Latest / The Growth Class with Phil Masiello / Retail Brand Growth: Balancing E-Commerce, Exclusivity, and Customer Experience with Tina Loyd

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Retail Brand Growth: Balancing E-Commerce, Exclusivity, and Customer Experience with Tina Loyd · The Growth Class with Phil Masiello

• 0:19
  SPEAKER_01: Hey everybody, and welcome back to another episode of the Growth Class.
• 0:23
  SPEAKER_01: And when you think of destination retail and brands that have stood the test of time, Terry Costa is a name that immediately comes to mind.
• 0:30
  SPEAKER_01: Today, I'm thrilled to be joined by Tina Lloyd, who is instrumental in the success and the growth of this legendary brand.
• 0:36
  SPEAKER_01: She didn't found the brand, but she's taken it to a different level.
• 0:40
  SPEAKER_01: So we're going to discuss the challenges of staying relevant, how to foster deep connection and your cut to your customer base.
• 0:47
  SPEAKER_01: So, Tina, welcome to the show.
• 0:48
  SPEAKER_01: Thanks for taking the time to come on.
• 0:51
  SPEAKER_00: Thank you for having me, Phil.
• 0:53
  SPEAKER_01: Yeah, sure.
• 0:55
  SPEAKER_01: Why don't you take us back and because I I just mentioned that you didn't found the brand, but you were with it for quite a long time.
• 1:01
  SPEAKER_01: And then, you know, what you've done in the past, how you got to where you are today, and how where you've taken the brand.
• 1:08
  SPEAKER_00: Okay, all right.
• 1:09
  SPEAKER_00: Well, thank you.
• 1:10
  SPEAKER_00: Uh yes, Terry Costa Inc.'s been around for 40 years.
• 1:12
  SPEAKER_00: We just had our 40th anniversary uh on April the 25th.
• 1:17
  SPEAKER_00: So, um, and I've been with the brand for about 26 years.
• 1:21
  SPEAKER_00: Um, I originally met Terry Costa, the founder, um, back in the 90s.
• 1:26
  SPEAKER_00: Um, she was one of my clients on the wholesale side.
• 1:29
  SPEAKER_00: Um, I eventually went to work for her, earned a percentage of the business while working for her for six and a half years, and bought her percentage out with an SVA loan.
• 1:39
  SPEAKER_00: And uh she actually stayed on as a mentor for a few years after that, and then uh she eventually retired.
• 1:47
  SPEAKER_00: And we basically have been growing the brand ever since.
• 1:50
  SPEAKER_00: So we've grown at an average of about 15% each year since 2007, uh, was when I bought it.
• 1:57
  SPEAKER_00: And so it's been an adventure ever since.
• 1:59
  SPEAKER_00: We've expanded.
• 2:00
  SPEAKER_00: Uh, we were about 13,095 square feet, and we expanded to nearly 17,000 square feet.
• 2:06
  SPEAKER_00: Also built an online store.
• 2:08
  SPEAKER_00: We didn't have online before, now we do.
• 2:11
  SPEAKER_00: So it's been an a growing evolution over time.
• 2:15
  SPEAKER_01: Aaron Powell So when you bought it, it was just she had just been focused on the store primarily, right?
• 2:21
  SPEAKER_01: Her own store.
• 2:22
  SPEAKER_00: Yes, yes.
• 2:23
  SPEAKER_00: That was 2007.
• 2:24
  SPEAKER_00: So that was, you know, before the iThons and all that.
• 2:27
  SPEAKER_00: Yeah.
• 2:29
  SPEAKER_01: But you well, we still have e-commerce in 2007, so that was Yes, yes, but not not like we do now.
• 2:35
  SPEAKER_00: But yes.
• 2:36
  SPEAKER_01: So so then you took it over and you really laid out a path for growth, right?
• 2:42
  SPEAKER_01: So you saw something that she didn't see at the time.
• 2:45
  SPEAKER_00: Um, I I did, I did.
• 2:47
  SPEAKER_00: There was a lot of improvements, and she was at the point in time where she was ready to retire that you know, around 65.
• 2:53
  SPEAKER_00: And um there was just a lot of, you know, as far as improvements um structurally that needed to be done, computer systems that needed to be done, which is a constant evolution.
• 3:04
  SPEAKER_00: And so there's a lot of improvements that needed to be made.
• 3:07
  SPEAKER_00: So it's everything's been twice as hard as I thought, but uh we're still we're we're still headed in the right direction.
• 3:17
  SPEAKER_01: Yeah.
• 3:18
  SPEAKER_01: And so why did why did you decide to to use e-commerce?
• 3:21
  SPEAKER_01: Was there something that you saw in uh in the numbers or something that you saw an opportunity?
• 3:27
  SPEAKER_00: Um there was there was an opportunity.
• 3:29
  SPEAKER_00: Um I I I immediately wanted to do an e-commerce once I bought it, but the e-commerce is still only 10% of the business.
• 3:36
  SPEAKER_00: The brick and mortar is still the majority of the business.
• 3:39
  SPEAKER_00: Um, but you know, it it does it, you know, uh, you know, a bit over a million, but you know, it's still a small portion of the business.
• 3:48
  SPEAKER_00: It um there was an opportunity.
• 3:51
  SPEAKER_00: There was a store called Prom Girl that did extremely well at that time.
• 3:55
  SPEAKER_00: They've since claimed bankruptcy and not done so well.
• 3:58
  SPEAKER_00: Um, because there was, you know, obviously after COVID and everything was a very challenging time for many people.
• 4:04
  SPEAKER_00: Um, but you know, there was an opportunity.
• 4:06
  SPEAKER_00: So the, you know, that did did put us out, and we're trying to grow that still, uh, which allows us to go more on a national stage.
• 4:13
  SPEAKER_01: But I mean, i i your e-commerce site, it may just be a small percentage of the business, but it also gives you a bigger presence online because then people, you know, if they're searching for it, uh, even in the local area near you, they find the website and then it sort of drives them into the store.
• 4:29
  SPEAKER_00: Yes, it does.
• 4:30
  SPEAKER_00: It does.
• 4:31
  SPEAKER_00: So, you know, it does help with that outreach for sure.
• 4:34
  SPEAKER_01: What about channels?
• 4:35
  SPEAKER_01: Uh what about other channels?
• 4:37
  SPEAKER_01: Are you just selling in your own store and on e-commerce or are you selling wholesale to other retailers?
• 4:42
  SPEAKER_00: Um no, we're not selling wholesale to other retailers.
• 4:45
  SPEAKER_00: I did travel um over to China last uh last year solo for the first time uh to produce our own line, our own exclusive line, um, which we launched this spring.
• 4:57
  SPEAKER_00: Um so that's a news exciting adventure, kind of allowing Terry Costa Inc.
• 5:02
  SPEAKER_00: to go um full circle of 360.
• 5:04
  SPEAKER_00: Um, for those who have been in the Dallas-Fort Worth area for a long time, know that uh Terry started off with Victor Costa, which was a designer in the 80s and used to manufacture here in Dallas.
• 5:15
  SPEAKER_00: So we're actually trying to get back into manufacturing ourselves.
• 5:18
  SPEAKER_00: We're not selling to other retailers.
• 5:20
  SPEAKER_00: Um, it is owner product that is exclusively for Terry Costa's brick and mortar store and our website, uh just allowing that customer so we can have um a higher level of service, offer a better price point, um, and also have more control factor over the product and more exclusivity with the product so it's not such a saturated product in the marketplace.
• 5:43
  SPEAKER_01: Were you always were you always uh manufacturing in China or is that new?
• 5:47
  SPEAKER_00: That was brand new.
• 5:48
  SPEAKER_00: That was a brand new adventure.
• 5:50
  SPEAKER_00: It was just uh go now or it's gonna be too late.
• 5:53
  SPEAKER_01: How come you made that decision and not uh manufacturing in the States or closer to home like Mexico?
• 6:00
  SPEAKER_00: Um we really wanted to manufacture in the States, um uh but the price point was just not comparable.
• 6:06
  SPEAKER_00: But the most important element, the talent, we just weren't able to find the talent to do for the type of dresses we do.
• 6:12
  SPEAKER_00: We're talking about horse hems, lots of bead work.
• 6:15
  SPEAKER_00: Um we can produce a simple dress here in the United States for the same price for you know a similar price, um, but you're not gonna be able to provide what you're gonna need for a prom dress, essentially.
• 6:28
  SPEAKER_00: So, or a wedding dress for that matter, unless it's just a very simple silhouette.
• 6:33
  SPEAKER_01: So was that the first time that you went to China to negotiate or find a manufacturer, or did you have a manufacturer, or did somebody introduce you to a manufacturer?
• 6:43
  SPEAKER_00: Aaron Ross Powell It was a brand new adventure.
• 6:45
  SPEAKER_00: So I visited um seven factories while I was over there.
• 6:49
  SPEAKER_00: Um and I'm really glad I did it.
• 6:51
  SPEAKER_00: You know, it was uh a very much an educational process.
• 6:54
  SPEAKER_01: Aaron Ross Powell But did you have somebody that was helping you introduce you to the to the factories, or did you?
• 6:59
  SPEAKER_00: I did have a guide when I went over there.
• 7:00
  SPEAKER_00: I did hire a guide to help out.
• 7:02
  SPEAKER_00: Yes.
• 7:04
  SPEAKER_01: Who found the factories, you or the guide?
• 7:07
  SPEAKER_00: A little bit of both.
• 7:08
  SPEAKER_01: Yeah.
• 7:09
  SPEAKER_01: Yeah.
• 7:09
  SPEAKER_01: It's interesting the way that uh it works, or or the way that um you know I've been involved with a number of of companies that manufacture in in China that um usually around the outskirts of Hong Kong.
• 7:27
  SPEAKER_01: Uh uh in it's in China, but mostly on the shaving and electric uh electronic side, which are all sort of clustered in one area, and it's amazing the difference in uh the quality of the manufacturing facility itself.
• 7:46
  SPEAKER_01: Uh it's uh it's it's amazing.
• 7:48
  SPEAKER_01: You know, you can visit 12 different factories and you'll find 12 different levels of quality, in my opinion, you know, from what I've seen.
• 7:57
  SPEAKER_01: So it's interesting.
• 7:58
  SPEAKER_01: That whole piece of of uh you know, finding the right manufacturer, finding the right partner, getting the product over here, especially now between uh you know, the price of fuel, the tariffs, etc.
• 8:11
  SPEAKER_01: I don't know how you're shipping, but if you're shipping like once a year, twice a year or quarterly or whatever, but it gets uh it gets a little um It takes talent, let's say, to do the forecasting correctly, to get the right product, the right time to get it over here.
• 8:30
  SPEAKER_01: Because if you miss, right, the to time on water or you know, air freight is expensive, but the time on water can be, you know, 30 to 45 days.
• 8:40
  SPEAKER_00: Yeah, so it was uh the logistics were extremely challenging to say the least.
• 8:45
  SPEAKER_00: And uh the dress business is similar in the aspect that um you know everything is sort of in the area and you've got different levels.
• 8:53
  SPEAKER_00: I mean, you've got different levels of factories, um, you know, and that was part of the decision-making process too.
• 8:59
  SPEAKER_00: You know, how how's this factory run?
• 9:02
  SPEAKER_00: What's, you know, the ethics code here, what's going on.
• 9:05
  SPEAKER_00: Um, and there was vast differences, but you know, overall I was I was pleasantly surprised, believe it or not, based upon what different than what everyone else says.
• 9:15
  SPEAKER_00: Um, you know, there there wasn't the you know harsh working conditions or anything of that nature, in my opinion, uh, versus what we experience here in the in the United States.
• 9:26
  SPEAKER_00: So I I didn't I didn't find um hardly any of that, only really one factory.
• 9:32
  SPEAKER_01: No, I think when you're it it like I said, I mean, I think it depends on that whole thing about harsh conditions, depends on really the category that you're in and um you know what part of China you're in.
• 9:49
  SPEAKER_01: Right.
• 9:49
  SPEAKER_01: So like usually when it comes to the high volume and the high value products, the ones that require skill levels, like yours, where you're talking about the intricate beadwork and things like that, you're not gonna find harsh conditions.
• 10:04
  SPEAKER_01: It's the it's the throwaway fast fashion, inexpensive stuff that you see on, you know, these other websites that that where it's extremely cheap.
• 10:14
  SPEAKER_01: That's that's where people talk about it.
• 10:17
  SPEAKER_01: And also in other Southeast Asia countries where uh you know maybe the standards are a little bit lax, but I think China has had so many um problems that the the manuf the the brands have sort of forced them to clean up.
• 10:33
  SPEAKER_00: Yes, yeah.
• 10:34
  SPEAKER_00: You know, i mean one factory was really cute.
• 10:36
  SPEAKER_00: It even had classes for children there.
• 10:38
  SPEAKER_00: Yeah and they were really cute with little dolls.
• 10:40
  SPEAKER_00: I mean, like you would put you know, you would put your friend's daughter in there.
• 10:44
  SPEAKER_00: I mean, it was just really adorable.
• 10:46
  SPEAKER_01: Yeah, yeah.
• 10:47
  SPEAKER_01: Yeah, it's funny.
• 10:48
  SPEAKER_01: I spent uh quite a lot of time in China, but I've uh we we were there for about three weeks and all over the country looking for different things and um it's amazing.
• 10:59
  SPEAKER_01: It's uh it's an a it's a huge country.
• 11:01
  SPEAKER_01: I mean, you don't really realize it until you go from like you know, Beijing in the north all the way down to like Hong Kong and then over to Shanghai.
• 11:08
  SPEAKER_01: It's it's it's like, my God, you know, it's it takes forever.
• 11:12
  SPEAKER_01: But um yeah, it's great.
• 11:14
  SPEAKER_01: I I think that uh that whole decision model of where to manufacture, how to manufacture, uh and you know, isn't always based on cost.
• 11:25
  SPEAKER_01: Like you said, it's not always based on cost, it's based on the skill level.
• 11:29
  SPEAKER_01: And that was that's that's always a point that people miss in the conversation, is that sometimes we just don't have that skill level, you know.
• 11:39
  SPEAKER_00: Um yes, and it's becoming you know less and less here in the United States, unfortunately, because it's just not a skill um that that's taught these days, and it's not a really a profession that a lot of people want to go into.
• 11:51
  SPEAKER_00: So Yeah.
• 11:52
  SPEAKER_01: Yeah.
• 11:53
  SPEAKER_01: Yeah.
• 11:53
  SPEAKER_01: I have plenty plenty of uh we I don't have a lot of experience in the fashion world, but I've done enough to know how it the whole process works because when we were on the shopping channels, we helped, you know, with Forbes Riley's uh athletic leisure line.
• 12:08
  SPEAKER_01: We did a couple of other ones, Nick Virios and things like that.
• 12:12
  SPEAKER_01: And uh, you know, we had to we started with people in New York to to try and help us, but what wound up happening is, you know, everything just you can do some work in New York, but then everything gets moved to to China.
• 12:27
  SPEAKER_01: And it's just in the normal fashion world, I mean you're more specialty, but in the normal fashion side of it, when you're dealing with like every day, you really have to be almost a year out in your projections.
• 12:41
  SPEAKER_01: Because you're you're if if I'm talking about spring today or for summer today, I've got to be thinking about what I'm gonna do for summer next year to bring it in.
• 12:50
  SPEAKER_01: And I think that's a whole unique skill set because you you really have to know that business.
• 12:56
  SPEAKER_01: You have to really have spent a long, long time in the fashion world dealing with, you know, factories abroad in order to get it down, because one bad move and it could it could kill you.
• 13:07
  SPEAKER_00: Yes, yeah.
• 13:08
  SPEAKER_00: It it is very challenging.
• 13:10
  SPEAKER_00: You have to uh, you know, and you don't you don't really know until it happens.
• 13:14
  SPEAKER_00: Um, but of course, um you gotta be able to jump on it and react very quickly.
• 13:19
  SPEAKER_00: So you have to be able to change uh very quickly if you had it wrong.
• 13:23
  SPEAKER_00: So adjust accordingly.
• 13:26
  SPEAKER_00: So it's uh it's uh a little bit of an art and a science combined together, but there's uh it it is it is extremely risky.
• 13:33
  SPEAKER_00: I tell my um financial advisors I I can't take any more risk, it's all maxed out in the business.
• 13:40
  SPEAKER_01: Yeah, yeah, that's true.
• 13:41
  SPEAKER_01: Um so most of your sales are just coming from the store still.
• 13:45
  SPEAKER_00: Yeah, they're the yes, they're coming from the brick and mortar store.
• 13:48
  SPEAKER_00: We're very fortunate in the effect that we feel like people really want to have the experience when they come to Shoshov, because we are a very memorable moment.
• 13:56
  SPEAKER_00: I mean, you only get so many proms, hopefully only one wedding, maybe two.
• 14:01
  SPEAKER_00: Yeah, no.
• 14:03
  SPEAKER_01: Hopefully only one wedding.
• 14:04
  SPEAKER_00: Not not a whole lot, all right.
• 14:06
  SPEAKER_00: So you get a few of these occasions, they're very important, and we're we're honored when our guests come in to share these important memories with us.
• 14:14
  SPEAKER_00: And so, you know, it's our job to make them feel beautiful, competent, empowered.
• 14:19
  SPEAKER_00: It's their time to shine.
• 14:20
  SPEAKER_00: So they really want the experience.
• 14:22
  SPEAKER_00: You know, there's a lot with the you know, say yes to the dress, which is built up the publicity and the experience of it.
• 14:30
  SPEAKER_00: So, you know, we are really just feeding into that, especially with our expansion to try to make it more of a personalized type service for each guest that arrives.
• 14:39
  SPEAKER_00: So um that they really have a a great time when they're here.
• 14:43
  SPEAKER_01: And it's a and it's a long sales process because she do nobody makes decisions that quickly when it comes to their wedding dress or their prom gown.
• 14:51
  SPEAKER_01: It's usually they've got a look.
• 14:54
  SPEAKER_00: It really depends on the person.
• 14:56
  SPEAKER_00: You know, uh we have people that make uh decisions really quickly, and then we also have people that will take days and long time months.
• 15:05
  SPEAKER_00: They got we call them visitors, but um, you know, it it really just depends on the individual.
• 15:10
  SPEAKER_00: Some people can come in and out and some some don't.
• 15:12
  SPEAKER_01: Aaron Powell Is it a anything special at the store that people that you do to make people uh because they're paying a tremendous amount of money, right, for the for the dress?
• 15:22
  SPEAKER_00: Aaron Powell Well, yeah, we we have a wide variety of price points.
• 15:25
  SPEAKER_00: So we and I do I mean I mean wide.
• 15:29
  SPEAKER_00: We have like as low as like, you know 99, with most falling around 200 all the way, um, you know, all the way up to 10,000 plus with the couture collection.
• 15:41
  SPEAKER_00: And then the medium price point for a prom dress is about$600.
• 15:46
  SPEAKER_00: The medium price point for a bridal gown is about$1,500.
• 15:50
  SPEAKER_00: So, and it can range anywhere in between, depending upon, you know, if it's if we're in sale mode, which we are now for the for the 4th of July, or we are, you know, it it's prime season and you want a custom couture.
• 16:03
  SPEAKER_00: So it really depends.
• 16:05
  SPEAKER_00: Well, to answer your question, what makes us unique is, you know, number one, we try to listen to our customers.
• 16:10
  SPEAKER_00: Um, and everyone's always welcome at Terry Costa.
• 16:14
  SPEAKER_00: We, you know, have things to help with the experience, such as, you know, we have a couple of runways, we got the great lighting.
• 16:20
  SPEAKER_00: Um, so we really try to make it a fun experience.
• 16:23
  SPEAKER_00: Our consultants are are well trained and educated.
• 16:27
  SPEAKER_00: Many of our consultants have been with us for well over a decade.
• 16:31
  SPEAKER_00: Uh, so the majority of the core team has been with us for over five years.
• 16:35
  SPEAKER_00: Um, and so they go through a whole program.
• 16:38
  SPEAKER_00: Even when we hire our seasonal team members in for our prom season, we have a two-month program that they have to go through before they're, you know, before they're introduced to customers.
• 16:49
  SPEAKER_00: Um, so we really work hard in trying to train them, make them educated on body types, styles, what's going to work best, coloring, all those variables so that you know you're working with an educated stylist.
• 17:02
  SPEAKER_01: Yeah.
• 17:02
  SPEAKER_01: So so when you took over the business and you started going, right?
• 17:07
  SPEAKER_01: You took an SBA loan and you uh you really put yourself out there.
• 17:12
  SPEAKER_01: Was there ever a point in time where you thought, oh my God, I made a mistake?
• 17:15
  SPEAKER_01: This isn't gonna work.
• 17:17
  SPEAKER_00: Yes.
• 17:21
  SPEAKER_00: Absolutely.
• 17:22
  SPEAKER_00: About, you know, the first uh few months to six months I was in, I was like, oh my goodness, what what are we gonna do?
• 17:32
  SPEAKER_00: Um, you know, it was during the recession as well.
• 17:35
  SPEAKER_00: Um, things were really, really tight as far as cash flow was concerned um and and and money.
• 17:42
  SPEAKER_00: And I remember one time my my uh bookkeeper put 300,000 worth of bills on my desk, which seemed like an enormous amount.
• 17:52
  SPEAKER_00: And um, I bought the business for less than that, to put it in perspective.
• 17:56
  SPEAKER_00: Um I was like, what am I gonna do?
• 17:59
  SPEAKER_00: And I just remember all I can remember is going out on the sales floor and just hustling it for all it was worth.
• 18:06
  SPEAKER_00: But um it really it really came back down to you know, sucking it up.
• 18:11
  SPEAKER_00: I mean, uh in the first three years.
• 18:13
  SPEAKER_00: I mean, for for your guest, you know, the first three years, you know, I took a uh sniff, my pay went down about half from what it was when I was working from Terry for three years.
• 18:23
  SPEAKER_00: So you really have to make uh those sacrifices in the beginning.
• 18:26
  SPEAKER_00: So yeah, I mean I even uh I yeah, I was like, oh geez, what did I do?
• 18:35
  SPEAKER_00: You know, but then you get to a point where you know you get up and you do it and you know you you push yourself and sometimes you think I can't go any more steps, and then you for me, I pray about it and uh you know what, I can go a few more steps and I can keep going.
• 18:52
  SPEAKER_00: And you just you just really have to take that mentality.
• 18:55
  SPEAKER_00: I'm going to go and I'm gonna try at this, even if it kills me.
• 18:58
  SPEAKER_01: Yeah.
• 18:58
  SPEAKER_00: I mean, I know that sounds extreme and crazy for just a dress business, but you know, it is challenging.
• 19:05
  SPEAKER_00: So you've got you've got to be ready to put it first.
• 19:09
  SPEAKER_00: Yes.
• 19:09
  SPEAKER_01: Well, I mean, I don't think it's extreme for the dress business.
• 19:13
  SPEAKER_01: I mean, it's sort of the same way for any business.
• 19:15
  SPEAKER_01: You you have a crossroads.
• 19:17
  SPEAKER_01: You're either gonna go, you're either gonna keep going or you're just gonna walk away.
• 19:21
  SPEAKER_01: I mean, that's the difference between you know, success and not success.
• 19:25
  SPEAKER_01: I mean, I've watched plenty of entrepreneurs start a business and then they hit that first wall and they go, This isn't for me, and they, you know, walk away.
• 19:33
  SPEAKER_01: Even they could even walk away.
• 19:35
  SPEAKER_01: I've watched people walk away when they were ten steps away from success and um and just f you know fall apart.
• 19:42
  SPEAKER_01: I've watched people do I've watched people fall apart in a business to the point where they uh don't want to do it anymore, but they also don't want anybody else to succeed at it.
• 19:56
  SPEAKER_01: And they they almost self-sabotage themselves and the business.
• 20:00
  SPEAKER_01: So I mean there's all kinds of people out there.
• 20:01
  SPEAKER_01: So what you're saying doesn't I mean it's absolutely true.
• 20:05
  SPEAKER_01: You have to come to a decision with yourself to say, am I gonna keep pushing through or am I just gonna fold?
• 20:11
  SPEAKER_00: So yeah, at some point you've you've got to do that, not that it stops, and then you know you get to a certain point and um you know you learn the large responsibility that you have of, you know, trying to make a positive impact on the lives around you, your team members, and you know, obviously your customers and your clients.
• 20:31
  SPEAKER_00: Um, and then you know, you're at the stage where you're trying to build something bigger than yourself and you're trying to get it to operate without you.
• 20:39
  SPEAKER_00: So that's the hard step.
• 20:41
  SPEAKER_00: Yeah, it's where I am now.
• 20:43
  SPEAKER_01: So, yeah, that comes to the next big question is what do you think your biggest problem or your biggest hurdle is right now for growth or running the business?
• 20:52
  SPEAKER_00: Right now, uh well, my one of my largest challenges right now is we're trying to implement a new CRM system.
• 20:59
  SPEAKER_00: And um, it's been relatively challenging.
• 21:02
  SPEAKER_00: So sort of spent all morning.
• 21:04
  SPEAKER_00: So um it it is, you know, we're very niche.
• 21:09
  SPEAKER_00: We're like a big fish in this little baby pond.
• 21:12
  SPEAKER_00: And, you know, we're trying to develop our own custom system here that allows us to do certain things that's not just something off the shelf.
• 21:20
  SPEAKER_00: And um, I thought we'd gotten through the hard part, but we we we haven't.
• 21:25
  SPEAKER_00: So um we're we're we're marching our way through.
• 21:28
  SPEAKER_00: So that's kind of my largest challenge.
• 21:30
  SPEAKER_00: But there is, you know, there's con constant challenges.
• 21:32
  SPEAKER_00: Um, and you've just got to expect that.
• 21:35
  SPEAKER_00: I mean, you really, if there's not a problem, something's wrong.
• 21:38
  SPEAKER_00: You're not busy enough.
• 21:39
  SPEAKER_00: Something's there's gonna be problems.
• 21:45
  SPEAKER_00: So, you know, every day creates a new challenge, and then, you know, of course, we're all challenged with implementing AI and finding the right way to implement it, and not too much.
• 21:56
  SPEAKER_00: So, you know, it's you know, we're we're exploring new territories.
• 21:59
  SPEAKER_00: It's like Unchartered, um uncharted waters.
• 22:03
  SPEAKER_00: You know, it's kind of like during COVID, you know, you had no idea what was next, and then you just kept going.
• 22:09
  SPEAKER_00: So that's my philosophy.
• 22:11
  SPEAKER_00: Just keep going.
• 22:13
  SPEAKER_01: Yeah.
• 22:13
  SPEAKER_01: I mean, you know, I think one of the problems with you just mentioned AI, and I think one of the problems with AI is today, and I see it all the time, is the bright, shiny complex, right?
• 22:23
  SPEAKER_01: There's all these people out there pitching AI products that are unproven by people that have never done it before.
• 22:31
  SPEAKER_01: They don't know what problem.
• 22:33
  SPEAKER_01: They built an uh the I equate it to this.
• 22:36
  SPEAKER_01: They built a product and they're trying to find a solution that fits the product.
• 22:39
  SPEAKER_01: Instead of finding the solution and building an AI product.
• 22:42
  SPEAKER_01: Like we built an AI product, but I don't want to talk about it uh on this.
• 22:46
  SPEAKER_01: But we did it because we're it we have an agency and we were trying to solve a specific problem and we did it for ourselves, and then it turned out that we did such a good job with it, we turned it into an actual product that we help people with.
• 22:58
  SPEAKER_01: But you know, most of the AI stuff that I see out there just it drives me insane because it's just slop.
• 23:05
  SPEAKER_01: But that's just my personal opinion.
• 23:08
  SPEAKER_00: Right, right.
• 23:08
  SPEAKER_00: Well, I understand that.
• 23:10
  SPEAKER_00: I think, you know, you everyone's got to keep the foundation that you've got to focus on what's important.
• 23:17
  SPEAKER_00: And what's important is the customer, the client, and giving them great service, giving them a great experience, getting a product that they want, that they enjoy at a competitive price point, you know, and being able to service that customer and create an for us an experience, a time for them to shine.
• 23:35
  SPEAKER_00: So I think you have to keep your core and you keep your what's driving you, and then you find all the tools that are going to help you do that.
• 23:44
  SPEAKER_00: And so those are the things we can't get.
• 23:46
  SPEAKER_00: But it is, you know, it's easy to get caught up in like, oh, wow, look what it did, you know.
• 23:51
  SPEAKER_01: Well, yeah.
• 23:52
  SPEAKER_01: I mean, people come with all kinds of things.
• 23:54
  SPEAKER_01: You know, I uh the biggest problem I have with look, I love AI.
• 23:58
  SPEAKER_01: Don't get me wrong.
• 23:59
  SPEAKER_01: We've been dealing with it for about seven years in in in different ways, and I love certain things.
• 24:05
  SPEAKER_01: I love the analytic side of it, I love uh the ability to do mundane tasks and and take that away.
• 24:13
  SPEAKER_01: Uh what I don't like, and I think it's destructive, is people that are touting to creation of content with AI, like video imagery, because that'll just destroy your brand because it's inauthentic.
• 24:26
  SPEAKER_01: And I don't think any any consumer-focused brand.
• 24:29
  SPEAKER_01: Does it does it work for real estate?
• 24:30
  SPEAKER_01: Absolutely.
• 24:31
  SPEAKER_01: Does it work for industrial?
• 24:33
  SPEAKER_01: Absolutely.
• 24:34
  SPEAKER_01: But when it comes to consumer-facing products, you should never, you you always have to make your content.
• 24:40
  SPEAKER_01: You have to make the video, you have to make the content.
• 24:43
  SPEAKER_01: Now, you can get the ideas from AI, you can do all kinds of things, but you should never use, in my opinion, you should never use, as a marketer, as a consumer product marketer, you should never use AI to put it in front of the customer.
• 24:54
  SPEAKER_01: The customer rejects it and they don't like it.
• 24:56
  SPEAKER_01: And there's so many brands out there today that are saying the same thing I'm saying, which is we're not going to do it.
• 25:01
  SPEAKER_01: So Right.
• 25:02
  SPEAKER_00: I think that's an excellent point.
• 25:04
  SPEAKER_00: Um, you know, especially for us, because um, you know, there's a lot of knockoffs, there's a lot of copies.
• 25:10
  SPEAKER_00: And so, I mean, for us staying authentic and being real is is really important.
• 25:16
  SPEAKER_00: Um, and you know, we have to sometimes, you know, you have to push a lot of people away, like, you know, hey, you can get this in just a different color, just hit this button.
• 25:24
  SPEAKER_00: It's like, it's not exactly the right color.
• 25:26
  SPEAKER_00: It's uh um, but you know, it's uh it's it's it is a struggle.
• 25:32
  SPEAKER_00: But um, yeah, I think in order to keep the quality that, you know, AI can only help us with so much at this time.
• 25:39
  SPEAKER_01: Yeah, I agree with you.
• 25:40
  SPEAKER_01: Well, we're about out of time.
• 25:42
  SPEAKER_01: Any parting words for uh young women, women that are trying to get into business?
• 25:47
  SPEAKER_01: Anything that uh any thoughts or ideas that you may have?
• 25:51
  SPEAKER_00: Um I can't say I've got anything brilliant other than just, you know, continuing stepping forward each day, believe in yourself, have confidence in yourself, um, go with your gut, let God guide you, and um keep on going.
• 26:07
  SPEAKER_01: Yeah.
• 26:07
  SPEAKER_01: Um and people can find you where?
• 26:09
  SPEAKER_01: TerryCosta.com.
• 26:11
  SPEAKER_00: That's correct.
• 26:12
  SPEAKER_00: At terrycosta.com.
• 26:13
  SPEAKER_00: That is our website.
• 26:14
  SPEAKER_00: We're also located at uh Preston and 635 in the southwest corner uh here in Dallas, Texas.
• 26:20
  SPEAKER_01: All right, that's fantastic.
• 26:22
  SPEAKER_01: Well, thanks.
• 26:22
  SPEAKER_01: I appreciate you coming on and taking the time and uh good luck to you.
• 26:26
  SPEAKER_01: And I I look forward to uh speaking to you in the future.
• 26:29
  SPEAKER_01: All right.
• 26:30
  SPEAKER_00: Thank you.
• 26:31
  SPEAKER_00: All right, thanks for having me.
• 26:32
  SPEAKER_00: Thank you.
• 26:33
  SPEAKER_00: All right, bye-bye.