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Our 2026 Retailers To Watch | Ask An Expert · Omni Talk Retail

• 0:00
  Foreign.
• 0:08
  Welcome
• 0:08
  to
• 0:09
  the
• 0:09
  latest
• 0:09
  edition
• 0:09
  of
• 0:09
  the
• 0:09
  Omnitalk
• 0:10
  Retail
• 0:11
  Ask
• 0:11
  an
• 0:11
  Expert
• 0:12
  series.
• 0:12
  I'm
• 0:12
  your
• 0:12
  host,
• 0:13
  Chris
• 0:13
  Walton.
• 0:14
  And
• 0:14
  I'm
• 0:14
  Anne
• 0:14
  Mazenga.
• 0:15
  And
• 0:16
  we
• 0:16
  are
• 0:16
  the
• 0:16
  founders
• 0:16
  of
• 0:16
  omnitalk,
• 0:17
  the
• 0:17
  fast
• 0:17
  growing
• 0:18
  retail
• 0:18
  media
• 0:18
  outlet
• 0:18
  that
• 0:18
  is
• 0:19
  all
• 0:19
  about
• 0:19
  the
• 0:19
  companies,
• 0:19
  the
• 0:20
  technologies
• 0:20
  and
• 0:20
  the
• 0:21
  people
• 0:21
  that
• 0:21
  are
• 0:21
  coming
• 0:21
  together
• 0:22
  to
• 0:22
  shape
• 0:22
  the
• 0:22
  future
• 0:23
  of
• 0:23
  retail.
• 0:24
  And
• 0:24
  our,
• 0:24
  our
• 0:24
  next
• 0:25
  guest,
• 0:25
  100%
• 0:26
  needs
• 0:26
  no
• 0:27
  introduction.
• 0:28
  Ethan,
• 0:28
  how
• 0:29
  have
• 0:29
  you
• 0:29
  been
• 0:29
  keeping?
• 0:30
  I've
• 0:30
  been
• 0:31
  doing
• 0:31
  well.
• 0:31
  How
• 0:31
  are
• 0:31
  you
• 0:32
  guys
• 0:32
  doing?
• 0:32
  Doing
• 0:33
  well.
• 0:33
  Ethan,
• 0:33
  we're
• 0:34
  so
• 0:34
  excited
• 0:34
  to
• 0:34
  have
• 0:34
  you
• 0:35
  back.
• 0:35
  I'm
• 0:35
  excited
• 0:36
  for
• 0:36
  this
• 0:36
  round
• 0:36
  too.
• 0:37
  It's
• 0:37
  a
• 0:37
  little
• 0:37
  different
• 0:37
  than
• 0:38
  what
• 0:38
  our
• 0:38
  audience
• 0:39
  has
• 0:39
  seen
• 0:39
  before
• 0:39
  and
• 0:40
  even
• 0:40
  what
• 0:40
  Chris
• 0:40
  and
• 0:40
  I
• 0:41
  have
• 0:41
  seen
• 0:41
  before.
• 0:41
  So
• 0:42
  the
• 0:42
  top
• 0:43
  retailers
• 0:43
  to
• 0:43
  watch.
• 0:44
  I
• 0:44
  can't
• 0:44
  wait.
• 0:45
  Yes,
• 0:45
  Ethan's
• 0:45
  been
• 0:45
  on
• 0:46
  our
• 0:46
  show
• 0:46
  many
• 0:46
  times.
• 0:47
  So
• 0:47
  Ethan
• 0:47
  is
• 0:47
  of
• 0:47
  course,
• 0:48
  Ethan
• 0:48
  Chernosky,
• 0:49
  the
• 0:49
  chief
• 0:49
  marketing
• 0:49
  officer
• 0:50
  at
• 0:50
  Placer
• 0:51
  AI.
• 0:51
  And
• 0:52
  as
• 0:52
  Ann
• 0:52
  alluded
• 0:53
  to,
• 0:53
  Ethan
• 0:53
  is
• 0:54
  here
• 0:54
  to
• 0:54
  share
• 0:54
  his
• 0:55
  2020,
• 0:55
  26
• 0:56
  retailers
• 0:57
  to
• 0:57
  watch.
• 0:58
  Now,
• 0:58
  what
• 0:58
  does
• 0:58
  that
• 0:59
  mean?
• 1:00
  Well,
• 1:00
  your
• 1:00
  guess
• 1:01
  is
• 1:01
  as
• 1:01
  good
• 1:01
  as
• 1:01
  ours
• 1:02
  because
• 1:03
  now
• 1:03
  for
• 1:03
  those
• 1:03
  listening
• 1:04
  and
• 1:04
  watching
• 1:04
  in
• 1:05
  real
• 1:05
  time,
• 1:06
  listening
• 1:06
  at
• 1:06
  home,
• 1:07
  keep
• 1:07
  in
• 1:07
  mind,
• 1:07
  as
• 1:08
  we
• 1:08
  always
• 1:08
  do,
• 1:08
  whenever
• 1:09
  Ethan
• 1:09
  appears
• 1:09
  on
• 1:09
  our
• 1:10
  show,
• 1:10
  Anna
• 1:10
  and
• 1:11
  I
• 1:11
  have
• 1:11
  literally
• 1:12
  no
• 1:12
  idea
• 1:12
  what
• 1:13
  Ethan
• 1:13
  is
• 1:13
  going
• 1:13
  to
• 1:13
  share
• 1:14
  with
• 1:14
  us.
• 1:14
  And
• 1:14
  we,
• 1:14
  like
• 1:15
  all
• 1:15
  of
• 1:15
  you,
• 1:16
  will
• 1:16
  be
• 1:16
  reacting
• 1:17
  in
• 1:17
  real
• 1:17
  time
• 1:18
  to
• 1:18
  what
• 1:18
  Ethan
• 1:19
  says
• 1:19
  100%
• 1:20
  organically.
• 1:21
  So
• 1:21
  should
• 1:21
  we
• 1:21
  get
• 1:22
  started
• 1:22
  ad
• 1:22
  should
• 1:22
  we
• 1:23
  put
• 1:23
  Ethan
• 1:23
  to
• 1:23
  the
• 1:23
  test?
• 1:24
  Let's
• 1:24
  do
• 1:25
  it.
• 1:25
  But
• 1:25
  before
• 1:25
  we
• 1:25
  do,
• 1:26
  really
• 1:26
  quick,
• 1:27
  make
• 1:27
  sure
• 1:27
  that
• 1:28
  everybody
• 1:28
  who's
• 1:28
  joining
• 1:29
  us
• 1:29
  live
• 1:29
  right
• 1:29
  now,
• 1:30
  you
• 1:30
  have
• 1:31
  the
• 1:31
  opportunity
• 1:31
  to
• 1:32
  ask
• 1:32
  Ethan
• 1:33
  any
• 1:33
  questions
• 1:34
  that
• 1:34
  you
• 1:34
  might
• 1:34
  have,
• 1:35
  any
• 1:35
  rebuttals
• 1:36
  that
• 1:36
  you
• 1:36
  might
• 1:36
  have
• 1:37
  about
• 1:37
  his
• 1:37
  retailers
• 1:38
  to
• 1:38
  watch.
• 1:38
  You
• 1:38
  put
• 1:39
  those
• 1:39
  right
• 1:39
  in
• 1:39
  the
• 1:39
  chat
• 1:39
  to
• 1:40
  the
• 1:40
  right
• 1:40
  hand
• 1:40
  side
• 1:40
  of
• 1:40
  your
• 1:41
  screen
• 1:41
  as
• 1:41
  we
• 1:41
  go
• 1:41
  along.
• 1:42
  And
• 1:42
  Ethan
• 1:43
  and
• 1:43
  the
• 1:43
  Placer
• 1:44
  team
• 1:44
  will
• 1:44
  make
• 1:44
  sure
• 1:44
  to
• 1:45
  answer
• 1:45
  them
• 1:45
  as
• 1:46
  we
• 1:46
  get
• 1:46
  started.
• 1:46
  So
• 1:47
  with
• 1:47
  that,
• 1:47
  Ethan,
• 1:49
  what's.
• 1:50
  Let's
• 1:50
  do
• 1:50
  it.
• 1:50
  Just
• 1:51
  to,
• 1:51
  just
• 1:51
  to
• 1:51
  make
• 1:51
  sure
• 1:52
  we
• 1:52
  check
• 1:52
  the
• 1:52
  box.
• 1:52
  Okay,
• 1:53
  we're
• 1:53
  Ethan,
• 1:54
  what
• 1:54
  is
• 1:54
  Placer
• 1:55
  and
• 1:55
  what
• 1:55
  is
• 1:55
  it
• 1:55
  about
• 1:56
  the
• 1:56
  data
• 1:56
  that
• 1:56
  you
• 1:56
  collect
• 1:57
  that
• 1:57
  makes
• 1:57
  it
• 1:58
  such
• 1:58
  a
• 1:58
  useful
• 1:58
  tool
• 1:59
  to
• 1:59
  provide
• 2:00
  the
• 2:00
  insights
• 2:01
  into
• 2:01
  the
• 2:01
  topic
• 2:02
  at
• 2:02
  hand
• 2:02
  today?
• 2:02
  Ethan,
• 2:04
  what
• 2:04
  a
• 2:04
  fantastic
• 2:05
  question.
• 2:05
  So
• 2:05
  Placer
• 2:06
  is
• 2:06
  a
• 2:07
  location
• 2:07
  analytics
• 2:08
  company.
• 2:08
  What
• 2:08
  that
• 2:09
  means
• 2:09
  people
• 2:09
  vote
• 2:10
  with
• 2:10
  their
• 2:10
  feet.
• 2:10
  We
• 2:10
  show
• 2:10
  you
• 2:11
  how
• 2:11
  they
• 2:11
  vote
• 2:11
  across
• 2:11
  the
• 2:12
  United
• 2:12
  States
• 2:12
  every
• 2:13
  single
• 2:13
  day
• 2:13
  by
• 2:14
  analyzing
• 2:14
  a
• 2:15
  panel
• 2:15
  of
• 2:15
  tens
• 2:16
  of
• 2:16
  millions
• 2:16
  of
• 2:16
  mobile
• 2:16
  devices
• 2:17
  and
• 2:17
  then
• 2:17
  utilizing
• 2:18
  machine
• 2:18
  learning
• 2:18
  and
• 2:18
  AI
• 2:18
  algorithms
• 2:19
  on
• 2:19
  top
• 2:19
  to
• 2:20
  make
• 2:20
  estimations
• 2:20
  of
• 2:20
  visits
• 2:21
  to
• 2:21
  retail
• 2:21
  locations
• 2:22
  across
• 2:22
  the
• 2:22
  country.
• 2:22
  And,
• 2:23
  and
• 2:23
  we
• 2:23
  can
• 2:23
  see
• 2:23
  everything
• 2:23
  from
• 2:24
  visit
• 2:24
  frequency,
• 2:24
  the
• 2:25
  customer
• 2:25
  journey,
• 2:25
  true
• 2:26
  trade
• 2:26
  areas,
• 2:27
  visits
• 2:28
  obviously,
• 2:28
  and
• 2:28
  Visit
• 2:28
  trends
• 2:29
  and
• 2:29
  a
• 2:29
  whole
• 2:29
  lot
• 2:30
  more.
• 2:30
  I
• 2:31
  feel
• 2:31
  like
• 2:31
  I've
• 2:31
  heard
• 2:31
  that
• 2:31
  a
• 2:31
  couple
• 2:32
  times
• 2:32
  now
• 2:32
  on
• 2:32
  this
• 2:32
  show,
• 2:33
  you
• 2:33
  know.
• 2:33
  Yeah,
• 2:34
  it's
• 2:34
  funny
• 2:35
  for
• 2:35
  the
• 2:35
  audience
• 2:35
  to
• 2:35
  know
• 2:35
  how
• 2:36
  the
• 2:36
  sausage
• 2:36
  is
• 2:36
  made.
• 2:36
  I
• 2:37
  screwed
• 2:37
  up
• 2:37
  our
• 2:37
  tagline
• 2:37
  and
• 2:38
  had
• 2:38
  to
• 2:38
  rerecord
• 2:38
  where
• 2:39
  Ethan
• 2:39
  just
• 2:39
  nails
• 2:40
  it
• 2:40
  right
• 2:40
  from
• 2:40
  the
• 2:40
  get
• 2:40
  go.
• 2:41
  So.
• 2:41
  So
• 2:41
  Ethan,
• 2:42
  with
• 2:42
  that
• 2:42
  out
• 2:42
  of
• 2:42
  the
• 2:42
  way,
• 2:43
  what
• 2:43
  is
• 2:43
  the
• 2:43
  first
• 2:44
  thing
• 2:44
  you're
• 2:44
  going
• 2:44
  to
• 2:44
  share
• 2:44
  with
• 2:44
  us?
• 2:45
  The
• 2:45
  first
• 2:45
  one
• 2:45
  is,
• 2:46
  is
• 2:46
  down
• 2:46
  the
• 2:46
  middle
• 2:47
  because
• 2:47
  when
• 2:47
  you
• 2:47
  think
• 2:47
  retailers
• 2:48
  to
• 2:48
  watch,
• 2:48
  you
• 2:48
  want
• 2:48
  to
• 2:49
  talk
• 2:49
  about
• 2:49
  the
• 2:49
  retailers
• 2:49
  that
• 2:49
  you
• 2:50
  think
• 2:50
  are
• 2:50
  going
• 2:50
  to
• 2:50
  do
• 2:51
  very
• 2:51
  well
• 2:51
  that
• 2:51
  you're
• 2:51
  really
• 2:52
  excited
• 2:52
  about.
• 2:52
  And
• 2:53
  this
• 2:53
  is,
• 2:53
  this
• 2:54
  is
• 2:54
  the.
• 2:55
  Where
• 2:55
  we
• 2:55
  kind
• 2:55
  of
• 2:55
  just
• 2:56
  tip
• 2:56
  our
• 2:56
  cap
• 2:57
  to
• 2:57
  great
• 2:57
  retailers
• 2:58
  that
• 2:58
  we
• 2:58
  think
• 2:58
  are
• 2:58
  going
• 2:58
  to
• 2:58
  have
• 2:58
  great
• 2:59
  years.
• 2:59
  And
• 2:59
  I
• 2:59
  think
• 3:00
  what's
• 3:00
  interesting
• 3:00
  about
• 3:01
  some
• 3:01
  of
• 3:01
  the
• 3:01
  retailers
• 3:01
  that
• 3:01
  we
• 3:02
  were
• 3:02
  focusing
• 3:02
  on
• 3:03
  this
• 3:03
  year
• 3:03
  is
• 3:04
  there's
• 3:05
  different
• 3:05
  reasons
• 3:06
  why
• 3:06
  we
• 3:06
  like
• 3:06
  them.
• 3:07
  So
• 3:07
  if
• 3:07
  you
• 3:07
  look
• 3:07
  at
• 3:07
  something
• 3:08
  like
• 3:08
  EOS
• 3:09
  Fitness,
• 3:10
  really
• 3:10
  great
• 3:10
  retailer,
• 3:11
  really
• 3:11
  great
• 3:11
  offering,
• 3:12
  really
• 3:12
  amazing
• 3:13
  sector,
• 3:13
  this
• 3:14
  is
• 3:14
  a
• 3:14
  good
• 3:14
  reason
• 3:14
  to
• 3:14
  expect
• 3:15
  them
• 3:16
  to
• 3:16
  do
• 3:16
  extremely
• 3:16
  well.
• 3:17
  Who
• 3:17
  is
• 3:17
  EOS
• 3:17
  Fitness
• 3:18
  for
• 3:18
  those
• 3:18
  who
• 3:18
  might
• 3:19
  not
• 3:19
  be
• 3:19
  familiar
• 3:20
  with
• 3:20
  them?
• 3:20
  So
• 3:20
  they
• 3:20
  are
• 3:20
  one
• 3:21
  of
• 3:21
  these
• 3:21
  rising
• 3:21
  fitness
• 3:22
  players
• 3:22
  that
• 3:22
  is
• 3:22
  oriented
• 3:23
  towards
• 3:23
  a
• 3:23
  cheaper
• 3:24
  point
• 3:24
  of
• 3:24
  entry
• 3:25
  and
• 3:25
  being
• 3:25
  kind
• 3:25
  of
• 3:25
  more
• 3:26
  valued,
• 3:27
  value
• 3:27
  oriented.
• 3:27
  So
• 3:28
  that
• 3:28
  is
• 3:28
  a
• 3:28
  space
• 3:29
  that
• 3:29
  is
• 3:29
  clearly
• 3:29
  really
• 3:29
  exciting.
• 3:31
  The
• 3:31
  fitness
• 3:31
  space
• 3:32
  in
• 3:32
  general
• 3:32
  is
• 3:33
  one
• 3:33
  that
• 3:33
  you
• 3:33
  could
• 3:33
  just
• 3:33
  throw
• 3:34
  in
• 3:34
  seven
• 3:35
  or
• 3:35
  eight
• 3:35
  different
• 3:35
  chains
• 3:36
  here
• 3:36
  because
• 3:36
  fitness
• 3:37
  is
• 3:37
  doing
• 3:37
  so
• 3:37
  well.
• 3:38
  Give
• 3:38
  you
• 3:38
  one
• 3:38
  of
• 3:38
  the
• 3:38
  really
• 3:39
  interesting
• 3:39
  data
• 3:39
  points
• 3:40
  that
• 3:40
  we
• 3:40
  are
• 3:41
  fascinated
• 3:42
  by.
• 3:43
  Traditionally,
• 3:44
  fitness
• 3:45
  does
• 3:45
  extremely
• 3:45
  well.
• 3:45
  In
• 3:46
  Q1
• 3:46
  we
• 3:46
  have
• 3:46
  our
• 3:46
  New
• 3:47
  Year's
• 3:47
  resolution.
• 3:47
  It
• 3:48
  starts
• 3:48
  dipping.
• 3:48
  You
• 3:49
  see
• 3:49
  a
• 3:49
  pop
• 3:49
  in
• 3:49
  October
• 3:50
  and
• 3:50
  then
• 3:50
  November
• 3:51
  and
• 3:51
  December
• 3:51
  crater
• 3:52
  and
• 3:52
  then
• 3:52
  you
• 3:52
  get
• 3:52
  this
• 3:53
  big
• 3:53
  jump
• 3:53
  between
• 3:53
  December
• 3:54
  and
• 3:54
  January.
• 3:54
  That
• 3:54
  jump
• 3:55
  used
• 3:55
  to
• 3:55
  be
• 3:55
  massive,
• 3:55
  30%
• 3:56
  plus.
• 3:57
  In
• 3:58
  20
• 3:58
  to
• 3:59
  23
• 4:00
  that
• 4:00
  number
• 4:00
  was
• 4:00
  27%.
• 4:02
  In
• 4:02
  24
• 4:02
  and
• 4:03
  25
• 4:03
  that
• 4:03
  declined
• 4:04
  to
• 4:04
  22%.
• 4:05
  And
• 4:05
  this
• 4:06
  year
• 4:06
  it
• 4:06
  was,
• 4:07
  it
• 4:07
  was
• 4:07
  down
• 4:07
  to
• 4:07
  just
• 4:07
  17%.
• 4:08
  The
• 4:08
  jump
• 4:08
  between
• 4:09
  December
• 4:09
  and
• 4:09
  January.
• 4:10
  This
• 4:11
  while
• 4:11
  visits
• 4:12
  were
• 4:12
  up
• 4:12
  year
• 4:12
  over
• 4:13
  year,
• 4:13
  even
• 4:13
  though
• 4:14
  there
• 4:14
  was
• 4:14
  a
• 4:14
  week
• 4:14
  where
• 4:15
  visits
• 4:15
  were
• 4:15
  down
• 4:15
  almost
• 4:15
  10%
• 4:16
  because
• 4:16
  of
• 4:16
  the
• 4:16
  storms.
• 4:17
  So
• 4:17
  what
• 4:17
  that
• 4:18
  tells
• 4:18
  us
• 4:18
  is
• 4:19
  this
• 4:19
  really
• 4:19
  high
• 4:20
  performing
• 4:20
  sector.
• 4:21
  It's
• 4:22
  being
• 4:22
  driven
• 4:22
  by
• 4:22
  the
• 4:23
  fact
• 4:23
  that
• 4:23
  consumer
• 4:24
  behavior
• 4:24
  has
• 4:24
  fundamentally
• 4:25
  shifted.
• 4:26
  Fitness
• 4:26
  is
• 4:26
  now
• 4:27
  non
• 4:27
  discretionary.
• 4:28
  It
• 4:29
  is
• 4:29
  something
• 4:29
  that
• 4:29
  people
• 4:29
  are
• 4:30
  doing,
• 4:30
  they
• 4:30
  feel
• 4:30
  like
• 4:30
  they
• 4:31
  need
• 4:31
  to
• 4:31
  do
• 4:31
  it.
• 4:31
  Health
• 4:31
  and
• 4:32
  wellness
• 4:32
  is
• 4:32
  here,
• 4:32
  it
• 4:32
  is
• 4:33
  lasting.
• 4:34
  It's
• 4:34
  a
• 4:34
  huge
• 4:34
  shift.
• 4:36
  So
• 4:36
  that's
• 4:36
  something
• 4:36
  that
• 4:37
  again,
• 4:38
  all
• 4:38
  the
• 4:38
  ingredients
• 4:39
  are
• 4:39
  there
• 4:39
  for
• 4:39
  so
• 4:39
  many
• 4:39
  of
• 4:40
  the
• 4:40
  players
• 4:40
  within
• 4:40
  this
• 4:40
  segment
• 4:41
  to
• 4:41
  do
• 4:41
  extremely
• 4:41
  well.
• 4:42
  Then
• 4:42
  there's
• 4:42
  other
• 4:42
  players
• 4:43
  that
• 4:43
  are
• 4:43
  kind
• 4:43
  of
• 4:43
  hitting
• 4:44
  on
• 4:44
  really
• 4:44
  key
• 4:45
  themes.
• 4:46
  So
• 4:46
  H
• 4:47
  E
• 4:47
  B
• 4:47
  is
• 4:47
  one
• 4:47
  that
• 4:48
  we're
• 4:48
  talking
• 4:48
  a
• 4:48
  lot
• 4:48
  about.
• 4:49
  We're
• 4:49
  going
• 4:49
  to,
• 4:49
  we're
• 4:49
  going
• 4:50
  to
• 4:50
  give
• 4:50
  a
• 4:50
  hint
• 4:51
  the
• 4:51
  spoiler
• 4:51
  for
• 4:52
  minutes.
• 4:52
  Oh,
• 4:53
  hint
• 4:53
  of
• 4:54
  we're
• 4:54
  going
• 4:54
  to
• 4:54
  focus
• 4:54
  on
• 4:54
  grocery
• 4:55
  a
• 4:55
  little
• 4:55
  bit.
• 4:55
  But
• 4:56
  H
• 4:56
  E
• 4:56
  B
• 4:56
  is
• 4:56
  one
• 4:56
  of
• 4:57
  these
• 4:57
  kind
• 4:57
  of
• 4:57
  outliers
• 4:57
  when
• 4:58
  we
• 4:58
  think
• 4:58
  about
• 4:58
  the
• 4:58
  middle
• 4:59
  in
• 4:59
  grocery.
• 4:59
  The
• 4:59
  traditional
• 5:00
  grocers,
• 5:00
  they're
• 5:00
  feeling
• 5:01
  a
• 5:01
  lot
• 5:01
  of
• 5:01
  pressure.
• 5:02
  H
• 5:02
  E
• 5:02
  B
• 5:02
  has
• 5:02
  stood
• 5:03
  out
• 5:03
  and
• 5:03
  they've
• 5:03
  stood
• 5:03
  out
• 5:03
  by
• 5:03
  being
• 5:04
  unique.
• 5:04
  They've
• 5:04
  been
• 5:04
  uniquely
• 5:05
  focused
• 5:05
  on
• 5:06
  their
• 5:06
  local
• 5:07
  perspective.
• 5:08
  They've
• 5:08
  been
• 5:08
  focused
• 5:09
  on
• 5:09
  how
• 5:09
  they
• 5:09
  have
• 5:10
  this
• 5:10
  adjacent
• 5:10
  innovations,
• 5:11
  these
• 5:11
  new
• 5:11
  offerings
• 5:12
  that
• 5:12
  make
• 5:12
  sense,
• 5:13
  that
• 5:13
  are
• 5:14
  still
• 5:14
  kind
• 5:14
  of
• 5:14
  authentic
• 5:15
  and
• 5:15
  feel
• 5:15
  like
• 5:15
  within
• 5:16
  the
• 5:16
  H
• 5:16
  E
• 5:16
  B
• 5:16
  brand.
• 5:17
  So
• 5:18
  this
• 5:18
  is
• 5:18
  something
• 5:18
  that
• 5:18
  kind
• 5:19
  of
• 5:19
  really
• 5:19
  stands
• 5:19
  out.
• 5:21
  I
• 5:21
  love
• 5:22
  other
• 5:22
  brands.
• 5:22
  I'll
• 5:23
  call
• 5:23
  it
• 5:23
  one
• 5:23
  more
• 5:23
  and
• 5:23
  then,
• 5:24
  and
• 5:24
  then
• 5:24
  we
• 5:24
  kind
• 5:24
  of
• 5:25
  like
• 5:25
  open
• 5:25
  it
• 5:25
  up.
• 5:25
  But
• 5:26
  like
• 5:26
  Michaels
• 5:26
  is
• 5:27
  another
• 5:27
  one
• 5:27
  that's
• 5:27
  really
• 5:28
  been
• 5:28
  exciting
• 5:28
  for
• 5:29
  us
• 5:29
  because
• 5:29
  I
• 5:29
  think
• 5:29
  it's
• 5:30
  a
• 5:30
  retailer
• 5:30
  that
• 5:30
  was
• 5:30
  doing
• 5:31
  well
• 5:31
  and
• 5:32
  then
• 5:32
  you
• 5:32
  removed
• 5:33
  competitors
• 5:33
  and
• 5:34
  when
• 5:34
  you
• 5:34
  do
• 5:34
  that
• 5:35
  they
• 5:35
  just
• 5:35
  do
• 5:35
  extremely
• 5:36
  well.
• 5:36
  And
• 5:36
  as
• 5:36
  opposed
• 5:37
  to
• 5:37
  some
• 5:37
  of
• 5:37
  the
• 5:37
  competitors,
• 5:38
  they
• 5:38
  were
• 5:38
  always
• 5:38
  hitting
• 5:39
  this
• 5:39
  higher
• 5:39
  income
• 5:39
  bracket.
• 5:40
  So
• 5:41
  it's
• 5:41
  not
• 5:41
  only
• 5:42
  are
• 5:42
  they
• 5:42
  grabbing
• 5:43
  that
• 5:43
  the
• 5:44
  visits
• 5:44
  from
• 5:44
  these
• 5:44
  competitors,
• 5:45
  but
• 5:46
  they
• 5:46
  have
• 5:46
  this
• 5:46
  unique
• 5:47
  part
• 5:47
  of
• 5:47
  the
• 5:47
  market
• 5:48
  that
• 5:48
  gives
• 5:48
  them
• 5:48
  even
• 5:49
  more
• 5:49
  exciting
• 5:50
  trajectory.
• 5:51
  So
• 5:51
  these
• 5:51
  are
• 5:51
  just
• 5:51
  some
• 5:52
  of
• 5:52
  the
• 5:52
  retailers
• 5:52
  are
• 5:52
  really
• 5:53
  excited
• 5:53
  about
• 5:53
  and
• 5:53
  they're
• 5:53
  hitting
• 5:54
  on
• 5:54
  themes
• 5:54
  that
• 5:55
  generally
• 5:56
  get
• 5:56
  us
• 5:56
  really
• 5:57
  interested.
• 5:58
  Yeah,
• 5:59
  that's
• 5:59
  interesting
• 5:59
  point
• 5:59
  about
• 5:59
  Michaels.
• 6:00
  I
• 6:00
  mean,
• 6:00
  I
• 6:00
  think
• 6:00
  I
• 6:00
  saw
• 6:01
  an
• 6:01
  article
• 6:01
  yesterday
• 6:02
  saying
• 6:02
  like
• 6:02
  they're
• 6:02
  selling
• 6:03
  a
• 6:03
  ton
• 6:03
  of
• 6:03
  balloons
• 6:03
  now,
• 6:04
  you
• 6:04
  know,
• 6:04
  which
• 6:04
  makes
• 6:04
  sense
• 6:05
  because
• 6:05
  party
• 6:05
  city,
• 6:06
  you
• 6:06
  know,
• 6:06
  left
• 6:06
  the
• 6:06
  landscape
• 6:07
  and
• 6:07
  you
• 6:07
  know,
• 6:08
  so
• 6:08
  now
• 6:08
  it's
• 6:08
  just
• 6:08
  a
• 6:08
  question
• 6:08
  of
• 6:09
  how
• 6:09
  long
• 6:09
  can
• 6:09
  they
• 6:09
  maintain
• 6:09
  that
• 6:10
  momentum
• 6:10
  and
• 6:10
  also
• 6:11
  build
• 6:11
  upon
• 6:11
  it
• 6:11
  too.
• 6:12
  I'm
• 6:12
  curious,
• 6:13
  Ethan,
• 6:14
  your
• 6:14
  comment
• 6:14
  about
• 6:15
  fitness.
• 6:15
  We've
• 6:16
  had
• 6:16
  you
• 6:16
  on
• 6:16
  the
• 6:16
  show
• 6:16
  many
• 6:17
  times
• 6:19
  and
• 6:19
  one
• 6:19
  of
• 6:19
  the
• 6:19
  data
• 6:19
  points
• 6:20
  that's
• 6:20
  been
• 6:20
  an
• 6:20
  inspiration
• 6:21
  for
• 6:21
  me
• 6:21
  is
• 6:22
  the
• 6:22
  changing
• 6:22
  behavior
• 6:23
  of
• 6:23
  work
• 6:23
  and
• 6:23
  particularly
• 6:24
  work
• 6:24
  from
• 6:24
  home
• 6:24
  in
• 6:24
  terms
• 6:25
  of
• 6:25
  where
• 6:25
  you
• 6:25
  need
• 6:25
  to
• 6:25
  think
• 6:25
  about
• 6:25
  your
• 6:26
  stores,
• 6:26
  what
• 6:26
  it's
• 6:26
  doing
• 6:26
  to
• 6:27
  the
• 6:27
  grocery
• 6:27
  industry,
• 6:27
  the
• 6:27
  quick
• 6:28
  service
• 6:28
  industry
• 6:28
  too.
• 6:29
  Is
• 6:29
  that
• 6:29
  also
• 6:30
  a
• 6:30
  factor
• 6:30
  here
• 6:30
  in
• 6:30
  the
• 6:31
  fitness
• 6:31
  story
• 6:31
  in
• 6:31
  terms
• 6:32
  of
• 6:32
  people
• 6:32
  having
• 6:32
  more
• 6:33
  time
• 6:33
  to
• 6:33
  devote
• 6:34
  to
• 6:34
  fitness
• 6:34
  and
• 6:34
  it
• 6:35
  therefore
• 6:35
  becoming
• 6:35
  kind
• 6:36
  of
• 6:36
  a
• 6:36
  non
• 6:36
  discretionary
• 6:37
  activity?
• 6:39
  I
• 6:39
  think
• 6:39
  so.
• 6:40
  You
• 6:40
  think
• 6:41
  so?
• 6:41
  I
• 6:41
  think
• 6:41
  so.
• 6:41
  It's
• 6:42
  not
• 6:42
  something
• 6:42
  that
• 6:42
  I
• 6:43
  could
• 6:43
  prove
• 6:44
  but
• 6:44
  I
• 6:44
  think
• 6:45
  it's
• 6:45
  like
• 6:47
  the
• 6:47
  biggest
• 6:48
  piece
• 6:48
  is
• 6:49
  health
• 6:49
  and
• 6:49
  wellness.
• 6:49
  We
• 6:50
  think
• 6:50
  about
• 6:51
  again,
• 6:51
  if
• 6:51
  we
• 6:52
  go
• 6:52
  back
• 6:52
  pandemic
• 6:53
  time,
• 6:53
  we
• 6:53
  think
• 6:53
  about
• 6:53
  what
• 6:54
  changed
• 6:54
  and
• 6:54
  what
• 6:55
  changed
• 6:55
  that
• 6:55
  was
• 6:55
  like
• 6:55
  all
• 6:55
  Right.
• 6:55
  It
• 6:55
  was
• 6:56
  a
• 6:56
  short
• 6:56
  term
• 6:56
  shift
• 6:56
  and
• 6:56
  then
• 6:57
  people
• 6:57
  went
• 6:57
  back
• 6:57
  to
• 6:57
  their
• 6:57
  normal
• 6:58
  behavior
• 6:58
  and
• 6:58
  what
• 6:59
  was.
• 6:59
  That's
• 6:59
  it.
• 6:59
  We
• 6:59
  just
• 7:00
  look
• 7:00
  at
• 7:00
  the
• 7:00
  world
• 7:00
  differently.
• 7:01
  I
• 7:01
  think
• 7:01
  health
• 7:02
  and
• 7:02
  wellness
• 7:03
  is
• 7:03
  one
• 7:03
  of
• 7:03
  the
• 7:03
  biggest
• 7:04
  things
• 7:04
  that
• 7:04
  change.
• 7:04
  And
• 7:04
  you
• 7:04
  see
• 7:04
  it
• 7:05
  in
• 7:05
  terms
• 7:05
  of
• 7:05
  like
• 7:05
  things
• 7:05
  like
• 7:06
  alcohol
• 7:06
  consumption,
• 7:07
  you
• 7:07
  know,
• 7:08
  the
• 7:09
  consumption
• 7:09
  of
• 7:09
  kind
• 7:10
  of
• 7:10
  health
• 7:10
  oriented
• 7:10
  products.
• 7:12
  These
• 7:12
  are
• 7:12
  all
• 7:12
  interrelated.
• 7:13
  We
• 7:13
  just
• 7:13
  care
• 7:14
  more
• 7:14
  about
• 7:14
  this
• 7:15
  issue
• 7:15
  now
• 7:15
  and
• 7:15
  it's
• 7:15
  becoming
• 7:17
  something
• 7:17
  that
• 7:17
  we
• 7:17
  lean
• 7:18
  into
• 7:18
  and
• 7:18
  it's
• 7:18
  again,
• 7:19
  we're
• 7:19
  six
• 7:20
  years
• 7:20
  later
• 7:20
  and
• 7:20
  it's
• 7:21
  still
• 7:22
  growth
• 7:22
  on
• 7:23
  growth
• 7:23
  on
• 7:23
  growth,
• 7:23
  which
• 7:24
  is
• 7:24
  unbelievably
• 7:24
  impressive.
• 7:26
  Yeah,
• 7:26
  the
• 7:26
  interesting
• 7:27
  data
• 7:27
  point
• 7:27
  to
• 7:27
  me
• 7:27
  would
• 7:27
  be
• 7:27
  like,
• 7:28
  where
• 7:28
  are
• 7:28
  people
• 7:28
  going
• 7:29
  to
• 7:29
  the
• 7:29
  gym?
• 7:29
  Are
• 7:29
  they
• 7:29
  going.
• 7:30
  Do
• 7:30
  you
• 7:30
  see
• 7:30
  more
• 7:30
  people
• 7:31
  going
• 7:31
  to
• 7:31
  the
• 7:31
  gym
• 7:32
  near
• 7:32
  the
• 7:32
  office
• 7:33
  relative
• 7:33
  to
• 7:33
  where
• 7:33
  they
• 7:34
  were
• 7:34
  before
• 7:34
  or
• 7:34
  relative
• 7:35
  to
• 7:35
  their
• 7:35
  home
• 7:35
  to
• 7:35
  where
• 7:36
  they
• 7:36
  were
• 7:36
  before?
• 7:36
  You
• 7:36
  know,
• 7:37
  is
• 7:37
  there
• 7:37
  a
• 7:37
  change
• 7:37
  in
• 7:38
  that
• 7:38
  pattern?
• 7:38
  That'd
• 7:38
  be
• 7:38
  something
• 7:39
  interesting
• 7:39
  to
• 7:39
  explore.
• 7:40
  All
• 7:40
  right,
• 7:40
  Ethan,
• 7:40
  what's
• 7:41
  next?
• 7:41
  Okay,
• 7:42
  the
• 7:42
  next
• 7:42
  is
• 7:43
  a
• 7:43
  group
• 7:43
  that
• 7:44
  I'm
• 7:44
  calling
• 7:45
  convinced
• 7:46
  mostly
• 7:46
  question.
• 7:47
  Right.
• 7:47
  Oh,
• 7:48
  wow.
• 7:49
  Right.
• 7:49
  I
• 7:50
  am
• 7:50
  excited
• 7:51
  about,
• 7:51
  I
• 7:52
  feel
• 7:52
  like,
• 7:52
  oh,
• 7:53
  this
• 7:53
  is
• 7:54
  like
• 7:54
  if
• 7:54
  I
• 7:54
  would
• 7:54
  put
• 7:55
  all
• 7:55
  my
• 7:55
  chips
• 7:55
  into
• 7:55
  the
• 7:56
  middle
• 7:56
  on
• 7:56
  that
• 7:56
  first
• 7:56
  group,
• 7:57
  I
• 7:57
  would
• 7:58
  put
• 7:58
  a
• 7:58
  lot
• 7:58
  of
• 7:58
  chips,
• 7:58
  but
• 7:58
  I'd
• 7:59
  hedge
• 7:59
  a
• 7:59
  little
• 7:59
  bit.
• 7:59
  Right.
• 8:00
  And
• 8:00
  so
• 8:00
  this
• 8:00
  is
• 8:00
  a
• 8:01
  group
• 8:01
  that
• 8:01
  for
• 8:01
  me,
• 8:01
  the,
• 8:02
  the,
• 8:03
  the
• 8:03
  number
• 8:04
  one
• 8:04
  chain
• 8:04
  I
• 8:05
  think
• 8:05
  of
• 8:05
  is
• 8:05
  Starbucks
• 8:06
  and
• 8:06
  there's
• 8:06
  a
• 8:06
  few
• 8:06
  others
• 8:06
  that
• 8:07
  I
• 8:07
  think
• 8:07
  fit
• 8:07
  here
• 8:07
  as
• 8:07
  well.
• 8:08
  Starbucks.
• 8:09
  And
• 8:09
  I
• 8:10
  mean,
• 8:10
  let's
• 8:10
  think
• 8:10
  about
• 8:10
  the
• 8:10
  reasons
• 8:11
  why,
• 8:11
  like
• 8:12
  when
• 8:12
  we're
• 8:13
  looking
• 8:13
  at
• 8:13
  a
• 8:13
  retailer
• 8:14
  that
• 8:14
  we
• 8:14
  think
• 8:14
  is
• 8:14
  going
• 8:14
  to
• 8:14
  surprise
• 8:15
  or
• 8:15
  bounce
• 8:15
  back,
• 8:16
  what
• 8:16
  we're
• 8:17
  essentially
• 8:17
  trying
• 8:17
  to
• 8:17
  ask
• 8:18
  is
• 8:19
  why
• 8:19
  are
• 8:19
  visits
• 8:20
  down?
• 8:20
  Because
• 8:20
  they
• 8:21
  usually
• 8:21
  are
• 8:21
  for,
• 8:21
  for
• 8:22
  retailers
• 8:22
  going
• 8:22
  to
• 8:22
  bounce
• 8:22
  back.
• 8:24
  What
• 8:24
  has
• 8:24
  the
• 8:24
  company
• 8:24
  announced
• 8:25
  from
• 8:25
  a
• 8:25
  strategic
• 8:25
  perspective
• 8:26
  and
• 8:27
  do
• 8:27
  the
• 8:28
  gaps
• 8:29
  and
• 8:29
  the
• 8:29
  indications
• 8:30
  of
• 8:30
  why
• 8:30
  those
• 8:30
  gaps
• 8:30
  are
• 8:31
  being
• 8:31
  created,
• 8:31
  does
• 8:32
  the
• 8:32
  strategy
• 8:32
  solve
• 8:33
  those
• 8:33
  gaps?
• 8:33
  And
• 8:33
  if
• 8:34
  they
• 8:34
  do,
• 8:34
  then
• 8:34
  we're
• 8:34
  like,
• 8:34
  okay,
• 8:35
  this
• 8:35
  is
• 8:35
  someone
• 8:35
  that
• 8:35
  we
• 8:36
  believe
• 8:36
  in.
• 8:36
  We
• 8:36
  think
• 8:37
  this
• 8:37
  is
• 8:37
  exciting.
• 8:38
  And
• 8:38
  I
• 8:38
  think
• 8:38
  Starbucks
• 8:39
  checks
• 8:39
  all
• 8:40
  those
• 8:40
  boxes.
• 8:40
  So
• 8:40
  one
• 8:41
  business
• 8:41
  weren't
• 8:42
  down
• 8:42
  like
• 8:42
  30%,
• 8:43
  they
• 8:43
  were
• 8:43
  down
• 8:44
  a
• 8:44
  few
• 8:44
  percentage
• 8:44
  points.
• 8:45
  Obviously
• 8:45
  it's
• 8:45
  a
• 8:45
  huge
• 8:45
  retailer,
• 8:46
  but
• 8:46
  they
• 8:46
  were
• 8:47
  down
• 8:47
  a
• 8:47
  few
• 8:47
  percentage
• 8:47
  points.
• 8:48
  And
• 8:48
  then
• 8:48
  you
• 8:49
  have
• 8:49
  this
• 8:49
  kind
• 8:49
  of
• 8:49
  new
• 8:50
  leadership
• 8:50
  that
• 8:50
  says
• 8:51
  we're
• 8:51
  going
• 8:51
  to
• 8:51
  try
• 8:52
  and
• 8:52
  do
• 8:52
  something
• 8:53
  that's
• 8:54
  complicated.
• 8:54
  Right.
• 8:55
  Everyone
• 8:55
  in
• 8:55
  the
• 8:55
  space,
• 8:55
  or
• 8:56
  most
• 8:56
  of
• 8:56
  the
• 8:56
  biggest
• 8:56
  rising
• 8:57
  players,
• 8:57
  the
• 8:57
  seven
• 8:58
  Brews,
• 8:58
  the
• 8:59
  Dutch
• 8:59
  Bros,
• 8:59
  are
• 8:59
  like,
• 9:00
  we're
• 9:00
  going
• 9:00
  to
• 9:00
  be
• 9:00
  super
• 9:00
  convenience
• 9:01
  oriented
• 9:01
  in
• 9:01
  and
• 9:02
  out.
• 9:02
  And
• 9:02
  Starbucks
• 9:03
  says
• 9:03
  we're
• 9:03
  going
• 9:03
  to,
• 9:04
  we're
• 9:04
  going
• 9:04
  to
• 9:04
  do
• 9:04
  that.
• 9:04
  We're
• 9:05
  going
• 9:05
  to
• 9:05
  be
• 9:05
  convenience
• 9:05
  oriented.
• 9:06
  But
• 9:06
  we're
• 9:06
  also
• 9:06
  going
• 9:06
  to
• 9:07
  try
• 9:07
  to
• 9:07
  bring
• 9:07
  back
• 9:08
  the
• 9:08
  third
• 9:08
  place,
• 9:09
  and
• 9:09
  we
• 9:10
  love
• 9:10
  that
• 9:10
  because
• 9:10
  we
• 9:10
  think
• 9:11
  it
• 9:11
  creates
• 9:11
  something
• 9:12
  that
• 9:12
  otherwise
• 9:12
  would
• 9:13
  be
• 9:13
  missing.
• 9:13
  It
• 9:14
  zigs
• 9:14
  when
• 9:14
  other
• 9:14
  people
• 9:14
  are
• 9:15
  zagging
• 9:15
  and
• 9:15
  it
• 9:16
  leverages
• 9:16
  their
• 9:17
  massive
• 9:17
  strength
• 9:17
  and
• 9:17
  reach
• 9:18
  to
• 9:18
  kind
• 9:18
  of
• 9:19
  double
• 9:19
  down
• 9:19
  on
• 9:19
  what
• 9:19
  they
• 9:20
  were
• 9:20
  traditionally
• 9:20
  known
• 9:20
  for.
• 9:21
  And
• 9:21
  I
• 9:22
  think
• 9:22
  this
• 9:22
  combination
• 9:23
  of
• 9:23
  strategy
• 9:24
  alignment,
• 9:24
  trust
• 9:25
  in
• 9:25
  their
• 9:25
  ability
• 9:25
  to
• 9:25
  execute
• 9:27
  is
• 9:27
  all
• 9:27
  working.
• 9:28
  And
• 9:28
  we
• 9:28
  saw
• 9:28
  the
• 9:28
  indications
• 9:29
  of
• 9:29
  it
• 9:29
  already
• 9:30
  in
• 9:30
  Q3
• 9:30
  and
• 9:31
  then
• 9:31
  Q1,
• 9:32
  this,
• 9:32
  I
• 9:33
  should
• 9:33
  say
• 9:33
  Q4,
• 9:33
  20,
• 9:33
  25,
• 9:34
  apologies.
• 9:34
  Like
• 9:35
  that,
• 9:35
  that
• 9:35
  was
• 9:36
  even,
• 9:36
  even
• 9:36
  bigger.
• 9:37
  This
• 9:37
  is,
• 9:38
  this
• 9:38
  is
• 9:38
  like
• 9:38
  an
• 9:38
  exciting
• 9:39
  turnaround.
• 9:39
  And
• 9:39
  then
• 9:39
  you
• 9:40
  add
• 9:40
  on
• 9:40
  top
• 9:40
  of
• 9:40
  that,
• 9:41
  they
• 9:41
  just
• 9:42
  do
• 9:42
  things
• 9:42
  that
• 9:42
  nobody
• 9:43
  else
• 9:43
  does.
• 9:43
  And
• 9:43
  I'll
• 9:43
  give
• 9:44
  the
• 9:44
  example
• 9:44
  from
• 9:44
  the
• 9:44
  holiday
• 9:45
  season.
• 9:47
  We
• 9:47
  know
• 9:47
  there's
• 9:47
  going
• 9:47
  to
• 9:47
  be
• 9:47
  a
• 9:48
  huge
• 9:48
  spike
• 9:48
  on
• 9:48
  Black
• 9:49
  Friday
• 9:49
  every
• 9:49
  year.
• 9:50
  Then
• 9:50
  they
• 9:50
  do
• 9:50
  Red
• 9:51
  Cup
• 9:51
  Day,
• 9:51
  which
• 9:52
  is
• 9:52
  always
• 9:52
  a
• 9:53
  massive
• 9:53
  spike.
• 9:54
  And
• 9:54
  again,
• 9:54
  it's
• 9:54
  a
• 9:54
  free
• 9:55
  red
• 9:55
  cup.
• 9:55
  Let's
• 9:55
  not
• 9:55
  go
• 9:55
  crazy.
• 9:56
  Like,
• 9:56
  it's
• 9:56
  still
• 9:57
  massive
• 9:57
  spike
• 9:57
  in
• 9:58
  visits.
• 9:58
  They
• 9:58
  did
• 9:59
  the
• 9:59
  barista
• 9:59
  thing,
• 10:00
  which
• 10:00
  was
• 10:00
  enormously
• 10:01
  successful.
• 10:02
  And
• 10:02
  you're
• 10:02
  just
• 10:02
  like,
• 10:03
  here's
• 10:03
  a
• 10:04
  retailer,
• 10:04
  or,
• 10:04
  excuse
• 10:05
  me,
• 10:05
  a
• 10:05
  restaurant
• 10:05
  chain
• 10:06
  in
• 10:06
  this
• 10:06
  case,
• 10:07
  that
• 10:07
  knows
• 10:08
  how
• 10:08
  to
• 10:08
  generate
• 10:08
  urgency
• 10:09
  and
• 10:09
  excitement.
• 10:10
  And
• 10:10
  it's,
• 10:12
  again,
• 10:12
  it's
• 10:13
  a
• 10:13
  cup.
• 10:13
  Like,
• 10:14
  it's
• 10:14
  just
• 10:15
  super
• 10:15
  impressive
• 10:16
  the
• 10:16
  way
• 10:16
  they
• 10:16
  understand
• 10:16
  their
• 10:17
  audience
• 10:17
  and
• 10:17
  how
• 10:17
  they're
• 10:17
  able
• 10:18
  to
• 10:18
  build
• 10:18
  on
• 10:18
  their
• 10:18
  strengths.
• 10:19
  I
• 10:19
  would
• 10:20
  add
• 10:20
  to
• 10:20
  this
• 10:20
  category
• 10:21
  one
• 10:21
  that
• 10:22
  I
• 10:22
  think
• 10:22
  you'll
• 10:22
  agree
• 10:22
  with
• 10:23
  and
• 10:23
  one
• 10:23
  that
• 10:23
  I
• 10:23
  know
• 10:24
  pretty
• 10:24
  confidently
• 10:25
  you
• 10:25
  won't.
• 10:26
  I
• 10:26
  think
• 10:27
  Home
• 10:27
  Depot's
• 10:27
  in
• 10:27
  this
• 10:27
  category
• 10:28
  too.
• 10:28
  I
• 10:28
  think
• 10:28
  they've
• 10:28
  had
• 10:28
  some,
• 10:29
  like,
• 10:29
  challenges
• 10:29
  that
• 10:30
  are
• 10:30
  like,
• 10:30
  you
• 10:30
  know,
• 10:30
  the
• 10:30
  push,
• 10:30
  pull
• 10:31
  forward
• 10:31
  of
• 10:31
  demand
• 10:31
  and
• 10:31
  all
• 10:31
  that.
• 10:31
  And
• 10:32
  I
• 10:32
  think
• 10:32
  they're
• 10:32
  going
• 10:32
  to
• 10:32
  come
• 10:32
  back
• 10:33
  and
• 10:34
  I
• 10:34
  think
• 10:34
  I
• 10:35
  also,
• 10:36
  and
• 10:37
  I
• 10:37
  might
• 10:37
  be
• 10:37
  swayed
• 10:37
  by
• 10:38
  their
• 10:38
  recent
• 10:38
  announcements,
• 10:39
  but
• 10:39
  I'm
• 10:40
  tentatively
• 10:40
  excited
• 10:41
  about
• 10:41
  Target
• 10:41
  because
• 10:41
  I
• 10:42
  think
• 10:42
  Target
• 10:42
  is
• 10:42
  starting
• 10:42
  to
• 10:42
  talk
• 10:43
  about
• 10:43
  things
• 10:43
  that
• 10:43
  we
• 10:43
  spoke
• 10:44
  about
• 10:44
  at
• 10:44
  the
• 10:44
  end
• 10:44
  of
• 10:44
  last
• 10:44
  year,
• 10:45
  where
• 10:45
  this
• 10:45
  is
• 10:45
  a
• 10:45
  retailer
• 10:46
  that
• 10:46
  does
• 10:46
  certain
• 10:46
  things
• 10:46
  very,
• 10:47
  very
• 10:47
  well
• 10:47
  and
• 10:47
  they
• 10:47
  need
• 10:47
  to
• 10:47
  put
• 10:47
  focus
• 10:48
  on
• 10:48
  fundamentals.
• 10:48
  And
• 10:48
  it
• 10:49
  feels
• 10:49
  like
• 10:50
  these
• 10:50
  recent
• 10:50
  announcements
• 10:51
  speak
• 10:51
  to,
• 10:52
  hey,
• 10:52
  we're
• 10:52
  going
• 10:52
  to
• 10:52
  focus
• 10:53
  on
• 10:53
  those
• 10:53
  fundamentals.
• 10:53
  So
• 10:54
  that
• 10:54
  also
• 10:54
  makes
• 10:54
  me
• 10:54
  excited.
• 10:55
  Yeah,
• 10:55
  Ethan,
• 10:56
  I
• 10:56
  think
• 10:56
  one
• 10:56
  other
• 10:56
  important
• 10:57
  thing
• 10:57
  to,
• 10:57
  to
• 10:58
  call
• 10:58
  out
• 10:58
  too
• 10:58
  is
• 10:59
  Starbucks
• 11:00
  adhering
• 11:00
  to
• 11:01
  some
• 11:01
  of
• 11:01
  the
• 11:01
  trends
• 11:01
  that
• 11:02
  we're
• 11:02
  seeing
• 11:02
  in
• 11:02
  the
• 11:02
  market
• 11:02
  that
• 11:02
  we
• 11:03
  just
• 11:03
  talked
• 11:03
  about
• 11:03
  on
• 11:03
  the
• 11:03
  last
• 11:04
  slide.
• 11:04
  Increased
• 11:05
  use
• 11:05
  of
• 11:05
  GLP1s,
• 11:06
  making
• 11:06
  sure
• 11:06
  that
• 11:07
  they
• 11:07
  have
• 11:07
  protein
• 11:07
  offerings
• 11:08
  now
• 11:08
  in
• 11:08
  their
• 11:09
  coffee.
• 11:09
  Like,
• 11:09
  they're
• 11:10
  also,
• 11:10
  in
• 11:10
  addition
• 11:10
  to
• 11:11
  making
• 11:11
  sure
• 11:11
  that
• 11:12
  they're
• 11:12
  the
• 11:12
  most
• 11:12
  convenient.
• 11:13
  I,
• 11:13
  I
• 11:13
  think
• 11:13
  where
• 11:14
  the
• 11:14
  potential
• 11:14
  for
• 11:14
  Starbucks
• 11:15
  is
• 11:15
  is
• 11:15
  that
• 11:15
  they
• 11:16
  are
• 11:16
  able
• 11:16
  to
• 11:16
  do
• 11:16
  some
• 11:17
  of
• 11:17
  these
• 11:17
  things
• 11:17
  at
• 11:17
  scale
• 11:18
  that
• 11:18
  it's,
• 11:19
  it's
• 11:19
  hard
• 11:19
  for
• 11:19
  a
• 11:20
  small
• 11:20
  independent
• 11:21
  coffee
• 11:21
  shop
• 11:21
  to
• 11:21
  offer
• 11:22
  protein,
• 11:22
  cold
• 11:23
  foam,
• 11:23
  right?
• 11:24
  But
• 11:24
  Starbucks
• 11:24
  now
• 11:25
  can
• 11:25
  double
• 11:25
  down
• 11:25
  on
• 11:26
  that
• 11:26
  and
• 11:26
  be
• 11:26
  the
• 11:26
  place
• 11:27
  where
• 11:27
  when
• 11:27
  we
• 11:27
  see
• 11:28
  a
• 11:28
  reduction
• 11:28
  in
• 11:28
  alcohol
• 11:29
  consumption,
• 11:30
  an
• 11:30
  increase
• 11:30
  in
• 11:31
  coffee
• 11:31
  consumption
• 11:32
  as
• 11:32
  the,
• 11:32
  the
• 11:32
  third
• 11:33
  place
• 11:33
  or
• 11:33
  the,
• 11:34
  you
• 11:34
  know,
• 11:34
  the
• 11:34
  thing
• 11:35
  to
• 11:35
  do
• 11:35
  to
• 11:35
  go
• 11:36
  out
• 11:36
  and
• 11:36
  grab
• 11:36
  with
• 11:36
  a
• 11:36
  friend.
• 11:37
  I
• 11:37
  think
• 11:37
  those
• 11:38
  are
• 11:38
  other
• 11:38
  trends
• 11:38
  that
• 11:39
  are
• 11:39
  like
• 11:39
  going
• 11:39
  to
• 11:39
  help
• 11:40
  as
• 11:40
  you're
• 11:40
  talking
• 11:40
  about
• 11:41
  here.
• 11:41
  Starbucks
• 11:42
  hopefully
• 11:42
  kind
• 11:43
  of
• 11:43
  come
• 11:43
  up
• 11:43
  and
• 11:44
  continue
• 11:44
  to
• 11:44
  see
• 11:44
  success
• 11:45
  in
• 11:45
  the,
• 11:45
  in
• 11:45
  the
• 11:46
  year
• 11:46
  ahead.
• 11:46
  Yeah,
• 11:47
  absolutely.
• 11:47
  I
• 11:47
  agree
• 11:48
  with
• 11:48
  everything
• 11:48
  there.
• 11:49
  Yeah,
• 11:49
  that's
• 11:49
  a
• 11:49
  good
• 11:49
  point.
• 11:49
  And
• 11:50
  the
• 11:50
  one
• 11:50
  question
• 11:51
  though
• 11:51
  that
• 11:51
  I
• 11:51
  have
• 11:51
  too
• 11:52
  Ethan,
• 11:52
  and
• 11:52
  it's,
• 11:53
  I
• 11:53
  think
• 11:53
  why
• 11:53
  you
• 11:53
  say
• 11:53
  you're
• 11:53
  convinced
• 11:54
  mostly
• 11:55
  is
• 11:55
  there's
• 11:56
  still
• 11:56
  a
• 11:56
  lot
• 11:56
  that's
• 11:57
  got
• 11:57
  to
• 11:57
  be
• 11:57
  shown
• 11:57
  out
• 11:57
  here
• 11:57
  because
• 11:58
  like
• 11:58
  if
• 11:58
  I
• 11:58
  look
• 11:58
  at
• 11:58
  this
• 11:58
  graph
• 11:59
  particularly
• 11:59
  like
• 11:59
  if
• 12:00
  I
• 12:00
  just
• 12:00
  put
• 12:00
  these
• 12:00
  quarters
• 12:01
  on
• 12:01
  top
• 12:01
  of
• 12:01
  each
• 12:01
  other,
• 12:01
  it
• 12:02
  essentially
• 12:02
  looks
• 12:02
  like
• 12:03
  it
• 12:03
  would
• 12:03
  become
• 12:03
  a
• 12:03
  flat
• 12:04
  line
• 12:04
  which
• 12:05
  you
• 12:05
  know,
• 12:05
  and
• 12:05
  that
• 12:05
  flat
• 12:06
  line
• 12:06
  performance
• 12:06
  has
• 12:07
  not
• 12:07
  been
• 12:07
  where
• 12:07
  it
• 12:07
  needs
• 12:08
  to
• 12:08
  be
• 12:08
  be
• 12:08
  for
• 12:08
  Starbucks.
• 12:09
  So
• 12:09
  that
• 12:09
  still
• 12:09
  is
• 12:10
  a
• 12:10
  question.
• 12:10
  So
• 12:10
  at
• 12:11
  some
• 12:11
  point
• 12:11
  for
• 12:12
  this
• 12:12
  to
• 12:12
  turn
• 12:12
  around
• 12:12
  we
• 12:13
  need
• 12:13
  to
• 12:13
  see
• 12:13
  that
• 12:13
  bounce
• 12:14
  above
• 12:14
  the
• 12:14
  top
• 12:14
  line
• 12:15
  on,
• 12:15
  you
• 12:15
  know,
• 12:15
  on
• 12:15
  the
• 12:16
  two
• 12:16
  year
• 12:16
  stack
• 12:16
  trend.
• 12:17
  So
• 12:18
  yeah,
• 12:18
  it'll
• 12:18
  be
• 12:18
  interesting
• 12:19
  and
• 12:19
  you
• 12:19
  know,
• 12:19
  and,
• 12:19
  and
• 12:20
  then
• 12:20
  when
• 12:20
  I
• 12:20
  think
• 12:20
  about
• 12:20
  Home
• 12:21
  Depot,
• 12:21
  I
• 12:21
  100,
• 12:21
  I
• 12:21
  100%
• 12:22
  agree
• 12:22
  with
• 12:22
  you.
• 12:22
  I
• 12:22
  would
• 12:22
  be
• 12:23
  betting
• 12:23
  on
• 12:23
  Home
• 12:23
  Depot
• 12:23
  but
• 12:24
  with
• 12:24
  Target
• 12:24
  that's
• 12:24
  where
• 12:25
  the
• 12:25
  big
• 12:25
  question
• 12:25
  for
• 12:25
  me
• 12:26
  is.
• 12:26
  I'm
• 12:26
  curious
• 12:26
  like
• 12:27
  that
• 12:27
  that
• 12:28
  traffic
• 12:28
  line
• 12:28
  has
• 12:28
  not
• 12:29
  even
• 12:29
  stayed
• 12:29
  flat.
• 12:30
  You
• 12:30
  know,
• 12:30
  as
• 12:30
  you
• 12:31
  look
• 12:31
  at
• 12:31
  it,
• 12:31
  it's
• 12:31
  been
• 12:32
  decidedly
• 12:32
  going
• 12:33
  down
• 12:33
  over
• 12:33
  the
• 12:34
  years.
• 12:34
  So,
• 12:34
  so
• 12:34
  they've
• 12:35
  got
• 12:35
  a
• 12:35
  much
• 12:35
  bigger
• 12:36
  kind
• 12:36
  of,
• 12:38
  they've
• 12:39
  got
• 12:39
  a
• 12:39
  much
• 12:39
  longer
• 12:40
  road
• 12:41
  in
• 12:41
  front
• 12:41
  of
• 12:41
  them
• 12:41
  so
• 12:42
  to
• 12:42
  speak
• 12:42
  than
• 12:42
  say
• 12:42
  Starbucks
• 12:43
  does
• 12:43
  on
• 12:43
  their
• 12:43
  recovery,
• 12:44
  if
• 12:44
  you
• 12:44
  take
• 12:44
  that
• 12:45
  perspective
• 12:45
  on
• 12:45
  it.
• 12:46
  All
• 12:46
  right,
• 12:46
  what
• 12:46
  else
• 12:46
  you
• 12:46
  got?
• 12:47
  Okay,
• 12:48
  I
• 12:48
  have
• 12:48
  the
• 12:49
  future
• 12:49
  of
• 12:49
  grocery
• 12:49
  question
• 12:50
  and
• 12:50
  I'm
• 12:50
  stealing
• 12:51
  from
• 12:52
  my
• 12:52
  friend
• 12:52
  Eric
• 12:52
  Hahner
• 12:53
  from
• 12:53
  Dunhumby.
• 12:54
  He
• 12:54
  put
• 12:54
  this,
• 12:54
  he
• 12:54
  used
• 12:55
  language
• 12:55
  that
• 12:55
  I
• 12:55
  really
• 12:56
  liked
• 12:56
  and
• 12:56
  he
• 12:56
  basically
• 12:57
  said
• 12:58
  grocery
• 13:00
  success
• 13:02
  is
• 13:02
  being
• 13:02
  driven
• 13:02
  by
• 13:03
  what
• 13:03
  he,
• 13:03
  he,
• 13:03
  he
• 13:04
  labeled
• 13:04
  it
• 13:04
  as
• 13:04
  three
• 13:04
  groups
• 13:05
  and
• 13:05
  I
• 13:06
  think
• 13:06
  it's,
• 13:06
  it's
• 13:06
  a
• 13:06
  good
• 13:06
  classification.
• 13:07
  The
• 13:07
  first
• 13:08
  is
• 13:09
  quality
• 13:09
  first.
• 13:10
  So
• 13:10
  like
• 13:10
  the
• 13:10
  sprouts
• 13:11
  is
• 13:11
  of
• 13:11
  the
• 13:11
  world
• 13:11
  and
• 13:12
  they're
• 13:12
  going
• 13:12
  to
• 13:12
  win
• 13:12
  on
• 13:12
  quality.
• 13:13
  The
• 13:13
  second
• 13:14
  is
• 13:14
  value
• 13:14
  first.
• 13:15
  The
• 13:15
  algaes,
• 13:15
  the
• 13:15
  lidos
• 13:16
  of
• 13:16
  the
• 13:16
  world,
• 13:16
  they're
• 13:16
  going
• 13:16
  to
• 13:16
  win
• 13:17
  on
• 13:17
  being
• 13:17
  like,
• 13:18
  you
• 13:18
  know,
• 13:18
  cheaper.
• 13:18
  Right?
• 13:19
  You're
• 13:19
  going
• 13:19
  to
• 13:19
  get
• 13:19
  the
• 13:19
  things
• 13:19
  you
• 13:19
  need
• 13:20
  and
• 13:20
  you're
• 13:20
  not
• 13:20
  Going
• 13:20
  to
• 13:20
  spend
• 13:20
  as
• 13:20
  much.
• 13:21
  Yeah.
• 13:21
  He's
• 13:22
  like,
• 13:22
  those
• 13:22
  are
• 13:22
  great.
• 13:23
  He's
• 13:23
  like,
• 13:23
  the
• 13:23
  middle
• 13:24
  is
• 13:24
  going
• 13:24
  to
• 13:24
  feel
• 13:24
  compressed.
• 13:25
  He's
• 13:25
  like,
• 13:25
  but
• 13:25
  there's
• 13:25
  a
• 13:25
  group
• 13:25
  within
• 13:26
  that
• 13:26
  middle
• 13:27
  or
• 13:27
  even
• 13:28
  on
• 13:28
  the
• 13:28
  edge
• 13:28
  of
• 13:28
  the
• 13:28
  spectrum
• 13:28
  that
• 13:28
  are
• 13:29
  even
• 13:29
  more
• 13:29
  interesting.
• 13:29
  And
• 13:29
  he
• 13:30
  calls
• 13:30
  those
• 13:30
  the,
• 13:30
  you
• 13:31
  know,
• 13:31
  he
• 13:31
  basically
• 13:31
  says
• 13:32
  they
• 13:32
  have
• 13:32
  a
• 13:32
  unique
• 13:32
  offering,
• 13:33
  they
• 13:33
  do
• 13:33
  something
• 13:33
  uniquely
• 13:34
  well.
• 13:34
  And
• 13:34
  he
• 13:35
  would
• 13:35
  put
• 13:35
  H
• 13:35
  E
• 13:35
  B
• 13:36
  in
• 13:36
  that
• 13:36
  category
• 13:36
  and
• 13:36
  he
• 13:37
  would,
• 13:37
  I
• 13:37
  think,
• 13:37
  put
• 13:38
  Trader
• 13:38
  Joe's
• 13:38
  in
• 13:38
  that
• 13:38
  category
• 13:39
  too.
• 13:39
  Obviously
• 13:39
  values
• 13:40
  there
• 13:40
  too.
• 13:40
  But
• 13:41
  of
• 13:41
  like,
• 13:41
  whether
• 13:42
  it's
• 13:42
  local
• 13:43
  focus,
• 13:43
  their
• 13:44
  innovation,
• 13:45
  the,
• 13:45
  the
• 13:45
  draw
• 13:46
  of
• 13:46
  their
• 13:46
  products
• 13:46
  and
• 13:47
  brands
• 13:48
  that
• 13:48
  they,
• 13:48
  that
• 13:49
  they
• 13:49
  house,
• 13:50
  those
• 13:50
  are
• 13:50
  things
• 13:50
  that
• 13:50
  they
• 13:50
  do
• 13:51
  something
• 13:51
  really
• 13:51
  special.
• 13:52
  And
• 13:52
  what
• 13:52
  I
• 13:52
  thought
• 13:52
  was
• 13:52
  fascinating
• 13:53
  there
• 13:53
  is
• 13:55
  if
• 13:55
  we
• 13:55
  accept
• 13:55
  that
• 13:55
  we're
• 13:56
  going
• 13:56
  to
• 13:56
  see
• 13:56
  pressure
• 13:56
  on
• 13:56
  the
• 13:57
  middle,
• 13:57
  those
• 13:57
  traditional
• 13:58
  grocers
• 13:58
  who
• 13:58
  are
• 13:58
  going
• 13:58
  to
• 13:58
  have
• 13:59
  to
• 13:59
  battle
• 13:59
  more
• 13:59
  for
• 13:59
  that
• 14:00
  share
• 14:00
  of
• 14:00
  lists.
• 14:00
  And
• 14:00
  this
• 14:00
  was
• 14:01
  something
• 14:01
  that
• 14:01
  was
• 14:01
  coming
• 14:01
  up
• 14:02
  again
• 14:02
  and
• 14:03
  again.
• 14:03
  We
• 14:03
  spoke
• 14:03
  to
• 14:03
  groceries
• 14:04
  at
• 14:04
  some
• 14:04
  of
• 14:04
  the
• 14:04
  big
• 14:04
  events
• 14:04
  that
• 14:05
  we've
• 14:05
  been
• 14:05
  to
• 14:05
  in
• 14:05
  the
• 14:05
  last
• 14:05
  few
• 14:06
  months.
• 14:06
  It's
• 14:07
  not
• 14:07
  just
• 14:07
  basket
• 14:08
  size
• 14:08
  from
• 14:08
  a
• 14:08
  dollar
• 14:09
  perspective,
• 14:09
  it's
• 14:09
  the
• 14:09
  number
• 14:10
  of
• 14:10
  items
• 14:10
  in
• 14:10
  the
• 14:10
  basket
• 14:11
  that's
• 14:11
  getting
• 14:11
  them
• 14:11
  a
• 14:11
  little
• 14:11
  bit
• 14:11
  nervous.
• 14:12
  They're
• 14:12
  trying
• 14:12
  to
• 14:12
  figure
• 14:12
  out
• 14:12
  how
• 14:12
  to
• 14:13
  increase
• 14:14
  then.
• 14:14
  And
• 14:14
  we
• 14:14
  know
• 14:14
  that
• 14:15
  consumer
• 14:15
  behavior
• 14:15
  is
• 14:15
  leaning
• 14:16
  towards
• 14:17
  more
• 14:17
  stops
• 14:19
  within
• 14:19
  a
• 14:20
  kind
• 14:20
  of
• 14:20
  segment,
• 14:21
  less
• 14:21
  time
• 14:21
  at
• 14:22
  each
• 14:22
  individual
• 14:23
  location.
• 14:24
  You
• 14:24
  really
• 14:24
  have
• 14:25
  to
• 14:25
  ask,
• 14:25
  why
• 14:25
  am
• 14:26
  I
• 14:26
  buying
• 14:26
  things
• 14:26
  from
• 14:26
  you?
• 14:27
  What
• 14:27
  is
• 14:27
  the
• 14:27
  thing
• 14:27
  that
• 14:27
  is
• 14:27
  special
• 14:28
  that
• 14:28
  I'm
• 14:28
  getting
• 14:29
  from
• 14:29
  you?
• 14:29
  And
• 14:30
  I
• 14:30
  think
• 14:30
  that's
• 14:30
  going
• 14:30
  to
• 14:30
  be
• 14:30
  a
• 14:31
  huge
• 14:31
  driving
• 14:31
  force.
• 14:31
  And
• 14:32
  I,
• 14:32
  I'm
• 14:32
  really
• 14:32
  interested
• 14:33
  because
• 14:33
  I
• 14:33
  think,
• 14:34
  look
• 14:34
  at
• 14:34
  a
• 14:35
  chain
• 14:35
  like
• 14:35
  Kroger.
• 14:35
  They've
• 14:36
  been
• 14:36
  unbelievably
• 14:37
  innovative
• 14:38
  in
• 14:38
  trying
• 14:38
  things.
• 14:38
  They've
• 14:39
  been
• 14:39
  pushing
• 14:39
  the
• 14:39
  envelope
• 14:40
  in
• 14:40
  a
• 14:40
  lot
• 14:40
  of
• 14:40
  areas.
• 14:40
  Not
• 14:40
  all
• 14:41
  of
• 14:41
  it's
• 14:41
  worked,
• 14:41
  but
• 14:42
  they're
• 14:42
  trying
• 14:42
  things.
• 14:43
  And
• 14:43
  like,
• 14:43
  these
• 14:43
  things
• 14:43
  that
• 14:43
  they're
• 14:44
  trying
• 14:44
  make
• 14:44
  sense.
• 14:44
  And
• 14:44
  so
• 14:45
  does
• 14:45
  every
• 14:45
  one
• 14:45
  land.
• 14:46
  No.
• 14:46
  But
• 14:48
  you
• 14:48
  wonder
• 14:48
  what
• 14:48
  they're
• 14:48
  going
• 14:49
  to
• 14:49
  roll
• 14:49
  out
• 14:49
  over
• 14:49
  the
• 14:50
  next
• 14:50
  year.
• 14:50
  And
• 14:50
  we
• 14:50
  think
• 14:50
  about
• 14:51
  that
• 14:51
  previous
• 14:51
  slide
• 14:51
  when
• 14:52
  we
• 14:52
  talk
• 14:52
  about
• 14:52
  challenges
• 14:53
  and
• 14:53
  then
• 14:53
  does
• 14:53
  the
• 14:54
  strategy
• 14:54
  address
• 14:54
  the
• 14:54
  challenge?
• 14:55
  What
• 14:55
  I'm
• 14:56
  really
• 14:56
  interested
• 14:56
  to
• 14:56
  see
• 14:56
  is
• 14:57
  the
• 14:57
  things
• 14:57
  that
• 14:58
  you
• 14:58
  hear
• 14:58
  that
• 14:58
  they're
• 14:58
  inevitably
• 14:59
  going
• 14:59
  to
• 14:59
  roll
• 14:59
  out
• 15:00
  over
• 15:00
  the
• 15:00
  next
• 15:00
  six,
• 15:00
  nine,
• 15:00
  12
• 15:01
  months.
• 15:01
  Are
• 15:02
  they
• 15:02
  looking
• 15:02
  to
• 15:02
  address
• 15:02
  this
• 15:03
  issue
• 15:03
  and
• 15:03
  therefore
• 15:03
  what
• 15:03
  are
• 15:04
  they
• 15:04
  doubling
• 15:04
  down
• 15:04
  on?
• 15:06
  And
• 15:06
  do
• 15:06
  you
• 15:06
  think
• 15:06
  Kroger's
• 15:07
  doing
• 15:07
  that?
• 15:08
  I
• 15:09
  think
• 15:09
  Kroger
• 15:10
  is
• 15:11
  a
• 15:11
  super
• 15:12
  strong
• 15:12
  player
• 15:13
  that
• 15:13
  has
• 15:13
  good
• 15:13
  visit
• 15:14
  metrics
• 15:15
  and
• 15:16
  is
• 15:16
  dealing
• 15:16
  with
• 15:16
  the
• 15:16
  challenge
• 15:17
  that
• 15:17
  everyone's
• 15:17
  dealing
• 15:18
  with
• 15:18
  after
• 15:19
  that
• 15:19
  not
• 15:19
  being
• 15:19
  a
• 15:19
  challenge
• 15:20
  at
• 15:20
  all
• 15:20
  three
• 15:21
  years
• 15:21
  ago.
• 15:21
  So
• 15:21
  21,
• 15:22
  22.
• 15:22
  You
• 15:22
  won
• 15:23
  the
• 15:23
  visit,
• 15:23
  you
• 15:23
  won
• 15:23
  the
• 15:23
  basket.
• 15:24
  Now
• 15:24
  that's
• 15:24
  a
• 15:24
  big
• 15:25
  problem.
• 15:25
  It's
• 15:26
  not
• 15:26
  a
• 15:26
  given
• 15:26
  anymore.
• 15:27
  And
• 15:27
  so
• 15:27
  I
• 15:27
  think
• 15:28
  Kroger
• 15:28
  was
• 15:28
  looking
• 15:29
  at
• 15:29
  things
• 15:29
  like
• 15:29
  how
• 15:30
  do
• 15:30
  I
• 15:30
  take
• 15:31
  this
• 15:32
  storeless
• 15:33
  future
• 15:33
  to
• 15:33
  new
• 15:33
  regions?
• 15:34
  Because
• 15:34
  that
• 15:34
  would
• 15:34
  be
• 15:34
  a
• 15:35
  more
• 15:35
  efficient
• 15:35
  way
• 15:35
  to
• 15:35
  break
• 15:35
  into
• 15:36
  those.
• 15:36
  They
• 15:36
  rolled
• 15:37
  most
• 15:37
  of
• 15:37
  that
• 15:37
  back.
• 15:37
  I
• 15:38
  don't
• 15:38
  think
• 15:38
  that's
• 15:39
  their
• 15:39
  future.
• 15:40
  And
• 15:40
  so
• 15:40
  I,
• 15:41
  I
• 15:41
  think
• 15:41
  there's
• 15:41
  a
• 15:41
  lag
• 15:42
  between.
• 15:43
  This
• 15:43
  is
• 15:43
  what
• 15:43
  we
• 15:43
  think
• 15:44
  the
• 15:44
  biggest
• 15:44
  problem
• 15:44
  is.
• 15:44
  Here's
• 15:45
  the
• 15:45
  innovation,
• 15:45
  we're
• 15:45
  rolling
• 15:45
  out
• 15:46
  to
• 15:46
  solve
• 15:46
  it.
• 15:46
  And
• 15:46
  now
• 15:47
  there's
• 15:47
  a
• 15:47
  different
• 15:48
  challenge.
• 15:48
  So
• 15:49
  what's
• 15:49
  the
• 15:49
  innovation
• 15:49
  they're
• 15:50
  gonna
• 15:50
  roll
• 15:50
  out?
• 15:51
  I
• 15:51
  still
• 15:52
  am
• 15:52
  a
• 15:52
  huge
• 15:52
  believer
• 15:53
  in
• 15:53
  retail
• 15:53
  media
• 15:53
  because
• 15:54
  of
• 15:54
  this.
• 15:54
  Cause
• 15:54
  I
• 15:54
  think
• 15:54
  it
• 15:55
  raises
• 15:56
  the
• 15:56
  value
• 15:56
  of
• 15:56
  each
• 15:57
  visit.
• 15:57
  I'm
• 15:58
  a
• 15:58
  big
• 15:58
  believer
• 15:58
  in
• 15:58
  things
• 15:59
  that
• 15:59
  are
• 15:59
  gonna
• 15:59
  boost
• 15:59
  discovery.
• 16:00
  I
• 16:00
  think
• 16:00
  elements
• 16:01
  like
• 16:01
  increasing
• 16:01
  the
• 16:02
  caliber
• 16:02
  of
• 16:03
  products
• 16:03
  is
• 16:03
  gonna
• 16:03
  be
• 16:03
  something
• 16:03
  you're
• 16:04
  gonna
• 16:04
  hear
• 16:04
  a
• 16:04
  lot
• 16:04
  about
• 16:04
  because
• 16:05
  we'll
• 16:06
  talk
• 16:06
  about
• 16:06
  this
• 16:06
  a
• 16:06
  little
• 16:06
  bit
• 16:06
  more.
• 16:06
  But
• 16:07
  I
• 16:07
  think
• 16:07
  value
• 16:07
  is
• 16:07
  a
• 16:07
  super
• 16:08
  opaque
• 16:08
  area
• 16:08
  and
• 16:09
  it's,
• 16:09
  it's
• 16:09
  not
• 16:09
  going
• 16:10
  to
• 16:10
  serve
• 16:10
  traditional
• 16:11
  grocery
• 16:11
  as
• 16:11
  well
• 16:11
  anymore.
• 16:12
  But
• 16:14
  I
• 16:14
  have
• 16:14
  a
• 16:15
  lot
• 16:15
  of
• 16:15
  confidence
• 16:15
  that
• 16:16
  you're
• 16:16
  going
• 16:16
  to
• 16:16
  see
• 16:16
  exciting
• 16:16
  things
• 16:17
  from
• 16:17
  Kroger.
• 16:18
  Yeah,
• 16:18
  that's
• 16:18
  a
• 16:18
  really
• 16:19
  interesting
• 16:19
  perspective
• 16:19
  that
• 16:19
  I
• 16:20
  haven't
• 16:20
  heard
• 16:20
  before,
• 16:21
  particularly
• 16:21
  with
• 16:21
  the
• 16:21
  new
• 16:22
  CEO
• 16:22
  coming
• 16:22
  in
• 16:22
  too.
• 16:24
  What's
• 16:24
  his
• 16:24
  take
• 16:24
  going
• 16:25
  to
• 16:25
  be
• 16:25
  on
• 16:25
  how
• 16:25
  to
• 16:25
  do
• 16:25
  this?
• 16:25
  And
• 16:26
  the
• 16:26
  other
• 16:26
  point
• 16:26
  too,
• 16:27
  that
• 16:27
  I
• 16:27
  think
• 16:27
  is
• 16:27
  really
• 16:28
  germane
• 16:29
  to
• 16:29
  how
• 16:29
  you
• 16:29
  frame
• 16:30
  that
• 16:30
  up
• 16:30
  too,
• 16:30
  Ethan,
• 16:30
  is
• 16:31
  where
• 16:31
  are
• 16:31
  they
• 16:32
  going
• 16:32
  and
• 16:32
  how
• 16:32
  are
• 16:32
  they
• 16:32
  trying
• 16:33
  to
• 16:33
  ameliorate
• 16:33
  the
• 16:33
  pressures?
• 16:34
  And
• 16:34
  they've
• 16:34
  said
• 16:35
  that
• 16:35
  they're
• 16:35
  going
• 16:35
  to
• 16:35
  go
• 16:35
  into
• 16:35
  their
• 16:35
  larger
• 16:36
  formats,
• 16:36
  at
• 16:36
  least
• 16:37
  prior
• 16:37
  to
• 16:37
  the
• 16:37
  new
• 16:37
  CEO
• 16:38
  coming
• 16:38
  in.
• 16:38
  But
• 16:38
  I'm
• 16:38
  guessing
• 16:39
  because
• 16:39
  they
• 16:39
  announced
• 16:39
  that
• 16:40
  a
• 16:40
  few
• 16:40
  weeks
• 16:40
  ago
• 16:40
  that
• 16:40
  that's
• 16:41
  prob.
• 16:41
  Probably
• 16:41
  still
• 16:41
  on
• 16:42
  the
• 16:42
  table.
• 16:43
  You
• 16:43
  know,
• 16:43
  that's
• 16:43
  to
• 16:44
  get
• 16:44
  the
• 16:44
  margin
• 16:44
  mix
• 16:44
  of,
• 16:45
  you
• 16:45
  know,
• 16:45
  the
• 16:46
  discretionary
• 16:46
  categories
• 16:47
  that
• 16:47
  a
• 16:47
  supermarket
• 16:48
  doesn't
• 16:48
  traditionally
• 16:48
  carry.
• 16:49
  And
• 16:49
  that's
• 16:49
  the
• 16:49
  outgrowth
• 16:50
  of
• 16:50
  why,
• 16:51
  of,
• 16:52
  of,
• 16:52
  of
• 16:52
  why
• 16:53
  they're
• 16:53
  doing
• 16:53
  that
• 16:53
  because
• 16:53
  of
• 16:53
  what
• 16:54
  you're
• 16:54
  saying
• 16:54
  here,
• 16:54
  because
• 16:55
  that's
• 16:55
  where
• 16:55
  they're
• 16:55
  feeling
• 16:55
  the
• 16:55
  pressure.
• 16:56
  So
• 16:56
  that's,
• 16:56
  That's
• 16:56
  a
• 16:56
  really
• 16:56
  interesting
• 16:57
  take,
• 16:57
  Ethan.
• 16:58
  I,
• 16:58
  I
• 16:58
  guess
• 16:58
  I'm
• 16:59
  to
• 16:59
  kind
• 16:59
  of.
• 16:59
  I
• 17:00
  was
• 17:00
  thinking
• 17:00
  along
• 17:00
  the
• 17:01
  same
• 17:01
  lines
• 17:01
  that
• 17:01
  Chris
• 17:01
  was.
• 17:02
  And
• 17:02
  if
• 17:03
  you,
• 17:03
  we
• 17:03
  take
• 17:03
  your.
• 17:03
  A
• 17:04
  step
• 17:04
  back
• 17:04
  and
• 17:04
  we
• 17:04
  look
• 17:05
  at,
• 17:05
  you
• 17:05
  know,
• 17:05
  you're
• 17:05
  talking
• 17:06
  unique,
• 17:07
  unique
• 17:07
  food
• 17:07
  offerings,
• 17:08
  localization
• 17:09
  with
• 17:09
  things
• 17:10
  like
• 17:10
  sprouts
• 17:10
  or
• 17:10
  Trader
• 17:11
  Joe's,
• 17:11
  and
• 17:11
  then
• 17:11
  you
• 17:12
  juxtapose
• 17:12
  that
• 17:12
  with,
• 17:13
  you
• 17:13
  know,
• 17:13
  Kroger
• 17:14
  taught
• 17:14
  what
• 17:14
  Chris
• 17:14
  just
• 17:15
  talked
• 17:15
  about
• 17:15
  talking
• 17:15
  about
• 17:15
  opening
• 17:16
  larger
• 17:16
  formats
• 17:17
  with
• 17:17
  more
• 17:17
  general
• 17:18
  merchandise
• 17:18
  and
• 17:19
  trying
• 17:19
  to
• 17:19
  fulfill
• 17:20
  more
• 17:20
  of
• 17:20
  that
• 17:20
  trip
• 17:20
  type
• 17:21
  and
• 17:21
  maybe
• 17:21
  focusing
• 17:21
  more
• 17:21
  on
• 17:22
  convenience.
• 17:23
  Do
• 17:23
  you,
• 17:23
  do
• 17:23
  you
• 17:24
  feel
• 17:24
  like
• 17:24
  you,
• 17:25
  there's
• 17:25
  one
• 17:25
  that,
• 17:25
  that
• 17:26
  you
• 17:26
  think
• 17:27
  stands
• 17:27
  to
• 17:27
  give
• 17:28
  Kroger
• 17:28
  a
• 17:28
  better
• 17:29
  chance
• 17:29
  than
• 17:29
  the
• 17:29
  other?
• 17:30
  And
• 17:30
  if
• 17:30
  you
• 17:31
  were
• 17:31
  advising
• 17:31
  this
• 17:32
  new
• 17:32
  CEO,
• 17:32
  like
• 17:33
  which
• 17:33
  direction
• 17:34
  would
• 17:34
  you
• 17:34
  suggest
• 17:35
  that,
• 17:35
  that,
• 17:35
  that
• 17:36
  he
• 17:36
  go
• 17:36
  in?
• 17:37
  I
• 17:38
  like
• 17:38
  focus.
• 17:39
  I
• 17:39
  think
• 17:39
  focus
• 17:40
  is
• 17:40
  easier
• 17:41
  to
• 17:41
  deliver
• 17:41
  on
• 17:42
  because
• 17:42
  you
• 17:42
  know
• 17:42
  exactly
• 17:43
  what
• 17:43
  you're
• 17:43
  trying
• 17:43
  to
• 17:43
  deliver.
• 17:45
  I
• 17:45
  think
• 17:45
  going
• 17:46
  broad,
• 17:46
  like
• 17:46
  there
• 17:46
  are
• 17:47
  people
• 17:47
  who've
• 17:47
  done
• 17:47
  it.
• 17:47
  Like
• 17:48
  Costco.
• 17:49
  Yeah.
• 17:49
  Costco
• 17:50
  does
• 17:50
  things
• 17:50
  that
• 17:50
  make
• 17:51
  no
• 17:51
  sense,
• 17:51
  but
• 17:52
  Costco
• 17:52
  is
• 17:52
  just
• 17:53
  so
• 17:53
  good
• 17:53
  at
• 17:53
  everything
• 17:53
  that
• 17:54
  they
• 17:54
  can
• 17:54
  pull
• 17:54
  it
• 17:54
  off.
• 17:54
  Costco
• 17:55
  is
• 17:55
  the
• 17:55
  LeBron
• 17:55
  James
• 17:56
  of
• 17:56
  retail.
• 17:56
  Right,
• 17:57
  but
• 17:57
  they're
• 17:57
  focused,
• 17:58
  right?
• 17:58
  Yeah,
• 17:59
  but
• 17:59
  it,
• 17:59
  but
• 18:00
  they
• 18:00
  do
• 18:00
  things
• 18:00
  that,
• 18:01
  like
• 18:01
  why
• 18:02
  are
• 18:02
  there
• 18:02
  TVs
• 18:02
  at
• 18:02
  Costco?
• 18:03
  Yeah.
• 18:04
  Why
• 18:04
  are
• 18:04
  you
• 18:04
  selling
• 18:05
  long
• 18:05
  furniture?
• 18:05
  But
• 18:06
  it
• 18:06
  works
• 18:06
  like
• 18:06
  you'll
• 18:06
  buy
• 18:06
  it
• 18:06
  there.
• 18:07
  Again,
• 18:07
  like
• 18:07
  my,
• 18:07
  my
• 18:08
  father
• 18:08
  in
• 18:08
  law
• 18:08
  gets
• 18:08
  his
• 18:08
  hearing
• 18:09
  aids
• 18:10
  done
• 18:10
  at
• 18:10
  Costco.
• 18:11
  Like
• 18:11
  that
• 18:11
  doesn't
• 18:11
  make
• 18:12
  sense.
• 18:12
  But
• 18:12
  it's,
• 18:13
  it's
• 18:13
  like
• 18:13
  again,
• 18:13
  they're
• 18:13
  so
• 18:13
  good.
• 18:14
  I
• 18:14
  don't
• 18:14
  think
• 18:15
  that
• 18:15
  that's
• 18:15
  easy
• 18:15
  to
• 18:15
  replicate.
• 18:16
  Whereas
• 18:16
  like
• 18:17
  I'm
• 18:17
  not.
• 18:17
  None
• 18:17
  of
• 18:17
  this
• 18:18
  is
• 18:18
  easy,
• 18:18
  but
• 18:18
  I
• 18:18
  think
• 18:18
  it's,
• 18:18
  it's
• 18:19
  easier
• 18:19
  to
• 18:19
  say
• 18:20
  we're
• 18:20
  gonna,
• 18:21
  this
• 18:21
  is
• 18:21
  who
• 18:21
  our
• 18:21
  audience
• 18:21
  is.
• 18:22
  This
• 18:22
  is
• 18:22
  what
• 18:22
  we
• 18:22
  bring
• 18:22
  to
• 18:23
  them.
• 18:23
  This
• 18:23
  is
• 18:23
  what
• 18:23
  we
• 18:23
  do.
• 18:23
  Very
• 18:24
  special.
• 18:24
  And
• 18:24
  we're
• 18:24
  just
• 18:24
  gonna
• 18:25
  keep
• 18:25
  on
• 18:25
  doing
• 18:25
  a
• 18:25
  little
• 18:25
  bit
• 18:25
  more
• 18:26
  of
• 18:26
  that.
• 18:26
  That's
• 18:26
  an
• 18:26
  interesting
• 18:27
  point
• 18:27
  too.
• 18:27
  Like,
• 18:27
  let's
• 18:27
  just
• 18:28
  become
• 18:28
  a
• 18:28
  better
• 18:28
  grocery
• 18:29
  store
• 18:29
  and
• 18:29
  what
• 18:29
  does
• 18:30
  that
• 18:30
  get
• 18:30
  us
• 18:30
  versus
• 18:31
  like,
• 18:31
  you
• 18:31
  know,
• 18:31
  you
• 18:31
  try
• 18:31
  to
• 18:31
  build
• 18:32
  out
• 18:32
  a,
• 18:32
  you
• 18:32
  know,
• 18:33
  a
• 18:33
  mass,
• 18:33
  mass
• 18:34
  merchandising
• 18:34
  experience
• 18:35
  like
• 18:35
  they're
• 18:35
  saying
• 18:35
  they're
• 18:36
  going
• 18:36
  to
• 18:36
  do
• 18:36
  with
• 18:36
  these
• 18:36
  large
• 18:36
  format
• 18:37
  stores.
• 18:37
  That's
• 18:37
  going
• 18:37
  to
• 18:37
  take
• 18:37
  time,
• 18:38
  it's
• 18:38
  going
• 18:38
  to
• 18:38
  take
• 18:38
  a
• 18:38
  lot
• 18:39
  of
• 18:39
  capital.
• 18:39
  And
• 18:39
  it's
• 18:39
  a
• 18:40
  really
• 18:40
  crowded
• 18:40
  space
• 18:41
  as
• 18:41
  we
• 18:41
  just
• 18:41
  talked
• 18:41
  about
• 18:42
  with
• 18:42
  Target.
• 18:42
  Target's
• 18:43
  not
• 18:43
  necessarily
• 18:43
  doing
• 18:43
  that
• 18:43
  well
• 18:44
  in
• 18:44
  that
• 18:44
  space
• 18:44
  right
• 18:44
  now
• 18:44
  either
• 18:45
  because
• 18:45
  of
• 18:45
  all
• 18:45
  the
• 18:46
  competitive
• 18:46
  pressures
• 18:46
  they're
• 18:47
  facing.
• 18:47
  So
• 18:48
  yeah,
• 18:48
  that's,
• 18:48
  that's
• 18:49
  a
• 18:49
  really
• 18:49
  interesting
• 18:49
  way
• 18:49
  to
• 18:49
  look
• 18:50
  at
• 18:50
  it,
• 18:50
  is
• 18:50
  like
• 18:50
  just
• 18:50
  become
• 18:51
  a
• 18:51
  better
• 18:51
  grocer.
• 18:52
  If
• 18:52
  I'm
• 18:52
  putting
• 18:52
  words
• 18:52
  in
• 18:52
  your
• 18:53
  mouth.
• 18:53
  Ethan,
• 18:54
  I'll
• 18:54
  give
• 18:54
  you
• 18:54
  an
• 18:54
  example
• 18:55
  of
• 18:55
  one
• 18:55
  that
• 18:55
  I
• 18:55
  really
• 18:55
  like.
• 18:56
  I,
• 18:57
  if
• 18:57
  you
• 18:57
  go
• 18:57
  to
• 18:57
  Publix,
• 19:00
  they
• 19:00
  have
• 19:00
  a
• 19:00
  huge
• 19:01
  section
• 19:02
  now
• 19:02
  for
• 19:03
  like
• 19:03
  protein
• 19:04
  based
• 19:04
  foods
• 19:05
  and
• 19:06
  they're
• 19:06
  all
• 19:06
  like
• 19:06
  packaged
• 19:07
  like
• 19:07
  you're
• 19:07
  not
• 19:07
  getting
• 19:07
  a
• 19:07
  box
• 19:08
  of
• 19:08
  Quest
• 19:08
  bars,
• 19:08
  you're
• 19:08
  getting
• 19:09
  like
• 19:09
  one.
• 19:09
  So
• 19:10
  there
• 19:10
  are
• 19:10
  these
• 19:10
  high
• 19:10
  margin
• 19:11
  Items
• 19:11
  that
• 19:11
  are
• 19:11
  almost
• 19:12
  like
• 19:12
  a
• 19:12
  convenience
• 19:13
  store
• 19:13
  perspective
• 19:13
  of
• 19:13
  like,
• 19:14
  I'm
• 19:14
  sending
• 19:14
  the
• 19:15
  single
• 19:15
  one,
• 19:15
  so
• 19:15
  I'm
• 19:15
  gonna
• 19:15
  make
• 19:16
  more
• 19:16
  dollars
• 19:16
  per.
• 19:16
  Per
• 19:16
  entity,
• 19:17
  per.
• 19:17
  Per
• 19:17
  unit.
• 19:18
  And
• 19:18
  then
• 19:19
  this
• 19:19
  is
• 19:19
  an
• 19:20
  area
• 19:20
  that
• 19:20
  they
• 19:20
  clearly
• 19:20
  think
• 19:21
  is
• 19:21
  a
• 19:21
  bigger
• 19:21
  part
• 19:21
  of
• 19:21
  the
• 19:21
  shopping
• 19:22
  trip.
• 19:22
  And
• 19:22
  so
• 19:22
  they're
• 19:22
  expanding
• 19:23
  their
• 19:23
  footprint
• 19:23
  for
• 19:23
  that
• 19:23
  area.
• 19:24
  Like,
• 19:24
  that's.
• 19:25
  And
• 19:25
  that's
• 19:25
  something
• 19:25
  that
• 19:25
  I.
• 19:26
  I
• 19:26
  think.
• 19:28
  And
• 19:28
  it's
• 19:28
  like
• 19:29
  having
• 19:29
  a
• 19:29
  wider
• 19:29
  range
• 19:29
  of
• 19:29
  products.
• 19:30
  People
• 19:30
  get
• 19:30
  pretty
• 19:31
  passionate
• 19:31
  about
• 19:31
  which
• 19:31
  products
• 19:31
  they
• 19:32
  use
• 19:32
  within
• 19:32
  that
• 19:32
  space.
• 19:33
  And
• 19:33
  it's
• 19:34
  like
• 19:34
  the
• 19:34
  opposite
• 19:34
  of
• 19:34
  a
• 19:35
  loss
• 19:35
  leader.
• 19:38
  It's
• 19:38
  like
• 19:38
  an
• 19:39
  I
• 19:39
  love
• 19:39
  it
• 19:39
  leader.
• 19:39
  I
• 19:40
  don't
• 19:40
  know.
• 19:40
  That's
• 19:40
  whatever
• 19:41
  working
• 19:42
  title.
• 19:43
  Yes.
• 19:43
  Yeah.
• 19:44
  Work
• 19:44
  in
• 19:44
  progress.
• 19:45
  It's
• 19:46
  the
• 19:46
  product
• 19:46
  I'm
• 19:46
  really
• 19:46
  passionate
• 19:46
  about
• 19:47
  that
• 19:47
  I'll
• 19:47
  make
• 19:47
  the
• 19:47
  extra
• 19:47
  trip
• 19:48
  to
• 19:48
  get.
• 19:48
  And
• 19:49
  that's
• 19:49
  a
• 19:49
  reason
• 19:49
  that
• 19:49
  I'll
• 19:49
  go
• 19:50
  to
• 19:50
  this
• 19:50
  grocery
• 19:50
  store
• 19:50
  as
• 19:51
  opposed
• 19:51
  to
• 19:51
  another
• 19:51
  one.
• 19:51
  That's
• 19:52
  what
• 19:52
  Trader
• 19:52
  Joe's
• 19:52
  does
• 19:53
  so
• 19:53
  well.
• 19:53
  All
• 19:53
  right,
• 19:53
  Ethan,
• 19:54
  let's
• 19:54
  go
• 19:54
  to
• 19:54
  the
• 19:54
  next
• 19:54
  one.
• 19:55
  Next
• 19:55
  is
• 19:55
  the
• 19:55
  direct
• 19:55
  to
• 19:56
  consumer
• 19:56
  question,
• 19:56
  and
• 19:57
  we
• 19:57
  could
• 19:57
  have
• 19:57
  titled
• 19:57
  this
• 19:57
  the
• 19:58
  digitally
• 19:58
  native
• 19:58
  question
• 19:59
  because
• 19:59
  I
• 19:59
  think
• 19:59
  it's
• 19:59
  like,
• 20:00
  you
• 20:00
  know,
• 20:00
  Allbirds
• 20:01
  was
• 20:01
  one
• 20:01
  of
• 20:02
  the
• 20:02
  digitally
• 20:02
  native
• 20:03
  communities,
• 20:03
  especially
• 20:04
  those
• 20:04
  who
• 20:04
  were
• 20:04
  like,
• 20:05
  oh,
• 20:05
  physical
• 20:05
  stores
• 20:06
  for
• 20:06
  the
• 20:06
  digitally
• 20:06
  native.
• 20:07
  Watching
• 20:08
  Allbirds
• 20:09
  announce
• 20:09
  that
• 20:09
  they're
• 20:09
  gonna
• 20:10
  be
• 20:10
  closing
• 20:10
  all
• 20:10
  their
• 20:10
  stores.
• 20:10
  But
• 20:11
  two
• 20:11
  is
• 20:12
  like
• 20:12
  a
• 20:12
  shot
• 20:13
  to
• 20:13
  the
• 20:13
  heart.
• 20:14
  Now
• 20:15
  I.
• 20:16
  It
• 20:16
  was
• 20:16
  a
• 20:16
  great
• 20:17
  analysis
• 20:17
  someone
• 20:17
  once
• 20:17
  did
• 20:18
  for
• 20:18
  us
• 20:18
  on.
• 20:18
  On
• 20:18
  allbirds
• 20:19
  where
• 20:19
  they
• 20:19
  basically
• 20:19
  said
• 20:19
  there's
• 20:20
  just
• 20:20
  not
• 20:20
  enough
• 20:20
  turnover
• 20:21
  in
• 20:21
  the
• 20:21
  merchandise
• 20:21
  for
• 20:21
  it
• 20:21
  to
• 20:22
  be
• 20:22
  make
• 20:22
  sense
• 20:22
  in
• 20:23
  physical
• 20:23
  stores.
• 20:23
  They
• 20:24
  should
• 20:24
  have
• 20:24
  been
• 20:24
  going
• 20:24
  through
• 20:24
  like,
• 20:25
  like
• 20:25
  wholesale
• 20:26
  relationships.
• 20:26
  Yep.
• 20:27
  And
• 20:27
  so.
• 20:27
  But
• 20:28
  I
• 20:28
  do
• 20:28
  think
• 20:28
  this
• 20:28
  is.
• 20:30
  Whenever
• 20:30
  you
• 20:30
  see
• 20:30
  something
• 20:31
  like
• 20:31
  this,
• 20:31
  it
• 20:32
  has
• 20:32
  ripples
• 20:33
  and
• 20:33
  brands
• 20:33
  get
• 20:33
  a
• 20:33
  little
• 20:33
  bit
• 20:34
  more
• 20:34
  skeptical.
• 20:34
  So
• 20:34
  I
• 20:34
  think
• 20:35
  you're
• 20:35
  going
• 20:35
  to
• 20:35
  see
• 20:35
  a
• 20:35
  slowdown
• 20:36
  in
• 20:36
  digitally
• 20:37
  natives,
• 20:37
  like,
• 20:37
  looking
• 20:37
  for
• 20:38
  these
• 20:38
  off,
• 20:38
  you
• 20:39
  know,
• 20:39
  these.
• 20:39
  These
• 20:39
  physical
• 20:40
  locations
• 20:40
  of
• 20:40
  these
• 20:40
  own
• 20:41
  physical
• 20:41
  locations.
• 20:42
  But
• 20:42
  I
• 20:42
  don't
• 20:42
  think
• 20:42
  it's
• 20:42
  going
• 20:43
  to.
• 20:43
  I
• 20:43
  don't
• 20:43
  think
• 20:43
  it's
• 20:43
  going
• 20:43
  to
• 20:43
  go
• 20:43
  away.
• 20:44
  I
• 20:44
  just
• 20:44
  think
• 20:44
  it's
• 20:44
  going
• 20:44
  to
• 20:45
  be
• 20:45
  a
• 20:45
  much
• 20:45
  more
• 20:45
  realistic
• 20:45
  perspective
• 20:46
  of
• 20:47
  when
• 20:47
  they
• 20:47
  go
• 20:47
  into
• 20:48
  it.
• 20:48
  It's
• 20:48
  not
• 20:48
  going
• 20:48
  to
• 20:48
  be
• 20:48
  saying,
• 20:48
  hey,
• 20:49
  how
• 20:49
  do
• 20:49
  we
• 20:49
  get
• 20:49
  100,
• 20:50
  200
• 20:50
  locations?
• 20:51
  It's
• 20:51
  going
• 20:51
  to
• 20:51
  be
• 20:52
  saying
• 20:52
  5
• 20:53
  to
• 20:53
  50.
• 20:53
  Like,
• 20:54
  we'll
• 20:54
  start
• 20:54
  off
• 20:54
  with
• 20:54
  major,
• 20:55
  major,
• 20:55
  major
• 20:55
  areas.
• 20:56
  We'll
• 20:56
  probably
• 20:56
  have
• 20:56
  like,
• 20:57
  big
• 20:57
  malls
• 20:57
  around
• 20:57
  the
• 20:58
  country
• 20:58
  or
• 20:58
  certain
• 20:59
  areas.
• 20:59
  But
• 21:00
  the
• 21:00
  unlimited,
• 21:01
  endless
• 21:02
  expansion
• 21:02
  potential
• 21:03
  for
• 21:03
  these
• 21:03
  digitally
• 21:04
  natives.
• 21:04
  I
• 21:05
  think
• 21:05
  that
• 21:05
  perspective
• 21:06
  has
• 21:06
  now
• 21:06
  gone
• 21:07
  away.
• 21:07
  Like,
• 21:07
  Warby
• 21:07
  Parker
• 21:08
  is
• 21:08
  obviously
• 21:08
  the
• 21:08
  exception
• 21:08
  to
• 21:09
  the
• 21:09
  rule,
• 21:09
  but
• 21:09
  I
• 21:09
  think
• 21:10
  they're
• 21:10
  clearly
• 21:11
  the
• 21:11
  exception.
• 21:12
  Well,
• 21:13
  the
• 21:13
  other
• 21:13
  Thing
• 21:13
  too.
• 21:14
  I'm
• 21:14
  glad
• 21:15
  you
• 21:15
  brought
• 21:15
  this
• 21:15
  back
• 21:15
  in
• 21:15
  because
• 21:16
  I
• 21:16
  feel
• 21:16
  like
• 21:16
  in
• 21:16
  the
• 21:16
  last
• 21:17
  two
• 21:17
  or
• 21:17
  three
• 21:17
  times
• 21:18
  we've
• 21:18
  had
• 21:18
  you
• 21:18
  on
• 21:18
  the
• 21:18
  program,
• 21:18
  we
• 21:19
  haven't
• 21:19
  touched
• 21:19
  on
• 21:19
  this
• 21:19
  topic
• 21:20
  very
• 21:20
  much.
• 21:20
  But
• 21:21
  like,
• 21:21
  you
• 21:21
  know,
• 21:21
  to
• 21:22
  me
• 21:22
  it
• 21:22
  just
• 21:22
  comes
• 21:22
  back
• 21:22
  down
• 21:22
  to
• 21:23
  the
• 21:23
  age
• 21:23
  old
• 21:23
  question
• 21:24
  which
• 21:24
  you
• 21:24
  kind
• 21:24
  of
• 21:25
  said,
• 21:25
  which
• 21:25
  is
• 21:26
  are
• 21:26
  you
• 21:26
  a
• 21:26
  retailer
• 21:27
  or
• 21:27
  are
• 21:27
  you
• 21:27
  a
• 21:27
  CPG
• 21:28
  or
• 21:28
  a
• 21:28
  brand
• 21:28
  at
• 21:29
  heart?
• 21:29
  Right.
• 21:29
  And
• 21:30
  what
• 21:30
  is
• 21:30
  the
• 21:30
  business
• 21:30
  model
• 21:31
  that
• 21:31
  you're
• 21:31
  running?
• 21:31
  And,
• 21:32
  and
• 21:32
  then
• 21:32
  make
• 21:33
  your
• 21:33
  store
• 21:33
  or
• 21:34
  your
• 21:34
  wholesale
• 21:34
  strategy
• 21:35
  an
• 21:35
  extension
• 21:35
  of
• 21:36
  that.
• 21:36
  And
• 21:36
  that's
• 21:36
  what
• 21:36
  it
• 21:36
  comes
• 21:37
  down
• 21:37
  to.
• 21:37
  And
• 21:37
  so,
• 21:38
  and
• 21:38
  you
• 21:38
  just
• 21:39
  test
• 21:39
  out
• 21:39
  the
• 21:39
  market.
• 21:39
  Like
• 21:39
  you
• 21:40
  said,
• 21:40
  you
• 21:40
  go
• 21:40
  slow
• 21:41
  where
• 21:41
  you
• 21:41
  need
• 21:41
  to,
• 21:41
  but
• 21:41
  you
• 21:42
  go
• 21:42
  fast.
• 21:42
  If
• 21:42
  you're
• 21:42
  got,
• 21:42
  if
• 21:43
  you
• 21:43
  got
• 21:43
  a
• 21:43
  good
• 21:43
  retail
• 21:43
  brand
• 21:44
  in
• 21:44
  front
• 21:44
  of
• 21:44
  you,
• 21:44
  go
• 21:45
  fast.
• 21:45
  That
• 21:45
  was
• 21:45
  always
• 21:46
  what
• 21:46
  we
• 21:46
  said
• 21:46
  about
• 21:46
  some
• 21:46
  of
• 21:47
  those
• 21:47
  retailers
• 21:48
  too.
• 21:48
  When
• 21:48
  during
• 21:48
  like
• 21:49
  five,
• 21:49
  six,
• 21:49
  seven,
• 21:50
  eight
• 21:50
  years
• 21:50
  ago,
• 21:50
  it'd
• 21:50
  be
• 21:50
  like,
• 21:51
  if
• 21:51
  you
• 21:51
  have
• 21:51
  such
• 21:52
  a
• 21:52
  successful
• 21:52
  retail
• 21:52
  brand,
• 21:53
  why
• 21:53
  aren't
• 21:53
  you
• 21:53
  scaling
• 21:54
  faster
• 21:54
  than
• 21:54
  you
• 21:54
  are?
• 21:55
  Which.
• 21:55
  And
• 21:56
  then
• 21:56
  those
• 21:56
  guys
• 21:56
  went
• 21:56
  out
• 21:56
  of
• 21:57
  business
• 21:57
  too.
• 21:57
  So
• 21:58
  that's,
• 21:59
  that's
• 21:59
  what
• 21:59
  I
• 21:59
  take
• 21:59
  away
• 22:00
  from
• 22:00
  this
• 22:00
  discussion.
• 22:00
  Ethan,
• 22:01
  do
• 22:01
  you
• 22:01
  agree
• 22:01
  with
• 22:01
  that?
• 22:02
  I
• 22:02
  do.
• 22:03
  I
• 22:03
  also
• 22:03
  think
• 22:03
  there's
• 22:03
  this
• 22:04
  weird
• 22:04
  question
• 22:05
  of,
• 22:07
  and
• 22:07
  it's
• 22:07
  like,
• 22:07
  it
• 22:07
  is
• 22:07
  an
• 22:08
  inevitable
• 22:08
  problem
• 22:08
  of
• 22:09
  like
• 22:09
  as
• 22:09
  you
• 22:09
  grow,
• 22:09
  do
• 22:10
  you
• 22:10
  grow
• 22:10
  by
• 22:10
  new
• 22:10
  locations?
• 22:11
  Do
• 22:11
  you
• 22:11
  grow
• 22:11
  by
• 22:11
  new,
• 22:12
  by
• 22:12
  new
• 22:12
  areas,
• 22:13
  by
• 22:13
  new
• 22:13
  products?
• 22:14
  And
• 22:14
  it's
• 22:14
  it
• 22:15
  right,
• 22:15
  like
• 22:16
  some
• 22:16
  retailers
• 22:17
  or
• 22:18
  like
• 22:18
  your
• 22:18
  point
• 22:18
  of
• 22:19
  like
• 22:19
  are
• 22:19
  you
• 22:19
  a
• 22:19
  retailer
• 22:20
  or
• 22:20
  are
• 22:20
  you
• 22:20
  a
• 22:20
  brand?
• 22:21
  There
• 22:21
  are
• 22:22
  some
• 22:22
  that
• 22:22
  like,
• 22:22
  okay,
• 22:22
  I'm
• 22:23
  gonna
• 22:23
  expand
• 22:23
  into
• 22:23
  this
• 22:23
  market.
• 22:23
  I
• 22:24
  can
• 22:24
  have
• 22:24
  more
• 22:24
  locations
• 22:25
  or
• 22:25
  I'm
• 22:25
  going
• 22:25
  to
• 22:26
  be
• 22:26
  more
• 22:26
  wholesale
• 22:26
  oriented.
• 22:27
  I
• 22:27
  can
• 22:27
  have
• 22:27
  different
• 22:27
  products
• 22:29
  and
• 22:29
  there's
• 22:29
  some
• 22:29
  that
• 22:29
  just
• 22:30
  need
• 22:30
  to
• 22:30
  like,
• 22:30
  it's
• 22:31
  okay
• 22:32
  that
• 22:32
  a
• 22:32
  retailer
• 22:32
  fills
• 22:33
  a
• 22:33
  very
• 22:33
  specific
• 22:34
  void
• 22:34
  and
• 22:35
  does
• 22:35
  that
• 22:35
  well,
• 22:36
  like
• 22:36
  there
• 22:36
  might
• 22:37
  not
• 22:37
  be
• 22:37
  endless
• 22:38
  expansion
• 22:38
  potential
• 22:39
  and
• 22:39
  that's
• 22:40
  okay.
• 22:40
  And
• 22:41
  I
• 22:41
  think
• 22:41
  it's
• 22:42
  like
• 22:42
  that's
• 22:43
  you
• 22:43
  can
• 22:43
  build
• 22:43
  an
• 22:43
  incredible
• 22:44
  business
• 22:44
  around
• 22:44
  that.
• 22:45
  It
• 22:45
  just
• 22:46
  doesn't
• 22:46
  necessarily
• 22:46
  fit
• 22:47
  with
• 22:47
  like
• 22:47
  the
• 22:47
  quarterly
• 22:48
  earning
• 22:48
  cycle
• 22:49
  for
• 22:49
  publicly
• 22:49
  traded
• 22:50
  companies.
• 22:51
  I
• 22:51
  think
• 22:51
  the
• 22:52
  other
• 22:52
  thing
• 22:52
  that
• 22:52
  you
• 22:52
  have
• 22:52
  to
• 22:52
  look
• 22:53
  at
• 22:53
  too
• 22:53
  is
• 22:53
  like
• 22:53
  I
• 22:54
  think
• 22:54
  Lulu's
• 22:55
  the
• 22:55
  apparel
• 22:56
  company
• 22:56
  that
• 22:57
  just
• 22:57
  expanded
• 22:58
  their
• 22:58
  footprint
• 22:58
  in
• 22:58
  Nordstrom.
• 22:59
  I
• 22:59
  think
• 22:59
  it
• 23:00
  also
• 23:00
  is
• 23:00
  a
• 23:00
  question
• 23:01
  of,
• 23:01
  you
• 23:02
  know,
• 23:02
  one,
• 23:02
  are
• 23:03
  traditional
• 23:03
  retailers
• 23:04
  or
• 23:04
  wholesalers
• 23:05
  more
• 23:05
  interested
• 23:06
  in
• 23:06
  a
• 23:06
  new
• 23:06
  kind
• 23:06
  of
• 23:06
  partnership
• 23:07
  with
• 23:07
  these
• 23:07
  D2C
• 23:08
  players
• 23:08
  because
• 23:09
  they
• 23:09
  provide
• 23:09
  a
• 23:10
  low
• 23:10
  entry
• 23:11
  point
• 23:11
  for
• 23:11
  Nordstrom
• 23:12
  shoppers.
• 23:12
  Like
• 23:12
  now
• 23:13
  Nordstrom's
• 23:13
  getting
• 23:14
  Gen
• 23:14
  Z
• 23:14
  and
• 23:15
  the
• 23:15
  following
• 23:15
  generations
• 23:16
  in
• 23:16
  the
• 23:16
  doors
• 23:17
  when
• 23:17
  they
• 23:17
  never
• 23:17
  would
• 23:17
  have
• 23:17
  been
• 23:18
  able
• 23:18
  to
• 23:18
  go
• 23:18
  to
• 23:18
  a
• 23:18
  Nordstrom
• 23:19
  or
• 23:19
  think
• 23:19
  they
• 23:19
  could
• 23:19
  Afford
• 23:20
  a
• 23:20
  Nordstrom.
• 23:21
  I
• 23:21
  think
• 23:21
  you,
• 23:22
  you
• 23:22
  look
• 23:22
  at
• 23:22
  some
• 23:22
  of
• 23:23
  the.
• 23:23
  The
• 23:24
  like,
• 23:24
  I
• 23:25
  was
• 23:25
  surprised
• 23:25
  to
• 23:25
  see
• 23:25
  that
• 23:26
  headline
• 23:26
  because
• 23:26
  you
• 23:26
  don't
• 23:27
  expect
• 23:27
  a
• 23:27
  retailer
• 23:28
  like
• 23:28
  Nordstrom
• 23:28
  to
• 23:29
  bring
• 23:29
  in
• 23:29
  a
• 23:29
  lower
• 23:30
  price
• 23:30
  brand
• 23:31
  like
• 23:31
  that.
• 23:31
  Like
• 23:31
  it,
• 23:32
  it
• 23:32
  was
• 23:32
  counter
• 23:33
  to
• 23:33
  what
• 23:33
  Nordstrom
• 23:34
  says
• 23:34
  that
• 23:34
  they
• 23:34
  would
• 23:35
  do
• 23:35
  and
• 23:35
  kind
• 23:35
  of
• 23:35
  their
• 23:36
  ethos
• 23:36
  as
• 23:36
  a
• 23:36
  brand.
• 23:37
  But
• 23:37
  I
• 23:37
  think
• 23:37
  that
• 23:37
  Nordstrom
• 23:38
  softened
• 23:39
  now
• 23:39
  on
• 23:40
  what
• 23:41
  it's
• 23:41
  not
• 23:41
  just
• 23:41
  a,
• 23:42
  a
• 23:42
  wholesale
• 23:43
  relationship
• 23:43
  we're
• 23:43
  going
• 23:43
  to
• 23:44
  have
• 23:44
  with
• 23:44
  them.
• 23:44
  We
• 23:44
  actually
• 23:44
  want
• 23:45
  to
• 23:45
  give
• 23:45
  them
• 23:45
  space
• 23:46
  in
• 23:46
  the
• 23:46
  stores
• 23:47
  to
• 23:47
  kind
• 23:47
  of
• 23:47
  be
• 23:48
  the
• 23:48
  entry
• 23:48
  point
• 23:48
  for
• 23:49
  this
• 23:49
  next
• 23:49
  generation.
• 23:50
  So
• 23:50
  I
• 23:50
  think
• 23:50
  it's
• 23:50
  also
• 23:50
  the,
• 23:51
  the
• 23:51
  changing
• 23:51
  relationship
• 23:52
  of,
• 23:53
  of
• 23:53
  these
• 23:53
  partners
• 23:54
  and
• 23:54
  what
• 23:55
  a
• 23:55
  wholesale
• 23:55
  agreement
• 23:55
  looks
• 23:56
  like,
• 23:56
  a
• 23:56
  shop
• 23:56
  and
• 23:56
  shop
• 23:57
  agreement
• 23:57
  looks
• 23:57
  like
• 23:57
  with
• 23:58
  some
• 23:58
  of
• 23:58
  their
• 23:58
  partners
• 23:59
  too,
• 23:59
  that's
• 23:59
  helping
• 24:00
  them.
• 24:00
  They'll
• 24:00
  all
• 24:01
  win
• 24:01
  versus
• 24:02
  Lulu.
• 24:02
  Starting
• 24:03
  a
• 24:03
  massive
• 24:03
  store
• 24:04
  expansion
• 24:04
  and
• 24:05
  not
• 24:05
  being
• 24:05
  successful.
• 24:07
  I
• 24:07
  love
• 24:07
  that
• 24:07
  point
• 24:07
  so
• 24:08
  much.
• 24:08
  And
• 24:08
  I
• 24:09
  also
• 24:09
  think
• 24:09
  it's
• 24:09
  like
• 24:09
  such
• 24:10
  a
• 24:10
  good
• 24:11
  antidote
• 24:11
  to
• 24:12
  so
• 24:12
  many
• 24:12
  of
• 24:13
  the
• 24:13
  challenges
• 24:13
  that
• 24:13
  a
• 24:14
  lot
• 24:14
  of
• 24:14
  department
• 24:14
  stores
• 24:14
  are
• 24:14
  facing
• 24:15
  where
• 24:16
  it's
• 24:16
  just,
• 24:17
  it's
• 24:17
  the
• 24:18
  same
• 24:18
  thing
• 24:18
  for
• 24:18
  20,
• 24:19
  30
• 24:19
  years.
• 24:19
  Like,
• 24:20
  you
• 24:20
  need
• 24:20
  to
• 24:20
  mix
• 24:20
  it
• 24:20
  up.
• 24:20
  This
• 24:21
  is
• 24:21
  that
• 24:22
  we
• 24:22
  have
• 24:22
  rising
• 24:23
  digitally
• 24:23
  natives.
• 24:24
  We
• 24:24
  have
• 24:24
  the
• 24:24
  brands
• 24:25
  that
• 24:25
  have
• 24:25
  these
• 24:25
  footprints.
• 24:26
  Can
• 24:26
  you
• 24:26
  find
• 24:26
  that
• 24:26
  balance
• 24:27
  between
• 24:27
  them?
• 24:27
  I
• 24:28
  know
• 24:28
  some
• 24:28
  have
• 24:28
  tried
• 24:28
  and
• 24:28
  it
• 24:28
  hasn't
• 24:29
  really
• 24:29
  worked
• 24:29
  out
• 24:29
  as
• 24:29
  well,
• 24:29
  but
• 24:29
  I
• 24:30
  think
• 24:30
  these
• 24:30
  are
• 24:30
  really
• 24:30
  exciting
• 24:31
  examples
• 24:31
  to
• 24:31
  look
• 24:32
  into
• 24:32
  because
• 24:32
  if
• 24:32
  they
• 24:32
  show
• 24:32
  promise,
• 24:33
  there's
• 24:33
  a
• 24:33
  lot
• 24:33
  of
• 24:33
  benefit
• 24:34
  for
• 24:34
  everyone
• 24:34
  involved.
• 24:35
  Right.
• 24:35
  Yeah,
• 24:36
  good
• 24:36
  point.
• 24:36
  It's
• 24:37
  a
• 24:37
  hybrid
• 24:37
  approach.
• 24:37
  It
• 24:37
  makes
• 24:38
  sense.
• 24:38
  Yeah.
• 24:38
  The
• 24:38
  other
• 24:39
  point
• 24:39
  I
• 24:39
  take
• 24:39
  away
• 24:39
  from
• 24:39
  what
• 24:39
  you
• 24:39
  said
• 24:40
  too,
• 24:40
  which
• 24:40
  I'd
• 24:40
  never
• 24:40
  thought
• 24:40
  about
• 24:41
  before
• 24:41
  I
• 24:41
  did,
• 24:41
  is
• 24:41
  like,
• 24:42
  the
• 24:42
  extent
• 24:43
  of
• 24:43
  your
• 24:43
  product
• 24:44
  portfolio
• 24:45
  matters
• 24:45
  if
• 24:45
  you
• 24:45
  want
• 24:46
  to
• 24:46
  try
• 24:46
  to
• 24:46
  become
• 24:46
  a
• 24:47
  retailer,
• 24:47
  if
• 24:47
  you
• 24:47
  want
• 24:47
  to
• 24:47
  go
• 24:48
  from
• 24:48
  brand
• 24:48
  to
• 24:48
  retailer.
• 24:49
  Right.
• 24:50
  Like,
• 24:50
  the
• 24:50
  Gap
• 24:50
  didn't
• 24:51
  become
• 24:51
  the
• 24:51
  Gap.
• 24:51
  Just
• 24:52
  selling
• 24:52
  sweatshirts,
• 24:53
  you
• 24:53
  know,
• 24:54
  Auburn
• 24:54
  sold
• 24:55
  a
• 24:55
  shoe
• 24:55
  that
• 24:56
  you
• 24:56
  don't
• 24:56
  need
• 24:56
  to
• 24:56
  buy
• 24:57
  that
• 24:57
  often,
• 24:57
  and
• 24:58
  it
• 24:58
  tried
• 24:58
  to
• 24:58
  get
• 24:58
  into
• 24:58
  other
• 24:59
  categories,
• 24:59
  but
• 24:59
  it
• 24:59
  wasn't
• 25:00
  successful.
• 25:01
  And
• 25:01
  so
• 25:01
  have
• 25:01
  you
• 25:02
  figured
• 25:02
  that
• 25:02
  out
• 25:03
  before
• 25:03
  you
• 25:03
  venture
• 25:04
  into
• 25:04
  retail
• 25:05
  and
• 25:05
  have
• 25:06
  you
• 25:06
  done
• 25:06
  the
• 25:06
  math
• 25:06
  on
• 25:06
  that,
• 25:07
  or
• 25:07
  should
• 25:07
  you
• 25:07
  take
• 25:07
  an
• 25:08
  approach,
• 25:08
  like
• 25:08
  Ann
• 25:08
  just
• 25:08
  said,
• 25:09
  like
• 25:09
  where
• 25:09
  you
• 25:09
  go,
• 25:10
  you
• 25:10
  know,
• 25:10
  hybrid
• 25:11
  or
• 25:11
  you
• 25:11
  go
• 25:11
  wholesale
• 25:11
  traditionally
• 25:12
  and
• 25:13
  make
• 25:13
  it
• 25:14
  work.
• 25:14
  All
• 25:14
  right,
• 25:14
  what's
• 25:15
  next?
• 25:15
  Okay,
• 25:16
  this
• 25:16
  is
• 25:17
  the
• 25:17
  thing
• 25:17
  that
• 25:17
  I
• 25:17
  am.
• 25:18
  Haven't
• 25:18
  touched
• 25:19
  on
• 25:19
  this
• 25:19
  in
• 25:19
  a
• 25:19
  while.
• 25:19
  I'm
• 25:20
  struggling
• 25:20
  with
• 25:20
  this
• 25:20
  a
• 25:20
  lot.
• 25:21
  Okay.
• 25:21
  Yeah,
• 25:22
  we
• 25:22
  did
• 25:22
  something.
• 25:23
  We're
• 25:23
  doing
• 25:23
  it
• 25:23
  for
• 25:23
  the
• 25:23
  first
• 25:23
  time
• 25:24
  again.
• 25:24
  Little
• 25:25
  spoiler
• 25:25
  because
• 25:25
  we
• 25:26
  got
• 25:26
  a
• 25:27
  Placer
• 25:27
  Discover
• 25:27
  coming
• 25:28
  up
• 25:28
  with
• 25:28
  our
• 25:28
  mutual
• 25:29
  friend
• 25:29
  Ben
• 25:29
  Miller
• 25:30
  from
• 25:30
  Shop
• 25:30
  Talk.
• 25:31
  We
• 25:31
  did
• 25:31
  something
• 25:32
  we're
• 25:32
  not
• 25:32
  just
• 25:32
  looking
• 25:32
  at
• 25:32
  the
• 25:33
  data.
• 25:33
  We
• 25:33
  did
• 25:33
  a
• 25:33
  survey
• 25:34
  of
• 25:34
  professionals
• 25:34
  in
• 25:34
  the
• 25:34
  space
• 25:35
  and
• 25:35
  we
• 25:35
  asked
• 25:35
  them
• 25:35
  some
• 25:35
  questions.
• 25:36
  We
• 25:36
  had
• 25:36
  like
• 25:36
  hundreds
• 25:37
  and
• 25:37
  hundreds
• 25:37
  of
• 25:37
  people
• 25:37
  respond.
• 25:38
  And
• 25:38
  one
• 25:38
  of
• 25:39
  the
• 25:39
  questions
• 25:39
  we
• 25:39
  asked
• 25:39
  was
• 25:39
  like,
• 25:40
  what
• 25:40
  segments
• 25:40
  do
• 25:41
  you
• 25:41
  think
• 25:41
  you're
• 25:41
  going
• 25:41
  to
• 25:41
  do?
• 25:41
  Do
• 25:41
  you
• 25:42
  think
• 25:42
  they're
• 25:42
  going
• 25:42
  to
• 25:42
  grow?
• 25:42
  Do
• 25:42
  you
• 25:42
  think
• 25:42
  they're
• 25:42
  going
• 25:43
  to
• 25:43
  be
• 25:43
  stable
• 25:43
  or
• 25:43
  decline
• 25:44
  in
• 25:44
  next
• 25:44
  year?
• 25:45
  And
• 25:45
  a
• 25:45
  fascinating
• 25:45
  one
• 25:46
  for
• 25:46
  me
• 25:46
  was
• 25:46
  that
• 25:46
  the
• 25:47
  discounted
• 25:47
  dollar
• 25:47
  segment
• 25:48
  was
• 25:49
  basically
• 25:49
  flat,
• 25:50
  people
• 25:50
  saying
• 25:51
  positive
• 25:51
  and
• 25:52
  negative
• 25:53
  and
• 25:53
  so
• 25:53
  growth
• 25:54
  or
• 25:54
  decline.
• 25:55
  And
• 25:55
  almost
• 25:56
  70%
• 25:56
  said
• 25:57
  it
• 25:57
  was
• 25:57
  going
• 25:57
  to
• 25:57
  be
• 25:57
  stable.
• 25:58
  They
• 25:58
  thought
• 25:58
  it
• 25:58
  would
• 25:58
  be
• 25:58
  stable.
• 26:00
  And
• 26:00
  this
• 26:00
  kind
• 26:00
  of
• 26:00
  lines
• 26:01
  up
• 26:01
  with
• 26:01
  what
• 26:01
  we're
• 26:01
  seeing.
• 26:01
  Like
• 26:01
  this
• 26:02
  is
• 26:02
  a
• 26:02
  sector
• 26:02
  that
• 26:02
  saw
• 26:02
  growth,
• 26:03
  these
• 26:03
  massive
• 26:03
  expansions,
• 26:04
  then
• 26:04
  all
• 26:04
  of
• 26:04
  a
• 26:04
  sudden,
• 26:04
  maybe
• 26:05
  they
• 26:05
  overextended.
• 26:06
  But
• 26:07
  what's
• 26:07
  coming
• 26:08
  up
• 26:08
  for
• 26:08
  me
• 26:08
  a
• 26:08
  lot
• 26:09
  is
• 26:09
  something
• 26:09
  that
• 26:11
  piqued
• 26:12
  our
• 26:12
  interest
• 26:12
  in
• 26:12
  convenience
• 26:13
  a
• 26:13
  few
• 26:13
  years
• 26:13
  ago.
• 26:13
  And
• 26:14
  I
• 26:14
  think
• 26:14
  it
• 26:14
  was
• 26:14
  a.
• 26:15
  I
• 26:15
  think
• 26:15
  we
• 26:15
  were
• 26:15
  correct
• 26:16
  then,
• 26:16
  which
• 26:16
  was
• 26:17
  convenience
• 26:17
  is
• 26:17
  an
• 26:17
  overrated
• 26:18
  concept
• 26:19
  because
• 26:19
  we
• 26:19
  don't
• 26:20
  know
• 26:20
  what
• 26:20
  convenient
• 26:20
  enough
• 26:21
  is
• 26:21
  or
• 26:21
  isn't
• 26:21
  right.
• 26:23
  It's
• 26:23
  convenient
• 26:24
  enough
• 26:24
  to
• 26:24
  do,
• 26:25
  to
• 26:25
  drive
• 26:25
  really
• 26:25
  far
• 26:26
  to
• 26:26
  go
• 26:26
  to
• 26:26
  Trader
• 26:26
  Joe's,
• 26:27
  but
• 26:27
  it's
• 26:27
  not
• 26:27
  enough
• 26:27
  to
• 26:27
  go
• 26:27
  to,
• 26:28
  I
• 26:28
  don't
• 26:28
  know,
• 26:29
  insert
• 26:29
  traditional
• 26:30
  grocery
• 26:30
  name
• 26:30
  here.
• 26:31
  I
• 26:31
  think
• 26:31
  the
• 26:32
  same
• 26:32
  thing
• 26:32
  for
• 26:32
  value.
• 26:33
  Everybody
• 26:34
  knows
• 26:34
  value
• 26:34
  is
• 26:34
  important.
• 26:37
  Most
• 26:37
  people
• 26:37
  that
• 26:38
  I
• 26:38
  speak
• 26:38
  to
• 26:38
  don't
• 26:39
  know
• 26:39
  how
• 26:39
  to
• 26:39
  define
• 26:39
  it.
• 26:39
  I
• 26:40
  certainly
• 26:40
  don't
• 26:40
  know
• 26:40
  how
• 26:40
  to
• 26:40
  define
• 26:41
  it.
• 26:41
  And
• 26:41
  as
• 26:42
  a
• 26:42
  result,
• 26:42
  I
• 26:42
  think
• 26:42
  it's
• 26:43
  an.
• 26:44
  It's
• 26:45
  not
• 26:45
  the
• 26:45
  most
• 26:45
  useful
• 26:46
  thing
• 26:46
  to
• 26:46
  talk
• 26:46
  about
• 26:47
  because
• 26:47
  we
• 26:47
  don't
• 26:48
  really
• 26:48
  know
• 26:48
  what
• 26:48
  it
• 26:48
  means.
• 26:49
  So
• 26:49
  people
• 26:49
  will
• 26:49
  tell
• 26:50
  you
• 26:50
  value
• 26:50
  is
• 26:50
  not
• 26:51
  price.
• 26:52
  Value
• 26:52
  is
• 26:52
  how
• 26:52
  much
• 26:52
  do
• 26:52
  we
• 26:52
  love
• 26:53
  a
• 26:53
  product
• 26:53
  and
• 26:54
  do
• 26:54
  we
• 26:54
  feel
• 26:54
  like
• 26:54
  we're
• 26:54
  getting
• 26:55
  a
• 26:55
  good
• 26:55
  deal
• 26:55
  on
• 26:55
  said
• 26:56
  product?
• 26:57
  That
• 26:57
  means
• 26:58
  that
• 26:58
  the
• 26:58
  important
• 26:59
  thing
• 26:59
  is
• 26:59
  not
• 27:00
  the
• 27:00
  value
• 27:01
  per
• 27:01
  se,
• 27:02
  it's.
• 27:03
  Is
• 27:03
  the
• 27:03
  product
• 27:04
  great?
• 27:04
  Do
• 27:05
  people
• 27:05
  perceive
• 27:05
  the
• 27:05
  product
• 27:05
  to
• 27:06
  be
• 27:06
  excellent?
• 27:06
  Because
• 27:07
  otherwise
• 27:07
  it's
• 27:07
  circular
• 27:08
  logic.
• 27:08
  Oh,
• 27:09
  we
• 27:09
  fail
• 27:09
  to.
• 27:09
  They're
• 27:09
  not
• 27:10
  doing
• 27:10
  well
• 27:10
  because
• 27:10
  they
• 27:10
  don't
• 27:10
  have
• 27:10
  enough
• 27:10
  value.
• 27:11
  They're
• 27:11
  doing
• 27:11
  well
• 27:11
  because
• 27:12
  they
• 27:12
  have
• 27:12
  value.
• 27:12
  But
• 27:12
  we
• 27:12
  can't
• 27:13
  define
• 27:13
  what
• 27:13
  that
• 27:13
  means.
• 27:13
  And
• 27:14
  so
• 27:14
  I'm
• 27:15
  struggling.
• 27:15
  This
• 27:15
  idea
• 27:15
  of.
• 27:16
  Is
• 27:16
  value.
• 27:17
  It's
• 27:17
  clearly
• 27:17
  important,
• 27:18
  but
• 27:18
  is
• 27:18
  it
• 27:19
  a
• 27:19
  relevant
• 27:21
  thing
• 27:21
  in
• 27:21
  retail?
• 27:22
  Because
• 27:22
  it's.
• 27:22
  It's
• 27:23
  too
• 27:23
  abstract
• 27:23
  of
• 27:24
  a
• 27:24
  concept.
• 27:25
  So
• 27:25
  value
• 27:25
  retail,
• 27:26
  I
• 27:26
  think,
• 27:26
  and
• 27:26
  obviously
• 27:27
  in
• 27:27
  this
• 27:27
  value
• 27:27
  segment
• 27:27
  is
• 27:28
  easy
• 27:28
  to
• 27:29
  differentiate,
• 27:29
  but
• 27:30
  I
• 27:30
  think
• 27:30
  there's
• 27:31
  a
• 27:31
  question
• 27:31
  about
• 27:32
  the
• 27:32
  conversation
• 27:33
  around
• 27:33
  value
• 27:34
  and
• 27:34
  does
• 27:34
  it
• 27:35
  matter
• 27:35
  if
• 27:35
  we
• 27:35
  don't
• 27:35
  know
• 27:35
  how
• 27:36
  to
• 27:36
  define
• 27:36
  it?
• 27:38
  That's
• 27:38
  really
• 27:39
  interesting.
• 27:39
  What
• 27:39
  I
• 27:39
  see,
• 27:39
  what
• 27:40
  I
• 27:40
  think
• 27:40
  of
• 27:40
  is
• 27:40
  actually,
• 27:40
  I
• 27:40
  think
• 27:41
  value
• 27:41
  is
• 27:41
  the
• 27:41
  art
• 27:41
  of
• 27:42
  retail
• 27:42
  value.
• 27:43
  Value,
• 27:43
  to
• 27:43
  me,
• 27:43
  is
• 27:44
  the
• 27:44
  merchant.
• 27:44
  That's
• 27:45
  where
• 27:45
  the
• 27:45
  merchandising
• 27:46
  comes
• 27:46
  in.
• 27:46
  And
• 27:46
  there.
• 27:47
  There
• 27:47
  is
• 27:47
  no
• 27:48
  definition
• 27:48
  of
• 27:48
  it,
• 27:48
  and
• 27:48
  that's
• 27:49
  what
• 27:49
  makes
• 27:49
  it
• 27:49
  special.
• 27:50
  And
• 27:50
  it's
• 27:51
  different
• 27:51
  for
• 27:51
  each
• 27:51
  brand.
• 27:51
  It's
• 27:52
  different
• 27:52
  for
• 27:52
  each
• 27:52
  retailer,
• 27:53
  and
• 27:53
  you
• 27:53
  have
• 27:53
  to
• 27:54
  discover
• 27:54
  it
• 27:54
  and
• 27:54
  put
• 27:55
  it
• 27:55
  into
• 27:55
  the
• 27:55
  minds
• 27:56
  of
• 27:56
  your
• 27:56
  consumer.
• 27:57
  And
• 27:57
  that's
• 27:57
  what
• 27:57
  the
• 27:58
  really
• 27:58
  good
• 27:58
  retailers
• 27:59
  do
• 27:59
  really
• 27:59
  well.
• 28:00
  That's
• 28:00
  what
• 28:00
  Costco
• 28:01
  does
• 28:01
  phenomenally
• 28:02
  well.
• 28:02
  And
• 28:03
  they
• 28:03
  are
• 28:03
  focused
• 28:04
  on.
• 28:04
  They
• 28:04
  know
• 28:04
  exactly
• 28:05
  what.
• 28:05
  What
• 28:06
  metrics
• 28:06
  they
• 28:06
  want
• 28:06
  to
• 28:06
  hit,
• 28:07
  what
• 28:07
  products
• 28:07
  are
• 28:07
  going
• 28:08
  to
• 28:08
  sell
• 28:08
  for
• 28:08
  their
• 28:08
  consumer,
• 28:09
  and
• 28:09
  they
• 28:09
  provide
• 28:10
  that
• 28:10
  value
• 28:10
  to
• 28:10
  them.
• 28:11
  Whereas
• 28:11
  when
• 28:11
  you
• 28:12
  start
• 28:12
  to
• 28:12
  get
• 28:12
  across,
• 28:12
  like,
• 28:12
  the
• 28:13
  grocery
• 28:13
  landscape
• 28:13
  or
• 28:13
  even
• 28:14
  the
• 28:14
  dollar
• 28:14
  landscape,
• 28:15
  it
• 28:15
  becomes
• 28:15
  a
• 28:15
  little
• 28:15
  less
• 28:16
  clear
• 28:16
  because,
• 28:16
  you
• 28:17
  know,
• 28:17
  value
• 28:17
  starts
• 28:17
  to
• 28:18
  play
• 28:18
  into
• 28:18
  things
• 28:18
  differently.
• 28:19
  There
• 28:19
  aren't
• 28:19
  as
• 28:19
  many
• 28:19
  points
• 28:20
  of
• 28:20
  differentiation,
• 28:20
  but
• 28:21
  that's
• 28:21
  how
• 28:21
  I
• 28:21
  think
• 28:22
  about.
• 28:22
  Your
• 28:22
  question
• 28:23
  is.
• 28:23
  I
• 28:23
  think
• 28:24
  your
• 28:24
  question's
• 28:24
  right,
• 28:25
  but
• 28:25
  that's
• 28:26
  also
• 28:26
  where
• 28:26
  you
• 28:26
  make
• 28:26
  your
• 28:26
  money.
• 28:28
  I
• 28:28
  like
• 28:29
  the
• 28:29
  idea
• 28:29
  that
• 28:29
  it's
• 28:29
  an
• 28:30
  art,
• 28:30
  and
• 28:30
  I
• 28:30
  think
• 28:31
  for
• 28:31
  me,
• 28:34
  we
• 28:34
  care
• 28:34
  about
• 28:34
  the
• 28:35
  art,
• 28:35
  but
• 28:35
  with
• 28:35
  data,
• 28:36
  you
• 28:36
  care
• 28:36
  about
• 28:36
  the
• 28:36
  numbers,
• 28:37
  right?
• 28:37
  Yeah.
• 28:38
  And
• 28:38
  I
• 28:38
  almost
• 28:39
  don't
• 28:39
  want
• 28:39
  to
• 28:39
  talk
• 28:39
  about
• 28:39
  value
• 28:40
  so
• 28:40
  much
• 28:40
  anymore,
• 28:40
  except
• 28:41
  to
• 28:41
  make
• 28:41
  this.
• 28:41
  Yeah.
• 28:41
  Because
• 28:42
  it's
• 28:42
  not
• 28:42
  a
• 28:42
  data
• 28:42
  number.
• 28:43
  It
• 28:43
  is
• 28:43
  a.
• 28:44
  Yep.
• 28:44
  It's
• 28:44
  a.
• 28:45
  It's
• 28:45
  something
• 28:46
  so
• 28:46
  much
• 28:46
  more
• 28:46
  abstract.
• 28:46
  And
• 28:47
  I
• 28:47
  really
• 28:47
  like
• 28:47
  the
• 28:48
  way
• 28:48
  you
• 28:48
  put
• 28:48
  it.
• 28:49
  And
• 28:49
  I
• 28:49
  think
• 28:49
  the
• 28:49
  more
• 28:50
  we
• 28:50
  embrace
• 28:50
  that,
• 28:51
  that's
• 28:51
  the
• 28:51
  thing.
• 28:51
  It
• 28:52
  also
• 28:52
  changes
• 28:52
  the
• 28:52
  notion
• 28:53
  because
• 28:53
  I
• 28:53
  think
• 28:53
  when
• 28:53
  you
• 28:53
  talk
• 28:53
  about
• 28:54
  value
• 28:54
  to
• 28:55
  so
• 28:55
  many
• 28:55
  people
• 28:55
  in
• 28:55
  the
• 28:55
  space,
• 28:56
  they
• 28:56
  do
• 28:56
  still
• 28:56
  think
• 28:56
  of
• 28:57
  price.
• 28:57
  They're
• 28:57
  like,
• 28:58
  oh,
• 28:58
  it's
• 28:58
  about
• 28:58
  making
• 28:58
  things
• 28:58
  cheaper.
• 28:59
  And
• 28:59
  I
• 28:59
  think
• 28:59
  a
• 28:59
  lot
• 28:59
  of
• 28:59
  retailers
• 29:00
  hurt
• 29:00
  themselves
• 29:01
  by
• 29:01
  chasing
• 29:01
  value
• 29:02
  by
• 29:02
  bringing
• 29:02
  down
• 29:02
  costs
• 29:03
  as
• 29:03
  opposed
• 29:04
  to
• 29:04
  by
• 29:04
  chasing
• 29:04
  value
• 29:04
  by
• 29:04
  making
• 29:05
  products
• 29:05
  that
• 29:05
  are
• 29:05
  amazing
• 29:05
  or
• 29:06
  making
• 29:07
  products
• 29:08
  that
• 29:08
  are
• 29:08
  perceived
• 29:09
  to
• 29:09
  be
• 29:09
  amazing.
• 29:09
  Like,
• 29:10
  there
• 29:10
  is
• 29:10
  an
• 29:10
  element
• 29:10
  of
• 29:10
  perception
• 29:11
  here,
• 29:11
  too,
• 29:11
  that
• 29:11
  matters.
• 29:13
  Yeah.
• 29:13
  I
• 29:13
  mean,
• 29:13
  the
• 29:13
  one
• 29:13
  thing
• 29:13
  I
• 29:13
  always
• 29:14
  took
• 29:14
  away
• 29:14
  from
• 29:14
  my
• 29:14
  time
• 29:14
  at
• 29:14
  Target
• 29:14
  was
• 29:15
  the
• 29:15
  expect
• 29:15
  more,
• 29:15
  pay
• 29:15
  less
• 29:16
  thing
• 29:16
  is
• 29:16
  a
• 29:16
  really
• 29:16
  good
• 29:17
  measure
• 29:17
  of,
• 29:17
  like,
• 29:17
  how
• 29:17
  you
• 29:18
  should
• 29:18
  be
• 29:18
  thinking
• 29:18
  about
• 29:18
  value
• 29:19
  from
• 29:19
  a
• 29:19
  merchandising
• 29:20
  perspect.
• 29:20
  The
• 29:20
  other
• 29:21
  thing
• 29:21
  I
• 29:21
  love
• 29:21
  about
• 29:21
  what
• 29:21
  you
• 29:22
  said
• 29:22
  too,
• 29:22
  Ethan,
• 29:22
  is
• 29:23
  I
• 29:23
  think
• 29:23
  you're
• 29:23
  100%
• 29:24
  right.
• 29:25
  Value,
• 29:25
  to
• 29:25
  me,
• 29:26
  is
• 29:26
  what
• 29:26
  you're
• 29:26
  showing
• 29:26
  on
• 29:27
  these
• 29:27
  slides.
• 29:28
  It
• 29:28
  is
• 29:28
  the
• 29:28
  output.
• 29:29
  It
• 29:29
  is
• 29:29
  the
• 29:30
  measure
• 29:30
  of
• 29:30
  the
• 29:30
  output.
• 29:31
  Like,
• 29:31
  what
• 29:31
  the
• 29:32
  traffic
• 29:32
  number
• 29:32
  is
• 29:32
  tells
• 29:33
  me
• 29:33
  how
• 29:33
  much
• 29:33
  value
• 29:34
  there
• 29:34
  is
• 29:34
  relative
• 29:34
  at
• 29:35
  that
• 29:35
  retailer
• 29:35
  versus
• 29:36
  another.
• 29:37
  Okay.
• 29:38
  I
• 29:38
  think
• 29:38
  the
• 29:39
  other
• 29:39
  thing
• 29:39
  that
• 29:39
  I
• 29:39
  guess
• 29:39
  I
• 29:40
  would
• 29:40
  question
• 29:40
  here
• 29:40
  is
• 29:41
  value
• 29:41
  according
• 29:42
  to
• 29:42
  which
• 29:42
  category.
• 29:43
  Like,
• 29:43
  if
• 29:43
  we're
• 29:44
  looking
• 29:44
  specifically
• 29:44
  at
• 29:45
  dollar
• 29:45
  store.
• 29:45
  Yes.
• 29:46
  There's,
• 29:47
  there's.
• 29:47
  Do
• 29:48
  people
• 29:48
  care
• 29:48
  what
• 29:49
  plates
• 29:49
  they're
• 29:50
  using
• 29:50
  for
• 29:50
  a
• 29:50
  party
• 29:51
  or
• 29:51
  you
• 29:52
  know,
• 29:52
  the
• 29:52
  basic
• 29:52
  home
• 29:53
  essentials
• 29:53
  that
• 29:53
  you're
• 29:54
  buy
• 29:54
  the
• 29:54
  party
• 29:54
  supplies?
• 29:55
  Those
• 29:55
  kinds
• 29:55
  of
• 29:55
  things
• 29:56
  are
• 29:56
  though,
• 29:56
  is
• 29:56
  that
• 29:56
  a
• 29:57
  category
• 29:57
  where
• 29:58
  it
• 29:58
  like
• 29:59
  value
• 29:59
  and
• 29:59
  cost
• 30:00
  is
• 30:00
  important?
• 30:00
  Yeah,
• 30:01
  because
• 30:01
  you
• 30:01
  can,
• 30:01
  you
• 30:01
  know,
• 30:02
  you
• 30:02
  can
• 30:02
  go
• 30:02
  to
• 30:02
  a
• 30:02
  dollar
• 30:03
  store
• 30:03
  and
• 30:03
  get
• 30:03
  all
• 30:03
  these
• 30:04
  things.
• 30:04
  But
• 30:04
  I
• 30:04
  think
• 30:05
  that
• 30:05
  changes
• 30:05
  when
• 30:06
  we
• 30:06
  start
• 30:06
  to
• 30:06
  get
• 30:06
  into
• 30:07
  other
• 30:07
  categories
• 30:07
  like
• 30:08
  apparel.
• 30:08
  I
• 30:08
  think
• 30:09
  it
• 30:09
  starts
• 30:09
  to
• 30:09
  change
• 30:09
  when
• 30:10
  we
• 30:10
  get
• 30:10
  into
• 30:10
  categories
• 30:10
  like
• 30:11
  beauty,
• 30:11
  where
• 30:12
  value
• 30:13
  is
• 30:13
  actually,
• 30:14
  you
• 30:14
  know,
• 30:15
  more
• 30:15
  along
• 30:15
  the
• 30:15
  lines
• 30:16
  of
• 30:16
  the
• 30:16
  art
• 30:16
  of
• 30:16
  what
• 30:16
  Chris
• 30:17
  is
• 30:17
  talking
• 30:17
  about
• 30:17
  than
• 30:18
  it
• 30:18
  is
• 30:18
  about,
• 30:18
  you
• 30:19
  know,
• 30:19
  what's
• 30:19
  the
• 30:19
  cost
• 30:19
  and
• 30:20
  how
• 30:20
  does
• 30:20
  that
• 30:20
  drive
• 30:21
  traffic
• 30:21
  for
• 30:22
  one
• 30:22
  specific
• 30:22
  category?
• 30:23
  So
• 30:23
  that's
• 30:23
  the
• 30:24
  one
• 30:24
  like
• 30:24
  question
• 30:25
  I
• 30:25
  guess
• 30:25
  I
• 30:25
  would
• 30:26
  raise
• 30:26
  when
• 30:26
  we're
• 30:26
  looking
• 30:27
  at
• 30:27
  the
• 30:27
  value
• 30:27
  question
• 30:28
  as
• 30:29
  it
• 30:29
  compares
• 30:29
  in
• 30:30
  a
• 30:30
  dollar
• 30:30
  store
• 30:31
  set
• 30:31
  versus,
• 30:32
  you
• 30:32
  know,
• 30:32
  even
• 30:33
  a
• 30:33
  general
• 30:33
  merchandise
• 30:34
  store
• 30:34
  like
• 30:34
  a
• 30:34
  Walmart
• 30:35
  or,
• 30:35
  or
• 30:36
  apparel
• 30:36
  or
• 30:36
  department
• 30:37
  store.
• 30:37
  All
• 30:38
  great
• 30:38
  points.
• 30:38
  All
• 30:39
  great
• 30:39
  points.
• 30:39
  I
• 30:39
  think
• 30:39
  I
• 30:40
  realized
• 30:40
  that
• 30:40
  I
• 30:40
  was
• 30:40
  using
• 30:41
  value
• 30:41
  in
• 30:41
  a
• 30:41
  terminology
• 30:42
  in
• 30:43
  a
• 30:43
  way
• 30:43
  that
• 30:43
  was
• 30:43
  like,
• 30:44
  it
• 30:44
  doesn't
• 30:45
  actually
• 30:45
  mean
• 30:45
  anything.
• 30:46
  Like
• 30:46
  it's,
• 30:46
  it's.
• 30:47
  And
• 30:47
  therefore,
• 30:49
  at
• 30:49
  least
• 30:49
  for
• 30:49
  me,
• 30:50
  like,
• 30:50
  I
• 30:50
  agree
• 30:50
  with
• 30:51
  everything
• 30:51
  you're
• 30:51
  saying
• 30:51
  and
• 30:51
  I
• 30:51
  think
• 30:51
  there
• 30:52
  are
• 30:52
  people
• 30:52
  who
• 30:52
  do
• 30:52
  a
• 30:52
  good
• 30:52
  job
• 30:52
  of
• 30:53
  expressing
• 30:53
  it.
• 30:53
  I
• 30:54
  wasn't.
• 30:54
  All
• 30:54
  right,
• 30:54
  I
• 30:55
  want
• 30:55
  to
• 30:55
  get
• 30:55
  to
• 30:55
  one
• 30:55
  more.
• 30:55
  I
• 30:56
  know,
• 30:56
  I
• 30:56
  know
• 30:56
  we're
• 30:56
  running
• 30:56
  over.
• 30:57
  The
• 30:58
  reason
• 30:58
  I
• 30:58
  couldn't
• 30:58
  cut
• 30:59
  this
• 30:59
  one
• 30:59
  was
• 31:00
  because
• 31:00
  I
• 31:00
  think
• 31:00
  it
• 31:01
  might
• 31:01
  be,
• 31:01
  I
• 31:02
  think
• 31:02
  the
• 31:02
  two
• 31:02
  most
• 31:02
  important
• 31:03
  changes
• 31:03
  in
• 31:04
  underlying
• 31:05
  foundational
• 31:05
  changes
• 31:06
  from
• 31:06
  a
• 31:06
  trend
• 31:06
  perspective.
• 31:07
  The
• 31:07
  first
• 31:08
  is
• 31:08
  consumers
• 31:09
  going
• 31:09
  to
• 31:09
  more
• 31:09
  locations,
• 31:10
  spending
• 31:10
  less
• 31:10
  time
• 31:10
  at
• 31:11
  each
• 31:11
  location
• 31:11
  and
• 31:11
  really
• 31:11
  chasing
• 31:13
  products
• 31:13
  that
• 31:13
  they
• 31:13
  love,
• 31:14
  value
• 31:15
  and,
• 31:16
  and,
• 31:16
  and
• 31:16
  experience.
• 31:18
  I
• 31:18
  think
• 31:19
  this
• 31:19
  is
• 31:19
  the
• 31:19
  other
• 31:19
  one
• 31:20
  and
• 31:20
  it's
• 31:20
  the
• 31:20
  phases
• 31:21
  of
• 31:21
  the
• 31:22
  suburban
• 31:22
  shift.
• 31:23
  And
• 31:25
  one
• 31:25
  of
• 31:25
  the
• 31:25
  things
• 31:25
  that's
• 31:26
  important
• 31:26
  here
• 31:26
  is
• 31:27
  again,
• 31:27
  we,
• 31:28
  we've
• 31:28
  talked
• 31:28
  about
• 31:28
  this
• 31:28
  before,
• 31:29
  but
• 31:29
  there
• 31:29
  is,
• 31:29
  there
• 31:30
  is
• 31:30
  waves
• 31:30
  of
• 31:30
  this.
• 31:31
  People
• 31:31
  move
• 31:31
  from
• 31:32
  the
• 31:32
  city
• 31:32
  into
• 31:32
  the
• 31:33
  suburbs.
• 31:33
  There's
• 31:34
  a
• 31:34
  first
• 31:34
  time
• 31:34
  demand
• 31:34
  of
• 31:35
  places
• 31:35
  that
• 31:35
  you
• 31:35
  didn't
• 31:35
  have
• 31:36
  access
• 31:36
  to
• 31:36
  and
• 31:36
  now
• 31:36
  you
• 31:36
  have
• 31:36
  access
• 31:37
  to.
• 31:37
  Amazing.
• 31:38
  You
• 31:38
  have
• 31:39
  a
• 31:39
  second
• 31:39
  level
• 31:39
  where
• 31:39
  retailers
• 31:40
  come
• 31:40
  to
• 31:40
  those
• 31:40
  areas
• 31:40
  to
• 31:41
  chase.
• 31:42
  But
• 31:42
  then
• 31:42
  you
• 31:42
  have
• 31:42
  a
• 31:42
  third
• 31:42
  that
• 31:43
  inherently
• 31:43
  lags
• 31:44
  behind,
• 31:44
  which
• 31:44
  is
• 31:45
  the
• 31:45
  real
• 31:45
  estate
• 31:46
  component.
• 31:46
  The
• 31:47
  shopping
• 31:47
  centers
• 31:47
  start
• 31:48
  to
• 31:48
  evolve
• 31:48
  in
• 31:48
  order
• 31:48
  to
• 31:49
  meet
• 31:49
  these
• 31:49
  demands.
• 31:50
  They
• 31:50
  start
• 31:50
  changing
• 31:51
  their
• 31:51
  perspective
• 31:51
  from
• 31:51
  a
• 31:51
  place
• 31:52
  making
• 31:52
  point
• 31:52
  of
• 31:53
  view.
• 31:53
  So
• 31:53
  the
• 31:54
  way
• 31:54
  that
• 31:54
  they
• 31:54
  build
• 31:54
  the
• 31:55
  centers
• 31:55
  is
• 31:55
  different
• 31:56
  in
• 31:56
  order
• 31:56
  to
• 31:56
  drive
• 31:58
  people
• 31:58
  to
• 31:59
  those
• 31:59
  places.
• 31:59
  And
• 32:00
  I'll
• 32:00
  give
• 32:00
  you
• 32:00
  a
• 32:00
  weird
• 32:00
  example
• 32:01
  that
• 32:01
  I
• 32:01
  think
• 32:01
  makes
• 32:01
  a
• 32:01
  point
• 32:02
  none
• 32:03
  of
• 32:03
  us
• 32:03
  would
• 32:03
  say
• 32:03
  five
• 32:04
  Below
• 32:04
  is
• 32:04
  a
• 32:04
  premium
• 32:05
  category,
• 32:05
  right.
• 32:06
  We
• 32:06
  would
• 32:06
  put
• 32:06
  them
• 32:07
  clearly
• 32:07
  in
• 32:07
  the
• 32:07
  discounted
• 32:07
  dollar
• 32:08
  lane.
• 32:08
  Amazing
• 32:08
  retailer.
• 32:10
  There
• 32:10
  I
• 32:11
  was
• 32:11
  sitting
• 32:11
  at
• 32:11
  a,
• 32:11
  in
• 32:12
  a
• 32:12
  shopping
• 32:12
  center
• 32:12
  where
• 32:12
  they
• 32:13
  had
• 32:13
  this
• 32:13
  really
• 32:14
  exciting
• 32:14
  high
• 32:14
  end
• 32:15
  coffee
• 32:15
  chain
• 32:15
  called
• 32:16
  Pura
• 32:16
  Vida
• 32:16
  that's
• 32:16
  like
• 32:17
  exploding
• 32:17
  in
• 32:17
  South
• 32:17
  Florida
• 32:18
  and
• 32:18
  like
• 32:18
  other
• 32:18
  places.
• 32:19
  And
• 32:20
  it
• 32:20
  had
• 32:20
  this
• 32:21
  kind
• 32:21
  of
• 32:21
  chic,
• 32:22
  high
• 32:22
  end
• 32:23
  audience
• 32:23
  all
• 32:23
  buzzing
• 32:24
  around
• 32:24
  and
• 32:24
  a
• 32:25
  lot
• 32:25
  of
• 32:25
  them
• 32:25
  after
• 32:25
  going
• 32:25
  to
• 32:26
  the
• 32:26
  coffee
• 32:26
  were
• 32:26
  walking
• 32:26
  across
• 32:27
  the
• 32:27
  street
• 32:27
  into
• 32:27
  the
• 32:27
  five
• 32:28
  below.
• 32:28
  And
• 32:29
  I
• 32:29
  think
• 32:29
  that
• 32:29
  there's
• 32:29
  this
• 32:30
  point
• 32:31
  is
• 32:31
  not
• 32:31
  that
• 32:31
  like
• 32:31
  Five
• 32:32
  Below
• 32:32
  is
• 32:32
  now
• 32:32
  becoming
• 32:32
  chic,
• 32:33
  but
• 32:33
  as
• 32:33
  you
• 32:33
  start
• 32:34
  bringing
• 32:34
  more
• 32:35
  of
• 32:35
  these
• 32:35
  players
• 32:35
  into
• 32:36
  these
• 32:36
  suburban
• 32:36
  environments,
• 32:37
  it's
• 32:38
  going
• 32:38
  to
• 32:38
  be
• 32:38
  more
• 32:38
  attractive
• 32:39
  for
• 32:39
  types
• 32:39
  of
• 32:39
  retailers
• 32:40
  that
• 32:40
  would
• 32:40
  have
• 32:40
  never
• 32:40
  considered
• 32:41
  those
• 32:41
  environments
• 32:41
  in
• 32:41
  the
• 32:42
  past
• 32:42
  to
• 32:42
  start
• 32:43
  considering
• 32:43
  them.
• 32:44
  Which
• 32:44
  means
• 32:44
  that
• 32:44
  those
• 32:44
  areas
• 32:45
  are
• 32:45
  going
• 32:45
  to
• 32:45
  fundamentally
• 32:45
  change
• 32:46
  and
• 32:46
  it's
• 32:46
  going
• 32:46
  to
• 32:46
  shift
• 32:47
  the
• 32:47
  center
• 32:47
  of
• 32:47
  gravity,
• 32:48
  but
• 32:48
  it's
• 32:48
  lagging
• 32:49
  because
• 32:49
  you
• 32:49
  need
• 32:49
  to
• 32:50
  build,
• 32:50
  you
• 32:50
  need
• 32:50
  to
• 32:50
  create,
• 32:51
  you
• 32:51
  need
• 32:51
  to
• 32:51
  make
• 32:51
  changes.
• 32:52
  And
• 32:52
  so
• 32:52
  I
• 32:52
  think
• 32:52
  we're
• 32:52
  going
• 32:52
  to
• 32:52
  start
• 32:53
  seeing
• 32:53
  this
• 32:54
  year,
• 32:54
  next
• 32:54
  year,
• 32:54
  in
• 32:55
  the
• 32:55
  coming
• 32:55
  years,
• 32:56
  the
• 32:56
  actual
• 32:57
  after
• 32:57
  effects
• 32:57
  of
• 32:58
  people
• 32:58
  realizing
• 32:58
  that
• 32:59
  there
• 32:59
  was
• 32:59
  a
• 32:59
  suburban
• 32:59
  shift
• 33:00
  three
• 33:00
  to
• 33:01
  four
• 33:01
  years
• 33:01
  ago.
• 33:01
  I've
• 33:02
  not
• 33:02
  thought
• 33:02
  about
• 33:02
  that.
• 33:02
  That's
• 33:03
  a
• 33:03
  really
• 33:03
  good
• 33:03
  point.
• 33:03
  It
• 33:04
  doesn't
• 33:04
  surprise
• 33:04
  me
• 33:04
  though,
• 33:04
  given
• 33:05
  that
• 33:05
  we've
• 33:05
  had
• 33:05
  you
• 33:05
  on
• 33:05
  the
• 33:05
  show
• 33:06
  talking
• 33:06
  about
• 33:06
  this,
• 33:06
  this
• 33:07
  shift
• 33:07
  in
• 33:07
  the
• 33:07
  past.
• 33:08
  So
• 33:08
  you
• 33:08
  think
• 33:09
  it's
• 33:09
  going
• 33:09
  to
• 33:09
  become
• 33:09
  even
• 33:09
  more
• 33:09
  augmented
• 33:10
  here
• 33:10
  going
• 33:10
  forward?
• 33:11
  I
• 33:11
  think
• 33:11
  it's
• 33:11
  going
• 33:11
  to
• 33:12
  be
• 33:12
  enormous.
• 33:13
  I
• 33:13
  think
• 33:14
  that's
• 33:14
  the
• 33:14
  reason,
• 33:14
  like
• 33:14
  I
• 33:15
  think
• 33:15
  this
• 33:15
  is
• 33:16
  massive
• 33:17
  because
• 33:18
  if
• 33:18
  great
• 33:18
  shopping
• 33:19
  centers
• 33:19
  and
• 33:20
  they
• 33:20
  start
• 33:20
  getting
• 33:20
  more
• 33:20
  high
• 33:21
  end,
• 33:21
  they
• 33:21
  start
• 33:21
  getting
• 33:21
  exciting,
• 33:22
  people
• 33:22
  want
• 33:22
  to
• 33:22
  spend
• 33:22
  more
• 33:22
  time
• 33:23
  there.
• 33:23
  And
• 33:23
  if
• 33:23
  they
• 33:23
  want
• 33:24
  to
• 33:24
  spend
• 33:24
  more
• 33:24
  time
• 33:24
  there,
• 33:24
  all
• 33:24
  of
• 33:24
  a
• 33:24
  sudden
• 33:25
  retailers
• 33:25
  and
• 33:25
  restaurant
• 33:26
  chains
• 33:26
  and
• 33:26
  places
• 33:27
  that
• 33:27
  wouldn't
• 33:27
  have
• 33:27
  expected
• 33:27
  to
• 33:27
  be
• 33:28
  there
• 33:28
  in
• 33:28
  the
• 33:28
  past
• 33:28
  are
• 33:28
  like,
• 33:28
  maybe
• 33:29
  I
• 33:29
  should
• 33:29
  consider
• 33:29
  this
• 33:29
  place
• 33:30
  because
• 33:30
  there's
• 33:30
  not
• 33:30
  enough
• 33:30
  great
• 33:31
  locations.
• 33:31
  So
• 33:31
  now
• 33:31
  I
• 33:32
  want
• 33:32
  to
• 33:32
  go
• 33:32
  there
• 33:32
  to
• 33:32
  chase
• 33:32
  this
• 33:32
  audience,
• 33:33
  audience.
• 33:33
  And
• 33:33
  so
• 33:34
  there
• 33:34
  are
• 33:34
  ripples.
• 33:35
  If
• 33:35
  this
• 33:36
  goes,
• 33:36
  it
• 33:37
  changes
• 33:37
  the
• 33:37
  landscape
• 33:38
  in
• 33:38
  a
• 33:38
  really
• 33:38
  powerful
• 33:39
  way.
• 33:39
  Ethan.
• 33:39
  I
• 33:40
  think
• 33:40
  that
• 33:40
  there's
• 33:40
  also
• 33:40
  this
• 33:41
  component
• 33:41
  of,
• 33:42
  you
• 33:42
  know
• 33:42
  what,
• 33:43
  not
• 33:43
  to
• 33:44
  bring
• 33:44
  in
• 33:44
  the
• 33:44
  value
• 33:44
  equation
• 33:45
  again.
• 33:45
  But
• 33:45
  the
• 33:46
  things
• 33:46
  that
• 33:46
  we're
• 33:46
  looking
• 33:46
  at
• 33:46
  on
• 33:46
  the
• 33:47
  slide
• 33:47
  are
• 33:47
  Nordstrom
• 33:47
  Rack
• 33:48
  and
• 33:48
  Ross
• 33:48
  Dress
• 33:48
  for
• 33:49
  Less.
• 33:49
  And
• 33:49
  I
• 33:50
  think
• 33:50
  when
• 33:50
  you
• 33:50
  look
• 33:50
  at
• 33:51
  what's
• 33:51
  driving
• 33:52
  the
• 33:52
  next
• 33:52
  generation
• 33:53
  to
• 33:53
  those
• 33:53
  suburban
• 33:54
  shopping
• 33:54
  centers,
• 33:55
  they
• 33:55
  are
• 33:56
  looking
• 33:56
  for
• 33:56
  value,
• 33:57
  they
• 33:57
  are
• 33:57
  looking
• 33:58
  for
• 33:58
  price.
• 33:58
  And
• 33:58
  so
• 33:58
  I
• 33:59
  think
• 33:59
  that
• 33:59
  this,
• 33:59
  this,
• 33:59
  this,
• 34:00
  these
• 34:00
  two
• 34:01
  obviously
• 34:01
  Nordstrom
• 34:02
  Rack
• 34:03
  and
• 34:03
  Ross
• 34:03
  Dress
• 34:03
  for
• 34:03
  Less
• 34:04
  are
• 34:04
  hitting
• 34:04
  on
• 34:04
  that
• 34:04
  higher
• 34:05
  quality,
• 34:06
  lower
• 34:06
  price
• 34:06
  point
• 34:07
  in
• 34:07
  the,
• 34:08
  in
• 34:08
  that
• 34:08
  like
• 34:09
  value
• 34:09
  equation.
• 34:09
  But
• 34:10
  then
• 34:10
  you
• 34:10
  also
• 34:10
  have
• 34:11
  five
• 34:11
  below,
• 34:11
  which
• 34:11
  is
• 34:11
  the,
• 34:12
  you
• 34:12
  know,
• 34:12
  destination
• 34:13
  for
• 34:14
  that
• 34:14
  next
• 34:14
  generation.
• 34:15
  That
• 34:15
  is
• 34:15
  the
• 34:15
  thing
• 34:16
  that
• 34:16
  they're
• 34:16
  wanting
• 34:16
  to
• 34:16
  go
• 34:17
  and
• 34:17
  do.
• 34:17
  And
• 34:18
  so
• 34:18
  I,
• 34:18
  I
• 34:18
  wouldn't
• 34:18
  be
• 34:18
  surprised
• 34:19
  if
• 34:19
  we
• 34:19
  continue
• 34:20
  to
• 34:20
  see,
• 34:20
  as
• 34:20
  you're
• 34:21
  suggesting,
• 34:21
  I
• 34:21
  think
• 34:22
  this
• 34:22
  mix
• 34:23
  of
• 34:23
  like,
• 34:24
  what's,
• 34:25
  what's
• 34:25
  the
• 34:25
  value
• 34:25
  that
• 34:26
  you
• 34:26
  get
• 34:26
  from
• 34:26
  going
• 34:27
  to
• 34:27
  these
• 34:27
  places,
• 34:28
  walking
• 34:28
  around,
• 34:28
  grabbing
• 34:29
  your
• 34:29
  coffee
• 34:30
  and
• 34:30
  shopping
• 34:30
  and
• 34:30
  getting
• 34:31
  all
• 34:31
  you
• 34:31
  need
• 34:32
  from
• 34:32
  a
• 34:32
  variety
• 34:33
  of
• 34:33
  retailers
• 34:33
  that
• 34:34
  offer
• 34:34
  value
• 34:34
  in
• 34:34
  different
• 34:35
  ways.
• 34:35
  And
• 34:35
  this
• 34:36
  redefined
• 34:36
  chic,
• 34:37
  like,
• 34:37
  what's
• 34:37
  cool,
• 34:38
  what's
• 34:38
  exciting,
• 34:39
  belongs
• 34:39
  together
• 34:39
  as
• 34:40
  a
• 34:40
  result.
• 34:40
  One
• 34:41
  last
• 34:41
  like
• 34:41
  thing
• 34:41
  I'll
• 34:41
  say
• 34:42
  about
• 34:42
  this
• 34:42
  is
• 34:43
  we
• 34:43
  were
• 34:44
  once
• 34:44
  talking
• 34:44
  to
• 34:44
  a
• 34:44
  mall
• 34:45
  owner
• 34:45
  who
• 34:45
  said
• 34:45
  a
• 34:45
  mall
• 34:46
  is
• 34:46
  the
• 34:46
  sum
• 34:46
  of
• 34:47
  its
• 34:47
  parts.
• 34:47
  So
• 34:47
  the
• 34:48
  brand
• 34:48
  of
• 34:48
  a
• 34:48
  mall
• 34:48
  is
• 34:49
  based
• 34:49
  on
• 34:49
  the
• 34:49
  retailers
• 34:50
  that
• 34:50
  are
• 34:50
  in
• 34:50
  there.
• 34:50
  And
• 34:51
  we
• 34:51
  push
• 34:51
  back
• 34:51
  pretty
• 34:51
  hard.
• 34:52
  I
• 34:52
  grew
• 34:52
  up
• 34:52
  in
• 34:52
  New
• 34:52
  Jersey.
• 34:53
  The
• 34:53
  Short
• 34:53
  Hills
• 34:54
  Mall
• 34:54
  in
• 34:54
  New
• 34:54
  Jersey
• 34:54
  is
• 34:55
  the
• 34:55
  fancy
• 34:55
  mall
• 34:55
  in
• 34:56
  our
• 34:56
  area.
• 34:57
  If
• 34:57
  you
• 34:57
  are,
• 34:58
  I
• 34:58
  don't
• 34:58
  know,
• 34:58
  Ethan's
• 34:59
  Boutique
• 34:59
  Beauty
• 35:00
  Shop
• 35:01
  coming
• 35:01
  soon.
• 35:02
  And
• 35:02
  I
• 35:03
  launch
• 35:03
  in
• 35:03
  the
• 35:03
  Short
• 35:04
  Hills
• 35:04
  Mall.
• 35:04
  I'm
• 35:05
  immediately
• 35:05
  fancy.
• 35:06
  So
• 35:07
  there
• 35:07
  is,
• 35:07
  yes,
• 35:08
  a
• 35:08
  mall
• 35:08
  is
• 35:08
  the
• 35:09
  sum
• 35:09
  of
• 35:09
  its
• 35:09
  parts,
• 35:09
  but
• 35:10
  it
• 35:10
  also
• 35:10
  over
• 35:11
  time
• 35:11
  becomes
• 35:12
  that
• 35:13
  and
• 35:13
  can
• 35:14
  imbue
• 35:14
  that
• 35:14
  brand
• 35:15
  onto
• 35:15
  the
• 35:15
  places
• 35:15
  that
• 35:16
  come
• 35:16
  inside
• 35:16
  of
• 35:16
  it.
• 35:17
  And
• 35:17
  I
• 35:17
  think
• 35:17
  as
• 35:17
  these
• 35:17
  shopping
• 35:18
  centers
• 35:18
  change,
• 35:18
  it
• 35:19
  changes
• 35:19
  the
• 35:19
  things
• 35:20
  that
• 35:20
  brands
• 35:20
  can
• 35:20
  get
• 35:21
  from
• 35:21
  being
• 35:21
  inside
• 35:22
  of
• 35:22
  them.
• 35:23
  So
• 35:23
  put
• 35:23
  some
• 35:23
  tangibility
• 35:24
  to
• 35:24
  this
• 35:24
  discussion
• 35:24
  to
• 35:25
  me.
• 35:25
  So
• 35:25
  like,
• 35:26
  so
• 35:26
  if
• 35:26
  you
• 35:26
  say
• 35:26
  like
• 35:27
  the
• 35:27
  average
• 35:28
  suburban
• 35:29
  shopping
• 35:29
  center
• 35:30
  that
• 35:30
  you're,
• 35:31
  you're
• 35:31
  talking
• 35:31
  about
• 35:32
  now
• 35:32
  is
• 35:32
  X,
• 35:33
  what
• 35:33
  do
• 35:33
  you
• 35:33
  envision
• 35:34
  it
• 35:34
  turning
• 35:34
  into
• 35:35
  five
• 35:36
  years
• 35:36
  from
• 35:36
  now?
• 35:37
  I
• 35:37
  think
• 35:38
  it's
• 35:38
  going
• 35:38
  to
• 35:38
  have
• 35:39
  more
• 35:40
  high
• 35:40
  end
• 35:41
  coffee
• 35:41
  places
• 35:41
  and
• 35:42
  restaurants.
• 35:42
  I
• 35:42
  think
• 35:42
  you're
• 35:43
  going
• 35:43
  to
• 35:43
  see
• 35:43
  more
• 35:43
  people
• 35:43
  sitting
• 35:44
  there
• 35:44
  throughout
• 35:44
  the
• 35:44
  day.
• 35:45
  I
• 35:45
  think
• 35:45
  you're
• 35:46
  going
• 35:46
  to
• 35:46
  have
• 35:46
  more
• 35:47
  digitally
• 35:47
  natives
• 35:48
  that
• 35:48
  are
• 35:48
  thinking
• 35:48
  about
• 35:49
  their
• 35:49
  10
• 35:49
  to
• 35:50
  30
• 35:50
  locations.
• 35:51
  Okay.
• 35:51
  You're
• 35:52
  going
• 35:52
  to
• 35:52
  find
• 35:52
  that
• 35:52
  some
• 35:52
  of
• 35:52
  them
• 35:52
  are
• 35:53
  in
• 35:53
  these,
• 35:53
  they're
• 35:53
  in
• 35:53
  the
• 35:53
  major
• 35:54
  malls,
• 35:54
  they're
• 35:54
  in
• 35:54
  some
• 35:54
  big
• 35:54
  cities
• 35:55
  and
• 35:55
  then
• 35:55
  they're
• 35:55
  also
• 35:55
  in
• 35:55
  these
• 35:56
  random,
• 35:56
  like,
• 35:56
  why
• 35:56
  are
• 35:56
  you
• 35:57
  in
• 35:57
  this
• 35:57
  suburban,
• 35:58
  high
• 35:58
  end,
• 35:58
  open
• 35:59
  air
• 35:59
  shopping
• 35:59
  center,
• 35:59
  high
• 36:00
  traffic
• 36:00
  area?
• 36:00
  I
• 36:01
  think
• 36:01
  there's
• 36:02
  going
• 36:02
  to
• 36:02
  be
• 36:02
  an
• 36:02
  attraction
• 36:03
  of
• 36:03
  the
• 36:03
  places
• 36:03
  that
• 36:03
  you
• 36:04
  wouldn't
• 36:04
  normally
• 36:04
  expect
• 36:05
  and
• 36:05
  it's
• 36:05
  going
• 36:05
  to
• 36:05
  change
• 36:05
  the
• 36:06
  dynamic.
• 36:07
  And
• 36:07
  part
• 36:07
  of
• 36:07
  this
• 36:07
  is
• 36:07
  going
• 36:08
  to
• 36:08
  be
• 36:08
  driven
• 36:08
  by
• 36:08
  the
• 36:08
  fact
• 36:08
  that
• 36:08
  there's
• 36:09
  just
• 36:09
  not
• 36:09
  enough
• 36:09
  space.
• 36:09
  So
• 36:10
  that
• 36:10
  competition
• 36:10
  for
• 36:10
  space,
• 36:11
  you
• 36:11
  know,
• 36:11
  if
• 36:11
  it's
• 36:12
  great
• 36:12
  spaces
• 36:12
  in
• 36:12
  the
• 36:12
  suburban
• 36:13
  environment,
• 36:13
  the
• 36:13
  suburban
• 36:14
  environment
• 36:14
  is
• 36:14
  getting
• 36:14
  more
• 36:14
  exciting.
• 36:15
  All
• 36:15
  right,
• 36:15
  let's
• 36:16
  take
• 36:16
  that
• 36:16
  dart
• 36:16
  throw
• 36:16
  because
• 36:17
  there
• 36:17
  aren't
• 36:17
  enough
• 36:17
  places
• 36:17
  to
• 36:18
  go.
• 36:19
  Right?
• 36:19
  Right.
• 36:19
  Okay.
• 36:20
  Wow.
• 36:20
  Be
• 36:20
  fun
• 36:21
  to
• 36:21
  watch.
• 36:21
  Fun
• 36:21
  to
• 36:21
  watch,
• 36:21
  for
• 36:22
  sure.
• 36:22
  All
• 36:22
  right.
• 36:22
  Is
• 36:23
  that
• 36:23
  it,
• 36:23
  or
• 36:23
  do
• 36:23
  you
• 36:23
  have
• 36:23
  something
• 36:24
  else
• 36:24
  for
• 36:24
  us?
• 36:25
  That's
• 36:25
  what
• 36:25
  I've
• 36:25
  got,
• 36:25
  guys.
• 36:26
  You're
• 36:26
  out.
• 36:27
  You're
• 36:27
  out.
• 36:27
  All
• 36:28
  right.
• 36:28
  All
• 36:28
  right.
• 36:29
  Well,
• 36:29
  that
• 36:29
  was
• 36:29
  great,
• 36:29
  man.
• 36:30
  Thanks
• 36:30
  for
• 36:30
  doing
• 36:30
  that.
• 36:30
  Yes,
• 36:31
  thanks,
• 36:31
  Ethan,
• 36:31
  for
• 36:32
  playing
• 36:32
  along
• 36:32
  and
• 36:32
  letting
• 36:33
  us
• 36:33
  ask
• 36:33
  and
• 36:33
  pepper
• 36:34
  you
• 36:34
  with
• 36:34
  all
• 36:35
  kinds
• 36:35
  of
• 36:35
  questions,
• 36:36
  whether
• 36:36
  you
• 36:36
  were
• 36:37
  prepared
• 36:37
  for
• 36:37
  them
• 36:38
  or
• 36:38
  not.
• 36:38
  Yes.
• 36:39
  All
• 36:39
  right.
• 36:39
  Well,
• 36:39
  thank
• 36:39
  you,
• 36:40
  Ethan.
• 36:40
  We
• 36:41
  really
• 36:41
  appreciate
• 36:41
  you
• 36:42
  and
• 36:42
  your
• 36:42
  time
• 36:42
  and
• 36:43
  your
• 36:43
  research,
• 36:43
  as
• 36:44
  always.
• 36:45
  If
• 36:45
  people
• 36:45
  want
• 36:45
  to
• 36:45
  get
• 36:45
  in
• 36:46
  touch
• 36:46
  with
• 36:46
  you
• 36:46
  to
• 36:46
  learn
• 36:46
  more
• 36:47
  about
• 36:47
  Placer
• 36:48
  and
• 36:48
  how
• 36:49
  they
• 36:49
  can
• 36:49
  add
• 36:49
  insights
• 36:50
  like
• 36:50
  the
• 36:50
  ones
• 36:50
  you
• 36:51
  shared
• 36:51
  today
• 36:51
  to
• 36:51
  drive
• 36:51
  their
• 36:52
  business,
• 36:52
  what's
• 36:53
  the
• 36:53
  best
• 36:53
  place
• 36:53
  for
• 36:53
  them
• 36:54
  to
• 36:54
  do
• 36:54
  that?
• 36:55
  So
• 36:55
  you
• 36:55
  can
• 36:55
  reach
• 36:55
  out
• 36:55
  to
• 36:56
  me
• 36:56
  at
• 36:56
  ethanlacer
• 36:57
  AI.
• 36:58
  If
• 36:58
  you
• 36:58
  don't
• 36:58
  want
• 36:58
  to
• 36:58
  talk
• 36:58
  to
• 36:58
  me,
• 36:59
  you
• 36:59
  can
• 36:59
  reach
• 36:59
  out
• 36:59
  to
• 36:59
  IdeaSlacer
• 37:01
  AI
• 37:01
  or
• 37:01
  you
• 37:02
  just
• 37:02
  check
• 37:02
  out
• 37:02
  our
• 37:02
  website.
• 37:02
  We
• 37:03
  have
• 37:03
  a
• 37:03
  free
• 37:03
  version
• 37:04
  of
• 37:04
  our
• 37:04
  premium
• 37:04
  product.
• 37:05
  Excellent.
• 37:06
  Thank
• 37:06
  you
• 37:07
  so
• 37:07
  much.
• 37:07
  Thanks
• 37:07
  to
• 37:08
  all
• 37:08
  of
• 37:08
  you
• 37:08
  who
• 37:08
  followed
• 37:08
  along
• 37:09
  with
• 37:09
  us
• 37:09
  today
• 37:10
  live.
• 37:10
  That
• 37:10
  wraps
• 37:11
  us
• 37:11
  up.
• 37:12
  Thanks,
• 37:12
  Ethan
• 37:12
  Chernovsky
• 37:13
  of
• 37:13
  Placer
• 37:14
  AI
• 37:14
  for
• 37:14
  sitting
• 37:14
  down
• 37:15
  with
• 37:15
  us.
• 37:15
  And
• 37:16
  thank
• 37:16
  you
• 37:16
  to
• 37:16
  our
• 37:17
  producer,
• 37:17
  Ella
• 37:17
  Sirjord,
• 37:18
  who
• 37:19
  brought
• 37:19
  you
• 37:20
  all
• 37:20
  of
• 37:20
  this
• 37:20
  content.
• 37:21
  As
• 37:21
  always,
• 37:22
  on
• 37:22
  behalf
• 37:22
  of
• 37:22
  all
• 37:22
  of
• 37:23
  us
• 37:23
  here
• 37:23
  at
• 37:23
  Omniton,
• 37:24
  be
• 37:24
  careful
• 37:24
  out
• 37:24
  there.