Tracey Travis

How can private equity enhance profitability for underperforming portfolios after inflation? Our Business Transformation experts explore the issue of stagnating profit margins and outline recommendations for transformational cost reduction. Learn more about how we serve private equity firms and their portfolio companies: https://lnkd.in/gp6xaK_D #BusinessTransformation #PrivateEquity

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What does it take to create value in the intensely competitive retail industry—especially if you’re not a big retailer? Our recent analysis of more than 280 publicly traded retailers reveals that, through bold action and disciplined execution, retailers of all sizes can become high-performing value creators—and can even move from the bottom quartile to the top quartile. Check out our latest article, "Retail’s outperformers: Lessons in value creation" for a blueprint on how retail executives can realize the full potential of their businesses, regardless of their starting point.

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What does it take to create value in the intensely competitive retail industry—especially if you’re not a big retailer? Our recent analysis of more than 280 publicly traded retailers reveals that, through bold action and disciplined execution, retailers of all sizes can become high-performing value creators—and can even move from the bottom quartile to the top quartile. Check out our latest article, "Retail’s outperformers: Lessons in value creation" for a blueprint on how retail executives can realize the full potential of their businesses, regardless of their starting point.

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For decades, consumer goods companies have thrived on ultra-processed foods, but rising healthcare costs and changing consumer attitudes are forcing a shift. How to meet the demand for healthier options here > https://owy.mn/3OvYNzn #Health #Wellness #ConsumerGoods

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Inflation, a shorter shopping season, and the U.S. election are reshaping holiday retail strategies. WWD’s latest article, with insights from BCG’s 2024 Holiday Outlook, reveals how consumer spending could remain steady despite the challenges. Discover the strategies brands are using to stay ahead this season!

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Retailers, buckle up for an exciting yet challenging holiday season. BCG’s 2024 Holiday Outlook highlights a shorter shopping window, rising inflation, and evolving consumer behaviors that will make this year’s season highly competitive. Despite a modest growth forecast, there’s plenty of opportunity for brands to connect with consumers—especially through digital channels during the weekdays.​ Learn more in this @WWD article featuring @BCG on Consumer's insights on how to thrive this holiday season: https://lnkd.in/euJjpmbd  

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Where some see disruptive threat, the wise see a chance to lead. In an era where consumer staples companies face significant challenges—from value chain disintermediation to rapidly changing consumer expectations—the need for strategic innovation has never been greater. The sector’s performance has struggled to keep pace with other industries over the past five years. In our latest analysis, Brian Hindo, Claudia Pardo and I delve into the disruptions reshaping the consumer staples sector. We spotlight how five companies are not just navigating but leading through these turbulent times, crafting strategic moves that yield outsized returns. Curious about what makes these companies successful where others see barriers? Interested in how they are redefining the consumer experience? Dive into our new report to uncover how these leaders are turning potential threats into opportunities.

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From 2000 to 2010, companies that were frequent acquirers earned 57% higher shareholder returns vs. those that stayed out of the market. Today, that advantage has jumped to 130%. Delve into our latest research to learn what sets apart companies active in M&A for success.

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🫎Abercrombie & Fitch & IBM: Driving Digital Transformation Great to chat with Joe Dittmar, Karl Haller and Dane Hunter about IBM’s partnership with the iconic Abercrombie & Fitch Co. A&F, has successfully handled the controversy over exclusionary branding and discriminatory practices, and transformed its identity through inclusive representation and ethical reforms, positioning itself as a transformed, modern, customer-focused brand with promising growth opportunities. A positive case study. Abercrombie & Fitch has been leveraging IBM’s advanced technologies to enhance its digital capabilities and optimise operations. Through the integration of IBM’s Sterling Order Management System (OMS), Abercrombie & Fitch has achieved a unified view of orders and inventory across all channels, enabling seamless order orchestration and fulfilment. The flexibility of Sterling OMS ensures efficient coordination between sales channels and fulfilment centres, leading to improved inventory accuracy and enhanced customer satisfaction. Additionally, Abercrombie & Fitch has relied on IBM Smarter Commerce solutions to centralise content management and deliver personalised customer experiences. This collaboration was pivotal during the pandemic, helping the retailer achieve a 43% increase in digital net sales in 2020. In May 2023, Abercrombie & Fitch hosted the Spring 2023 Sterling OMS User Group at its Global Home Office in Columbus, Ohio, in collaboration with IBM, bringing industry leaders together to discuss order management innovations and best practices. These initiatives are part of Abercrombie & Fitch’s broader strategy to be the digital retail leader, with IBM playing a key role in its transformation. We’re looking forward to seeing Abercrombie & Fitch at NRF 2025 as they continue to set the standard for retail innovation! Discover how we partner to transform retail at NRF 2025, January 12-14 in New York City. Join IBM for Big Idea Sessions on AI in retail, daily Fireside Chats with industry experts, and Tech Talks on at-the-edge innovation, supply chain optimisation, and seamless e-commerce. Learn how to modernise retail and drive success 👉 More about IBM’s NRF experience here: https://lnkd.in/dzY42Bmf Bill Piotrowski - Kristi Choate - Joe Dittmar - Karl Haller - Margo Konugres - Alexandra Gordon ___ Not just a consulting company. More than a technology company #IBM = #IBMTechnology + #IBMResearch + #IBMConsulting + The #IBMInstituteForBusinessValue ___ #TheCPGGeek #IBMRetail #IBMConsumer #FMCG #ConsumerGoods #Luxury #Fashion #Retail #Proud #RethinkRetailTopExpert #NRFRetailVoice RETHINK Retail #RethinkRetail National Retail Federation #NRF

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What’s a critical success factor to getting transformation initiatives off on the right track as an executive? 

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Despite September's historical poor market performance, significant economic interventions from the U.S. and China boosted market confidence. The Fed's aggressive rate cut and China's stimulus measures provided strong support, leading to market optimism and record highs in equities and gold. While investors are hopeful for continued economic growth and further easing policies, the looming U.S. general election adds a layer of uncertainty. To learn more, read the latest perspective, "Campaignomics", from the Office of the CIO at Rockefeller Global Family Office.

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What does it take to create value in the intensely competitive retail industry—especially if you’re not a big retailer? Our recent analysis of more than 280 publicly traded retailers reveals that, through bold action and disciplined execution, retailers of all sizes can become high-performing value creators—and can even move from the bottom quartile to the top quartile. Check out our latest article, "Retail’s outperformers: Lessons in value creation" for a blueprint on how retail executives can realize the full potential of their businesses, regardless of their starting point.

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50% of retail executives expect significant change to their business model in 2024. It’s not surprising when you consider how the retail landscape is changing due to the digital revolution, consumer behavior change, geopolitical tensions, and economic pressures. To survive this new reality, retail leaders must take radical steps to refocus or completely transform their businesses. We've partnered with World Retail Congress on a report exploring 6 trends reshaping the industry, and what retailers can learn from the disruptive companies who are leading the way. Read the full report here:

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In the intensely competitive world of retail, how can smaller players create value? We've analyzed over 280 publicly traded retailers and the clear takeaway from our analysis: scale is not destiny. Subsector dynamics notwithstanding, a retailer has ample control over its value creation trajectory. Retailers of any size, if they make bold moves, can become top-tier value creators—even if they’ve historically underperformed. Read our latest article, "Retail’s outperformers: Lessons in value creation," to learn how retail executives can unlock their businesses' full potential, no matter where they begin.

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In the intensely competitive world of retail, how can smaller players create value? We've analyzed over 280 publicly traded retailers and the clear takeaway from our analysis: scale is not destiny. Subsector dynamics notwithstanding, a retailer has ample control over its value creation trajectory. Retailers of any size, if they make bold moves, can become top-tier value creators—even if they’ve historically underperformed. Read our latest article, "Retail’s outperformers: Lessons in value creation," to learn how retail executives can unlock their businesses' full potential, no matter where they begin.

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I'm thrilled to share the successful collaboration between Accenture and Bricorama in the rollout of the pAInt platform—a transformative achievement discussed in our recent publication, "The Empowered Consumer." This initiative underscores our dedication to setting new standards in consumer innovation with state-of-the-art technology.  As a respected name in the home improvement sector, Bricorama has enhanced the shopping experience for its customers through the adoption of generative AI. Leveraging the Azure OpenAI Service, the pAInt platform provides tailored recommendations, automating the selection of paint colors and quantities to suit individual tastes.  Our involvement in this project highlights Accenture's role at the forefront of implementing groundbreaking technologies that respond to and anticipate the shifting demands of consumers. This partnership not only showcases retail innovation but also serves as a blueprint for future advancements across various consumer sectors, reinforcing our leadership in AI-driven transformation. Read more here: https://lnkd.in/eWkyiQYP #Innovation #CustomerExperience #TheEmpoweredConsumer #AIinRetail

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I find this The Wall Street Journal story fascinating for a couple of reasons. First, from a corporate strategy perspective, Walmart is clearly challenging Trader Joe's and Target. They are also intensifying backward integration, taking on giants like Nestle, PepsiCo, and P&G. It speaks to the power of distribution. Whether you're Netflix, Walmart, or Amazon, owning the distribution channel is powerful. Second, how negotiation dynamics directly impact business. Examining counterparty alternatives (or, in technical speak, the Best Alternative To A Negotiated Agreement, or BATNA) is important to do statically. It is also critical to examine dynamically: how will it change over the next 3, 5, and 10 years? Here’s a quick and short recommendation: 1️⃣ If counterparty alternatives improve over time, secure longer agreements. 2️⃣ If counterparty alternatives worsen over time, secure shorter agreements. The rise of Trader Joe’s normalized private labels among consumers and set the stage for Target, Wal-Mart, and Costco to expand their own. Playing Monday morning quarterback, that would have been the moment for brand suppliers to secure long-term agreements. Final point: Negotiation, both in sales and procurement, must connect with corporate strategy. For Walmart, negotiating quality standards with private label suppliers is paramount. If a recall happens on a private label product, it damages the entire Walmart brand. If a recall happens on Tide detergent, it only damages P&G’s sub-brand (Tide). For companies like Nestle, negotiating product placement, endcap usage, and co-marketing is more important than ever. My take? I think the transformation Walmart has undergone has been phenomenal to watch. This extension into higher-end private label builds on that momentum. But I will wait until we bring home some Walmart oat milk ice cream before I give my final perspective. https://lnkd.in/gsMgNnE4

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As we enter Q2 of 2024, I have been asked about key trends relative to the current strength of the consumer in the U.S. Despite headlines showing endless resiliency, we have seen some softness in purchasing behavior on the consumer front, especially in January and February, with a rebound since March.   Q1 also brought dynamic changes in the consumer goods sector's M&A landscape. Key highlights include:   Health Focus: Significant deals like Medbase's acquisition of Zur Rose Group reflect a growing emphasis on health and wellness. Luxury and Efficiency: Firms like Tapestry are strategically acquiring to enhance luxury portfolios and operational efficiency. Tech Integration: Investments in AI and digital capabilities are driving better consumer engagement and operational agility. Strategic Consolidations: Companies are optimizing their portfolios by focusing on core areas and divesting non-core assets. Global Investments: Cross-border M&A remains strong, targeting regions with high growth potential.   Despite economic uncertainties, these trends show the sector's resilience and strategic focus on long-term growth.   #ConsumerGoods #MnA #BusinessStrategy #HealthAndWellness #DigitalTransformation

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