Retail Unwrapped from The Robin Report https://therobinreport.com Retail Unwrapped is a weekly podcast series hosted by our Chief Strategist Shelley E. Kohan. Each week, they share insights and opinions on major topics in the retail and consumer product industries. The shows are a lively conversation on industry-wide issues, trends, and consumer behavior. Wed, 14 May 2025 16:14:47 +0000 en-US hourly 1 https://wordpress.org/?v=6.8.2 The Robin Report The Robin Report info@therobinreport.com Retail Unwrapped from The Robin Report https://therobinreport.com/wp-content/uploads/2023/12/RR_RU_Podcast_CTAArtboard-02-copy.jpg https://therobinreport.com Retail Unwrapped from The Robin Report Retail Unwrapped is a weekly podcast series hosted by our Chief Strategist Shelley E. Kohan. Each week, they share insights and opinions on major topics in the retail and consumer product industries. The shows are a lively conversation on industry-wide issues, trends, and consumer behavior. false All content copyright The Robin Report. Keeping Up with The Wellness Movement https://therobinreport.com/keeping-up-with-the-wellness-movement/ Thu, 15 May 2025 16:01:00 +0000 https://therobinreport.com/?p=97640 wellness movementRetailers must tap real-time TikTok data to stay ahead in the wellness movement as trends shift too fast for instinct-led decisions to keep up.]]> wellness movement

The retailers that are dominating today’s wellness and outdoor space aren’t gambling on guesses. Those who still rely on instincts to build their product assortment are relying on guesswork instead of strategy. What once might have been a gut-driven art is now a precision science. Smart retailers are using real-time data to make smart, strategic merchandising decisions that drive real results.

Smart health and outdoor retailers are staying ahead by adapting to rapidly evolving consumer trends in real-time. They’re forging partnerships with fast-growing, in-demand brands, and stocking high-converting products that align with what their customers are already actively searching for. And they’re doing all of this based on in-depth DTC and TikTok Shop data.

Modern consumers don’t frame wellness products as luxuries, as they did in years past, but as alternatives to the rising costs and oft nebulous reputation of Western medicine. Consider that a third of Gen Z consumers turn to TikTok as their main source of health information. They use it like Google, and on TikTok, wellness products win. According to data from Charm, the leading brand discovery and analysis platform, the wellness space (including the health, and sports & outdoors categories) has driven more than $1.3 billion in sales in the past 12 months on U.S. TikTok Shop sales.

And that’s just on one platform. Factoring in Instagram, Facebook, Reddit, Snapchat, and the hundreds of additional platforms dominating consumers’ smartphones today, it makes sense that the wellness category is a point of focus for a growing number of retailers. The wellness sector growth isn’t poised to slow anytime soon, either. The global wellness economy is poised to keep growing at 7.3 percent a year through 2028––much higher than the projected GDP growth of 4.8 percent.

The facts are in: the wellness sector pays dividends. There is huge potential for retailers to optimize their product assortment with the latest trending brands and products. If you’re still planning assortments based on last year’s trends or outdated sales reports, it’s time for a major reset. Here’s what top retailers are doing differently — and how you can catch up by getting the data-backed insights into the wellness and outdoor products that are driving sales today.

Why Guesswork No Longer Cuts It in Retail

The retail landscape is evolving faster than ever, fueled by digital platforms like TikTok, where trends can go viral overnight. Consumers are discovering new supplements, health products, and outdoor gear online first — often before they ever set foot in a store. Yet the wellness industry evolves at a breakneck pace. The idea that a retailer can simply stock up on products geared towards the latest workout trends (AI fitness coaching, anyone?) and protein powder to reap the full fiscal benefits of the wellness sector no longer has legs.

Consider that, nowadays, 65 percent of retail decision-makers find it harder to respond to rapidly evolving consumer trends than it was in years prior. Perhaps that’s because wellness sector trends and consumer sentiment evolve too quickly for dated sourcing methods to work. Retailers who cling to the old ways — making purchasing decisions based on instinct or outdated data — risk falling behind, missing out on emerging trends, and ultimately losing sales to more nimble competitors.

Smart health and outdoor retailers are staying ahead by adapting to rapidly evolving consumer trends in real-time. They’re forging partnerships with fast-growing, in-demand brands, and stocking high-converting products that align with what their customers are already actively searching for. And they’re doing all of this based on in-depth DTC and TikTok Shop data.

The Rise of TikTok Shop and the New Path to Discovery

If your store isn’t carrying the brands and products trending on TikTok Shop, you’re already behind. Today’s customers are scrolling their way through product discovery — and if they can’t find their latest TikTok favorite on your shelves, they’ll move on. There are over 398,000 TikTok Shops in the U.S. alone, but opportunities to utilize TikTok Shop data extend far beyond product performance on TikTok itself.

Retailers who analyze what’s trending on TikTok Shop gain a valuable edge: they can spot emerging health and wellness trends before they hit the mainstream, stock products that customers already recognize and trust, and craft in-store experiences that feel relevant, exciting, and modern.

By aligning your product assortment with what’s gaining traction online, you can create a store experience that feels fresh and curated — one that makes customers feel like you just get it. Yet few retailers have the bandwidth or the massive procurement teams necessary to manually track ever-in-flux TikTok trends alongside the daily demands of running a retail business.

The Power of Real-Time Sales Data

Point of Sale data can give retailers a limited view of specific products that sold well in the past. Yet such data gives little to no guidance on the most important aspect of sales in the wellness sector: the products and product categories that are blowing up online. POS station data is now nearly as dated as door-to-door sales. It’s time to stop planning assortments based on what sold last year and start planning based on what’s selling right now.

Whether you operate a DTC storefront on TikTok Shop, or you sell smoothies and skateboards at a mom-and-pop shop in South Dakota, real-time data equals relevancy for modern retailers, With in-depth data tools like Charm, retailers now have visibility into what’s actually selling, which brands are trending and experiencing rapid growth, and what products customers are actively adding to their carts. Charm enables retailers to rapidly discover trending DTC brands and partner with them before their competitors get the chance. Get ready to source the inventory your customers are seeking.

No more assumptions. No more missed opportunities. Just actionable insights that lead to smarter buying, stronger assortments, and bigger sales.

Get Data into The Top-Selling Wellness & Outdoor Products

Every day that you’re not stocking the products that are driving real demand, you’re leaving money on the table. The good news? You don’t have to guess anymore.

In this report on the top-selling wellness and outdoor products, Charm data outlines which brands and products are growing fast and driving sales now. Discover the brands and products you’re missing out on and how you can use DTC partnerships to drive more sales to your store.

Get the full report from Charm.

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Placer’s 10 Brands to Watch + 3 Surprises https://therobinreport.com/placers-10-brands-to-watch-3-surprises/ Tue, 18 Feb 2025 05:01:00 +0000 https://therobinreport.com/?p=97368 Placer.AI ReportCheck out Placer.ai's latest enlightening report on the 10 Top Brands to Watch in 2025 when it comes to retail success. ]]> Placer.AI Report

Despite economic challenges, some brands have demonstrated strong market positioning, consumer engagement, and strategic innovation, setting them apart in an increasingly competitive landscape. So, if you’re looking for role models for retail success in our disruptive, unpredictable marketplace, Placer.ai has an enlightening report on 10 Top Brands to Watch in 2025. The 10 brands demonstrate significant potential to grow in 2025 – plus the report includes three iconic brands that faced challenges in 2024 and appear poised to make a comeback. Who are they?

  • Sprouts Farmers Market continues to outpace the grocery sector with a 7.2 percent year-over-year increase in visits, driven by its commitment to high-quality fresh products and small-format stores that bring its offerings closer to core audiences.
  • CAVA has emerged as a leader in the Mediterranean fast-casual segment by capitalizing on evolving consumer preferences for healthier, globally inspired dining options. Its success is fueled by strategic suburban expansion, digital drive-thru innovations, and strong operational efficiencies.
  • Ashley Furniture is redefining home retail by integrating experiential marketing, community engagement, and industry collaborations to drive store traffic and connect with younger consumers.
  • Nordstrom remains a standout in the department store sector by prioritizing service, experience, and customer loyalty, with its potential privatization offering even greater flexibility for future growth.
  • Sam’s Club is leveraging its membership model to drive strong customer retention, attract younger shoppers, and maintain high basket sizes, ensuring sustained expansion.
  • Raising Cane’s continues its rapid rise in the QSR industry by focusing on operational excellence, site selection, and a simplified menu that delivers strong sales per location.
  • Barnes & Noble is seeing a resurgence by reinventing the in-store experience, personalizing customer engagement, and offering more than just books, positioning itself as a “third place” for consumers.
  • H Mart is tapping into the growing demand for Asian cuisine and cross-cultural grocery experiences, expanding its footprint while appealing to a broad and diverse audience.
  • Bluemercury, part of Macy’s portfolio, is thriving in the beauty sector by blending premium retail, expert knowledge, and in-store services to differentiate itself in a competitive market.

Surprising Comebacks

  • Starbucks faces rising competition from emerging coffee brands and changing consumer behavior but is poised for a resurgence with a renewed focus on experience-driven retail, improved digital operations, and leadership changes.
  • Adidas is regaining relevance through high-demand classic styles and celebrity collaborations, reaffirming its brand strength despite retail sector challenges.
  • Gap Inc. is undergoing a transformation, revitalizing its core brands with strategic collaborations, fresh marketing efforts, and updated store experiences to re-engage consumers.

Key Takeaways

The variety of success strategies highlighted in this report—ranging from small-format store expansion and operational efficiency to experiential retail and consumer-centric innovations—demonstrates the multiple pathways brands can take to achieve growth in 2025. While some thrive through category dominance, others reinvent themselves to stay relevant in an evolving market. To download and read the full report click here.
 

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How LoveShackFancy and WeWoreWhat Are Crushing Consumer Engagement  https://therobinreport.com/how-loveshackfancy-and-weworewhat-are-crushing-consumer-engagement/ Mon, 23 Dec 2024 07:01:00 +0000 https://therobinreport.com/?p=97232

How do you get anyone’s attention when over 4,000 text messages are sent every second and 10 million TikToks are uploaded daily? Cutting through so much digital noise requires authenticity and strategic cross channel engagement. LoveShackFancy and WeWoreWhat are revolutionizing consumer connections by leveling up social platform marketing as real-time focus groups that inform product development and brand strategy. 

LoveShackFancy and WeWoreWhat founders, Rebecca and Danielle, discuss how brands can create meaningful connections across generations through an authentic voice and community trust, pillars that Cotton Incorporated has also used for over 50 years. 

Brand partnerships and collaborations between Cotton Incorporated and LoveShackFancy and WeWoreWhat show the valuable lessons in aligning with customers’ core values and trust. Watch and learn how two popular brands drive deep engagement and build social media strategies that matter to today’s younger consumer. 

Special Guests

Marissa Barlin: Director, Brand Partnerships at Cotton Incorporated
Rebecca Hessel Cohen: Founder & Creative Director LoveShackFancy
Danielle Bernstein: Founder, WeWoreWhat
Shelley E. Kohan: Executive Producer Retail Unwrapped

Transcript by Descript:

Hello, everyone. Welcome to our fantastic webinar today. We’ll be having Cotton Incorporated on as well as we have two amazing guests that I’m so thrilled and excited to have on our webinar today. One is Rebecca Hessel Cohen. She’s the founder of Love Shack Fancy, which everyone knows, and everyone is very excited about.

And Danielle Bernstein, who’s the founder of WeWoreWhat. So hosting with me is Marissa Barland. She’s the director of brand partnerships from Cotton Incorporated. And our big topic today is an important topic. It’s how are we reaching today’s consumer? It is so busy out there. There’s a lot going on in the media.

How can you grab attention and actually reach consumers? Reach the ultimate consumer. So, what I want to do though, before we get started in the content, which is just fantastic today, I would love to, like, get, let the audience know each of you a little bit. So, here’s what I want you to do. And, Marissa, if you don’t mind, I’m going to start with you.

Okay. But, tell us a little bit about where you are from, how you would describe your brand or company, and why you love what you do. Okay.  Okay, so I’m, um, a Floridian. I live in Miami, Florida, but I did live in New York City for 10 years. I was pursuing my MBA, um, and then I ended up staying many years later, unexpectedly.

Um, but I’m back home in Miami, and so, um, my office is in New York City, so I fly back and forth quite a bit.  And I think what I love about Cotton is  just as a fiber in a brand, I can really get behind it because it’s a natural fiber. It’s grown from the earth. There’s so many amazing inherent benefits about cotton.

I can really stand behind it. And I’m in my former life that there’s some things I worked on that I couldn’t necessarily stand behind. So it’s really easy to help be a marketer on the brand.  And as far as my job, what I love about it, it’s always changing. I never get bored. I feel like I’m a dinosaur at this point at Cotton.

Um, but it’s always changing year over year. I get to work with so many great people, so it kind of keeps me on my toes.  Awesome. Rebecca, let’s hear from you.  So, um, I am Rebecca Hessel Cohen. Um, I kept my maiden name, Hessel, because this is sort of like my second, it’s not my second career, but sort of. I was a fashion editor at Cosmopolitan for about eight years.

So started as associate fashion editor, worked up to senior fashion and beauty editor and then interned at about like every magazine you could imagine throughout my high school and college years. So I was like a full magazine girl. And so that’s how everyone knew me. So obviously I just kept Hessel Cohen.

So we never, I never lost it. And I’m from New York city, born and raised. Um, my husband and I both, which is sort of rare to see these days. So we live, we still live here. We grew up on the Upper East Side, live in the West Village. Um, and you know, so I, I love what I do because it’s, it’s just, I mean, it’s my life.

It’s like my, Everything I write. I always say that like I the brand that Love Shock Fancy is and that I created when Love Shock Fancy started, the word brand didn’t even really exist. Like, there were just companies and it was like all Theory and Diane von Furstenberg and just huge businesses and As an editor, I was always loving shooting these like small little designers that were maybe like an independent Australian designer or, you know, something else that I would find in the market and I would want to put them there and then I had to balance, you know, the, the world of advertising and then the world of editorial with the photo shoots I would do.

I always, I mean, as much as I love the advertisers. I always felt, like, really connected to these, like, independent designers. Um,  so I started, I couldn’t find the right bridesmaid’s dresses for my wedding. I decided to make my own. I went to the Garment District, went to Mood Fabrics, you know, didn’t love the colors, hand dyed them, worked with a local pattern maker, seamstress, made these dresses, and then everyone wanted these dresses.

So then, while I was still at Cosmopolitan for two years, I was making these dresses just on the side, selling them at trunk shows out in the Amptons, making them for friends. They would sell out, make more. It was just a fun hobby, and I loved doing it. And then, um, when I, you know, the worlds of magazines were really changing at that point, and I just was like, felt a little bit, just not challenged anymore.

I was, I saw the changing landscape and I went to my editor in chief, Kate White, and I was like, what should I do? Should I like try to do this as a business? She’s like, Rebecca, if you don’t do it now, you’re never going to do it. I talked to Lisa Marie Fernandez, who is a, was a stylist, is a stylist and a, also a fashion designer.

And she’s like, just go for it. And so I went for it and I learned like everything from the beginning. It took a long time. Learning production showroom. I didn’t know what a showroom was sales like all these things And so it really started from such an organic like authentic place. So I think that there was no calculated plan So for me, I always say like that’s still I’m in like my la la land and luckily I have amazing people on my team who are really really smart and not that I’m not we’re smart in different ways, right?

So we complement each other. I’m very creative And so, you know, I’m really lucky to have grown an incredible team as we’ve expanded over the last 11 years.  Into with real experts who know the merchandising to retail to production to everything else marketing that comes along with it So danielle tell us a little bit about we wore what and don’t forget to tell us about your background Yes, so i’m danielle bernstein Founder of we were what which started about 13 years ago now And funny enough we were what actually started as a street style blog.

I was behind the camera photographing street style around You My campus here in New York at the Fashion Institute of Technology sort of as a way to provide this daily source of outfit inspiration for getting dressed in the morning and then many years into my career, sort of pioneering and being one of the OGs of the influencer industry and the creator economy, uh, turn the camera around and was starting to photograph my personal style and then do design collaborations with different brands.

Sort of put the proof in the pudding that I was the best selling power out there as opposed to traditional advertising and then ended up doing a design collaboration with a swimsuit company where we sold 2 million worth of swim in the first hour. So it was a major moment to sort of realize that I should have my own brand.

And I loved designing. It wasn’t something that I was taught or that I studied in school. I was an advertising and marketing communications major. So I was always more business and marketing focused, but I definitely have a creative side of me. Uh, and so combining those two things and creating my own brand just seemed like the best next step.

And. Started slowly but surely introducing one category at a time. So I didn’t just jump into a full ready to wear line. I started with swim sort of mastered that market and then moved into ready to wear and then accessories. And we just introduced perfume where we have everything. Now we were what is truly a head to toe brand.

And Funny enough. You know, I’ve known Rebecca for over a decade and we go so far back as someone who I’ve looked up to all the time. We’ve worked together with Love Shock Fancy, um, over the years. And it’s, it’s really cool to be in this room and to be with everyone because Cotton has been such a meaningful partnership for the WeWoreWhat brand, really allowing us to bring a sustainable fabric and a sustainability to the brand overall.

And to introduce these collections that we’ve done together at a really affordable price point for our customers and just seeing How well they’ve responded to that and doing the very creative, fun marketing initiatives that Marissa and I have created together, whether it was doing a pop up or doing our first ever fashion week presentation.

It’s been really fun to see. We wore what grow. Especially with cotton as well. So we’ve we’ve had great partnerships. Okay, so let’s get on with our topic here So first topic is consumer trends and behavior and I know cotton incorporated who I’ve known. I don’t know probably over a decade You do a lot of research and you also do a lot about consumer trends and behaviors So I’d like to start with you and maybe you can share with us a little bit about what you’re doing with love shack Fancy and we wore what and any  Any information particularly around the younger generations, whether it’s Gen Z, Gen Alpha?

Okay, so one of the many great things about Cotton is when we’re working with our retail partners or brands, our partners are able to actually tailor our messaging that’s best suited for their audiences. So very flexible in what we do.  Significant insights in what we’re seeing among Gen Z is really the multitude of shopping channels that are available to them now, especially through social media.

And the generation has grown up on obviously on smart technology, especially with their phones and their tablets. So they have that on the go access at any given time. And now with all the apps there that they are on and so many easy ways to tap and add to cart. In addition, the shift to fashion influencers has really impacted the way we invest our marketing dollars with our partners.

There’s not one partnership that we have on tap that does not incorporate a significant influencer strategy because we do see the impact that influencers have on Gen Z and the access Gen Z has to them through their favorite social platforms.  Great. And so Rebecca, I’m going to ask you, cause you really have a great handle on Gen Z and it’s kind of your core market, I believe, but tell us a little bit about what, what’s the expectation there.

Are they expecting, you know, brands to be authentic? What’s your approach to marketing? Like, how are you doing that? I mean, I think that same, like for me, Love Shock Fancy now has become so much of a full lifestyle brand. So, you know, everything from home to. Clothing. We always say like ages, babies to eighties.

So and then into perfume and body mist. We were working really closely with Sephora. So really understanding like the mix of all worlds where fashion needs beauty meets technology meets influencer meets like authenticity. And I think the changing, you know, really what I’ve noticed. I pay so much attention to everything and just because I’ve been in this industry in terms of from the editorial side also to now from the design and brand side is that, you know, the customers really want to connect.

They want to connect with the founder. They want to connect. They want things to feel authentic and not like someone’s getting paid to do something. They don’t really love like models standing around who look just like skinny and boring and  Not that they’re all soulless. I love models, some of them, but you know what I mean?

They really want to feel like someone’s, a friend is really talking to them. So Love Shock fans, you know, we really pride ourselves on being, we’re, we’re aspirational, but we’re also like your best friend. And so that’s how we like to treat our customers and just partners from so many different collaborations that we do and work with.

We get to. You know, we’re really exposed to so much, a huge range. Um, and it really does span all ages. And then the, the core, like that key customer who loves Love Shack Fancy and is engaged on all the social media platforms, like specifically TikTok, is like that Gen Z. And then soon to be the Gen Alpha girls, who I know because my daughters are the Gen Alpha.

Five. Nine and almost 12. So.  You know, we really see that we tap into understanding what like all the college girls want what all the 20 something year olds. I’m like, I feel like a dinosaur now, too, but I feel but really in my heart. I’m still 27 8, even though I’m 43. So, you know, and it’s just about, I think, like connecting and and what when you love something, it really translates.

So I think and Danielle and I both, you know, like, we’re really passionate. We love what we do. We love our part. Like, I would never lie. And  and say, I love something if I really didn’t believe in it, you know, so yeah, finding the right partners, whether it’s a brand, you know, a collaboration or a partner like a cotton and love shark fans, whatever it may be, it needs to feel really authentic and true.

And I think that’s very apparent because now that’s what social media has really changed and paved the way for is being true, you know, like, the fantasy of it all is great to have sometimes, but they want to connect in that in the real way. Definitely. And Danielle, what are you doing in terms of communication with your customers and are you getting any, any feedback back?

Like, is it helping you? Does it help inform your brand? Absolutely. Yeah. I always like to say I, as an influencer first have such a direct access and a direct line of communication with my followers, which inherently are my customers.

So. I am constantly from a marketing side to a design standpoint, pulling my customers, talking to them, bringing them through the design process, the behind the scenes of the creation of designs to photo shoots to the setups for events.

And really, you know, something we did with cotton, actually. For our previous fashion week presentation was a real time vlog style, authentic, like documentary almost that we posted on Instagram and our reels of these four or five minute videos that were the five days leading up to the show. And so that was part of our marketing, but also a way to give our customers a real inside look as to what it takes to launch this collection and to put on this presentation.

And so something that I’ve done my entire career is sort of. Teeter this line between the perfect mix of relatable and aspirational. And I’ve remained authentic throughout the entire lifespan of my career and, uh, as a brand. And so walking the followers through the process and keeping them very highly involved, and then talking to them constantly.

What do you guys like this colorway, this colorway? What did you think of the shoes we just released? What do you want to see differently for next fall? And so we are constantly talking to our customers, and we’re listening to them and we’re implementing that feedback in our designs.  That’s awesome. It’s like crowdsourcing in a major way, but with a very, uh, targeted customer or consumer giving you that feedback.

So it’s great. Uh, Marissa, let’s move over to you. So I, you know, we mentioned it earlier. There’s so much content out there. It’s like a sea of content. How are you standing out in that sea of content?  Well, I think the first thing is the fact that cotton is a natural fiber. It just inherently has incredible benefits that lends itself to a lot of what consumers are crazy craving, especially at this time of year.

Um, 1, of course, is comfort. So depending where you live, cotton is that go to fiber for cozy apparel. If you want to keep warm and you’re in a cold climate, but it also doubles down as the comfortable fiber, even if you’re in a warm climate and you just want to wear jeans or loungewear and it allows you to muscle through sort of the holiday shopping frenzy or when you’re stuck in your car with intensified traffic

It’s just an easy choice. Um, and it’s soft against the skin. It breathes. It moves with you. So I also think from a marketing standpoint, cotton. It just is that feel good fabric, not just literally, but from what our research shows, eight out of ten consumers are aware of our logo, the Seal of Cotton trademark.

So it’s a familiar identifier in the fiber world where there aren’t really a lot of logos to identify fibers. Um, consumers also associate the Seal of Cotton trademark with comfort, safety, naturalness, and trust. So I think our efforts, especially in our messaging, is just about keeping it simple and being true to who we are, a trusted fiber in your favorite apparel items.

And I actually want to read you something stemming from our latest advertising platform that was introduced this year, and I think it really just sums up how Cotton Best reaches our consumers during this wild media season. So every second, over 4, 000 text messages are sent. Every day, 10 million new TikToks are uploaded.

You check emails when you wake up in the morning, Instagram during commercials. We’re on to the next thing before you’re done with the last. We need to go back to the basics, make intentional choices with our time, with our activities, with our clothes, with right now. So cotton is the fabric of now, the fabric of our lives

I love that, Marissa, and excellent, and  let’s not forget when we’re born, our day one, even day zero, actually, we’re wrapped in what?  You never hear a new mom saying, I want to reach for that polyester blanket, um, you know, for bringing new baby in the world. That’s so true. Yeah. So Rebecca, I want to ask you something.

So this summer, I believe you launched a capsule collection, American capsule collection with Cotton Incorporated. Tell us a little bit about that, please. So that was, um, really exciting because we did really our first true, you know, Americana Inspired by July for I mean, we are an American brand, even though I think I’m French half the time, but we are very truly American and we love our American girls and, you know, cotton was the part like it’s our it’s our day to day uniform is there really wouldn’t be a better partner than cotton.

It’s something that like, like I had said, even from the beginning. The first time we started selling the first pieces that I sold to Barney’s and Net A Porter before we had were the cotton like Victorian dresses with some beautiful laces and really simple, chic and black and white. So cotton has just been like the basis of our everyday uniform.

And it’s like your best friend. It’s the. DNA of Love Shack Fancy. It is the uniform. Talk about Gen Z. Like, there is not a girl, hopefully, who doesn’t have the cotton Love Shack Fancy miniskirt. Or now, at this point, it’s like, There are a lot of other copies of it, but we’re it’s still still great to have a love shack fancy one.

But, you know, so there’s really key like icons like a ruffle mini skirt, which the, you know, the biggest, um, fabric is cotton that we’re using for it. So we did this great capsule. We really wanted to find me. We went back and forth. Who is the right fit to be the face of this campaign together? We wanted something that felt really timely that different audience again.

Also like cotton for us, like because we’re so babies to eighties, like we, you know, make girls babies clothes starting at three months. I think it’s three months and we dress yeah. I mean, I know grandmothers who are in their nineties who are wearing our cotton dresses. So really being able to speak to so many different audiences and customers coming into our stores, going to other stores.

So we worked, we decided it was, it was perfect. It was the Olympics. We worked with Sunni Lee, who was in it, who is an amazing, um, Olympic gold medalist. I adore her. We worked closely. We designed some custom pieces with her.  And then we also styled her in some of like the key pieces and that sold. I mean, it sold, it performed so well.

Um, there was such amazing excitement and feedback and it was like all the red, white, and blues, all the cotton, the stars. Um, so it felt really patriotic. It felt very timely. It felt like what a, every age could, you know, Could associate with somebody like Sunni. She’s a, you know, icon and an incredible female athlete.

So I think for things like that, and we really wanted to see like, what is Sunni wearing off the, you know, when she’s off the mat. And she’s wearing, she loves like our halter dresses that are all in cotton, our Deannas, our love dresses. She could do, I mean, she was so amazing on the shoot. She was literally doing.

Lips on top of the cake stands, and and she was just like living her best life and you could see the confidence and You know the strength and like power that she felt in these pieces So that’s obviously the most important again goes back to the authenticity and just finding like the right place You know, the right partner and the right, um, the right person to represent, whether it’s the collaboration or, you know, the brands, I think, so it’s real people.

It’s like real people, right? It’s like, I, you know, we take that really serious. Like we, I mean, the amount of hours when you’re thinking of, of who, and it’s a lot of pressure because, you know, and it depends who you’re asking to, because there’s all these, you know, the younger, um, Like the 18 year olds are not going to say the same, you know, name as a 40 something year old and the 40 something year old probably doesn’t know even know who the 18 year olds is even talking about, you know, so it’s really an interesting thing.

And so, just depending on what age demographic and, or if you want to span all, which. We were really, I felt lucky enough to do now. My girls think I’m so cool because we had Sunni late, you know, whereas before we were really, I was like, promise, promise, like she’s going to be the best. And so now that’s great.

Yeah.  So Danielle, being one of the most well known influencers out there, like seriously, how are you cutting through the noise? And I feel like every year there’s more and more and more out there. So what are you doing?  Yeah, I think that, you know, standing the test of time and and lasting in this industry.

It really authenticity. It’s such a corny word and it’s overused, but remaining transparent and just being real with your audience has been the most important part of my career. You know, learning when to say no, turning down partnerships that didn’t feel like something that I resonated with and, you know, My followers know that when it comes to influencer partnerships.

And so it’s really easy to tell when something is really loved and thought of and feels authentic to the brand. And so. With our cotton partnerships, we’ve always said, like, what can we bring that’s new to the table when it comes to releasing these collections? So, the first ever WeWoreWhat pop up, which was our first time ever doing something in person, retail wise, three months, there was exclusivity to it, there was hype around it.

It was a great location, the right season, and it felt like an extension of my home. So that’s something also that my followers and our customers have come to know and love is that every part of the brand feels like an extension of me, but there’s something for everyone. And so remaining really true to my style.

Creating pieces that I am going to wear on a day to day basis because I am the biggest ambassador for my brand and so my followers love to see that I’m still wearing the brand months after the collection comes out, which is very true. And nine out of 10 times when I get dressed in the morning. One thing on my body at least as we were what, which I think is, you know, a big testament to my love for the brand and our designs.

And then this year, you know, we were what has never done anything during fashion week. We are a brand where mostly everything we create is under 200. So very untraditional to show at that really contemporary price point at fashion week. And I said, you know, if I’m going to do something at fashion week and I’m going to present these collections You know that are actually going to be available to shop that same week that I would also want to include the customers So we did a see now buy now wear now presentation.

Where we displayed our cotton collection at the forefront And then some of the other fall collections and then had our customers be able to come and have access to it So they felt like they were part of something that they maybe didn’t have access to otherwise And that was a really cool moment for the brand.

It was a lot of work for us. Yeah, it was so much work than we could have even expected, but it was so worth it to see that end result. And then we saw the results in the sales as well. So this was one of the pieces from the collection that sold out within like this jacket with the and cotton has been a fabric incorporated into our designs since the very beginning.

Like So many of our pieces are already so naturally in cotton. So doing something with Marissa and with the team was just such a natural progression for the brand and something that allowed us to get a lot more creative with our marketing too. That’s great. And Rebecca, I want to ask you a question. So I know you’re out there on social media a lot.

TikTok, Instagram, like how are you making decisions about whether you’re going to be on TikTok or Instagram or how does all that, uh, what’s the most effective route for your brand? And has that changed over time? Well, I think, yes, it definitely has changed. I mean, I personally had never even been on TikTok until I think it was like March or April of last.

What? Yeah, I swear. I mean, I had seen obviously But I do everything when it comes to Instagram and I read every single comment and every DM And that was really like Instagram when I started love shack fancy The way I got myself out there was really through Instagram and the way I connected with everyone and when you know I would do a party and it wouldn’t get coverage on  I’m like, well, we’re going to do our own coverage.

And, you know, so love Shaq Fancy, like, I love magazines and I love that world of storytelling so much. So I really think of social media. It’s, I mean, ask anyone who works with me on it. Like, I’m so crazy about it in a way because I’m so passionate and it’s important for me to tell that story. So I’ve always looked to Instagram You know, because I’m a little bit older than the tick tock generation.

But now that I saw, but you know, as we’ve seen, like we had this crazy Colts Bama rush situation that happened a few years ago, that OOTD is that I learned, you know, I learned all about Kendra Scott, which then led to a collaboration we did with her, all the girls at Alabama and the college girls during rush are getting dressed in their love shack, fancy miniskirts, dresses, whatever it may be.

Mostly cotton florals all the time, especially in the south, and they’re doing their O. T. D. S. This was the first year that I actually witnessed the entire thing. Myself by watching and I was glued. I was so glued to like these girls that it was a crazy thing. So, I mean, it really, it’s become the new form of, of everything like younger girls, I mean, instead of Google, they look it up on Tik TOK.

So I think really being able to just, again, naturally like understand that. And love shack fancy has had a presence on Tik TOK for the last, like two years. But me personally, like I have my own and then also the brand. So mine is really super like relatable.  I also use TikTok personally to see what people are really responding to.

Again, like Danielle said, like, okay, this is, should we do, which Colors you like best, like, you know, taking them behind the scenes. I love to do all of these like vlog style stories, whether it’s Paris Fashion Week that I go to four times a year. All the trips, all the photo shoots, all the events, like really seeing like the hard work and then also the finished product.

And that’s what I think everyone really likes about it. to connect to as well because it’s not just about as much as I love a beautiful photo. It’s not just about the beautiful photo anymore. It’s really about like the story that goes into it and then the behind the scenes and the hard work that’s there at the office.

And You know, the 12 people in design and, you know, the production team. So I think really giving this like world of in all the different ways. Um, and just really finding like a balance with that. And I mean, for me personally, I’m very glued in. Like I read all the comments, the messages, the I’m looking.

Constantly at all of the feedback that are, you know, our customers are giving us and that really I find is the best way to connect. So whether it’s like about new partnerships about new store locations, like we’ve opened 17 stores in the last few years, and we’re always saying, where should we open next?

What do you guys want to see? Like, so I think really engaging using, you know, the social media platforms and just really having a balance knowing and then also Facebook, which is like,  but then Facebook is really for the more like 40, I think, and up. So, but they actually really shop on Facebook, you know, and TikTok is more Gen Z.

And then Instagram, I mean, is really more a little 30s, 40s, I think. So really just understanding it all, like Marissa, that quote is like going to stick with me for the rest of my life. You just said, because we’re all culprit, you know, of all of it, but it really is true. And then sometimes to just like, Take a deep breath and take a step back because you do get so into it.

But again, like for what we do, you really need to be, and it’s not like something I want to hear from someone else. I need to like read it, see it, engage in it myself to really understand. So, yep.  And I think the other thing that you kind of mentioned, and I know Danielle mentioned as well, is you have these brand collaborations, but, you know, Danielle, you have a huge personal influencer.

How are you balancing kind of being personally authentic with your own, you know, branding, but then also doing brand collaborations?  Yeah, I mean, like I said earlier, I don’t, I’m fortunate where my brand, the WeWoreWhat brand is really the sole focus of my career now and the biggest revenue driver for me.

So the influencer partnerships that I do now, as opposed to, you know, I’ve been doing this for 13 years, they were at one time the main focus of my business. Now they’re like the icing on the cake. So I’m able to be a lot more selective in the influencer partnerships. I do. And my followers and my customers and the people on Instagram and my other platforms know that.

So they’re able to see when I’m promoting something, whether it’s a hair supplement or a new. You know, wine brand that it’s something that I actually really believe in and that I want them to buy because I would buy it for myself. So I, I’m lucky in the sense where I’m just able to be a lot more selective in the partnerships I do so that I can really focus on the brand and only promote things that I really, truly love.q

That’s great. And Marissa, maybe you can talk a little bit about, you know, this whole brand partnership and influencer partnerships. You know, is that part of Con Incorporated’s broader strategy? Are you trying to actually get to a younger demographic?  Yes. So, uh, influencer integration plays a very significant role in what we do.

Um, because we literally see the impact the creators have on cotton sales. Um, this demographic, you know, hangs on every word of their favorite influencers. So during the onboarding process, we do a lot of research into who they are, who their audience is, uh, what their voice is all about, their aesthetic.

And we find that, um, Cotton aligned influencers are able to be very authentic when it comes to talking about cotton. Cotton’s an easy fiber and it plays such a large role in so many of our cotton, our closet favorites, from the best fitting jeans we have to our favorite t shirts. But more than that, influencers can influencers can talk to cotton that is beyond the basics.

Um, so more than just, you know, your favorite jeans and tees, it’s also in those trend driven pieces and unexpected silhouettes and how that makes them feel. So we like to say you don’t have to sacrifice comfort for style or vice versa. And that’s one of the absolutely very best things about cotton, I think.

And our retail and brand collaborations play a large role in representing cotton in their voice in the best possible way to a younger demographic. So our partners are able, like I was saying before, take our creative direction, but then they mold it into their voice that works best with their audience.

So, we have this cotton timeless fabric, you know, what,  how are we staying current? How do we make sure that we are focused on sustainability with this Gen Z and Gen Alpha?  Well, I think Danielle said the term authenticity, so it is a little corny and I think I’ve said it probably 15 times during this webinar, but at the end of the day, I think if we just continue to focus.

on being authentic and who we are. That’s what’s important for cotton. You know, Gen Z is a very environmentally conscious segment of the market, and they do lead the way when it comes to sustainable fashion. We’re seeing that a lot in the trends in thrifting and upcycling, but I would say cotton is able to sort of one up the competition, so to speak, in a messaging capacity, because again, Cotton is a natural fiber grown from the earth.

It’s as simple as that. We see a lot in the industry with synthetic fibers being very creative with their marketing approach, pushing how sustainable their product is the consumer. But of course, the consumer is not aware of some of the really Let’s call it significant processes that these fibers go through to become what they are in apparel form

I think that’s sort of the missing educational piece that the consumers don’t see, um, which can be tricky. But at the end of the day, cotton is a plant. It’s grown from the earth. It’s not grown from an oil plant. No, that’s great. And that would be another whole podcast to go through all those processes, which we won’t do.

But let’s talk about 2025. Rebecca, I want to start with you on this one. So what do you what look in that crystal ball? What do you see for digital experiences, virtual pop ups, augmented reality? What’s going on with these trends, virtual pop ups? And like, that’s really that’s That’s exciting. I mean, so for us, we, for at Love Shack Fancy, we’re very focused on true experiential in terms of whether it’s store openings, events, um, you know, we have, we opened a lot of stores in the last few years, we’re going to be opening Several more in the next year and continuing on.

Um, so I think and really what what we’ve done with that and also in terms of events, whether it’s with collaborations or partnerships, whether it’s fashion week, whether it’s just to celebrate, you know, we just did when we did something in rock center. We had our latest collaboration with Stanley. It was really it was our first.

Open to the public, um, you know, selling experience, which was really interesting. And again, so much more work than I imagined it would be, but so rewarding and so nice to have like that direct, you know, intimacy with all of these customers too. So I really think there’s definitely a place where, again, like the experiential is just.

Continuing on and really being immersed into these worlds where you know You’re walking in and you and you can buy you can experience you are part of the party You are part of the celebration. I love to celebrate everything. I love music dancing people coming together you know, I think that everyone really is craving that joy and that like love and that And I feel that is something that Love Shack Fancy, it’s so important to me.

And so, you know, we, we love our neutral colors, but we love pink and we love things that make you happy. So I think really just continuing on that and, and understanding from.  A lot of different factors, how to incorporate something that is in person experiential. And then  I never really thought of having that type of experience online, but I think that that would also be, um, you know, an incredible thing to,  to do as well.

And I think for our website, for example, like we’re putting a lot as, as we’re consistently opening our own brick and mortar stores and we’re expanding into new wholesale partners in Europe and. Um, all over the world. We’re also putting so much focus on our e commerce because it is so important and is like one of our big, I mean, we’re our own biggest.

Um, store, you know, so to really bring that. And so we have an amazing head of e commerce that just came on and I know she wants to do all of these things that maybe she should come on and talk about, but she, you know, definitely really bringing that, like, Us talking about what we love, how we want to get dressed, do we want to put on these cotton pieces?

Are we wearing them in the winter? Are we layering them with tights? Are we throwing on our favorite knits? How are we styling them in summer? And just coming on to like have this sort of experience on the website too. And just have like, like that kind of direct again, relationship with our customers and back to our favorite word of today, the authenticity.

Um, but you know, so all of that really just speaking directly and, and.  Bringing everyone together. That’s great. And now I’m going to ask you tech fashion, what’s that going to look like? And is there something in social media that we haven’t seen yet? The next tick tock or something like that? Yeah. I mean, I think we’re, we’re continuing to innovate and to, especially in our marketing on social media and diversifying across all the different platforms, new platforms, existing platforms, the type of content we put out there, we were, what is a brand is definitely very focused on community building and incentivizing and offering.

Perks and access to our community, which is our customers. And so really engaging with them even more so than influencers and traditional press is going to be a really big focus for us over the next year and, you know, continuing category expansion, new launches, new products, categories. And then new creative ways and innovative ways to, to, to market those and to really involve our customers in more of the process, you know, creating collections that our customers are super involved in from the beginning.

And so, you know, we’re, I have a full Gen Z team, so they’re always keeping me. Young and, uh, you know, up with the trends. And so whenever there’s a new platform or, uh, you know, something new, we’re, we’re using a lot of AI in our social now. So we just did that with our latest fragrance launch and definitely trying to incorporate that more, more interesting content.

That’s. Still feels very real and very, we were what focused. Um, but you know, we’re, we’re flexible and we’re always innovating with the times and trying to, you know, keep up with the trends, but in a way that still feels like it’s totally part of our brand’s DNA. So yeah, it’s exciting. I mean, you know, who knows even what’s to come this year.

I’m sure there’ll be a new platform tomorrow and then the next day. And yeah, we’ll just continue to adapt and to, you know,  Have this longevity that I’ve been able to have as an influencer and have the brand really have that as well. Yeah, it’s a full time job just keeping up with all the new stuff coming out.

So I commend you for being on top of it. Marissa, tell us 2025. What do you think is going to happen in terms of consumers and brands? And especially with the Gen Z’s evolving media habits, what do you see changing?  I think brands are could continue to be really innovative in their digital and social media efforts.

We know that Gen Z is an informed Omnichannel shopper and that they enjoy all the very many ways there are to shop, but they’ll continue to buy from the most convenient source to them. Um, but I think that the industry is also going to keep in real life experiences alive and explore more of these opportunities as we see more and more young people really wanting, you know, wanting that.

Personal interactions. I mean, there was there’s still a lot of trauma coming out of a post covid world, especially for that generation. So I think they’re still craving that in real life experience. And then we know that Taylor chopper experiences that align with their interests and preferences are important to them.

So this is also why both digital and brick and mortar experiences need to be innovative and talk to this group in a very personal way that they’ll be interested in.  Well, that’s amazing. I want to thank all of you. I feel so privileged to have sat with you guys today and had this conversation. So thank you.

Thank you. Thank you.

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Explosive Cross-Border Middle East eCommerce Growth https://therobinreport.com/explosive-cross-border-middle-east-ecommerce-growth/ Thu, 19 Dec 2024 05:01:00 +0000 https://therobinreport.com/?p=97225 Explosive Cross-Border Middle East eCommerce GrowthMiddle East eCommerce is booming as GCC consumers drive demand for global brands, localized services, and fast shipping, transforming retail.]]> Explosive Cross-Border Middle East eCommerce Growth

It’s not just about online shopping—though that’s certainly part of it. Mostly it’s about the end of retail as we know it. The rise of global cross-border ecommerce — especially in the GCC (Gulf Cooperation Council; Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE) — is transforming how consumers engage with brands, creating opportunities that no retailer can afford to ignore. The explosion in Middle East ecommerce growth should get your attention.

Staying competitive in the fast-moving Middle East ecommerce landscape will require more than just offering great products at competitive prices. Retailers will need to invest in localized services, offer a seamless digital experience, and provide fast, reliable delivery options to meet the expectations of Gulf States’ consumers.

A Fast-Moving Market

The region’s rapid digital transformation, combined with rising consumer demand for international products, presents a massive opportunity for businesses worldwide. The GCC countries are experiencing seismic shifts in how retail is conducted. With a population that is young, digitally savvy, and increasingly global in its tastes, the demand for cross-border ecommerce is growing fast. In fact, as reports suggest, the region’s cross-border retail market is set to expand by 25 percent annually over the next five years, indicating an appetite for international brands and retail solutions.

The numbers don’t lie: In the UAE alone, more than 80 percent of online shoppers purchase from international websites. This trend is echoed in Saudi Arabia, where cross-border sales account for over 60 percent of total online spending. These aren’t just statistics—they represent a fundamental change in consumer behavior, driven by the desire for larger product variety, competitive pricing, and the convenience of online shopping.

More Than Just a (Shopping) Trend

What’s driving this cross-border Middle East ecommerce boom is more than just consumer desire for international goods; it’s also about a highly connected retail ecosystem. In fact, according to the New Global Digital Index, created by the RLC Global Forum in partnership with EMARKETER, consumers in the region are some of the most digitally engaged in the world and their time spent online exceeds the global average in all key digital media categories; in some areas, they rank at the very top. 

Saudi Arabia, for example, ranks #1 of 49 countries surveyed when it comes to time spent on streaming and online TV; the UAE comes in at #3 in this category behind Egypt. These statistics make them the perfect playing ground for global ecommerce giants such as Amazon, AliExpress, Shein, and Temu. These brands have tailored their services to cater to GCC customers, offering localized websites in Arabic, payment solutions, and faster shipping. Local logistics companies like Aramex have also risen to meet this demand, providing reliable cross-border shipping and delivery services that ensure faster and more efficient international transactions.

The China Effect

China’s cross-border ecommerce is not just a side note in the global retail narrative—it’s a driving force. In 2023, Chinese cross-border transactions made up over 40 percent of the country’s total import-export value, and this is just the beginning. This robust growth is expected to continue, with the country’s cross-border ecommerce market projected to reach $500 billion by the end of 2025.

At the forefront of this wave are Middle East eCommerce giants like AliExpress, owned by Alibaba Group, as well as the rise of apps like Temu that leverage China’s growing retail prowess. Temu became the most downloaded ecommerce app globally in 2023, amassing nearly 338 million downloads. This remarkable growth is a testament to its appeal, fueled by its ability to deliver massive value and low prices. PDD Holdings, the parent company, saw its revenue surge by 51.9 percent in 2023, outpacing all other ecommerce platforms worldwide.

Then there’s Shein, the fashion ecommerce behemoth that refuses to slow down. In 2023, the company raked in an impressive $32.5 billion in revenue—$10 billion more than the year before—cementing its position as a key player in the global retail space. With over 262 million downloads in 2023 and 218 million website visitors in a single month, Shein is a major force in fashion, revolutionizing how consumers shop globally—a clear reminder that China’s cross-border ecommerce brands are not just growing, they are reshaping global shopping habits and intensifying competition in markets like the GCC.

Challenges in the Cross-Border Landscape

Not all is smooth sailing, though. There are several challenges that cross-border ecommerce faces in the GCC. One of the primary hurdles is the complexity of customs regulations, which can vary between GCC countries. These regulatory differences can increase the time and cost involved in international shipping. Additionally, customs duties and taxes on foreign goods can sometimes diminish the attractiveness of purchases.

Logistics can also be a challenge, particularly for smaller retailers that lack the resources to provide fast, affordable international shipping. Even with advanced local infrastructure, delivery times for cross-border goods can sometimes be longer than consumers expect, especially when compared to the rapid delivery times offered by local platforms.

What the Middle East eCommerce Future Holds

As technology continues to advance and infrastructure improves, the barriers to cross-border shopping will continue to decrease. Local retailers will increasingly look to expand their global reach, while international brands will be eager to tap more into the growing GCC market.

However, staying competitive in this fast-moving landscape will require more than just offering great products at competitive prices. Retailers will need to invest in localized services, offer a seamless digital experience, and provide fast, reliable delivery options to meet the expectations of Gulf states’ consumers.

Local retailers, ecommerce platforms, and mall operators, faced with growing competition from international giants like Shein and Temu, will also need to step up their game to stay relevant. Besides, they have a distinct advantage: an in-depth understanding of the cultural nuances and preferences of the local market, which global players may struggle to replicate.

These insights about the Middle East eCommerce, along with the latest retail industry report, New Global Digital Index: GCC Edition, created by the RLC Global Forum in partnership with EMARKETER, will be unveiled at the two-day 2025 RLC Global Forum in Riyadh on February 4- 5.

Note: RLC Global forum is a Robin Report Collaborative Partner

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Three TikTok Shop Predictions for 2024 Holiday Sales https://therobinreport.com/three-tiktok-shop-predictions-for-2024-holiday-sales/ Tue, 17 Dec 2024 05:01:00 +0000 https://therobinreport.com/?p=97220 hand holding phone with TikTok Shop appTikTok Shop is reshaping holiday shopping with social commerce, trending products, and influencer-driven gifts. Discover 2024 trends in this report!]]> hand holding phone with TikTok Shop app

TikTok Shop is a solid hit with American consumers — the platform has crossed $5B in GMV year-to-date through November — and is often the bane of existence for traditional retailers. Social commerce is the future of retail and TikTok Shop is leading the charge, especially heading into the holiday shopping season. Our “Top 3 Predictions for 2024 Holiday Sales on TikTop Shop” is a treasure trove of insights on why this platform continues to crush it. Download it for free to get the report! 

The gift of surprise and delight for holiday shopping is addictive. TikTok users can’t escape the allure of trending products presented by their favorite creators.

The Power of Social Commerce

According to one report, more than 55 million TikTok users in the U.S. have shopped on the platform. In 2023, an estimated 37 percent of TikTok users in the U.S.—55.5 million—made purchases either through links on the app or directly on the platform. It is expected that this will increase by 67 percent by 2026, with U.S. TikTok social shoppers reaching 39.5 million.

Generational social commerce is powerful. TikTok Shop has the unique ability to integrate social interaction and commerce making it a perfect spot for consumers to notice great new gifts to complete their holiday shopping lists. And TikTok reports that during the holidays, the majority of purchases made after discovering something on TikTok are unplanned and impulse.

For many, TikTok acts as a discovery engine with 64 percent of digital buyers discovering new products via social media and 91 percent of TikTok users continuing their purchase journey after discovering new products on the platform. While one in four people on social media today are scrolling to shop, others take the “see it, click it, buy it” approach of impulse shopping.

Holiday Shopping Scrolling

The gift of surprise and delight for holiday shopping is addictive. TikTok users can’t escape the allure of trending products presented by their favorite influencers. These gift guide influencers typically make appealing holiday videos to show off certain products before consumers make a purchase. And the platform offers TikTok-exclusive discounts, bundles, and limited-edition holiday products.  In fact, nearly 54 percent of Gen Zers in the U.S. will find gifts on TikTok Shop alone and 24 percent of that cohort will make purchases based on influencer recommendations. (Fiverr).

But what are people going to discover, become inspired by, and purchase on TikTok Shop this upcoming holiday season? In this free report, Charm.io outlines the trending products and brands that have been seeing success on the platform and uses the data to highlight three key predictions for the holiday season’s top products.  If you want to know why next gen consumers are turning to TikTok this holiday, download the report to stay up to date on TikTok Shop trends and understand how you can follow the success of top-selling products.

Note: Charm.io is a Robin Report Collaborative Partner

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How Retail AI is Moving the Needle for ASOS, Sephora, Lowes and Others https://therobinreport.com/how-retail-ai-is-moving-the-needle-for-asos-sephora-lowes-and-others/ Thu, 05 Dec 2024 11:00:00 +0000 https://therobinreport.com/?p=97183 man holding phone in lowes using Retail AI toolRetail AI drives personalization, smarter ecommerce, and enhanced customer experiences, boosting sales and efficiency.]]> man holding phone in lowes using Retail AI tool

Mandeep Bhatia, SVP of Omnichannel at Tapestry recently said, “Saying no to AI is like saying no, we don’t like money.” As Tapestry and other leaders topping this year’s Retail AI Index (download the report for free) have shown, advancements in AI are unlocking not just greater efficiencies and higher productivity, but AI is visibly reshaping the retail industry in new and exciting ways that consumers can experience as they search and shop.

Across the industry, top retailers are reaping the benefits of AI to address some of the most promising yet challenging consumer-facing aspects of marketing, merchandising, and ecommerce.

Elevated Retail

When you get down to basics, retailers want to make their customers’ lives better by delivering positive, memorable experiences. Consider how Walmart is a standout example of AI-powered impact. By investing in Retail AI to enrich their product data with deeper details and richer attributes, they’re now able to harness this data to optimize a broader range of ecommerce capabilities, enabling shoppers to find exactly what they need with greater ease. Finding what you want is the ultimate unlock to sales and satisfied customers.

Across the industry, other top retailers are also reaping the benefits of AI to address some of the most promising yet challenging consumer-facing aspects of marketing, merchandising, and ecommerce. See how six leading retailers are using AI to elevate shopping experiences, both online and offline:

  • Navigating the paradox of choice with customized curation. ASOS, for example, allows customers to input their style preferences for personalized fashion recommendations. Additionally, their “Buy the Look” feature uses ML to suggest complete outfits, based on site visitors’ behaviors, purchase histories, and browsing histories.
  • Elevating personalization and product discovery. Sephora’s Modi Face Color Match tool lets users upload a photo of an item, like a handbag or jewelry, and then receive makeup shades and products to match it. Additionally, their AI-generated product descriptions have improved their search engine visibility.
  • Making on-site search smarter. Bloomingdale’s uses AI-powered product attribution to capture not just the typical product attributes of product type and color, but also to expand a broader range of attributes that capture more colloquial and natural customer language. So, a search for a “Wicked-inspired New Year’s Eve Dress” always yields all of the most relevant results.
  • Maximizing Google Ads and SEO. The same customer-centric attributes that improve on-site search extend to search engines, like Google. Take Tapestry, which is seeing both improved organic search (SEO) and paid search performance through increased web traffic and higher sales driven by enriched product attributes in Google Merchant Center.
  • The gift of easier gifting. Williams-Sonoma’s “gift-finder chatbot” asks customers about the gift recipient’s age, occasion, and price range, and then suggests personalized gifts. These suggestions appear as cards or a carousel on Google Assistant, making shopping easier and more interactive.
  • Beyond digital, elevating the in-store experience. Lowe’s combines AR and AI in their Lowe’s Vision: In-Store Navigation app. It uses AR to help customers find their way around the store while delivering personalized product recommendations, based on users’ interests.

What’s Next?

Leading brands and retailers are not simply adopting AI, they’re pioneering its use throughout their businesses in new and innovative ways. Maintaining that leadership position will start to feel like both a marathon and a sprint as significant advancements in Retail AI continue to emerge every week. Those that fail to keep up will find it increasingly difficult to catch up.

On the other hand, top AI trailblazers will benefit from an emerging competitive flywheel. By demonstrating new and impactful uses of AI, they’ll attract the type of talent who will further spearhead cutting-edge applications. These applications will drive higher sales, greater customer satisfaction, and a reputation for innovation that will propel them to even greater heights.

As this flywheel builds momentum, AI trailblazers will continue to reap the financial rewards in the months and years to come. To learn more, download your complimentary Retail AI Index to see other case studies on how to build customer loyalty and improve your bottom line.

Note: Lily AI is a Robin Report Innovator

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Holiday Shopping Trends 2024 https://therobinreport.com/holiday-shopping-trends-2024/ Thu, 07 Nov 2024 11:00:00 +0000 https://therobinreport.com/?p=97090 man and woman walking together under light canopyDiscover why holiday spending is shifting, how consumers are hunting for deals, the hottest apparel gift picks, and tips for retailers to thrive.]]> man and woman walking together under light canopy

Holiday shopping trends 2024 are poised to be positive for retailers and brands, despite concerns about inflation and a shorter shopping season. But make no mistake, this year’s Christmas shoppers will be seeking deals before they rush home with their treasures.

Some merchants may have concerns that this year’s  political climate could impact shoppers, but Attentive, an SMS marketing firm, reports 59 percent of consumers said the election won’t impact their holiday shopping plans. And 26 percent said if they got a good offer or discount, they would buy no matter the timing. WGSN says research suggests consumers pause their spending two weeks before and during the week of an election, but will spend after the election.

Shopping Calendar

Mastercard SpendingPulse expects spending will be up 3.2 percent year-over-year (YOY) this holiday season, which will be running from November 1 to December 24. Traditionally, shoppers waited until Thanksgiving to start making their holiday purchases. Hence, the importance of Black Friday. Last year, Thanksgiving was on November 23, but this year it falls on November 28, which would presumably give shoppers nearly a week less to get their shopping done. On the other hand, early shopping is becoming commonplace. To wit, Amazon rolled out its Prime Big Deal Days in early October, prompting stores from Target to Neiman Marcus to drop competing sales of their own.

Retail moves like that have helped make October a popular time for consumers to begin their holiday shopping. While about one-quarter of consumers (24 percent) plan to start their buying in November this year, that’s trailed closely by 21 percent who will start in October, according to the Cotton Incorporated 2024 Lifestyle Monitor™ Survey. October is also the most popular time (16 percent) for consumers to start researching their holiday gifts.

Let’s Make a Deal

And researching they will do, as deal-seeking is the theme this year. Among those who buy holiday gifts, more than half (55 percent) say they plan to shop online during Black Friday, according to the Monitor™ research. That’s followed by Cyber Monday (48 percent), the week leading up to Thanksgiving Day (25 percent), Thanksgiving Day (20 percent), National Free Shipping Days in mid-December (17 percent), Green Monday and Christmas Eve (both 13 percent), Labor Day/Labor Day weekend (11 percent), and after Christmas (8 percent).

While “buying on sale” is practically the default American way, WGSN advises stores to be transparent in their pricing, so as not to turn off customers.

“Commit to price transparency as shoppers become increasingly weary of price gouging,” WGSN states. “Rather than helping overcome consumer skepticism about the discounts offered, they can lead to more of it. Look to 2023’s viral TikTok hashtag #BlackFridayIsAScam. Similarly, Amazon customers found that merchants inflated their prices ahead of Black Friday 2023 to promote steeper discounts, driving down trust.”

Instead, WGSN recommends retailers have the confidence to hold off on sales until peak periods. The agency reminds last year saw some retailers begin promotional cycles in August, even though a spike in sales didn’t occur until a few days before Black Friday and Christmas. WGSN also recommends targeting promotions to the most loyal customers via holiday loyalty programs.  And it suggests creating limited-time product bundles or gift sets that offer convenience and savings without sacrificing perceived value.

This year, one third (33 percent) of shoppers say they plan to shop the same this year as they have done in previous years, according to the Monitor™ research. Over half of consumers (51 percent) say they plan to shop differently this year by planning to be stricter with their budget (19 percent), planning got cut back on holiday shopping due to limited funds (16 percent), and planning to cut back because things are too expensive (16 percent).

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Economic Flux

Among those planning to buy holiday gifts, the majority (60 percent) say the current economic situation/inflation will affect their holiday shopping, according to Monitor™ research.

These concerns persist despite economic data from the Conference Board that forecasts the U.S. GDP will expand by 2.5 percent YOY, a slowing inflation and a healthy labor market, in addition to interest rate cuts by the Fed that should continue into 2025.

Consumers expect to spend an average of $844 on all their holiday gifts this season, an 8 percent decrease from the average of $914 in 2023, according to Monitor™ research. Most of those intending to buy clothing as gifts (70 percent) say they plan to spend the same or more on apparel presents this season as last year. Shoppers plan to spend an average of $337 on apparel gifts this holiday. Male shoppers say they plan to spend an average of $390 on clothing gifts, while female consumers plan to spend an average of $293.

Mastercard SpendingPulse says shoppers “show an inclination for online apparel spending. Based on those insights, SpendingPulse expects online apparel sales to increase by 4.5 percent YOY and in-store by 2.0 percent YOY.”

Despite financial concerns, most consumers (71 percent) say they will not use store financing, layaway or buy-now-pay-later options when purchasing holiday gifts, according to Monitor™ data.

The Political Arena

Some merchants may have concerns that this year’s political climate could impact shoppers, but Attentive, an SMS marketing firm, reports 59 percent of consumers said the election won’t impact their holiday shopping plans. And 26 percent said if they got a good offer or discount, they would buy no matter the timing. WGSN says research suggests consumers pause their spending two weeks before and during the week of an election, but will spend after the election. Bread Financial, a tech-forward financial services company, also expects shoppers to home in on Black Friday discounts as election distractions dissipate.

Gift Boxes

So, what kind of apparel gifts will shoppers be looking for? The Monitor™ data shows among those who would like to receive clothing as a gift, more than half (57 percent) say they would prefer to receive T-shirts, followed by sweaters (37 percent), sleepwear like robes, pajamas and nightgowns  (37 percent), jeans (36 percent), outerwear like coats, jackets and hoodies (34 percent), socks (34 percent), and casual shirts like polos and button-up styles (32 percent).

Among those planning to buy apparel as a gift, nearly 6 in 10 (57 percent) say they generally look for cotton clothing, according to the Monitor™ research. That far outpaces every other fiber including polyester (3 percent), linen (2 percent), wool and silk (both 1 percent). Consumers say they look for cotton when shopping for clothing gifts because it’s comfortable (76 percent), soft (59 percent) and it feels good (57 percent). Shoppers also say cotton is quality fabric (52 percent), it’s durable (52 percent), and it’s breathable (42 percent).

Like every holiday, the upcoming season is a lot for every retailer and brand to navigate. But as Attentive points out, “Brands that can effectively use these insights and adapt to the shifting demands will likely find themselves at a competitive advantage, capturing the hearts and wallets of the modern consumer.”

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Why Leaving a Trace is Important in Fashion https://therobinreport.com/why-leaving-a-trace-is-important-in-fashion/ Tue, 24 Sep 2024 10:00:00 +0000 https://therobinreport.com/?p=86126 a cotton flower on a blue jeansFashion supply chain traceability is crucial for sustainability, as consumers demand transparency about product origins, raising concerns about greenwashing.]]> a cotton flower on a blue jeans

The issue of sustainability has become a more common interest among fashion consumers. And now fashion supply chain traceability is coming into play, as shoppers place a higher level of importance on knowing more about what they’re buying. 

Transparency and Traceability

An article in the World Economic Forum says transparency is “becoming increasingly important to consumers worldwide, including in the fashion industry.” The article points to traceability – the ability to know where products and their derivatives come from – as foundational to building more sustainable supply chains. For example, cotton is key to the fashion industry, but consumers want to know that they’re buying the “right” cotton – and that’s where the ability to track the textile’s complex supply chain becomes paramount.  

Over half of consumers (54 percent) say they associate traceability with the clothing/fashion industry, according to Cotton Incorporated’s 2023 Consumer Circularity Survey. Further, more than half of all consumers (57 percent) say they have heard the term “traceability” associated with sustainability.  

Viable Sustainability 

The association between fashion supply chain traceability and sustainability is significant because nearly 4 in 10 consumers (37 percent) say sustainability or environmental friendliness is important to them when they are looking at which brands to buy, according to the Cotton Incorporated 2022 Lifestyle Monitor™ Survey. The figure jumps to 42 percent among male shoppers. Additionally, over half of consumers (62 percent) say it is important for their children to wear sustainable clothing brands, according to 2024 Monitor™ research. 

But there are ways for brands to get ahead of such problems. Manufacturers and retailers can map, trace or track suppliers, according to Martina Schluma of The ID Factory, a fashion supply chain traceability provider, who spoke during a recent webinar, “Unlocking Traceability in Fashion: Navigating Sustainability in Supply Chain.”   

“If you map the supplier, you just want to know only who is working with whom, so you’re just looking at the names of the stakeholders,” Schluma explained. “While, if you want to trace the supply chain of the product, you’re also looking at the documents that provide you the evidence of the transaction between the parties. That methodology is the most popular one, which is the chain of custody methodology. Tracking is going beyond simply collecting documents and is actually trying to figure out a way to have real time evidence on what is happening on the production side so you can track your own production. It’s not simply having documents; you have real time evidence of what is going on. You can start from a different point, and you can start mapping beginning with the product, or you can start from the material, or you can start from the fiber. And that works with all these approaches.” 

Value Chains

But it’s not just about data collecting, Schluma said. Brands need to continuously review and update their value chains. “We need to be able to track and have information available, and also provide it to the people that are buying the products, so they know where it comes from,” Schluma said. “Being aware not only of where the product comes from but of the impact of that production on that specific geographical area, we need collaboration. And I think traceability is all about collaboration.”  

Nearly 8 out of 10 (78 percent) of all consumers have heard of transparency as it’s associated with sustainability, according to Cotton Incorporated’s 2023 Consumer Circularity Survey. And 58 percent of consumers have heard the term “ethical sourcing” associated with sustainability. In order to achieve better circularity, most consumers (75 percent) would like to see companies use more cotton to make apparel. 

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Wrangler Gets It

“Natural fibers, such as cotton, are essential to building our durable and reliable denim,” said Kontoor Brands’ Dhruv Agarwal, vice-president of sustainability, innovation and development in an interview with the Lifestyle Monitor™. Kontoor’s stable of brands includes Wrangler. “Our mission is to protect the land we use to ensure our cotton farmers will continue to pass down sustainable practices so they’re able to work the same lands decades down the road.  

“Wrangler is a proud member of Field to Market, an alliance for sustainable agriculture that brings together a diverse group of grower organizations; agribusinesses; food, beverage, restaurant and retail companies; conservation groups; universities and public sector partners to focus on defining, measuring and advancing the sustainability of food, fiber and fuel production,” Agarwal continued. “This organization collects information from the farmers regarding their sustainability impact and shares that data with the U.S. Department of Agriculture (USDA). Over 40 years of data have been captured that demonstrate continual sustainability improvement by U.S. cotton farms.” 

Some additional advances in Wrangler denim that align with the WeCare Wranglerinitiative have included stretch technology and advanced comfort. To support these progressive goals, the brand recently launched the second installment of Wrangler Reborn in collaboration with Beyond Retro, repurposing upcycled denim to divert textile waste from landfills 

Sustainability continues to be a focus for Wrangler,  and the brand has prioritized weaving eco-conscious practices into its manufacturing processes, beginning with the development of the WeCare Wrangler platform in 2019. 

“The platform unites the brand’s legacy of sustainability with measurable goals designed to bring consumers the Wrangler product they know and love while also reducing the brand’s environmental impacts,” Agarwal said. “The platform was built to address three primary focus areas: doing right by people, creating less overall waste in apparel production and protecting the planet.” 

Ralph Lauren’s Commitment

Fashion leader Ralph Lauren, for its part, established a “Supply Chain and Product Sustainability Policy” to “set forth [Ralph Lauren Corporation’s] expectations on manufacturing practices, product and materials selection, as well as data monitoring and traceability, which are critical towards the company’s sustainability goals and objectives.” RLC has made a public commitment to source 100 percent sustainable materials for all key textiles by 2025. It has expected suppliers to show year-over-year progress on providing sustainable, traceable and verified materials to achieve its 2025 goal.  

Levi and Traceability 

And another powerhouse brand, Levi Strauss, is collaborating with organizations like the U.S. Cotton Trust Protocol, nonprofits and farmers to create positive change. “We plan to participate in the Better Cotton Initiative’s new work to provide physical traceability of Better Cotton in an emerging program that seeks to revise the current chain of custody practices, standardize data collection, adopt innovative cotton integrity checks and meet other objectives,” the company states. “And we will keep driving on our key focus areas – sourcing fibers responsibly, engaging suppliers to address textile manufacturing impacts and using next-generation fibers that are less resource-intensive – as we continue our work to deliver more sustainable products at scale.” 

 NOTE: Cotton Incorporated is a Robin Report Collaborative Partner

 

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Perfecting the CX: Delivering Luxury Seamlessly https://therobinreport.com/perfecting-the-cx-delivering-luxury-seamlessly/ Tue, 10 Sep 2024 10:00:00 +0000 https://therobinreport.com/?p=83817 a woman looking at a mannequin in a storeNext-gen luxury retail thrives on seamless data sharing between brands and retailers, using tech to drive insights and enhance customer experience and performance.]]> a woman looking at a mannequin in a store

How do you know you’re serving your customers the way they want to be catered to? Are you making assumptions about what they need or taking for granted how they want to experience your brand?  As luxury evolves to appeal to a new generation of customers who are demanding, impatient and distracted, getting the CX right can’t be based on an intuitive guess. It needs to be based on trust. This is where the vital role of technology makes a play!

Many leaders of commodity retail and marketplaces use technology to understand customer purchasing behavior. However, it’s crucial to rethink what’s going on in retail and how to build a better relationship between brands and the retailer. Transforming the industry will take a nuanced connection between art and science: having the right stuff and the right tools are table stakes.

Tech Talk

Many leaders of commodity retail and marketplaces use technology to understand customer purchasing behavior. However, it’s crucial to rethink what’s going on in retail and how to build a better relationship between brands and the retailer. Transforming the industry will take a nuanced connection between art and science: having the right stuff and the right tools are table stakes. And the right tools increasingly are data collaborations among brands and their retail partners. Flying blindly in any retail market sector is the equivalent of a death knell, and with many younger customers, you’ve got only one chance to win them over. If they are disappointed, they will move on without a look back.

Value of Collaboration

International retailers are more advanced than their counterparts in the U.S. in realizing the value of partnerships and collaborations. Here’s a retail success story that reveals how being a collaborator and innovator pays off. A luxury French superstar retailer delivers a cool-edge, modern experience for next-gen luxury customers. The retailer understands the need for a significant industry shift towards greater transparency and access to data from retailers, inviting their brands to glean actionable insights and make informed decisions. When brands and retailers share relevant data with their respective brands, it yields valuable insights into market trends, customer preferences, and performance metrics. This enables a higher-level development of more targeted strategies and enhances overall performance. With transparency and collaboration in data sharing, stronger partnerships elevate the customer experience. And the customer is the ultimate arbiter of your success or failure.

This type of partnership transcends the need for amassing data, it is forged in a symbiotic relationship among brands and their retailers, viewing retailers not merely as distribution channels but rather as strategic collaborators. Fostering open communication channels and co-creating value through shared data insights among brands and retailers drive mutual growth and profitability while delivering exceptional value to consumers. It’s a win-win. These insights propel a positive interaction with customers and build their loyalty with an experience that doesn’t disappoint.

Roadblocks for Brands

So, how does a retailer deliver the right insights with the right context to help their brands? There are typically three key roadblocks that prevent consistent, trusted sell-out data from retail partners.

  • Consistency in Data Delivery: How do you ensure a consistent flow of sales and inventory data from retail partners? Different partners may have different data formats, reporting frequencies, or even data availability. This inconsistency can make it difficult to compile and analyze data comprehensively across all partners on a timely basis, at the top of the week.
  • Data Accuracy and Reliability: Data accuracy and reliability are hurdles. Inaccurate or outdated data can lead to flawed analyses and decision-making. Knowing the data is up-to-date, reliable, and reflects the actual sales and inventory status is crucial for making informed business decisions.
  • Standardized Metrics and Communication: Establishing a common language and standardized metrics across all retail partners is essential. Without standardized metrics, comparing data from different partners can lead to misunderstandings or misinterpretations. It’s important to speak “apples to apples” with retail partners, using consistent terminology and metrics for meaningful data analysis and collaboration.

Envision the Future

There is a mind-boggling choice of data solution platforms available to both brands and retailers. Ultimately, the right tech infrastructure must guarantee a great CX including key operational strategies of inventory management optimization and dependable supply chain management. Imagine the advantages of streamlined reporting, automation, and data aggregation among brands and retailers that enhance their performances. Imagine implementing a streamlined reporting platform and leveraging automation that reduces errors and saves time and resources, allowing for more efficient decision-making. Imagine visibility into retailer partners’ stock levels in real-time to enable precise decision-making to optimize revenue streams and mitigate potential challenges, such as overstock or missed opportunities. And then imagine data aggregation that enhances these operational efficiencies by centralizing and consolidating data from multiple sources, providing a comprehensive and transparent view for analysis and insights.

Foresight and Insight

The modern luxury multi-vendor retailer in our case study supports its innovative approach to fashion by fostering closer ties with partners and embracing cutting-edge technologies like SKYPAD. Here are some of our findings:

  • Innovation lies in harnessing advanced analytics and AI-driven solutions to unlock hidden patterns within data, enabling the retailer to anticipate regional market trends, forecast demand more accurately, and tailor product offerings to specific consumer segments.
  • The decision-making processes across diverse departments, including product development, assortment planning, and marketing strategies, have been significantly shaped by improved access to SKYPAD data.
  • With this mutual reporting solution, a brand can customize its offerings based on sell-out performance, which fosters a synergy that ensures that partner brand success directly translates into its retail partner’s success.
  • The integration of robust forecasting and demand planning also allows the luxury multi-vendor retailer’s brands to proactively meet the retailer’s needs, thereby enhancing delivery efficiency and overall customer satisfaction.
  • The data-driven approach empowers the brand to anticipate product slowdowns and swiftly implement responsive strategies, such as introducing new styles or adjusting production rates, to sustain engagement and growth with key retail partners

In summary, adopting streamlined reporting, automation, and data aggregation practices, along with fostering a culture of data sharing and collaboration, can significantly contribute to the success and competitiveness of brands and retailers in today’s data-driven business landscape.

Note: SKYPAD is a TRR Innovator

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Who’s Crushing AI: The Retail AI Index https://therobinreport.com/whos-crushing-ai-the-retail-ai-index/ Thu, 29 Aug 2024 10:00:00 +0000 https://therobinreport.com/?p=83290 a woman in a red suitThe 2024 Retail AI Index highlights 100 top retailers using AI to drive innovation and improve customer experiences.]]> a woman in a red suit

With all the buzz surrounding AI in retail, it’s hard to know where and how to properly invest in it. After all, every week feels like a roller coaster; one week AI is going to save the world, and the next we’re questioning if we’re trapped in an AI bubble. This noise isn’t going to stop in the short term. Despite all the media obsession and tech frenzy, AI is here to stay as a core tool to solve retail problems. The Retail AI Index reports on the trailblazers who are not only crushing their AI implementation but using it to push the retail industry forward in ways that make shopping easier and more delightful for customers.

Some of the report’s findings may come as a surprise, as several medium and smaller-sized businesses are among the Top 100. So, having deep pockets isn’t the only way to make the most of AI to improve everything—from revenue to customer experiences. What’s more interesting is how these top retail brands use AI in innovative ways.

AI in Context

AI can make operations more efficient. It can help consumers pinpoint products they’re hunting for. It drives revenue, provides exceptional customer service, and personalizes the shopping experience. It has been a retail tool for decades, even though its newer applications are making headlines. But which retailers have the expertise to leverage AI to really make meaningful change in the retail space?

Enter the 2024 Retail AI Index that shines a light on retailers doing AI well. This inaugural report identifies the top 100 retailers and brands that are investing in AI with a higher purpose: to delight customers and create an impact for their businesses and the world. The Index also has over a dozen case studies, facts about AI today, and details on how five advanced applications of AI are changing how people shop. These 100 companies are advancing retail through the power of AI, across multiple aspects of their business.

Retail Tech 

So, who are these 100 trailblazers? The Index serves as a comprehensive analysis of its brands and retailers. It was produced and published by Lily AI and Radii Group.

Of course, heavyweights like Amazon and Walmart rank in the upper echelons of the Top 100 list, and this makes perfect sense. Both retailers have deep pockets to scale technology. Their cultures experiment and innovate, and they have forward-thinking leaders.

However, some of the report’s findings may come as a surprise, as several medium and smaller-sized businesses are among the Top 100. So, having deep pockets isn’t the only way to make the most of AI. In fact, the research shows no clear correlation between a retailer’s Index ranking and total revenue. What’s more interesting is how these top retail brands use AI in innovative ways.

Surprises on the Top 100

The Retail AI Index was established through a comprehensive analysis of publicly available data on companies’ investments in AI across fashion, home, and beauty categories. Its analysis confirms that, of course, an increased investment in AI is linked to enhanced operational efficiency and revenue acceleration.

Mid-sized retailers such as Stitch Fix and eBay both cracked the top five. This is largely due to their significant, forward-thinking approaches to integrating AI throughout their tech stacks. Both retailers are notable for their innovative applications that offer more personalized and data-powered shopping experiences, even though their revenues are under $10 billion, which is relatively small compared to global giants like Walmart and Amazon.

Even smaller retailers like Revolve, with an annual revenue of around $1 billion made the list, based on their truly unique and innovative AI-generated clothing collection and partnership with AI Fashion Week.

This all goes to show that, although only 25 percent of U.S. retail companies have deployed AI, strategic investments in the technology can drive results for retailers of all scopes and sizes.

Feeling Some FOMO? 

Based on the Index, here are a few tips on how to up your tech practice if you want to earn a spot among the distinguished 100 retail AI trailblazers in 2025.

  1. Invest in AI with purpose.

Not that you wouldn’t … but in this era when so much of everything is AI-focused, it bears repeating: Don’t use an AI solution for the sake of simply using AI. (In fact, don’t do this with any technology!)

Ensure that the AI solution you implement solves a real problem and serves a real purpose. Perhaps you want to track trends to determine merchandise assortments. SHEIN is the expert at this, using AI to track microtrends as they rise and fall in popularity, then applying those data-backed findings to forecast demand.

Or perhaps you want to improve your customer experiences overall, both in your store and online. Fabletics’ Salesfloor app helps digital and in-store sales associates access expert sizing insights, style advice per an individual shopper’s interest, and knowledge on stock availability, improving the retail experience, no matter where a customer is shopping.

Don’t fall for a shiny new object! For your own benefit, make sure the AI solution you partner with provides measurable impact and isn’t getting caught up in the Hype Du Jour, whatever that may be in the summer of 2025.

  1. Measure everything.

Measurement is a critical part of implementing any new initiative, and this shouldn’t fall by the wayside when implementing an AI solution. The AI systems you invest in need to drive significant and quantifiable impact, and both the cost (time, budget, manpower) and results should be accounted for. Companies that excel at AI-powered personalization increase revenues by 40 percent, compared with companies that don’t leverage personalization. 

  1. Invest in the right technology and talent. 

Whether you’re planning to build an AI solution in-house, hire a consultant or agency, or purchase an AI solution, you need teams who know when and how to build, and where and when to buy. This is especially critical for consumer-facing applications and avoiding costly delays that may set your innovation agendas back months or years.

Hiring the right people ensures that any public demonstration of AI will be optimized for success. Wayfair (#5) has an expert internal team working on many of their AI-powered advancements. In fact, they have a dedicated tech blog that discusses these teams’ work. 

  1. Celebrate your tests and your successes.

Give credit where it’s due and celebrate your AI tests and successes, as well as the champions who made it all happen! Share these stories with your workforce and tell them on social media, your website and careers page, on stage, in the press — wherever appropriate. Show your team, customers, potential investors, and future employees how you value innovation and the incredible talent that brings these ideas to life. L’Oreal (#43) won eight awards at the 2024 Consumer Electronics Show for their AI-powered innovations. 

Capitalize on the AI Competitive Flywheel

As reflected in the Index, following these four steps triggers a competitive flywheel. Sharing your AI program pilots and achievements makes your company more visible and attractive to top talent who share a passion for innovation. This talent pool will then guide your business on how to most effectively invest in AI tech, partnerships, and applications.

Investing in the best retail AI tech applications then yields better results through higher sales and greater customer satisfaction, and financial success and growth further attract more top talent, as the flywheel turns and increases your visibility as an AI trailblazer.

If you’re feeling inspired and want to start your AI journey now, download your copy of the 2024 Retail AI Index for free to learn more about the Top 100 and explore over a dozen case studies.

Note: Lily.ai is a Robin Report Innovator

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