The Modern Retail Podcast

Spritz Society rose to fame because of its influencer founder, but the sparkling wine brand is now trying to transcend that.Ben Soffer, perhaps best known on Instagram as the Boy With No Job, ironically does have a job -- he's an alcohol entrepreneur selling canned drinks both online and in over 400 stores in eight states. Soffer is now focused on expanding Spritz Society's wholesale presence and making his company a brand beyond its social media roots."If you have a community, then you can get people to try a product online without ever experiencing it in-person," Soffer said on the Modern Retail Podcast. "If you don't have that community, there's no level of credibility that's going to educate you on why you should give this product to chance -- unless you're dumping money into paid media."Indeed, it was his community that first launched the brand. Sofer asked his followers via a Google Form in 2020 about what they wanted to see in the brand. "The name of the brand, Spritz Society, comes from the empathetic approach," he said.But now the company is much more than a few thousand survey responses. The brand is expanding to 70 Walmart locations and in 200 H-E-B stores. "The main driver is grocery and will continue to be. Grocery is where you're looking for this product," Soffer said.Even though Spritz Society first launched online, Soffer believes that wholesale is the only real way for a startup alcohol brand to truly grow. "It's completely impossible to launch a direct-to-consumer alcohol business without a community behind it," he said.And community is something he's thinking about a lot. For example, he is very stringent about the types of partnerships he forges with Spritz Society. It may seem like a good idea for a brand to find a celebrity, but it may not be easy to actually sell products. "There are so many celebrities and influencers that have millions of followers that can't sell a damn thing," he said.With this, the focus is on growing Spritz Society's footprint. While other companies may think about expanding into new products, Soffer says he wants to own the category he knows well. "The goal, first and foremost today, is being laser-focused on building the Spritz Society brand to be a household name amongst sparkling wine cocktails," he said.

This week's Modern Retail Rundown features an analysis on Warby Parker and Allbirds’ latest quarterly earnings, which show mixed revenue results and losses. Next we give an overview of Tempur Sealy’s acquisition of Mattress Firm, and what it could mean for the overall mattress segment. Finally, we discuss a new story showcasing the way suburban shopping centers are thriving, thanks to hybrid work schedules.

For most brands, going to market only being able to sell a few hundred units because of supply chain headaches sounds like a nightmare. But for Windmill, which sells both air conditioners and HVAC filters, this turned into marketing gold.The company first launched in the summer of 2020. "[We] had a really awesome launch plan for 2020 that we had to scrap," said co-founder Mike Mayer. "And so we couldn't get units from the factory to the U.S., just given all the complications in the supply chain." This made it so that the company had to build a waitlist.It's not the cleanest way to launch a brand and a business," Mayer said on the Modern Retail Podcast. "But it did sort of stir up some buzz." Many media outlets wrote about the multi-thousand-person waitlist. And when the products were finally ready to ship to customers' homes many months later, that led to even more coverage.It's been a few years since then, and Windmill has continued to grow. The company saw sales triple between 2022 and 2021, and just this year has expanded into HVAC air filters. With this growth, the business and marketing has gotten more nuanced. For one, Windmill -- which began as a DTC brand -- has expanded into new sales channels. Its available at the Home Depot and P.C. Richards, and will launch online at Lowe's later this summer.What's more, Windmill has begun investing more heavily in advertising. It no longer just relies on word of mouth or digital campaigns. For example, it's investing more in TV. It's a difficult formula to master, said Mayer, as Windmill makes a product that most people don't usually think of as branded."The magic that we bring to this category is we have a brand [and] we have a personality in everything that we do," Mayer said. "TV is no different."With the summer on the horizon, Windmill has plans to introduce more people to its products. It also has some new products it's going to unveil. "There's a lot more to come from Windmill and from us," Mayer said. "We're really excited."

This week's Modern Retail Rundown starts with an overview of Shopify’s renewed focus on being an e-commerce solution provider, as the company sells off its logistics business. Next, we check in on the state of 15-minute delivery apps, in light of Getir's latest European acquisition. Lastly, a discussion of why Peloton is betting on digital fitness as a long-term revenue stream.

Ebay may be decades old, but the company is still trying to iterate as if it were a startup."We're still a work in progress, there's still a lot more that we need to change," said Eddie Garcia, eBay's chief product officer. He joined the Modern Retail Podcast this week and spoke about his priorities, and the way the marketplace landscape has evolved.Garcia is an eBay boomerang. He first started working for the company in 2003 and then left in 2014 to work at other companies like Sam's Club and Facebook. He returned a year ago to lead product, and says the focus has been on growing the platform while also maintaining a sense of community."There still is that fundamental essence of the community experience, and that small business, or that individual connecting with another," Garcia said.Making that work across categories is also difficult. Ebay is a marketplace many people know -- but the company is trying to tailor specific areas for certain types of products. It's a difficult tightrope, Garcia said, making a platform that's both recognizable but able to offer certain features to certain types of sellers."It's a balance," he said. "You don't want to dramatically change the experience because that can become disorienting to the shopper."There are a lot of updates on the roadmap, he said, but the focus is specifically on user experience."We got to do more," said Garcia. "We're really proud of our progress at taking friction out of the experience for sellers and buyers, helping make search better -- creating a greater sense of trust on the platform."

This week on the Modern Retail Rundown begins with a quick update on Bed Bath & Beyond's closures. Then an overview of Amazon’s latest earnings, which include $9.5 billion in ad revenue. Next up is a look at the state of fast casual dining, and why chains like Chipotle and Subway are thriving despite inflation. Finally, we discuss Target's longtime investment in curbside fulfillment, with the latest iteration giving shoppers the ability to return items curbside.

A-Frame Brands is focused on building brands for underserved communities but with big names behind them. And national retail is a big part of its strategy.According to co-founder and CEO Ari Bloom, there's a lot that goes into making a celebrity brand work. But he thinks he's tapped the formula. So far, A-Frame has launched brands with powerhouse names like Dwayne Wade, Gabrielle Union, Naomi Osaka and John Legend -- and all of these consumer-facing products have launched in major stores like Walmart, Target and CVS. And while it helps to have a celebrity name to catch a big box store's eyes, Bloom thinks it's increasingly difficult to launch online only.Bloom joined the Modern Retail Podcast and spoke about how he's approaching building out the A-Frame portfolio, and the thesis behind all of the brands.The first pillar of A-Frame is finding obvious holes in the market. The first brand launched was Proudly, a baby care product backed by Dwayne Wade and Gabrielle Union, that focuses on children of color."How is it that you can Google search and find out that over half the kids in this country have a black, brown or Asian parent since 2014, and not see more brands and market dedicated to what is the majority of kids?" he said. "That's insane. So we started with that brand, knowing that there would be other opportunities."After that, A-Frame launched John Legend's skincare brand Loved01 and the Naomi Osaka-affiliated suncare company Kinlo.The tying bind for all these brands, beyond their well-known co-founders, is that they've all sought out big retail partnerships from the get-go. Bloom sees this as a necessity for any new company trying to really grow. Starting with only a website is a behemoth task, that he's just not interested in trying out. "The fact that you're just kind of going to open a door and hope people show up. That's really hard, especially today," he said.Another thing that Bloom is very clear about is that A-Frame isn't using the A-list talent as mere figureheads. "We feel it's very important that the partner is a partner," he said. "So we go 50/50 with them." That means, the celebrity gets equity -- but they don't get anything else up front.As Bloom sees it, this is a way to find true partners -- and celebrities that are actually interested in launching real brands. "It does kind of weed out a lot of folks," he said.

This week on the Modern Retail Rundown, we go into Ikea’s $2.2 billion plan to grow in the U.S., complete with a new store concept and overall footprint expansion. Next, we dive into why David’s Bridal is filing for its second Chapter 11 protection in five years -- despite operating during a booming wedding industry. In other bankruptcy news: an update on a possible filing by Bed Bath & Beyond, following store closures and staff layoffs.

Personal care brand Curie looks like a traditional DTC brand at first glance, but has grown thanks to a variety of unorthodox channels.For one, the company has been featured over a dozen times on QVC, and that has helped it reach a brand new and eager audience. What's more, Curie founder and CEO Sarah Moret pitched her brand on Shark Tank -- which gave her both a boost thanks to a deal with Barbara Corcoran, as well as viral sales."We've grown 10x since we aired on Shark Tank," Moret said.She was a speaker at last week's Modern Retail Commerce Summit, held in New Orleans. The conversation was recorded, and is this week's episode of the Modern Retail Podcast. During the session, Moret spoke about growing a predominately DTC business to include other retailers, as well as the trials and tribulations of being an online personal care company.In its early days, Curie was sold only online. Now, it's sold at Anthropologie, Nordstrom and Bloomingdale's, and has a big-box partnership soon to launch this summer. But one of the biggest sales boosts that got Curie on the map -- beyond Shark Tank -- was QVC."We aired on QVC for the first time in 2021. I've now been on air 15, 20 times -- and that's really changed my business," Moret said.But selling on QVC isn't as easy as looking at a camera and saying "buy this now!" Indeed, Moret had to relearn how to pitch her product and make it something truly enticing for the audience. "What QVC taught me is nobody really cares about the features of your product," she said. "They care about what it's going to do for them."She's used that knowledge to further grow the Curie brand. With that, the focus for Moret is on expanding the company beyond its digital roots. Much of that ties back to marketing. For years, Curie sold predominately via Facebook ads. But now, Moret realizes she needs to focus more on top-of-funnel as a way to get more people to recognize the brand."We're bootstrapped, we're profitable, we are very, very ROI driven in all of our decision-making," she said. "So this is a big shift for us about thinking: all right, we don't want to just rely on these PPC ads."

On this week's Modern Retail Rundown, we discuss Walmart's lackluster performance in urban centers, following the retail giant's major Chicago exit. Next, a preview from Amazon CEO Andy Jassy shows that the Whole Foods ownership hasn't panned out well when it comes to Amazon's big grocery ambitions. Lastly, we discuss the latest updates from connected fitness startup Tonal, including a C-suite reshuffle and founder Aly Orady's departure.