The Modern Retail Podcast

Detroit-based luxury design brand Shinola sells everything from jewelry to bikes to journals. In 2019, it even opened a hotel in downtown Detroit. But the is currently laser-focused on refining the answer to the question, “What’s the first thing you think of when you think of Shinola?” And it wants that to be watches. “We lost that [focus on watches] for a little while,” said Kevin Wertz, CMO at Bedrock, the platform company that owns Shinola. Bedrock also owns the outerwear brand Filson. Shinola, founded in 2011, quickly gained a following because it was bringing manufacturing jobs back to Detroit. In 2012, the brand opened a 12,000-square-foot watch factory in the city. Over the next few years, it used its expertise in design and craftsmanship to expand into new categories. But in 2016, Shinola ran into a hurdle when the FTC ruled that the company could not use the tagline “Built in Detroit.” Even though Shinola has a watch factory in the U.S., its watches — like all watch brands — largely rely on imported parts. Now, Shinola’s watches say “Built in Detroit with Swiss and imported parts.”  "We’re going back to the idea that we are designing and assembling watches in downtown Detroit,” Wertz said. Despite this, Shinola has found that the best way to tell its story is to do more showing, rather than telling. Wertz said the content that has performed the best for Shinola is raw photos and videos from its factories showing how its watches are made. "People say, 'I don't know what watches being made actually looks like,’” he said, regarding the interest.Wertz joined the Modern Retail podcast this week to talk about how Shinola is refining its brand story. 

Olipop has secured a whopping $50 million in funding, boosting its valuation to $1.85 billion, marking a significant rise in the non-alcoholic beverage sector. Meanwhile, Poppi faced backlash over its Super Bowl marketing strategy involving vending machines. The conversation shifts to the job cuts in retail, highlighting a challenging landscape for employment amid economic shifts. Additionally, the discussion touches on consumer perceptions of influencer marketing and controversies within the gut health industry.

It’s been a great year for brands that sell shoes and other gear to runners. Brooks Running, which is a subsidiary of Berkshire Hathaway, disclosed earlier this month that it ended 2024 with record global revenue, up 9% year-over-year. The company did not disclose exact revenue numbers.“We’re now in our 25th year of growth. Over that 25 years, we've grown approximately 15% compounded,” said Dan Sheridan, CEO of Brooks. “I think it's an outcome of this incredible, sharp focus we have on the category of run that has mass appeal to anybody that really moves.”Sheridan joined this week’s Modern Retail Podcast and spoke about Brooks’s 2024 performance and how the brand is setting itself up for growth in the years to come.There have been different types of running booms over the years, Sheridan said. “In the early 2000s, the running boom was centered on a broader approach and invited walkers and people that just wanted to be active.” Right now, Sheridan said, Brooks is benefitting from the post-pandemic running boom, which is being led by Gen Z. This generation, Sheridan said, is getting into running earlier. They are also trying to balance the mental, physical and social aspects of their life differently. “Run clubs are the new dating app. It's where you're finding your mate. And people are choosing run clubs over going to the bar. And we see that in Gen Z. They're they're drinking less; alcohol sales are down. … So we think this next generation is a running boom for our industry.” International sales, too, are fueling Brooks’s growth. Sales in China, in particular, grew 228% year-over-year. 

On this episode of the Modern Retail Rundown, the staff looks at the impact of rising ingredient costs. For instance, this week Waffle House announced it's implementing a $0.50 surcharge per egg as costs rise due to bird the bird flu. Meanwhile, Chipotle executives told investors that looming tariffs on Mexican imports will not hurt the fast casual chain's supply of avocados. as it only sources half its avocados from Mexico. Lastly, Gap announced a new series called GapVintage that will feature curated Gap selections from the 1980s through the 2000s.

Steven Eidelman, Founder and CEO of Modern Animal, discusses his innovative veterinary care startup that emphasizes a customer-centric approach. He shares insights on how technology can revolutionize pet care, making the experience more seamless for pet owners. Eidelman explains the benefits of their membership model, which offers unlimited access to services and telehealth options. He also reflects on the impact of industry challenges and the importance of community support during crises, highlighting plans for future growth and expansion.

This week, the conversation dives into the shifting landscape of U.S. import strategies amid changing tariffs and tax policies. Major brands are grappling with these changes, leading to significant layoffs at retail giants like Amazon and Kohl's. In contrast, there's excitement around the resurgence of Chili's, showcasing a remarkable 30% increase in sales and a successful turnaround strategy. Learn about the strategic moves driving both challenges and successes in the retail and restaurant industries.

Armand Wilson, Vice President of Categories and Expansion at Whatnot, shares insights into live stream commerce. He reveals how Whatnot saw a surge in new sellers during a brief TikTok outage, highlighting the shifting landscape of social media. Wilson discusses the platform's appeal, particularly in collectibles like trading cards, and emphasizes community engagement as key to their growth. He also explores the potential for live shopping to significantly impact online sales and how Whatnot plans to innovate amid uncertainty in social commerce.

This discussion uncovers a major retail theft ring that cost millions, highlighting the fight against organized crime. Insight into TikTok reveals its uncertain future post-outage, including potential sales to new investors. Additionally, layoffs at VF Corp signal a tough reorganization aimed at revitalizing struggling brands like Vans. The shifting retail landscape and the complexities of social media impact are explored, providing a comprehensive look at today's retail challenges.

Renais has lofty ambitions to be the leading global ultra-premium gin brand.The company, which launched in 2023 in Europe and expanded to the U.S. last year, just raised a fresh round of capital and is working on expanding even further. It was founded by CEO Alex Watson and his sister, actress Emma Watson. Renais Gin isn't cheap -- it retails for around $60 a bottle. But it offers a product that reuses pressed wine grapes from the Watson family's vineyard in France, ultimately making a more sustainable and higher-level gin offering.According to Alex Watson, who joined this week's Modern Retail Podcast, Renais' growth comes at a fortuitous time. "Martinis are having a moment right now," he said. And while people are drinking less -- especially this month -- they are seeking better options. "People generally are consuming less alcohol these days, but they're trading up," Watson said, "so the volume and the share is all shifting into higher value products."That gives Renais a clear path to growth. Still, Watson admitted, there are some big competitors in the space. "Some of the headwinds that we face [are] both going up against the likes of the big boys and hundreds-of-years-old brands," he said.However, he thinks gin may be the best place to introduce a new higher-end product. "Although there's been a lot of innovation in gin -- and there are a lot of gins out there -- there are very few in what we would call the ultra-premium segment of the category," Watson said.

Joann's struggles deepen with a shocking second bankruptcy, as the retailer grapples with massive debt and inventory issues. Meanwhile, Walgreens seeks innovative solutions to counteract theft, realizing that locking products is hurting sales. In the world of food, the FDA pushes for clearer health labels while banning the controversial Red 3 dye, raising questions about consumer transparency and food safety. These developments signal significant shifts in the retail and food industries that could redefine consumer experiences.