The Modern Retail Podcast

Skandinavisk is trying to sell the experience of Scandinavia in a scent.The brand launched in 2012 with a line of candles that tried to embody different aspects of Scandinavian life. Current scents include "Skog" ("calm of the boreal forest"), "Fjord" ("carved from glaciers") and "Regn" ("after the rainfall"), among others. Some of these scents showcase literal things, like local trees, others try to give a sensory experience to more ephemeral attributes.Its founder, Shaun Russell, originally hailed from the U.K. but found himself in Denmark and Sweden around twenty years ago, and fell in love with the region."It kind of gets into your blood," he said. "I felt the secret of Scandinavia is in balance -- in the balance with nature, the domination of nature that surrounds the region; the balance within society, which it is famous for; but also the balance of the individual, balance of the self." This realization of what made Scandinavia different as a region was the starting point for his brand, Skandinavisk.Russell joined this week's Modern Retail Podcast and spoke about his brand's growth over the last decade.Since its founding, Skandinavisk has expanded beyond candles into diffusers as well as bath and body care. And it's also worked on becoming an international brand beyond its Copenhagen roots. The company has a thriving DTC presence, but has also expanded its wholesale presence into stores like Selfridges and Sephora U.K.Russell is proud of Skandinavisk's retail expansion, but still sees it as one of his biggest challenges. "Distribution is one of the hardest challenges for any business -- both creating it and then managing it," he said.But one thing that has helped Skandinavisk get in front of more eyeballs is its B Corp certification, which requires approved companies to prove they follow strict social and sustainability practices while maintaining the highest form of public transparency. Companies must go through a rigorous process to receive the certification. Skandinavisk sought B Corp approval in 2019 -- "it was one of the hardest things we've ever done," Russell said.And while Russell is happy to have received the B Corp stamp of approval, he said it hasn't led to a huge increase in sales. Instead, Russell said the certification is more of a B-to-B marketing tool. "It draws a different type of person to you," he said -- whether it's a candidate looking to work at a more socially responsible workplace or a retail seeking out more sustainable brands.Today, Russell said Skandinavisk has expanded in ways he didn't expect. But it led him to a useful entrepreneurial lesson. "If you're starting your own brand, you have to be open to opportunity," he said. "You have to have your ears open, and you have to catch chances if they pass you -- even if not necessarily what you were planning."

Uri Minkoff, co-founder of a luxury brand and technology company, discusses building brands, launching a technology company, and focusing on a nutrition and supplement company co-founded with his father. They delve into the importance of protein digestibility in supplements, the growth of their medical retail track, and their future plans to work with athletes and expand product development.

Shein and Forever 21 form a surprising partnership, Subway sells to a private equity firm after family ownership, Rolex buys Bucherer in a major retail move.

Georgia-Pacific is a company most everyone in the U.S. has interacted with.It's a paper conglomerate behind some of the biggest names, such as Brawny and Dixie. But even though the products are ubiquitous, when is the last time a shopper has really thought about such a brand? This conundrum is what Laura Knebusch thinks about every day.Knebusch is the CMO of Georgia-Pacific, and is in charge of all consumer-facing marketing and customer experience endeavors. It's a tall order for a parent company that has brands in most mass retailers, small retailers as well as online. "We have to be thinking about how we are delighting consumers with the experience they have with our brands every time they are interacting with us," Knebusch said. She joined the Modern Retail Podcast this week and spoke about how she approaches marketing such a behemoth.One major facet of Knebusch's marketing philosophy is to always be testing out new channels and ways to reach customers. "We do have a focus on experimentation," she said. "It's not a set, we're going to do this many [experiments]. But, each year, we want to make sure that we are carving out a certain amount of investment so that we can experiment and learn and not just invest in the things that are tried and true. With the world changing so much, that's absolutely critical."One thing that's no longer an experiment, though, is online grocery. According to Knebusch platforms like Instacart grew thanks to the pandemic and are more or less here to stay. That being said, they are still in their infancy. E-commerce, she said, "is an area where we are testing and learning and experimenting because it's changing so much. And we are seeing capabilities develop really quickly. So it has to be kind of an experimental mindset."And many of the ad offerings on those platforms have yet to mature. "I think measurement is still a really big opportunity in this area," she said. "Companies like Instacart are putting a lot of focus in this area and evolving, but there are still opportunities… particularly in the area of kind of measurement -- making sure that you can return the value for those investments that you're making in them."For her, it all boils down to a new retail paradigm that every business must contend with. "Consumers expect more from brands -- they have more choices, more ways to purchase and more ways that you can reach them," she said.

This week on the Modern Retail Rundown we discuss the latest reports of Instacart’s approaching IPO, which can come as soon as September. Next is a look at Aldi’s acquisition of Winn-Dixie and Harvey's parent company -- a major expansion in the Southeast for the German grocer. Finally, a new story outlines Everlane’s new goal to shed its image and become a top apparel brand.Stories cited:https://www.bloomberg.com/news/articles/2023-08-17/instacart-said-to-plan-for-september-ipo-in-boost-for-listingshttps://www.wsj.com/articles/instacart-sees-revenue-profit-boost-ahead-of-public-listing-1d7891dhttps://www.cnn.com/2023/08/16/investing/aldi-buys-winn-dixie/index.htmlhttps://www.supermarketnews.com/retail-financial/secretaries-states-want-ftc-block-kroger-albertsons-mergerhttps://www.forbes.com/sites/pamdanziger/2023/08/16/under-new-management-everlane-leans-into-quiet-luxury-with-a--sustainability-edge/https://www.nytimes.com/2020/07/26/fashion/everlane-employees-ethical-clothing.html

The U.K.-based retailer has become synonymous overseas with value-based apparel. But the company has been steadily growing its U.S. fleet with the hopes of becoming a powerhouse retailer in North America, as well. Its first store opened in 2015 and it currently has 20 open. Over the last 12 months alone, the company opened up seven new locations. And, according to Primark's president of U.S., Kevin Tulip, the plan is to get to 60 stores in the region by 2026."The strategy was always about opening up a handful of stores and testing and learning," said Tulip on the Modern Retail Podcast. He joined this week's episode and dove into the retailer's international expansion strategy, as well as its evolving approach to technology and e-commerce.Tulip certainly knows a lot about the Primark brand. He first joined the company when he was 16. "It was a weekend job -- straight out of school, while I was studying, doing four hours on a Saturday, four hours on a Sunday," he said. "And I really fell in love with retail."Two decades later and he's risen the ranks from a store associate to president of an entire area of business.Right now, one of Tulip's main focuses is on finding the right locations for new stores. As he describes it, it's an art and not a science. "We've taken our time and understood the locations we're going into," he said. "This isn't about just opening as many stores as we can."One other big question surrounding Primark is its approach to e-commerce. The retailer has staunchly focused on in-store sales. It recently upgraded its U.S. site to be more accurate with merchandise, while still getting shoppers to go into local stores.Even though Primark is testing some buy-online, pickup in-store options in the U.K., Tulip insisted that stores are still the primary focus. The digital strategy, he said, "isn't focused on creating the website to be transactional."

On this week’s Modern Retail Rundown, we discuss the growing consolidation in the Tapestry’s big acquisition of Michael Kors owner Capri. Next, why brands are reducing the rewards in their rewards program to improve margins. Finally, we talk about Amazon scrapping a majority of its apparel private labels amid growing anti-trust ridicule.Stories referenced:https://www.nytimes.com/2023/08/10/business/tapestry-capri-merger-luxury-fashion.htmlhttps://www.modernretail.co/marketing/ralph-lauren-and-coach-are-resonating-with-younger-digital-first-shoppers/https://www.cnbc.com/2023/08/05/companies-crack-down-on-customer-perks-and-rewards-like-airline-miles.htmlhttps://www.wsj.com/articles/amazon-cuts-dozens-of-house-brands-as-it-battles-costs-regulators-3f6ad56d

U.K.-based fashion brand Kurt Geiger has been around since the 1960s, but has big plans to further expand its U.S. presence.The brand entered the U.S. around six years ago. "The U.S. is our number one market, it's bigger than the U.K.," said CEO Neil Clifford. "It will be north of $200 million this year… I think next year, comfortably, we'll be north [of] $300 million." Meanwhile, this year the brand as a whole is on track to bring in more than $40 million EBITDA on nearly $500 million in total revenue.But what the U.S. currently doesn't have is a Kurt Geiger retail store -- this growth over the last half-decade was thanks to its department store partners like Dillard's and Nordstrom. It was also thanks to e-commerce sales, which came in at $40 million this year in the U.S. -- three times as big as the U.K.'s online DTC sales.Against this backdrop, Kurt Geiger is ready to enter physical retail. Clifford joined this week's Modern Retail Podcast and spoke about the brand's growth and future ambitions. He's been with the company since 1996 and shared some of the biggest lessons he's learned over those decades."I'm a big lover of North America," Clifford said. "So we always talked about [how] surely we will be successful there." But the company didn't enter the U.S. until only a few years ago. "We were a little scared," he said, "because it would be a huge venture."Despite the initial reticence, the venture is working out. Next year, Clifford said, Kurt Geiger plans to open its first U.S. stores. "We will open a new flagship store in London in September… our largest ever store, 3,500 square feet. And that is really the [evolution] of our concept -- it will be the template for the U.S.," he said.Now, Clifford has big plans on the marketing front -- an area Kurt Geiger has never really invested in. "We definitely have been very pleasantly surprised on the level of impact we can make digitally without having any stores," he said. "We definitely have turned our dial to digital marketing in quite an intensive way to support our brand awareness growth."

On this week’s episode of the Modern Retail Rundown, the staff dissects various news coming out of the retail industry.This was a busy week for earnings reports -- and we’ll start out by breaking down Amazon’s blockbuster quarter following mass layoffs. Next, we take a look at E.l.f.'s hyper-growth path, courtesy of Gen Z adoration. And lastly, a look at how Diamond Crystal is trying to position its kosher salt to home cooks.Stories cited:https://www.cnbc.com/2023/08/03/amazon-amzn-q2-earnings-report-2023.htmlhttps://www.modernretail.co/technology/why-amazons-grocery-delivery-efforts-have-fallen-flat/https://www.barrons.com/articles/elf-earnings-stock-price-c475322ehttps://www.glossy.co/beauty/e-l-f-beauty-carves-out-skin-care-as-fourth-portfolio-brand/https://www.nytimes.com/2023/08/01/dining/diamond-crystal-kosher-salt.htmlhttps://www.thekitchn.com/trader-joes-diamond-crystal-kosher-salt-23549559

Coffee shops may have seen a dip during the pandemic, but they’re back and booming.That's especially true for the coffee chain Bluestone Lane. The company is ten years old, but has really kicked business into gear over the last few years. The coffee shop has over 60 locations and has seen its business grow 350% since the pandemic. Its founder and CEO Nick Stone joined the Modern Retail Podcast this week and spoke about Bluestone's strategy and future ambitions.Part of the thesis behind Bluestone is customer service from Down Under. "If you have a coffee shop or a cafe in Australia that has the best coffee, but if they deliver it in a way that is cold and impersonal and obnoxious, Australians will boycott it," Stone said. (It shouldn't come as a shock that he is Australian.)According to Stone, the best way for a business like his to thrive is to provide a good experience. "In hospitality, you really have no intellectual property." Instead, he has tried to build Bluestone as a place people want to spend time in.That means doing one thing and doing it well. While Bluestone has attempted side-hustles like its own line of CPG products, Stone now believes that it's hard to run multiple types of businesses at once. "I think it's incredibly hard to do both at the same time unless you have enormous resources," he said.For him, the focus is on opening more locations -- Bluestone is slated to have 70 locations by the end of this year -- while making sure customers feel comfortable and welcome in them."I think ultimately coffee shops should be about driving community," he said.