CART Weekly Report 5/2/19
CART, Advancing Retail
Gary’s Take: Some readers will remember in the 1980s when then President Reagan harnessed the powerful US economy to burgeoning military innovation, triggering an arms race that eventually bankrupted the Soviet Union and ended the Cold War. This strategy became known as the Reagan Doctrine. Well today we have the Amazon Doctrine. Jeff Bezos has linked his company’s massive financial resources to tech innovation in a bid to completely disrupt many sectors of retail. Amazon’s just released record profits, linked with investing in speeding delivery to 1 day for Prime members, is the Amazon Doctrine in action. While other companies have tried to base strategy on tech what is different now is the point in time we are at: We are at the inflection point on the exponential growth curve of technology and Amazon is opening up a growing gap with competitors. Speeding up delivery is a ‘prime’ example.
Sterling’s Take: Free content will most always be a draw to some degree. And if the shoppable content is easy to use and meaningful to users, it will only add to it. Sounds like many brands have already bought in … but Walmart has some catching up to do with regards to original programming. Amazon and Netflix are so far ahead in creating really great (sometimes viral) content — it remains to be seen if Walmart can carve out a viable niche with “basic-cable” content.
Sterling’s Take: To me it’s a question of where they can add meaningful value, and I think BevMo! has found a use case here with SmartAisle. It’s something that (especially at this stage) isn’t appropriate for all retail verticals or chains, but I can definitely see them complementing more sales associates in the not too distant future.
Sterling’s Take: 100% — innovation + disruption has very little to do with technology and everything to do with our thinking (decoupling or otherwise). It’s why Steve Jobs could take an invention from Xerox 20 years prior and create the personal computer industry. Or why RC vehicles were my favorite as a kid, but today we call them drones and they’re doing everything from delivery to military duty. Technology is the enabler and sometimes the result — not the disruptor in and of themselves. The biggest thing missing amongst retailers and brands today is an innovation culture, a group of people that can cultivate new ideas and perspectives beyond the status quo — and execute on them. Labs, innovation groups, etc. can help, but they tend to be siloed. What we can do is bring that kind of “startup” thinking, self starting and exponential aims into the entire organization. Is it confronting? Maybe … Does it work? Definitely.
Sterling’s Take: My mom used to have a saying for this — “it’s cheaper to milk a cow than buy one.” That is, if everything Amazon is looking for from Kohl’s comes at a low cost, why do they need to move forward with anything else? I’m sure Kohl’s is keeping their fingers crossed for a deeper relationship, but Amazon will only drive from the data, numbers and performance that makes sense.
FEATURED BLOG OF THE WEEK:
PERSONALIZATION AND RELEVANCY CAN BE A GAME CHANGER FOR INDEPENDENTS by David Kiehle, Senior Vice President and General Manager at Smart.Market, Inc
COMMERCE IN THE CONSUMER AGE: HOW HUMANITY AND TECHNOLOGY COME TOGETHER TO CREATE A NEW VISION FOR RETAIL - Criteo Commerce Forum May 9, 2019
- Questions? Contact Retail and eCommerce Committee Event Co-Chair, Sterling Hawkins via email:firstname.lastname@example.org
DISRUPTIVE LEADERSHIP & THE SELFCARE REVOLUTION, Boston Immersion Event
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CART is Advancing Retail by connecting the industry to innovation. Retailers, wholesalers and brands utilize CART to find, research and connect with solutions appropriate for their businesses. Solution providers use CART as a go-to-market tool that connects them directly to their target retail audience, all the way into the brick and mortar store itself. CART has unparalleled insight into what’s next in retail and shares this information regularly through multiple channels.