WORKFORCE

'Tis the Seasonal Hiring Rush

The press releases of holidays past are haunting my inbox once again. After bumping up their headcounts at the height of the pandemic, big box retailers are looking for extra temporary help for stocking szn. 

• Target is hiring around 130,000 seasonal workers, roughly the same as in previous years. 
• Kohl’s will recruit an undisclosed number of new employees. Last year, it added 90,000.
• Walmart will hire 20,000+ temporary employees, in addition to the 500,000 who joined its ranks this summer.

The 2020 twist: Temporary hires will be deployed to distribution centers or curbside pickup ops at stores. You’ve seen the hockey stick charts: All three retailers are in the middle of an e-comm surge, and there’s no point spending flexible workforce resources on extra store Santas. 

It’s not just retailers. FedEx and UPS are looking for more saints in cargo shorts. FedEx will hire 70,000 seasonal delivery workers, a 27% jump from last year; UPS will bring on 100,000+ workers. They’re anticipating increased residential deliveries. 

Preparations on preparations

Deloitte estimates overall holiday sales will grow by 1.5% at most this holiday season, despite a projected 25%–35% increase in e-commerce sales. 

So hiring is one piece of retail’s holiday puzzle. Shoppers put two experiences at the top of their wish lists that brands need to prepare for:  

• BOPIS: Hate the acronym, love the results. Half of respondents in a recent BlackFriday.com and SurveyGizmo poll said they’ll use curbside or contactless pickup this holiday season.
• Early promotions: 50% of respondents said they’re already buying gifts, in a survey released by Affirm this week. 

While we’re here: Amazon will reportedly hold Prime Day on October 13 and 14 this year. We’ll have more insights into retailers’ holiday discount plans on Monday.

BEAUTY

No Place Like the Homepage

Lipstick index? Out. Skincare index? In. Beauty retailer index? I’m starting it here. 

In delivery: Sephora now offers same-day delivery for its beauty brands through Instacart, with plans to take their partnership to 400+ stores. From what I can tell, it’s about helping existing customers replenish empty foundation bottles.

• Sephora purchases via Instacart will be eligible for loyalty program points.
• But they’re missing the special swatching features Sephora offers on its app or in stores—so it’s not product discovery-friendly. 

In distribution: Ulta walked back its “international” expansion plans, aka opening stores in Canada. The retailer will lose up to $65 million on early investments it made up north.

• Ulta said it’ll shift its focus to U.S. e-comm, which could mean expanding pandemic adjustments like curbside pickup. 

Shade match: Both retailers know this isn’t the time to test a strategic bleach job. But as Sephora and Ulta converge on reliable services to make up for closed makeover counters, they’ll need compelling products or loyalty offerings to pull ahead. Advantage Sephora, the certified home of the celebrity beauty launch. 

SPONSORED BY ROUTE

Holiday Shopping—Covid Style

As you’ve probably realized, this holiday season will likely be a pivotal moment for e-commerce that’ll change retail forever. 

And with Route—the premier post-purchase experience platform for retailers—at the forefront of this transformation, they’ve put together a virtual event on October 1 to help answer some of e-commerce’s biggest questions.

Questions like: 

• Is Black Friday dead?
• How much will online demand increase during the holidays?
• How do you plan inventory and logistics when things keep changing?

They’ve gathered a who’s who of e-commerce leaders from companies like Beyond Yoga, Youth to the People, Farfetch, and more, to use their experience to discuss all of the  changes that this unprecedented holiday season will bring.

So, whether you’re wondering what tools you might need, what trends to look out for, or what strategies you should implement, check out Route’s virtual Table Talk on October 1 at 11am PST.

Sign up for Route’s free virtual event here.

EXCLUSIVE

Lola Finds Shelf Fulfillment at Walmart

Six months after period care brand Lola hit Walmart shelves, the duo is expanding its partnership to include a family planning product suite across 2,900+ stores. 

Why it matters: It’s a sign that sticking to the essentials (like I predicted) and breaking old merchandising cycles works for DTC brands entering IRL stores. 

“When we launched our menstrual care product [at Walmart], it was actually the first time that pads, liners, and tampons were co-merchandised together,” co-founder Jordana Kier told Retail Brew. “That’s not how the aisle appeared for decades.” Making products easier to find boosted... 

• Brand discovery: 27% of all Lola shoppers said they first encountered the brand on the Walmart shelf.
• Sales: The brand told Retail Brew it’s sold 10 million menstrual care products through Walmart since kicking off the partnership in March. 

What’s next: Kier said that Lola is testing new in-aisle elements, like a QR code shoppers can scan to access exclusive wellness content. “[It’s a] great example of an opportunity to showcase some of our brand, where we have a lot of strength and community and content, right in the aisle,” she said.

For more...Kier told me about Lola’s bulk packaging strategy and what any digitally native brand should consider before entering a retail partnership in an exclusive Q&A. You can read our full interview here. 

WHAT ELSE IS BREWING

• Costco reported online sales jumped 50% for the year. 
• Whole Foods employees have beef with Amazon Prime workers.
• Gap revamped its rewards program.
• Neiman Marcus is “substantially” cutting its workforce.
• Meet Patagonia’s new CEO.

SPONSORED BY ORACLE NETSUITE

Winter forecast: heavy chance of revenue. Our jolly old friends at Oracle NetSuite have compiled four keys for succeeding this holiday season—which is, somehow, about to happen. Whether you’re navigating the new status quo for physical storefronts or you need to maximize your online channels and email presence, this white paper is a must-read.

RSVP

There are only three days left until Retail Brew’s upcoming event. 400+ Retail Brew readers have already registered, but there’s still time to grab your (virtual) seat with me and industry experts from Forrester Research and Rhone. We’re discussing...

• The biggest apparel hits and misses of the past year
• The tactics all retailers can poach from athleticwear’s climb  
• The consumer behavior shifts that’ll last beyond 2020

It’s a conversation you won’t want to miss. So save yourself the FOMO and register here.

SWAPPING SKUS

Communities are easier bragged about than built. For anyone who wants to turn customers into a loyal collective, let these reads be your guide. 

• Quilt supply store Stitchin’ Heaven has a single location in Quitman, Texas. But it’s become a regional phenomenon for its approach to meeting customers where they are—and it could teach brands with 200+ stores a thing or two. (Inc.)
• Modern Fertility’s Slack channel started as a customer support network. 12,000 members later, community manager Reina Pomeroy lays out five steps she used to keep each member active. (For The Love)

FRIEND OR FAUX?

We’re 3/4 of the way through the abbreviated fashion month calendar. Your challenge: Pick out the haute couture hijinks that didn’t happen. 

1. Fendi invited guests to its virtual show with logo-shaped pasta.
2. Gucci will sell turtlenecks with built-in masks.
3. Burberry said its latest collection was inspired by “a love affair between a mermaid and a shark.” 
4. Balenciaga now makes fancy soccer cleats.

Keep reading for the answer. 

ICYMI

Behind on your Retail Brews? Catch up here. 

• Does Every Apparel Retailer Really Need Athleticwear?
• Why Allbirds Launched an AR Shopping App
• Inside the Supply Chain of a Freshly Viral Product

FRIEND OR FAUX? ANSWER

2. Gucci did not release turtlenecks with built-in masks...or anything new. It was one of the European brands that declined to participate in fashion month this time around.