Operational Innovations

Major Brands Are All Doing This. Why Aren't You?!? Gap announced their earnings yesterday. Another legacy brand that's finding newfound success. (Almost) all of their brands over performed for the year. But even with this success, what are they doing? Focusing on making things - EVEN BETTER. "You cannot go to the same people to run the same playbook and expect different results" This is the biggest mistake that organizations (big and small) keep making. That team won't all of a sudden become wildly innovative. They won't just get inspired to revamp the model. You need new thinking. You need a catalyst that will help you change what goes in, so you get something different when it comes out. Do you feel stuck running the same playbook and hoping for different results? We should chat. Gap #retail #ecommerce #logistics

Abercrombie & Fitch Had A Record Year. Here's How Talk about a Cinderella story. It wasn't that long ago that their brands had crashed from glory. What a difference focus and execution can make. By Region: Americas: +17% YoY, 15% comparable sales growth EMEA: +12% YoY, 16% comparable sales growth APAC: +9% YoY, 19% comparable sales growth By Brand: Abercrombie: +16% YoY, 15% comparable sales growth Hollister: +15% YoY, 19% comparable sales growth How are they doing it?? By focusing on the in-store experience, opening new locations, and operational excellence. This is what big brands do that little ones think they dont' have time for, that is making huge differences: 1) "Read & React" Inventory Model: This agile system allows Abercrombie to dynamically adjust production based on customer demand, which was critical in chasing millions of units in 2024 2) The company closely monitors air costs and transportation modes to optimize inventory flow 3) The company sources from 17 countries globally, ensuring agility and responsiveness to changing market conditions (and has people in place to maximize the benefits of this strategic activity - it's not just rate shopping) 4) Digital sales made up 46% of total sales, with Hollister at 30% and Abercrombie at 60% (using their data to better understand their sales and spinning that back to directed strategies to increase revenue. What insights are you getting from your operational activities?) 5) Loyalty program enhancements planned to drive repeat business and customer retention (thinking differently about the customer and being creative on how to connect with them at EVERY interaction point) If you don't have people in your organization that think differently, but you have people that keep hoping the same playbook will some how product wildly different results... You're hurting yourself. Work with people who see everything in a new light. DMs are always open to chat.

There's Two Ways To Look At The US Tariffs - Which Are You? The tariffs suck. There's no doubt. They will have a negative impact on your business (if you keep operating the way you are today). One thing is clear. eCommerce and low value goods will never be the same. With tariffs looming over packages currently accessing the market through Section 321, tons of brands are worried. Not just because of the current tariffs. But because it's no secret that EVERY major country in the world is looking to change how low value goods access their retail markets. Watch the video to see how I think you need to be seeing the current situation. If your team isn't looking at things this way, you have a problem. Need help? My DMs are always open (to anyone).

A Kodak Moment? Amazon is looking to shake things up in LTL. But not everyone thinks it's a big deal... “Our industry conversations indicated that the vast majority did not see Amazon as a threat to national LTL carriers at any point in the future” Hubris is one of the most dangerous traits to bet on. Especially in a market that has been rapidly evolving and experiencing massive global supply chain shifts. Here's the thing. Amazon doesn't need to be a massive threat to the current guard of National LTL carriers to create challenges in the market. Amazon didn't destroy UPS, FedEx or USPS (at least, for now ??) But they most certainly have change consumer expectations to the point that EVERYONE now offers "Amazon-like" experiences. Even Walmart hit copy/paste on a ton of their playbook. The same thing will happen in LTL. What are your thoughts about this expected Amazon expansion?

Are You An eCommerce Seller Or Brand? There is no one size fits all execution. Successful businesses aren't an app. Tools help, but if you really want to succeed, you need to know exactly what your business is about - and build accordingly. The biggest mistake a I see when it comes to eCommerce is a brand that is behaving like a seller (and then wondering why their sales suck). If you want to a brand, you are choosing to take on the responsibility of creating products and experiences that impact how your customers feel. And in order to be able to do that the right way, you need to manage that customer experience from start to finish, without leaving some parts to a generic tool. So, are you a brand or are you a seller? #d2c #brands #retailer #marketplace

F2026 (2025 Calendar) Will Be Worse. But $5.3B In The Bank Helps TJX reported Q4 and F2025 earnings this morning. They beat expectations across the board. And they also opened their 5,000 store last year. The retail "Mass Merchant" category continues to grow (at the expense of everyone else). TJX is also benefiting from discount shopper's and the "low cost - right value" mindset that companies like Shein and Temu have tapped into so well. Big retailers will be able to keep selling on large inventories and ongoing cycles of SKU development. Smaller companies won't be able to afford to keep up (especially with all of the tariff talk). The cost of inventory is too much to bear. TJX has been able to create a system that keeps them over 30% gross margin. This is about half of a company like Inditex (Zara). They have enough money to keep competing on price and will HAVE to keep selling this way to hit those aggressive YoY sales goals. Smaller business will need to focus on revenue quality and consistency as they sell fewer SKUs but to a much more loyal base.

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The Best Information Is Disappearing From The Internet. Don't Build Your Business On AI Generated RECYCLED Solutions Here's something to get you thinking about the future of your business. How you solve the problem is your unique value proposition, so what happens when it's actually not unique at all?!? Quality information, novels solutions and real innovation are moving off of the public internet. The best solutions are coming from closed communities where people publish and share their best stuff (Have you noticed how many of these are popping up even on LinkedIn?) Even I'm doing it. My newsletter is sitting at 49 editions (and counting) as of today. In it, I publish and share information that I don't publish ANYWHERE else (the only people who get even deeper insights are my clients). What do you think about this "two-tiered internet" that seems to be rapidly evolving?

Shipping To Subscribers Now! The latest of DEEPER DIVES is hitting people's inbox this morning. ? What you need to know about the future of warehouses ? The real pain that FedEx and UPS will cause with their deep discounts ? Some real stats on tech startups as everyone heads to Manifest this week No tariff talk this week (I think everyone will appreciate the break!). DEEPER DIVES is my 1x / wk newsletter where I share insights, information and guidance that I don't publish ANYWHERE ELSE. Consider joining hundreds of industry leaders and get real perspectives that will help you refine your strategy and increase profitability It only takes 10 seconds to drop your email here -> https://lnkd.in/dCsUAauR But wait, there's more! Even new subscribers get IMMEDIATE ACCESS to ALL of the previous editions of DEEPER DIVES. That's right, everything I've published since the start, ready and waiting for you the second you sign up. (My newsletter two weeks ago was the first to really get into the details behind the upcoming tariffs as I framed the underlying trade deficit issue that you are now seeing all over the news) Why would you not want to stay ahead of your competition or make better decisions for your brand?

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