Morning Brew - ☕️ Off the charts

Understanding Gen Z, in charts.
Morning Brew May 04, 2022

Retail Brew

Bluecore

Hiya. May the 4th be with you today. And tomorrow…especially tomorrow.

In today’s edition:

Erin Cabrey, Glenda Toma

GEN Z

Charted waters

Netflix Gen Z gif My Unorthodox Life/Netflix via Giphy

So many memes—oh, and reports—have been created to try and understand Gen Z. Retail Brew is taking a slightly different approach: We put together five charts that define the generation, who are estimated to have nearly $150 billion in spending power, and their consumer habits.

nullDatawrapper; Data: Piper Sandler

You can also see Morning Consult’s list of Gen Z’s 25 most-loved brands here.

nullDatawrapper; Data: Joy Ventures and getWizernullDatawrapper; Data: eMarketer

Click here for more.—GT

        

E-COMM

Eyes on the size

Levi's new sizing feature Levi’s

For those considering showering in their jeans to secure the perfect fit, Levi’s might have an easier fix. The denim maker yesterday announced in a blog post that it’s piloting two new sizing capabilities on its website, hoping to address an issue it noted is responsible for around 40% of annual returns, according to Narvar.

“With online shopping, one of the biggest obstacles the industry faces is how to transfer the fitting-room experience to a digital environment,” Lara Lasisz, global DTC innovation lead at Levi’s, said in a statement. “We’re dedicated to finding the right technology that will help our fans find the perfect fit from the start.”

Happy medium: “See It In My Size,” which is now available in the US and will hit Europe next month, allows shoppers to view images of models that more closely align with their size, body shape, height, and skin tone when browsing clothes online, giving them a better sense of how a product will look on them.

  • Levi’s said it sourced images from its employees through a company-wide contest, along with photo shoots with micro-influencers from the US, UK, and Belgium.
  • The feature is powered by e-comm tech startup Reflekt Me.

More inclusive online fitting options are a growing priority for retailers. After acquiring virtual try-on company Zeekit last year, Walmart debuted a “Choose My Model” try-on tool in March that lets shoppers pick from 50 different models across different heights, body shapes, and skin tones.

And, and, and: Another tool from Levi’s—called “What’s My Size?”—offers sizing recommendations based on a shopper’s height, weight, and gender.

Zoom out: Levi’s has doubled down on tech over the last year to help shoppers meet their denim match. In October, it rolled out AI-driven tech called “Grid Sort” that uses shopper info to create profiles with products personalized to their interests.—EC

        

TOGETHER WITH BLUECORE

Unlock loyalty and create customers for life

Bluecore

With every purchase, your customers become more and more likely to shop with you again. Cool stat alert: Compared with first-time buyers, customers who buy something from your biz 6+ times are actually 170% more likely to keep shopping with you. Talk about brand love.

So, what kind of magic happens between the first and sixth purchase? What keeps customers coming back again and again? And, maybe most importantly, how do you keep this marvelous momentum going?

All good Q’s. Get the answers in The Retail Marketer’s Guide to Loyalty. Bluecore’s pivotal guide covers three key things you need to work on with your shoppers to unlock their highly coveted loyalty.

Because whether it’s their sixth purchase or their 60th, there’s nothin’ sweeter than a repeat customer.

Get the guide here.

COMMUNITY

On Wednesdays, we wear pink spotlight Retail Brew’s readers. Want to be featured in an upcoming edition? Click here to introduce yourself.

For John Shaw, grocery runs in the family: For more than 50 years, his grandfather owned a couple of Piggly Wiggly’s in Texas and Arkansas. Still, the industry wasn’t Shaw’s own path…at first. He went to law school—and even practiced (“briefly,” he noted)—before landing at Walmart. After almost a decade at the retail giant, with roles spanning international strategy, sourcing fresh produce, and more, Shaw then moved to Ahold Delhaize’s e-comm-focused Peapod Digital Labs, where he focused on international sourcing. Now, he’s at online grocery startup Farmstead as its head of supply (merchandise, sourcing, and replenishment)—a job you can learn more about straight from the source.

How would you describe your job to someone who doesn’t work in retail? My team builds, decides, and negotiates our assortment. This includes the selection of items we carry, who we source from, negotiations, promotions, partnerships, and fun, innovative ways to bring a curated assortment to life. We can move with speed and add items within a day, so we listen to feedback.

One thing we can’t guess about your job from your LinkedIn profile: Retail requires a great deal of discipline mixed with creativeness. I love the creative side and thinking through storytelling: pick the right items, merchandise them, and bring an interesting story to life that resonates with consumers.

What’s your favorite project you’ve worked on? We launched Chicago in February of this year. I loved partnering with local suppliers to bring a true Chicago feel to our assortment with 100+ local items.

Hands down, the best fast food restaurant chain is…Chick-fil-A.

        

FROM THE CREW

Want to achieve financial freedom? Register now for the Money with Katie Retreats, a series of weekend workshops that will empower you to take control of your finances while building your #RichGirl squad. Up first: “Pay-Check Yourself: Mastering Your Budget” from May 20–21. Hear Katie talk openly and honestly about financial priorities, boundaries, and accountability—in an environment that takes judgment and shame out of the conversation. Learn more about the retreats here.

WHAT ELSE IS BREWING

  • Starbucks said it will spend about $200 million to, in part, boost wages for some workers and up training amid unionization efforts across the coffee chain.
  • Yum Brands’s sales weren’t all that appetizing in Q1 partly due to lockdowns in China.
  • VitroLabs, a lab-grown leather startup, raised $46 million in funding from the likes of Kering and Leonardo DiCaprio.
  • Authentic Brands Group and Macy’s are kicking off a new partnership to expand Reebok’s presence (yes, that includes exclusive products) at the department store.

SWAPPING SKUS

Reheated: How food brands that were neglected by larger companies end up thriving under new ownership. (Food Dive)

Top of the pile: The surprisingly complicated way that the Met Gala’s red carpet is sourced every year. (Curbed)

American bland stand: Why are American potato-chip flavors so boring compared to the rest of the world’s (even though US snack companies make many of the more interesting flavors sold overseas, too)? (Eater)

Usher in a new era of work: Leave behind the disjointed apps, vague tasks, and complicated processes—and say hello to a better way to work. It’s all here in Asana’s U.S. Anatomy of Work Report 2022.*

*This is sponsored advertising content.

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Written by Glenda Toma and Erin Cabrey

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