PERSPECTIVES

As you have recognized, our commentary is usually inspired by current events. And that means that our intentions of what we discuss can change any day.  

For instance, we were expecting to talk about 3 or 4 examples of folks "seizing the moment" that we had seen earlier this week. Great reminder for retailers.

Then, just this morning, we saw an article about a nationwide Gallup study of what constitutes a "quality job - such as providing fair pay, having predictable schedules, and offering opportunities to grow and advance."

• "Traditional labor statistics track how many people are employed and what they earn—but they don't capture the aspects of work that drive employee and business success." 

• The Gallup American Job Quality Study* surveyed more than 18,000 workers across industries, geographies, and job types.

"Retailers are sitting on a pile of goods. Now the question is, will the U.S. holiday shopper bite?" reported Jennifer Williams in the Wall Street Journal. 

• "The risk heading into the crucial holiday shopping season is that inflation-wary shoppers won't spend as much or will buy fewer items because prices are higher," she noted.

Similarly, Michael Brandt of Inovium expects "weakening growth in discretionary retail (electronics, fashion, home furnishings.)"

• "Consumers may pull back on big-ticket items, delay refresh cycles, or trade down in brands."

Shoppers Are Not Ghosting This. 

And Neither Should You!

When you’re running a store, your days are already packed with ringing sales, juggling vendors, calming staff, and keeping the lights on. 

That’s why so many independent retailers have been slow to jump on past waves of technology — e-commerce platforms, fancy POS systems, or social media dashboards. The tools were costly, fiddly, and frankly, not built for stores like yours.

But here comes AI. Might this wave be different?

• It’s accessible. No IT department needed; a curious owner can try it on their laptop tonight.

• It’s fast. From drafting an email to analyzing last month’s numbers, AI can take the drudgery out of tasks that bog you down.

• It’s (relatively) cheap. Many AI tools cost less per month than a case of shopping bags.

Think about the prominent characteristics of today's in-store shopping experience:

• More "self-service" for the customers (that is, less staff on the floor.)

• Reduced in-store merchandise selection; "Just check our website."

• Limited in-store knowledgeable staff.

• Presumption that the shopper will do product research on their own.

• And of course, self check-out by the customer.

Hmm. Are these providing more "convenience" for shoppers? Improving their shopping experience? Or – just shifting the work to them?!

For retailers, pricing is never an easy task. Finding the sweet spot between growing sales and maintaining margins – while astutely managing turns and cash flow – is not a no brainer. 

Then there is today's environment. Consider these recent headlines:

• Tariffs have changed summer and holiday shopping in the US.
  Almost 40% of surveyed consumers spent less on Amazon Prime Day than in years past. 
  — Retail Brew, July 24, 2025. 

• After Pledging to Keep Prices Low, Amazon Hiked Them on Hundreds of Essentials. 
  Analysis found increases on 1,200 low-cost goods, while competitors such as Walmart made them cheaper
  —Wall Street Journal, July 20, 2025. 

So, shoppers are trying to spend less. But prices are creeping up, no matter what. 

The big problem, of course, is how the shoppers are dealing with all this. More uncertainty is NOT what they want or need. 

You can’t open a business magazine—or your inbox—without seeing breathless headlines about AI. “Retail is being revolutionized!” “Predict your customer’s every move!” “Automate everything!”

Tempting? Sure. But here’s a gentle reminder:

Your biggest risks—and your biggest opportunities—are still right there on your shelves, in your reports, and on your balance sheet.

What Is “Value” For Your Customers? Really?!