Stephen Martinez

The psychology of shopping for fashionable swimwear is fraught with challenges. See my comments in this Huffington Post article for key retail insights. https://lnkd.in/emKjq5rh #fashion #swimwear #fashionbusiness #fashionretail #fashionconsumer

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🚨 Amazon’s Bold Move into Luxury Fashion: What It Means for the Industry 🚀 The retail landscape is buzzing with the news of Saks Fifth Avenue and Neiman Marcus Group merging, creating a luxury retail powerhouse backed by Amazon. This $2.65 billion deal, forming Saks Global, is set to revolutionize the luxury fashion industry in ways we’ve never seen before. Why This Matters: Amazon, a titan in e-commerce, logistics and technology, is now officially stepping into the luxury fashion arena. This move could drastically reshape their business model and the luxury market. Here’s why: 1️⃣ Logistics and Efficiency: Amazon’s logistical expertise is unparalleled. By integrating its advanced logistics with Saks Global’s operations, we can expect significant improvements in supply chain efficiency. Faster delivery times and better inventory management will enhance customer satisfaction and reduce costs. This synergy could mean that customers will soon be able to purchase luxury items like a Chanel bag with the same ease as everyday essentials. 2️⃣ The Power of AI and Data: Amazon and Salesforce bring cutting-edge AI and data analytics to the table. AI can personalize the shopping experience, predicting customer preferences and tailoring recommendations. This level of personalization is crucial in luxury retail, where customer experience is paramount. With Amazon’s data prowess, Saks Global can better understand their customers, optimize pricing strategies, and manage inventory more effectively, ensuring high-end pieces don’t end up in discount bins. 3️⃣ Technology Integration: Amazon’s involvement means more than just financial backing; it’s about leveraging technology to future-proof the luxury brands. As Marc Metrick, CEO of Saks Fifth Avenue’s online operations, mentioned, the aim is to gather high-quality customer data and offer more personalized options. Enhanced tech capabilities will streamline operations from the warehouse to the customer’s doorstep, making luxury shopping seamless. 4️⃣ Market Reach and Customer Base: Amazon’s vast customer base is a goldmine for Saks Global. This deal allows Amazon to penetrate the high-end market, catering to a demographic that values exclusivity and quality. For luxury brands, having access to Amazon’s broad customer reach means new growth opportunities and expanded market presence. Conclusion: This merger isn’t just about consolidating two luxury giants; it’s about transforming how luxury retail operates in the digital age. While some may fear that this could dilute the exclusivity of luxury brands, it’s an opportunity to innovate and adapt. The luxury sector has been cautious about embracing e-commerce fully, but this merger signals a shift towards a more tech-driven future. As consumers, we stand to benefit from improved services, personalized experiences, and greater accessibility to luxury products. #LuxuryFashion #Ecommerce #BusinessStrategy #Amazon #SaksGlobal #RetailInnovation

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Assortment decisions are complex and critical for any retailer success. Analyzing billions of baskets a year has enabled us to build the most effective and customer-centric assortment solution in the market. We are proud to partner with Family Dollar and dozens of other retailers in this journey! #dunnhumby #customerfirst

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How does location-based inventory improve Ship From Store? Our recent podcast episode with Nate Skiver and our CEO Anil Patel, delved into the intricate dynamics of specialty retail, particularly focusing on the pivotal role of location-based inventory management in optimizing Ship From Store operations. Drawing from industry examples such as Nordstrom Rack, where the rapid turnover of discounted inventory poses distinct challenges, it's evident that the ability to swiftly locate items is foundational for successful Ship From Store endeavors. By strategically aligning inventory management with precise location data, retailers can streamline fulfillment processes while elevating the overall customer journey. Such approach not only optimizes resource allocation but also cultivates realistic expectations regarding fulfillment timelines Check out the full episode for more: https://hubs.la/Q02yYZCx0 #ShoppingandtheRetailIndustry #eCommerce #Retail #Omnichannel

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Thank you RETHINK Retail for this feature. One of the questions I was asked: 𝙒𝙝𝙖𝙩 𝙞𝙨 𝙩𝙝𝙚 𝙜𝙧𝙚𝙖𝙩𝙚𝙨𝙩 𝙘𝙝𝙖𝙡𝙡𝙚𝙣𝙜𝙚 𝙩𝙝𝙚 𝙞𝙣𝙙𝙪𝙨𝙩𝙧𝙮 𝙞𝙨 𝙛𝙖𝙘𝙞𝙣𝙜? ⏺️ Product creation practices tied to over development and excessive physical sampling ⏺️ Merchandising and assortment planning strategies need to be reimagined = more supply does not equal more demand ⏺️ Inventory issues like excess inventory and eroded margins from markdowns ⏺️ Managing customer expectations on the instore and online experience ⏺️ Perfecting personalization, from design to marketing Interested in learning more? Check out the link below. ➡️ https://lnkd.in/edXg5aAf #retail #topretailexpert #RetailVoices #RetailVoicesbyNRF #RETHINKRetail #NRF2025

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Highlights from last week's NYC #RetailSafari -- focus was the intersection of #technology, #customers, and #operations, primarily in specialty apparel and fashion. Key themes: 1. Technology goes backstage – Brand new formats / concepts at H&M, Banana Republic, Zara, AMERICAN EAGLE OUTFITTERS INC., lululemon, and J.Crew and none come across as tech-forward w/ regard to customers. On the other hand, associates were all mobile enabled and doing most of their work leveraging phones / tablets. 2. Old tech; new tricks – Widespread use of #RFID and #QR codes (both generally on the price ticket), with a mix of internal and external use cases -- self-checkout, RFID-assisted full-service checkout, inventory counts, inventory finding, #BOPIS, etc. 3. Apps are an entry point – #Retailers without a clienteling / selling culture are using apps to drive customer capture. #Lulu uses app-based membership to enable exchanges on sale items; UNIQLO offers special discounts to app members. 4. Unified is still a unicorn – Despite a decade of focus on #omnichannel and unified commerce, many gaps exist. Very few #retail apps recognize when you’re in store, send a notification, and/or assist in the shopping experience. Many didn’t even have their newest stores listed as an option for #BOPIS (despite in-store signage).  5. Video is the new visual – ultra-large format (8-10ft x 12-16ft) video screens were a common feature of many new stores, and really helped to bring the brand lifestyle to life.  6. It’s hard to (re)teach people how to shop – Across all stores except Bonobos, Glossier, Inc., and Reformation, the shopping process is the same as it’s been for the past 50+ years. The ones that don't are focused on a niche customer with a unique product offering. IMO, the product is the driver and consumers "accept" the experience. 7. The "future" is not here yet, but you can start to see the shape of it – Demoing the Apple #VisionPro, we could think of multiple use cases (mostly internal / operational), and while it’s too early (and too expensive) to fully commit, it’s certainly worth considering a pilot as part of an #innovation lab. It's also worth noting there was no apparent use of #AI by customers or associates. Curious to hear comments, feedback from other markets. #ibmretail

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Excellent article on how US apparel brands and retailers are diversifying their source base. The July import figures from the US Office of Textiles and Apparel indicate a shift in sourcing strategies among US apparel brands and retailers post-Covid, emphasizing diversification rather than reliance on a single supplier. Overall apparel shipments to the US increased by 7% year-on-year, reaching 2.5 billion square meter equivalents (SME). China remains the largest supplier, with a 9.2% increase in shipments to 1.1 billion SME, while Vietnam, the second largest, saw a 4.7% increase to 385 million SME. Bangladesh, the third largest supplier, experienced a decline of 2.2% in shipments to 217 million SME, attributed to ongoing unrest and worker protests for better wages. The instability in Bangladesh has raised concerns about its competitiveness as a sourcing destination, with alternatives readily available in nearby Asian countries. Cambodia recorded a significant increase of 19.4% in shipments to 112 million SME, while Honduras led Central American suppliers with a 20.3% increase to 73 million SME. Year-to-date figures show mixed results, with overall US apparel imports up by 1.4%, while Bangladesh's shipments decreased by 4.6%. Despite a post-Covid shakeup, China has regained a significant share of the US apparel market, accounting for 24.6% of the value and 41.4% of the quantity of US apparel imports in July 2024. The average price per unit for Chinese apparel has decreased most, making it the most cost-effective option among the top suppliers, although the focus is shifting towards supply chain diversification and nearshoring. The data suggests that while US companies are not reversing their de-risking efforts, China's resilience as a supplier remains strong due to its production efficiency and supply chain capabilities. #usapparels #usretail #supplierdiversification #supplychainrisk

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Another AVN season in the books (exhale). Not surprisingly, 72% of brands faced some level of challenges within their negotiations compared to 15% citing collaborative or efficient AVNs. 14% haven’t resolved their AVNs yet. According to our benchmarking, negotiating favorable terms is the #1 challenge brands face during AVNs. What challenges did you face within your AVN? And are you curious how your Amazon AVN experience, terms, and profitability compare your peers? Join me and Martin Heubel next Tuesday 6/25 where we’ll dig into the full results from our AVN Wrap-Up survey of 250+ brands. Register here: https://lnkd.in/eAD48b_g We’ll be covering: ✅ AVN intensity ✅ 2024 trade term %s ✅ AVN impact to brands’ margins ✅ Key profit levers for the year ahead ✅ and a chance to ask ALL your AVN questions! A must-attend for 1P vendors. See you there!

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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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💡Amazon invests in consolidation of Saks Fifth Avenue & Neiman Marcus Group … Why? 💬 Lot of chatter in the last day about Amazon backing the consolidation of LUXURY retailers Saks and Neiman Marcus….theres a lot to be said about tech that helps traditional retailers win and I think Forbes and Suzanne Kapner at The Wall Street Journal have a great take. That being said, I think the crown jewel they are going after here is interesting…. I think the big nut to crack for Amazon is a CRM play of owning the super high end customers…dominating that top spender market. That luxury shopper. Not as a transactional relationship, but owning that luxury shopper segment—both online and offline. I think the crown jewel Amazon is going after here is…. 💵 Prime for the 0.1%ers. The big picture here is a massive opportunity for Amazon to unlock — think of the spending they could own. 💥 Amazon Ultra Prime. No wonder Salesforce also invested… CRM play. https://lnkd.in/gy_r7jMQ https://lnkd.in/gmk-ZqSU

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In their recent earnings announcement, Andrew Page, CFO of Amer Sports (parent of Arc'teryx, Salomon, etc.), called out “a decline in the Americas, which has been affected by softer pre-orders, as retailers increasingly rely on replenishment.” This echoes what I’ve been hearing from multiple outdoor brands. Historically, the outdoor industry has been driven by “pre-season” orders, as brands offer retailers extra discounts of 4-10% to place most of their orders 8-10 months before the start of the season, so that the brands can appropriately set their factory orders. This is especially true of apparel and footwear brands that have more seasonal changeover than equipment brands. In a more steady-state world, Moosejaw used to order up to 80% of inventory as pre-seasons from some brands to maximize discounts and ensure availability of key styles. Over time we cut that back to 70% as we calculated the discounting on end-of-season clearance more than offset the pre-season discounts. Now retailers are telling brands that they want to “chase inventory”, i.e., lower pre-season orders and just replenishing what sells. So what is a brand to do? A) Keep the same overall factory order levels and assume that the lower pre-season orders will be offset by higher in-season replenishment (“replen”), i.e., take on a bunch of extra inventory risk… or B) Cut factory orders in-line with lower pre-seasons and keep inventory for replen the same? I’m guessing the answer will be somewhere between the two extremes, but closer to B. Overall, it will mean less inventory in the market, which is much needed, but also less sales for brands and retailers, which could be good or bad depending on the profitability of those sales. So what likely happens if consumer demand is flat or even bounces back this fall? 1) Retailers quickly start to ramp their replen orders. 2) Brands sales' forecasts show that key styles and colors will run out before peak. 3)  Brands with shared inventory pools start to protect inventory for their higher margin DTC business, further decreasing inventory available to sell (ATS). 4) Retailer replen orders go unfulfilled resulting in increasing out of stocks. 5) (Hopefully) retailers realize they are inventory constrained and pull back on planned promos and online marketing spend. 6) At season’s end, more sales have shifted from wholesale to DTC. How do other folks see this playing out? #OutdoorIndustry

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An expanding Retail Ecosystem. Meeting customers where that are with offerings they appreciate. Clicks+Bricks - The Reach of E-commerce and the Touch at Physical Retail. Excerpts: Dive Brief: Fulfilling its promise to enhance its e-commerce business, Nordstrom is introducing a new digital marketplace on its website, the department store announced Monday. The retailer is showcasing a broader selection of products, sizes and brands through the marketplace. Among its marketplace partners are Mulberry, Adore Me, Cynthia Rowley and DXL, according to the announcement. Shoppers using the Nordstrom marketplace can still earn loyalty incentives and access perks such as styling and alterations. Dive Insight: Nordstrom’s marketplace launch comes after the retailer last month said it planned to lean into its e-commerce business. CEO Erik Nordstrom said during a Q4 earnings call that the retailer is enhancing its online personalization features. In recent years, other major retailers, including Macy’s, Walmart and Michaels, have created third-party marketplaces. However, instead of opening its site to a wide swath of sellers, the company carefully selected its marketplace brand partners “to ensure that our marketplace experience drives the relevance and inspiration that Nordstrom customers expect from us,” according to Miguel Almeida, Nordstrom’s president of digital and customer experience. “Nordstrom.com is our largest flagship store and gives us the opportunity to offer new and existing customers more choices for more occasions,” Almeida said in a statement. “Our goal isn’t to be the everything store, but to offer customers more breadth, depth and newness in the categories that they come to us for, from some of the most coveted brands in the market.” #nordstrom #retail #marketplace

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Congratulations to StandUp Ventures portfolio company Max Retail on their $15M USD Series A led by Nosara Capital after an exceptional year of growth! Oh how I love optimization problems, and especially ones that support entrepreneurs 😭 Independent retail shops sit on an average of 22% excess inventory at any given time, representing ~$50K-$200K of financial losses each year. For small businesses that are often the pillars of their communities (& frequently women-owned!), these losses are HUGELY impactful. Before Max Retail, options to recuperate them were extremely limited (discounting items far below cost, sending to consignment, or donating for a tax write-off). Alone, a single store in a small town with one or two sizes of a SKU isn't meaningful enough to engage with for zero inventory marketplaces or online retailers, but in aggregate, Max Retail's network of 2,000+ retailers and real-time data acts seamlessly as a single source of new and often hard-to-find supply. Bringing these items online exponentially increases the pool of potential buyers, resulting in immediate cash relief and payouts 4-8x higher than the status quo of liquidation. And the proof is in the pudding. 89% of active sellers are selling inventory every single month, with some sellers making upwards of $250k per year. GMV has exploded 4x YoY, with an incredible 40% of new retailer leads coming from existing customers. The macro omnichannel opportunity for real-time, SKU-level, inventory, pricing, and sales data across the normally siloed brick-and-mortar independent retail market is limitless. Alongside AI-powered pricing and item allocation engines, Max Retail is able to pay sellers the maximum value possible for excess inventory, and help retailers understand live inventory performance and market value of every item they list. This ultimately underpins a foundation for a more efficient and productive market, getting the right products to the right buyers at the right time, place and price. We're so excited to continue supporting the INCREDIBLE Melodie van der Baan alongside the wonderful M13, The Artemis Fund , and Rethink Impact, LP. Onwards and upwards! 🚀 #fundingnews #seriesa #retaildata

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💬 Everywhere Commerce: Insights from Greg Merrill on the Future of Retail Debra Langley from Lyra Ventures in a conversation with Greg Merrill, a three-time founder and the Global Head of Digital Transformation at Nike, as he shares his perspectives on the future of retail in an era where customer expectations continually outpace traditional business models. ➡ Navigating Global Challenges Greg Merrill emphasizes the need for brands to be omnipresent, addressing the complexities of diverse languages, cultures, and currencies. He highlights the regulatory changes across countries as significant hurdles for retailers looking to start or expand their businesses. These challenges require a strategic and adaptive approach to navigate effectively. ➡ Three Key Factors for Retail Success To succeed in the modern retail landscape, Greg outlines three crucial factors: 1.Speed: The ability to quickly adapt to market changes and consumer demands. 2. Agility: Having the right talent with a clear vision and strategy to drive the business forward. 3. Modularity: Utilizing modular technology that can scale and adapt at the right pace to meet business needs. ➡ The Need for a Unified Technology Platform Greg points out the increasing necessity for a unified technology platform to handle the diversity and complexity of global operations. Such a platform is crucial for navigating the multifaceted challenges of the retail industry and staying close to the consumer. ➡ Proximity to Consumers A key strategy discussed is getting as close to the consumer as possible. This involves not only the location of manufacturing but also adopting a flexible approach to meet consumer needs worldwide. Companies must avoid imposing their terms on different markets and instead stay curious and adaptable to local demands. ➡ Democratization of Innovation Greg highlights that it has never been easier to start a company, thanks to the democratization of innovation. He encourages viewing vulnerability as a form of courage and a skill to develop. Success comes from finding incredible talent, empowering them, and allowing them to drive business growth. Greg Merrill's insights offer a roadmap for navigating the complexities of global retail. By emphasizing speed, agility, and modularity, and fostering a unified technological approach, brands can stay close to consumers and thrive in the ever-evolving market. His call to embrace innovation and empower talented individuals sets a foundation for sustained growth and transformation in the retail industry. NRF 2024: Retail's Big Show Asia Pacific #nrf #nrfapac #offboundsapac #offboundsnrfapac #nike

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Podcast: Powering Resale for Conscious Retailers with Continue 🎙️

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It’s not just about price—that was the headline that reporters from Retail Dive, Footwear News, and other outlets took from the AlixPartners U.S. Consumer Footwear Survey for the back-to-school season. We found that price ranked below quality and value for 1,000 parents preparing to shop for shoes, and that one-third of consumers start their footwear search on Amazon.com, but nearly two-thirds intend to purchase shoes in-store—armed with deep knowledge of differing price points for the same shoe, product qualities, and ranges between brands. These topline findings have big implications for how footwear brands and retailers coordinate their online and offline business. Find out more in our discussion of how leaders in the footwear industry are meeting the moment. https://lnkd.in/ddiNXGvw

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Do you know what surprises me most about Hudson's Bay Company purchasing Neiman Marcus Group? It's not the fact that Amazon is involved... ... but that they only took a minority stake in the deal. Amazon is a $2 trillion company. They likely could have found the $2.65 billion for this entire deal in the couch cushions at their Seattle HQ. You may be familiar with Jeff Bezos' thinking on "one-way-door" and "two-way-door" decisions. (If you're not, watch this: https://lnkd.in/gxt5z9Sa) Perhaps taking a minority stake in the newly-formed Saks Global (versus outbidding HBC and buying Neiman Marcus outright) is Amazon's way of entering the world of high-end fashion retail in a "two-way-door decision" kind of way... ... what do you think? #BrickAndMortar #Fashion #Retail #Acquisition

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Putting yourself in the shoes of your dream retailer can yield an understanding for their priorities. Each year, major U.S. retailers open a crucial window to evaluate new and established brands. This is your golden opportunity to pitch to buying teams. Retail Insight: Product resets in retail are both time-consuming and costly for retailers. Store teams continue to do the things they always do: – Restocking shelves – Serving customers – Maintaining store cleanliness Buying teams are also inundated with extra work: – Creating new blueprints for stores to lay out the new items – Meeting with 100+ brands that all have exciting newness to share – Landing on a strategy that will yield growth Major resets also involve: – Printing new shelf labels – Rearranging product placements – Managing discontinued items – Communicating big bets and strategy from corporate to stores These resets can evoke mixed feelings among retail teams: • Excitement about new products and the potential growth they bring. • Anxieties over the additional workload. Why am I sharing this? Because timing is important, you get one window annually to pitch your brand at big retail. So when you approach the retailers treat it like this is your one shot. Prepare your pitch → Nail it. Share your brand purpose → Inspire them. Understand what it takes to be successful →  Make them believe in you. Take this opportunity to show buyers all of the things your brand has done. Shine bright. PS - Have you pitched to a retailer? Share your experience in the comments. – 👋🏾 Hi, I’m Monique, a former retail buyer turned beauty industry advisor who helps emerging brands ready to scale at big retail. If you are ready to scale and invest, book a discovery call, and let’s see if we can work together.

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