{"id":8755,"date":"2023-03-05T07:42:45","date_gmt":"2023-03-05T07:42:45","guid":{"rendered":"https:\/\/dmsretail.com\/RetailNews\/jason-scot-show-episode-303-amazon-walmart-and-e-com-q4-results\/"},"modified":"2023-03-05T07:42:45","modified_gmt":"2023-03-05T07:42:45","slug":"jason-scot-show-episode-303-amazon-walmart-and-e-com-q4-results","status":"publish","type":"post","link":"https:\/\/dmsretail.com\/RetailNews\/jason-scot-show-episode-303-amazon-walmart-and-e-com-q4-results\/","title":{"rendered":"Jason &#038; Scot Show Episode 303 Amazon, Walmart and E-com Q4 Results"},"content":{"rendered":"<p> <p><a href=\"https:\/\/dmsretail.com\/online-workshops-list\/\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-496\" src=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png\" alt=\"Retail Online Training\" width=\"729\" height=\"91\" srcset=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png 729w, https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90-300x37.png 300w\" sizes=\"auto, (max-width: 729px) 100vw, 729px\" \/><\/a><\/p><br \/>\n<\/p>\n<div>\n<p>A weekly podcast with the latest e-commerce news and events. Episode 303 is an recap of Amazon and Walmart\u2019s Q4 earning reports, USDC Q4 E-commerce data, and other news items.<\/p>\n<p> <span id=\"more-29376\"\/><\/p>\n<p><meta charset=\"utf-8\"\/><strong>Subscribe<\/strong>:<\/p>\n<figure><iframe loading=\"lazy\" style=\"border: none;\" src=\"http:\/\/html5-player.libsyn.com\/embed\/episode\/id\/26085936\/height\/360\/width\/640\/theme\/standard-mini\/autoplay\/no\/autonext\/no\/thumbnail\/yes\/preload\/no\/no_addthis\/no\/direction\/backward\/no-cache\/true\/\" width=\"640\" height=\"360\" scrolling=\"no\" allowfullscreen=\"allowfullscreen\"><span data-mce-type=\"bookmark\" style=\"display: inline-block; width: 0px; overflow: hidden; line-height: 0;\" class=\"mce_SELRES_start\">?<\/span><span style=\"display: inline-block; width: 0px; overflow: hidden; line-height: 0;\" data-mce-type=\"bookmark\" class=\"mce_SELRES_start\">?<\/span><span style=\"display: inline-block; width: 0px; overflow: hidden; line-height: 0;\" data-mce-type=\"bookmark\" class=\"mce_SELRES_start\">?<\/span><span style=\"display: inline-block; width: 0px; overflow: hidden; line-height: 0;\" data-mce-type=\"bookmark\" class=\"mce_SELRES_start\">?<\/span><span data-mce-type=\"bookmark\" style=\"display: inline-block; width: 0px; overflow: hidden; line-height: 0;\" class=\"mce_SELRES_start\">?<\/span><\/iframe><\/figure>\n<p>In this episode we cover:<\/p>\n<p><strong>Don\u2019t forget to like our\u00a0facebook page, and if you enjoyed this episode please write us a review on itunes.<\/strong><\/p>\n<p>Episode 303 of the Jason &amp; Scot show was recorded on Thursday, February 23rd 2023<span style=\"font-weight: 400;\">.<\/span><\/p>\n<h2 id=\"chapter\">Transcript<\/h2>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[0:23]<\/small>\u00a0<span title=\"0:23 - 0:31\" data-start=\"00:00:23.135\" data-end=\"00:00:31.049\" data-spk=\"0\" data-label=\"Jason\">Welcome to the Jason and Scot show this is episode 303 being recorded on Thursday February 23rd\u00a0<\/span><span title=\"0:31 - 0:40\" data-start=\"00:00:30.977\" data-end=\"00:00:40.015\" data-spk=\"0\" data-label=\"Jason\">20:23 that\u2019s a lot of three Scott I\u2019m your host Jason retailgeek Goldberg and as usual I\u2019m here with your co-host Scot Wingo.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[0:40]<\/small>\u00a0<span title=\"0:40 - 0:52\" data-start=\"00:00:40.075\" data-end=\"00:00:51.967\" data-spk=\"1\" data-label=\"Scot\">Hey Jason welcome back Jason Scott sure listeners it could have been worse we could have done it on 22 to 23 so there\u2019ll be a lot of tooth so we broke up the to smooth some threes.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[0:52]<\/small>\u00a0<span title=\"0:52 - 0:56\" data-start=\"00:00:51.667\" data-end=\"00:00:56.077\" data-spk=\"0\" data-label=\"Jason\">I believe that was episode 223 was on that yeah.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[0:56]<\/small>\u00a0<span title=\"0:56 - 1:04\" data-start=\"00:00:55.825\" data-end=\"00:01:04.267\" data-spk=\"1\" data-label=\"Scot\">I had I am not a big sports ball person but I watched the Super Bowl every year for the commercials and I had,\u00a0<\/span><span title=\"1:04 - 1:11\" data-start=\"00:01:04.406\" data-end=\"00:01:11.436\" data-spk=\"1\" data-label=\"Scot\">I know you\u2019re the grand poobah of all things advertising and I had an ad question for you.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[1:12]<\/small>\u00a0<span title=\"1:12 - 1:16\" data-start=\"00:01:12.170\" data-end=\"00:01:15.696\" data-spk=\"0\" data-label=\"Jason\">Yeah awesome you\u2019ve come to the right place hit me.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[1:15]<\/small>\u00a0<span title=\"1:15 - 1:22\" data-start=\"00:01:15.420\" data-end=\"00:01:22.102\" data-spk=\"1\" data-label=\"Scot\">What is to EMU and why is it not the same thing as wish.com.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[1:22]<\/small>\u00a0<span title=\"1:22 - 1:30\" data-start=\"00:01:21.994\" data-end=\"00:01:29.938\" data-spk=\"0\" data-label=\"Jason\">That\u2019s a great question I can only partially answer so Teemu is a e-commerce site.<\/span><br \/><span title=\"1:30 - 1:44\" data-start=\"00:01:30.215\" data-end=\"00:01:44.408\" data-spk=\"0\" data-label=\"Jason\">In as far as I know at this point only in the United States of America it\u2019s owned by pin duo duo in China which often is called a PDD and depending on how you count PD is the second or third largest e-commerce site in China\u00a0<\/span><span title=\"1:44 - 1:54\" data-start=\"00:01:44.282\" data-end=\"00:01:54.148\" data-spk=\"0\" data-label=\"Jason\">in China it\u2019s a super interesting gamified model where like you get your friends to go in on the deal with you and it drives your deal cost.<\/span><br \/><span title=\"1:54 - 1:58\" data-start=\"00:01:54.467\" data-end=\"00:01:58.072\" data-spk=\"0\" data-label=\"Jason\">Down so everybody saves more when you all by together kind of thing so it\u2019s a.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[1:58]<\/small>\u00a0<span title=\"1:58 - 2:01\" data-start=\"00:01:57.772\" data-end=\"00:02:00.710\" data-spk=\"1\" data-label=\"Scot\">Okay group buying used to be called back in the day.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[2:00]<\/small>\u00a0<span title=\"2:00 - 2:15\" data-start=\"00:02:00.410\" data-end=\"00:02:14.645\" data-spk=\"0\" data-label=\"Jason\">Social shopping exactly and so it\u2019s super interesting and they\u2019re doing really well so they launched an e-commerce site in the u.s. it appears that it\u2019s primarily a catalog they built by aggregating a wide variety of different.<\/span><br \/><span title=\"2:15 - 2:23\" data-start=\"00:02:14.964\" data-end=\"00:02:23.250\" data-spk=\"0\" data-label=\"Jason\">Producers in China and it does have very much of a wish Vibe like it\u2019s a lot of.<\/span><br \/><span title=\"2:23 - 2:35\" data-start=\"00:02:23.461\" data-end=\"00:02:34.920\" data-spk=\"0\" data-label=\"Jason\">Extraordinarily inexpensive apparel and you know inexpensive tchotchkes that you probably didn\u2019t know you need but like if you start browsing the side it for a.m. on a Friday night you\u2019re.<\/span><br \/><span title=\"2:35 - 2:43\" data-start=\"00:02:35.191\" data-end=\"00:02:42.618\" data-spk=\"0\" data-label=\"Jason\">You\u2019re gonna end up making some ill-advised purchases and then it seems like everything drop ships from factories.<\/span><br \/><span title=\"2:43 - 2:53\" data-start=\"00:02:42.870\" data-end=\"00:02:52.605\" data-spk=\"0\" data-label=\"Jason\">In China via u.s. post so they if you remember back in the day wish was like very slow shipping like to 26 weeks.<\/span><br \/><span title=\"2:53 - 3:07\" data-start=\"00:02:52.815\" data-end=\"00:03:07.279\" data-spk=\"0\" data-label=\"Jason\">T mood typically quote six to eight days they launched in November I ordered a couple shirts and they promised me like a delivery and they actually arrived in like five days to the United States.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[3:07]<\/small>\u00a0<span title=\"3:07 - 3:08\" data-start=\"00:03:06.979\" data-end=\"00:03:08.126\" data-spk=\"1\" data-label=\"Scot\">Wow.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[3:08]<\/small>\u00a0<span title=\"3:08 - 3:15\" data-start=\"00:03:08.433\" data-end=\"00:03:14.616\" data-spk=\"0\" data-label=\"Jason\">Yeah so it was reason via US Post Office in the u.s. portion at least and you know there\u2019s this.<\/span><br \/><span title=\"3:15 - 3:25\" data-start=\"00:03:14.833\" data-end=\"00:03:24.735\" data-spk=\"0\" data-label=\"Jason\">International postal treaty that probably meant it was super inexpensive for Teemu to ship it via US Post Office to the US.<\/span><br \/><span title=\"3:25 - 3:34\" data-start=\"00:03:25.415\" data-end=\"00:03:34.260\" data-spk=\"0\" data-label=\"Jason\">But what was interesting to me is I give you an idea of how cheap this stuff is the I ordered a dollar shirt that was forty percent off with free shipping so.<\/span><br \/><span title=\"3:35 - 3:39\" data-start=\"00:03:34.560\" data-end=\"00:03:38.784\" data-spk=\"0\" data-label=\"Jason\">I literally have 60 Cent shirt delivered from China and five days.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[3:40]<\/small>\u00a0<span title=\"3:40 - 3:44\" data-start=\"00:03:39.692\" data-end=\"00:03:44.156\" data-spk=\"1\" data-label=\"Scot\">Cool is it like wish were eighty percent of the businesses hair extensions.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[3:44]<\/small>\u00a0<span title=\"3:44 - 3:58\" data-start=\"00:03:43.887\" data-end=\"00:03:57.707\" data-spk=\"0\" data-label=\"Jason\">Yeah so I don\u2019t have a break it is a lot of that like it\u2019s a lot of like USB accessories and stuff I do think it\u2019s more heavy on apparel and I have talked to people that are more hip and in the know than me that think there\u2019s like,\u00a0<\/span><span title=\"3:59 - 4:11\" data-start=\"00:03:58.975\" data-end=\"00:04:10.638\" data-spk=\"0\" data-label=\"Jason\">that you know it\u2019s very short-term apparel it\u2019s kind of disposable apparel so they\u2019re all the usual caveats about being an ecological disaster probably apply.<\/span><br \/><span title=\"4:11 - 4:21\" data-start=\"00:04:10.969\" data-end=\"00:04:20.535\" data-spk=\"0\" data-label=\"Jason\">But I have been told that they have that they like have some interesting on-trend Styles and things on that that like for some demographics it\u2019s the,\u00a0<\/span><span title=\"4:21 - 4:35\" data-start=\"00:04:20.560\" data-end=\"00:04:35.258\" data-spk=\"0\" data-label=\"Jason\">the apparel selection is appealing but what I do know is they launched in November and when I looked at the year in and it\u2019s mostly on a mobile app when I looked at the year in app downloads,\u00a0<\/span><span title=\"4:35 - 4:39\" data-start=\"00:04:35.348\" data-end=\"00:04:38.881\" data-spk=\"0\" data-label=\"Jason\">it was the eighth most downloaded shopping app.<\/span><br \/><span title=\"4:39 - 4:51\" data-start=\"00:04:39.242\" data-end=\"00:04:50.959\" data-spk=\"0\" data-label=\"Jason\">On iTunes so more downloads than eBay for example over the year and Timmy was only in there for two months and and so it\u2019s kind of funny I\u2019m a little embarrassed I.<\/span><\/p>\n<p><small>[4:52]<\/small>\u00a0<span title=\"4:52 - 5:01\" data-start=\"00:04:51.969\" data-end=\"00:05:01.217\" data-spk=\"0\" data-label=\"Jason\">Posted some stats on LinkedIn about mobile apps and I said and don\u2019t sleep on Teemu it looks like they\u2019re running fast and then a week later they ran that Super Bowl ad\u00a0<\/span><span title=\"5:01 - 5:11\" data-start=\"00:05:01.109\" data-end=\"00:05:11.108\" data-spk=\"0\" data-label=\"Jason\">that you saw which is certainly going to Goose their downloads more and literally right before the game I found out that my company publicist actually produced that Super Bowl at so,\u00a0<\/span><span title=\"5:11 - 5:19\" data-start=\"00:05:11.156\" data-end=\"00:05:19.232\" data-spk=\"0\" data-label=\"Jason\">it may have seemed like I was promoting a client but In fairness to me I didn\u2019t know they were to client when I when I mentioned it.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[5:20]<\/small>\u00a0<span title=\"5:20 - 5:25\" data-start=\"00:05:19.833\" data-end=\"00:05:25.223\" data-spk=\"1\" data-label=\"Scot\">Cool shouldn\u2019t you know who your clients are as a chief digital retail strategy officer.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[5:25]<\/small>\u00a0<span title=\"5:25 - 5:33\" data-start=\"00:05:25.332\" data-end=\"00:05:33.047\" data-spk=\"0\" data-label=\"Jason\">I should as a first a first world problem in your business is when you have too many clients to know.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[5:33]<\/small>\u00a0<span title=\"5:33 - 5:34\" data-start=\"00:05:32.747\" data-end=\"00:05:34.447\" data-spk=\"1\" data-label=\"Scot\">You\u2019re forgiven.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[5:34]<\/small>\u00a0<span title=\"5:34 - 5:38\" data-start=\"00:05:34.147\" data-end=\"00:05:38.419\" data-spk=\"0\" data-label=\"Jason\">Or maybe that\u2019s just a sign of a bad a bed,\u00a0<\/span><span title=\"5:39 - 5:51\" data-start=\"00:05:38.540\" data-end=\"00:05:51.068\" data-spk=\"0\" data-label=\"Jason\">employing my case but yeah you know holding company like publicist were a Federation of agencies and most of the agencies do their own thing so this is you know a cool creative agency that we have Saatchi &amp; Saatchi out of Los Angeles,\u00a0<\/span><span title=\"5:51 - 5:57\" data-start=\"00:05:51.189\" data-end=\"00:05:57.209\" data-spk=\"0\" data-label=\"Jason\">um and sure enough they did reach out to me to say hey we have a Commerce client and we\u2019d love for you to come talk to them.<\/span><br \/><span title=\"5:57 - 6:05\" data-start=\"00:05:57.474\" data-end=\"00:06:05.117\" data-spk=\"0\" data-label=\"Jason\">Check out their Super Bowl hour and the next they\u2019re Super Bowl add in the next hour and so that\u2019s how I how I found out there are client thank you guys.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[6:05]<\/small>\u00a0<span title=\"6:05 - 6:10\" data-start=\"00:06:04.817\" data-end=\"00:06:09.997\" data-spk=\"1\" data-label=\"Scot\">You\u2019re like you\u2019re like I totally predicted these guys would shoot up the charts.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[6:09]<\/small>\u00a0<span title=\"6:09 - 6:17\" data-start=\"00:06:09.174\" data-end=\"00:06:17.370\" data-spk=\"0\" data-label=\"Jason\">I did I did I tried to take credit but seemed like shockingly not everyone in my company follows me on LinkedIn I know.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[6:16]<\/small>\u00a0<span title=\"6:16 - 6:20\" data-start=\"00:06:15.874\" data-end=\"00:06:19.906\" data-spk=\"1\" data-label=\"Scot\">Should be over should be like part of the onboarding.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[6:21]<\/small>\u00a0<span title=\"6:21 - 6:32\" data-start=\"00:06:20.597\" data-end=\"00:06:31.623\" data-spk=\"0\" data-label=\"Jason\">Sometimes I think it should but then other times I think of how many times has probably saved my career that like important people at work Dan see something I like I said I\u2019m going to so I think on the aggregate I\u2019m going to stick with it how it is.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[6:31]<\/small>\u00a0<span title=\"6:31 - 6:39\" data-start=\"00:06:31.383\" data-end=\"00:06:39.447\" data-spk=\"1\" data-label=\"Scot\">Call any other trip reports or anything to go into before we jump into some news I know you\u2019re chomping at the bit to talk about some data.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[6:39]<\/small>\u00a0<span title=\"6:39 - 6:50\" data-start=\"00:06:39.436\" data-end=\"00:06:49.602\" data-spk=\"0\" data-label=\"Jason\">Yeah so it is obviously well I guess it\u2019s always trade show season but this feels like a special version of trade show season next week is e tell West,\u00a0<\/span><span title=\"6:50 - 6:59\" data-start=\"00:06:49.627\" data-end=\"00:06:59.229\" data-spk=\"0\" data-label=\"Jason\">in Palm Springs which is usually a good Joe but for sure a good boondoggle if you\u2019re trying to get out of the Chicago winter in February Palm Springs is a good,\u00a0<\/span><span title=\"6:59 - 7:09\" data-start=\"00:06:59.326\" data-end=\"00:07:09.186\" data-spk=\"0\" data-label=\"Jason\">a good place to go so I\u2019ll be going there and I have a lined up a couple guests for folks to listen to in the in the subsequent weeks\u00a0<\/span><span title=\"7:09 - 7:18\" data-start=\"00:07:09.084\" data-end=\"00:07:17.563\" data-spk=\"0\" data-label=\"Jason\">and then the end so that\u2019s the end of February the end of March is shop talked and so I\u2019ll be giving a talk at shop talk and.<\/span><br \/><span title=\"7:18 - 7:25\" data-start=\"00:07:17.845\" data-end=\"00:07:24.900\" data-spk=\"0\" data-label=\"Jason\">And talking to some folks there too so so a couple cool industry events on the on the horizon.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[7:25]<\/small>\u00a0<span title=\"7:25 - 7:29\" data-start=\"00:07:24.660\" data-end=\"00:07:29.004\" data-spk=\"1\" data-label=\"Scot\">Cops are gonna have a little Gap and then we\u2019ll have some a lot of show reports to go over I guess.<\/span><br \/><span title=\"7:30 - 7:41\" data-start=\"00:07:30.194\" data-end=\"00:07:40.938\" data-spk=\"1\" data-label=\"Scot\">Cooper one of the things we wanted to start today was finally got the last piece of data from 2022 from the US Department of Commerce\u00a0<\/span><span title=\"7:41 - 7:46\" data-start=\"00:07:40.728\" data-end=\"00:07:46.334\" data-spk=\"1\" data-label=\"Scot\">walk us through what your magic Tableau Data machine is Tanya.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[7:47]<\/small>\u00a0<span title=\"7:47 - 7:50\" data-start=\"00:07:46.665\" data-end=\"00:07:50.210\" data-spk=\"0\" data-label=\"Jason\">Yeah so mid-February\u00a0<\/span><span title=\"7:50 - 8:00\" data-start=\"00:07:50.120\" data-end=\"00:07:59.632\" data-spk=\"0\" data-label=\"Jason\">US Department of Commerce publishes this quarterly report on e-commerce and so the Q4 data from last year came out in mid-February and so\u00a0<\/span><span title=\"8:00 - 8:10\" data-start=\"00:07:59.584\" data-end=\"00:08:09.836\" data-spk=\"0\" data-label=\"Jason\">now that we have qu for we can see a whole year so in 2022 us e-commerce sales were 1 trillion,\u00a0<\/span><span title=\"8:10 - 8:19\" data-start=\"00:08:09.992\" data-end=\"00:08:19.204\" data-spk=\"0\" data-label=\"Jason\">33 billion in sales so the first time we\u2019ve officially exceeded a trillion dollars so that\u2019s kind of cool.<\/span><\/p>\n<p><small>[8:20]<\/small>\u00a0<span title=\"8:20 - 8:34\" data-start=\"00:08:20.021\" data-end=\"00:08:34.467\" data-spk=\"0\" data-label=\"Jason\">What\u2019s I guess slightly less cool depending on where you stand is the growth rate so that trillion dollars is 7.4% more than 20 21 largely because 2021.<\/span><br \/><span title=\"8:35 - 8:41\" data-start=\"00:08:34.683\" data-end=\"00:08:41.425\" data-spk=\"0\" data-label=\"Jason\">Was a like pretty astronomical year but but to put things in perspective.<\/span><br \/><span title=\"8:42 - 8:52\" data-start=\"00:08:42.171\" data-end=\"00:08:52.103\" data-spk=\"0\" data-label=\"Jason\">Over the last 10 years than normal growth rate for e-commerce is 16.4% so 7.4 percent is less than half of what our traditional growth would be.<\/span><br \/><span title=\"8:52 - 8:56\" data-start=\"00:08:52.362\" data-end=\"00:08:55.528\" data-spk=\"0\" data-label=\"Jason\">And it\u2019s actually the slowest rate of growth.<\/span><br \/><span title=\"8:56 - 9:03\" data-start=\"00:08:55.920\" data-end=\"00:09:02.986\" data-spk=\"0\" data-label=\"Jason\">Basically since e-commerce happened so so 2022 is not a,\u00a0<\/span><span title=\"9:03 - 9:07\" data-start=\"00:09:03.166\" data-end=\"00:09:06.856\" data-spk=\"0\" data-label=\"Jason\">a stellar year for e-commerce growth,\u00a0<\/span><span title=\"9:07 - 9:16\" data-start=\"00:09:07.012\" data-end=\"00:09:16.007\" data-spk=\"0\" data-label=\"Jason\">now when you look at that three-year stack you say how much did e-commerce grow since before covid it\u2019s up a lot it\u2019s up 81 percent.<\/span><\/p>\n<p><small>[9:17]<\/small>\u00a0<span title=\"9:17 - 9:27\" data-start=\"00:09:16.885\" data-end=\"00:09:27.040\" data-spk=\"0\" data-label=\"Jason\">And you know a trillion dollars total retail sales are about 7 trillion so e-commerce ends up being 14.6 percent of all retail sales,\u00a0<\/span><span title=\"9:27 - 9:34\" data-start=\"00:09:27.040\" data-end=\"00:09:34.335\" data-spk=\"0\" data-label=\"Jason\">a lot of people like to talk about what percentage of course sales it is because like people don\u2019t tend to buy gas.<\/span><br \/><span title=\"9:35 - 9:42\" data-start=\"00:09:34.720\" data-end=\"00:09:42.339\" data-spk=\"0\" data-label=\"Jason\">Via e-commerce and Tull spiffy start selling gas and until recently people really weren\u2019t buying cars online so a lot of,\u00a0<\/span><span title=\"9:42 - 9:57\" data-start=\"00:09:42.388\" data-end=\"00:09:57.097\" data-spk=\"0\" data-label=\"Jason\">we could debate the merits of this but a lot of people still have this definition of core retail which doesn\u2019t have Auto or gas in it and so if you take Auto and gas out and you say that trillion dollars is 21.5 percent of core retail which.<\/span><br \/><span title=\"9:57 - 10:06\" data-start=\"00:09:57.344\" data-end=\"00:10:05.889\" data-spk=\"0\" data-label=\"Jason\">Makes the us about the third or fourth highest e-commerce penetration country in the world.<\/span><\/p>\n<p><small>[10:07]<\/small>\u00a0<span title=\"10:07 - 10:16\" data-start=\"00:10:06.676\" data-end=\"00:10:15.563\" data-spk=\"0\" data-label=\"Jason\">Obviously I get a lot of these e-commerce Spike during covid and then kind of regress to the mean but.<\/span><br \/><span title=\"10:16 - 10:22\" data-start=\"00:10:15.906\" data-end=\"00:10:22.221\" data-spk=\"0\" data-label=\"Jason\">You know if you look at the e-commerce dollars growth.<\/span><br \/><span title=\"10:22 - 10:26\" data-start=\"00:10:22.432\" data-end=\"00:10:26.139\" data-spk=\"0\" data-label=\"Jason\">Were 36 percent above what we would have forecasted.<\/span><br \/><span title=\"10:26 - 10:38\" data-start=\"00:10:26.488\" data-end=\"00:10:38.067\" data-spk=\"0\" data-label=\"Jason\">Before covid started and we\u2019ve sold like 275 billion a year more than we would have expected to sell this year so over the three years e-commerce has,\u00a0<\/span><span title=\"10:38 - 10:43\" data-start=\"00:10:38.146\" data-end=\"00:10:43.067\" data-spk=\"0\" data-label=\"Jason\">has grown quite a bit and remained high but what is\u00a0<\/span><span title=\"10:43 - 10:50\" data-start=\"00:10:43.013\" data-end=\"00:10:49.611\" data-spk=\"0\" data-label=\"Jason\">true and worrisome about 20 22 it\u2019s the lowest rate of growth we\u2019ve ever seen and for the first time since e-commerce started.<\/span><br \/><span title=\"10:50 - 11:04\" data-start=\"00:10:49.827\" data-end=\"00:11:03.900\" data-spk=\"0\" data-label=\"Jason\">Retail actually grew faster than e-commerce so that the total retail growth number for last year was 8.2 percent versus the e-commerce rate of 7.4 percent so that\u2019s an interesting backdrop as we start to get all these.<\/span><br \/><span title=\"11:04 - 11:08\" data-start=\"00:11:04.243\" data-end=\"00:11:08.149\" data-spk=\"0\" data-label=\"Jason\">Q4 earnings reports flowing in.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[11:09]<\/small>\u00a0<span title=\"11:09 - 11:23\" data-start=\"00:11:08.552\" data-end=\"00:11:22.769\" data-spk=\"1\" data-label=\"Scot\">Yeah and that\u2019s really just you know it\u2019s a reversion to the mean right so we had a surge in e-commerce so you Commerce is more coming down more so than retail surgeon is that if we charted that out is that what would see.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[11:23]<\/small>\u00a0<span title=\"11:23 - 11:32\" data-start=\"00:11:22.643\" data-end=\"00:11:31.548\" data-spk=\"0\" data-label=\"Jason\">Ecommerce has not surged as I mean retail is not surged as much as e-commerce has come down so.<\/span><br \/><span title=\"11:32 - 11:41\" data-start=\"00:11:31.813\" data-end=\"00:11:41.126\" data-spk=\"0\" data-label=\"Jason\">Yeah so like on the whole the three years of the pandemic were very good to retail and very good to e-commerce the,\u00a0<\/span><span title=\"11:41 - 11:53\" data-start=\"00:11:41.193\" data-end=\"00:11:53.355\" data-spk=\"0\" data-label=\"Jason\">when they happen with slightly different e-commerce is biggest year was the first year of the pandemic and retails biggest year was 20 was the second year of the pandemic so when you\u2019re looking at year over year sales\u00a0<\/span><span title=\"11:53 - 12:01\" data-start=\"00:11:53.337\" data-end=\"00:12:01.071\" data-spk=\"0\" data-label=\"Jason\">Ecommerce is comping against a big number on the numerator while the denominator suddenly got a lot bigger,\u00a0<\/span><span title=\"12:01 - 12:10\" data-start=\"00:12:01.083\" data-end=\"00:12:09.730\" data-spk=\"0\" data-label=\"Jason\">for retail and so when you look at it as a percentage of retail it definitely looks like it regress to the mean but when you just look at,\u00a0<\/span><span title=\"12:10 - 12:14\" data-start=\"00:12:09.862\" data-end=\"00:12:13.810\" data-spk=\"0\" data-label=\"Jason\">net dollars people spend an e-commerce before and after the pandemic.<\/span><br \/><span title=\"12:14 - 12:22\" data-start=\"00:12:14.015\" data-end=\"00:12:22.168\" data-spk=\"0\" data-label=\"Jason\">We both we spend a lot more money at retail than we used to and we spend a lot more money on e-commerce than we used to and so the spoiler where the fear is.<\/span><br \/><span title=\"12:22 - 12:32\" data-start=\"00:12:22.427\" data-end=\"00:12:31.669\" data-spk=\"0\" data-label=\"Jason\">Is that the new normal or did we just pull in a bunch of demand and that bodes poorly for 2023.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[12:31]<\/small>\u00a0<span title=\"12:31 - 12:32\" data-start=\"00:12:31.369\" data-end=\"00:12:31.945\" data-spk=\"1\" data-label=\"Scot\">Yes\u00a0<\/span><span title=\"12:32 - 12:46\" data-start=\"00:12:31.807\" data-end=\"00:12:46.265\" data-spk=\"1\" data-label=\"Scot\">go for some tea leaves to help us kind of parse through that we had some interesting earnings first of all we wanted to chat about Amazon\u2019s fourth quarter the way I would kind of we didn\u2019t do a show on this one because it was really not\u00a0<\/span><span title=\"12:46 - 12:58\" data-start=\"00:12:46.163\" data-end=\"00:12:57.796\" data-spk=\"1\" data-label=\"Scot\">that much to talk about to be honest with you so they came in just their dramatically lowered over the last couple quarters they have dramatically lowered the the back half of 22 so they\u00a0<\/span><span title=\"12:58 - 13:02\" data-start=\"00:12:57.622\" data-end=\"00:13:01.780\" data-spk=\"1\" data-label=\"Scot\">the Q4 of this slightly beat that that new Lowered Expectations,\u00a0<\/span><span title=\"13:02 - 13:09\" data-start=\"00:13:01.913\" data-end=\"00:13:09.219\" data-spk=\"1\" data-label=\"Scot\">and then their q1 guidance was in line with a little bit lower than what Wall Street was expecting but not enough to be super material\u00a0<\/span><span title=\"13:09 - 13:21\" data-start=\"00:13:09.094\" data-end=\"00:13:20.829\" data-spk=\"1\" data-label=\"Scot\">one thing I thought you would find interesting is they took about a 3 billion dollar charge on restructuring there was they announced they laid off 18,000 people I think most people saw that,\u00a0<\/span><span title=\"13:21 - 13:24\" data-start=\"00:13:20.974\" data-end=\"00:13:24.338\" data-spk=\"1\" data-label=\"Scot\">and that was 640 million but\u00a0<\/span><span title=\"13:24 - 13:39\" data-start=\"00:13:24.237\" data-end=\"00:13:39.133\" data-spk=\"1\" data-label=\"Scot\">part of the charge was 720 million to impairment at fresh and go stores I thought you would find that interesting and I guess they had I guess those are the ones they must have planned a bunch of openings and now they\u2019ve got all this kind of like you know they\u2019re kind of half pregnant with this\u00a0<\/span><span title=\"13:39 - 13:43\" data-start=\"00:13:39.031\" data-end=\"00:13:43.387\" data-spk=\"1\" data-label=\"Scot\">bunch of real estate bunch of stores they want to launch and then they pause that.<\/span><\/p>\n<p><small>[13:44]<\/small>\u00a0<span title=\"13:44 - 13:56\" data-start=\"00:13:43.610\" data-end=\"00:13:56.463\" data-spk=\"1\" data-label=\"Scot\">And then one that was interesting to me is we work a lot with these Amazon DSP companies and I\u2019ve often wondered who insures them because they bang the heck out of them and Amazon increase their reserves for\u00a0<\/span><span title=\"13:56 - 14:11\" data-start=\"00:13:56.325\" data-end=\"00:14:10.800\" data-spk=\"1\" data-label=\"Scot\">Self Insurance in their transportation Network by 1.3 billion which I thought was interesting given that we see these things just 90% chance if you see an Amazon Prime van it\u2019s got a fair number of Dents &amp; Dings on the side of it.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[14:12]<\/small>\u00a0<span title=\"14:12 - 14:19\" data-start=\"00:14:11.552\" data-end=\"00:14:19.003\" data-spk=\"0\" data-label=\"Jason\">Yeah that\u2019s yeah that\u2019s a hard gig for a van although there probably are no easy gigs for van.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[14:19]<\/small>\u00a0<span title=\"14:19 - 14:21\" data-start=\"00:14:18.709\" data-end=\"00:14:21.010\" data-spk=\"1\" data-label=\"Scot\">Yeah would you think about the freshen go.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[14:21]<\/small>\u00a0<span title=\"14:21 - 14:31\" data-start=\"00:14:20.710\" data-end=\"00:14:30.714\" data-spk=\"0\" data-label=\"Jason\">Yeah so the grocery story is interesting right longtime listeners will remember Amazon kind of retreated from most of their non grocery,\u00a0<\/span><span title=\"14:31 - 14:45\" data-start=\"00:14:30.805\" data-end=\"00:14:44.938\" data-spk=\"0\" data-label=\"Jason\">retail Concepts I want to say a quarter ago so they kind of they closed all the bookstores they closed the five-star stores and and they kind of said hey we\u2019re we\u2019re we\u2019re revisiting our brick and mortar strategy the one,\u00a0<\/span><span title=\"14:45 - 14:52\" data-start=\"00:14:44.998\" data-end=\"00:14:52.497\" data-spk=\"0\" data-label=\"Jason\">aspect of brick-and-mortar that they continue to operate where these grocery stores that are called Fresh and these.<\/span><\/p>\n<p><small>[14:53]<\/small>\u00a0<span title=\"14:53 - 15:00\" data-start=\"00:14:53.375\" data-end=\"00:15:00.207\" data-spk=\"0\" data-label=\"Jason\">Convenience stores or grab-and-go food stores that are the Amazon go stores that just walk out technology and,\u00a0<\/span><span title=\"15:00 - 15:10\" data-start=\"00:15:00.219\" data-end=\"00:15:09.509\" data-spk=\"0\" data-label=\"Jason\">you know grocery super important I talk about it all the time it\u2019s like the second biggest category of consumer spending and Retail and it\u2019s one category where Amazon hasn\u2019t done very well\u00a0<\/span><span title=\"15:09 - 15:13\" data-start=\"00:15:09.443\" data-end=\"00:15:13.181\" data-spk=\"0\" data-label=\"Jason\">arguably Whole Foods hasn\u2019t done very well since Amazon bought them,\u00a0<\/span><span title=\"15:13 - 15:22\" data-start=\"00:15:13.295\" data-end=\"00:15:21.852\" data-spk=\"0\" data-label=\"Jason\">and you know the magic question was where they going to invent a more successful grocery Concept in Amazon Fresh and then this quarter they answered that question\u00a0<\/span><span title=\"15:22 - 15:32\" data-start=\"00:15:21.690\" data-end=\"00:15:31.863\" data-spk=\"0\" data-label=\"Jason\">no now essentially said we haven\u2019t found anything differentiated enough in the Amazon Fresh stores to make us want to scale them,\u00a0<\/span><span title=\"15:32 - 15:42\" data-start=\"00:15:31.923\" data-end=\"00:15:41.778\" data-spk=\"0\" data-label=\"Jason\">rapidly we haven\u2019t given up on Grocery and we\u2019re going to continue to work on it and roll something new out but we\u2019re for sure pulling back on,\u00a0<\/span><span title=\"15:42 - 15:46\" data-start=\"00:15:41.892\" data-end=\"00:15:46.086\" data-spk=\"0\" data-label=\"Jason\">growth strategy for this current fresh concept,\u00a0<\/span><span title=\"15:46 - 15:55\" data-start=\"00:15:46.243\" data-end=\"00:15:54.817\" data-spk=\"0\" data-label=\"Jason\">and so so you know it sounds like hey they definitely don\u2019t think they\u2019ve got brick-and-mortar figured out between fresh and Whole Foods and on delivery,\u00a0<\/span><span title=\"15:55 - 15:56\" data-start=\"00:15:54.968\" data-end=\"00:15:56.392\" data-spk=\"0\" data-label=\"Jason\">last year,\u00a0<\/span><span title=\"15:57 - 16:05\" data-start=\"00:15:56.536\" data-end=\"00:16:05.489\" data-spk=\"0\" data-label=\"Jason\">you know they started charging even for Prime members they started charging for delivery at Whole Foods and.<\/span><\/p>\n<p><small>[16:06]<\/small>\u00a0<span title=\"16:06 - 16:10\" data-start=\"00:16:05.790\" data-end=\"00:16:10.477\" data-spk=\"0\" data-label=\"Jason\">That way I have a hypothesis that that dramatically put a crimp in there,\u00a0<\/span><span title=\"16:11 - 16:23\" data-start=\"00:16:10.640\" data-end=\"00:16:23.138\" data-spk=\"0\" data-label=\"Jason\">they\u2019re grocery e-commerce sales although in a lot of places in the country groceries are delivered by fresh not by Whole Foods so this quarter they also announced that they\u2019re adding a delivery fee even if you\u2019re a Prime member.<\/span><br \/><span title=\"16:23 - 16:31\" data-start=\"00:16:23.343\" data-end=\"00:16:30.782\" data-spk=\"0\" data-label=\"Jason\">For fresh grocery delivery so there is no free grocery delivery option at Amazon,\u00a0<\/span><span title=\"16:31 - 16:37\" data-start=\"00:16:30.878\" data-end=\"00:16:37.187\" data-spk=\"0\" data-label=\"Jason\">um you know which in my mind puts them at a pretty significant disadvantage vis-\u00e0-vis,\u00a0<\/span><span title=\"16:37 - 16:43\" data-start=\"00:16:37.344\" data-end=\"00:16:43.070\" data-spk=\"0\" data-label=\"Jason\">instacart Walmart and Kroger that are all aggressively acquiring customers with offers right now.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[16:44]<\/small>\u00a0<span title=\"16:44 - 16:48\" data-start=\"00:16:43.503\" data-end=\"00:16:48.412\" data-spk=\"1\" data-label=\"Scot\">Yep Anderson tough category.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[16:45]<\/small>\u00a0<span title=\"16:45 - 16:55\" data-start=\"00:16:44.903\" data-end=\"00:16:54.998\" data-spk=\"0\" data-label=\"Jason\">So grocery seems like a place where like Amazon has put some serious effort in and it has not won yet has not figured it out.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[16:56]<\/small>\u00a0<span title=\"16:56 - 17:10\" data-start=\"00:16:55.894\" data-end=\"00:17:09.594\" data-spk=\"1\" data-label=\"Scot\">One of the other things that\u2019s weighing heavily on the minds of Amazon shareholders is the AWS Computing platform saw its growth really dip below 20% all the cloud providers are feeling this Google\u00a0<\/span><span title=\"17:09 - 17:19\" data-start=\"00:17:09.474\" data-end=\"00:17:18.902\" data-spk=\"1\" data-label=\"Scot\">Microsoft I think Google has laid off a bunch of the people leading their Cloud effort Microsoft Azure is under a bunch of pressure as well\u00a0<\/span><span title=\"17:19 - 17:38\" data-start=\"00:17:18.704\" data-end=\"00:17:37.801\" data-spk=\"1\" data-label=\"Scot\">and what\u2019s happening is as we hit some economic headwinds the users of these Cloud infrastructures are lots of startups that have venture capital and VC rounds are getting few and far between so they are reducing their loads and their trading down you know one of the things you can do on these platforms is have a machine with a certain computer,\u00a0<\/span><span title=\"17:38 - 17:47\" data-start=\"00:17:37.819\" data-end=\"00:17:46.989\" data-spk=\"1\" data-label=\"Scot\">horsepower you can kind of say you know maybe I\u2019ll go down a couple rungs on the ladder of compute horsepower there and save a little bit and.<\/span><br \/><span title=\"17:47 - 17:55\" data-start=\"00:17:47.211\" data-end=\"00:17:54.927\" data-spk=\"1\" data-label=\"Scot\">So it\u2019s an area where companies are looking to save money very quickly because you\u2019re not locked into certainty or anything like that like you would,\u00a0<\/span><span title=\"17:55 - 17:57\" data-start=\"00:17:54.969\" data-end=\"00:17:57.312\" data-spk=\"1\" data-label=\"Scot\">be with some software as a service platforms.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[17:58]<\/small>\u00a0<span title=\"17:58 - 18:03\" data-start=\"00:17:57.860\" data-end=\"00:18:03.399\" data-spk=\"0\" data-label=\"Jason\">Yeah I think I\u2019m not to give you credit but I think you were one of the first people I saw,\u00a0<\/span><span title=\"18:04 - 18:16\" data-start=\"00:18:03.568\" data-end=\"00:18:16.103\" data-spk=\"0\" data-label=\"Jason\">talking about that phenomenon and then it became a big thing I think I like Twitter announced that they were slashing 75% of their salesforce.com seats and it just seemed like in the same way that like,\u00a0<\/span><span title=\"18:16 - 18:29\" data-start=\"00:18:16.217\" data-end=\"00:18:29.226\" data-spk=\"0\" data-label=\"Jason\">you know Middle America when when budgets get tight you know everybody looks at their recurring spending and cuts all these you know apps they accidentally signed up for On the App Store and in the same way it feels like every company in America is like.<\/span><br \/><span title=\"18:29 - 18:31\" data-start=\"00:18:29.443\" data-end=\"00:18:31.492\" data-spk=\"0\" data-label=\"Jason\">Going on a SAS diet right now.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[18:31]<\/small>\u00a0<span title=\"18:31 - 18:43\" data-start=\"00:18:31.420\" data-end=\"00:18:43.065\" data-spk=\"1\" data-label=\"Scot\">Yeah I you know I like to coin phrases we famously coined ship again on the show I call it\u2019s a split so when you wake up one day and you look around your company and you\u2019ve got\u00a0<\/span><span title=\"18:43 - 18:47\" data-start=\"00:18:42.904\" data-end=\"00:18:46.587\" data-spk=\"1\" data-label=\"Scot\">200 different stats platforms that you\u2019re paying\u00a0<\/span><span title=\"18:46 - 18:56\" data-start=\"00:18:46.437\" data-end=\"00:18:56.051\" data-spk=\"1\" data-label=\"Scot\">it\u2019s only $30 a seat a month but there\u2019s 1,000 employees using it and you got 200 of them that I can\u2019t do the math on that but it adds up very quickly,\u00a0<\/span><span title=\"18:56 - 18:59\" data-start=\"00:18:56.081\" data-end=\"00:18:58.665\" data-spk=\"1\" data-label=\"Scot\">so a lot of companies are right-sizing,\u00a0<\/span><span title=\"18:59 - 19:07\" data-start=\"00:18:58.755\" data-end=\"00:19:07.276\" data-spk=\"1\" data-label=\"Scot\">their SAS budgets one of the interesting beneficiaries of this was the Microsoft Azure platform had pressure\u00a0<\/span><span title=\"19:07 - 19:17\" data-start=\"00:19:07.102\" data-end=\"00:19:17.197\" data-spk=\"1\" data-label=\"Scot\">but the the Office 365 has done amazing because what happens is people say well I\u2019m using slack Dropbox.<\/span><br \/><span title=\"19:17 - 19:22\" data-start=\"00:19:17.486\" data-end=\"00:19:21.577\" data-spk=\"1\" data-label=\"Scot\">And you know maybe maybe one of the Google platforms\u00a0<\/span><span title=\"19:21 - 19:31\" data-start=\"00:19:21.434\" data-end=\"00:19:30.699\" data-spk=\"1\" data-label=\"Scot\">and you know and I also have Office 365 will if you start to reconcile this you can drop drop box for OneNote and.<\/span><br \/><span title=\"19:31 - 19:32\" data-start=\"00:19:30.964\" data-end=\"00:19:32.256\" data-spk=\"1\" data-label=\"Scot\">OneNote Drive.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[19:32]<\/small>\u00a0<span title=\"19:32 - 19:35\" data-start=\"00:19:31.956\" data-end=\"00:19:34.948\" data-spk=\"0\" data-label=\"Jason\">Know what you\u2019re right one drive.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[19:35]<\/small>\u00a0<span title=\"19:35 - 19:40\" data-start=\"00:19:35.134\" data-end=\"00:19:39.815\" data-spk=\"1\" data-label=\"Scot\">OneDrive yeah and I can drop you no slack for,\u00a0<\/span><span title=\"19:40 - 19:50\" data-start=\"00:19:39.918\" data-end=\"00:19:50.349\" data-spk=\"1\" data-label=\"Scot\">they have their own teams and then Zoom for teams and then so so Microsoft because they\u2019ve got one of the most fullest sweets and almost everyone has Microsoft\u00a0<\/span><span title=\"19:50 - 19:57\" data-start=\"00:19:50.199\" data-end=\"00:19:56.628\" data-spk=\"1\" data-label=\"Scot\">because of office kind of packed in there their they\u2019re a huge beneficiary of that\u00a0<\/span><span title=\"19:57 - 20:05\" data-start=\"00:19:56.533\" data-end=\"00:20:04.506\" data-spk=\"1\" data-label=\"Scot\">SAS Bluett interestingly I think it was enough to offset the this the downgrades they saw it and measure.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[20:04]<\/small>\u00a0<span title=\"20:04 - 20:06\" data-start=\"00:20:04.206\" data-end=\"00:20:05.744\" data-spk=\"0\" data-label=\"Jason\">Yeah that\u2019s super interesting.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[20:06]<\/small>\u00a0<span title=\"20:06 - 20:10\" data-start=\"00:20:06.051\" data-end=\"00:20:09.902\" data-spk=\"1\" data-label=\"Scot\">Yeah one of the you know one of the interesting things that when you\u2019re in these\u00a0<\/span><span title=\"20:10 - 20:22\" data-start=\"00:20:09.867\" data-end=\"00:20:22.185\" data-spk=\"1\" data-label=\"Scot\">weird Economic Times when these companies released their numbers it\u2019s late enough into the next quarter so this all came out kind of mid-February that they can give a little color and one of the on the current color.<\/span><\/p>\n<p><small>[20:23]<\/small>\u00a0<span title=\"20:23 - 20:23\" data-start=\"00:20:22.582\" data-end=\"00:20:23.279\" data-spk=\"1\" data-label=\"Scot\">Quarter,\u00a0<\/span><span title=\"20:23 - 20:38\" data-start=\"00:20:23.387\" data-end=\"00:20:38.133\" data-spk=\"1\" data-label=\"Scot\">so they\u2019re talking about Q4 results but then sometimes they will drop a little bit what we\u2019re already we\u2019re seeing kind of right now so they did they did talk about AWS had kind of bottomed out at a 17 percent growth rate or something like that mid-teens,\u00a0<\/span><span title=\"20:38 - 20:52\" data-start=\"00:20:38.206\" data-end=\"00:20:52.104\" data-spk=\"1\" data-label=\"Scot\">so Wall Street took that positively they also said you know they said we\u2019re seeing really improved efficiencies and the retail business which I think Wall Street took to mean they feel like they\u2019re at this right balance now of,\u00a0<\/span><span title=\"20:52 - 21:00\" data-start=\"00:20:52.165\" data-end=\"00:21:00.114\" data-spk=\"1\" data-label=\"Scot\">Transportation warehouses and all those things that they had to shed if feels the feels like they\u2019re done based on kind of like what they\u2019re seeing,\u00a0<\/span><span title=\"21:00 - 21:09\" data-start=\"00:21:00.289\" data-end=\"00:21:08.689\" data-spk=\"1\" data-label=\"Scot\">there\u2019s always this caveat that that\u2019s they\u2019ve only seen 45 days of the corridor so who knows what the back after that looks like.<\/span><\/p>\n<p><small>[21:09]<\/small>\u00a0<span title=\"21:09 - 21:19\" data-start=\"00:21:08.882\" data-end=\"00:21:18.622\" data-spk=\"1\" data-label=\"Scot\">The real bright spot and this is interesting because there\u2019s this theme going on the economy where services are are kind of growing much faster than Goods\u00a0<\/span><span title=\"21:19 - 21:20\" data-start=\"00:21:18.581\" data-end=\"00:21:19.944\" data-spk=\"1\" data-label=\"Scot\">and,\u00a0<\/span><span title=\"21:20 - 21:33\" data-start=\"00:21:19.999\" data-end=\"00:21:33.338\" data-spk=\"1\" data-label=\"Scot\">at Amazon DE Prime Service Group re dramatically grew 17 percent over a year and acceleration from last quarter\u2019s 14% so so Wall Street found that really interesting and I think,\u00a0<\/span><span title=\"21:34 - 21:37\" data-start=\"00:21:33.525\" data-end=\"00:21:37.413\" data-spk=\"1\" data-label=\"Scot\">you know it\u2019s hard to it\u2019s hard to know why people are picking Prime\u00a0<\/span><span title=\"21:37 - 21:45\" data-start=\"00:21:37.341\" data-end=\"00:21:44.768\" data-spk=\"1\" data-label=\"Scot\">I think some consumers are going through a reconciliation with their streaming platforms and they\u2019re kind of just like that Microsoft example they\u2019re saying\u00a0<\/span><span title=\"21:45 - 21:55\" data-start=\"00:21:44.714\" data-end=\"00:21:54.905\" data-spk=\"1\" data-label=\"Scot\">well if I go to Prime I get Prime video and I can get access my Yellowstone through there and some other things and that\u2019s probably good enough maybe I\u2019ll turn off.<\/span><\/p>\n<p><small>[21:55]<\/small>\u00a0<span title=\"21:55 - 22:05\" data-start=\"00:21:55.194\" data-end=\"00:22:05.481\" data-spk=\"1\" data-label=\"Scot\">I don\u2019t know there\u2019s this design of these things now so in any case Wall Street was really pleased with this because there\u2019s been a lot of talk at Windows Amazon hit Prime saturation,\u00a0<\/span><span title=\"22:06 - 22:15\" data-start=\"00:22:05.656\" data-end=\"00:22:14.519\" data-spk=\"1\" data-label=\"Scot\">well you don\u2019t hit saturation if you have an acceleration of growth like that so so that was you know a couple the positives in the quarter there\u00a0<\/span><span title=\"22:14 - 22:25\" data-start=\"00:22:14.417\" data-end=\"00:22:24.644\" data-spk=\"1\" data-label=\"Scot\">but interesting enough and you probably know the ads part I think it had yet another Blockbuster business because they\u2019re they continue to benefit from that first party you know all this,\u00a0<\/span><span title=\"22:25 - 22:37\" data-start=\"00:22:24.788\" data-end=\"00:22:36.524\" data-spk=\"1\" data-label=\"Scot\">effectively the biggest retail media Network out there and I know you think a lot about these retail media networks but that was a gift from our friends at Apple to Amazon so that continues to be the gift that keeps on giving.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[22:37]<\/small>\u00a0<span title=\"22:37 - 22:46\" data-start=\"00:22:37.083\" data-end=\"00:22:46.126\" data-spk=\"0\" data-label=\"Jason\">Yeah yeah it the rate of growth did slow ride so they were in the like 30s and forty percent a year that it was growing and I want to say it only grew,\u00a0<\/span><span title=\"22:46 - 23:01\" data-start=\"00:22:46.187\" data-end=\"00:23:00.848\" data-spk=\"0\" data-label=\"Jason\">20% in Q4 your over here which again faster than AWS and still quite fast but for 12 months that means they sold thirty two point seven billion dollars worth of ads and if you assume,\u00a0<\/span><span title=\"23:01 - 23:10\" data-start=\"00:23:00.903\" data-end=\"00:23:10.235\" data-spk=\"0\" data-label=\"Jason\">that ads are about 75 percent gross margin that means that the ad business contributed 25 billion dollars in earned income,\u00a0<\/span><span title=\"23:10 - 23:18\" data-start=\"00:23:10.385\" data-end=\"00:23:18.299\" data-spk=\"0\" data-label=\"Jason\">um and ews last year contributed 22 billion dollars in earned income so,\u00a0<\/span><span title=\"23:18 - 23:23\" data-start=\"00:23:18.486\" data-end=\"00:23:22.848\" data-spk=\"0\" data-label=\"Jason\">you\u2019re you know you basically end up with.<\/span><br \/><span title=\"23:23 - 23:31\" data-start=\"00:23:23.335\" data-end=\"00:23:31.152\" data-spk=\"0\" data-label=\"Jason\">Retail media networks contributing more to the bottom line at Amazon even than a WS which they\u2019re both great businesses.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[23:31]<\/small>\u00a0<span title=\"23:31 - 23:39\" data-start=\"00:23:30.864\" data-end=\"00:23:39.114\" data-spk=\"1\" data-label=\"Scot\">You know I think the 75% is aggressive I think I don\u2019t understand why it\u2019s like almost not a hundred percent.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[23:39]<\/small>\u00a0<span title=\"23:39 - 23:45\" data-start=\"00:23:39.103\" data-end=\"00:23:45.460\" data-spk=\"0\" data-label=\"Jason\">I agree I used to use a higher number and then I saw some like industry guys the.<\/span><br \/><span title=\"23:46 - 23:56\" data-start=\"00:23:46.073\" data-end=\"00:23:56.180\" data-spk=\"0\" data-label=\"Jason\">Like felt like there\u2019s more overhead in there and there are a lot of salespeople you know which don\u2019t don\u2019t you know scale model linearly so so in,\u00a0<\/span><span title=\"23:56 - 24:00\" data-start=\"00:23:56.265\" data-end=\"00:24:00.332\" data-spk=\"0\" data-label=\"Jason\">I kind of fell in line with some other analysts and dropped it down to that 75%.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[23:59]<\/small>\u00a0<span title=\"23:59 - 24:03\" data-start=\"00:23:59.401\" data-end=\"00:24:03.439\" data-spk=\"1\" data-label=\"Scot\">Yep.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[24:03]<\/small>\u00a0<span title=\"24:03 - 24:13\" data-start=\"00:24:03.139\" data-end=\"00:24:12.561\" data-spk=\"0\" data-label=\"Jason\">However you size it like I\u2019m pretty confident it\u2019s the most profitable business at Amazon and still like although it\u2019s slowing down slightly it\u2019s still still certainly growing,\u00a0<\/span><span title=\"24:13 - 24:26\" data-start=\"00:24:12.717\" data-end=\"00:24:26.129\" data-spk=\"0\" data-label=\"Jason\">so that was interesting one that I haven\u2019t got my head around yet and I feel like you used to do this math yourself but I\u2019m working on a couple of different models for what.<\/span><br \/><span title=\"24:26 - 24:36\" data-start=\"00:24:26.400\" data-end=\"00:24:35.696\" data-spk=\"0\" data-label=\"Jason\">Total us gmv did for Amazon and it\u2019s not completely trivial because we know what the first party sales were we know what the,\u00a0<\/span><span title=\"24:36 - 24:49\" data-start=\"00:24:35.810\" data-end=\"00:24:48.753\" data-spk=\"0\" data-label=\"Jason\">the the units were but you know you have to make some assumptions to kind of convert those units into a GM V and the and the mix of third party is different than the mix of first party.<\/span><br \/><span title=\"24:49 - 25:00\" data-start=\"00:24:49.271\" data-end=\"00:25:00.116\" data-spk=\"0\" data-label=\"Jason\">But there but the reason that\u2019s interesting is liked by most models you know it it was not a huge,\u00a0<\/span><span title=\"25:00 - 25:09\" data-start=\"00:25:00.267\" data-end=\"00:25:08.812\" data-spk=\"0\" data-label=\"Jason\">growth year for gmv for Amazon and so again I don\u2019t have a official estimate yet but like let\u2019s assume.<\/span><br \/><span title=\"25:09 - 25:16\" data-start=\"00:25:09.082\" data-end=\"00:25:15.590\" data-spk=\"0\" data-label=\"Jason\">They grew by 10% the.<\/span><\/p>\n<p><small>[25:16]<\/small>\u00a0<span title=\"25:16 - 25:21\" data-start=\"00:25:16.474\" data-end=\"00:25:21.244\" data-spk=\"0\" data-label=\"Jason\">Fees that they charge third-party sellers Drew 14%.<\/span><br \/><span title=\"25:22 - 25:28\" data-start=\"00:25:21.714\" data-end=\"00:25:28.113\" data-spk=\"0\" data-label=\"Jason\">Um so that the fees they\u2019re being able to get out of the third party Marketplace is almost certainly growing faster.<\/span><br \/><span title=\"25:28 - 25:36\" data-start=\"00:25:28.420\" data-end=\"00:25:36.309\" data-spk=\"0\" data-label=\"Jason\">Then the third party Marketplace and that\u2019s because they\u2019re able to raise a bunch of rates and our friends at Marketplace pulse did some math\u00a0<\/span><span title=\"25:36 - 25:44\" data-start=\"00:25:36.207\" data-end=\"00:25:44.427\" data-spk=\"0\" data-label=\"Jason\">and they feel that on average the average 3rd party seller on Amazon when you add up all the selling cost between F ba\u00a0<\/span><span title=\"25:44 - 25:52\" data-start=\"00:25:44.320\" data-end=\"00:25:52.215\" data-spk=\"0\" data-label=\"Jason\">and and advertising that the average take rate is now 50%.<\/span><\/p>\n<p><small>[25:55]<\/small>\u00a0<span title=\"25:55 - 25:56\" data-start=\"00:25:54.541\" data-end=\"00:25:56.013\" data-spk=\"0\" data-label=\"Jason\">So\u00a0<\/span><span title=\"25:56 - 26:06\" data-start=\"00:25:56.236\" data-end=\"00:26:05.730\" data-spk=\"0\" data-label=\"Jason\">Well I always remind I mean Amazon is a good place to sell like I\u2019m not saying anyone that they shouldn\u2019t use Amazon as part of their mix but I get asked all the time if I should just skip it,\u00a0<\/span><span title=\"26:06 - 26:11\" data-start=\"00:26:05.838\" data-end=\"00:26:11.240\" data-spk=\"0\" data-label=\"Jason\">any other channel in just exclusively rely on Amazon and to me that\u2019s a huge mistake because Amazons.<\/span><br \/><span title=\"26:11 - 26:26\" data-start=\"00:26:11.445\" data-end=\"00:26:26.431\" data-spk=\"0\" data-label=\"Jason\">Rightly so going to optimize the profit for them and they\u2019re very good at that and so they\u2019re you know they\u2019re taking a lot of margin out of third party selling because there\u2019s a long line of people waiting behind every 3rd party seller that want to sell that same stuff.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[26:27]<\/small>\u00a0<span title=\"26:27 - 26:38\" data-start=\"00:26:26.900\" data-end=\"00:26:38.052\" data-spk=\"1\" data-label=\"Scot\">Yeah you going to have a blended approach and kind of Leverage it to sell the right thing at the right time in the right Channel someone should start a company that does that but we\u2019ll talk about that another podcast.<\/span><\/p>\n<p><small>[26:42]<\/small>\u00a0<span title=\"26:42 - 26:51\" data-start=\"00:26:41.658\" data-end=\"00:26:51.296\" data-spk=\"1\" data-label=\"Scot\">He\u2019s busy car washing right now cool that\u2019s the Amazon report anything any other earnings you found in arson.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[26:51]<\/small>\u00a0<span title=\"26:51 - 27:03\" data-start=\"00:26:51.141\" data-end=\"00:27:03.483\" data-spk=\"0\" data-label=\"Jason\">Yeah so Amazon reported pretty early this year I don\u2019t know if that was strategic or just have a calendar fell but now we are starting to get all of the more traditional retailers\u00a0<\/span><span title=\"27:03 - 27:06\" data-start=\"00:27:03.291\" data-end=\"00:27:06.451\" data-spk=\"0\" data-label=\"Jason\">and so I want to say we recording this on Thursday\u00a0<\/span><span title=\"27:06 - 27:18\" data-start=\"00:27:06.325\" data-end=\"00:27:18.013\" data-spk=\"0\" data-label=\"Jason\">Tuesday Walmart and Home Depot reported tomorrow morning targets going to report so we\u2019re starting to get all the the cue for sales data from the big retailers,\u00a0<\/span><span title=\"27:18 - 27:27\" data-start=\"00:27:18.055\" data-end=\"00:27:26.570\" data-spk=\"0\" data-label=\"Jason\">a bunch of specialty Brands like a lot of the apparel Vans VF and folks have already reported and there is emerging and pretty.<\/span><br \/><span title=\"27:27 - 27:35\" data-start=\"00:27:26.852\" data-end=\"00:27:35.373\" data-spk=\"0\" data-label=\"Jason\">Clear picture so maybe before we do the Crip picture I\u2019ll just recap Walmart Q4 and I tried to channel my inner Scott because.<\/span><\/p>\n<p><small>[27:36]<\/small>\u00a0<span title=\"27:36 - 27:49\" data-start=\"00:27:35.962\" data-end=\"00:27:49.374\" data-spk=\"0\" data-label=\"Jason\">Scot and I are the perfect yin and yang Scott is a you know former public company CEO and Savvy investor and he cares a lot about how these companies perform against expectations and what happens to their,\u00a0<\/span><span title=\"27:49 - 28:00\" data-start=\"00:27:49.471\" data-end=\"00:27:59.788\" data-spk=\"0\" data-label=\"Jason\">their evaluations and I just care how much stuff they sold all right and so I feel it\u2019s funny we both look at like all these earnings through different lenses so through your lens\u00a0<\/span><span title=\"28:00 - 28:04\" data-start=\"00:27:59.758\" data-end=\"00:28:04.463\" data-spk=\"0\" data-label=\"Jason\">I feel like Walmart was mix I think you\u2019d call it a beat and lower\u00a0<\/span><span title=\"28:04 - 28:10\" data-start=\"00:28:04.433\" data-end=\"00:28:10.231\" data-spk=\"0\" data-label=\"Jason\">because earnings exceeded analysts expectations they came in at 1.71,\u00a0<\/span><span title=\"28:10 - 28:23\" data-start=\"00:28:10.430\" data-end=\"00:28:23.349\" data-spk=\"0\" data-label=\"Jason\">per share and the in the analyst Target was 1.51 so that\u2019s a pretty good beat Revenue came in and 164 billion for the quarter and the expectation was unearned 59 billion so another good,\u00a0<\/span><span title=\"28:23 - 28:31\" data-start=\"00:28:23.464\" data-end=\"00:28:31.245\" data-spk=\"0\" data-label=\"Jason\">um but on the bad news I think analysts were hoping for.<\/span><br \/><span title=\"28:32 - 28:41\" data-start=\"00:28:31.510\" data-end=\"00:28:40.884\" data-spk=\"0\" data-label=\"Jason\">Guidance of like five or six percent growth for the year and Walmart gave a two to two and a half percent guidance for the year.<\/span><\/p>\n<p><small>[28:42]<\/small>\u00a0<span title=\"28:42 - 28:44\" data-start=\"00:28:41.617\" data-end=\"00:28:44.081\" data-spk=\"0\" data-label=\"Jason\">And so basically the story was,\u00a0<\/span><span title=\"28:44 - 28:52\" data-start=\"00:28:44.189\" data-end=\"00:28:52.415\" data-spk=\"0\" data-label=\"Jason\">we had a solid Q4 and a solid 20 22 but we\u2019re expecting things to get more difficult and more lean,\u00a0<\/span><span title=\"28:53 - 29:03\" data-start=\"00:28:52.530\" data-end=\"00:29:03.057\" data-spk=\"0\" data-label=\"Jason\">in 2023 and they you know overtly said we saw spending slow down in the fourth quarter we saw a shift in the mix that they were consumers were trading down,\u00a0<\/span><span title=\"29:03 - 29:13\" data-start=\"00:29:03.238\" data-end=\"00:29:13.447\" data-spk=\"0\" data-label=\"Jason\">to lower-cost products they were shifting from wants to needs and in Walmart\u2019s mix those needs are a lot less profitable so they\u2019re selling more Grocery and less,\u00a0<\/span><span title=\"29:14 - 29:17\" data-start=\"00:29:13.586\" data-end=\"00:29:16.746\" data-spk=\"0\" data-label=\"Jason\">electronics and toys and home goods and stuff like that,\u00a0<\/span><span title=\"29:17 - 29:27\" data-start=\"00:29:16.939\" data-end=\"00:29:26.709\" data-spk=\"0\" data-label=\"Jason\">and so the both of the guidance for revenue and especially the guidance for profit at Walmart were where lower and that,\u00a0<\/span><span title=\"29:27 - 29:36\" data-start=\"00:29:26.842\" data-end=\"00:29:36.486\" data-spk=\"0\" data-label=\"Jason\">to me exactly Echoes a lot of the other earnings we heard like the Peril guys their guidance was awful and they\u2019re starting their stocks just Tanked,\u00a0<\/span><span title=\"29:37 - 29:45\" data-start=\"00:29:36.612\" data-end=\"00:29:44.646\" data-spk=\"0\" data-label=\"Jason\">Home Depot actually had like a really soft Q4 because they said spending slow down at the beginning of Q4 so they cut they missed their.<\/span><br \/><span title=\"29:45 - 29:58\" data-start=\"00:29:44.875\" data-end=\"00:29:57.541\" data-spk=\"0\" data-label=\"Jason\">Their earnings expectations for Q4 and they had a little guidance but almost every retailer I\u2019ve seen report earnings has reported lower than anticipated or has made a lower than hope for guidance,\u00a0<\/span><span title=\"29:58 - 30:04\" data-start=\"00:29:57.704\" data-end=\"00:30:03.538\" data-spk=\"0\" data-label=\"Jason\">for 2023 so retailers are not super bullish on 2023.<\/span><\/p>\n<p><small>[30:05]<\/small>\u00a0<span title=\"30:05 - 30:13\" data-start=\"00:30:04.783\" data-end=\"00:30:12.961\" data-spk=\"0\" data-label=\"Jason\">From a pure sales standpoint it\u2019s kind of interesting I try to just to compare apples to apples Walmart\u2019s an international company,\u00a0<\/span><span title=\"30:13 - 30:20\" data-start=\"00:30:13.063\" data-end=\"00:30:20.226\" data-spk=\"0\" data-label=\"Jason\">you know with two big retail Concepts in the US and a bunch of other countries I try to pull out like just Walmart sales in the US,\u00a0<\/span><span title=\"30:20 - 30:31\" data-start=\"00:30:20.316\" data-end=\"00:30:30.663\" data-spk=\"0\" data-label=\"Jason\">and their same-store sales the three years of the pandemic 20 20 21 and 22 they grew 8.6% 6.4% and 6.6%.<\/span><br \/><span title=\"30:31 - 30:34\" data-start=\"00:30:31.078\" data-end=\"00:30:33.914\" data-spk=\"0\" data-label=\"Jason\">Average retail growth is 4.1 percent so they,\u00a0<\/span><span title=\"30:34 - 30:47\" data-start=\"00:30:34.005\" data-end=\"00:30:47.260\" data-spk=\"0\" data-label=\"Jason\">significantly exceeded the industry average for all three of those years but the industry also did much better for the all three of those years so the industry grew at 7.8 14.4 and 6.9 so,\u00a0<\/span><span title=\"30:47 - 30:56\" data-start=\"00:30:47.357\" data-end=\"00:30:56.418\" data-spk=\"0\" data-label=\"Jason\">basically Walmart slightly out performed the retail industry and two of the three years and underperformed retailing 2021,\u00a0<\/span><span title=\"30:57 - 31:05\" data-start=\"00:30:56.563\" data-end=\"00:31:04.579\" data-spk=\"0\" data-label=\"Jason\">but solid growth across all three years and then Walmart is one of the nice retailers that breakout their e-commerce growth separately which.<\/span><br \/><span title=\"31:05 - 31:11\" data-start=\"00:31:04.843\" data-end=\"00:31:10.954\" data-spk=\"0\" data-label=\"Jason\">I suspect it\u2019s because it\u2019s usually pretty robust a lot of other companies have stopped reporting e-commerce and you can.<\/span><\/p>\n<p><small>[31:11]<\/small>\u00a0<span title=\"31:11 - 31:23\" data-start=\"00:31:11.459\" data-end=\"00:31:22.978\" data-spk=\"0\" data-label=\"Jason\">Speculate why that is this is they don\u2019t report it but Walmart eCommerce growth has been very robust during the pandemic so they grew 69 percent in 2020 11 percent in,\u00a0<\/span><span title=\"31:23 - 31:30\" data-start=\"00:31:23.063\" data-end=\"00:31:30.033\" data-spk=\"0\" data-label=\"Jason\">21 and 12 percent in 22 and that is you know their 69% was against an industry growth of 42 percent.<\/span><br \/><span title=\"31:30 - 31:38\" data-start=\"00:31:30.346\" data-end=\"00:31:37.665\" data-spk=\"0\" data-label=\"Jason\">And then you know this year they drew 12 percent against a e-commerce industry growth of 7.4 percent so.<\/span><\/p>\n<p><small>[31:38]<\/small>\u00a0<span title=\"31:38 - 31:49\" data-start=\"00:31:38.056\" data-end=\"00:31:49.316\" data-spk=\"0\" data-label=\"Jason\">Like pretty good e-commerce growth all the way across on a three-year stack that means Walmart Drew or Walmart Drew 100% over those three years their e-commerce business in the US,\u00a0<\/span><span title=\"31:49 - 31:58\" data-start=\"00:31:49.491\" data-end=\"00:31:58.354\" data-spk=\"0\" data-label=\"Jason\">the the e-commerce industry grew 81% so Walmart Psych the second largest e-commerce site in the United States and they outperformed,\u00a0<\/span><span title=\"31:58 - 32:09\" data-start=\"00:31:58.432\" data-end=\"00:32:08.743\" data-spk=\"0\" data-label=\"Jason\">the industry on growth Amazon probably did not outperform the industry like like the the best forecast is Amazon probably Drew 56% over those three years,\u00a0<\/span><span title=\"32:09 - 32:15\" data-start=\"00:32:08.840\" data-end=\"00:32:14.747\" data-spk=\"0\" data-label=\"Jason\">so Walmart not surprising they\u2019re much more than Amazon and e-commerce but they grew much faster than Amazon,\u00a0<\/span><span title=\"32:15 - 32:29\" data-start=\"00:32:14.873\" data-end=\"00:32:29.270\" data-spk=\"0\" data-label=\"Jason\">eBay ends up being the big loser over the three years they only Group 17 percent so kind of the underperformer and then just for sake of comparison Etsy grew 150 percent over the pandemic Shopify drew two hundred and twenty nine percent.<\/span><br \/><span title=\"32:29 - 32:32\" data-start=\"00:32:29.481\" data-end=\"00:32:32.383\" data-spk=\"0\" data-label=\"Jason\">And then this apparel company I talk a lot about,\u00a0<\/span><span title=\"32:33 - 32:42\" data-start=\"00:32:32.516\" data-end=\"00:32:42.154\" data-spk=\"0\" data-label=\"Jason\">is crazy Chien Drew nine hundred percent during the pandemic and some of their financial data week to last month,\u00a0<\/span><span title=\"32:42 - 32:51\" data-start=\"00:32:42.299\" data-end=\"00:32:50.525\" data-spk=\"0\" data-label=\"Jason\">and their internal forecast for their us Revenue in 2025 exceeds eBay\u2019s forecast for all revenue so that\u2019s enough,\u00a0<\/span><span title=\"32:51 - 32:54\" data-start=\"00:32:50.651\" data-end=\"00:32:53.884\" data-spk=\"0\" data-label=\"Jason\">and apparel retailer that\u2019s going to sell more stuff online than all of eBay.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[32:54]<\/small>\u00a0<span title=\"32:54 - 32:56\" data-start=\"00:32:54.305\" data-end=\"00:32:56.245\" data-spk=\"1\" data-label=\"Scot\">Wow that\u2019s crazy.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[32:56]<\/small>\u00a0<span title=\"32:56 - 32:59\" data-start=\"00:32:56.396\" data-end=\"00:32:59.472\" data-spk=\"0\" data-label=\"Jason\">Yeah the world changes any of that.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[32:58]<\/small>\u00a0<span title=\"32:58 - 33:04\" data-start=\"00:32:57.976\" data-end=\"00:33:03.546\" data-spk=\"1\" data-label=\"Scot\">Do they have infrastructure in the US like to do shipping and stuffers at all come straight from China.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[33:04]<\/small>\u00a0<span title=\"33:04 - 33:06\" data-start=\"00:33:03.955\" data-end=\"00:33:05.884\" data-spk=\"0\" data-label=\"Jason\">The for Sheehan.<\/span><br \/><span title=\"33:07 - 33:21\" data-start=\"00:33:06.846\" data-end=\"00:33:20.762\" data-spk=\"0\" data-label=\"Jason\">I believe that they may have announced that they acquired some some sorting centers or some fulfillment center space in the US but I don\u2019t think it\u2019s come online yet so I think at the moment it\u2019s all being shipped abroad but I\u2019m not certain on that.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[33:21]<\/small>\u00a0<span title=\"33:21 - 33:26\" data-start=\"00:33:21.045\" data-end=\"00:33:26.236\" data-spk=\"1\" data-label=\"Scot\">Wow that\u2019s crazy it\u2019s a lot of international shipments.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[33:26]<\/small>\u00a0<span title=\"33:26 - 33:37\" data-start=\"00:33:25.954\" data-end=\"00:33:37.077\" data-spk=\"0\" data-label=\"Jason\">Yeah yeah but it sounds like it\u2019s moving and then the speculation is you know she in in a lot of markets is a Marketplace and they are not a Marketplace in the US yet but a lot of people are speculating,\u00a0<\/span><span title=\"33:37 - 33:43\" data-start=\"00:33:37.161\" data-end=\"00:33:43.230\" data-spk=\"0\" data-label=\"Jason\">that they\u2019re going to launch a Marketplace this year and especially if you if you think there are bigger overall than eBay.<\/span><br \/><span title=\"33:44 - 33:53\" data-start=\"00:33:43.753\" data-end=\"00:33:53.241\" data-spk=\"0\" data-label=\"Jason\">You know they\u2019re the biggest apparels reseller in the u.s. online or offline like they\u2019re on a on a tear it\u2019s pretty interesting and\u00a0<\/span><span title=\"33:53 - 34:05\" data-start=\"00:33:53.200\" data-end=\"00:34:05.091\" data-spk=\"0\" data-label=\"Jason\">what covered on a different show but like their model about what I think is most interesting about Sheehan is there no Merchants they\u2019re literally getting their product ideas from tick-tock.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[34:05]<\/small>\u00a0<span title=\"34:05 - 34:15\" data-start=\"00:34:05.049\" data-end=\"00:34:15.198\" data-spk=\"1\" data-label=\"Scot\">Yeah yeah and having a Marketplace will be good will be another piece of data to feed into this kind of viral Crazy Fast fashion engine that they\u2019ve created.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[34:15]<\/small>\u00a0<span title=\"34:15 - 34:18\" data-start=\"00:34:14.940\" data-end=\"00:34:18.101\" data-spk=\"0\" data-label=\"Jason\">100% And it\u2019s interesting you know.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[34:18]<\/small>\u00a0<span title=\"34:18 - 34:21\" data-start=\"00:34:17.801\" data-end=\"00:34:20.781\" data-spk=\"1\" data-label=\"Scot\">Third party seller would be scary.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[34:18]<\/small>\u00a0<span title=\"34:18 - 34:31\" data-start=\"00:34:18.432\" data-end=\"00:34:30.762\" data-spk=\"0\" data-label=\"Jason\">Accused of doing that in a in a non-competitive way but and they may or may not be doing that but if they are doing it they\u2019re doing it with people like you know Sheehan is doing it with Skynet.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[34:30]<\/small>\u00a0<span title=\"34:30 - 34:37\" data-start=\"00:34:29.801\" data-end=\"00:34:37.222\" data-spk=\"1\" data-label=\"Scot\">Yeah cool any other news on the e-commerce front.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[34:37]<\/small>\u00a0<span title=\"34:37 - 34:46\" data-start=\"00:34:36.964\" data-end=\"00:34:46.145\" data-spk=\"0\" data-label=\"Jason\">Well so those are the big earnings I again there\u2019s you know we\u2019re going to see a bunch of the other big box retailers report over the next couple weeks so we\u2019ll put together a more complete picture of\u00a0<\/span><span title=\"34:46 - 34:56\" data-start=\"00:34:46.103\" data-end=\"00:34:55.585\" data-spk=\"0\" data-label=\"Jason\">of who the winners and losers were like it\u2019s mapping if you look at the US Department of Commerce data and you see the categories that won and lost.<\/span><br \/><span title=\"34:56 - 35:05\" data-start=\"00:34:55.832\" data-end=\"00:35:04.839\" data-spk=\"0\" data-label=\"Jason\">By shockingly and I would have gone these predictions wrong at the beginning of the pandemic but you know what category like was about the best specialty category to be in over the last three years it was Sporting Goods.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[35:05]<\/small>\u00a0<span title=\"35:05 - 35:07\" data-start=\"00:35:05.182\" data-end=\"00:35:07.345\" data-spk=\"1\" data-label=\"Scot\">Sporting Goods.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[35:07]<\/small>\u00a0<span title=\"35:07 - 35:18\" data-start=\"00:35:07.045\" data-end=\"00:35:18.119\" data-spk=\"0\" data-label=\"Jason\">Yeah which I would not have thought right and Dix\u2019s you know had a like Dick\u2019s Sporting Goods has had a particularly good run and in fact they bought Moose Jaw from from Walmart today.<\/span><br \/><span title=\"35:19 - 35:27\" data-start=\"00:35:18.751\" data-end=\"00:35:26.736\" data-spk=\"0\" data-label=\"Jason\">The and the worst category to be in in the last three years by far is consumer electronics and so,\u00a0<\/span><span title=\"35:27 - 35:36\" data-start=\"00:35:26.857\" data-end=\"00:35:35.636\" data-spk=\"0\" data-label=\"Jason\">spoiler alert Best Buy hasn\u2019t reported this quarter yet but all indications are that it\u2019s not going to be a Rosie.<\/span><br \/><span title=\"35:36 - 35:38\" data-start=\"00:35:36.033\" data-end=\"00:35:38.286\" data-spk=\"0\" data-label=\"Jason\">Quarter for Best Buy.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[35:38]<\/small>\u00a0<span title=\"35:38 - 35:53\" data-start=\"00:35:37.986\" data-end=\"00:35:52.906\" data-spk=\"1\" data-label=\"Scot\">You know saw Home Depot had theater announcer pre-warned that things were getting kind of soft and so they\u2019ve had a tremendous run since 2020 said some point people had to run out of money for upgrading their houses looks like we may be at a Tipping Point there too.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[35:53]<\/small>\u00a0<span title=\"35:53 - 36:04\" data-start=\"00:35:52.948\" data-end=\"00:36:04.275\" data-spk=\"0\" data-label=\"Jason\">Yeah and I would categorize them as kind of one of these middle ones they had a phenomenal first half of the pandemic and now it appears to be slowing down and I you know some of the furniture guys are in that same boat\u00a0<\/span><span title=\"36:04 - 36:10\" data-start=\"00:36:04.179\" data-end=\"00:36:09.918\" data-spk=\"0\" data-label=\"Jason\">and so that the you know it\u2019ll be interesting to see where they net out over the three years\u00a0<\/span><span title=\"36:10 - 36:19\" data-start=\"00:36:09.810\" data-end=\"00:36:18.835\" data-spk=\"0\" data-label=\"Jason\">like I think they\u2019re going to net out to have done better than average but not but not amazingly right and in the middle of the pandemic we were all saying like oh man these are.<\/span><br \/><span title=\"36:19 - 36:25\" data-start=\"00:36:19.154\" data-end=\"00:36:24.754\" data-spk=\"0\" data-label=\"Jason\">You know Home Depot might be the biggest winner of the pandemic because everybody redid their backyard.<\/span><br \/><span title=\"36:25 - 36:39\" data-start=\"00:36:24.995\" data-end=\"00:36:39.242\" data-spk=\"0\" data-label=\"Jason\">So the that\u2019s all the earnings stuff I had the other like kind of pool of interesting news that I\u2019m going to ask a lot about right now all centers around social commerce and what\u2019s interesting is,\u00a0<\/span><span title=\"36:39 - 36:47\" data-start=\"00:36:39.356\" data-end=\"00:36:47.444\" data-spk=\"0\" data-label=\"Jason\">there\u2019s like news and diametrically different directions so Tik-Tok which,\u00a0<\/span><span title=\"36:47 - 36:58\" data-start=\"00:36:47.469\" data-end=\"00:36:57.636\" data-spk=\"0\" data-label=\"Jason\">it\u2019s not the biggest social network but it\u2019s certainly the fastest growing social network and it\u2019s it\u2019s you know it has prodigious engagement at this point Tick-Tock launched\u00a0<\/span><span title=\"36:58 - 37:04\" data-start=\"00:36:57.528\" data-end=\"00:37:04.492\" data-spk=\"0\" data-label=\"Jason\">they\u2019ve had some native shopping before but they launched a native shops feature and\u00a0<\/span><span title=\"37:04 - 37:08\" data-start=\"00:37:04.438\" data-end=\"00:37:08.320\" data-spk=\"0\" data-label=\"Jason\">it I would characterize it as the most robust.<\/span><\/p>\n<p><small>[37:09]<\/small>\u00a0<span title=\"37:09 - 37:16\" data-start=\"00:37:08.801\" data-end=\"00:37:15.543\" data-spk=\"0\" data-label=\"Jason\">Feature set for shopping on a social platform that I\u2019ve seen yet so\u00a0<\/span><span title=\"37:16 - 37:25\" data-start=\"00:37:15.519\" data-end=\"00:37:25.337\" data-spk=\"0\" data-label=\"Jason\">stores can have their own shop they can aggregate their own catalog and it\u2019s everything is not just a buy now which is normally how social networks do it they have a\u00a0<\/span><span title=\"37:25 - 37:30\" data-start=\"00:37:25.290\" data-end=\"00:37:29.982\" data-spk=\"0\" data-label=\"Jason\">persistent cart and you you can add multiple items to a cart\u00a0<\/span><span title=\"37:30 - 37:39\" data-start=\"00:37:29.833\" data-end=\"00:37:38.732\" data-spk=\"0\" data-label=\"Jason\">um you can change all the attributes of those items which is often a problem with other native checkouts you can get a delivery forecast you get\u00a0<\/span><span title=\"37:39 - 37:47\" data-start=\"00:37:38.696\" data-end=\"00:37:47.451\" data-spk=\"0\" data-label=\"Jason\">tax calculate promo code you get all these things that like historically social networks Skip and then a feature I would have never expected,\u00a0<\/span><span title=\"37:47 - 37:53\" data-start=\"00:37:47.463\" data-end=\"00:37:53.153\" data-spk=\"0\" data-label=\"Jason\">it\u2019s a multi-vendor universal cart so you can actually buy from multiple Tik-Tok shops,\u00a0<\/span><span title=\"37:53 - 38:02\" data-start=\"00:37:53.154\" data-end=\"00:38:01.975\" data-spk=\"0\" data-label=\"Jason\">in a single transaction and they take PayPal and Apple pay so I would characterize that as a surprisingly robust,\u00a0<\/span><span title=\"38:02 - 38:06\" data-start=\"00:38:02.137\" data-end=\"00:38:05.790\" data-spk=\"0\" data-label=\"Jason\">native feature to get people buying on tick-tock,\u00a0<\/span><span title=\"38:06 - 38:20\" data-start=\"00:38:05.959\" data-end=\"00:38:19.930\" data-spk=\"0\" data-label=\"Jason\">and so if you just saw that news you\u2019d say oh that\u2019s the future is you know people are discovering stuff on Tik-Tok instead of in the Shelf in the aisle at a store and now they\u2019re just going to buy it right on Tick-Tock but in the the same month,\u00a0<\/span><span title=\"38:20 - 38:28\" data-start=\"00:38:20.032\" data-end=\"00:38:28.030\" data-spk=\"0\" data-label=\"Jason\">our friends at meta turned off their shopping tab on both Facebook and Instagram and said,\u00a0<\/span><span title=\"38:28 - 38:37\" data-start=\"00:38:28.199\" data-end=\"00:38:37.014\" data-spk=\"0\" data-label=\"Jason\">hey we tried it and we don\u2019t we don\u2019t think that\u2019s how people want to shop and then I guess one other.<\/span><\/p>\n<p><small>[38:37]<\/small>\u00a0<span title=\"38:37 - 38:39\" data-start=\"00:38:37.417\" data-end=\"00:38:38.822\" data-spk=\"0\" data-label=\"Jason\">Selfish piece of.<\/span><br \/><span title=\"38:39 - 38:49\" data-start=\"00:38:39.033\" data-end=\"00:38:49.110\" data-spk=\"0\" data-label=\"Jason\">Of content in this whole genre a lot of the hype in the u.s. when I get clients asking me about like the Buzzy thing in social commerce it\u2019s a live streaming Commerce\u00a0<\/span><span title=\"38:49 - 38:58\" data-start=\"00:38:48.984\" data-end=\"00:38:57.703\" data-spk=\"0\" data-label=\"Jason\">then there now 100 live streaming vendors I get pitches every single day from someone that like has reinvented shopping\u00a0<\/span><span title=\"38:58 - 39:04\" data-start=\"00:38:57.613\" data-end=\"00:39:03.910\" data-spk=\"0\" data-label=\"Jason\">and it\u2019s all this wise Freeman Commerce which is huge in China but has not.<\/span><\/p>\n<p><small>[39:04]<\/small>\u00a0<span title=\"39:04 - 39:17\" data-start=\"00:39:04.169\" data-end=\"00:39:16.806\" data-spk=\"0\" data-label=\"Jason\">Taking off in the US and so I got tired of repeating my same concerns so I wrote a Forbes article that got pretty popular you know talking about how I felt like live streaming Commerce in particular.<\/span><br \/><span title=\"39:17 - 39:28\" data-start=\"00:39:17.022\" data-end=\"00:39:27.922\" data-spk=\"0\" data-label=\"Jason\">Was wildly overhyped and it got a lot of them reactions some people violently disagree most of those were live streaming vendors and a lot of,\u00a0<\/span><span title=\"39:28 - 39:41\" data-start=\"00:39:28.085\" data-end=\"00:39:40.710\" data-spk=\"0\" data-label=\"Jason\">lives a lot of veterans in the space including like brands that sell abroad we\u2019re live streaming is big and in the u.s. like chimed in and said yeah what Jason saying is exactly what we\u2019re seeing.<\/span><br \/><span title=\"39:41 - 39:56\" data-start=\"00:39:40.957\" data-end=\"00:39:55.588\" data-spk=\"0\" data-label=\"Jason\">And what it boils down to is there\u2019s there some genres we\u2019re live-streaming makes a lot of sense and I think some of those are genres you shop in a lot like Collectibles and unique items and things like that but like if there\u2019s not huge product scarcity,\u00a0<\/span><span title=\"39:56 - 40:05\" data-start=\"00:39:55.775\" data-end=\"00:40:05.401\" data-spk=\"0\" data-label=\"Jason\">the other main reason people shop in livestreams is for deep discounts and so like you can almost replace the word live stream with flash sale.<\/span><br \/><span title=\"40:06 - 40:15\" data-start=\"00:40:05.630\" data-end=\"00:40:14.709\" data-spk=\"0\" data-label=\"Jason\">Um for kind of a similar kind of reach like all of this live stream in Commerce in China is and it\u2019s 40% off for the next 20 minutes.<\/span><br \/><span title=\"40:15 - 40:20\" data-start=\"00:40:14.968\" data-end=\"00:40:20.346\" data-spk=\"0\" data-label=\"Jason\">And so you know that those that kind of extreme deal-making like hasn\u2019t,\u00a0<\/span><span title=\"40:21 - 40:30\" data-start=\"00:40:20.514\" data-end=\"00:40:29.503\" data-spk=\"0\" data-label=\"Jason\">you know how to legs in the US and so it\u2019s not surprising that live-streaming hasn\u2019t taken off to the same level but I\u2019d be curious our view.<\/span><\/p>\n<p><small>[40:31]<\/small>\u00a0<span title=\"40:31 - 40:40\" data-start=\"00:40:30.561\" data-end=\"00:40:40.320\" data-spk=\"0\" data-label=\"Jason\">Like so when I could talk to clients it\u2019s an open question right now like what\u2019s the future of social commerce is it important is it not important and that is important like is it going to happen on,\u00a0<\/span><span title=\"40:40 - 40:49\" data-start=\"00:40:40.476\" data-end=\"00:40:49.267\" data-spk=\"0\" data-label=\"Jason\">the social platforms like Tik-Tok their native check out like does Target need to have their own Tick-Tock shop or.<\/span><br \/><span title=\"40:50 - 41:00\" data-start=\"00:40:49.622\" data-end=\"00:40:59.645\" data-spk=\"0\" data-label=\"Jason\">Is social a great tool for Discovery and there\u2019s lots of ways to connect that that social discovery with traditional e-commerce experiences and you know I.<\/span><br \/><span title=\"41:00 - 41:05\" data-start=\"00:41:00.234\" data-end=\"00:41:04.735\" data-spk=\"0\" data-label=\"Jason\">I don\u2019t think there\u2019s a clear answer yet in the US but it\u2019s a super interesting question.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[41:14]<\/small>\u00a0<span title=\"41:14 - 41:23\" data-start=\"00:41:14.404\" data-end=\"00:41:22.720\" data-spk=\"1\" data-label=\"Scot\">Then that\u2019s where it would be driven from like if the Kardashians you know had had some kind of a platform of some kind.<\/span><br \/><span title=\"41:23 - 41:37\" data-start=\"00:41:23.015\" data-end=\"00:41:36.607\" data-spk=\"1\" data-label=\"Scot\">They have a big enough audience they could direct that audience to the platform and do things it just doesn\u2019t really exist in an integrated fashion right you\u2019re in you can\u2019t really do it on Instagram because you don\u2019t have the check out and it just hasn\u2019t come together.<\/span><br \/><span title=\"41:38 - 41:46\" data-start=\"00:41:37.611\" data-end=\"00:41:45.686\" data-spk=\"1\" data-label=\"Scot\">Amazon can\u2019t do it it\u2019s like kind of complicated to bring the influence over there and they may not have liked the right thing the influencer wants to sell.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[41:46]<\/small>\u00a0<span title=\"41:46 - 41:59\" data-start=\"00:41:46.162\" data-end=\"00:41:58.504\" data-spk=\"0\" data-label=\"Jason\">Yeah and I do think it is a different story if you\u2019re if you\u2019re a mega influencer that has a huge audience and you have a relatively limited catalog right so Kylie Jenner is a perfect example like,\u00a0<\/span><span title=\"41:59 - 42:08\" data-start=\"00:41:58.582\" data-end=\"00:42:08.046\" data-spk=\"0\" data-label=\"Jason\">I think she could do a lot of business on Instagram and Tik-Tok but like that\u2019s a wildly different problem than a wholesaler that has.<\/span><br \/><span title=\"42:08 - 42:17\" data-start=\"00:42:08.473\" data-end=\"00:42:16.831\" data-spk=\"0\" data-label=\"Jason\">5 million 10 million 80 million skus in their catalog and what they should be doing on on social networks.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[42:17]<\/small>\u00a0<span title=\"42:17 - 42:27\" data-start=\"00:42:16.597\" data-end=\"00:42:26.776\" data-spk=\"1\" data-label=\"Scot\">I think it can work for it works for Collectibles because you have this kind of like high Affinity audience it works for beauty and apparel and I think that\u2019s kind of it.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[42:26]<\/small>\u00a0<span title=\"42:26 - 42:29\" data-start=\"00:42:26.488\" data-end=\"00:42:29.090\" data-spk=\"0\" data-label=\"Jason\">Yeah what I guess and you know.<\/span><br \/><span title=\"42:30 - 42:44\" data-start=\"00:42:29.823\" data-end=\"00:42:44.335\" data-spk=\"0\" data-label=\"Jason\">Fair enough for retailers to have broad Ambitions but if you look at China a lot of this like social commerce and e-commerce like a bunch of it happens on social networks like Dao Yuan which is Tick-Tock there and WeChat which.<\/span><br \/><span title=\"42:45 - 42:48\" data-start=\"00:42:44.996\" data-end=\"00:42:48.469\" data-spk=\"0\" data-label=\"Jason\">I guess Loosely similar to Twitter.<\/span><br \/><span title=\"42:49 - 43:03\" data-start=\"00:42:49.371\" data-end=\"00:43:02.518\" data-spk=\"0\" data-label=\"Jason\">But a lot of it does happen on platforms owned by the retailer right so towel live which is you know essentially a site owned by by you know the the Amazon of China.<\/span><br \/><span title=\"43:03 - 43:09\" data-start=\"00:43:03.408\" data-end=\"00:43:08.858\" data-spk=\"0\" data-label=\"Jason\">Is a big social platform where a lot of people go just to watch short-form videos and buy a lot of stuff.<\/span><br \/><span title=\"43:09 - 43:21\" data-start=\"00:43:09.183\" data-end=\"00:43:20.918\" data-spk=\"0\" data-label=\"Jason\">Um and so you know of course if you\u2019re a retailer that\u2019s what you\u2019d want like you don\u2019t want to be disintermediated by the social platform and have to pay a fee and not know who the customer is you you want the customer to come to you.<\/span><br \/><span title=\"43:21 - 43:22\" data-start=\"00:43:21.183\" data-end=\"00:43:21.789\" data-spk=\"0\" data-label=\"Jason\">But it.<\/span><\/p>\n<p><small>[43:23]<\/small>\u00a0<span title=\"43:23 - 43:35\" data-start=\"00:43:22.944\" data-end=\"00:43:35.118\" data-spk=\"0\" data-label=\"Jason\">It seems like recreating that model in the US would be super hard and the I would argue the retailer that stride the hardest to do it is Amazon and Amazon has all the features like they they have a.<\/span><br \/><span title=\"43:35 - 43:46\" data-start=\"00:43:35.400\" data-end=\"00:43:45.573\" data-spk=\"0\" data-label=\"Jason\">They had Amazon live for a while now they have Amazon Inspire and they have a lot of influencers creating unique short form video content with shoppable ads in it.<\/span><br \/><span title=\"43:46 - 43:52\" data-start=\"00:43:45.922\" data-end=\"00:43:51.522\" data-spk=\"0\" data-label=\"Jason\">On the Amazon platform but I would say the early indications are that.<\/span><br \/><span title=\"43:52 - 44:03\" data-start=\"00:43:51.721\" data-end=\"00:44:02.561\" data-spk=\"0\" data-label=\"Jason\">It\u2019s not organically working like you know it\u2019s not drying a bunch of people that just want to Doom stroll on Amazon instead of tick-tock and creators aren\u2019t going there because they\u2019re making a bunch of money,\u00a0<\/span><span title=\"44:03 - 44:11\" data-start=\"00:44:02.754\" data-end=\"00:44:11.166\" data-spk=\"0\" data-label=\"Jason\">in the normal economic model what what it seems like is happening is Amazon is paying like extra bounties to get creators to try the platform.<\/span><br \/><span title=\"44:11 - 44:25\" data-start=\"00:44:11.455\" data-end=\"00:44:25.149\" data-spk=\"0\" data-label=\"Jason\">And they the Creator goes to that platform as long as that Bounty exist but as soon as that Bounty expires and they fall into the normal economic model the Creator\u2019s returning to tick tock because they can make more money on Tick Tock than they can on on inspire.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[44:25]<\/small>\u00a0<span title=\"44:25 - 44:31\" data-start=\"00:44:24.849\" data-end=\"00:44:31.368\" data-spk=\"1\" data-label=\"Scot\">Yeah the whatnot platform is pretty fascinating because it has like\u00a0<\/span><span title=\"44:31 - 44:45\" data-start=\"00:44:31.273\" data-end=\"00:44:44.901\" data-spk=\"1\" data-label=\"Scot\">yes it\u2019s got a persistent store on one side of the screen and then you\u2019re watching the talent and then you know they can do they can sell things like a variety of different ways that can run an auction they can\u00a0<\/span><span title=\"44:45 - 44:54\" data-start=\"00:44:44.757\" data-end=\"00:44:53.969\" data-spk=\"1\" data-label=\"Scot\">they can do a limited almost like a QVC I\u2019ve got 10 of these and when they\u2019re gone they\u2019re gone and on the screen it does a countdown they can do a.<\/span><br \/><span title=\"44:54 - 45:06\" data-start=\"00:44:54.330\" data-end=\"00:45:05.909\" data-spk=\"1\" data-label=\"Scot\">Did you like a markdown I think you would probably call it a filene\u2019s basement kind of thing you know that wear it the longer it\u2019s there the more discount there is so it\u2019s kind of counterintuitive lie you\u2019re kind of like.<\/span><br \/><span title=\"45:07 - 45:09\" data-start=\"00:45:06.672\" data-end=\"00:45:09.340\" data-spk=\"1\" data-label=\"Scot\">You\u2019re kind of like waiting waiting and then you see it.<\/span><br \/><span title=\"45:10 - 45:18\" data-start=\"00:45:09.881\" data-end=\"00:45:18.269\" data-spk=\"1\" data-label=\"Scot\">Jumping yet game a discount chicken and then you know it\u2019s really fascinating how they you know they give the the.<\/span><br \/><span title=\"45:19 - 45:27\" data-start=\"00:45:18.696\" data-end=\"00:45:27.229\" data-spk=\"1\" data-label=\"Scot\">Seller who is largely you know an influencer of so many tools to sell and they\u2019re all integrated so once you have your\u00a0<\/span><span title=\"45:27 - 45:36\" data-start=\"00:45:27.121\" data-end=\"00:45:35.660\" data-spk=\"1\" data-label=\"Scot\">your payment information in there you know you get really sucked into the game and I think that\u2019s really what it\u2019s going to take like that\u2019s what you\u2019re missing on\u00a0<\/span><span title=\"45:36 - 45:47\" data-start=\"00:45:35.564\" data-end=\"00:45:46.999\" data-spk=\"1\" data-label=\"Scot\">you know any of these Tick-Tock may have it I haven\u2019t seen their platform but you know certainly Instagram or Facebook reels or YouTube they don\u2019t have that level of integration even the Amazon stuff I\u2019ve seen has been kind of.<\/span><br \/><span title=\"45:47 - 45:54\" data-start=\"00:45:47.372\" data-end=\"00:45:54.288\" data-spk=\"1\" data-label=\"Scot\">Not super Innovative from is like a Lincoln you know feels affiliate e it\u2019s not like an integrated into the video thing.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[45:55]<\/small>\u00a0<span title=\"45:55 - 45:58\" data-start=\"00:45:54.534\" data-end=\"00:45:57.965\" data-spk=\"0\" data-label=\"Jason\">Yeah no I hundred percent agree I think some of those\u00a0<\/span><span title=\"45:58 - 46:11\" data-start=\"00:45:57.851\" data-end=\"00:46:10.915\" data-spk=\"0\" data-label=\"Jason\">knit your experiences are a lot more interesting at the moment than any of the super mainstream ones but what not is certainly interesting to look at I do think like Network without any vowels in it is like interesting,\u00a0<\/span><span title=\"46:11 - 46:21\" data-start=\"00:46:10.993\" data-end=\"00:46:20.740\" data-spk=\"0\" data-label=\"Jason\">flavor of live shopping which seems like it works in some genres so yeah I think some of those the sites are interesting one thing I would point out about all of those is,\u00a0<\/span><span title=\"46:21 - 46:30\" data-start=\"00:46:20.752\" data-end=\"00:46:29.741\" data-spk=\"0\" data-label=\"Jason\">their definition of influencer is maybe a little different than like the traditional like when we say influencer I think a lot of people think of Mega influencers right in the think of these.<\/span><br \/><span title=\"46:30 - 46:34\" data-start=\"00:46:29.964\" data-end=\"00:46:33.893\" data-spk=\"0\" data-label=\"Jason\">These superstars with millions of followers but.<\/span><br \/><span title=\"46:34 - 46:45\" data-start=\"00:46:34.164\" data-end=\"00:46:45.214\" data-spk=\"0\" data-label=\"Jason\">Like on most of those these platforms that the influencer is someone with a much smaller following so it\u2019s much more of a long tail influencer or a micro influencer.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[46:46]<\/small>\u00a0<span title=\"46:46 - 46:48\" data-start=\"00:46:45.912\" data-end=\"00:46:48.309\" data-spk=\"1\" data-label=\"Scot\">Cool.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[46:49]<\/small>\u00a0<span title=\"46:49 - 46:57\" data-start=\"00:46:48.850\" data-end=\"00:46:56.932\" data-spk=\"0\" data-label=\"Jason\">Yeah so I feel like this is going to be an interesting space to follow throughout all of 2023 but I do think.<\/span><br \/><span title=\"46:57 - 47:08\" data-start=\"00:46:57.155\" data-end=\"00:47:08.259\" data-spk=\"0\" data-label=\"Jason\">It\u2019s going to be an interesting year in retail and 2023 because I think a lot of retailers are worried at least at the first half is not going to be robust and so you\u2019re seeing a lot of shift in investment on retailers from.<\/span><br \/><span title=\"47:09 - 47:14\" data-start=\"00:47:08.674\" data-end=\"00:47:14.304\" data-spk=\"0\" data-label=\"Jason\">Kind of like you know mega growth and customer acquisition activities to like.<\/span><br \/><span title=\"47:15 - 47:22\" data-start=\"00:47:14.533\" data-end=\"00:47:21.635\" data-spk=\"0\" data-label=\"Jason\">Operational efficiencies and improve our our profit and our short-term returns type activities.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[47:23]<\/small>\u00a0<span title=\"47:23 - 47:30\" data-start=\"00:47:22.639\" data-end=\"00:47:29.778\" data-spk=\"1\" data-label=\"Scot\">Yeah in the I guess used to continue to get pictures from the live stream guys are they on to you now.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[47:30]<\/small>\u00a0<span title=\"47:30 - 47:38\" data-start=\"00:47:30.229\" data-end=\"00:47:37.584\" data-spk=\"0\" data-label=\"Jason\">Yeah no so again you know you can totally pan them on in an article and you know the internet has a short memory so I still get.<\/span><br \/><span title=\"47:39 - 47:41\" data-start=\"00:47:39.062\" data-end=\"00:47:40.901\" data-spk=\"0\" data-label=\"Jason\">Get lots of pictures and you know.<\/span><br \/><span title=\"47:41 - 47:55\" data-start=\"00:47:41.322\" data-end=\"00:47:54.860\" data-spk=\"0\" data-label=\"Jason\">One of them will be amazing right so it\u2019s hard like you want to listen to all these pictures because someone will there\u2019s some entrepreneur out there that will have some amazing new idea and odds are like all get jaded and cynical and ignore him and miss it.<\/span><br \/><span title=\"47:55 - 48:05\" data-start=\"00:47:55.082\" data-end=\"00:48:05.472\" data-spk=\"0\" data-label=\"Jason\">But the signal noise ratio is pretty tough because you you will have to list you know listen to a lot of like you know poorly articulated pitches to get to that one good one.<\/span><br \/><span title=\"48:07 - 48:10\" data-start=\"00:48:06.974\" data-end=\"00:48:10.249\" data-spk=\"0\" data-label=\"Jason\">Sure I\u2019m sure you get that from an investment perspective all the time.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[48:10]<\/small>\u00a0<span title=\"48:10 - 48:20\" data-start=\"00:48:10.045\" data-end=\"00:48:20.126\" data-spk=\"1\" data-label=\"Scot\">I do yeah it\u2019s it\u2019s hard to pick the if I\u2019ve learned anything it\u2019s very humbling trying to pick winners and losers so I have given up on them.<\/span><br \/><span title=\"48:21 - 48:25\" data-start=\"00:48:20.965\" data-end=\"00:48:24.941\" data-spk=\"1\" data-label=\"Scot\">Everyone\u2019s a winner everyone gets a trophy Jason.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[48:25]<\/small>\u00a0<span title=\"48:25 - 48:27\" data-start=\"00:48:24.641\" data-end=\"00:48:26.780\" data-spk=\"0\" data-label=\"Jason\">I love it participation that\u2019s the modern.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[48:26]<\/small>\u00a0<span title=\"48:26 - 48:29\" data-start=\"00:48:26.480\" data-end=\"00:48:29.268\" data-spk=\"1\" data-label=\"Scot\">Yeah yeah.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[48:38]<\/small>\u00a0<span title=\"48:38 - 48:47\" data-start=\"00:48:37.843\" data-end=\"00:48:47.457\" data-spk=\"0\" data-label=\"Jason\">And I feel like it\u2019s both overhyped and legitimate at the same time is all this generative Ai and its use cases,\u00a0<\/span><span title=\"48:48 - 48:56\" data-start=\"00:48:47.614\" data-end=\"00:48:56.122\" data-spk=\"0\" data-label=\"Jason\">in Commerce right you know so obviously the most Buzzy one of the moment is chat gbt but GPT Beth.<\/span><br \/><span title=\"48:57 - 49:10\" data-start=\"00:48:56.735\" data-end=\"00:49:09.913\" data-spk=\"0\" data-label=\"Jason\">There\u2019s actually a lot of super interesting tools that are that retailers are starting to legitimately used to get more operationally efficient and I think that might be an interesting topic for a deep dive of Europe for.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[49:10]<\/small>\u00a0<span title=\"49:10 - 49:20\" data-start=\"00:49:10.310\" data-end=\"00:49:19.960\" data-spk=\"1\" data-label=\"Scot\">Yeah yeah guilty pleasure confession I am addicted to mid-journey I love playing with the generative visual a is that there are a lot of fun.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[49:20]<\/small>\u00a0<span title=\"49:20 - 49:26\" data-start=\"00:49:20.309\" data-end=\"00:49:26.228\" data-spk=\"0\" data-label=\"Jason\">Yeah I think they are super interesting and I will tease the Deep dive.<\/span><br \/><span title=\"49:27 - 49:38\" data-start=\"00:49:26.607\" data-end=\"00:49:38.408\" data-spk=\"0\" data-label=\"Jason\">So the interesting thing about the she and apparel model is they identify a trend and they have a fast turn Factory that can make literally like a first run of that apparel item in a day.<\/span><br \/><span title=\"49:39 - 49:50\" data-start=\"00:49:38.649\" data-end=\"00:49:50.414\" data-spk=\"0\" data-label=\"Jason\">So a day after they see a trend on Tick Tock they\u2019ve got 100 up for sale and if those hundreds L then they make 10,000 right and so it\u2019s this like super fast iteration.<\/span><br \/><span title=\"49:51 - 50:00\" data-start=\"00:49:51.045\" data-end=\"00:50:00.299\" data-spk=\"0\" data-label=\"Jason\">You know you\u2019re not trying to show for she and because there\u2019s a lot of challenges with the model to but that I have heard that she and launches about 10,000 skus a day.<\/span><br \/><span title=\"50:01 - 50:14\" data-start=\"00:50:00.612\" data-end=\"00:50:14.060\" data-spk=\"0\" data-label=\"Jason\">So a day to put that in perspective fast fashion like H&amp;M launched 20,000 skews a year and slow fashion like the Gap launch for thousands of years a year so 10,000 a day is.<\/span><br \/><span title=\"50:14 - 50:19\" data-start=\"00:50:14.319\" data-end=\"00:50:19.276\" data-spk=\"0\" data-label=\"Jason\">Is game changing but it\u2019s super hard to do and so.<\/span><br \/><span title=\"50:19 - 50:25\" data-start=\"00:50:19.486\" data-end=\"00:50:24.822\" data-spk=\"0\" data-label=\"Jason\">You know what super interesting about the generative AI for images is.<\/span><br \/><span title=\"50:25 - 50:30\" data-start=\"00:50:25.369\" data-end=\"00:50:30.224\" data-spk=\"0\" data-label=\"Jason\">If you\u2019re really just doing a one-day test to see if there\u2019s demand for some new apparel like.<\/span><br \/><span title=\"50:31 - 50:42\" data-start=\"00:50:30.669\" data-end=\"00:50:41.605\" data-spk=\"0\" data-label=\"Jason\">You can generate amazing images of apparel Styles without making the apparel you can put it up on an e-commerce site you can collect a pre-order and then you can make it tomorrow if it gets the enough demand.<\/span><\/p>\n<p><small>[50:43]<\/small>\u00a0<span title=\"50:43 - 50:55\" data-start=\"00:50:43.150\" data-end=\"00:50:55.078\" data-spk=\"0\" data-label=\"Jason\">And so you\u2019re starting to see people like skip the photography all together and use generative AI to do concept testing and for sure if you\u2019re on a parasite in your shopping for.<\/span><br \/><span title=\"50:55 - 51:03\" data-start=\"00:50:55.288\" data-end=\"00:51:03.400\" data-spk=\"0\" data-label=\"Jason\">An outfit that\u2019s coming from multiple vendors you can use the generative image AI image generation.<\/span><br \/><span title=\"51:04 - 51:10\" data-start=\"00:51:03.893\" data-end=\"00:51:09.602\" data-spk=\"0\" data-label=\"Jason\">Render all three of those apparel items from different providers on the same mannequin or increasingly,\u00a0<\/span><span title=\"51:10 - 51:23\" data-start=\"00:51:09.746\" data-end=\"00:51:22.593\" data-spk=\"0\" data-label=\"Jason\">on a virtual Avatar of the Shopper right so it Walmart you can see all that apparel like on your own body which no apparel looks better on my body than it does on the mannequin so in my case it doesn\u2019t work but.<\/span><br \/><span title=\"51:23 - 51:25\" data-start=\"00:51:22.984\" data-end=\"00:51:24.558\" data-spk=\"0\" data-label=\"Jason\">I can see the appeal for others.<\/span><\/p>\n<p><b data-spk=\"1\">Scot:<\/b><br \/><small>[51:25]<\/small>\u00a0<span title=\"51:25 - 51:30\" data-start=\"00:51:24.967\" data-end=\"00:51:30.471\" data-spk=\"1\" data-label=\"Scot\">Yeah it\u2019s a good inventory turns to not make something and then sell it.<\/span><\/p>\n<p><b data-spk=\"0\">Jason:<\/b><br \/><small>[51:30]<\/small>\u00a0<span title=\"51:30 - 51:35\" data-start=\"00:51:30.171\" data-end=\"00:51:35.212\" data-spk=\"0\" data-label=\"Jason\">Yes exactly it\u2019s like moving One Step close yeah so,\u00a0<\/span><span title=\"51:35 - 51:50\" data-start=\"00:51:35.339\" data-end=\"00:51:49.550\" data-spk=\"0\" data-label=\"Jason\">and in the apparel where they make a lot of that clothes and can never sell it and then it goes into the landfill like you know it helps with the Ecology of the industry so so super interesting stuff the progress is happening super fast so it\u2019s exciting,\u00a0<\/span><span title=\"51:50 - 51:58\" data-start=\"00:51:49.695\" data-end=\"00:51:57.512\" data-spk=\"0\" data-label=\"Jason\">but Scott that\u2019s probably a good place to leave it for today because once again we\u2019ve used up our allotted time\u00a0<\/span><span title=\"51:57 - 52:07\" data-start=\"00:51:57.464\" data-end=\"00:52:06.826\" data-spk=\"0\" data-label=\"Jason\">as always if this show is helpful we sure would love it if you jump on iTunes and give us that five star review and you know get ready to say hi to me at a couple of these upcoming shows.<\/span><\/p>\n<p><small>[52:18]<\/small>\u00a0<span title=\"52:18 - 52:20\" data-start=\"00:52:18.358\" data-end=\"00:52:19.968\" data-spk=\"0\" data-label=\"Jason\">Happy Commercing.<\/span><\/p>\n<\/div>\n<p><p><a href=\"https:\/\/dmsretail.com\/online-workshops-list\/\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-496\" src=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png\" alt=\"Retail Online Training\" width=\"729\" height=\"91\" srcset=\"https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90.png 729w, https:\/\/dmsretail.com\/RetailNews\/wp-content\/uploads\/2022\/05\/RETAIL-ONLINE-TRAINING-728-X-90-300x37.png 300w\" sizes=\"auto, (max-width: 729px) 100vw, 729px\" \/><\/a><\/p><br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A weekly podcast with the latest e-commerce news and events. Episode 303 is an recap of Amazon and Walmart\u2019s Q4 earning reports, USDC Q4 E-commerce [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1121,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[],"class_list":["post-8755","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-podcasts"],"_links":{"self":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/posts\/8755","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/comments?post=8755"}],"version-history":[{"count":0,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/posts\/8755\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/media\/1121"}],"wp:attachment":[{"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/media?parent=8755"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/categories?post=8755"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dmsretail.com\/RetailNews\/wp-json\/wp\/v2\/tags?post=8755"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}