Today’s retail success depends on effectively combining in-store and online shopping experiences. While physical stores offer valuable human connections and hands-on product testing, online platforms provide wider selection and shopping convenience. But the major challenge for retailers extends beyond finding good staff. They must build advanced IT systems that support true omnichannel shopping.
Customers expect to see accurate inventory information in real time. They want to move smoothly between shopping on different devices and in stores. Top-performing retailers understand that technology and personal service work in tandem. By investing in both areas, stores can create unified shopping experiences that meet customers wherever they’re ready to shop.
Every shopper scopes out the shortest line for checkout before committing to a line. That’s human nature. It’s also a given that the same shoppers who ignore traditional express-lane item limits will ignore SCO limits. But that doesn’t mean Target and other retailers shouldn’t at least try.
For the most part, Target has done SCO right—even if staffed lanes are often not often fully staffed. Target stores always have a dedicated staff member directing traffic and helping customers in the SCO area, so they probably have a better chance than other retailers to make something like this work.
Most retailers get very low grades on customer service these days. And that’s a major factor in poor overall customer experience. These failed opportunities to satisfy customers add up daily to major hits to the bottom line. Yes, staff shortages and employee burnout hurt customer service. But lack of good training and clear guidelines on how to serve customers can mean that even those who are working tend to be far from effective. But there are usually deeper problems.
Disconnects among work processes—and management—lead to lack of customer success in the stores and online, too. Existing tech can help or hurt the cause as well. There is no quick fix. But there is a quick pivot: focus on the customer experience from the customer’s point of view and make sure that all your systems and processes support their needs. Invest in those changes that can eventually elevate the customer experience, and don’t forget the change management piece. You’ll see the results in more engaged staff, happier customers, and a more robust bottom line.
To better connect with Gen Z, Bath & Body Works should focus on sustainability by offering a clean beauty line, refill stations, and eco-friendly packaging. Getting Leaping Bunny certified and being more transparent about ingredients would also build trust. They could make shopping more fun and interactive with AI-powered fragrance finders, AR/VR experiences, and TikTok challenges.
Expanding Gen Z-friendly product lines with influencer collabs, subscription boxes, and limited-edition scents would help keep younger shoppers engaged. In-store experiences could be even more personalized with scent blending bars and QR codes for ingredient details. By leaning into sustainability, making their cruelty-free status official, and embracing digital innovation, Bath & Body Works has a real opportunity to strengthen its connection with Gen Z and turn them into loyal fans.
I appreciate your recognition of the contributions women make in retail leadership and your personal commitment to mentorship. However, true gender equity isn’t just about acknowledging that women are present in leadership—it’s about addressing the systemic barriers that still exist.
The fact that mentorship and networking opportunities for women need to be ‘structured’—whereas men have long benefited from informal career advancement pipelines—demonstrates that we haven’t reached full equality.
Women continue to face unequal access to top leadership roles, pay disparities, and biases in decision-making, particularly in male-dominated sectors like technology, supply chain, and finance within retail.Additionally, while mentorship is valuable, sponsorship is what truly moves the needle—having senior leaders actively advocating for women when leadership decisions are being made.
Acknowledging the need for these interventions means recognizing that we aren’t on a level playing field yet.If women are ‘instrumental in shaping the future of the industry, now more than ever,’ then the next step is to ensure they aren’t just shaping it—but leading it, without facing additional hurdles–such as rolling back DEI programs.
Omnicommerce retailers must optimize their mall presence by aligning store locations with online sales and return patterns. As more consumers buy online, many physical stores now serve primarily as return centers rather than sales drivers.
Forward-thinking retailers are using data to evaluate which locations add real value and which should be consolidated or repurposed.This trend varies by mall tier. A malls remain strong hubs for both sales and returns, while B and C malls are seeing an increasing share of foot traffic driven by returns rather than new purchases.
Many retailers are closing stores in these malls, as the cost of maintaining them outweighs their value. D malls, already in decline, face even greater vacancies as retailers shift toward locations with stronger omnichannel integration. To stay competitive, brands must rethink their physical footprint and ensure their stores complement—not just support—the online experience.
When it comes to surveys commissioned by robot manufacturers, I’d be cautious. They often have a bias to show robots in the best light. The reality is more nuanced—it’s not as simple as robots being all good or bad.
Robots can be super helpful for behind-the-scenes tasks like inventory checks or cleaning, which keeps things running smoothly without directly impacting the customer. But when they get involved in customer-facing roles, it can sometimes feel intrusive.
A robot rolling down the aisle might seem cool at first, but if it malfunctions or doesn’t respond well, it can disrupt the experience.At the end of the day, I think most shoppers still appreciate some level of human interaction. Whether it’s getting advice, having a quick chat, or just feeling more connected, robots can’t replace that personal touch that many customers value.
I have visited several Stop & Shop locations, and it is my least favorite option in the Northeast. The prices are high, many items are often out of stock, and I have found expired items on shelves multiple times.
Closing stores won’t fix these issues. Ahold Delhaize needs to critically review its leadership, merchandising, buying strategies, and store operations. Additionally, Stop & Shop’s treatment of employees appears poor, leading to unhappy staff and, consequently, unhappy customers. Significant changes are necessary to improve both customer and employee satisfaction.
Abercrombie & Fitch’s renewed success stems from its meticulous attention to detail in meeting customer lifestyle needs, enhancing brand experience, and implementing effective inventory control measures. These strategic initiatives have contributed significantly to the brand’s resurgence.
By focusing on these key areas, Abercrombie has not only repositioned itself to cater to a new market but has also created a more compelling shopping environment for its customers.
Management’s emphasis on tight inventory management deserves special applause. The role of supply chain visibility and real-time inventory accuracy can never be underestimated. This is what allows the company to maintain optimal stock levels while responding swiftly to changing market demands. By leveraging technology and data analytics to support this strategy, Abercrombie can make informed decisions, reduce excess inventory, and minimize stockouts.
"The emergence of “fast fine” dining holds the potential to disrupt both dine-in and food delivery landscapes. While DoorDash has introduced the option for two delivery stops, the process still has flaws. Wonder food halls present a versatile solution, catering to dining in, takeout, or delivery from various brands. If this concept gains traction, services like DoorDash may need to pivot their business model to stay relevant. The decision to open within Walmart appears risky initially. However, it offers convenience, especially for families blending shopping with a meal stop. Nonetheless, Walmart might not be perceived as a dining destination for groups without children, especially given Wonder’s emphasis on celebrity chefs and “fine dining” experiences."
"Retailers have many ways to attract Gen Zalpha. They can work with influencers and new talents, just like Claire’s does. This helps increase their popularity and visibility. Adding game-like features to shopping can also draw people in. When done right, this makes shoppers want to stick with the brand. Also, using social media more can make a big difference. By sharing engaging content, encouraging customers to create their own content, and running exciting contests on social media, retailers can connect with more Gen Zalpha consumers."
"To regain credibility as a fashion resource, Gap Inc. must embark on several strategic initiatives. These include revitalizing brand identity through market research and refining brand images; enhancing product offerings by investing in innovation and quality; optimizing merchandising strategies to ensure an appealing shopping experience; refreshing store layouts and incorporating digital features to upgrade in-store environments; leveraging digital platforms to expand brand reach and engagement; reviewing pricing strategies to maintain competitiveness while preserving brand integrity; fostering community engagement through philanthropic initiatives; and continuously monitoring market trends, customer feedback, and performance metrics to adapt strategies accordingly. By hiring Zac Posen, Gap, Inc. has shown their commitment to stepping outside the box to reinvigorate their portfolio."
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Amazon has already implemented generative AI to condense customer reviews, providing a time-saving and competitive advantage, particularly for products with tens of thousands of reviews. Navigating Amazon’s extensive product catalog can be daunting, and incorporating generative AI tools to streamline the consumer experience is a logical next step. The impact of this new tool on Google and other platforms remains to be seen. However, considering Amazon’s renowned reputation for competitive pricing, rapid shipping, and commitment to cutting-edge technology, they are well-positioned to stay at the forefront of innovation."
"Ensuring proper skincare is essential regardless of age or gender. Beauty retailers such as Sephora or Ulta have a unique opportunity to reshape the “Sephora Kids” trend by working closely with dermatologists to curate and market a diverse range of products that address skincare needs across all age groups. Additionally, I suggest introducing in-store workshops to educate customers on the correct application of skincare products tailored to their respective age groups. Sephora should seize this opportunity to expand its market share while creating a positive shopping experience for customers of all ages."
"The appeal of traditional cable TV commercials has waned among consumers, largely due to oversaturation and redundancy, prompting a shift towards streaming services like Amazon Prime. However, a significant exception to this trend is evident in Super Bowl ads, which consumers eagerly anticipate as a distinct form of entertainment. Shoppable TV ads hold promise for success, contingent upon consumer adoption. If implemented carefully with curated consumer content, there is potential for users to anticipate the items featured in shoppable TV ads in a manner akin to their anticipation of Super Bowl commercials."
"The potential of Generative AI in taking gift recommendations to the next level is promising. GenAI has the capacity to transform the personalized recommendation landscape by offering more nuanced, context-aware, and individualized suggestions.
To assess the effectiveness of Etsy’s AI-driven Gift Mode tool, it will be critical to consider user feedback, adoption rates, and the tool’s ability to deliver relevant and delightful recommendations.If well executed, the GenAI Gift Mode tool could serve as an advantage for Etsy.
In the highly competitive e-commerce space, providing a unique and personalized shopping experience can set a platform apart and attract a loyal user base.
"Walmart’s decision to enhance compensation packages for store managers is likely to have a positive domino effect on other team members. This move signals to team members that sticking with Walmart and advancing their careers within the company can lead to financial opportunities.
Recognizing the untapped potential in every retail employee, regardless of their current status, is paramount for retailers such as Walmart. Encouraging managers to view team members as potential future industry leaders will lead to an environment that steers clear of the prevalent disposable temp mentality in the retail sector.
Walmart seems to have identified the crucial role of retail managers in inspiring and guiding teams. Treating all staff as destined for a career in retail is an investment in the future success of Walmart, fostering a culture of growth and success that extends well beyond the confines of the retail floor."
"Retailers always have the power to increase customer engagement, conversion rates, and even the sheer number of fans of their brand. But it’s not by reviving the word “choiceful” from the 1500s. It’s by understanding customers and shopping behavior as well as possible.
Yes, consumer debt is funding purchases and most retailers have seen a boost to their top lines from this. And the spending spree that started when people started shopping more after the pandemic? Nobody expected that to last forever. So, of course shoppers are being more “discerning” (actually a word!) when they shop. But don’t forget that shoppers have a lot more ways to research options, especially with AI behind searches and info-gathering throughout the customer journey.
The call to action for retailers: know your customers, and stop using vague words like “discerning” to describe them. I bet you have better data you could use for understanding what each shopper really wants, or at least you should.
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"The return rates are off the charts for online fashion in particular, and AI is clearly helping. Another tool that’s catching on is using user generated content (UGC) to show shoppers others wearing the exact SKU they’re about to put in their basket. It leverages AI to collect social media—photos and videos—and places them on the product detail page (PDP). And if there’s a fit, the retailer’s site can present curated options that the system now knows will fit. So, it’s doing double or triple or even quadruple duty: improving size and fit, reducing returns, and increasing basket size and conversion rates.
By the way, I really like the use of AI to essentially hide items from shoppers known to have a “returns habit.” Out of sight, out of mind. That’s out-of-the-box thinking (pun intended) that retailers should use as a model for finding other uses for AI in retail. This AI is extremely powerful and versatile stuff.
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"Retail is theater, and IPS gives retailers the ability to essentially tag their sets—and all the actors in them. As for the actors, we have store staff and shoppers. IPS enables communication and direction-giving. But, as most in our industry would be quick to point out, shoppers don't want to be pushed toward deals if the messaging is intrusive, or worse: creepy.
Yes, the shopper-tracking benefits of IPS are powerful. Retailers have been searching for the ability to accurately map shopping patterns, dwell times, and conversion-driving factors in real time for what seems like forever. And now they can basically have all of these data points via IPS—if their store structures, technology infrastructure, budgets, and management resources all align.
So, is IPS important and worth retailers' attention? Absolutely. Is it for every retailer with a bricks-and-mortar store? Not so much. IPS is really a mix of technologies that touch issues like privacy and vendor negotiations and customer experience. Every retailer needs to think hard about what's right for them.
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"Bin stores are the in stores, for sure. A bin store is the perfect storm of buy low, sell high, and get your shoppers into a weekly rhythm of store visits. The pricing model is more of a game that I’m sure can be addicting. It works, and hard-core bin shoppers definitely schedule their lives around these bins. So, yes, we’re going to see a lot of these, and expect national plays here soon.
In other news (from August, anyway), when Overstock.com paid over $21 million for the intellectual property of Bed Bath & Beyond, it never occurred to me that they would just redirect their site to the BB&B online site and make the Overstock.com site disappear. But thinking about this bricks-and-mortar bin store development, it makes a lot of sense. Overstock was early on as an online liquidator, but then Amazon and eBay and just about every other discount brand started competing with them successfully online. Shoppers now know they can go anywhere for online bargains, but there’s nothing like going elbow-to-elbow for winning those liquidated prizes in your local bin store!"
"No retailer should ignore the $450 billion price tag on Gen Z’s “open to buy.” They should also not see Gen Z as a single shopper type. This generation spans almost 15 years, from about age 10 to 25. This is a diverse group with certain beliefs and habits that separate them from Millennials. But retailers need to know that, for instance, younger Gen Z shoppers might focus on trends, while older ones might be driven a lot more by tech, spending limits, and social causes. So, retailers should tailor strategies for these distinct age groups within Gen Z instead of, well, thinking of them only as “Gen Z.”
Now, the rise of AI in retail will have a significant impact on every age Gen Z shopper. Yes, these tech-savvy kids and young adults expect personalized, AI-enhanced shopping experiences. But they also want authenticity. In an era of AI-generated content and avatars—an era which has only just begun—retailers need to leverage AI but with, I think, a very human touch.
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"Turning a decent profit has always been the most difficult task in grocery. Instacart is smart to realize that its future is not in clogging up the aisles. But what grocers need to be cautious about is what Instagram is already very good at: data. And data, in all retail but especially in grocery, is gold.
I believe that your customer in retail is your biggest asset, and sharing or giving that data away is a mistake. Disintermediation is the risk here and Instacart is clearly a disruptor. Today it’s ad dollars, tomorrow it’s all of grocery."
"First, Carrefour’s shrinkflation warning signs could use some shrinking themselves. How about shortening “This product has seen its volume or weight fall and the effective price by the supplier rise. We undertake to renegotiate this price.” Let’s see: CAUTION: SHRINKFLATION! Done.
Now, I believe shrinkflation is a global character flaw of suppliers. We see it with oil all the time. OPEC changes their price and the ripple effect is instantaneous but when lowered, not so much. My pet peeve is coffee: what used to be a pound is now 12 ounces. Retailers need to push back, but in the right ways. Carrefour is being transparent with consumers as a passive-aggressive move to embarrass suppliers while at least trying to maintain customer trust and loyalty. Of course, not every grocer is as big as Carrefour (which we haven’t seen any shrinking in lately).
By the way, my original comment had 25 percent more words."
For returns, surrender is not an option. There are good solutions for online size and fit, for instance, including a new one that uses social media and user-generated content (UGC) to reduce returns dramatically. And let’s not forget serialized inventory.
Part of the returns disaster is from fraud. Serialized inventory, using RFID, puts honesty back in the equation for returns. Retailers shouldn’t be throwing their hands up with returns. They should be using them to research available solutions or to call for help.
This is part trust, part shopper habits, and part logistics challenges. Shoppers are used to interacting with staff in the deli, pointing to choice cuts and trying slices of cold cuts for free. There’s simply no way to replicate that online — until we can beam a slice of thinly sliced roast beef via a teleporter.
The virtual shopper approach (which is what part of the Walmart patent sounds like) would mean a deli worker would be waiting on remote customers and in-person customers back and forth. Not easy. Then there’s the cold chain. So if Walmart patented its “Fresh Online Experience” in 2018 and, with all its resources and ability to test, didn’t roll it out during the peak of COVID-19, then it must have been a non-starter.
The biggest challenge here is grocers having visibility into inventory levels. If a grocer has dedicated online inventory then it is less problematic than if they are pulling inventory from a store where customers shop.
Since the inventory in a common store is not real-time, they have little idea of the actual inventory levels. The goal should always be perpetual inventory, and real-time visibility into what’s in-stock. This is a real problem and one that won’t be quickly solved.
There is some very interesting psychology at play here. Typically people are more inclined to buy something if they feel it may be in limited supply. In this case, however, shoppers have been burned so much by out-of-stocks and poor quality substitutions that they are acting more rationally than normal.
I don’t see this as increasing productivity — more like having the opposite effect. IT is a project-driven department with a set of tools that allow collaboration and transparency.
Many commuters spend 2+ hours a day on their commute and have grown accustomed to the work-from-home environment. Some have purchased homes outside the normal commute as well.
This is a hard pill to swallow and will make recruiting that much harder. I’m not sure that everyone’s dream of “the workspace of the future” will be in a cubicle in Bentonville, Arkansas. Let the rush to San Bruno begin! (Or keep working from home and be more productive.)
Suppliers are quick to raise prices but slow to drop them back as things settle down, like the price of fuel. As the major component of transportation costs you’d think it would have a ripple effect on consumer prices.
Shoppers vote with their wallets, not their rage. But I think there’s already a term for an angry mob that refuses to pay full price. It’s called looting. In any case, brand loyalty is a powerful force. And that’s what’s keeping shoppers from switching to lower-priced options.
Every segment of retail that Amazon sets its sights on is vulnerable with this low-cost juggernaut. Amazon knows it must win the prescription game while Walgreens and CVS compete for in-person medical care. This might be a tough slog, though, with two giants in CVS and Walgreens fighting neck and neck and both competing against Amazon.
I believe that, in the end, patient care will win out. The personal touch in stores will remain strong, but Amazon will get their slice of the pie. Imagine the additional wealth of personal information (aka data) Amazon will amass once customers are incentivized to tell all regarding their prescriptions!
I believe that every retailer should periodically re-engineer their processes. Many retailers focus on the hiring and organizational, the technology and their processes as separate entities but the reality is that best-in-class retailers harmonize the people, process and technology and look at their organization holistically.
Business process management tools that allow you to model, simulate and instantiate change are the building blocks necessary to streamline functions, activities, tasks and steps that allow an organization to reinvent itself.
If Dr. Kalish is prescribing investment in technology and focusing on the post-downturn economy, I like those doctor’s orders. In this type of environment I would adhere to Warren Buffet’s approach of doing the opposite of the crowd.
When we come out of this speed bump, those retailers who have invested in the recovery will seize the day. Retailers can take advantage of this time to make their operations more efficient and cost-effective. Automation, RFID, and prescriptive analytics are all technologies that can help streamline operations, reduce costs, and provide a better customer experience.
But retailers should also be investing in the development of their employees, creating career paths and providing training opportunities to ensure their employees are well-equipped to handle the challenges of the future. I have no idea what Dr. Kalish meant by companies “hoarding employees.” Not sure where they’re being hoarded, and I hope they’re all okay.
Twenty years is a long hibernation. Ames should emerge refreshed and full of potential. This is the perfect time time to resurrect a chain like Ames. Discount is in, so why not ride the wave?
I personally would have chosen Filene’s Basement as it had more cachet. Or, even more symbolic, the old Federated department store, Lazarus! Popcorn? Slushies? Soft pretzels? What time do they open?
Nostalgia sells and both spots hit on that theme. I personally like Wegmans better as I believe they hit on the real spirit of Christmas. The joy of giving not just a gift but your time to others who might be lonely, older and isolated. I’ve only seen one spot but it hooked me.
What’s that famous quote? “Find a job you love, and you will never have to work a day in your life.” Does this Wayfair CEO think that means that work should be painful, otherwise it’s just quiet quitting in disguise?
Just telling people “to win” won’t work. Having a vision of how to win (which is the biggest part of a CEO’s job) and communicating that in a compelling way—that’s what will lead to winning. Well, that and a lot of good decisions about getting, people, process, and technology to work together. Maybe he should listen to Aretha Franklin’s song, Respect, a few times—while he’s working, of course. No slacking off for this guy!