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**Future Commerce**

Future Commerce is the culture magazine for Commerce. Hosts Phillip Jackson and Brian Lange help brand and digital marketing leaders see around the next corner by exploring the intersection of Culture and Commerce.

Trusted by the world’s most recognizable brands to deliver the most insightful, entertaining, and informative weekly podcasts, Future Commerce is the leading new media brand for eCommerce merchants and retail operators.

Each week, we explore the cultural implications of what it means to sell or buy products and how commerce and media impact the culture and the world around us, through unique insights and engaging interviews with a dash of futurism.

Weekly essays, full transcripts, and quarterly market research reports are available at https://www.futurecommerce.com/plus

Latest Episodes:

Climate Neutral: The New Minimum Standard for Corporate Responsibility Dec 20, 2019

Show notes

Measure, Reduce, Offset. That's the simple formula for Climate Neutral, a new label that certifies the commitment of a brand to track, and lower, their carbon emissions. Austin Whitman and Caitlin Drown join us to talk about the future of brand trust, consumer expectation, and even a little bit of speculation on how offsetting today can change the world tomorrow. Listen now!

Show Notes

Main Takeaways:

Phillip is joined in today's episode by Austin Whitman and Caitlin Drown from Climate Neutral.
Climate Neutral is a movement intended to help brands quantify and then reduce their carbon footprints.
Consumers are driving the economic engine, so it's imperative to make your voice heard to encourage positive changes in your favorite brands.
How can you offset your carbon footprint enough to be carbon neutral?

Reducing and Offsetting Carbon Footprints: The Climate Neutral Initiative:

Future Commerce joined the Climate Neutral movement back in October of this year.
Climate Neutral is a young, non-profit organization that exists with the sole purpose of helping businesses understand what their carbon footprints are, take meaningful actions to reduce those carbon footprints, and then offset the entirety of that impact on the environment.
People simply don't understand where carbon emissions come from and what to do about them.
Climate Neutral is creating a label that will be placed on products to let consumers know that brands have gone through the Climate Neutral process.

Why Start at Retail?: Making the Biggest Impact:

Climate Neutral started with retail because consumers are what drive the economic engine by buying products and services.
The two brands that funded Climate Neutral were BioLite and Peak Design who both realized that there are limits to how much they can reduce their carbon footprints, but that's not the limit to what you can do.
There needs to be a strong signal to companies that doing something to reduce your carbon footprint is an economical investment.
Climate Neutral is working with brands that many consumers would already know such as Kickstarter and Allbirds.

Spreading the Message: Making an Impact on Social:

Caitlin has noticed that a lot of large influencers on Instagram that aren't associated with one of Climate Neutral's brands have been promoting Climate Neutral of their own accord.
Sharing the story is encouraging influencers and brands to get involved and taking action in a transparent way.
Transparency is a major factor in gaining the trust of consumers.
The brands that sign with Climate Neutral are validating Climate Neutral as much as the initiative gains credibility from the brands' involvement.

What is the Goal?: Strategic Brand Partnerships:

Goal #1 is to understand and capture a large amount of carbon within the brands that Climate Neutral is representing.
The label will only be provided to companies that have measured their carbon footprint, taken measured action towards things that will reduce that carbon footprint, and finally offsetting the entirety of their measured footprint.
In addition to making a big carbon impact, another goal is to mobilize a new wave of brands to build carbon reduction into their strategies.
When people go through the process, they are going to have a carbon imprint, so a measurable amount of carbon indicates how much that brand should put back into the erasure of their footprint.

Transparency and Education: Armed With Knowledge:

If someone wants to look into the particular actions that a company is taking, that information will be available online.
This data will give brands insight into what other brands are doing to reduce their footprint.
Climate Neutral is going to make it easier for companies to estimate what their carbon footprint is.
Most companies have no idea what their carbon footprint is, and will be able to use a tool via Climate Neutral to get a better understanding.

Real Life Feedback: What are Brands Saying?:

Tapping into the network if reputable and respected brands are helping give Climate Neutral the stamp of approval.
Climate Neutral did their first official launch in June where they had Alex Honnold serving as a moderator for a panel, and he initially didn't believe in carbon offsetting.
Because of Kickstarter and various PR efforts, Climate Neutral has been able to enter the discussion at a higher level and volume that Austin has ever seen.
Even if there are those who are more skeptical about carbon offsetting, the validation from so many sources has led to articles being written on both sides of the debate.

Expanding Reach: Influencing Consumers and Companies:

Consumers need to get excited about the carbon offset label and brands have to get excited about the process and wearing the label.
The main reasons why companies aren't doing carbon offsetting are that it is not in the budget or there is a stigma around offsetting in general.
Smaller companies tend to have fewer levels of approval to approve the initiative, so the goal is to eventually get approved by large, billion-dollar corporations.
We need to do far for than what we are currently doing when it comes to addressing climate change.

Looking in the Past to Move Forward: Learning from the Past:

We are so far from bending the carbon curve to neutrality that we have to start somewhere.
It's possible that neutrality will eventually lead to positivity.
If brands define their footprint far enough, it extends to other brands, and if these overlapping footprints become neutral, then that equates to positivity.
Reduce the barriers for companies trying to get on this path and increase the expectation for what neutrality is.

The Digital Commerce Shift: A Positive Impact?:

One-day shipping is a great convenience, but chances are that that shipment came on an airplane that comes with a much larger carbon footprint.
There is a ton of data to measure against whether there is a larger carbon footprint for traditional retail experiences or online shopping.
We should not assume that just because stores are not physically there that there will be a smaller carbon footprint to accommodate the online shopping experience.
Do retailers that are digitally native have a smaller carbon footprint?

Next Steps: How to Get Involved with Climate Neutral:

First and foremost, if you want to get involved with Climate Neutral, you should back the Kickstarter Campaign.
Contributing at certain levels will actually offset someone else's carbon footprint for the year.
Reach out for any questions you may have to .
As a consumer, call out your favorite brands and ask them to look into the certification and offset their carbon footprint.

Brands Mentioned In This Episode:

As always: We want to hear what our listeners think! What are some steps you can take today to get a better understanding of your carbon footprint?

Let us know in the content section on Futurecommerce.fm, or reach out to us on Twitter, Facebook, Instagram or Linkedin.

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Retail Tech is moving fast, but Future Commerce is moving faster.

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

[Step by Step] How Can I Successfully Sell My Business? (Michelle Cordeiro Grant, Lively) Dec 13, 2019

Show notes

Welcome to Step by Step, a 5-part series from Future Commerce to help walk you through how to launch and grow a successful business. This season, we're talking about funding. Today is episode 5. Phillip & Brian are joined by Michelle Cordeiro Grant, Founder of Lively to chat about her experience working with Venture Capital from a founder's perspective.

Listen Now!

SHOW NOTES

Main Takeaways:

Michelle Cordeiro Grant from Lively is back again to walk us through successfully selling your business.
A strong operation foundation and consistent production costs can help identify where to apply raise capital.
What are the factors that indicate that your brand is ready for an exit?
Breaking through the noise of digital may require physical presence, so how can you achieve this with your brand?

Lively and Michelle: Some Quick Backstory:

Lively is a brand and a community whose sole purpose is to inspire women to live passionately, purposefully, and confidently.
Michelle grew up in a rural area of Pennsylvania and wanted to see what she could do with her life instead of more typically expected career choices.
She eventually found her way into fashion and fell in love with the idea of concept-to-customer and the power of brand.
Eventually, she wound up at Victoria's Secret that led her to decide that there was something missing in the lingerie community which ended up with the creation of Lively.

Pursuing Capital: A Founder's Perspective:

With a story backward to most, Michelle left Victoria's secret with the idea that she could start a brand by having a community to build the brand instead of a company building it.
She knew that she needed to have her supply chain completely under control so her strategy was to partner with an investor that was a manufacturer prior to launching her company.
This allowed her to scale with what her customers wanted as opposed to what was written on a spreadsheet.
Michelle did a $1.5 million convertible note with her manufacturer Gelmart and having the support and experience of a manufacturer in her industry set Lively up for success.

The Next Step: The Need for More Capital:

Lively launched organically without paid media and after 45 days saw that they were able to ship to every state in the United States.
Two months after launch, Lively had captured results that they had planned to do within the first year, which indicated that it was time to fundraise.
Michelle's initial strategy was not to go after Venture Capital money, but rather to pool angel investors, but eventually started getting contact from Venture Capitalist firms.
She wanted to wait for her Series A, but one email in particular from Robin Lee from GGV Capital (who worked for a VC but was also a Lively customer) changed her mind on VC and within a week of conversations, Michelle knew they had found their match.

The Struggles and The Victories: Accepting Venture Capital:

Michelle was very worried about the expectations of her brand before she accepted the term sheet with Robin.
In retail, a brand's growth charts like a roller coaster in regards to its trajectory and Michelle didn't want to be pressured for unrealistic growth.
While her VC was always pushing her forward, Michelle was happy to discover that she had a voice and she could adjust her strategy to favor long-term growth.
How can you preserve your visions of growth when an investor is now sitting with you at the head of your brand?

A Stable Foundation: Knowing Where to Spend Capital:

Lively raised $4 million in its first round when they only set out to raise $2 million so the extra capital fueled the excitement for the brand's growth.
Due to the fact that most monetary aspects of the business were so steady (such as a single price point for products and consistent production costs), Lively was able to clearly decide what to do next.
A clear perspective of what was coming from an operations and a cashflow perspective allowed Lively to easily put the money towards marketing and inventory.
How can you solidify your operations to help pinpoint where to spend your raised capital?

Vertical Integration: The Power of Structure:

Quality was a goal from the outset and Gelmart helped Lively to create a custom manufacturing solution that allowed them to deliver consistently high-quality products.
Because their manufacturer was both their investor and supplier, Lively also had the benefit of getting net terms and was a huge boon when it comes to handling your cash.
Vertical Integration also allows you to be innovative by allowing you to directly address customer needs as opposed to serving just a bottom line.
Lively grew by 300% from year 1 to year 2, so they were able to continually prove that they had the roadmap to success.

The Sale: Building Up to the Exit:

The intent was not to sell Lively in 2019, but the continual success of the brand and the sturdy foundation from the get-go led to Lively's acquisition by Wacoal.
One of the factors that made Lively such a desirable acquisition was its clean board of three investors that raised enough capital without becoming too diluted.
Lively's clean KPIs and financials were a huge benefit to getting through the diligence of the acquisition.
What were the factors that led to Lively's brick and mortar strategy?

Seven Year Cycles: The Digital Deluge:

Are customer acquisition costs for digital marketing forcing brands to adopt local strategies in order to grow their brand?
Digital marketing channels are so saturated that brands need physical presence to break through the noise of digital advertising.
Pure digital brands like Everlane are increasing their physical presence because it is becoming more and more clear that you cannot only do digital in order to succeed.
Generation Z has been raised on screens and is looking for in-person experiences to really connect with brands.

Beyond the Dollar: Further Benefits of Capital:

GGV introduced Michelle to a lot of other founders that were 2-3 years ahead of her in their brand development which gave her a strong group to help answer questions and give advice.
What went wrong is just as important as what went right when it comes to growing your brand.
Conferences like Shoptalk allowed Wacoal to get to know who Michelle and Lively were even before there was any interest in the acquisition.
Michelle would not have been comfortable taking the risks she did without the experience-based knowledge from GGV.

Adversity Along the Way: Not All that Glimmers is Gold:

There was only one person doing customer service with over 2000 customers, so macros had to be designed to alleviate the most common questions being asked by customers.
There was so much time spent on each component of the bras that some of the luxury components led to unforeseen complications.
In October of 2017, Lively rebuilt their site and realized after launch that Google was doing a recrawl that required a rebuild of their organic traffic.
What are some of the obstacles that inevitably led to positive changes for your brand?

Brands Mentioned In This Episode:

As always: We want to hear what our listeners think! Are you ready to raise capital to grow your brand? Does Venture Capital or Private Equity sound like a better fit for your brand?

Let us know in the content section on Futurecommerce.fm, or reach out to us on Twitter, Facebook, Instagram or Linkedin.

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Retail Tech is moving fast, but Future Commerce is moving faster.

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

[Step by Step] What is Private Equity and When Do I Need It? (Jeremy Muras, Lion Capital) Dec 12, 2019

Show notes

Welcome to Step by Step, a 5-part series from Future Commerce to help walk you through how to launch and grow a successful business. This season, we're talking about funding. Today is episode 4. Today, Phillip & Brian are joined by Jeremy Muras of Lion Capital Group to discuss Private Equity.

Listen Now!

Show Notes

Main Takeaways:

In today's episode, Brian and Phillip are joined by Jeremy Muras from Lion Capital to talk about the ins and outs of private equity.
What are some of the major differences between Private Equity and Venture Capital?
Private Equity benefits brands with not only large amounts of capital but a proven track record of successfully growing brands.
How can Private Equity help brands resonate with their ideal customers and tap into previously unexplored channels?

Jeremy's Journey: A Look Into His History:

Jeremy has been in the digital industry since the early 2000s and got interested when he was located in Hong Kong and he got close with the team that built Monster.com.
He worked for a luxury lingerie company called Agent Provocateur, ran TopShop.com for a brief spell, and then made his way to Burberry where he worked as the eCommerce Manager for Europe.
While at Burberry, Jeremy and his journey were the first to execute purchasing directly from the runway, in-store pickup, and various othering pioneering innovations.
From there, he found his way to Lion Capital where he operates as an expert on digital marketing and allowed him to expand his expertise.

Distinct Differences: Private Equity vs. Venture Capital:

Essentially, private equity is equity or shares that represent ownership or an interest in a particular company that is not public.
Private Equity requires companies to prove that they can scale and be able to demonstrate a number of years of profitability.
Part of the challenge that Private Equity firms face in today's ecosystems is that a lot of successful DNVBs have exponential growth, but haven't demonstrated consistent years of profitability.
Lion Capital typically invests over $100 million into a business and tends to not go much go lower than that.
The goal is to achieve a positive return on investment in 5-7 years.

Going Deeper: How Does It Work?:

Private Equity firms typically get their money from large institutional investors such as pension funds, insurance companies, and banks or other accredited investors like high-value individuals.
Large institutions are investing in what is effectively betting on entrepreneurship being a growing portion of economic advantage in the United States.
Unlike Venture Capital, Private Equity is not going to make risky investments that have not proven themselves.
The gates that brands need to get through to acquire private equity are designed to give confidence and assurance to investors that their investment will be profitable.

Hands-On or Hands-Off: How Involved Are Investors?:

Jeremy mentions that the consensus is split pretty evenly amongst investors whether they want to be hands-on in scaling their investment or not.
As the industry has become more competitive, the active investor has started to take dominance in the preferred model of a firm.
Demands are higher with the disruption coming from digital and other verticals.
Brands can factor in the level of involvement that they want from their investors when it comes to choosing the right fit.

When to Seek Private Equity: When is the Right Time?:

At what point in the lifecycle of a business does a private equity firm become involved?
Lion Capital typically becomes engaged with businesses that are in the growth stage of their lifecycle because they need to see years of data proving success yet also need room to grow.
Extending companies into new areas or diverse verticals are also good signs for Private Equity because that is something that capital could assist with accomplishing.
In the United States, a lot of brands are exclusively national and have not gone international yet, which is a prime goal that private equity can accomplish.

Broadening Horizons: Expanding Into New Territories:

There are a lot of companies that never break out of their verticals because they do not have the capital or the expertise to pursue new markets.
A product does not necessarily become a brand without guidance and funding.
Lion Capital looks for a brand within a category that is niche that can then be blown up in regards to growth.
The qualities and endorsements of smaller brands can reach wider audiences with the appropriate injection of capital.

The Work of the Investor: What's the Deal Flow?:

Deal flow is a term to describe the rate at which business proposals and investment pitches are being received and is imperative for Private Equity firms to maintain.
Firms have large amounts of capital that they need to employ, and if they do not have an adequate deal flow, then you will fail in distributing the funds.
It's becoming harder and harder to compete for deals amongst investors because of the high level of current business evaluations.
Sourcing deals through non-traditional means is how firms are competing in today's economy.

The Secret Sauce: What Private Equity Brings to the Table:

A huge differentiator between what Private Equity and Venture Capital bring to the table is that Private Equity brings with it a huge set of experience and skills that has a proven track record of building successful brands.
Operating is difficult and you need to scale within your operating function to really add value.
You need to make a decision whether you are prepared to invest to scale internally or if you want to build out a center of operational excellence that covers key aspects of your business.
The reason you bring in an active investor is to embrace what they offer and to trust their expertise and guidance when it comes to scaling your brand.

Getting Hands-On: Planning and Guidance:

Private Equity needs to be involved with strategic planning and budgeting because they have to account for their bottom line.
Lion tries to bring founders along for the growth journey, and while they would like to keep management teams intact, firms have access to a large network of talented executives that can take the brand to the next level.
There are different definitions of value, so sometimes strategic planning choices can be different than what a founder initially tries to accomplish.
Firms have to be very clear with their intentions and cannot take footing away from the founders because that relationship is what the initial agreement was based upon.

The Brand Journey: Potential Changes for Exponential Growth:

Moving a brand away from its traditional way of expressing itself towards new channels where new storytelling can resonate with customers is the goal.
Brands stay a constant throughout their lifetimes, but their messaging and values can potentially change along the way.
AllSaints has tapped into the zeitgeist of its customers and has made its message resonate amongst them.
Private Equity firms can provide a window for brands to see beyond their traditional messaging and discover ways to truly make the brand shine.

Brands Mentioned In This Episode:

As always: We want to hear what our listeners think! What are some specific ways that Private Equity can take your brand to the next level that are different from how Venture Capital would help your brand?

Let us know in the content section on Futurecommerce.fm, or reach out to us on Twitter, Facebook, Instagram or Linkedin.

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Retail Tech is moving fast, but Future Commerce is moving faster.

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

[Step by Step] How and When Do I Raise Venture Capital? (Robin Li, GGV) Dec 11, 2019

Show notes

Welcome to Step by Step, a 5-part series from Future Commerce to help walk you through how to launch and grow a successful business. This season, we're talking about funding. Today is episode 3. Robin Li joins Phillip & Brian, Principal at GGV Capital, to talk about discuss the process of raising venture capital and an initiative called Evolving E.

Listen Now!

Show Notes:

Main Takeaways:

Robin Li from GGV Capital joins Phillip and Brian in the third episode of Future Commerce's Step by Step.
New York is becoming a hotspot for DNVB and retail portfolio companies, and GGV is leading the charge
"Founders have to have their own vision and you as a Venture Capital partner are there to help them execute and make things happen."
Is Shopify the new Main Street?
Robin has some pretty amazing advice for brands who are thinking about finding a venture partner

Introductions And Career Changes: Meet Robin Li From GGV:

Fun fact: Robin actually started her career out as a special education teacher with Teach For America before going to business school.
Then while interning at Qiming, one of the top venture capital firms in China, Robin met Hans Tung, who happens to be one of the most prominent VC's in the world, with a spot of Forbes's Midas List.
This led Robin to learn everything she could about venture capital in both the United States and China, as she spent that entire summer stationed in Bejing.
Robin stayed in venture while being back in business school, leading her to work at Flextronics for the last quarter of business school before ultimately returning back to GGV, where she has worked for the last five year years.
Robin was originally located in Silicon Valley, which was the heart of venture capital for a long time, but is now in New York (since last year) because New York has become the center for DNVB brands and retail portfolio companies.

New York's Ecosystem is Changing: GGV is Leading The Charge:

New York has long been associated with industries like finance and real estate, mostly massive legacy brands, but according to Robin, this is all beginning to change, and New York is being rebranded as a hub for retail, entrepreneurship and tech companies.
In fact, just a few years ago, GGV only had three or four portfolio companies in New York, and now, that number is over thirty.
These companies include fitness brand Peloton, lingerie, and lifestyle brand Lively, and GGV's portfolio companies in New York and everywhere span multiple industries.
Brian says that while New York has always been a bit of a retail hub, GGV has become very invested in DNVB's, or "new retail".
Robin says that retail, especially in e-commerce are massive categories right now, and those tend to be very big in New York, especially because social media, and the talent to power it is very big in New York.

Eevolving E: The Bridge Young Brands Need to Move Forward:

One of Robin's ways of helping brands and entrepreneurs is an initiative called Evolving E (Evolving E-commerce) that she founded Ryan Darnell who is the managing partner at Max Ventures, as a way to connect all the moving parts in entrepreneurship, and the entire thing started as a meetup.
Evolving E has since expanded and has become a bridge for entrepreneurs and young brands in multiple aspects of e-commerce.
Now, Evolving E hosts multiple online and offline series, masterclasses, and events, like the recent summit Evolving E held that is in it's fourth year.
An example of a recent masterclass: Recently Evolving E did a masterclass on TikTok which is one of the fastest-growing social media platforms, and this can really help younger brands with in-house marketing that don't have access to the massive marketing largesse that legacy brands do.
Evolving E has morphed into a massive community consisting of everyone in the e-commerce ecosystem.

Marketplaces Are Changing: Serendipity Can Now Be Found Online:

One topic that Phillip points out that has been discussed on Future Commerce is the idea that malls are dying off and that the old idea of the marketplace is dying.
But new marketplaces are forming, especially in some of GGV's own portfolio companies like Poshmark, and StockX, both companies which host internal communities as well.
And speaking of marketplaces, we are seeing a reemergence of neighborhood-esque shops, both online and in-store thanks to platforms like Shopify.
Brian wonders if Shopify has become the new Mainstreet?

Landing on Venture Capital: Aligning With Portfolio Founders:

Who are the founders that GGV as a firm are looking to work with?
"In many ways, we are the believers behind the believers, we are looking for globally-minded founders who are looking to change the world"

Brands mentioned in this episode:

eBay

As always: We want to hear what our listeners think! Are you at the stage where your brand is looking to partner with a venture capital firm? What are you looking to gain from building a relationship with a venture partner?

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

[Step by Step] What is Venture Capital, Anyways? (Brian O’Malley, Forerunner Ventures) Dec 10, 2019

Show notes

Welcome to Step by Step, a 5-part series from Future Commerce to help walk you through how to launch and grow a successful business. This season, we're talking about funding. Today is episode 2. Phillip & Brian are joined by Brian O'Malley of Forerunner Ventures to discuss venture capital.

Listen now!

Show notes

Main Takeaways:

Brian O'Malley from Forerunner Ventures joins Phillip and our own Brian in the second part of the Future Commerce Step by Step Series.
There are many choices when it comes to venture capital, but where do you start the decision process?
How can you make your brand stick out to venture capitalist firms?
Founders are driving the evolution of the economy and are continuing to drive innovation.

Background and Introductions: Meet Brian O'Malley and Forerunner Ventures:

Forerunner is one of the only firms that is dedicated to the journey of the consumer and understanding what is going on in peoples' lives.
By partnering with companies early in their investing journey, Forerunner works with them over the years to build strong businesses that stand the test of time.
Third-party research is available to everyone, and Forerunner does their research to get the exact data that they are looking for that goes beyond reactionary researching.
Brian joined Forerunner about a year ago but has been in the investment field for fifteen years and has worked to translate offline retail experiences to online businesses.

Back to Basics: What is Venture Capital?:

Venture Capital firms tend to provide early round capital to businesses that traditionally wouldn't be getting any outside money.
The Seed Round is the first institutional round of investing where larger firms get involved outside of friends and family putting money into the business.
Series A is when you first establish a board and start to think of your business from a corporate governance perspective. (This is when Venture Capitalists typically get involved.)
While they do put some money into the fund, the majority of the money that Venture Capitalists put into business comes from limited partners.
At the end of the day, you want to make more money for the limited partners than what they initially contributed, so VC firms are beholden to live up to growth promises and owe the money back to the partners.

More Than Just Money: What Else Do VCs Offer?:

At Forerunner, they respect the entrepreneurial process and understand that it's hard to get something off the ground, so empathy is important.
A lot of time is spent understanding the consumer so that the firm can advise the companies in their portfolio how best to reach that consumer.
Strategic guidance is also issued to help do the right thing faster or to avoid doing the wrong thing and saving months of setbacks altogether.
Trying to assemble the right people to accomplish goals is also a unique perspective that VC firms can provide to their portfolios.

Content is King: Brands that Want to Tell Stories:

Some of the well-known brands that are in Forerunner's portfolio are Bonobos, Cotopaxi, Glossier, Outdoor Voices, Stadium Goods, and many more.
Convincing consumers to spend their hard-earned money relies heavily on a brand's ability to tell its story and reach consumers on deeper levels.
Forerunner's portfolio has done an amazing job at content creation, which is why you have probably heard about a lot of the brands contained within it.
How are these companies getting their growth and is their growth something that more capital would accelerate?

A Variety of Reasons: Why Do People Need Capital?:

Are brands seeking capital because they cannot financially compete with the rising customer acquisition costs in social media?
At the most basic level, raising capital is validation for entrepreneurs of the business that they set out to build.
At Forerunner, they want to work with brands that are confident in their ability to grow even without capital but provide good reasoning behind how the capital will accelerate that growth.
Ultimately, raising venture capital isn't for everyone, so firms are looking for the right type of alignment that will make their portfolio grow into household names.

What Are Firms Looking For?: A Desirable Business Model:

Figure out what is going on and how to get your costs in line before you seek capital and don't use capital to "fix things."
Firms have the luxury of looking at businesses that are doing well and are looking for a match where they could have a positive effect on the business.
What are some ways you can demonstrate your business plan to a potential investor in a way that shows how the capital would accelerate your growth?
Different levels of involvement and criteria can highlight where firms can help your brand.

Connecting with a Firm: Some Ins and Outs:

What are some ways that VC firms can connect with founders?
One of the main indications that Forerunner looks for is if a brand has insight into the particular consumer that they are serving.
Founders also have a choice in who they choose to go with when it comes to receiving capital if they have enough interest from investors.
What are some qualities that you would want in an investment firm if you were raising capital for your brand?

Key Factors: The Dos and Don'ts of Due Diligence:

Forerunner looks at many things when it comes to choosing brands to give capital to such as who are the people, what is their vision, what is the state of the stage of the business, and what's the deal?
A lot of the times when an investment firm decides on a company to invest in, that company has other options of investors.
Founders are doing more and more due diligence around firms to make sure that the deal is a good fit.
How do VC firms appeal to prospective investments?

What Type of Investment Do I Want?: Breaking Down the Options:

Founders need to be more wary of who they are working with as well as where the money is coming from.
What are the different types of venture capitalist firms and partnerships?
A lot of the differences in firms stem from where the money comes from thus dictating the results that the investors want to see from their investment in a company.
Be wary of perspectives and keep an eye out for investors who don't just want a quick turnaround for their money.

From Start to Finish: The Time It Takes:

There are always exceptions to the rule, but the timeframes range from a couple of weeks to years of a deeper relationship building for an investment to occur.
From an ownership standpoint, Forerunner wants to own enough of a company for it to matter, so anywhere from 5%-30% ownership.
At the end of the day, investment firms want to own a material part of the company that they helped to build.
Oftentimes, ownership is accumulated over time depending on the success of the company.

Projections and Premonitions: Where is Retail Headed?:

Retail isn't dying, it's just changing and adapting with new customer expectations and technology.
Traditional brands will slowly take a back seat to younger and innovative brands that are embracing change and optimizing of the local experience.
New waves of founders will take their passion and translate that to their companies and change the face of retail.
In 5-10 years, Brian predicts that there will be a bigger emphasis on where things are coming from and convenience in addition to more options on the labor side.

Brands Mentioned In This Episode:

As always: We want to hear what our listeners think! What are some qualities that you as a brand owner would like to align with an investment firm?

Let us know in the content section on Futurecommerce.fm, or reach out to us on Twitter, Facebook, Instagram or Linkedin.

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Retail Tech is moving fast, but Future Commerce is moving faster.

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[Step by Step] Retail Funding 101 (Jordan Knapp, Jamie Oliver, Shopify Plus) Dec 09, 2019

Show notes

Have you ever wondered how to get funding for your retail business? Wonder no more! In a new series from Future Commerce - the number one retail podcast - we walk you through all that you need to know in order to build and exit from a successful retail business. In partnership with Shopify Plus, we'll take you from zero to hero, Step by Step.

#Show Notes

Brian and Phillip are joined by Jamie Oliver and Jordan Knapp from Shopify Plus to discuss funding for your eCommerce store in a new part of the Future Commerce Shopify series.
This series is targeted towards the merchants with online stores between the $1 million and $5 million range and entrepreneurs that want to think through the avenues of raising capital.
How do you choose what type of capital would be the best fit for your brand?
What are the steps my brand should take to attract an investor, and how do I make the investment process easier?

Main Takeaways:

Introductions and Dreams: Helping Merchants Achieve Their Goals:

Jordan leads the Market Development team but has been in eCommerce for the majority of his career.
A year and a half ago, Shopify set out to explore new channels and see where they could place Shopify Plus in the market to expand it in new directions.
One of the ideas between Jamie and Jordan was about the fact that very few of the merchants are selling on Shopify without bigger dreams or aspirations.
Their goal has been figuring out who the investors to empower Shopify merchants to get the funding best suited for their needs, and thus, in the Investor Collective was born.

Scaling and Growth: How Shopify Plus Grew:

Jamie joined Shopify in 2014 on the HR side was responsible for hiring for Shopify Plus just as it was starting.
The needs and wants of the merchants on the platform were pivoting, and the Shopify Plus team scaled in a way to meet these needs.
In 2018, Jamie left the recruitment team and decided to join Jordan's product development team.
The Investor Collective is integrating with venture capital and private equity firms.

Venture Capital vs. Private Equity: What's the Difference?

In terms of investment firms as a whole, the motto is value creation on repeat; their main functions are to source and acquire companies, improve the operations of those companies, and then either sell those companies or go public.
Venture capital tends to look at earlier seed-stage business and often takes a minority stake in the company in addition to offering their expertise and talent pool.
On the private equity side, they are looking to take a bigger stake in the business and will typically provide a lot of capital to take that business to the next level.
Understanding the options available to you is extremely important.

The Reason Behind the Series: Why Partner With Future Commerce?:

After digging into the Shopify Plus merchant base, the Shopify Plus team came to realize that a substantial portion of their merchants had garnered some form of investment throughout their lifetime.
If they can assist merchants looking to obtain capital and provide them with more information, then everyone benefits.
There are a lot of negative rumors and misinformation floating about regarding investing, but arming yourself with knowledge can prevent these.
When it comes down to the contract, it is always negotiable, so knowing what you are trying to do is imperative in the process.

The Investors Collective: Going Beyond the Deal:

The Investors Collective is a partner program that interfaces with venture capital and private equity firms that are actively investing in consumer products in the retail space.
Shopify Plus also hopes to educate investment firms and their portfolio companies about Shopify Plus and the capabilities of the platform.
The collective provides expertise, a lifeline for information, and when investment firms have opportunities, they receive complete white-glove service.
At the end of the day, the objective is not just to build a cool network but to evangelize why Shopify Plus is the right platform for the DTC entrepreneur.

Making the First Step: What is Right for Me?:

Phillip asks Jordan and Jamie to put themselves in the shoes of a merchant who might be looking for capital and to walk them through the beginning steps of choosing what type of funding to pursue.
In any situation, any time you accept cash, you are giving up some control, so if you can fund yourself, try to do that.
Consider an accelerator because you are getting actual resources to assist your growth as opposed to just cash.
The average VC investment in 2019 for an angel seed was about $1.8 million.
Series A refers to the first time you get money, Series B is the second, and so on.

What Comes With Money: Some Advantages of Funding:

Some advantages of accepting money are that success is incentivized for your investor, so they want you to succeed, and an injection of funding can help you achieve your goals.
Operational expertise also comes along with your investor, along with a conglomerate effect that comes with discounts across the parent company's network.
There is a spectrum that ranges from the gross side to the cost reduction side when it applies to your company.
Without early and midstage investments, there wouldn't be any businesses without taking on some risk.

The Struggle of the Firms: Challenges in Today's Investment Environment:

The biggest challenge present today is that there are a lot of new funds, and everyone is trying to raise a new round.
If you are an entrepreneur looking for investment, this is probably the best time to pursue investment due to the influx of funds available to you.
This makes it difficult for VC firms because there is more capital available than there is opportunity.
With this new paradigm of available capital, how do brands know which type of funding is the best fit for them?

Finding the Right Fit: Investor Matchmaking:

Figure out what you want in your firm: do you want a firm that is going to let me be autonomous or do you want a firm to be very hands-on with your business?
There needs to be a firm that links the right amount of capital as well as lines up with your short and long term needs.
Look at the brands that the firm has worked with in the past and see what those brands have done after receiving capital.
A true digital agency is always needed for a DTC eCommerce brand, so some firms are building a suite of services to fit all of these needs.

The New Breed of Merchant: Where is Retail Headed?:

How can investment drive this new age of DNVBs?
Anyone can be anything that they want with all of the resources available today, so it all comes down to a brand's influence and customer service.
This environment puts the power back into the hands of the artist, and none of this would happen if it wasn't for investors empowering creativity.
How would you embrace your entrepreneurial side if you obtained the perfect investment?

Attracting an Investor: What Makes Me Stand Out?:

With the immense opportunity in the retail space, private equity firms are starting to play a significant role in accelerating the growth of brands.
Get out there and make your brand known and make connections that can build connections with private equity firms.
Come to the table prepared with the type of data and information that is required of the firm to do their due diligence, and if not prepared ahead of time, make sure to make time to get this information.
Raising capital is a full-time job, and a lot of brands don't realize just how time goes into the process of raising capital, so set priorities.
Get your hands on a due diligence document and start preparing your data and your company for investment.

Brands Mentioned In This Episode:

Shopify Plus

As always: We want to hear what our listeners think! What are some steps that you can take right now to prepare the road to investment?

Let us know in the content section on Futurecommerce.fm, or reach out to us on Twitter, Facebook, Instagram or Linkedin.

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Retail Tech is moving fast, but Future Commerce is moving faster.

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Coming Soon: Step by Step, a New Series Dec 07, 2019

Show notes

Have you ever wondered how to get funding for your retail business? Wonder no more! in a new series from Future Commerce - the number one retail podcast - we walk you through all that you need to know in order to build and exit from a successful retail business. In partnership with Shopify Plus, we'll take you from zero to hero, Step by Step.

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

"The High and Low Can Exist Together" w/ Jeff Carvalho, Highsnobiety Dec 04, 2019

Show notes

Zine culture in the 90s bred the digital-first content brands of the 2000s, which have led to thriving online marketplaces where content begets commerce today. The best example we can think of is a digital property called Highsnobiety, which tracks the intersection between urban culture, streetwear, and luxury. In this episode Jeff Carvalho, co-founder of Highsnobiety, joins us to talk about how commerce is their next great investment and how it's bringing their readers closer than ever before.

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"Subscriptions Are a Tool, Not a Model" (w/ Mike Lackman - CEO, Trade Coffee) Nov 22, 2019

Show notes

Two of the smartest people we've ever had the pleasure of interviewing join the show this week! In our main interview, Mike Lackman, CEO at Trade Coffee joins the Future Commerce team to talk about how subscriptions and curation are driving user adoption and repeat business at Trade Coffee. In our "what's new and what's next" segment at the end of the show, Hitha Herzog, retail analyst and author of 'Black Market Billions' joins us to talk Nike's Amazon Exit, Coty's $600MM Kylie acquisition, and the effect of counterfeits on the marketplace during Holiday 2020.

Trade Coffee Coupon Code

Save 30% off your order of Trade Coffee with coupon code FUTURE

Listen now!

Show Notes

Main Takeaways:

Mike Lackman, CEO of Trade Coffee joins Brian and Phillip on today's episode and he brings with him a coupon code.
Trade Coffee is bridging the gap between a marketplace and a retailer, and are making quite the disruption in the process.
Educating customers not only makes them happier with their shopping experiences, but also moves the success up the production funnel.
Hitha Herzog, retail analyst and author of Black Market Billions, joins us to take us through the acquisition of Kylie Cosmetics and other happenings in the world of retail.

Coffee and Vocabulary: Empowering Coffee Consumers:

Phillip was at a hipster songwriting circle in Nashville and four of the ten circle participants said that Trade Coffee was inspiring them recently.
Mike says that Trade Coffee does two things very well: it connects consumers to the country's very best roasters and craft coffee and it also helps roasters across the country reach consumers in a way that has never been done before.
In their research, Trade Coffee found that consumers are completely lacking in the vocabulary that enables them to decide the way they want their coffee to taste.
If people are more aware of their choices, they are going to be in demand of certain things that craft roasters will then be able to supply.

Unexpected Outcomes: Breaking the Mold:

All the CPG professionals that assessed Trade Coffee early on said that it was going to be a tasting journey in which consumers would find their perfect coffee and then have that coffee be delivered repeated.
In actuality, more than 95% of Trade Coffee's consumers have expressed an appetite for continual discover of new coffees rather than the ability to repeat a single SKU.
This consistent desire for discovery is the key to Trade Coffee's business.
Spotify and music streaming services have trained us to go find new things all the time, and that training is extending into consumer goods.

The Coffee Calling: How It Started:

A failed Latin teacher by training, Mike was excited by the small team at Trade Coffee when he first found the brand.
Trade needed someone who not only understood the digital marketing business but also someone who understood the hard operations side of the business.
Mike was also a very frequent drinker of coffee who knew nothing about it and the curistic process of getting to know the Trade Coffee team really highlighted the problem that needed to be solved.
Brian met Mike at Grocery Shop where they discussed marketplaces and the role of a niche marketplace in today's economy.

A Niche Marketplace Hybrid: Blurring the Lines:

The lines between what makes a retailer and what makes a marketplace are getting blurry.
Mike thinks of Trade Coffee more of a retailer because all of their product is made on demand, but there are definitely some marketplace-like dynamics.
Having differentiated inventory with reasonable availability that is unlocked by curation and matching is what Trade labels as the keys to their success.
The coffee drinker who is making coffee at home is likely a grocery shopper that shops at a brick and mortar location, so how do you convince that shopper to buy online?

Changing Habits: Taking Coffee Buying Online:

Trade's mission is to turn coffee drinkers into coffee lovers, not to be the coolest, hip store for people who already know a lot about coffee.
For the first year, establishing credibility to match consumers with their ideal coffee and removing the risk from that has been a focus.
Going one step further, being able to show the way they interpret (with granularity) the answers to the questions that Trade asks is also important.
The story of the roasters, the art on the bag, and the testimonials are all icing on the cake to get people to start trusting their coffee purchases to online retailers.

The Customer Relationship: What Does the Future Hold?:

One of the big trends that Brian and Phillip called at the beginning of the year was guided selling and the education of the customer, something that Trade is excelling at.
By adding what is traditionally considered friction to the purchase process, Trade has broken the mold regarding educating their customers, and they are looking to add even more friction in the future.
If you're figuring out how to partner with great merchants that can make your insights actionable, then all of the data you are collecting won't be used to its full potential.
Trade tests their product extensively so that they provide credible recommendations.

Choose Your Own Depth: Similarities to Spotify:

A lot of comparisons are drawn between Trade Coffee being like Spotify, but Phillip thinks it's more like Stitch Fix.
You can choose how deep you go into Spotify; you can either just push play or you can dig into any of the additional features as well as the artist biographies.
Trade Coffee has customers that run the whole spectrum of involvement of the information at their fingertips.
You have to carefully select what group of customers you design experiences for.

Mistakes Along the Way: Personalization Woes:

With so many different flavor profiles and customer types, one of the first mistakes that Trade made was when they tried to be too exact with their product matches.
Customers like covering as much ground as possible within a tight enough circle and don't necessarily want the same type served to the over and over again.
Trade can use the data they have garnered along the way to empower roasters to create high quality product.
One of the most important forms of feedback that Trade can get from their customers if they keep buying product.

Subscriptions and Partners: Defining Important Roles:

Subscriptions are a tool and not a model and being non-discretionary is imperative to Trade Coffee.
Trade takes the role of matchmaker and the role of the craft coffee producer is to do what they're great at: producing amazing artisan coffee.
You have to recognize the limitations of the matchmaking model; Trade can't use Instagram in the way that others do because photos do not explain what they do.
Recognizing where you fit in the business model and tackling those limitations are keys to success.

Finding the Perfect Fit: Which Model Works for You?:

If you are not upsetting things from a channel conflict perspective at least a little bit, you're probably not trying hard enough.
Mike brings up that he listened to the episode with RXBAR CMO Victor Lee and says that for the consumer that wants different stuff every time, Trade is a very good fit, just like RXBAR fits so well into the grocery store model.
Trade is happy to empower their customers with their power to make their own decisions and doesn't force them to stay in the channel.
Rent the Runway is a great analogous example to what Trade Coffee is trying to do.

Armed With Knowledge: The Power of the Smart Customer:

Consumers don't have a way aside from artwork and buzzwords to differentiate between what coffees are good and which are not.
If Trade can empower their customers to determine what is good for them based on the way it tastes, then growers are roasters are able to distribute their product based on quality of taste in the eyes of the consumer.
You have to move value up the supply change, and educating your customers does just that.
Trade tries to base decisions based on behaviors and not on demographics.

The Millennial Boomer?: Or the Baby Millennial?:

Baby Boomers are starting to adopt practices and habits that they might have turned their noses up towards a few years ago.
The Millennial design aesthetic has become a stamp of approval for brands in regards to what customers are seeking out.
Brands are finding success in older generations by catering towards millennials.
How do you bridge the gap between generations?

The Next Five Years: Predictions for the Future:

Mike predicts that grocery is going to encounter some of the same disruption that retail and other industries have seen.
The model is not going to be disrupted by putting more product on shelves and letting customers sort it out themselves.
By continually improving their processes, Trade is going to be able to deliver consistently enjoyable shopping experiences to their customers.
It all depends on the market and what consumers want, but if you bundle everything under the umbrella term "grocery", you're probably on the wrong path.

Unabashedly Opinionated Opinions: Meet Hitha Herzog:

For the closing segment Brian and Phillip are joined by Hitha Herzog, retail analyst and author of Black Market Billions.
Phillip can't believe that Hitha doesn't like Jerry Seinfeld.
She would take Larry David over Jerry any day.
Hitha is here to talk us through some huge news in the world of online makeup sales.

Coty Acquires Kylie: A Makeup Giant Acquisition:

Coty, Inc. acquired a 51% stake of Kylie Cosmetics for $600 million dollars, valuing the cosmetics company at $1.2 billion.
Kylie is the most followed person on Instagram and the revenue from the makeup company was estimated at $117 million.
Kylie and her team have organized scarcity with their product which has led to an enormous demand.
When the products first launched, the Kylie Cosmetics Lipkits drove a sense of urgency by only releasing a set amount of product.

A Giant Departs: Nike Leaves Amazon:

Nike is about to stop selling on Amazon.
Nike is moving to a more direct to consumer model and cutting out the middleman.
They have the ability to reach and directly market to the consumer base that is buying their product.
Getting off of Amazon also mitigates the possibility of counterfeit product being sold through the platform.

Changing Models: How Shopping Has Evolved:

20 years ago, shopping was a destination so it was an effort to shop, but today, the mall is as close to you as your phone.
We no longer have to go to edifice to buy our stuff.
Brick and mortar is now much more geared toward experiences as opposed to the actual purchasing of products.
Nordstrom just opened a flagship store in Columbus Circle that is all about the experience of shopping.

Brands Mentioned In This Episode:

As always: We want to hear what our listeners think! How can you educated your customers to make them warriors for your brand and increase LTV?

Let us know in the content section on Futurecommerce.fm, or reach out to us on Twitter, Facebook, Instagram or Linkedin.

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Retail Tech is moving fast, but Future Commerce is moving faster.

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

"Local is Power" (feat. Alistair Crane, CEO @ Hero) Nov 15, 2019

Show notes

We all need Heroes - and Alistair Crane and recurring guest Ingrid Milman Cordy join us today to talk about how any retail business can become a Hero to their customers. PLUS: Shoptalk's own Zia Wigder joins us to talk about their decision to program only female speakers in their 2020 event. Listen now!

Join FC INSIDERS, a newsletter essay with deep insight you need to guide the future of your retail business, technology, or agency. Subscribe today.

Show notes

Main Takeaways:

Ingrid Milman Cordy from e.l.f. and the CEO of Hero, Alistair Crain join Brian on today's episode to talk about Hero.
Bridging the gap between in-store associate interactions and online shopping behaviors is an extremely powerful tool.
There is massive untapped potential in local and smart brands are starting to make moves.
Zia Wigder from Shoptalk joins Brian and Phillip to discuss an enormous announcement about Shoptalk 2020.

A Brief History: Alistair Crain and Hero:

Alistair has always been in technology and he was previously the CEO of a company called Grapple that was acquired by a Visa subsidiary.
He came over to retail about five years ago when an old friend of his had an idea of connecting associates that are in-store with customers that are browsing on the website.
With a standard retail cycle, there are periods when associates in-store have availability to be helping customers but there are no customers in-store.
Hero gives associates and store teams the power to connect live with customers who are shopping on the store's website and gives customers guidance through video and live streaming that gives them a better shopping experience.

The Decline of Footfall: Combining Physical and Digital:

Why is it important to engage both the physical and digital in one place?
Over the past 5-10 years, messaging has become the single biggest use of mobile phones and even before the start of Hero, customers and associates were connecting through means of social media.
In tech, technology usually tries to "create the wave" but Hero filled a need for a trend of communication that was already happening.
Sales that happened from these online interactions were not being attributed to store targets, so Hero provides stores a professional, secure, and trackable method of associate to customer interactions and sales.

Traditionally Luxury: Unlocking High-End Interactions for Smaller Businesses:

Associates connecting on a one to one basis with an online customer is a high-end experience that naturally lends itself to the luxury market.
Traditionally, only bigger brands (usually in the luxury space) would have an eCommerce and online footprint large enough to accommodate direct communication with online customers, but Hero unlocks that potential for smaller brands.
Younger, technology competent people just want to shop and just want the ability to find out quickly if an item is in stock and where they can get it.
Sneaker companies have been adopting this communication trend and have been using it in more and more innovative ways.

The Importance of Local: The Future of Commerce:

There has been a trend on the show highlighting the importance of local when it comes to commerce.
Doesn't it make the most sense to connect with local representatives when customers are interacting online?
You should also put stores where you already have business, and this can be discovered through communication tools like Hero.
How can you make the most of existing online customer interactions?

The Shift of Messaging: The Death of Omnichannel?:

A few years ago, omnichannel was omnipresent at conferences and events, but today, it is a word that is barely mentioned.
Omnichannel communication is now a part of everyday business and not just a sideshow.
Brands with heritage and locations around the world have a big advantage with their physical footprint against online exclusive giants like Amazon because they can provide an actual experience to their customers.
Smart retailers are making local pay with authentic local experiences by making their online customers come into stores.

The Power of Knowledge: Expertise Seals the Deal:

Alistair brings up Ace Hardware as an example of an extremely authentic brand that demonstrates the power of associate expertise when it comes to assisting customers.
Online DIY stores are overwhelming and it is so much more reassuring when an associate with expertise helps you with your questions.
Store influences have the power to serve as local influencers for your brand.
How are you capitalizing on your store associate's expertise?

Lingering Connections: Extending The In-Store Experience:

Customers remember positive in-store interactions long after their time spent physically in the store.
Ingrid mentions how powerful it is when she receives a text from her trusted Lululemon associate that there are new items in store (which she usually ends up buying.)
Brian brings up how impressive the knowledge was of the associates was on a recent trip to Everlane.
Smart brands are brands that are encouraging and rewarding their associates for creating unique and personalized content.

Bringing Local Back: Massive Untapped Potential:

Brands are ignoring the fact that local retail space is reasonably priced and there is so much opportunity in local that is not being tapped.
Brian harkens back to the recent episode with Ishani Gujral in which he came up with the idea of a bidding system for large retailers to bid on local retail space.
Alistair brings up Appear Here that serves as an Airbnb for retail space.
There is a lot of macroeconomic pressure to make your business successful before you even open the doors to your first location.
Bigger brands like Etsy are starting to take advantage of the untapped potential of local.

Your Biggest Assets: Your People and Places:

The people that work for you and the locations where your brand reside are the most important assets you have.
Invest in your employees: give them a living wage, encourage their growth, and empower them to make them the best representations of your brand.
There is a lack of willingness in big retail to take any risk.
Tech players take multiple year strategies, and retailers need to find a way to make some riskier decisions that will pay dividends in the future.

Unselfish Experimentation: Non-Traditional Returns:

Everything you do does not have to have a direct influence on your P&L and there is a reason to do some unselfish experimentation.
You have to try some things that are not going to work because the knowledge of things that don't work is just as important as knowing what is lucrative.
Experimentation is part of Amazon's makeup and they fail quickly and hard, which allows them to constantly be on the cusp of innovation.
How can you unselfishly experiment with something this quarter that you wouldn't normally try to pursue?

Predictions and Inklings: A Postive Recession?:

Alistair has been wondering if we've been heading into a recession and thinks that Q1 and Q2 of 2020 are going to be very interesting.
A recession would flush out the brands that aren't even living up to their own core values and Alistair believes there is too much funding floating around and not being used efficiently.
Alistair wants to turn website traffic into actual footfall in-store and he is going to invest in companies that makes this happen.
There has never been such a good time for product innovation on both the tech side and the retail side so take some risks.

Shoptalk 2020: Women in the Spotlight:

Zia Wigder from Shoptalk joins Brian and Phillip to talk about the big news that Shop Talk 2020 will be 100% female speakers.
There needs to be change in this industry, change is happening too slowly, and Shoptalk is making a stand with this decision to expedite this change.
Zia goes into some of the criticism and opposition that has arisen with this decision but has been surprised that the vast majority of feedback has been positive.
You need a transformational step to drive change because incremental steps are not effective.

A Big Change: Piloting a Shift in the Industry:

In 2021, men will be included again the lineup, but the ration will forever be 50/50 from now on.
This change resonates with the social conscious dynamic in the industry and Phillip predicts it will be massively successful.
Zia is not worried in the slightest about finding the talent for the talks, but the challenge will be to find a list of speakers in the right topics.
You can apply to speak on the Shoptalk website along with many more ways to get involved with the event.

Brands Mentioned In This Episode:

As always: We want to hear what our listeners think! What are some ways that you could unselfishly experiment with your brand? How can you empower your employees to become the best representatives for your brand?

Let us know in the content section on Futurecommerce.fm, or reach out to us on Twitter, Facebook, Instagram or Linkedin.

Have any questions or comments about the show? You can reach out to us at info@futurecommerce.fm or any of our social channels, we love hearing from our listeners!

Retail Tech is moving fast, but Future Commerce is moving faster.

Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

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Show Notes

Main Takeaways:

Reducing and Offsetting Carbon Footprints: The Climate Neutral Initiative:

Why Start at Retail?: Making the Biggest Impact:

Spreading the Message: Making an Impact on Social:

What is the Goal?: Strategic Brand Partnerships:

Transparency and Education: Armed With Knowledge:

Real Life Feedback: What are Brands Saying?:

Expanding Reach: Influencing Consumers and Companies:

Looking in the Past to Move Forward: Learning from the Past:

The Digital Commerce Shift: A Positive Impact?:

Next Steps: How to Get Involved with Climate Neutral:

Brands Mentioned In This Episode:

SHOW NOTES

Main Takeaways:

Lively and Michelle: Some Quick Backstory:

Pursuing Capital: A Founder's Perspective:

The Next Step: The Need for More Capital:

The Struggles and The Victories: Accepting Venture Capital:

A Stable Foundation: Knowing Where to Spend Capital:

Vertical Integration: The Power of Structure:

The Sale: Building Up to the Exit:

Seven Year Cycles: The Digital Deluge:

Beyond the Dollar: Further Benefits of Capital:

Adversity Along the Way: Not All that Glimmers is Gold:

Brands Mentioned In This Episode:

Show Notes

Main Takeaways:

Jeremy's Journey: A Look Into His History:

Distinct Differences: Private Equity vs. Venture Capital:

Going Deeper: How Does It Work?:

Hands-On or Hands-Off: How Involved Are Investors?:

When to Seek Private Equity: When is the Right Time?:

Broadening Horizons: Expanding Into New Territories:

The Work of the Investor: What's the Deal Flow?:

The Secret Sauce: What Private Equity Brings to the Table:

Getting Hands-On: Planning and Guidance:

The Brand Journey: Potential Changes for Exponential Growth:

Brands Mentioned In This Episode:

Show Notes:

Main Takeaways:

Introductions And Career Changes: Meet Robin Li From GGV:

New York's Ecosystem is Changing: GGV is Leading The Charge:

Eevolving E: The Bridge Young Brands Need to Move Forward:

Marketplaces Are Changing: Serendipity Can Now Be Found Online:

Landing on Venture Capital: Aligning With Portfolio Founders:

Show notes

Main Takeaways:

Background and Introductions: Meet Brian O'Malley and Forerunner Ventures:

Back to Basics: What is Venture Capital?:

More Than Just Money: What Else Do VCs Offer?:

Content is King: Brands that Want to Tell Stories:

A Variety of Reasons: Why Do People Need Capital?:

What Are Firms Looking For?: A Desirable Business Model:

Connecting with a Firm: Some Ins and Outs:

Key Factors: The Dos and Don'ts of Due Diligence:

What Type of Investment Do I Want?: Breaking Down the Options:

From Start to Finish: The Time It Takes:

Projections and Premonitions: Where is Retail Headed?:

Brands Mentioned In This Episode:

Main Takeaways:

Introductions and Dreams: Helping Merchants Achieve Their Goals:

Scaling and Growth: How Shopify Plus Grew:

Venture Capital vs. Private Equity: What's the Difference?

The Reason Behind the Series: Why Partner With Future Commerce?:

The Investors Collective: Going Beyond the Deal:

Making the First Step: What is Right for Me?:

What Comes With Money: Some Advantages of Funding:

The Struggle of the Firms: Challenges in Today's Investment Environment:

Finding the Right Fit: Investor Matchmaking:

The New Breed of Merchant: Where is Retail Headed?:

Attracting an Investor: What Makes Me Stand Out?:

Brands Mentioned In This Episode:

Trade Coffee Coupon Code

Show Notes

Main Takeaways: