2PM - No. 792: FRENEMIES, PART 2

View this email in your browser
2pm_email_heading.jpg

Welcome to No. 792: The most clicked links from last week's only letter are from 2PM and Insider: Omicron and Resilient Retail and 20 booming DTC Companies to bet your career on. If you'd like to join the membership for full access, start here.

This is a solid issue ahead, it begins with Shopify's impact on the largest companies on the planet. First Facebook, now Amazon. 

2pm_email_heading.jpg

Shopify Outfoxed Amazon? / Bloomberg: First it was a Meta executive proclaiming "Shopify is our frenemy" and now it's Amazon who feels angst towards Tobi's tactics, "Shopify made us look like fools." One thing is for certain, the savvy team in Ottawa has staked its reputation on helping to arm the rebels. The world's largest companies seem to be taking note. A few years ago, Lütke sensed there was an advantage in contrasting Shopify with its widely feared competitor, remarking, “Amazon is trying to build an empire, and Shopify is trying to arm the rebels.” But it’s difficult to argue you’re still an insurgent force when you have a Death Star-size market cap. To keep the rebel alliance intact, Lütke has to make Shopify more useful to the world’s largest retailers, while helping smaller ones caught in the grip of supply chain shortages and inflation.

2PM Data: 10% of Amazon sellers also use Shopify to market their products:

2pm_email_heading.jpg

2PM Memo (986 words): In a new feature detailing the trajectory of Shopify, Bloomberg unpacked CEO Tobi Lütke’s distinct management style, the company’s history, and its pointed differences from Amazon. While Amazon’s obsession with its customer and “everything store” tag define it, Shopify is merchant-obsessed and now striving to be the “everywhere store”, underscored by its early-pandemic move to completely virtual work. After years spent building the backbones of small businesses’ online stores, Shopify went public in 2015 and has catapulted to greater heights since the pandemic’s onset as traditional retailers moved online. (Read More)

Tiffany's new French owner brings a culture clash

HENRY / Wall Street Journal: We wrote on the impending culture clash in August: "...the goal is not just to reach young people. It’s to reach “up and comers” with the means to become customers, if not now then very soon." "In April, a group of Tiffany staffers circulated an unsanctioned memo offering tips on “Franco-American cultural nuances and etiquette. [...]Tiffany’s new chief executive, Anthony Ledru, denounced it after it circulated, disputing the notion that people had to assimilate to succeed at their jobs."

Nike ekes out growth on North American demand

eCommerce / Business of Fashion: Nike proved effective the combination of its DTC investments and the buzz generated by its strong move into Web3 (Part I, Part III). "Sales at the world's largest sports brand inched up to $11.4 billion in the quarter, driven by 12 percent growth in North America, Nike's largest market. [...] Its digital business in North America was up 40 percent over last year. Nike has invested heavily in its own e-commerce channels and continues to draw more shoppers to its suite of apps, which it said were responsible for 40 percent of the digital demand it saw in the quarter."

2pm_email_heading.jpg

DTC Power List: No major brand updates this week but we are in the process of adding 100 new brands, topping 700 in total across North America, Great Britain, Australia, Mexico, South America, and Asia.

Returns are the new growth strategy

Returns Logistics / Retail Dive: Here's a statistic that we have covered in depth: Between 15 and 40% of online retail ends up being returned by the customer, representing a 10.6% return rate. These returns often cost upwards of 30% of the price of the product and in total were were estimated to cost $550 billion. "The dangerous news for retailers is that around 20% to 30% of products ordered online are returned, as compared to only 9% in brick-and-mortar stores. [...] On the other hand, if optimally managed, returns can actually become part of a retailer's growth strategy — easy return policies can grow sales, and smart preventative tactics can reduce overall returns, helping retailers to both grow and retain sales."

Holiday sales soared, with eCommerce notching huge gains

eCommerce / New York Times: Some good news in retail, we found a way to bolster our supply chain enough to delivery a solid holiday season. "Retail sales in the United States jumped nearly 11 percent this season compared with the holiday period in 2019, the year before the pandemic upended the global economy, according to a report Mastercard published on Sunday."

Have price and value in the art market parted ways for good?

WEB3 / The Art Newspaper: This is an article that we have long wanted to publish here at 2PM. Would you rather have a da Vinci painting the size of a Post It or an NFT valued at $12 million? Give me Leo. Unpopular opinion: the cost of the project and the value to the culture have drastically diverged. "Distinctions between price and value have been an age-old preoccupation of the West’s collecting culture, but right now they could hardly be more relevant. The latest digital collectibles are selling for staggering amounts of virtual money, paintings by young artists are being “flipped” at auction for up to 100 times what they were bought for from galleries two or three years ago. Meanwhile, Old Masters, which dominated the top end of the art trade when Wilde was writing, continue to fall out of collecting fashion, apart from a few heavily guaranteed trophies by famous names."

Dieline loves the 90s

2022 Trends / The Dieline: This one needs no introduction, it's a comprehensive rundown of what you will need to know about trends going into 2022. "What you have here is a collection of ten ideas and themes that we’ll be seeing more of in 2022. You’ll see how designers are looking to other decades for inspiration, new industries and markets, ethical consumption, and packaging trends that are a much-needed about-face from the dumpster fire that was 2020. Plus, we’ve talked to a handful of some of our favorite designers, and they’ve offered their invaluable insight into some of the creative trends you’ll be seeing in the very near future."

Retail’s battle with Covid actually saved its stores

Retail / Bloomberg: This is spot on, in July we wrote: "What we are seeing here is a steady rise in online retail adoption beyond the walls of Amazon. Online retail behaviors are more established today than they were four, six, or 12 months prior." From in-store modifications to omnichannel development, retailers may be better prepared than ever. "For all the human misery the coronavirus has brought, it’s not hard to make the case that the pandemic will ultimately strengthen the global retailers who made it through. It’s a startling turnaround from the doom-and-gloom predictions for the industry in mid-2020. “The idea that stores are dead has been proven to be a fallacy,” said Michael Baker, an analyst for D.A. Davidson who has covered U.S. retailers for more than two decades."

2pm_email_heading.jpg

Oculus was the gift of the season (Barron's). Y2K fashion defined 2021 (Refinery 29). College athletes are rushing to monetize their brands (Seattle Times). Tom Brady now has his own color of blue (NFL). 

2pm_email_heading.jpg

2pm_email_heading.jpg Trending Report. An insurance company, a service provider, a media brand, and an exclusive driving club: Hagerty wants to be all-in-one. The brand has taken the best of modern brand development and applied it to a car insurance business that is 37 years old. Of the nearly 11 million pre-classic vehicles in the United States, nearly 12% are insured by Hagerty.

For most, car insurance is not an emotional purchase. Insurance companies, despite their savvy marketing teams ten to lack brand affinity; this is by nature. Hagerty, a classic car insurer backed by Progress Insurance, wants to change that. Now publicly-traded as of last week, it’s bringing brand, media and culture to the forefront. When you think of classic car insurance, Hagerty wants you to think of their service but also the emotional attachment and status of association with the insurance provider. Can it pull it off? It certainly has the pedigree with the backing of Progressive Corporation. In 2015, The Progressive Group of Insurance Companies expanded the definition of a classic car and partnered with Hagerty to offer its service.  

Re-Read This Memo

2PM
Website
Instagram

The Executive Membership supports 2PM's continued growth. 

Copyright ©  2021. 2PM Inc. All rights reserved.
High Street, Columbus, Ohio · USA

 
You can update your preferences or unsubscribe from this group.

Key phrases

Older messages

No. 791: Building Fandom

Wednesday, December 22, 2021

Outside of DTC View this email in your browser Welcome to No. 791: The most clicked from last Friday's member brief: 20 booming DTC companies (Insider). The second most was on Omicron and resilient

No. 788: Beating Heart

Monday, December 13, 2021

Ryan Reynolds View this email in your browser Welcome to No. 788: The most clicked from Friday's member brief: understanding the social-shopping startup of the hour (Insider). The second most was

No. 785: The new MOAT

Monday, December 6, 2021

A new breakdown of Amazon's latest advantage. View this email in your browser Welcome to No. 785: The most clicked from Friday's member brief: Virgil, The Polymath (2PM) is now unlocked. The

No. 782: Black Friday Down

Monday, November 29, 2021

For Virgil. 🕊🏁® View this email in your browser Welcome to No. 782: This edition is for LVMH's Virgil Abloh and all of us who were inspired by his work. The most clicked from last week: Macy's

No. 780: The Holiday Gifting Antidote

Monday, November 22, 2021

Short Report. View this email in your browser Welcome to No. 780: The most clicked last Friday: Nike's move towards Roblox (Input Mag) and Netflix's new media project (Global Top 10). Major

UK wages war on encryption

Tuesday, January 18, 2022

Also in today's edition: A US giant forays into India, Cambodia goes China-lite, a German multinational gets into trouble, and Indians get cryptoconned ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

Harry's Newsletter #062 — A fresh start

Monday, January 17, 2022

Hey — Harry again. First up — Thank you for so many lovely messages about Copywriting Examples. Second up — I'm changing the newsletter format ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

Facebook groups are just Fools Gold for marketers 🤯

Monday, January 17, 2022

Unpopular Opinion: Facebook groups are just Fools Gold for marketers 🤯 On the outside, they look like marketing gold But in reality, they're toxic & only prostitute promotions 🤡 Beginners all

⚡ MC - People increasingly trust people over corporations

Monday, January 17, 2022

View in browser Welcome to today's edition! Let's get right to it. People increasingly trust people over corporations Consumers are increasingly trusting people over traditional corporations.

How to get more eyes on your Facebook posts...

Monday, January 17, 2022

You're halfway through January, Reader. How are your 2022 biz resolutions doing so far? Here are a couple of resources that might help you knock them out of the park. In today's edition: FB

🐂 Bullish on farmland, 7 figure portfolio, funds for SaaS founders, Republic upgrade, and a Web 3 power player

Monday, January 17, 2022

​ ​ ​ ​ Together With: ​ ​ Hi there, 👋 Happy long weekend (if you're reading this from the USA). We appreciate you stopping by. We hope you're not missing any packages that were supposed to be

Walmart NFTs, Amazon vs Visa, & Angry Shopify Developers

Monday, January 17, 2022

Soon you'll be able to buy things EVERYWHERE! Loving Shopifreaks? Leave a review. Follow me on Twitter and LinkedIn. Hi Reader I think every company in e-commerce had a seed round last week! In

Google: One Part Of Site Can Hurt Entire Site Quality [SEJ Weekly]

Monday, January 17, 2022

Trending SEO, PPC, content, and social media updates to start your week off right. By Matt Southern, Senior News Writer Monday, January 17, 2022 Google: One Part Of Site Can Hurt Entire Site Quality

Podcast Advertising: 5 Experts Reveal Their Secrets

Monday, January 17, 2022

Interested in podcast advertising? Learn from the experts about podcast advertising rates, networks, and statistics. HubSpot Marketing Blog Jan. 17, 2022 Podcaster sits in studio to record ad for

'Blue Monday': The pressure to be happy as a freelancer

Monday, January 17, 2022

It's OK to say you don't always love being self-employed! ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌