• 10:55
  from
• 10:55
  this
• 10:55
  is
• 10:55
  that
• 10:56
  it's
• 10:56
  a,
• 10:56
  for
• 10:57
  me,
• 10:57
  it's
• 10:57
  a
• 10:58
  measuring
• 10:58
  stick
• 10:58
  for
• 10:58
  when
• 10:59
  you
• 10:59
  hear
• 10:59
  strategic
• 11:00
  ideas
• 11:00
  come
• 11:00
  out
• 11:01
  from
• 11:01
  retailers.
• 11:02
  When
• 11:02
  strategic
• 11:02
  ideas
• 11:03
  come
• 11:03
  out
• 11:03
  and
• 11:03
  it's
• 11:03
  like,
• 11:03
  how
• 11:04
  do
• 11:04
  we
• 11:04
  maximize
• 11:05
  someone's
• 11:05
  visit?
• 11:05
  How
• 11:05
  do
• 11:06
  we
• 11:06
  get
• 11:06
  them
• 11:06
  to
• 11:06
  spend
• 11:06
  more
• 11:06
  time
• 11:07
  in
• 11:07
  the
• 11:07
  store?
• 11:07
  How
• 11:07
  do
• 11:07
  we
• 11:07
  get
• 11:07
  them
• 11:08
  to
• 11:08
  spend
• 11:08
  more
• 11:08
  dollars
• 11:08
  with
• 11:09
  us?
• 11:09
  Overall,
• 11:10
  I'm
• 11:10
  in.
• 11:11
  When
• 11:11
  it's
• 11:11
  about
• 11:11
  how
• 11:12
  do
• 11:12
  we
• 11:12
  get
• 11:12
  them
• 11:13
  in
• 11:13
  and
• 11:13
  out
• 11:13
  so
• 11:13
  much
• 11:13
  faster,
• 11:14
  I
• 11:15
  don't
• 11:15
  care.
• 11:15
  I
• 11:15
  think
• 11:15
  it's
• 11:16
  a
• 11:16
  waste
• 11:16
  of,
• 11:16
  of
• 11:17
  attention.
• 11:17
  In
• 11:17
  the
• 11:17
  time
• 11:18
  being.
• 11:19
  Ethan
• 11:20
  one,
• 11:20
  one
• 11:20
  thing
• 11:21
  I
• 11:21
  want
• 11:21
  to
• 11:21
  call
• 11:21
  out
• 11:22
  and
• 11:22
  again,
• 11:22
  for
• 11:22
  those
• 11:23
  listening,
• 11:24
  surprisingly,
• 11:25
  on
• 11:25
  this
• 11:25
  slide,
• 11:27
  Walmart
• 11:27
  visits
• 11:28
  are
• 11:28
  slightly
• 11:29
  down.
• 11:29
  Which,
• 11:30
  which
• 11:31
  based
• 11:31
  on
• 11:31
  all
• 11:31
  of
• 11:32
  the
• 11:32
  success
• 11:32
  that
• 11:32
  Walmart's
• 11:33
  had
• 11:33
  over
• 11:33
  the
• 11:33
  course
• 11:34
  of
• 11:34
  the
• 11:34
  last
• 11:34
  year
• 11:34
  in
• 11:35
  innovation,
• 11:36
  I'm,
• 11:37
  I'm
• 11:37
  surprised
• 11:37
  to
• 11:37
  see
• 11:38
  that.
• 11:38
  What
• 11:38
  do
• 11:38
  you
• 11:38
  think
• 11:38
  is
• 11:39
  contributing
• 11:39
  to
• 11:40
  that?
• 11:40
  And
• 11:40
  especially
• 11:40
  as
• 11:41
  you
• 11:41
  compare
• 11:41
  it
• 11:41
  to,
• 11:42
  you
• 11:42
  know,
• 11:43
  this,
• 11:43
  the
• 11:43
  H
• 11:43
  E
• 11:44
  B
• 11:44
  with
• 11:44
  a
• 11:44
  true
• 11:44
  Texas
• 11:45
  barbecue.
• 11:46
  Like,
• 11:46
  do
• 11:47
  you,
• 11:47
  does
• 11:47
  that,
• 11:48
  does
• 11:48
  that
• 11:48
  mean
• 11:48
  that
• 11:49
  Walmart
• 11:49
  should
• 11:49
  be
• 11:49
  considering
• 11:50
  having
• 11:51
  some
• 11:51
  sort
• 11:51
  of
• 11:51
  food
• 11:52
  component
• 11:52
  in
• 11:52
  addition
• 11:53
  to
• 11:53
  what
• 11:53
  they're
• 11:53
  having
• 11:53
  to
• 11:54
  increase
• 11:54
  store
• 11:54
  visits?
• 11:55
  Or
• 11:55
  like,
• 11:55
  what
• 11:55
  do
• 11:55
  you
• 11:55
  think
• 11:56
  is
• 11:56
  going
• 11:56
  on
• 11:56
  here?
• 11:57
  Especially
• 11:57
  as
• 11:57
  it
• 11:57
  pertains
• 11:58
  to
• 11:58
  the
• 11:58
  Walmart
• 11:59
  data?
• 11:59
  Ethan?
• 11:59
  I
• 12:00
  don't
• 12:00
  think
• 12:00
  it
• 12:00
  means
• 12:00
  anything
• 12:01
  like
• 12:01
  that.
• 12:01
  I
• 12:02
  think
• 12:02
  I
• 12:02
  need
• 12:02
  to
• 12:02
  be
• 12:02
  fair.
• 12:03
  Let's,
• 12:03
  let's,
• 12:03
  let's
• 12:03
  contextualize
• 12:04
  what
• 12:04
  we're
• 12:04
  seeing.
• 12:05
  Slight
• 12:05
  decreases
• 12:06
  in
• 12:06
  visits,
• 12:07
  slightly.
• 12:07
  We
• 12:07
  were
• 12:08
  talking
• 12:08
  about
• 12:08
  here
• 12:08
  about
• 12:08
  like
• 12:08
  1
• 12:09
  2%.
• 12:10
  Okay.
• 12:10
  It's
• 12:11
  within
• 12:11
  the
• 12:11
  margin
• 12:12
  of
• 12:12
  error
• 12:12
  of
• 12:13
  like
• 12:13
  flat.
• 12:14
  And
• 12:14
  then
• 12:14
  we're
• 12:14
  seeing
• 12:15
  the
• 12:15
  boost
• 12:15
  come
• 12:15
  from
• 12:15
  E
• 12:15
  commerce.
• 12:16
  So
• 12:16
  people
• 12:16
  who
• 12:16
  are
• 12:16
  ordering
• 12:17
  and
• 12:17
  stopping
• 12:17
  in,
• 12:17
  that's
• 12:17
  not
• 12:17
  always
• 12:18
  getting
• 12:18
  counted.
• 12:18
  Like
• 12:19
  the
• 12:19
  delivery
• 12:19
  is
• 12:20
  not
• 12:20
  getting
• 12:20
  counted.
• 12:20
  It
• 12:21
  is
• 12:21
  when
• 12:21
  you're
• 12:22
  talking
• 12:22
  about,
• 12:22
  you
• 12:23
  know,
• 12:23
  I
• 12:23
  saw
• 12:23
  someone
• 12:23
  post
• 12:23
  about
• 12:24
  this
• 12:24
  about
• 12:24
  the
• 12:24
  coffee
• 12:25
  wars
• 12:25
  of
• 12:25
  like,
• 12:26
  hey,
• 12:26
  let's,
• 12:26
  let's
• 12:27
  not
• 12:27
  Forget
• 12:27
  that
• 12:28
  like
• 12:28
  80%
• 12:29
  of
• 12:29
  coffee
• 12:29
  is
• 12:29
  Starbucks,
• 12:30
  Dunkin
• 12:30
  and
• 12:30
  McDonald's.
• 12:31
  Right?
• 12:31
  Yeah.
• 12:32
  I
• 12:32
  think
• 12:32
  it's
• 12:32
  important
• 12:33
  to
• 12:33
  remember
• 12:33
  that
• 12:33
  with
• 12:33
  Walmart
• 12:34
  too.
• 12:34
  Like
• 12:34
  if
• 12:35
  Walmart
• 12:35
  sees
• 12:35
  a
• 12:35
  2%
• 12:36
  traffic
• 12:36
  decline.
• 12:37
  Yeah,
• 12:37
  I
• 12:37
  don't
• 12:38
  care.
• 12:38
  That
• 12:38
  is,
• 12:38
  that
• 12:38
  is
• 12:39
  flat.
• 12:39
  Considering
• 12:39
  the
• 12:39
  heights
• 12:40
  that
• 12:40
  they're
• 12:40
  operating
• 12:40
  at
• 12:40
  and
• 12:41
  the
• 12:41
  distribution
• 12:41
  of
• 12:42
  visits
• 12:42
  that's
• 12:42
  going
• 12:42
  other
• 12:43
  places,
• 12:43
  their
• 12:43
  dominance
• 12:44
  I
• 12:44
  think
• 12:44
  is
• 12:45
  beyond
• 12:46
  reproach
• 12:47
  at
• 12:47
  this
• 12:47
  stage.
• 12:48
  Right.
• 12:48
  And
• 12:48
  we're
• 12:49
  still
• 12:49
  seeing
• 12:49
  a
• 12:49
  significant
• 12:50
  increase
• 12:50
  in,
• 12:50
  in
• 12:51
  online
• 12:52
  sales
• 12:53
  as
• 12:53
  a
• 12:53
  result.
• 12:54
  So.
• 12:54
  Yeah,
• 12:55
  well,
• 12:55
  and
• 12:55
  you
• 12:55
  have
• 12:56
  to
• 12:56
  put
• 12:56
  it
• 12:56
  in
• 12:56
  context
• 12:56
  too.
• 12:56
  Like
• 12:57
  comparatively,
• 12:57
  Walmart's
• 12:58
  traffic
• 12:58
  growth,
• 12:58
  I
• 12:59
  think
• 12:59
  I
• 12:59
  wrote
• 12:59
  about
• 12:59
  this
• 12:59
  in
• 12:59
  my
• 13:00
  last
• 13:00
  article
• 13:00
  for
• 13:00
  you
• 13:00
  guys,
• 13:01
  has
• 13:01
  been
• 13:01
  pretty
• 13:01
  steady
• 13:02
  over
• 13:02
  time,
• 13:02
  which
• 13:02
  is
• 13:03
  very
• 13:03
  different
• 13:03
  than
• 13:03
  some
• 13:03
  of
• 13:04
  its
• 13:04
  core
• 13:04
  competitor
• 13:05
  set.
• 13:05
  One
• 13:05
  of
• 13:05
  which.
• 13:06
  One
• 13:06
  of
• 13:06
  those
• 13:06
  competitors
• 13:07
  we
• 13:07
  know
• 13:07
  pretty
• 13:08
  darn
• 13:08
  well,
• 13:08
  too.
• 13:08
  And
• 13:08
  I
• 13:09
  want
• 13:09
  to
• 13:09
  come
• 13:09
  back
• 13:09
  to
• 13:09
  your
• 13:10
  point,
• 13:10
  though,
• 13:10
  Ethan.
• 13:12
  You
• 13:12
  know,
• 13:13
  you
• 13:13
  said,
• 13:13
  like,
• 13:13
  you
• 13:13
  wouldn't
• 13:14
  be
• 13:14
  spending,
• 13:15
  you
• 13:15
  wouldn't
• 13:16
  be
• 13:16
  investing
• 13:16
  in
• 13:16
  anything.
• 13:17
  That
• 13:17
  just
• 13:17
  gets
• 13:17
  people
• 13:18
  in
• 13:18
  and
• 13:18
  out
• 13:18
  of
• 13:18
  the
• 13:18
  store
• 13:19
  faster.
• 13:19
  Because
• 13:19
  it
• 13:19
  makes
• 13:19
  me
• 13:20
  think
• 13:20
  that
• 13:20
  there
• 13:20
  potentially
• 13:21
  is
• 13:21
  a
• 13:21
  caveat
• 13:21
  to
• 13:22
  that
• 13:22
  statement,
• 13:22
  though,
• 13:22
  because,
• 13:23
  like,
• 13:23
  if
• 13:23
  I'm
• 13:24
  Costco,
• 13:24
  for
• 13:25
  example,
• 13:25
  and
• 13:25
  I
• 13:26
  have
• 13:26
  a
• 13:26
  literal
• 13:27
  capacity
• 13:27
  problem
• 13:27
  with
• 13:28
  the
• 13:28
  amount
• 13:28
  of
• 13:28
  cars
• 13:29
  in
• 13:29
  my
• 13:29
  parking
• 13:30
  lot,
• 13:31
  then
• 13:31
  I
• 13:31
  might
• 13:31
  want
• 13:32
  to
• 13:32
  actually
• 13:32
  take
• 13:32
  advantage
• 13:33
  of
• 13:33
  things
• 13:33
  that
• 13:33
  would
• 13:34
  improve
• 13:34
  the
• 13:34
  throughput
• 13:35
  of
• 13:35
  my
• 13:35
  store
• 13:36
  operation.
• 13:36
  Yes,
• 13:37
  phenomenal
• 13:38
  point,
• 13:39
  100%.
• 13:40
  One
• 13:40
  of
• 13:40
  the
• 13:40
  innovations
• 13:41
  we
• 13:41
  were
• 13:41
  most
• 13:41
  excited
• 13:41
  by
• 13:42
  this
• 13:42
  year.
• 13:42
  Innovations
• 13:43
  again,
• 13:43
  this
• 13:43
  is
• 13:43
  not
• 13:43
  such
• 13:44
  a
• 13:44
  crazy
• 13:44
  idea.
• 13:44
  Was
• 13:45
  when
• 13:45
  Costco
• 13:45
  allowed
• 13:46
  executive
• 13:46
  club
• 13:46
  members
• 13:46
  to
• 13:47
  come
• 13:47
  in
• 13:47
  an
• 13:47
  hour
• 13:47
  earlier
• 13:48
  like
• 13:48
  that.
• 13:48
  We
• 13:49
  saw
• 13:49
  the
• 13:49
  impact
• 13:50
  on
• 13:50
  traffic
• 13:50
  distribution.
• 13:51
  Like,
• 13:51
  it's
• 13:51
  not,
• 13:52
  it's
• 13:52
  not
• 13:52
  enormous,
• 13:53
  but
• 13:53
  it's
• 13:53
  enough
• 13:53
  to
• 13:53
  move
• 13:54
  the
• 13:54
  needle.
• 13:54
  Totally
• 13:55
  agreed.
• 13:55
  There
• 13:55
  are
• 13:56
  cases
• 13:56
  where
• 13:56
  it
• 13:56
  makes
• 13:57
  sense,
• 13:57
  but
• 13:57
  that's
• 13:58
  a
• 13:58
  very
• 13:58
  specific
• 13:59
  example.
• 13:59
  And
• 13:59
  it's
• 14:00
  not
• 14:00
  the.
• 14:00
  More.
• 14:02
  What's
• 14:02
  the,
• 14:02
  what's
• 14:03
  the
• 14:03
  diplomatic
• 14:03
  way
• 14:03
  of
• 14:04
  saying,
• 14:04
  like
• 14:05
  a
• 14:05
  tagline
• 14:05
  for
• 14:06
  the
• 14:06
  sake
• 14:06
  of
• 14:06
  sounding
• 14:06
  cool
• 14:07
  like
• 14:07
  everyone
• 14:07
  else
• 14:08
  of
• 14:08
  like,
• 14:08
  oh,
• 14:09
  my
• 14:09
  God,
• 14:09
  nothing
• 14:09
  matters
• 14:10
  more
• 14:10
  than
• 14:10
  convenience.
• 14:10
  It's
• 14:11
  like
• 14:11
  that's
• 14:12
  fundamentally
• 14:12
  false.
• 14:13
  Like,
• 14:13
  in
• 14:14
  some
• 14:14
  cases,
• 14:14
  you
• 14:14
  want
• 14:15
  to
• 14:15
  move
• 14:15
  people
• 14:15
  through
• 14:15
  the
• 14:16
  store
• 14:16
  because
• 14:16
  you
• 14:16
  have
• 14:16
  capacity
• 14:17
  challenges.
• 14:18
  But
• 14:18
  that's,
• 14:19
  that's
• 14:19
  a
• 14:20
  kind
• 14:20
  of
• 14:20
  a
• 14:21
  rich
• 14:21
  retailer
• 14:22
  problem,
• 14:22
  let's
• 14:22
  call
• 14:22
  it.
• 14:23
  Right.
• 14:23
  It's,
• 14:24
  it's.
• 14:24
  But
• 14:24
  it's
• 14:24
  why
• 14:24
  we
• 14:24
  do
• 14:25
  what
• 14:25
  we
• 14:25
  do
• 14:25
  and
• 14:25
  why
• 14:25
  we
• 14:25
  have
• 14:25
  you
• 14:26
  on.
• 14:26
  Because
• 14:26
  we
• 14:26
  want
• 14:26
  to
• 14:26
  develop
• 14:27
  the
• 14:27
  frameworks
• 14:27
  for
• 14:27
  the
• 14:27
  executives
• 14:28
  listening
• 14:28
  to
• 14:28
  say,
• 14:28
  okay,
• 14:29
  like,
• 14:29
  when.
• 14:29
  How
• 14:29
  should
• 14:30
  I
• 14:30
  be
• 14:30
  thinking
• 14:30
  about
• 14:30
  this?
• 14:30
  Because
• 14:31
  I
• 14:31
  think
• 14:31
  you're.
• 14:31
  I
• 14:31
  think
• 14:31
  you're
• 14:32
  bringing
• 14:32
  up
• 14:32
  a
• 14:32
  great
• 14:32
  point,
• 14:32
  which
• 14:33
  is,
• 14:33
  you
• 14:33
  know,
• 14:33
  like,
• 14:34
  if
• 14:34
  you're
• 14:34
  going
• 14:34
  to
• 14:34
  think
• 14:34
  about
• 14:35
  your
• 14:35
  tech
• 14:35
  investment
• 14:36
  or
• 14:36
  even
• 14:36
  your
• 14:36
  capital
• 14:37
  investment,
• 14:38
  what
• 14:38
  is
• 14:39
  the
• 14:39
  purpose
• 14:39
  of
• 14:39
  that
• 14:40
  investment?
• 14:40
  And
• 14:40
  one
• 14:40
  of
• 14:41
  the
• 14:41
  reasons
• 14:41
  that
• 14:41
  you
• 14:42
  would
• 14:42
  invest
• 14:42
  in
• 14:42
  speedy
• 14:43
  technology
• 14:43
  is
• 14:44
  if
• 14:44
  you
• 14:44
  have
• 14:44
  a
• 14:44
  capacity
• 14:45
  problem,
• 14:45
  if
• 14:45
  you
• 14:45
  have
• 14:45
  a
• 14:45
  throughput
• 14:46
  problem,
• 14:46
  if
• 14:46
  you
• 14:46
  don't,
• 14:47
  then
• 14:47
  I'd
• 14:47
  be
• 14:47
  probably
• 14:48
  more
• 14:48
  inclined
• 14:48
  to
• 14:48
  go
• 14:49
  in
• 14:49
  the
• 14:49
  realm
• 14:50
  that
• 14:50
  you're
• 14:50
  describing
• 14:51
  in
• 14:51
  terms
• 14:51
  of
• 14:51
  where
• 14:52
  should
• 14:52
  we
• 14:52
  put
• 14:52
  our
• 14:52
  money?
• 14:53
  You
• 14:53
  know,
• 14:53
  what
• 14:53
  gets
• 14:53
  people
• 14:54
  more
• 14:54
  excited
• 14:54
  to
• 14:55
  come
• 14:55
  to
• 14:55
  our
• 14:55
  store?
• 14:56
  Yeah.
• 14:56
  But
• 14:56
  even
• 14:57
  problems
• 14:57
  like,
• 14:57
  okay,
• 14:57
  let's
• 14:58
  talk
• 14:58
  about
• 14:58
  efficiency
• 14:58
  problems
• 14:59
  that
• 14:59
  I
• 14:59
  think
• 14:59
  solve
• 15:00
  something
• 15:00
  even
• 15:00
  bigger.
• 15:00
  So,
• 15:01
  yeah,
• 15:01
  there's
• 15:02
  a
• 15:02
  lot
• 15:02
  of
• 15:02
  technologies
• 15:02
  that
• 15:03
  push,
• 15:03
  that
• 15:04
  enable
• 15:04
  frontline
• 15:05
  workers
• 15:05
  to
• 15:05
  do
• 15:05
  more.
• 15:06
  Right.
• 15:06
  Those
• 15:07
  are
• 15:07
  amazing
• 15:07
  technologies.
• 15:08
  I
• 15:08
  don't
• 15:08
  think
• 15:08
  it's
• 15:09
  just
• 15:09
  like
• 15:09
  people
• 15:10
  find
• 15:10
  things
• 15:11
  better.
• 15:11
  I
• 15:11
  think
• 15:11
  it's
• 15:12
  the
• 15:12
  fact
• 15:12
  that
• 15:12
  you're
• 15:13
  now
• 15:13
  helping
• 15:13
  people
• 15:14
  find
• 15:14
  things.
• 15:14
  So
• 15:14
  if
• 15:15
  someone
• 15:15
  engages
• 15:16
  with
• 15:16
  me
• 15:16
  and
• 15:16
  I
• 15:16
  have
• 15:16
  a
• 15:16
  better
• 15:16
  sense
• 15:17
  of
• 15:17
  what's
• 15:17
  in
• 15:17
  the
• 15:17
  store,
• 15:17
  what's
• 15:17
  in
• 15:17
  the
• 15:18
  back,
• 15:18
  what
• 15:18
  I
• 15:18
  might
• 15:18
  need
• 15:19
  to
• 15:19
  have
• 15:19
  delivered
• 15:19
  to
• 15:19
  you,
• 15:19
  I'm
• 15:20
  increasing
• 15:20
  the
• 15:20
  likelihood
• 15:20
  that
• 15:21
  you're
• 15:21
  going
• 15:21
  to
• 15:21
  make
• 15:21
  a
• 15:21
  purchase.
• 15:22
  The
• 15:22
  fact
• 15:22
  that
• 15:22
  it's
• 15:23
  speeding
• 15:23
  your
• 15:23
  process
• 15:24
  is
• 15:24
  almost
• 15:24
  like
• 15:25
  a
• 15:25
  side
• 15:25
  benefit
• 15:26
  or
• 15:26
  a
• 15:26
  secondary
• 15:27
  benefit.
• 15:28
  Then
• 15:28
  I.
• 15:28
  But
• 15:29
  I
• 15:29
  think
• 15:29
  that
• 15:30
  your
• 15:30
  point
• 15:30
  is
• 15:31
  well
• 15:31
  made
• 15:31
  of.
• 15:33
  There
• 15:33
  are
• 15:33
  specific
• 15:34
  cases
• 15:34
  where
• 15:35
  you.
• 15:35
  There
• 15:35
  are
• 15:35
  specific
• 15:36
  challenges
• 15:36
  that
• 15:37
  a
• 15:37
  given
• 15:37
  retailer
• 15:37
  will
• 15:37
  face
• 15:38
  where
• 15:38
  that
• 15:38
  throughput
• 15:39
  or
• 15:39
  the
• 15:39
  efficiency
• 15:40
  in
• 15:40
  store
• 15:40
  or
• 15:41
  keeping
• 15:41
  the
• 15:41
  stores
• 15:42
  free
• 15:42
  enough
• 15:42
  that
• 15:42
  you
• 15:42
  don't
• 15:43
  have
• 15:43
  a
• 15:43
  huge
• 15:43
  problem
• 15:44
  is
• 15:45
  a
• 15:45
  value
• 15:45
  in
• 15:46
  and
• 15:46
  of
• 15:46
  itself.
• 15:46
  But
• 15:47
  from
• 15:47
  an
• 15:47
  overarching
• 15:48
  perspective,
• 15:49
  that's
• 15:49
  not
• 15:49
  the
• 15:50
  primary
• 15:50
  problem
• 15:51
  for
• 15:51
  most
• 15:51
  retailers
• 15:52
  to
• 15:52
  be
• 15:52
  grappling
• 15:53
  with.
• 15:54
  Yep.
• 15:54
  And
• 15:54
  efficiency
• 15:55
  for
• 15:55
  your
• 15:55
  employees
• 15:55
  is
• 15:56
  a
• 15:56
  very
• 15:56
  different
• 15:57
  ball
• 15:57
  game
• 15:57
  than
• 15:57
  efficiency
• 15:58
  for
• 15:58
  your
• 15:58
  customers
• 15:59
  too.
• 15:59
  So,
• 16:00
  you
• 16:00
  know,
• 16:00
  because
• 16:00
  of
• 16:00
  the
• 16:00
  reason
• 16:01
  you're
• 16:01
  saying
• 16:01
  like
• 16:01
  you're
• 16:02
  coming
• 16:02
  into
• 16:02
  that
• 16:02
  store,
• 16:03
  you
• 16:03
  want
• 16:03
  your
• 16:03
  customers
• 16:04
  to
• 16:04
  find
• 16:04
  what
• 16:04
  they're
• 16:04
  looking
• 16:04
  for.
• 16:05
  So.
• 16:05
  All
• 16:05
  right,
• 16:06
  great
• 16:06
  discussion,
• 16:06
  man.
• 16:07
  We're
• 16:07
  getting
• 16:07
  into
• 16:07
  some
• 16:07
  media
• 16:08
  topics
• 16:08
  already.
• 16:08
  All
• 16:08
  right,
• 16:08
  what's
• 16:09
  next?
• 16:09
  Where
• 16:09
  are
• 16:09
  you
• 16:09
  taking
• 16:09
  us
• 16:10
  next?
• 16:11
  The
• 16:11
  two
• 16:12
  parter.
• 16:12
  All
• 16:13
  right,
• 16:13
  Bifurcation,
• 16:14
  part
• 16:14
  one.
• 16:15
  All
• 16:15
  right,
• 16:15
  this
• 16:16
  is.
• 16:18
  This
• 16:18
  one
• 16:19
  bothers
• 16:19
  me
• 16:19
  because
• 16:20
  I
• 16:20
  got
• 16:20
  it
• 16:20
  wrong.
• 16:21
  But
• 16:21
  that's
• 16:21
  why
• 16:21
  I
• 16:21
  have
• 16:22
  a
• 16:22
  part
• 16:22
  two,
• 16:22
  so
• 16:22
  I
• 16:22
  can
• 16:23
  kind
• 16:23
  of
• 16:23
  give
• 16:23
  myself
• 16:23
  a
• 16:24
  way
• 16:24
  out.
• 16:24
  So
• 16:24
  you'll
• 16:24
  see
• 16:25
  where.
• 16:25
  Okay,
• 16:25
  bifurcation,
• 16:26
  part
• 16:26
  one
• 16:26
  is
• 16:28
  the
• 16:28
  pushes
• 16:29
  to
• 16:29
  value
• 16:29
  and
• 16:29
  luxury.
• 16:30
  We're
• 16:30
  seeing
• 16:30
  it
• 16:30
  in
• 16:31
  restaurants,
• 16:31
  we're
• 16:32
  seeing
• 16:32
  it
• 16:32
  in
• 16:32
  retail.
• 16:32
  We're
• 16:33
  seeing
• 16:33
  it
• 16:33
  in
• 16:33
  so
• 16:33
  many
• 16:34
  spaces
• 16:34
  where
• 16:34
  those
• 16:35
  who
• 16:35
  are
• 16:36
  pushing
• 16:37
  in
• 16:37
  either
• 16:37
  of
• 16:37
  those
• 16:37
  directions
• 16:38
  are
• 16:38
  benefiting.
• 16:39
  Right.
• 16:39
  They're
• 16:39
  clearly
• 16:40
  seeing
• 16:40
  value.
• 16:40
  So
• 16:41
  this
• 16:41
  is
• 16:41
  off
• 16:41
  price
• 16:41
  compared
• 16:42
  to
• 16:42
  like
• 16:42
  apparel
• 16:43
  overall,
• 16:43
  not
• 16:44
  excluding
• 16:44
  off
• 16:44
  price.
• 16:45
  We
• 16:45
  see
• 16:45
  the
• 16:46
  luxury
• 16:46
  sector
• 16:46
  outperforming
• 16:47
  and
• 16:47
  whereas
• 16:48
  those
• 16:48
  who
• 16:48
  are
• 16:48
  kind
• 16:48
  of
• 16:48
  aiming
• 16:49
  for
• 16:49
  that
• 16:49
  classic
• 16:49
  middle,
• 16:50
  really
• 16:50
  struggling.
• 16:52
  This
• 16:52
  is
• 16:52
  a
• 16:53
  really
• 16:53
  important
• 16:53
  thing
• 16:54
  because
• 16:55
  I
• 16:55
  believe
• 16:55
  there's
• 16:56
  clear
• 16:56
  reasons
• 16:57
  why.
• 16:57
  And
• 16:57
  we'll
• 16:57
  get
• 16:57
  to
• 16:58
  the
• 16:58
  second
• 16:58
  point
• 16:58
  why
• 16:58
  those
• 16:58
  clear
• 16:59
  reasons
• 16:59
  why
• 16:59
  really
• 16:59
  matter.
• 17:00
  So
• 17:01
  the
• 17:01
  first
• 17:01
  is
• 17:02
  when
• 17:02
  we
• 17:02
  think
• 17:02
  about
• 17:02
  what
• 17:03
  we
• 17:03
  talked
• 17:03
  about
• 17:03
  at
• 17:03
  the
• 17:03
  top,
• 17:04
  the
• 17:04
  reason
• 17:04
  for
• 17:05
  being,
• 17:05
  if
• 17:05
  you're
• 17:05
  in
• 17:05
  the
• 17:06
  luxury
• 17:06
  space
• 17:06
  or
• 17:06
  in
• 17:06
  the
• 17:06
  value
• 17:07
  space,
• 17:07
  you
• 17:07
  know
• 17:07
  why
• 17:08
  you're
• 17:08
  there.
• 17:09
  It
• 17:09
  makes
• 17:09
  it
• 17:09
  clear
• 17:10
  what
• 17:10
  you're
• 17:10
  going
• 17:10
  to
• 17:11
  accomplish
• 17:11
  with
• 17:11
  your
• 17:11
  store,
• 17:11
  the
• 17:11
  kind
• 17:12
  of
• 17:12
  messaging
• 17:12
  you
• 17:12
  need,
• 17:12
  what
• 17:13
  you're
• 17:13
  looking
• 17:13
  to
• 17:14
  provide
• 17:14
  to
• 17:14
  the
• 17:15
  customer
• 17:15
  and
• 17:15
  how
• 17:15
  to
• 17:15
  provide
• 17:16
  it
• 17:16
  in
• 17:16
  the
• 17:16
  most
• 17:16
  effective
• 17:16
  way.
• 17:17
  I
• 17:17
  think
• 17:17
  it's
• 17:18
  Almost
• 17:18
  like
• 17:18
  a
• 17:18
  cheat
• 17:19
  code
• 17:19
  to
• 17:19
  reason
• 17:19
  for
• 17:19
  being.
• 17:21
  I
• 17:21
  also
• 17:21
  think
• 17:21
  that
• 17:23
  the
• 17:23
  bifurcation
• 17:24
  pressures
• 17:25
  retail
• 17:26
  fundamentals.
• 17:27
  In
• 17:27
  places
• 17:27
  where
• 17:27
  the
• 17:27
  retail
• 17:28
  where
• 17:28
  you're
• 17:28
  playing
• 17:28
  with
• 17:29
  a
• 17:29
  margin
• 17:29
  game,
• 17:29
  that's
• 17:30
  more
• 17:30
  difficult.
• 17:31
  And
• 17:31
  I
• 17:31
  think,
• 17:31
  you
• 17:31
  know,
• 17:32
  one
• 17:32
  of
• 17:32
  the
• 17:32
  retailers
• 17:32
  you,
• 17:33
  you
• 17:33
  might
• 17:33
  have
• 17:33
  been
• 17:34
  referring
• 17:34
  to
• 17:34
  when
• 17:34
  you
• 17:34
  talked
• 17:35
  about
• 17:35
  a
• 17:35
  major
• 17:35
  Walmart
• 17:36
  competitor.
• 17:36
  I
• 17:36
  think
• 17:37
  a
• 17:37
  lot
• 17:37
  of
• 17:37
  their
• 17:37
  struggles
• 17:37
  come
• 17:38
  to
• 17:38
  that,
• 17:38
  right?
• 17:38
  It's
• 17:39
  service
• 17:40
  out
• 17:40
  of
• 17:41
  stocks,
• 17:41
  the
• 17:41
  experience,
• 17:42
  the
• 17:42
  store
• 17:43
  journey.
• 17:43
  Is
• 17:43
  it
• 17:44
  good
• 17:44
  enough
• 17:44
  to
• 17:44
  make
• 17:45
  it
• 17:45
  worth
• 17:45
  going
• 17:45
  there
• 17:46
  as
• 17:46
  opposed
• 17:46
  to
• 17:46
  going
• 17:46
  to
• 17:47
  someone
• 17:47
  in
• 17:47
  the
• 17:47
  value
• 17:47
  lane?
• 17:49
  Is
• 17:49
  the,
• 17:49
  is
• 17:50
  the
• 17:50
  product
• 17:50
  you're
• 17:50
  going
• 17:50
  to
• 17:51
  get
• 17:51
  there
• 17:52
  value
• 17:52
  enough
• 17:52
  that
• 17:53
  you're,
• 17:53
  that
• 17:53
  you're
• 17:53
  not
• 17:53
  going
• 17:53
  to
• 17:54
  go
• 17:54
  luxury
• 17:54
  for
• 17:54
  that
• 17:55
  same
• 17:55
  product?
• 17:55
  That
• 17:56
  nuanced
• 17:56
  middle
• 17:57
  is
• 17:57
  really
• 17:58
  difficult
• 17:58
  to
• 17:58
  maneuver
• 17:59
  within.
• 18:00
  And
• 18:00
  I
• 18:00
  think
• 18:00
  that's
• 18:01
  creating
• 18:01
  or
• 18:02
  exacerbating
• 18:03
  what's
• 18:03
  already
• 18:03
  been
• 18:04
  happening
• 18:04
  with
• 18:04
  the
• 18:04
  bifurcation.
• 18:05
  And
• 18:05
  I'll
• 18:05
  go
• 18:05
  to
• 18:05
  point
• 18:06
  two
• 18:06
  on
• 18:06
  this
• 18:06
  and
• 18:06
  we
• 18:06
  can
• 18:06
  discuss
• 18:07
  and
• 18:07
  we
• 18:07
  can
• 18:07
  kind
• 18:07
  of
• 18:08
  dive
• 18:08
  into
• 18:08
  them
• 18:08
  both
• 18:09
  together.
• 18:10
  That
• 18:10
  doesn't
• 18:11
  mean
• 18:11
  it's
• 18:11
  an
• 18:11
  inevitability
• 18:12
  like
• 18:13
  this
• 18:13
  idea
• 18:13
  that
• 18:13
  the
• 18:13
  middle
• 18:14
  is
• 18:14
  dying.
• 18:14
  And
• 18:15
  one
• 18:15
  of
• 18:15
  the
• 18:15
  is,
• 18:15
  I
• 18:16
  think
• 18:16
  is,
• 18:18
  it
• 18:18
  is
• 18:18
  true,
• 18:18
  but
• 18:18
  it
• 18:18
  doesn't
• 18:19
  need
• 18:19
  to
• 18:19
  be
• 18:19
  right.
• 18:20
  It's
• 18:20
  dying
• 18:20
  because
• 18:21
  we're
• 18:21
  failing
• 18:21
  the
• 18:21
  middle.
• 18:22
  It's
• 18:22
  not
• 18:22
  dying
• 18:22
  because
• 18:22
  the
• 18:22
  middle
• 18:23
  has
• 18:23
  gone
• 18:23
  away.
• 18:24
  And
• 18:24
  I
• 18:24
  think
• 18:24
  a
• 18:24
  great
• 18:25
  example
• 18:25
  of
• 18:25
  this
• 18:25
  actually
• 18:25
  comes
• 18:25
  from
• 18:26
  the
• 18:26
  department
• 18:26
  store
• 18:26
  space.
• 18:27
  We
• 18:27
  were
• 18:27
  having
• 18:27
  a
• 18:27
  conversation,
• 18:28
  I
• 18:28
  was
• 18:28
  having
• 18:28
  a
• 18:28
  conversation
• 18:28
  with
• 18:29
  a
• 18:29
  colleague
• 18:30
  from
• 18:30
  another
• 18:30
  retail
• 18:31
  company
• 18:32
  and
• 18:32
  we
• 18:32
  were
• 18:32
  talking
• 18:33
  about
• 18:33
  department
• 18:33
  stores.
• 18:34
  And
• 18:34
  one
• 18:35
  of
• 18:35
  the
• 18:35
  con
• 18:35
  with
• 18:35
  the
• 18:35
  kind
• 18:35
  of,
• 18:36
  the
• 18:36
  conclusions
• 18:36
  that
• 18:36
  we
• 18:36
  came
• 18:37
  to
• 18:37
  is
• 18:37
  that,
• 18:38
  look,
• 18:38
  a
• 18:38
  department
• 18:38
  store
• 18:39
  experience
• 18:39
  where
• 18:39
  you
• 18:40
  go
• 18:40
  in
• 18:40
  and
• 18:40
  you're
• 18:40
  able
• 18:40
  to
• 18:41
  get
• 18:41
  this
• 18:41
  product
• 18:41
  from
• 18:41
  this
• 18:41
  brand
• 18:42
  and
• 18:42
  this
• 18:42
  product
• 18:42
  from
• 18:42
  that
• 18:42
  brand
• 18:42
  and
• 18:43
  this
• 18:43
  product
• 18:43
  from
• 18:43
  that
• 18:43
  other
• 18:43
  brand
• 18:44
  and
• 18:44
  put
• 18:44
  it
• 18:44
  all
• 18:44
  together
• 18:44
  and
• 18:45
  you
• 18:45
  get
• 18:45
  the
• 18:45
  things
• 18:45
  you
• 18:45
  want
• 18:45
  to.
• 18:46
  It
• 18:46
  can
• 18:46
  be
• 18:47
  great.
• 18:47
  I
• 18:47
  had
• 18:47
  to
• 18:47
  go
• 18:47
  to
• 18:48
  a
• 18:48
  conference.
• 18:48
  I
• 18:48
  got
• 18:48
  four
• 18:49
  pairs
• 18:49
  of
• 18:49
  pants
• 18:49
  from
• 18:49
  four
• 18:50
  different
• 18:50
  retailers.
• 18:50
  Like
• 18:51
  it
• 18:51
  was,
• 18:51
  it
• 18:51
  was
• 18:51
  great.
• 18:52
  It
• 18:52
  checked
• 18:52
  the
• 18:52
  box
• 18:52
  for
• 18:52
  me.
• 18:53
  I
• 18:53
  was
• 18:53
  super
• 18:53
  happy.
• 18:54
  My
• 18:54
  wife
• 18:54
  felt
• 18:54
  like
• 18:54
  I
• 18:55
  wasn't
• 18:55
  going
• 18:55
  to
• 18:55
  look
• 18:55
  as
• 18:55
  embarrassing
• 18:56
  on
• 18:56
  stage.
• 18:56
  So
• 18:56
  she
• 18:56
  was
• 18:57
  happy.
• 18:58
  But
• 18:58
  the
• 18:59
  weird
• 18:59
  thing
• 18:59
  was
• 19:00
  it
• 19:00
  was
• 19:01
  the
• 19:01
  same
• 19:02
  brands
• 19:03
  that
• 19:03
  had
• 19:03
  been
• 19:03
  there
• 19:03
  20
• 19:04
  years
• 19:04
  ago.
• 19:04
  So
• 19:04
  like
• 19:05
  nothing
• 19:05
  had
• 19:05
  changed,
• 19:05
  nothing
• 19:06
  had
• 19:06
  evolved.
• 19:06
  And
• 19:06
  his
• 19:07
  point,
• 19:07
  this,
• 19:07
  this,
• 19:08
  this
• 19:08
  colleague
• 19:08
  said,
• 19:09
  well,
• 19:09
  look
• 19:09
  at
• 19:09
  Dillard's.
• 19:10
  When
• 19:10
  you
• 19:10
  walk
• 19:10
  into
• 19:10
  dealers,
• 19:11
  they're
• 19:11
  like,
• 19:11
  hey,
• 19:11
  we
• 19:11
  got
• 19:11
  new
• 19:12
  stuff.
• 19:12
  We
• 19:12
  had
• 19:13
  new
• 19:13
  things.
• 19:13
  And
• 19:13
  Diller's
• 19:14
  is
• 19:14
  outperforming
• 19:14
  the
• 19:15
  other
• 19:15
  players
• 19:15
  in
• 19:16
  that
• 19:16
  kind
• 19:16
  of
• 19:16
  same
• 19:17
  segment.
• 19:17
  I
• 19:18
  think
• 19:18
  a
• 19:18
  lot
• 19:18
  of
• 19:18
  that
• 19:18
  is,
• 19:19
  you
• 19:19
  know,
• 19:19
  department
• 19:19
  stores
• 19:20
  is
• 19:20
  curation.
• 19:21
  As
• 19:21
  a
• 19:21
  brand.
• 19:22
  And
• 19:22
  so
• 19:22
  if
• 19:22
  you're
• 19:22
  failing
• 19:23
  on
• 19:23
  the
• 19:23
  curation
• 19:23
  side
• 19:23
  and
• 19:24
  constantly
• 19:24
  evolving
• 19:24
  the
• 19:24
  curation
• 19:25
  side,
• 19:25
  you're
• 19:25
  not
• 19:26
  going
• 19:26
  to
• 19:26
  live
• 19:26
  up
• 19:26
  to
• 19:26
  your
• 19:26
  promise.
• 19:28
  The
• 19:28
  middle
• 19:28
  is
• 19:28
  the
• 19:29
  same
• 19:29
  thing.
• 19:29
  If
• 19:30
  you're
• 19:30
  not
• 19:30
  living
• 19:31
  up
• 19:31
  to
• 19:31
  that
• 19:31
  promise
• 19:31
  of
• 19:32
  like
• 19:32
  being
• 19:32
  able
• 19:32
  to
• 19:32
  walk
• 19:33
  that
• 19:33
  line
• 19:33
  of
• 19:33
  what
• 19:33
  the
• 19:33
  middle
• 19:34
  wants,
• 19:34
  provide
• 19:34
  a
• 19:35
  great
• 19:35
  in
• 19:35
  store
• 19:35
  experience,
• 19:36
  ensure
• 19:36
  you
• 19:36
  have
• 19:36
  the
• 19:37
  right
• 19:37
  products
• 19:37
  in
• 19:37
  stock,
• 19:38
  ensure
• 19:38
  you
• 19:38
  have
• 19:38
  a
• 19:38
  good
• 19:38
  enough
• 19:39
  service
• 19:39
  to
• 19:39
  help
• 19:39
  people
• 19:39
  find
• 19:39
  what
• 19:40
  they're
• 19:40
  looking
• 19:40
  for.
• 19:41
  If
• 19:41
  it
• 19:41
  doesn't
• 19:41
  feel
• 19:42
  better
• 19:42
  than
• 19:42
  the
• 19:42
  value
• 19:43
  lane,
• 19:43
  why
• 19:43
  would
• 19:43
  you
• 19:43
  go?
• 19:44
  So
• 19:44
  it's
• 19:45
  an
• 19:45
  execution
• 19:46
  problem
• 19:46
  more
• 19:47
  than
• 19:47
  a
• 19:48
  kind
• 19:49
  of
• 19:49
  inevitable,
• 19:50
  there's
• 19:50
  nothing
• 19:50
  you
• 19:50
  can
• 19:51
  do,
• 19:51
  you're
• 19:51
  doomed.
• 19:52
  And
• 19:52
  so
• 19:52
  that
• 19:53
  would
• 19:53
  be
• 19:53
  the
• 19:54
  wider
• 19:54
  take
• 19:55
  on
• 19:55
  the
• 19:55
  bifurcation.
• 19:56
  I
• 19:57
  think
• 19:57
  the
• 19:57
  thing
• 19:57
  that
• 19:58
  you
• 19:58
  call
• 19:58
  out,
• 19:58
  Ethan,
• 19:59
  that's
• 19:59
  really
• 19:59
  important
• 20:00
  to
• 20:00
  state
• 20:01
  here
• 20:01
  again
• 20:01
  for
• 20:02
  our
• 20:02
  listeners
• 20:02
  is,
• 20:03
  and
• 20:04
  Ethan's
• 20:04
  slide
• 20:05
  right
• 20:05
  now
• 20:05
  is
• 20:05
  showing
• 20:05
  the
• 20:06
  difference
• 20:06
  in
• 20:06
  high
• 20:06
  end
• 20:07
  department
• 20:07
  stores
• 20:08
  versus
• 20:08
  mid
• 20:08
  tier
• 20:09
  department
• 20:09
  stores
• 20:09
  is
• 20:10
  something
• 20:10
  that
• 20:10
  you
• 20:10
  called
• 20:10
  out
• 20:11
  about
• 20:11
  the
• 20:11
  service
• 20:11
  component
• 20:12
  too.
• 20:12
  I
• 20:12
  mean
• 20:12
  you
• 20:13
  look
• 20:13
  at
• 20:13
  Nordstrom,
• 20:14
  you
• 20:14
  look
• 20:14
  at
• 20:14
  Dillard's,
• 20:15
  the
• 20:15
  last
• 20:15
  time
• 20:16
  that
• 20:16
  most
• 20:17
  of
• 20:17
  us
• 20:17
  were
• 20:17
  in
• 20:17
  those
• 20:17
  stores,
• 20:18
  somebody
• 20:18
  came
• 20:19
  up
• 20:19
  to
• 20:19
  us
• 20:19
  to
• 20:19
  help
• 20:19
  us,
• 20:20
  to
• 20:20
  help
• 20:20
  us
• 20:20
  pull
• 20:21
  together
• 20:21
  those
• 20:21
  four
• 20:22
  looks
• 20:22
  from
• 20:22
  four
• 20:23
  different
• 20:23
  departments
• 20:23
  that
• 20:23
  you
• 20:24
  were
• 20:24
  talking
• 20:24
  about.
• 20:24
  And
• 20:25
  that's
• 20:25
  not
• 20:25
  happening
• 20:26
  at
• 20:26
  the
• 20:26
  mid
• 20:26
  tier
• 20:27
  department
• 20:27
  stores.
• 20:27
  And
• 20:28
  I
• 20:28
  think
• 20:28
  to
• 20:28
  your
• 20:29
  point,
• 20:29
  that's
• 20:29
  why
• 20:30
  we're
• 20:30
  seeing
• 20:31
  this
• 20:31
  influx
• 20:31
  of
• 20:32
  people
• 20:32
  going
• 20:32
  to
• 20:33
  some
• 20:33
  of
• 20:33
  the
• 20:33
  fast
• 20:34
  fashion
• 20:34
  retailers
• 20:35
  for
• 20:35
  the
• 20:35
  type
• 20:35
  of
• 20:35
  shopping
• 20:36
  trip
• 20:36
  that
• 20:36
  you're
• 20:36
  talking
• 20:36
  about
• 20:37
  or
• 20:37
  some
• 20:37
  of
• 20:37
  the,
• 20:38
  some
• 20:38
  of
• 20:38
  the
• 20:38
  convenience
• 20:39
  players,
• 20:39
  the
• 20:39
  Walmarts
• 20:40
  and
• 20:40
  targets
• 20:40
  of
• 20:40
  the
• 20:40
  world
• 20:41
  because
• 20:41
  they
• 20:41
  can
• 20:41
  get
• 20:41
  that
• 20:42
  product
• 20:42
  and
• 20:43
  there
• 20:43
  is
• 20:43
  the
• 20:43
  convenience
• 20:44
  component
• 20:44
  there
• 20:44
  too
• 20:45
  that
• 20:45
  they
• 20:45
  just
• 20:45
  don't
• 20:46
  have
• 20:46
  at
• 20:46
  the
• 20:46
  department
• 20:46
  stores
• 20:47
  like
• 20:47
  that.
• 20:48
  That
• 20:48
  seems
• 20:48
  like
• 20:48
  that's
• 20:49
  a
• 20:49
  big
• 20:49
  indicator
• 20:50
  of
• 20:50
  some
• 20:50
  of
• 20:50
  the
• 20:50
  data
• 20:51
  that
• 20:51
  we're
• 20:51
  looking
• 20:51
  at
• 20:51
  in
• 20:51
  front
• 20:52
  of
• 20:52
  us
• 20:52
  right
• 20:52
  now.
• 20:53
  I
• 20:53
  couldn't
• 20:53
  agree
• 20:53
  with
• 20:53
  you
• 20:54
  more.
• 20:54
  I
• 20:54
  saw
• 20:54
  a
• 20:54
  data
• 20:54
  point
• 20:54
  from
• 20:55
  a
• 20:55
  company
• 20:55
  called
• 20:55
  True
• 20:55
  Rating
• 20:56
  that
• 20:57
  and
• 20:57
  this
• 20:57
  is
• 20:57
  in
• 20:57
  grocery
• 20:58
  where
• 20:58
  the
• 20:58
  margins
• 20:58
  are
• 20:59
  thinner
• 20:59
  and
• 21:00
  I
• 21:00
  think
• 21:00
  where
• 21:00
  as
• 21:01
  opposed
• 21:01
  to
• 21:01
  compared
• 21:01
  to
• 21:02
  department
• 21:02
  stores
• 21:02
  where
• 21:02
  I
• 21:02
  think
• 21:03
  it's
• 21:03
  almost
• 21:03
  more
• 21:03
  binary
• 21:04
  like
• 21:04
  there's
• 21:04
  either
• 21:04
  going
• 21:04
  to
• 21:04
  be
• 21:04
  a
• 21:05
  sale
• 21:05
  or
• 21:05
  not
• 21:05
  be
• 21:05
  a
• 21:05
  sale.
• 21:05
  Yeah.
• 21:06
  So
• 21:06
  it's
• 21:06
  more
• 21:06
  significant
• 21:07
  that
• 21:07
  there's
• 21:07
  a
• 21:08
  6%
• 21:08
  increase
• 21:08
  in
• 21:08
  basket
• 21:09
  size.
• 21:09
  If
• 21:09
  you
• 21:09
  say
• 21:09
  hel
• 21:10
  to
• 21:10
  someone
• 21:10
  at
• 21:10
  the
• 21:10
  door.
• 21:11
  Now
• 21:11
  that's
• 21:11
  not
• 21:11
  because
• 21:12
  when
• 21:12
  you
• 21:12
  walk
• 21:12
  in
• 21:12
  you're
• 21:12
  like
• 21:12
  oh
• 21:13
  my
• 21:13
  God,
• 21:13
  you
• 21:13
  said
• 21:13
  hello,
• 21:13
  I'll
• 21:14
  buy
• 21:14
  more
• 21:14
  things.
• 21:14
  That's
• 21:15
  no,
• 21:15
  it's
• 21:16
  the
• 21:16
  fact
• 21:16
  that
• 21:16
  once
• 21:16
  you
• 21:16
  said
• 21:17
  hello
• 21:17
  I
• 21:17
  feel
• 21:17
  more
• 21:18
  comfortable
• 21:18
  asking
• 21:18
  you,
• 21:18
  hey,
• 21:19
  where
• 21:19
  is
• 21:19
  this?
• 21:19
  Could
• 21:20
  you
• 21:20
  help
• 21:20
  me
• 21:20
  find
• 21:20
  this
• 21:20
  other
• 21:21
  thing
• 21:21
  I'm
• 21:21
  looking
• 21:21
  for?
• 21:22
  Those
• 21:22
  simple
• 21:23
  things
• 21:23
  just
• 21:23
  like
• 21:23
  you're
• 21:24
  talking
• 21:24
  about,
• 21:24
  Ann,
• 21:24
  have
• 21:25
  a
• 21:25
  big
• 21:25
  impact
• 21:26
  on
• 21:26
  the
• 21:27
  consumer's
• 21:27
  likelihood
• 21:28
  to
• 21:28
  kind
• 21:28
  of
• 21:28
  complete
• 21:29
  this
• 21:29
  journey
• 21:29
  of
• 21:30
  finding
• 21:30
  something
• 21:30
  and
• 21:31
  then
• 21:31
  actually
• 21:31
  getting
• 21:31
  to
• 21:31
  the,
• 21:32
  to
• 21:32
  the,
• 21:32
  to
• 21:32
  the
• 21:32
  transaction,
• 21:34
  right?
• 21:35
  Yeah,
• 21:35
  but
• 21:35
  I.
• 21:36
  Okay,
• 21:36
  I'm
• 21:36
  gonna
• 21:36
  play
• 21:36
  devil's
• 21:37
  advocate
• 21:37
  here
• 21:37
  for
• 21:37
  a
• 21:37
  second
• 21:38
  because.
• 21:38
  And
• 21:38
  that's
• 21:38
  why
• 21:39
  I
• 21:39
  love
• 21:39
  having
• 21:39
  you
• 21:39
  on
• 21:39
  too.
• 21:40
  Because
• 21:40
  we
• 21:40
  can
• 21:40
  debate
• 21:40
  these
• 21:40
  things
• 21:41
  with
• 21:42
  both
• 21:42
  of
• 21:42
  you,
• 21:42
  I
• 21:42
  think,
• 21:43
  is
• 21:44
  why
• 21:44
  I
• 21:44
  think
• 21:44
  the
• 21:45
  idea
• 21:45
  is
• 21:45
  possible.
• 21:47
  I
• 21:47
  think
• 21:47
  the
• 21:47
  product
• 21:48
  mix
• 21:48
  precludes
• 21:49
  it
• 21:49
  from
• 21:49
  actually
• 21:50
  happening
• 21:51
  because
• 21:51
  all
• 21:52
  those
• 21:52
  extra
• 21:52
  service
• 21:52
  elements
• 21:53
  are
• 21:53
  a
• 21:53
  cost.
• 21:54
  They
• 21:54
  add
• 21:54
  costs
• 21:55
  to
• 21:55
  the
• 21:55
  business.
• 21:55
  And
• 21:55
  the
• 21:56
  unfortunate
• 21:56
  problem
• 21:56
  is
• 21:57
  the
• 21:57
  product
• 21:57
  mix
• 21:58
  that
• 21:58
  you
• 21:59
  carry
• 21:59
  in
• 21:59
  your
• 21:59
  store
• 22:00
  does
• 22:00
  not
• 22:00
  have
• 22:00
  the
• 22:01
  margins
• 22:01
  that
• 22:02
  the
• 22:02
  more
• 22:03
  high
• 22:03
  end
• 22:03
  department
• 22:04
  stores
• 22:04
  traditionally
• 22:05
  carry.
• 22:05
  So
• 22:06
  therefore
• 22:06
  you're
• 22:06
  kind
• 22:07
  of
• 22:07
  hamstrung
• 22:08
  by
• 22:08
  the
• 22:08
  brand
• 22:09
  and
• 22:09
  the
• 22:09
  products
• 22:09
  you
• 22:10
  carry.
• 22:10
  Unless
• 22:10
  you
• 22:11
  can
• 22:11
  somehow
• 22:12
  start
• 22:12
  to
• 22:12
  carry
• 22:12
  more
• 22:13
  high
• 22:13
  margin
• 22:14
  products.
• 22:14
  Flip
• 22:15
  the
• 22:15
  service
• 22:15
  equation
• 22:16
  on
• 22:16
  its
• 22:16
  head,
• 22:16
  but
• 22:17
  that's
• 22:17
  going
• 22:17
  against
• 22:18
  the
• 22:18
  brand
• 22:18
  that
• 22:18
  you've
• 22:19
  traditionally
• 22:19
  had.
• 22:19
  And
• 22:19
  so
• 22:20
  the
• 22:20
  one
• 22:20
  that
• 22:20
  I
• 22:20
  think
• 22:20
  is
• 22:20
  the
• 22:21
  biggest
• 22:21
  rub
• 22:21
  for
• 22:21
  this,
• 22:22
  or
• 22:22
  maybe
• 22:22
  there's
• 22:22
  two,
• 22:22
  is
• 22:23
  actually
• 22:23
  Macy's
• 22:24
  and
• 22:24
  Kohl's.
• 22:24
  It
• 22:25
  would
• 22:25
  be
• 22:25
  really
• 22:25
  hard
• 22:25
  for
• 22:26
  them
• 22:26
  to
• 22:26
  pivot
• 22:27
  in
• 22:27
  that
• 22:27
  direction.
• 22:28
  So
• 22:28
  that's
• 22:28
  the
• 22:28
  one,
• 22:29
  the
• 22:29
  one
• 22:29
  rub
• 22:30
  I
• 22:30
  see
• 22:30
  in,
• 22:31
  in
• 22:31
  the
• 22:31
  theory
• 22:31
  with,
• 22:32
  you
• 22:32
  know,
• 22:32
  what
• 22:32
  you
• 22:32
  two
• 22:32
  are
• 22:33
  both
• 22:33
  espousing
• 22:33
  here.
• 22:34
  But,
• 22:34
  you
• 22:34
  know,
• 22:34
  what
• 22:34
  do
• 22:34
  you
• 22:34
  think?
• 22:36
  I
• 22:36
  think
• 22:36
  there's
• 22:36
  a
• 22:36
  basket
• 22:37
  size
• 22:37
  part
• 22:37
  of
• 22:37
  this
• 22:38
  equation
• 22:38
  too.
• 22:38
  Like,
• 22:38
  I
• 22:39
  hear
• 22:39
  your
• 22:39
  point.
• 22:39
  Like,
• 22:39
  let's
• 22:39
  be
• 22:40
  clear,
• 22:40
  there's.
• 22:41
  Everyone
• 22:41
  has
• 22:41
  advantages
• 22:42
  and
• 22:42
  disadvantages.
• 22:43
  So
• 22:43
  if
• 22:43
  I'm
• 22:43
  high
• 22:43
  end
• 22:43
  and
• 22:44
  I
• 22:44
  don't
• 22:44
  need
• 22:44
  to
• 22:44
  get
• 22:44
  you
• 22:44
  to
• 22:44
  buy
• 22:44
  as
• 22:45
  many
• 22:45
  products
• 22:45
  like,
• 22:46
  I
• 22:46
  met
• 22:46
  this
• 22:46
  guy
• 22:46
  once
• 22:46
  who
• 22:47
  sold
• 22:48
  yachts.
• 22:49
  He's
• 22:49
  like,
• 22:49
  I
• 22:49
  need
• 22:50
  to
• 22:50
  sell
• 22:50
  like
• 22:50
  one
• 22:51
  or
• 22:51
  two
• 22:51
  things
• 22:51
  a
• 22:51
  year,
• 22:52
  like
• 22:53
  mega
• 22:53
  yachts.
• 22:53
  He's
• 22:54
  like,
• 22:54
  and
• 22:55
  that's
• 22:55
  it.
• 22:55
  I've
• 22:55
  hit
• 22:55
  my
• 22:55
  quota.
• 22:56
  And
• 22:56
  there's
• 22:56
  people
• 22:56
  who
• 22:57
  sell,
• 22:57
  you
• 22:57
  know,
• 22:58
  SaaS,
• 22:58
  platforms
• 22:59
  for
• 22:59
  small
• 22:59
  businesses,
• 23:00
  and
• 23:00
  they've
• 23:00
  got
• 23:00
  to
• 23:00
  sell
• 23:00
  to,
• 23:01
  you
• 23:01
  know,
• 23:02
  a
• 23:02
  thousand
• 23:02
  deals
• 23:03
  in
• 23:03
  order
• 23:03
  to
• 23:03
  hit
• 23:04
  their
• 23:04
  quota.
• 23:04
  So.
• 23:05
  Right.
• 23:05
  It's
• 23:05
  just
• 23:05
  asking
• 23:06
  of
• 23:06
  like,
• 23:06
  what's
• 23:06
  the
• 23:06
  motion
• 23:07
  you
• 23:07
  need
• 23:07
  and
• 23:07
  what
• 23:07
  does
• 23:07
  service
• 23:08
  look
• 23:08
  like?
• 23:08
  I
• 23:09
  think
• 23:09
  like
• 23:09
  a
• 23:10
  higher
• 23:10
  end
• 23:10
  experience
• 23:11
  could
• 23:11
  be
• 23:11
  more
• 23:12
  engaged,
• 23:12
  more
• 23:13
  high
• 23:13
  touch,
• 23:13
  more
• 23:14
  personalized
• 23:14
  and
• 23:15
  you
• 23:15
  won't
• 23:15
  necessarily
• 23:15
  be
• 23:15
  able
• 23:15
  to
• 23:16
  provide
• 23:16
  the
• 23:16
  same
• 23:16
  thing
• 23:16
  at
• 23:16
  scale
• 23:17
  in
• 23:17
  the
• 23:17
  middle.
• 23:17
  But
• 23:17
  that
• 23:17
  doesn't
• 23:17
  mean
• 23:18
  you
• 23:18
  don't
• 23:18
  have
• 23:18
  service.
• 23:18
  I
• 23:19
  think
• 23:19
  what
• 23:19
  we're
• 23:19
  seeing
• 23:19
  in
• 23:19
  a
• 23:19
  lot
• 23:19
  of
• 23:20
  cases
• 23:20
  is
• 23:21
  a
• 23:21
  complete
• 23:21
  whiff
• 23:21
  on
• 23:22
  the
• 23:22
  service
• 23:22
  side.
• 23:22
  So
• 23:23
  it's
• 23:23
  not
• 23:23
  necessarily
• 23:23
  that
• 23:23
  you
• 23:24
  need
• 23:24
  to
• 23:25
  match
• 23:26
  what's
• 23:26
  happening
• 23:26
  on
• 23:26
  the
• 23:26
  high
• 23:27
  end
• 23:27
  side,
• 23:27
  but
• 23:27
  doing
• 23:28
  more
• 23:28
  than
• 23:28
  what
• 23:28
  we're
• 23:28
  doing
• 23:29
  now
• 23:29
  is
• 23:29
  already
• 23:30
  a
• 23:30
  huge
• 23:30
  boost.
• 23:31
  Yeah,
• 23:32
  and
• 23:32
  I
• 23:32
  agree
• 23:32
  with
• 23:32
  that
• 23:32
  100%.
• 23:33
  I
• 23:33
  mean,
• 23:33
  like,
• 23:34
  let's
• 23:34
  take
• 23:34
  Macy's
• 23:35
  as
• 23:35
  an
• 23:35
  example.
• 23:35
  Macy's
• 23:35
  can
• 23:36
  just
• 23:36
  do
• 23:36
  what
• 23:36
  they're
• 23:36
  doing
• 23:36
  still
• 23:37
  better.
• 23:37
  And
• 23:37
  I
• 23:37
  give
• 23:38
  Tony
• 23:38
  Spring
• 23:38
  a
• 23:38
  lot
• 23:39
  of
• 23:39
  credit
• 23:39
  for
• 23:39
  like
• 23:40
  thinking
• 23:40
  about
• 23:40
  where
• 23:41
  do
• 23:41
  I
• 23:41
  need
• 23:41
  service
• 23:42
  in
• 23:42
  my
• 23:42
  store,
• 23:42
  particularly
• 23:43
  like
• 23:43
  in
• 23:43
  the
• 23:43
  shoe
• 23:44
  section.
• 23:44
  He's
• 23:44
  been
• 23:45
  very
• 23:45
  aggressive
• 23:45
  in
• 23:45
  trying
• 23:46
  to
• 23:46
  improve
• 23:47
  the
• 23:47
  shoe
• 23:47
  buying
• 23:48
  experience.
• 23:48
  And
• 23:49
  so
• 23:49
  that,
• 23:49
  I
• 23:49
  think
• 23:49
  hits
• 23:50
  on
• 23:50
  your
• 23:50
  point
• 23:50
  too,
• 23:50
  Ethan.
• 23:51
  Yeah,
• 23:51
  I
• 23:52
  think
• 23:52
  it
• 23:52
  also
• 23:52
  depends
• 23:52
  on
• 23:52
  the
• 23:53
  training
• 23:53
  too
• 23:53
  that
• 23:53
  you're
• 23:54
  giving
• 23:54
  your
• 23:54
  teams.
• 23:55
  Like,
• 23:55
  I
• 23:56
  would
• 23:56
  argue
• 23:56
  that
• 23:56
  instead
• 23:57
  of
• 23:57
  training,
• 23:58
  I
• 23:58
  mean
• 23:59
  if
• 23:59
  you
• 23:59
  look
• 23:59
  at
• 23:59
  the
• 23:59
  brands
• 24:00
  that
• 24:00
  some
• 24:00
  of
• 24:00
  these
• 24:00
  are
• 24:00
  carrying,
• 24:01
  there's,
• 24:01
  there
• 24:01
  still
• 24:02
  is
• 24:02
  value
• 24:02
  and
• 24:03
  high
• 24:03
  quality
• 24:03
  and
• 24:04
  luxury
• 24:04
  brands
• 24:05
  that
• 24:05
  are
• 24:05
  being
• 24:06
  sold
• 24:06
  at
• 24:07
  a
• 24:07
  Macy's,
• 24:08
  but
• 24:08
  the
• 24:08
  training
• 24:09
  for
• 24:09
  those
• 24:09
  employees
• 24:09
  has
• 24:10
  been
• 24:10
  focused
• 24:10
  on
• 24:11
  just
• 24:12
  checking
• 24:12
  people
• 24:12
  out.
• 24:13
  Like
• 24:13
  it's
• 24:13
  not
• 24:14
  the
• 24:14
  focus
• 24:14
  again
• 24:15
  on
• 24:15
  the
• 24:15
  experience
• 24:16
  that
• 24:16
  Ethan's
• 24:17
  talking
• 24:17
  about,
• 24:17
  the
• 24:17
  greeting,
• 24:18
  the
• 24:19
  how
• 24:19
  do
• 24:19
  I
• 24:19
  spend
• 24:19
  time
• 24:20
  with,
• 24:20
  you
• 24:21
  know,
• 24:21
  helping
• 24:21
  somebody,
• 24:22
  like
• 24:22
  they
• 24:22
  just,
• 24:23
  they
• 24:23
  don't
• 24:23
  have
• 24:24
  that
• 24:24
  capacity
• 24:25
  right
• 24:25
  now.
• 24:26
  And
• 24:26
  that's
• 24:26
  not
• 24:26
  been
• 24:26
  a
• 24:27
  focus.
• 24:27
  It's
• 24:27
  the
• 24:28
  focus
• 24:28
  needs
• 24:28
  to
• 24:28
  get
• 24:29
  back
• 24:29
  to
• 24:29
  how
• 24:30
  do
• 24:30
  I
• 24:30
  upsell
• 24:31
  or
• 24:31
  how
• 24:31
  do
• 24:31
  I,
• 24:31
  once
• 24:32
  I
• 24:32
  have
• 24:32
  the
• 24:32
  people
• 24:32
  in
• 24:32
  the
• 24:33
  fitting
• 24:33
  rooms,
• 24:33
  how
• 24:33
  do,
• 24:34
  how
• 24:34
  am
• 24:34
  I
• 24:34
  continuing
• 24:35
  to
• 24:35
  build
• 24:35
  the
• 24:35
  basket
• 24:35
  like
• 24:36
  Ethan's
• 24:36
  talking
• 24:36
  about?
• 24:36
  And
• 24:37
  I
• 24:37
  just,
• 24:37
  I
• 24:37
  don't
• 24:37
  think
• 24:38
  that's
• 24:38
  been
• 24:38
  a
• 24:38
  focus
• 24:39
  of
• 24:39
  theirs
• 24:39
  or
• 24:39
  for
• 24:40
  Kohl's.
• 24:40
  Like,
• 24:40
  it's,
• 24:41
  everything's
• 24:41
  moved
• 24:41
  to
• 24:41
  like,
• 24:42
  how
• 24:42
  do
• 24:42
  we
• 24:42
  just
• 24:42
  make
• 24:43
  sure
• 24:43
  the
• 24:43
  checkout
• 24:44
  process
• 24:44
  is
• 24:44
  smooth
• 24:46
  and
• 24:46
  you
• 24:46
  know,
• 24:46
  I
• 24:47
  have
• 24:47
  one
• 24:47
  person
• 24:47
  covering
• 24:48
  one
• 24:48
  zone
• 24:48
  of
• 24:48
  the
• 24:49
  store
• 24:49
  versus
• 24:50
  how
• 24:50
  do
• 24:50
  we
• 24:50
  really
• 24:51
  invest
• 24:51
  in
• 24:52
  training
• 24:52
  for
• 24:53
  those
• 24:53
  associates
• 24:54
  to.
• 24:54
  To
• 24:54
  be
• 24:54
  able
• 24:54
  to
• 24:55
  help
• 24:55
  somebody
• 24:55
  put
• 24:55
  an
• 24:55
  outfit
• 24:56
  together
• 24:56
  and
• 24:56
  spend
• 24:57
  a
• 24:57
  hundred
• 24:57
  dollars
• 24:58
  instead
• 24:58
  of
• 24:58
  40?
• 25:00
  Yeah,
• 25:01
  yeah.
• 25:01
  I
• 25:01
  don't
• 25:02
  know
• 25:02
  though,
• 25:02
  because
• 25:02
  that's
• 25:02
  all
• 25:02
  a
• 25:02
  function
• 25:03
  of
• 25:03
  the
• 25:03
  product
• 25:03
  margins
• 25:03
  and
• 25:03
  it's
• 25:04
  all
• 25:04
  going
• 25:04
  to
• 25:04
  cost
• 25:04
  things
• 25:04
  too,
• 25:05
  but.
• 25:05
  All
• 25:05
  right,
• 25:05
  good
• 25:05
  discussion.
• 25:06
  All
• 25:06
  right,
• 25:06
  Ethan,
• 25:06
  what
• 25:07
  do
• 25:07
  you
• 25:07
  got
• 25:07
  next?
• 25:08
  All
• 25:08
  right,
• 25:09
  the
• 25:09
  Suburban
• 25:09
  opportunity
• 25:10
  part
• 25:10
  three.
• 25:12
  So
• 25:12
  I
• 25:12
  think
• 25:12
  when
• 25:12
  we
• 25:12
  looked
• 25:12
  at
• 25:12
  the
• 25:12
  shift
• 25:13
  to
• 25:13
  the
• 25:13
  suburbs,
• 25:14
  we
• 25:14
  saw
• 25:14
  the
• 25:14
  first
• 25:15
  thing
• 25:15
  we
• 25:15
  saw
• 25:15
  and
• 25:16
  this
• 25:16
  was
• 25:16
  obvious
• 25:17
  and
• 25:17
  makes
• 25:17
  total
• 25:18
  sense.
• 25:18
  And
• 25:18
  there's
• 25:18
  nothing
• 25:19
  shocking
• 25:19
  here
• 25:19
  is
• 25:20
  we
• 25:20
  think
• 25:20
  about
• 25:20
  the
• 25:20
  migration
• 25:21
  post
• 25:21
  pandemic
• 25:22
  is
• 25:22
  you
• 25:22
  saw
• 25:23
  people
• 25:23
  move
• 25:24
  to
• 25:25
  suburban
• 25:25
  environment
• 25:26
  and
• 25:26
  all
• 25:26
  of
• 25:26
  a
• 25:26
  sudden
• 25:27
  start
• 25:27
  to
• 25:27
  take
• 25:27
  advantage
• 25:28
  of
• 25:28
  retail
• 25:29
  experiences
• 25:29
  that
• 25:30
  they
• 25:30
  hadn't
• 25:30
  had
• 25:30
  available
• 25:31
  to
• 25:31
  them
• 25:31
  when
• 25:31
  they
• 25:31
  were
• 25:31
  living
• 25:32
  in
• 25:32
  the
• 25:32
  urban
• 25:32
  environment.
• 25:32
  And
• 25:32
  There
• 25:33
  were
• 25:33
  some
• 25:33
  prime
• 25:33
  beneficiaries.
• 25:34
  I
• 25:34
  think
• 25:34
  off
• 25:34
  price
• 25:34
  retail
• 25:35
  was
• 25:35
  a
• 25:35
  prime
• 25:35
  beneficiary.
• 25:36
  I
• 25:37
  think
• 25:38
  Costco
• 25:39
  membership
• 25:39
  clubs
• 25:39
  were
• 25:40
  prime
• 25:40
  beneficiaries
• 25:41
  of
• 25:41
  like,
• 25:41
  this
• 25:41
  is
• 25:42
  now
• 25:42
  relevant
• 25:42
  to
• 25:42
  me
• 25:42
  and
• 25:43
  it
• 25:43
  wasn't
• 25:43
  relevant
• 25:43
  before.
• 25:43
  So
• 25:44
  this
• 25:44
  kind
• 25:44
  of
• 25:44
  like
• 25:44
  first
• 25:44
  time
• 25:45
  demand
• 25:45
  push,
• 25:46
  I
• 25:46
  think
• 25:46
  the
• 25:47
  second
• 25:47
  wave
• 25:47
  was
• 25:48
  who
• 25:48
  got
• 25:48
  there
• 25:48
  quick.
• 25:49
  So
• 25:49
  either
• 25:49
  who
• 25:49
  had
• 25:49
  already
• 25:50
  been
• 25:50
  orienting
• 25:51
  towards
• 25:51
  suburbs
• 25:51
  or
• 25:51
  who
• 25:52
  was
• 25:52
  like,
• 25:52
  hey,
• 25:52
  my
• 25:52
  audience
• 25:52
  is
• 25:53
  moving,
• 25:53
  I
• 25:53
  need
• 25:53
  to
• 25:53
  get
• 25:53
  there.
• 25:53
  So
• 25:54
  like
• 25:54
  Shake
• 25:54
  Shack
• 25:54
  is
• 25:55
  a
• 25:55
  great
• 25:55
  example.
• 25:55
  They've
• 25:55
  spoken
• 25:56
  openly
• 25:56
  about
• 25:56
  the
• 25:56
  push
• 25:57
  to
• 25:57
  get
• 25:57
  into
• 25:57
  the
• 25:57
  suburbs.
• 25:58
  Kava
• 25:59
  is
• 25:59
  another
• 25:59
  great
• 25:59
  example
• 25:59
  of
• 25:59
  that.
• 26:00
  Sweetgreen
• 26:00
  is
• 26:00
  a
• 26:00
  great
• 26:00
  example
• 26:01
  of
• 26:01
  that.
• 26:02
  I
• 26:02
  think
• 26:03
  we're
• 26:03
  heading
• 26:04
  into
• 26:05
  part
• 26:05
  three
• 26:06
  of
• 26:06
  this
• 26:06
  story
• 26:06
  and
• 26:07
  I'm
• 26:07
  stealing
• 26:07
  terminology
• 26:08
  from
• 26:08
  Barry
• 26:09
  Scardina,
• 26:09
  from
• 26:09
  Cushman,
• 26:10
  which
• 26:10
  is
• 26:10
  urbanization
• 26:11
  of
• 26:11
  the
• 26:11
  suburbs.
• 26:12
  And
• 26:12
  I
• 26:12
  love
• 26:12
  this
• 26:13
  concept
• 26:13
  so
• 26:13
  much
• 26:13
  and
• 26:13
  we're
• 26:14
  seeing
• 26:14
  it.
• 26:14
  This
• 26:15
  doesn't
• 26:15
  mean
• 26:16
  that
• 26:16
  you're.
• 26:17
  I
• 26:17
  don't
• 26:17
  know,
• 26:17
  I
• 26:17
  grew
• 26:17
  up
• 26:17
  in
• 26:17
  Allentown,
• 26:18
  Pennsylvania.
• 26:18
  That
• 26:18
  Allentown,
• 26:19
  Pennsylvania's
• 26:19
  downtown
• 26:20
  is
• 26:20
  going
• 26:20
  to
• 26:20
  look
• 26:20
  like
• 26:20
  New
• 26:20
  York
• 26:21
  City.
• 26:21
  That's
• 26:21
  not
• 26:21
  what
• 26:21
  we're
• 26:22
  saying,
• 26:22
  but
• 26:22
  it
• 26:22
  means
• 26:22
  they're
• 26:23
  going
• 26:23
  to
• 26:23
  be
• 26:23
  urban
• 26:24
  elements
• 26:24
  that
• 26:24
  we
• 26:25
  had
• 26:25
  normally
• 26:25
  associated
• 26:26
  with
• 26:26
  the
• 26:26
  urban
• 26:26
  environment.
• 26:26
  In
• 26:27
  suburban
• 26:27
  environments,
• 26:28
  higher
• 26:28
  end
• 26:28
  restaurants
• 26:29
  are
• 26:29
  coming.
• 26:29
  Higher
• 26:30
  end
• 26:30
  restaurant
• 26:30
  concepts
• 26:31
  are
• 26:31
  coming.
• 26:31
  Higher
• 26:32
  end
• 26:32
  retail
• 26:32
  concepts
• 26:33
  are
• 26:33
  coming.
• 26:33
  Right.
• 26:33
  There's
• 26:34
  these
• 26:34
  experiences,
• 26:35
  even
• 26:35
  just
• 26:35
  the
• 26:35
  way
• 26:36
  that
• 26:36
  the
• 26:36
  areas
• 26:36
  are
• 26:37
  set
• 26:37
  up.
• 26:37
  There's
• 26:38
  more
• 26:38
  of
• 26:38
  an
• 26:38
  emphasis
• 26:39
  on
• 26:39
  place
• 26:39
  making,
• 26:40
  getting
• 26:40
  you
• 26:40
  to
• 26:40
  hang
• 26:41
  out
• 26:41
  there
• 26:41
  in
• 26:41
  shopping
• 26:42
  centers.
• 26:42
  And
• 26:42
  it's
• 26:43
  not
• 26:43
  the
• 26:43
  kind
• 26:44
  of
• 26:44
  more
• 26:44
  bland
• 26:44
  shopping
• 26:45
  center
• 26:45
  of
• 26:45
  old.
• 26:46
  Does
• 26:46
  this
• 26:46
  apply
• 26:46
  to
• 26:46
  every
• 26:47
  shopping
• 26:47
  center
• 26:47
  in
• 26:48
  every
• 26:48
  suburb?
• 26:48
  No,
• 26:49
  but
• 26:49
  it's
• 26:49
  going
• 26:49
  to
• 26:50
  be
• 26:50
  a
• 26:50
  push
• 26:50
  and
• 26:50
  you're
• 26:50
  going
• 26:50
  to
• 26:50
  see
• 26:51
  that
• 26:51
  have
• 26:51
  ripple
• 26:51
  effects.
• 26:52
  So
• 26:52
  I
• 26:52
  think
• 26:52
  this
• 26:52
  is
• 26:53
  a
• 26:53
  very
• 26:53
  significant
• 26:53
  element
• 26:54
  because
• 26:55
  there's
• 26:55
  this,
• 26:55
  if
• 26:56
  you
• 26:56
  build
• 26:56
  it,
• 26:56
  they
• 26:56
  will
• 26:57
  come
• 26:57
  component
• 26:57
  of
• 26:58
  if
• 26:58
  you
• 26:58
  create
• 26:58
  a
• 26:58
  great
• 26:59
  center,
• 26:59
  people
• 26:59
  are
• 26:59
  going
• 26:59
  to
• 26:59
  want
• 26:59
  to
• 27:00
  be
• 27:00
  there.
• 27:00
  And
• 27:00
  then
• 27:00
  therefore
• 27:00
  great
• 27:01
  retailers
• 27:01
  are
• 27:01
  going
• 27:01
  to
• 27:01
  want
• 27:01
  to
• 27:02
  be
• 27:02
  there
• 27:02
  because
• 27:02
  their
• 27:02
  audience
• 27:02
  is
• 27:03
  are
• 27:03
  there.
• 27:03
  And
• 27:03
  so
• 27:04
  it
• 27:04
  has.
• 27:05
  The
• 27:05
  reason
• 27:05
  I
• 27:06
  think
• 27:06
  this
• 27:06
  is
• 27:06
  such
• 27:06
  a
• 27:06
  big
• 27:06
  deal
• 27:07
  is
• 27:07
  not
• 27:07
  because,
• 27:07
  oh,
• 27:08
  suburbs
• 27:08
  are
• 27:08
  exciting
• 27:09
  because
• 27:09
  people
• 27:09
  are
• 27:09
  there.
• 27:09
  But
• 27:10
  if
• 27:10
  these
• 27:10
  centers
• 27:11
  go
• 27:11
  there
• 27:12
  and
• 27:12
  they
• 27:12
  are
• 27:12
  able
• 27:13
  to
• 27:13
  draw
• 27:13
  crowds,
• 27:14
  it
• 27:15
  fundamentally
• 27:15
  influences
• 27:16
  decision
• 27:17
  making.
• 27:17
  Not
• 27:17
  just
• 27:17
  that
• 27:17
  the
• 27:18
  retailers
• 27:18
  are
• 27:18
  going
• 27:18
  to
• 27:18
  be
• 27:18
  there,
• 27:19
  but
• 27:19
  the
• 27:19
  brands
• 27:20
  around
• 27:20
  them,
• 27:20
  the
• 27:20
  people
• 27:20
  who
• 27:20
  are
• 27:21
  trying
• 27:21
  to
• 27:21
  figure
• 27:21
  out
• 27:21
  what
• 27:21
  centers
• 27:22
  are
• 27:22
  adjacent,
• 27:22
  what
• 27:23
  the
• 27:23
  kind
• 27:23
  of
• 27:23
  move
• 27:24
  looks
• 27:24
  like
• 27:24
  in
• 27:24
  the
• 27:24
  city.
• 27:25
  So
• 27:25
  I
• 27:25
  think
• 27:25
  there's
• 27:26
  a
• 27:26
  much
• 27:26
  wider
• 27:27
  impact
• 27:27
  if
• 27:27
  this
• 27:28
  hits.
• 27:29
  So
• 27:30
  Ethan,
• 27:30
  how's
• 27:30
  that
• 27:30
  different
• 27:30
  than
• 27:31
  like,
• 27:31
  how.
• 27:32
  Explain
• 27:32
  that
• 27:32
  more
• 27:32
  to
• 27:32
  me.
• 27:32
  Like,
• 27:33
  how's
• 27:33
  that
• 27:33
  different
• 27:33
  than
• 27:33
  how
• 27:34
  Traditional
• 27:34
  strip
• 27:34
  centers
• 27:35
  have
• 27:35
  evolved
• 27:35
  for
• 27:36
  the
• 27:36
  past,
• 27:36
  you
• 27:36
  know,
• 27:37
  20
• 27:37
  or
• 27:37
  30
• 27:37
  years
• 27:37
  through
• 27:38
  suburban
• 27:38
  America.
• 27:39
  What's
• 27:39
  different
• 27:40
  about
• 27:40
  it
• 27:41
  now?
• 27:42
  There
• 27:42
  was
• 27:42
  a
• 27:42
  feeling
• 27:43
  like
• 27:43
  when
• 27:43
  we,
• 27:43
  when
• 27:44
  we
• 27:44
  think
• 27:44
  about,
• 27:44
  like,
• 27:45
  what
• 27:45
  belongs
• 27:45
  in
• 27:45
  a
• 27:45
  strip
• 27:46
  center,
• 27:46
  we'd
• 27:47
  be
• 27:47
  like,
• 27:47
  all
• 27:47
  right,
• 27:47
  does
• 27:47
  Marshalls
• 27:48
  belong
• 27:48
  in
• 27:48
  a
• 27:48
  strip
• 27:49
  center?
• 27:49
  Yeah,
• 27:49
  of
• 27:49
  course.
• 27:50
  Does,
• 27:50
  like
• 27:50
  the
• 27:50
  local
• 27:51
  nail
• 27:51
  salon
• 27:51
  belong
• 27:52
  in
• 27:52
  the
• 27:52
  strip
• 27:52
  center?
• 27:52
  Does
• 27:52
  a
• 27:53
  grocery
• 27:53
  store
• 27:53
  belong
• 27:53
  in
• 27:54
  a
• 27:54
  strip
• 27:54
  center?
• 27:54
  Yeah,
• 27:55
  course
• 27:56
  a
• 27:56
  few
• 27:56
  years
• 27:56
  ago,
• 27:56
  if
• 27:57
  we
• 27:57
  would
• 27:57
  have
• 27:57
  been
• 27:57
  like,
• 27:57
  does
• 27:57
  a
• 27:57
  Nike
• 27:58
  owned
• 27:58
  location
• 27:59
  belong
• 27:59
  in
• 27:59
  a
• 27:59
  strip
• 27:59
  center?
• 28:00
  We've
• 28:00
  been
• 28:00
  like,
• 28:00
  no.
• 28:01
  Does
• 28:01
  a
• 28:01
  J.
• 28:01
  Crew
• 28:02
  own
• 28:02
  location
• 28:02
  belong
• 28:02
  in
• 28:03
  a
• 28:03
  strip
• 28:03
  center
• 28:03
  that's
• 28:03
  sort
• 28:03
  of
• 28:03
  didn't
• 28:04
  know
• 28:04
  it?
• 28:04
  Belongs
• 28:04
  in
• 28:04
  a
• 28:04
  lifestyle
• 28:05
  center,
• 28:05
  belongs
• 28:05
  in
• 28:05
  a
• 28:05
  mall,
• 28:06
  belongs
• 28:06
  in
• 28:06
  an
• 28:06
  urban
• 28:06
  environment.
• 28:07
  And
• 28:08
  so
• 28:08
  that's
• 28:08
  changing.
• 28:09
  And
• 28:09
  I
• 28:09
  think
• 28:09
  the
• 28:09
  ability
• 28:10
  to
• 28:10
  kind
• 28:10
  of
• 28:10
  widen
• 28:11
  brand.
• 28:11
  And
• 28:11
  you
• 28:12
  know,
• 28:12
  Nike's
• 28:12
  an
• 28:12
  interesting
• 28:13
  example
• 28:13
  because
• 28:13
  they
• 28:13
  went
• 28:14
  potentially
• 28:14
  overcorrected
• 28:15
  on
• 28:15
  some
• 28:15
  of
• 28:15
  this.
• 28:16
  But
• 28:16
  this
• 28:17
  ability
• 28:17
  to
• 28:17
  gain
• 28:17
  visibility,
• 28:18
  to
• 28:18
  gain
• 28:18
  those
• 28:18
  touch
• 28:19
  points,
• 28:19
  to
• 28:19
  understand
• 28:19
  what
• 28:19
  they
• 28:20
  can
• 28:20
  do
• 28:20
  from
• 28:20
  a
• 28:20
  distribution
• 28:21
  perspective
• 28:22
  of
• 28:22
  again,
• 28:22
  the
• 28:22
  store
• 28:23
  fulfilled
• 28:23
  commerce
• 28:23
  concept,
• 28:24
  where
• 28:24
  if
• 28:24
  I
• 28:25
  have
• 28:25
  locations
• 28:25
  close
• 28:25
  to
• 28:25
  you,
• 28:26
  you
• 28:26
  have
• 28:26
  a
• 28:26
  place
• 28:26
  to
• 28:26
  return
• 28:26
  items.
• 28:27
  You
• 28:27
  don't
• 28:27
  need
• 28:27
  to
• 28:27
  go
• 28:27
  back
• 28:27
  to
• 28:28
  the
• 28:28
  city.
• 28:28
  If
• 28:29
  you
• 28:29
  don't
• 28:29
  get
• 28:29
  the
• 28:29
  right
• 28:29
  size,
• 28:29
  you
• 28:30
  can
• 28:30
  come
• 28:30
  to
• 28:30
  this
• 28:30
  location
• 28:30
  and
• 28:31
  have
• 28:31
  the
• 28:31
  return
• 28:31
  and
• 28:31
  then
• 28:31
  we
• 28:31
  have
• 28:32
  the
• 28:32
  upsell
• 28:32
  potential.
• 28:33
  It
• 28:34
  changes
• 28:36
  where
• 28:36
  people
• 28:36
  want
• 28:36
  to
• 28:37
  be
• 28:37
  based
• 28:37
  on
• 28:37
  where
• 28:37
  the
• 28:37
  audiences
• 28:38
  are
• 28:38
  and
• 28:38
  where
• 28:38
  the
• 28:38
  audiences
• 28:39
  want
• 28:39
  to
• 28:39
  spend
• 28:39
  money.
• 28:39
  So
• 28:39
  things
• 28:39
  like
• 28:40
  work
• 28:40
  from
• 28:40
  home
• 28:40
  have
• 28:40
  a
• 28:40
  huge
• 28:41
  impact
• 28:41
  here.
• 28:41
  Right.
• 28:41
  They
• 28:41
  change
• 28:42
  where
• 28:42
  we're
• 28:43
  spending
• 28:43
  a
• 28:43
  bulk
• 28:43
  of
• 28:43
  our
• 28:44
  time.
• 28:44
  That
• 28:44
  these
• 28:44
  normal
• 28:45
  patterns
• 28:45
  of
• 28:45
  movement
• 28:46
  aren't
• 28:46
  what
• 28:46
  they
• 28:46
  were
• 28:47
  five,
• 28:47
  six
• 28:47
  years
• 28:47
  ago
• 28:48
  has
• 28:49
  a
• 28:49
  really
• 28:49
  significant
• 28:50
  effect.
• 28:51
  Ethan,
• 28:51
  do
• 28:51
  you
• 28:51
  think
• 28:52
  that
• 28:52
  the
• 28:53
  players
• 28:53
  that
• 28:53
  we
• 28:53
  have
• 28:53
  on
• 28:54
  screen
• 28:54
  right
• 28:54
  now,
• 28:54
  Shake
• 28:54
  Shack
• 28:55
  and
• 28:55
  Sweet
• 28:56
  Green,
• 28:56
  do
• 28:57
  you
• 28:57
  think
• 28:57
  that
• 28:57
  there's
• 28:57
  any
• 28:58
  sort
• 28:58
  of
• 28:58
  impact
• 28:59
  when
• 28:59
  we're
• 28:59
  talking
• 28:59
  about
• 29:00
  the
• 29:00
  expansion
• 29:01
  of
• 29:01
  suburban
• 29:02
  strip
• 29:02
  centers?
• 29:04
  Almost
• 29:05
  like
• 29:05
  the
• 29:05
  Lululemon
• 29:06
  headband
• 29:06
  effect,
• 29:07
  where
• 29:07
  it's
• 29:07
  like,
• 29:07
  this
• 29:08
  is
• 29:08
  the
• 29:08
  entry
• 29:08
  point.
• 29:09
  So
• 29:09
  like
• 29:09
  you're
• 29:09
  giving
• 29:09
  them
• 29:10
  a
• 29:10
  little
• 29:10
  bit
• 29:10
  higher
• 29:11
  up,
• 29:11
  more
• 29:12
  sought
• 29:12
  after
• 29:13
  concept
• 29:14
  to
• 29:14
  go
• 29:14
  to
• 29:14
  a
• 29:14
  Shake
• 29:15
  Shack
• 29:15
  or
• 29:15
  a
• 29:15
  Sweet
• 29:15
  Sweet
• 29:15
  Green.
• 29:16
  And
• 29:16
  that's
• 29:17
  starting
• 29:17
  to
• 29:17
  kind
• 29:17
  of
• 29:18
  tease
• 29:18
  or
• 29:18
  wet
• 29:18
  the
• 29:19
  palette
• 29:19
  of
• 29:19
  these
• 29:20
  suburbanites
• 29:21
  who
• 29:21
  are
• 29:21
  in
• 29:21
  these
• 29:21
  markets.
• 29:22
  And
• 29:22
  then
• 29:22
  you're
• 29:23
  able
• 29:23
  to
• 29:23
  bring
• 29:23
  in
• 29:24
  the
• 29:24
  J.
• 29:24
  Crew,
• 29:25
  the
• 29:25
  Nike,
• 29:25
  like
• 29:26
  this
• 29:26
  is.
• 29:26
  This
• 29:27
  is
• 29:27
  like
• 29:27
  a
• 29:28
  still
• 29:28
  affordable
• 29:29
  price
• 29:29
  point,
• 29:30
  but
• 29:30
  little
• 29:31
  better
• 29:31
  quality,
• 29:32
  little
• 29:32
  higher
• 29:32
  end
• 29:33
  experience,
• 29:33
  little
• 29:34
  more
• 29:34
  in
• 29:34
  demand
• 29:35
  experience
• 29:35
  than
• 29:36
  maybe
• 29:36
  a
• 29:36
  traditional
• 29:37
  like
• 29:37
  Burger
• 29:37
  King
• 29:38
  or
• 29:38
  Wendy's
• 29:38
  or
• 29:39
  Subway
• 29:39
  sandwich
• 29:40
  shop
• 29:40
  or
• 29:40
  something.
• 29:42
  100%,
• 29:42
  yes.
• 29:43
  But
• 29:43
  I
• 29:43
  think
• 29:43
  you
• 29:44
  add
• 29:44
  to
• 29:44
  that
• 29:44
  the
• 29:44
  fact
• 29:45
  that
• 29:45
  people
• 29:46
  have
• 29:46
  also
• 29:46
  moved
• 29:47
  Being
• 29:49
  lovers
• 29:49
  of
• 29:49
  Shake
• 29:49
  Shack.
• 29:50
  So
• 29:50
  I
• 29:50
  used
• 29:50
  to
• 29:51
  live
• 29:51
  in
• 29:51
  New
• 29:51
  York
• 29:51
  City,
• 29:51
  and
• 29:52
  I
• 29:52
  would
• 29:52
  go
• 29:52
  to
• 29:52
  Shake
• 29:52
  Shack
• 29:52
  for
• 29:53
  lunch
• 29:53
  once
• 29:53
  or
• 29:54
  twice
• 29:54
  a
• 29:54
  week.
• 29:54
  And
• 29:54
  now
• 29:55
  I
• 29:55
  moved
• 29:55
  to
• 29:55
  the
• 29:55
  suburbs,
• 29:55
  and
• 29:56
  it's
• 29:56
  like,
• 29:56
  oh,
• 29:56
  I
• 29:56
  really
• 29:56
  miss
• 29:56
  Shake
• 29:57
  Shack.
• 29:57
  I'm
• 29:57
  not
• 29:57
  going
• 29:57
  to
• 29:58
  go
• 29:58
  to
• 29:58
  the
• 29:58
  office
• 29:58
  four
• 29:58
  days
• 29:59
  a
• 29:59
  week
• 29:59
  now.
• 29:59
  But
• 30:00
  they
• 30:00
  have
• 30:00
  one
• 30:00
  nearby.
• 30:00
  Isn't
• 30:01
  that
• 30:01
  great?
• 30:01
  And
• 30:01
  so
• 30:01
  Shake
• 30:02
  Shack
• 30:02
  realizes
• 30:02
  their
• 30:02
  audience
• 30:03
  is
• 30:03
  there
• 30:04
  and
• 30:04
  that
• 30:04
  their
• 30:04
  audience
• 30:05
  has
• 30:05
  more
• 30:05
  disposable
• 30:06
  income
• 30:06
  and
• 30:06
  that
• 30:06
  maybe
• 30:07
  they're
• 30:07
  looking
• 30:07
  for
• 30:07
  something
• 30:07
  a
• 30:07
  little
• 30:08
  bit
• 30:08
  more
• 30:08
  higher
• 30:08
  end
• 30:08
  than
• 30:08
  they
• 30:08
  were
• 30:09
  classically
• 30:09
  looking
• 30:09
  for.
• 30:09
  So
• 30:10
  there's
• 30:10
  an
• 30:10
  element
• 30:10
  of
• 30:10
  audience
• 30:11
  transition.
• 30:11
  There's
• 30:11
  an
• 30:11
  element
• 30:12
  of
• 30:12
  being
• 30:12
  new
• 30:12
  and
• 30:12
  exciting,
• 30:13
  and
• 30:13
  I
• 30:13
  think
• 30:13
  those
• 30:14
  come
• 30:14
  together
• 30:14
  to
• 30:14
  create
• 30:15
  the
• 30:15
  opportunity.
• 30:16
  Awesome.
• 30:17
  All
• 30:18
  right,
• 30:18
  let's
• 30:18
  go
• 30:18
  to
• 30:18
  the
• 30:18
  next
• 30:18
  one,
• 30:19
  Ethan.
• 30:19
  All
• 30:19
  right,
• 30:19
  this
• 30:20
  is
• 30:20
  the
• 30:20
  next
• 30:20
  one
• 30:20
  and
• 30:20
  the
• 30:21
  last
• 30:21
  one.
• 30:21
  This
• 30:21
  is
• 30:21
  the
• 30:21
  last
• 30:22
  lesson,
• 30:24
  but
• 30:24
  I
• 30:24
  have
• 30:24
  a
• 30:25
  surprise
• 30:25
  takeaway
• 30:26
  ready
• 30:27
  or
• 30:27
  a
• 30:27
  surprise
• 30:28
  prediction
• 30:28
  take.
• 30:28
  I
• 30:29
  don't
• 30:29
  know,
• 30:29
  something,
• 30:29
  whatever,
• 30:29
  but
• 30:30
  we'll
• 30:30
  leave
• 30:30
  it.
• 30:30
  Okay,
• 30:31
  Ready?
• 30:31
  I
• 30:32
  can't.
• 30:32
  Can't
• 30:32
  leave
• 30:32
  here
• 30:32
  without
• 30:33
  something
• 30:33
  exciting
• 30:33
  at
• 30:34
  the
• 30:34
  end.
• 30:34
  All
• 30:34
  right.
• 30:34
  Oh,
• 30:35
  boy,
• 30:35
  oh,
• 30:35
  boy.
• 30:36
  Some
• 30:37
  people
• 30:37
  were
• 30:37
  really
• 30:38
  excited
• 30:38
  about
• 30:38
  Bed
• 30:38
  Bath
• 30:39
  and
• 30:39
  Beyond,
• 30:39
  but
• 30:39
  that
• 30:39
  company's
• 30:40
  finances
• 30:40
  got
• 30:42
  in
• 30:42
  the
• 30:42
  way.
• 30:43
  But,
• 30:43
  no,
• 30:43
  that's
• 30:43
  not
• 30:43
  what
• 30:44
  we're
• 30:44
  going
• 30:44
  to
• 30:44
  talk
• 30:44
  about.
• 30:45
  Some
• 30:45
  people.
• 30:45
  I
• 30:45
  don't
• 30:46
  know
• 30:46
  what
• 30:46
  we're
• 30:46
  talking
• 30:46
  about.
• 30:47
  True
• 30:47
  visionaries
• 30:48
  recognize.
• 30:48
  You
• 30:48
  got
• 30:48
  staples
• 30:49
  in
• 30:49
  here,
• 30:49
  Ethan?
• 30:49
  Yeah,
• 30:50
  I
• 30:50
  did
• 30:50
  get
• 30:50
  staples
• 30:50
  in
• 30:51
  his
• 30:51
  presentation.
• 30:51
  I
• 30:51
  had
• 30:51
  to
• 30:51
  put.
• 30:52
  You
• 30:53
  should
• 30:53
  know
• 30:53
  that
• 30:53
  when
• 30:53
  building
• 30:54
  this
• 30:54
  deck,
• 30:55
  I
• 30:55
  was
• 30:55
  in
• 30:56
  my
• 30:56
  head
• 30:56
  imagining
• 30:57
  Chris's
• 30:57
  face.
• 30:57
  So
• 30:57
  if
• 30:58
  you're
• 30:58
  not
• 30:58
  watching,
• 30:58
  it's
• 30:59
  worth
• 30:59
  tuning
• 30:59
  into
• 31:00
  the
• 31:00
  video
• 31:00
  just
• 31:00
  to
• 31:00
  see
• 31:01
  Chris's
• 31:01
  face
• 31:01
  when
• 31:01
  he
• 31:01
  saw
• 31:03
  beyond
• 31:03
  ink
• 31:04
  on
• 31:04
  a
• 31:04
  slide.
• 31:05
  All
• 31:05
  right.
• 31:06
  But
• 31:06
  the
• 31:07
  rebound
• 31:07
  trend,
• 31:07
  I
• 31:07
  think,
• 31:08
  is
• 31:08
  real
• 31:08
  and
• 31:08
  significant.
• 31:08
  And
• 31:09
  there's
• 31:09
  a
• 31:09
  few
• 31:09
  reasons.
• 31:09
  There's
• 31:10
  a
• 31:10
  few
• 31:10
  things
• 31:10
  we've
• 31:10
  seen
• 31:10
  that
• 31:10
  make
• 31:10
  it
• 31:11
  so.
• 31:12
  First,
• 31:12
  we
• 31:12
  got
• 31:12
  to
• 31:12
  understand,
• 31:13
  like,
• 31:13
  why
• 31:14
  they
• 31:14
  closed
• 31:15
  a
• 31:15
  lot
• 31:15
  of
• 31:15
  these
• 31:15
  places
• 31:15
  overextended.
• 31:16
  They
• 31:16
  had
• 31:17
  challenging
• 31:17
  financials.
• 31:17
  Bed
• 31:17
  Bath
• 31:18
  man
• 31:18
  was
• 31:18
  the
• 31:18
  example
• 31:18
  we
• 31:19
  gave
• 31:19
  before.
• 31:19
  They
• 31:19
  were
• 31:19
  too
• 31:20
  many
• 31:20
  places.
• 31:20
  They
• 31:20
  kind
• 31:20
  of
• 31:20
  lost
• 31:21
  their
• 31:21
  identity.
• 31:22
  You
• 31:22
  needed
• 31:22
  to
• 31:22
  shrink
• 31:23
  the
• 31:23
  size
• 31:23
  and,
• 31:24
  like,
• 31:24
  you
• 31:24
  needed
• 31:24
  this
• 31:24
  really,
• 31:25
  like,
• 31:25
  refresh.
• 31:26
  But
• 31:28
  what
• 31:28
  we
• 31:29
  kind
• 31:29
  of
• 31:29
  have
• 31:29
  a
• 31:29
  tendency
• 31:30
  to
• 31:30
  forget
• 31:30
  is
• 31:31
  they
• 31:31
  got
• 31:31
  some
• 31:32
  things
• 31:32
  really
• 31:32
  right.
• 31:33
  That's
• 31:33
  how
• 31:33
  they
• 31:33
  got
• 31:33
  to
• 31:34
  that
• 31:34
  level
• 31:34
  to
• 31:35
  begin
• 31:35
  with.
• 31:35
  They
• 31:35
  were
• 31:36
  that
• 31:36
  exciting.
• 31:36
  They
• 31:36
  were
• 31:37
  that
• 31:37
  significant.
• 31:37
  They
• 31:37
  were
• 31:37
  able
• 31:38
  to
• 31:38
  do
• 31:38
  disrupt
• 31:38
  in
• 31:39
  some
• 31:39
  way
• 31:39
  or
• 31:39
  another
• 31:40
  what
• 31:40
  they
• 31:40
  were
• 31:40
  doing
• 31:40
  before.
• 31:41
  And
• 31:41
  they
• 31:41
  have
• 31:41
  massive
• 31:42
  brand
• 31:42
  power.
• 31:43
  So
• 31:43
  one
• 31:43
  of
• 31:43
  the
• 31:43
  interesting
• 31:43
  things,
• 31:44
  one
• 31:44
  of
• 31:44
  the
• 31:44
  reasons
• 31:45
  we
• 31:45
  decided
• 31:45
  to
• 31:45
  put,
• 31:46
  you
• 31:46
  know,
• 31:46
  beyond
• 31:46
  as
• 31:46
  the
• 31:47
  example
• 31:47
  here,
• 31:47
  was
• 31:48
  the
• 31:49
  decision
• 31:49
  to
• 31:49
  change
• 31:49
  overstock.com
• 31:50
  to
• 31:51
  beyond.
• 31:51
  Right?
• 31:51
  And
• 31:52
  then
• 31:52
  according
• 31:52
  to
• 31:52
  Earnest
• 31:53
  analytics,
• 31:53
  there
• 31:53
  was
• 31:53
  a
• 31:53
  massive
• 31:54
  surge
• 31:54
  in
• 31:55
  visits
• 31:55
  to
• 31:56
  that
• 31:56
  website
• 31:56
  immediately
• 31:57
  post
• 31:58
  because
• 31:58
  the
• 31:58
  name
• 31:58
  has
• 31:59
  some
• 31:59
  brand
• 31:59
  equity.
• 31:59
  And
• 32:00
  the
• 32:00
  silly
• 32:00
  example.
• 32:01
  And
• 32:01
  I,
• 32:01
  I
• 32:01
  accept
• 32:02
  all
• 32:02
  of
• 32:02
  the
• 32:02
  challenges,
• 32:02
  right?
• 32:03
  And
• 32:03
  I
• 32:03
  accept
• 32:03
  all
• 32:03
  of
• 32:04
  the
• 32:04
  things
• 32:04
  that
• 32:04
  this
• 32:04
  is
• 32:05
  not
• 32:05
  going
• 32:05
  to
• 32:05
  be
• 32:05
  what
• 32:05
  it
• 32:05
  was
• 32:05
  before.
• 32:06
  It
• 32:06
  shouldn't
• 32:06
  be.
• 32:07
  We
• 32:07
  shouldn't
• 32:07
  have
• 32:07
  that
• 32:07
  expectation.
• 32:09
  But
• 32:09
  this
• 32:09
  idea
• 32:09
  that
• 32:09
  there
• 32:09
  is
• 32:10
  a
• 32:10
  healthy
• 32:10
  place
• 32:10
  for
• 32:11
  these
• 32:11
  retailers
• 32:12
  to
• 32:12
  exist
• 32:13
  and
• 32:13
  that
• 32:13
  even
• 32:13
  more
• 32:14
  the
• 32:14
  success
• 32:15
  is
• 32:15
  going
• 32:15
  to
• 32:15
  tease
• 32:16
  some
• 32:16
  people
• 32:16
  into
• 32:16
  wanting
• 32:17
  this
• 32:17
  to
• 32:17
  this
• 32:18
  trend
• 32:18
  to
• 32:18
  happen
• 32:18
  more.
• 32:19
  So
• 32:19
  you're
• 32:19
  going
• 32:19
  to
• 32:19
  see
• 32:19
  more
• 32:20
  of
• 32:20
  it
• 32:20
  doesn't
• 32:20
  mean
• 32:20
  you're
• 32:20
  going
• 32:20
  to
• 32:21
  see
• 32:21
  it
• 32:21
  all
• 32:21
  successful.
• 32:21
  You're
• 32:22
  going
• 32:22
  to
• 32:22
  see
• 32:22
  more
• 32:22
  of
• 32:22
  it.
• 32:23
  Is,
• 32:23
  is
• 32:24
  going
• 32:24
  to
• 32:24
  happen.
• 32:24
  Like
• 32:25
  people
• 32:25
  are
• 32:25
  going
• 32:25
  to
• 32:26
  look
• 32:26
  at,
• 32:26
  I
• 32:26
  don't
• 32:27
  know,
• 32:27
  a
• 32:27
  Joanne
• 32:27
  that
• 32:27
  just
• 32:28
  closed
• 32:29
  Claire's
• 32:29
  that
• 32:29
  was
• 32:29
  closing
• 32:30
  and
• 32:30
  being
• 32:30
  brought
• 32:30
  back
• 32:31
  because
• 32:32
  there's
• 32:32
  a
• 32:32
  brand
• 32:32
  power.
• 32:33
  And
• 32:33
  they're
• 32:33
  going
• 32:33
  to
• 32:33
  ask
• 32:34
  themselves,
• 32:34
  all
• 32:34
  right,
• 32:34
  what's
• 32:35
  the
• 32:35
  level?
• 32:35
  I
• 32:35
  can
• 32:35
  take
• 32:35
  this
• 32:36
  to
• 32:36
  where
• 32:36
  it'll
• 32:36
  be
• 32:36
  successful.
• 32:37
  I
• 32:37
  know
• 32:38
  I
• 32:38
  can't
• 32:38
  do
• 32:38
  what
• 32:38
  it
• 32:38
  was
• 32:38
  before,
• 32:40
  but
• 32:40
  there's
• 32:40
  gotta
• 32:40
  be
• 32:40
  someplace
• 32:41
  in
• 32:41
  between.
• 32:41
  And
• 32:41
  I
• 32:41
  think
• 32:42
  you're
• 32:42
  gonna
• 32:42
  see
• 32:42
  a
• 32:43
  lot
• 32:43
  of
• 32:43
  talk
• 32:43
  about
• 32:44
  that
• 32:44
  in
• 32:44
  26
• 32:45
  and
• 32:45
  certainly
• 32:45
  in
• 32:45
  27.
• 32:47
  Fascinating.
• 32:48
  All
• 32:48
  right,
• 32:48
  so
• 32:48
  this
• 32:49
  is
• 32:49
  interesting
• 32:49
  to
• 32:49
  me
• 32:49
  too.
• 32:50
  Like,
• 32:50
  I
• 32:50
  don't,
• 32:50
  I
• 32:50
  don't
• 32:50
  know
• 32:50
  if
• 32:51
  I'm
• 32:51
  buying
• 32:51
  it,
• 32:51
  but
• 32:52
  I
• 32:52
  will
• 32:52
  say
• 32:52
  this.
• 32:53
  It's.
• 32:53
  It
• 32:54
  reminds
• 32:54
  me
• 32:54
  of
• 32:54
  a
• 32:54
  conversation.
• 32:55
  Joe
• 32:55
  Laszlo
• 32:55
  of
• 32:55
  Shop
• 32:56
  Talk
• 32:56
  and
• 32:56
  I
• 32:56
  have
• 32:57
  been
• 32:57
  talking
• 32:57
  about
• 32:57
  this
• 32:58
  idea
• 32:58
  because
• 32:58
  I
• 32:58
  think
• 32:58
  what
• 32:58
  you're
• 32:59
  hitting
• 32:59
  at
• 32:59
  here
• 32:59
  is
• 32:59
  the
• 32:59
  idea
• 33:00
  of
• 33:00
  the
• 33:00
  nostalgic
• 33:01
  brand.
• 33:02
  How
• 33:02
  much
• 33:02
  does
• 33:02
  the
• 33:03
  nostalgia
• 33:03
  of
• 33:03
  the
• 33:04
  brand
• 33:04
  matter,
• 33:05
  both
• 33:05
  as
• 33:05
  a
• 33:06
  going
• 33:06
  concern
• 33:06
  for
• 33:06
  say,
• 33:07
  like,
• 33:07
  Macy's.
• 33:07
  We
• 33:07
  talked
• 33:08
  about
• 33:08
  Macy's
• 33:08
  versus,
• 33:09
  like,
• 33:09
  ones
• 33:09
  that
• 33:09
  have
• 33:10
  gone
• 33:10
  away
• 33:10
  and
• 33:10
  are
• 33:11
  coming
• 33:11
  back.
• 33:11
  So,
• 33:12
  like,
• 33:12
  maybe
• 33:12
  Claire's
• 33:13
  might
• 33:13
  fall
• 33:13
  into
• 33:13
  that
• 33:13
  camp.
• 33:14
  Bed,
• 33:14
  Bath
• 33:14
  and
• 33:14
  Beyond
• 33:15
  falls
• 33:15
  into
• 33:15
  that
• 33:15
  camp.
• 33:16
  So
• 33:17
  I
• 33:17
  think
• 33:17
  1.
• 33:17
  Ethan,
• 33:18
  I
• 33:18
  think
• 33:18
  as
• 33:18
  we
• 33:18
  go
• 33:18
  forward,
• 33:19
  we
• 33:19
  should,
• 33:19
  you,
• 33:19
  we,
• 33:20
  you
• 33:20
  and
• 33:20
  I
• 33:20
  should.
• 33:20
  And,
• 33:21
  and,
• 33:21
  and
• 33:21
  should
• 33:22
  talk
• 33:22
  about
• 33:22
  tracking
• 33:23
  nostalgic
• 33:23
  brands
• 33:24
  to
• 33:24
  see,
• 33:24
  like,
• 33:24
  you
• 33:25
  know,
• 33:25
  how
• 33:25
  much
• 33:25
  does
• 33:25
  nostalgia
• 33:26
  matter?
• 33:28
  And
• 33:28
  so
• 33:28
  then
• 33:28
  my
• 33:28
  next
• 33:28
  question
• 33:29
  is
• 33:29
  here.
• 33:29
  So
• 33:29
  what
• 33:29
  we're
• 33:29
  looking
• 33:30
  at
• 33:30
  on
• 33:30
  this
• 33:30
  slide,
• 33:31
  this
• 33:31
  is
• 33:31
  Kirkland's
• 33:32
  data
• 33:32
  then
• 33:32
  in
• 33:33
  terms
• 33:33
  of
• 33:33
  store
• 33:33
  visits.
• 33:34
  Okay.
• 33:34
  All
• 33:35
  right,
• 33:35
  so
• 33:36
  you're
• 33:36
  seeing
• 33:36
  some
• 33:36
  rebound
• 33:37
  here
• 33:38
  that
• 33:38
  you
• 33:38
  think
• 33:38
  potentially
• 33:39
  is
• 33:39
  bringing
• 33:39
  the
• 33:40
  brand
• 33:41
  back
• 33:41
  and
• 33:41
  they
• 33:42
  only
• 33:42
  have
• 33:42
  more
• 33:42
  room
• 33:43
  to
• 33:43
  grow
• 33:44
  given
• 33:44
  the
• 33:44
  fact
• 33:44
  that
• 33:44
  they're
• 33:45
  going
• 33:45
  to
• 33:45
  amplify
• 33:45
  the
• 33:46
  previous
• 33:46
  Bed,
• 33:46
  Bath
• 33:46
  and
• 33:47
  Beyond
• 33:47
  positioning
• 33:48
  in
• 33:48
  those
• 33:49
  stores.
• 33:49
  A
• 33:50
  few
• 33:50
  elements
• 33:50
  here,
• 33:50
  like,
• 33:50
  because
• 33:50
  one,
• 33:51
  I
• 33:51
  will.
• 33:51
  I
• 33:52
  Have
• 33:52
  to
• 33:52
  concede
• 33:52
  this.
• 33:53
  First
• 33:53
  of
• 33:53
  all,
• 33:54
  there
• 33:54
  is
• 33:54
  a
• 33:55
  limit
• 33:55
  here.
• 33:55
  This
• 33:55
  isn't
• 33:56
  saying
• 33:56
  Bed,
• 33:56
  Bath
• 33:56
  and
• 33:56
  Beyond
• 33:57
  is
• 33:57
  going
• 33:57
  back
• 33:57
  to
• 33:57
  what
• 33:57
  it
• 33:58
  was
• 33:58
  or
• 33:58
  that
• 33:58
  all
• 33:59
  these
• 33:59
  ideas
• 33:59
  are
• 33:59
  all
• 33:59
  going
• 33:59
  to
• 34:00
  work
• 34:00
  and
• 34:00
  hit.
• 34:00
  It's
• 34:01
  saying
• 34:01
  that
• 34:01
  there
• 34:01
  is
• 34:01
  an
• 34:01
  in
• 34:01
  between.
• 34:02
  And
• 34:02
  I
• 34:02
  think
• 34:02
  we
• 34:02
  saw
• 34:03
  it
• 34:03
  with
• 34:03
  like
• 34:03
  amc,
• 34:04
  we
• 34:04
  saw
• 34:05
  it
• 34:05
  with
• 34:05
  Barnes
• 34:05
  and
• 34:05
  Noble,
• 34:06
  we
• 34:06
  see
• 34:06
  it
• 34:06
  with
• 34:07
  I
• 34:07
  mean
• 34:07
  even
• 34:07
  the
• 34:08
  Abercrombie
• 34:09
  recovery,
• 34:10
  the
• 34:10
  Hollister
• 34:10
  recovery,
• 34:11
  the
• 34:11
  recovery
• 34:11
  of
• 34:11
  like
• 34:12
  kind
• 34:12
  of
• 34:12
  gaps,
• 34:12
  seeing
• 34:12
  visits
• 34:13
  bounce
• 34:13
  back.
• 34:13
  Like
• 34:14
  we
• 34:15
  can
• 34:15
  have,
• 34:15
  we
• 34:15
  can
• 34:16
  have
• 34:16
  our
• 34:16
  cake
• 34:16
  and
• 34:16
  eat
• 34:16
  it
• 34:16
  too.
• 34:17
  In
• 34:17
  this
• 34:17
  respect
• 34:17
  of
• 34:17
  saying
• 34:18
  some
• 34:18
  of
• 34:18
  these
• 34:18
  brands
• 34:19
  overextended,
• 34:19
  they
• 34:19
  went
• 34:20
  too
• 34:20
  far,
• 34:20
  but
• 34:20
  there
• 34:20
  is
• 34:20
  still
• 34:21
  a
• 34:21
  place
• 34:21
  for
• 34:21
  them
• 34:21
  to
• 34:21
  exist.
• 34:21
  And
• 34:22
  if
• 34:22
  they
• 34:22
  can
• 34:22
  get
• 34:22
  the
• 34:22
  kind
• 34:22
  of
• 34:22
  the
• 34:23
  financials
• 34:23
  right
• 34:23
  and
• 34:23
  emotions
• 34:24
  right,
• 34:24
  there
• 34:24
  is
• 34:24
  a
• 34:25
  place
• 34:25
  for
• 34:25
  them
• 34:25
  to
• 34:25
  be
• 34:25
  successful.
• 34:26
  Not
• 34:26
  to
• 34:26
  the
• 34:26
  same
• 34:26
  level
• 34:26
  that
• 34:27
  they
• 34:27
  were,
• 34:27
  but,
• 34:28
  but
• 34:28
  to
• 34:28
  be
• 34:28
  successful
• 34:29
  nonetheless.
• 34:30
  And
• 34:30
  I
• 34:30
  also
• 34:30
  want
• 34:31
  to.
• 34:31
  It's
• 34:31
  an
• 34:32
  interesting
• 34:32
  point
• 34:32
  because
• 34:33
  I
• 34:33
  had
• 34:33
  looked
• 34:33
  at
• 34:33
  it
• 34:34
  from
• 34:34
  a
• 34:34
  different
• 34:34
  perspective
• 34:34
  and
• 34:35
  your
• 34:35
  nostalgia
• 34:35
  point
• 34:36
  is
• 34:37
  significant.
• 34:39
  I
• 34:39
  didn't
• 34:39
  view
• 34:39
  it
• 34:39
  as
• 34:39
  nostalgia,
• 34:40
  I
• 34:40
  viewed
• 34:40
  it
• 34:40
  as
• 34:41
  brand.
• 34:41
  There's
• 34:41
  an
• 34:41
  element
• 34:42
  of,
• 34:42
  as
• 34:43
  anyone
• 34:43
  who's
• 34:43
  ever
• 34:43
  like
• 34:43
  kind
• 34:44
  of
• 34:44
  worked
• 34:44
  in
• 34:45
  an
• 34:45
  early
• 34:45
  stage
• 34:45
  company,
• 34:46
  building
• 34:47
  brand
• 34:47
  awareness
• 34:48
  is
• 34:48
  unbelievably
• 34:49
  difficult.
• 34:51
  It's
• 34:51
  super,
• 34:52
  super
• 34:52
  hard.
• 34:54
  Once
• 34:54
  you
• 34:54
  have
• 34:54
  it,
• 34:56
  it's
• 34:56
  a
• 34:56
  massive
• 34:57
  advantage.
• 34:57
  Right.
• 34:57
  It's
• 34:58
  just
• 34:58
  the
• 34:58
  fact
• 34:58
  that
• 34:58
  like
• 34:58
  people
• 34:59
  think
• 34:59
  about
• 34:59
  you
• 34:59
  and
• 35:00
  creating
• 35:00
  your
• 35:00
  name
• 35:00
  within
• 35:01
  a
• 35:01
  certain
• 35:01
  zeitgeist
• 35:01
  is
• 35:02
  so
• 35:02
  difficult.
• 35:02
  So
• 35:02
  I
• 35:02
  think
• 35:03
  it's
• 35:03
  like
• 35:03
  the
• 35:03
  nostalgia
• 35:04
  point
• 35:04
  is
• 35:04
  really
• 35:05
  important.
• 35:05
  I
• 35:05
  think
• 35:05
  it's
• 35:05
  super
• 35:06
  interesting.
• 35:07
  But
• 35:07
  the
• 35:07
  idea
• 35:07
  of
• 35:08
  just
• 35:08
  like,
• 35:08
  hey,
• 35:08
  they've
• 35:08
  successfully
• 35:10
  made
• 35:10
  themselves
• 35:10
  known,
• 35:11
  that's
• 35:12
  already
• 35:12
  a
• 35:12
  huge
• 35:13
  accomplishment
• 35:13
  and
• 35:13
  a
• 35:14
  huge
• 35:14
  asset
• 35:14
  that
• 35:14
  they
• 35:14
  bring
• 35:15
  to
• 35:15
  the
• 35:15
  table.
• 35:16
  I
• 35:16
  think
• 35:16
  this
• 35:16
  brings
• 35:17
  back
• 35:17
  in
• 35:17
  though,
• 35:18
  Ethan,
• 35:18
  like
• 35:19
  that
• 35:19
  question
• 35:20
  of
• 35:20
  what,
• 35:21
  what's
• 35:21
  the
• 35:21
  quality
• 35:22
  of
• 35:22
  the
• 35:22
  product,
• 35:22
  what's
• 35:23
  the
• 35:23
  price
• 35:23
  point
• 35:23
  of
• 35:23
  the
• 35:23
  product
• 35:24
  and
• 35:24
  what's
• 35:24
  the
• 35:25
  service
• 35:25
  component
• 35:26
  like
• 35:26
  in
• 35:26
  the
• 35:26
  stores?
• 35:27
  Because
• 35:27
  if
• 35:28
  there
• 35:28
  is,
• 35:28
  if
• 35:28
  they're
• 35:28
  just
• 35:29
  competing
• 35:29
  in
• 35:30
  this
• 35:30
  case,
• 35:30
  they're
• 35:30
  doing
• 35:31
  the
• 35:31
  big
• 35:31
  box,
• 35:31
  the
• 35:31
  bed,
• 35:32
  Bath
• 35:32
  and
• 35:32
  beyond
• 35:32
  and
• 35:32
  there's
• 35:33
  no
• 35:33
  experience
• 35:34
  that
• 35:34
  we
• 35:35
  talked
• 35:35
  about
• 35:35
  earlier.
• 35:36
  I
• 35:36
  think
• 35:36
  then,
• 35:37
  then
• 35:38
  you're,
• 35:38
  you're
• 35:38
  going
• 35:39
  back
• 35:40
  to
• 35:40
  the
• 35:40
  Walmarts,
• 35:40
  you're
• 35:41
  going
• 35:41
  back
• 35:41
  to
• 35:41
  the
• 35:41
  targets
• 35:42
  to
• 35:42
  get
• 35:42
  this
• 35:43
  type
• 35:43
  of
• 35:43
  product
• 35:43
  because
• 35:44
  you,
• 35:44
  it's
• 35:44
  the
• 35:45
  value
• 35:45
  experience
• 35:45
  that
• 35:46
  you
• 35:46
  were
• 35:46
  talking
• 35:46
  about
• 35:46
  earlier.
• 35:47
  So
• 35:47
  that's,
• 35:47
  that's
• 35:47
  another
• 35:48
  thing
• 35:48
  to
• 35:48
  me
• 35:48
  that
• 35:49
  nostalgia
• 35:49
  tracking
• 35:50
  is
• 35:50
  one
• 35:50
  thing,
• 35:50
  but
• 35:50
  also
• 35:51
  like
• 35:51
  what,
• 35:52
  what
• 35:52
  does
• 35:52
  this
• 35:53
  look
• 35:53
  like
• 35:53
  with
• 35:53
  the
• 35:53
  rebranded
• 35:54
  stores
• 35:54
  and
• 35:54
  is
• 35:55
  it
• 35:55
  serving
• 35:55
  a
• 35:56
  need
• 35:56
  in
• 35:56
  the
• 35:56
  space
• 35:57
  that
• 35:57
  consumers
• 35:57
  can't
• 35:58
  get
• 35:58
  elsewhere
• 35:58
  and
• 35:58
  for
• 35:59
  less
• 35:59
  expensive
• 36:00
  Yeah,
• 36:00
  I
• 36:01
  think
• 36:01
  you're.
• 36:01
  You're
• 36:01
  100%
• 36:02
  right.
• 36:02
  I
• 36:02
  will
• 36:03
  just
• 36:03
  add
• 36:03
  that,
• 36:03
  like,
• 36:05
  there's
• 36:05
  always
• 36:05
  a
• 36:05
  creative
• 36:06
  laziness
• 36:06
  factor.
• 36:07
  Right.
• 36:08
  Where
• 36:08
  people
• 36:08
  don't
• 36:08
  love
• 36:09
  to
• 36:09
  come
• 36:09
  up
• 36:09
  with.
• 36:09
  That's
• 36:09
  why,
• 36:09
  like,
• 36:10
  every
• 36:10
  movie
• 36:10
  is
• 36:10
  like
• 36:10
  a
• 36:11
  redo
• 36:11
  or
• 36:11
  like
• 36:11
  a
• 36:12
  superhero
• 36:13
  movie.
• 36:13
  I
• 36:13
  think
• 36:13
  in
• 36:14
  all
• 36:14
  these
• 36:14
  places,
• 36:14
  people
• 36:14
  see
• 36:15
  someone
• 36:15
  doing
• 36:15
  something
• 36:15
  like,
• 36:15
  well,
• 36:16
  we're
• 36:16
  going
• 36:16
  to.
• 36:16
  We're
• 36:16
  going
• 36:16
  to
• 36:16
  do
• 36:16
  that
• 36:17
  also,
• 36:17
  you
• 36:17
  know,
• 36:17
  and
• 36:17
  so
• 36:18
  you'll
• 36:18
  see
• 36:18
  an
• 36:19
  example
• 36:19
  or
• 36:19
  two
• 36:19
  where
• 36:19
  it
• 36:20
  works
• 36:20
  again,
• 36:20
  like,
• 36:20
  Barnes
• 36:20
  and
• 36:20
  Noble
• 36:21
  is
• 36:21
  a
• 36:21
  great,
• 36:21
  a
• 36:21
  great
• 36:22
  example
• 36:22
  of
• 36:22
  that.
• 36:23
  And
• 36:23
  they'll
• 36:23
  be
• 36:23
  like.
• 36:23
  Or,
• 36:24
  you
• 36:24
  know,
• 36:24
  I
• 36:24
  saw
• 36:24
  someone
• 36:24
  talking.
• 36:25
  The
• 36:25
  owners
• 36:25
  who,
• 36:26
  who
• 36:26
  are
• 36:26
  bringing
• 36:26
  Claire's
• 36:27
  back
• 36:27
  did
• 36:27
  the
• 36:27
  same
• 36:27
  with
• 36:28
  lids.
• 36:28
  Right.
• 36:29
  So
• 36:29
  they'll
• 36:29
  be
• 36:29
  like,
• 36:29
  oh,
• 36:30
  lids
• 36:30
  worked.
• 36:30
  Therefore
• 36:31
  Pier
• 36:31
  1
• 36:32
  will
• 36:32
  work
• 36:32
  when
• 36:32
  we
• 36:32
  bring
• 36:32
  that
• 36:32
  back,
• 36:33
  you
• 36:33
  know,
• 36:33
  So
• 36:33
  I
• 36:33
  think
• 36:34
  you'll
• 36:34
  see
• 36:34
  a
• 36:34
  little
• 36:34
  bit
• 36:35
  of
• 36:35
  copycat.
• 36:35
  And
• 36:36
  that
• 36:36
  doesn't
• 36:36
  mean
• 36:36
  that
• 36:36
  it's
• 36:36
  all
• 36:36
  going
• 36:37
  to
• 36:37
  succeed,
• 36:37
  but
• 36:37
  I
• 36:37
  do
• 36:38
  think
• 36:38
  it
• 36:38
  means
• 36:38
  it's
• 36:38
  going
• 36:38
  to
• 36:39
  happen.
• 36:39
  Right.
• 36:40
  But
• 36:40
  the
• 36:40
  point
• 36:41
  you're
• 36:41
  making
• 36:41
  is.
• 36:41
  Right,
• 36:41
  like,
• 36:42
  and
• 36:42
  Anne's
• 36:43
  right
• 36:43
  too.
• 36:43
  Like,
• 36:43
  at
• 36:44
  the
• 36:44
  end
• 36:44
  of
• 36:44
  the
• 36:44
  day,
• 36:44
  it's
• 36:44
  going
• 36:44
  to
• 36:44
  come
• 36:44
  down
• 36:45
  to
• 36:45
  what
• 36:45
  is
• 36:45
  the
• 36:45
  products
• 36:46
  you
• 36:46
  carry
• 36:46
  and
• 36:46
  the
• 36:46
  experience
• 36:47
  in
• 36:47
  your
• 36:47
  stores.
• 36:48
  But
• 36:48
  I'd
• 36:48
  rather
• 36:49
  do
• 36:49
  that.
• 36:49
  I'd
• 36:50
  rather
• 36:50
  take
• 36:50
  that
• 36:50
  effort
• 36:51
  to
• 36:51
  create
• 36:51
  differentiation
• 36:52
  with
• 36:52
  a
• 36:52
  brand
• 36:52
  that
• 36:52
  already
• 36:53
  exists
• 36:53
  at
• 36:53
  my
• 36:53
  back
• 36:53
  than
• 36:54
  starting
• 36:54
  from
• 36:55
  scratch
• 36:55
  and
• 36:55
  doing
• 36:55
  it
• 36:55
  from
• 36:56
  ground
• 36:56
  zero.
• 36:56
  That's.
• 36:57
  That's
• 36:57
  what
• 36:57
  you're
• 36:58
  saying.
• 36:58
  And
• 36:58
  that's.
• 36:59
  That's
• 36:59
  right.
• 36:59
  And
• 36:59
  so
• 37:00
  that's
• 37:00
  why
• 37:00
  it's
• 37:00
  going
• 37:00
  to
• 37:00
  be
• 37:00
  interesting
• 37:00
  to
• 37:01
  track
• 37:01
  how
• 37:02
  these
• 37:02
  brands
• 37:02
  that
• 37:02
  we
• 37:02
  already
• 37:03
  know
• 37:04
  try
• 37:04
  to
• 37:04
  reinvent
• 37:04
  themselves.
• 37:05
  Yeah.
• 37:06
  And
• 37:06
  it's
• 37:06
  going
• 37:06
  to
• 37:06
  be
• 37:07
  fun
• 37:07
  to
• 37:07
  see
• 37:07
  which
• 37:07
  ones
• 37:07
  fail
• 37:07
  miserably,
• 37:08
  which
• 37:08
  is
• 37:08
  going
• 37:08
  to
• 37:08
  happen.
• 37:09
  But
• 37:10
  that
• 37:11
  takes
• 37:11
  us
• 37:11
  to
• 37:11
  the
• 37:11
  way,
• 37:11
  the
• 37:12
  only
• 37:12
  way
• 37:12
  we
• 37:12
  can
• 37:12
  end
• 37:12
  this.
• 37:12
  We
• 37:13
  need.
• 37:13
  The
• 37:14
  year's
• 37:14
  not
• 37:14
  actually
• 37:14
  over,
• 37:15
  so
• 37:15
  we
• 37:15
  still
• 37:15
  have
• 37:15
  room
• 37:16
  for
• 37:16
  one
• 37:16
  more
• 37:16
  2025
• 37:17
  prediction.
• 37:18
  Oh,
• 37:19
  have
• 37:19
  it
• 37:19
  for
• 37:19
  you,
• 37:19
  my
• 37:19
  friends.
• 37:21
  We
• 37:21
  were
• 37:22
  looking
• 37:22
  at
• 37:23
  days
• 37:23
  of
• 37:23
  the
• 37:23
  week
• 37:24
  of
• 37:25
  when
• 37:25
  the
• 37:25
  holiday
• 37:25
  season
• 37:26
  is
• 37:26
  falling
• 37:26
  out,
• 37:27
  specifically
• 37:28
  Christmas
• 37:28
  and
• 37:28
  New
• 37:28
  Year's.
• 37:29
  Christmas,
• 37:30
  I
• 37:30
  think,
• 37:30
  is
• 37:30
  on
• 37:30
  a
• 37:30
  Thursday.
• 37:31
  New
• 37:32
  Year's
• 37:32
  falls
• 37:32
  out
• 37:33
  on
• 37:33
  a
• 37:33
  Wednesday.
• 37:33
  The
• 37:34
  31st
• 37:34
  is
• 37:34
  a
• 37:34
  Wednesday.
• 37:35
  The
• 37:35
  first
• 37:35
  is
• 37:35
  a,
• 37:35
  is
• 37:36
  a
• 37:36
  Thursday.
• 37:37
  That
• 37:37
  means
• 37:37
  we
• 37:37
  have
• 37:38
  a
• 37:38
  long
• 37:38
  buildup
• 37:38
  into
• 37:39
  Christmas
• 37:39
  and
• 37:39
  we
• 37:39
  have
• 37:40
  a
• 37:40
  big,
• 37:40
  long
• 37:41
  weekend
• 37:41
  potential
• 37:42
  on
• 37:42
  New
• 37:43
  Year's
• 37:45
  that
• 37:45
  screams
• 37:46
  massive
• 37:47
  retail
• 37:47
  opportunity.
• 37:48
  Right.
• 37:49
  Last
• 37:49
  year
• 37:49
  we
• 37:49
  already,
• 37:49
  we
• 37:50
  saw
• 37:50
  triggers
• 37:50
  of
• 37:50
  this
• 37:50
  of,
• 37:50
  like,
• 37:51
  Super
• 37:51
  Saturday
• 37:51
  visits
• 37:52
  were
• 37:52
  significantly
• 37:53
  down
• 37:53
  year
• 37:53
  over
• 37:53
  year
• 37:53
  on
• 37:54
  Super
• 37:54
  Saturday.
• 37:54
  But
• 37:55
  the
• 37:55
  days
• 37:55
  as
• 37:56
  a
• 37:56
  whole
• 37:56
  were
• 37:56
  so
• 37:57
  up
• 37:57
  because
• 37:57
  there
• 37:57
  was
• 37:57
  this
• 37:58
  kind
• 37:58
  of
• 37:58
  build
• 37:58
  up
• 37:58
  into
• 37:58
  Christmas.
• 37:59
  You
• 37:59
  have
• 38:00
  that
• 38:00
  potential,
• 38:00
  especially
• 38:01
  if
• 38:01
  you're
• 38:01
  in
• 38:01
  the
• 38:02
  grocery
• 38:02
  or
• 38:02
  superstore
• 38:03
  space.
• 38:03
  You're
• 38:04
  in
• 38:04
  that
• 38:04
  discounted
• 38:05
  dollar,
• 38:06
  the
• 38:06
  return.
• 38:07
  We
• 38:07
  always
• 38:07
  see
• 38:07
  a
• 38:08
  surge
• 38:08
  in
• 38:08
  visits
• 38:08
  to
• 38:08
  things
• 38:09
  like
• 38:09
  consumer
• 38:09
  electronics
• 38:10
  department
• 38:10
  stores
• 38:11
  because
• 38:11
  people
• 38:12
  got
• 38:12
  you
• 38:12
  gifts,
• 38:12
  you
• 38:13
  don't
• 38:13
  want
• 38:13
  them
• 38:13
  all,
• 38:13
  so
• 38:13
  you
• 38:14
  go
• 38:14
  to
• 38:14
  the
• 38:14
  place
• 38:14
  to
• 38:14
  return
• 38:14
  them.
• 38:14
  You
• 38:15
  got
• 38:15
  a,
• 38:15
  a
• 38:15
  gift
• 38:15
  card,
• 38:16
  you're
• 38:16
  going
• 38:16
  to
• 38:16
  go
• 38:16
  use
• 38:16
  it.
• 38:17
  I
• 38:17
  think
• 38:18
  there
• 38:18
  is
• 38:18
  a
• 38:18
  huge
• 38:19
  potential
• 38:20
  from
• 38:20
  let's
• 38:21
  say
• 38:21
  the
• 38:21
  20th
• 38:22
  to
• 38:23
  the
• 38:23
  3rd
• 38:24
  or
• 38:24
  4th
• 38:24
  of
• 38:24
  January
• 38:25
  to
• 38:26
  have
• 38:26
  a
• 38:26
  massive
• 38:27
  retail
• 38:27
  season.
• 38:28
  And
• 38:29
  it
• 38:29
  would
• 38:29
  be
• 38:30
  criminal
• 38:30
  to
• 38:31
  waste
• 38:31
  the
• 38:31
  opportunity
• 38:32
  if
• 38:32
  you're
• 38:32
  in
• 38:32
  one
• 38:32
  of
• 38:32
  those
• 38:32
  categories
• 38:33
  that
• 38:33
  generally
• 38:33
  sees
• 38:34
  better
• 38:34
  visits
• 38:34
  in
• 38:35
  that
• 38:35
  week
• 38:35
  before
• 38:35
  Christmas
• 38:36
  than
• 38:36
  you
• 38:36
  do
• 38:36
  in
• 38:36
  that
• 38:36
  Black
• 38:36
  Friday
• 38:37
  week,
• 38:37
  better
• 38:37
  visits
• 38:38
  in
• 38:38
  that
• 38:38
  week
• 38:38
  after
• 38:39
  Christmas.
• 38:39
  So
• 38:40
  there's
• 38:40
  a,
• 38:40
  I
• 38:40
  think
• 38:40
  there's
• 38:40
  a
• 38:41
  really
• 38:41
  significant
• 38:41
  retail
• 38:42
  period
• 38:42
  coming.
• 38:43
  I
• 38:43
  just
• 38:43
  don't
• 38:43
  think
• 38:43
  it's
• 38:43
  Black
• 38:44
  Friday
• 38:44
  or
• 38:44
  Super
• 38:44
  Saturday.
• 38:46
  Wow.
• 38:47
  You
• 38:47
  heard
• 38:47
  it
• 38:47
  here
• 38:48
  first,
• 38:48
  folks.
• 38:48
  All
• 38:49
  right,
• 38:50
  Ethan,
• 38:50
  can
• 38:50
  we
• 38:51
  have
• 38:51
  you
• 38:51
  back
• 38:51
  on
• 38:52
  to
• 38:52
  catch
• 38:52
  us
• 38:53
  up
• 38:53
  on
• 38:53
  that
• 38:53
  data?
• 38:53
  We
• 38:53
  might
• 38:54
  have
• 38:54
  to
• 38:54
  do
• 38:54
  like
• 38:54
  a
• 38:54
  spot
• 38:54
  special
• 38:55
  post
• 38:55
  update
• 38:56
  the
• 38:57
  week
• 38:57
  of
• 38:57
  January
• 38:58
  5th
• 38:59
  and
• 38:59
  6th
• 38:59
  so
• 38:59
  that
• 38:59
  we
• 38:59
  can
• 39:00
  give
• 39:00
  everybody
• 39:01
  the,
• 39:01
  the,
• 39:02
  the
• 39:02
  download
• 39:02
  of
• 39:03
  what
• 39:03
  truly
• 39:04
  happened.
• 39:04
  And
• 39:05
  if
• 39:05
  it
• 39:05
  was
• 39:05
  correct,
• 39:06
  I
• 39:06
  will,
• 39:06
  I
• 39:06
  will
• 39:07
  be
• 39:07
  here
• 39:07
  with
• 39:07
  bells
• 39:07
  on.
• 39:08
  If
• 39:08
  it
• 39:08
  was
• 39:08
  wrong,
• 39:08
  you're
• 39:09
  like,
• 39:09
  what?
• 39:09
  That
• 39:09
  wasn't,
• 39:10
  that
• 39:10
  wasn't
• 39:10
  even.
• 39:10
  I
• 39:10
  don't
• 39:10
  even
• 39:11
  have
• 39:11
  a
• 39:11
  slide
• 39:11
  on
• 39:11
  that.
• 39:11
  Prove
• 39:11
  it.
• 39:12
  Yes.
• 39:12
  Maybe
• 39:13
  we'll
• 39:13
  have
• 39:13
  to
• 39:13
  find
• 39:13
  you
• 39:14
  at
• 39:14
  NRF
• 39:14
  and
• 39:14
  do
• 39:14
  a
• 39:15
  follow
• 39:15
  up
• 39:15
  or
• 39:15
  something.
• 39:16
  It'll
• 39:16
  just
• 39:16
  be
• 39:17
  like
• 39:17
  an
• 39:17
  ambush.
• 39:17
  An
• 39:18
  Ethan
• 39:18
  ambush.
• 39:19
  I'm
• 39:20
  going
• 39:20
  to
• 39:20
  hold
• 39:20
  you
• 39:20
  to
• 39:21
  that
• 39:21
  and
• 39:21
  send
• 39:21
  you
• 39:21
  the
• 39:22
  bells
• 39:22
  too,
• 39:22
  Ethan.
• 39:23
  That's
• 39:23
  what
• 39:23
  I'm
• 39:23
  going
• 39:23
  to
• 39:23
  do.
• 39:24
  Oh
• 39:24
  my
• 39:24
  God.
• 39:25
  That
• 39:25
  would
• 39:25
  be,
• 39:25
  that
• 39:25
  would
• 39:25
  be
• 39:25
  glorious.
• 39:26
  And
• 39:26
  now
• 39:26
  this
• 39:27
  is
• 39:27
  our
• 39:27
  plug
• 39:27
  to
• 39:27
  come
• 39:27
  hang
• 39:28
  out
• 39:28
  with
• 39:28
  us
• 39:28
  at
• 39:28
  nrf.
• 39:29
  Yes,
• 39:30
  Ethan,
• 39:31
  where
• 39:31
  will
• 39:31
  you
• 39:31
  be
• 39:31
  at
• 39:31
  nrf?
• 39:32
  And
• 39:33
  also
• 39:33
  if
• 39:33
  you
• 39:33
  can
• 39:34
  give
• 39:34
  our
• 39:34
  audience
• 39:35
  some
• 39:36
  contact
• 39:36
  info
• 39:36
  because
• 39:37
  I'm
• 39:37
  sure
• 39:37
  that
• 39:37
  they
• 39:38
  are
• 39:38
  going
• 39:38
  to
• 39:38
  want
• 39:38
  to
• 39:39
  also
• 39:39
  challenge
• 39:40
  those
• 39:40
  assumptions
• 39:40
  that
• 39:41
  you've
• 39:41
  made
• 39:41
  today
• 39:42
  and,
• 39:42
  and
• 39:43
  get
• 39:43
  more
• 39:43
  information.
• 39:43
  What's
• 39:44
  the
• 39:44
  best
• 39:44
  place
• 39:44
  for
• 39:44
  them
• 39:44
  to
• 39:44
  do
• 39:45
  that?
• 39:45
  Love
• 39:45
  the
• 39:46
  feedback,
• 39:46
  post
• 39:47
  these
• 39:47
  conversations.
• 39:47
  So
• 39:47
  please
• 39:47
  do
• 39:48
  reach
• 39:48
  out.
• 39:48
  I'm
• 39:48
  at
• 39:48
  Ethan
• 39:49
  Chernofsky
• 39:50
  on
• 39:50
  LinkedIn.
• 39:50
  You
• 39:50
  can
• 39:50
  find
• 39:51
  me
• 39:51
  at
• 39:51
  Ethan
• 39:52
  Placer
• 39:52
  AI
• 39:53
  via
• 39:53
  email.
• 39:54
  Come
• 39:54
  hang
• 39:54
  out
• 39:55
  at
• 39:55
  NRF.
• 39:55
  We'll
• 39:56
  have
• 39:56
  our
• 39:56
  big
• 39:56
  Placer
• 39:57
  booth
• 39:58
  there.
• 39:58
  And
• 39:59
  looking
• 39:59
  forward
• 40:00
  to
• 40:01
  seeing
• 40:01
  you
• 40:01
  all
• 40:01
  hopefully
• 40:02
  very,
• 40:02
  very
• 40:02
  soon.
• 40:04
  Excellent.
• 40:04
  Thank
• 40:04
  you
• 40:05
  so
• 40:05
  much,
• 40:05
  Ethan.
• 40:06
  That
• 40:06
  wraps
• 40:06
  us
• 40:06
  up.
• 40:06
  Thanks
• 40:07
  to
• 40:07
  Ethan
• 40:07
  Chernofsky
• 40:08
  at
• 40:08
  Placer
• 40:08
  AI
• 40:08
  for
• 40:09
  sitting
• 40:09
  down
• 40:09
  with
• 40:09
  us
• 40:09
  today.
• 40:10
  Thank
• 40:10
  you
• 40:11
  to
• 40:11
  all
• 40:11
  of
• 40:11
  you
• 40:11
  who
• 40:12
  took
• 40:12
  the
• 40:12
  time
• 40:12
  to
• 40:13
  join
• 40:13
  us
• 40:13
  during
• 40:13
  this
• 40:14
  very
• 40:14
  busy
• 40:14
  time
• 40:14
  of
• 40:15
  year
• 40:15
  as
• 40:16
  well.
• 40:17
  And
• 40:17
  thank
• 40:18
  you
• 40:18
  to
• 40:18
  our
• 40:18
  producer,
• 40:18
  Ella
• 40:19
  Sirjord,
• 40:19
  who
• 40:20
  produced
• 40:20
  this
• 40:20
  podcast.
• 40:21
  And
• 40:21
  finally,
• 40:22
  as
• 40:22
  always,
• 40:22
  on
• 40:22
  behalf
• 40:23
  of
• 40:23
  all
• 40:23
  of
• 40:23
  us
• 40:23
  here
• 40:23
  at
• 40:24
  amitalk,
• 40:24
  be
• 40:24
  careful
• 40:25
  out
• 40:25
  there.