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Jeremy Smith - Issue #1

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This week: rolling up recent retail and ecommerce news, plus some interesting things happening in the
 

Jeremy Smith

May 26 · Issue #1 · View online
Retail Futurism

This week: rolling up recent retail and ecommerce news, plus some interesting things happening in the world of logistics.

This Startup is the Airbnb of Warehouses and Has Amazon in Its Sights - Bloomberg
Moderately terrifying to think about the complexity they’re trying to hide for their customers; 3PLs are not interchangeable units yet, and the wrong partner will sink you in an instant.
J.Crew’s Mickey Drexler Confesses: I Underestimated How Tech Would Upend Retail - WSJ
My take on this - J.Crew was suffering from over-expansion more than anything, which led to rampant discounting. Future successes in apparel will be driven by protecting brand and margin first, which can only be done through careful control of pricing and saturation.
The upending of retail by tech was inevitable, but took so long that many stopped believing, which is why even seasoned folks were surprised by this “sudden” transition.
More on this next week…
Target is investing $75 million in mattress startup Casper - Recode
Target gets what’s going on. This is a great sign for digital-first brands.
Fidelity is betting $65 million that the Spring app can be a department store of the future - Recode
This could well be, but it’s not going to be a winner-take-all marketplace. The winner will clear out the low-end (shoppers who don’t wanna be naked) and mid-tier (“I need to look while not being naked because office job…”), but the upper end will be a fight. 
The mid-tier will eventually split into the low-end as the low-end gets better at imitating actual clothing, and up into the high-end as people want clothing that lasts more than 5 washings.

Macy's plans suggest it's becoming a discount department store
This is sort of old news, but nail-in-the-coffin and all. Macy’s is firmly mid-market so there was never hope for them in the bifurcating apparel landscape.
Noise for your earholes.
Go find this on your streaming service right now.
Go find this on your streaming service right now.
J.Crew’s New Strategy: Slashing Prices - Racked
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