Sharon M. Leite

Retail design always is a meaningful part of the #retail experience, and I enjoyed sharing my insight with National Jeweler on how design is impacting store design and consumer engagement alike. What are your thoughts on how merchandising + design impact stores… jewelry focused like discussed here or any category of retail?

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"We thought, ‘We can do more with a lot less,’ and that didn’t work out for us.” On the back of #TerribleHorribleNoGoodVeryBad quarterly results, it's quite refreshing to hear Kohl's (outgoing) CEO speak so openly about the current state of the business and the decisions they / he made that did not work out. The full transcript (link in the comments) is worth a read. CEO Tom Kingsbury started with ... "Over the last several quarters, we have implemented a significant amount of change across our assortment, value strategies, and in-store experience. We believe these actions will make us more competitive over the long term. However, we undervalued the short-term impact this change could have on our sales performance." And then went into details on the three areas that drove performance: "a decline in traffic, especially early in the quarter, during the back-to-school season; a reduction in receipts in our private apparel brands, which impacted our ability to drive sales in our key value items; and categories where we have lost traction that represented opportunities for us going forward such as fine jewelry, petites and intimate apparel, and legacy home products." He didn't blame the macro environment or the weather, despite both playing a factor. Frankly, the only thing not addressed -- in the narrative nor in the Q&A -- was how to overcome the challenge of operating in the department store sector as a whole (for those not following closely, department stores have been in a 30-year decline). And yes, I imagine that knowing you're no longer in charge is part of why he was able to "own" the issues, effectively "cleaning the plate" for incoming CEO Ashley Buchanan. But still a welcome change from the "corporate speak" of most quarterly calls. https://lnkd.in/ez8PJ2t7

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Everyone knows product returns are a problem, but now the National Retail Federation (NRF), in research with Appriss, has spelled it out in stark terms: total returns for the retail industry amounted to $743 billion in merchandise in 2023. In addition, the total return rate as a percentage of sales in 2023 was 14.5 percent. Of that figure, the research shows that $101 billion are fraudulent returns, or 13.7 percent of total returns. #returnsmanagement #retail

Several large companies highlighted a change in consumer spending habits during their quarterly earnings calls last month. One trend is clear: consumers are becoming more value-conscious. One beneficiary of this trend is off-price retailers like TJ Maxx. In my latest Forbes post, I dive into the drivers of this trend and assess whether off-price retailers are a good investment right now.

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The Retail Monitor, a monthly survey from CNBC and the National Retail Federation (NRF), found that sales ticked up 0.26% from March to April. NRF CEO Matthew Shay attributed the modest increase to “a growing job market and real gains in wages,” but qualified that “consumers remain focused on value and price and are shifting their spending patterns where needed to make ends meet.” #retailsales #economicgrowth

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Returns cost retailers an estimated $743 billion in revenue last year, according to the National Retail Federation. That was actually an improvement from 2022, when retailers lost $816 billion on returns. But there's a smarter way forward with returns. By integrating returned products into the resale market, we can simultaneously recover value and reduce waste. This approach does require some investment in: • meticulous inspection • refurbishment • repackaging Advanced tracking systems and data analytics can make all the difference here. Technological innovations like these make the process of putting returns back on the shelf swift and efficient. Fortunately, new third-party vendors offer turnkey resale platforms for retailers. One great example is Recurate (acquired by Trove Recommerce), a startup in XRC Ventures’ portfolio. They provide seamless resale solutions for top brands like Michael Kors, Steve Madden, and The Frye Company. It’s exciting to see the innovation and investment going into this space. By transforming returns into resale opportunities, we not only minimize waste but also maximize value. Which means shoppers, retailers and the planet come out ahead.

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Great Bloomberg op-ed on why investing in retail store leaders is good for business. I love Andrea’s callout that big investments can raise eyebrows with analysts – like increasing our average Walmart store manager salary to $128,000/year with a new bonus program that gives store managers the potential to earn up to 200% of their base salary. But in the long run, she shows how these types of investments support retention, career growth, better run stores, strong stock value, and our ability to attract a broader range of customers.   Here are a couple of studies that stood out to me in Andrea’s piece: 💠 A 2012 study by Alex Edmans, Professor of Finance at the London Business School (then at Wharton School), found that firms on Fortune’s list of “100 Best Companies to Work for in America,” which have superior employee satisfaction scores on factors including pay and benefits, outperformed peers by 2.3-3.8% per year from 1984 through 2011. 💠 A follow-up study by Hamid Boustanifar, associate professor at the EDHEC Business School, and Young Dae Kang of the Bank of Korea found that the relationship still held: companies on the publication’s list earned an excess return of 2-2.7% per year through 2020, with particular outperformance during tough times.   At the end of the day, these investments also support the ability to build a pipeline of strong talent that stays and grows with a company. We want Walmart to be seen as an employer of choice and pay plays a big part in how we attract and retain talented people. #Compensation #TeamWalmart https://lnkd.in/gPVdAYG4

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An article in The Business of Fashion on "Fashion's Golden Opportunity With Older Shoppers"... Is total and complete BS. There is an opportunity across ALL shoppers. Dividing them up by descriptors that have been used for decades is just not going to cut it anymore. While teaching fashion marketing at Fashion Institute of Technology last Fall, there were modules on generations and how they spend, how they consume information, etc. I had to add caveats to each statement in the textbook because you can't make these types of assumptions anymore. This is an old school way of marketing. We can't put customers into these buckets anymore as there are so many other data points to consider. The affluent customer shops at Walmart, Target and Costco Wholesale. The tech boom will go through another cycle and you will have more younger customers with disposable income. Resale luxury is bought by Gen Z to the boomer. Generalizing is a wasted effort and it's what gets retailers in trouble with excess inventory to irrelevant product assortments. The customer has evolved across generations and we need to stop generalizing to avoid marketers look at the data in just 1 way. #retail #retailnews #fashion #fashionmarketing #bof

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Key EMARKETER stat: US ecommerce resale volume will hit $80.60 billion this year, a growth of 3.4% YoY, per our December 2023 forecast. Beyond the chart: Ecommerce resale volume is returning to growth after a 6.9% dip YoY in 2022 and a 2.5% one in 2023, per eMarketer forecast. But it still hasn’t returned to its pandemic high of $85.87 billion in 2021. Growth in the number of online fashion buyers has slowed, leading platforms to search for strategies to boost order values by offering luxury goods and courting wealthy shoppers. #ecommerce #resale #retailsales

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😴 Kohl's is at it again—stumbling through the retail landscape like a sleepwalker. 😴 With a bigger-than-expected drop in annual sales on the horizon and CEO Tom Kingsbury stepping down after less than two years, it’s clear that this department store is struggling to stand out in a crowded market. Enter Ashley Buchanan from Michaels, who’s set to take the reins on January 15. While he comes with a solid reputation and board affiliations, let’s be real: he might not be the savior Kohl's desperately needs. 🚨 Here’s the deal: Kohl's has been playing it safe and boring for too long, and that’s not going to cut it anymore. With stock prices down 36% this year, they’re losing ground to deal-hungry competitors like Amazon and Walmart. 🛒💸 It’s not just about who has the best prices; it’s about who can create an engaging shopping experience that draws customers in and keeps them coming back. So, what can business owners learn from this? 🤔 1️⃣ Innovation Over Tradition: Sticking to the same old playbook isn’t going to revive Kohl's. They need fresh ideas and bold strategies to capture attention. Are you innovating in your business or just going through the motions? 🔄✨ 2️⃣ Leadership Matters: While Buchanan has a strong background, he lacks deep expertise in fashion—the very arena where Kohl's needs to pivot. This is a reminder that having the right leader is crucial for navigating industry-specific challenges. Do you have the right people in place to drive your vision forward? 🧑‍💼🔍 3️⃣ Customer Experience Is King: As consumers tighten their belts, creating an unforgettable shopping experience is essential. If you’re not making your customers feel valued, they’ll take their dollars elsewhere. How are you enhancing your customer interactions? 🌟💬 4️⃣ Be Ready for Change: The retail game is shifting, and those who don’t adapt will be left behind. Are you staying ahead of trends and ready to pivot when necessary? 📊🚀 5️⃣ Don’t Fear Controversy: Sometimes, shaking things up can create buzz and attract attention. Are you willing to take calculated risks to stand out from the competition? ⚡️🔥 Kohl's needs more than just a change in leadership; they need a complete overhaul of their approach. Let’s hope Buchanan can bring some much-needed energy to a brand that’s been stuck in neutral for far too long! Remember, in business as in life, standing out is non-negotiable! 🔥 P.S. When was the last time you went to Kohl’s? #RetailStrategy #BusinessLeadership #CustomerExperience #InnovationInBusiness #CashFlowManagement #EntrepreneurMindset ___________________________________ ♻️ Repost for other founders wanting to run their business smoothly so it can thrive! ➡️ Follow @Kerry-Ann Powell for more on scaling, increasing revenue, team efficiency, and founder burnout and quality of life.

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As we look toward the retail holiday season and planning for the year ahead, MOHR Retail will be hosting a panel discussion that explores the landscape of retail store environments today, focusing on a range of topics, including the dynamic roles of store teams, the rise and fall of self-checkout systems, how stores are increasingly becoming fulfillment centers, and how successful retailers are addressing issues related to mental health, safety, and burnout amid preparations for the holiday season. Here’s a quick overview of some of these hot-button retail store trends and issues and what we’ll be focusing on during the webinar: ↪The Evolution of Store Roles With the surge of Buy Online, Pick Up In-Store (BOPIS) options and stores doubling as fulfillment centers, retail teams are adapting to new responsibilities. The traditional role of a store employee has shifted from managing in-store tasks to balancing online orders and managing stock all while building loyalty by ensuring a seamless customer experience, both online and offline. ↪The Rise and Fall of Self-Checkout Self-checkout was once hailed as a revolutionary step forward in retail efficiency, offering customers a quicker way to check out while reducing the need for staff. However, recent concerns over security, increased theft, and the impersonal nature of the experience have led some retailers to reconsider their reliance on self-checkout systems. ↪Doing More with Less As staffing challenges continue to rise, retailers are finding themselves needing to do more with fewer employees. Retailers need to rethink scheduling, training, and multi-role positions while looking for best practices that help streamline operations. If you’re interested in joining this panel discussion, reach out to me! We’re looking for your experiences, insights, ideas, and/or other lessons you might be able to share to add to a lively, thought-provoking discussion #LearnMOHR #RetailTrends #Retail

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Why Retail Needs Active Training and Impactful Coaching #RetailSuccess #EffectiveTraining https://hubs.ly/Q02D9FFv0

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The latest census data revealed a surprising trend: consumers are still selectively spending money on discretionary items despite inflationary pressures. Notably, purchases of toys – such as building sets, plush toys, and outdoor games – fall into this discretionary spending category, with 43% of adults reporting a toy purchase for themselves in the past year. #consumerinsights #retailsales #toys

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Retail sales reported by the National Retail Federation Retail Monitor indicated consumer spending slowed in June compared to May. Excluding automobile and gasoline, sales were up 0.47% from May, slower than the 1.35% growth reported in May. However, retail sales grew 3.42% from June 2023, which was the highest gain for total sales since last November. Retail sales were only slightly higher than the 3% inflation rate for the same period. #retailsales #nrf

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I am so honored and humbled.  "AI-powered solutions will also play a pivotal role in lowering returns by enabling more accurate product descriptions, personalized recommendations, and efficient reverse logistics."   Thanks Shelley E. Kohan for including my thoughts in Forbes on how brands can reduce returns this holiday season. Zeta Global leads retailers in digital transformation! #retailnews #retailmarketing #retail

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Retail Today / Retail Renaissance: Has the American consumer hit a wall? Are we seeing a slowdown in spending? #consumerspending With grocery prices now 33% higher than at the start of Covid! #inflation #groceryindustry Budget conscious consumers aren’t just low/middle income households. Everyone is looking for a deal. #offprice #tjx #ross #aldi “Needs vs Wants”: The Walmart advantage, as their sales continue to grow, they own +25% of the trillion dollar grocery industry. Look for Walmart to turn up their very successful “ROLLBACK” marketing/pricing strategy. #wallmart #rollback #lowprices Where is your opportunity? #opportunity Ace Hardware says a customer approached in the sales isle, has a 25% upside to the total purchase. That’s huge! Try knowledgeable sales help. #acehardware Target: How retailers are treating valuable floor space? I counted 27 end caps in Toys this April. Is that the most productive use of that promotional space? Think differently! Drive Sales! #target #floorspace Dollar Stores: Have a huge advantage, a captured audience of shoppers. Just keep the counters full ! #dollargeneral Even Publix’s hugely successful “buy one get one free” marketing/sales campaign! #publix Find the opportunity, the furniture industry has been in a slump. Yet there are millions of new apartments being built across the country. Which retailers are going to assist GenZ to furnish their new homes? #furniture #genz #IKEA #HomeGoods #retail #retailindustry #retailtrends #shoppingexperience #TopRetailExpert

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In my experience as a buyer, I viewed brand-buyer relationships as collaborative, but it's crucial to recognize that not all collaborations are equal. When you seek a retail partner for growth - look for a retailer that is collaborative Understand that the retailer still operates as a for-profit business But, know that you play a role in helping them achieve their goals Here are some areas to consider when looking at collaboration with retailers Door Count Bigger does not necessarily mean better. If your original doors aren’t “ALL” that’s ok. Discuss a tiered plan for growth and expansion. Placement Every brand wants to be seen. Your shelf placement, or location in the store can determine how many consumer eyes see your product. Ask where you’re being placed. Marketing Yes, ask for support from the retailer in their advertising vehicles. But know this is the place where the brand does the heavy lifting. Be ready to shout to the rooftops where you are. Forecasts Work closely with buyers, planners, and your ops team to understand projections. Have a reserve stock to plan for overperformance. Sales Expectations Ask upfront about the retailer’s benchmarks. Consider how the category performs too. Check-Ins As a new brand, having regular check-ins with your buying teams is great. This could be quarterly, or monthly depending on the projected sales volume. A lot to cover, and I know you might not be there, yet. So save this for that future retail meeting - cheers! – 👋🏾 Hi, I’m Monique, your bridge from niche market to major retail. I’m a former retail buyer turned beauty industry advisor who helps emerging brands ready to scale. Ready to expand your reach? Book a discovery call and let’s explore how we can elevate your brand together.

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