Manufactured Scarcity: Secondhand Commerce

Future Commerce Podcast: eCommerce, DTC and Retail Strategy

• Episode: Manufactured Scarcity: Secondhand Commerce
• Website: Future Commerce Podcast: eCommerce, DTC and Retail Strategy
• Feed URL: https://rss.simplecast.com/podcasts/2042/rss
• Duration: 00:57:13
• Published: 2018-05-25 14:27

Main Takeaways:

• The sharing economy is helping regular people lead their best lives.
• Real-sized model diversity is actually becoming a reality with big brands
• In 2018 retail pretty much runs our lives
• Levi Jean jackets + Google enabled tech= less impressive than expected
• The Retail Apocalypse is as likely as a Zombie Apocalypse

The Sharing Economy: Aspirational Luxury Goes Mainstream:

• The sharing economy is now allowing consumers unprecedented access to products and services, with a much lower price tag.

• And companies have sprung up around this concept, services people now use without a second thought like Uber and Airbnb.

• JetBlue has a private jet company that allows users to share a private jet for less.

• "Is this all just manufactured scarcity?

Subscription Models Allow Users to Upgrade Their Lives:

• On Retail Dive CEO of Rent the Runway Jennifer Hyman talks about how the company fits into the "the sharing economy." , Most people, know Rent the Runway as the place where we can all rent clothes we couldn't otherwise afford.

• Something all retail enthusiasts will be excited to hear; Hyman says that her entire closet is in "the cloud."

• Volvo's subscription service: Care by Volvo is pretty epic, and is indicative of a societal need to upgrade regularly.

• Mercedes Benz is also offering a subscription model, so maybe "subscription leasing" is the future of car-commerce.

• Phillip and Brian discuss whether a similar model could be used in fashion, so basically StitchFix, Letote for mid-price style, and Stitch fix offering a lux option if you want to feel fancy.

Diversity of Size: Finally, a Priority For Retailers?

• Bonobos (a popular men's retailer) is finally "sizing up" to address diversity of size, and is adding to the sizes it offers its customers.

• Bonobos new campaign 172 different men of diverse backgrounds and body types, is meant to put on display the retailer's dedication to offering options to men of all shapes and sizes.

• Nike has been utilizing diversity of both size and color in their ads, so at least they are doing something right these days.

• If more retailers emphasize addressing the sizing needs of their customers, then they can open their brands up to much more significant market space.

Levi's "Jacquard" is the Palm Pilot of Tech-Enabled Clothes:

• Phillip goes on a fun field trip to Levi's flagship store in Chicago to check out the "Jacquard."

• While the Jacquard has a super cool name, it's actual tech is basic.

• The jacket allows the wearer to know when they get a text or call, through a vibrating cuff.

• One major letdown? The Jacquard doesn't even have a headphone jack.

• The Levi-Google jacket collab also seems to be made of a burlap material which pretty much defeats the purpose of a jean jacket.

The Retail Apocalypse: More of a Supply Chain Apocalypse:

• The retail apocalypse is not a thing, so maybe there is another reason that so many brands are going out of business.

• Many of the brands that are going out of business are poorly run and aren't adaptive enough.

• Also, Brian makes the point that there are just cheaper and more efficient ways of doing business in 2018.

• Indochino is expanding its brick and mortar presence,

• CEO Drew Green is attaching Indochino's success to its understanding of "the lifetime value of a customer" And how a visit to a showroom can turn into obtaining a repeat online customer.

• Dying malls are trying to keep themselves afloat by allowing churches and religious organization.

• Also, dead malls are so eerie that people are touring them. Maybe tourists are hoping to witness a couple of ghosts of retail's past.

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