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Patricia M. Johnson & Richard F. Outcalt
Retail Strategists and Retail Turnaround Experts
Co-Founders, The Retail Owners Institute® • Business Strata:G®
The fanfare surrounding Artificial Intelligence can be reminiscent of breathless advertisements for do-everything kitchen gadgets: "But wait! There's more!!"
Amidst all that, we were intrigued to read about Scott Tannen*, the CEO and co-founder of the luxury bedding and home brand Boll & Branch. The company launched in 2014 as an online-only direct-to-consumer brand.
"When we first started the business, I don't think we ever envisioned having any physical stores whatsoever," said Tannen. Then, in 2018, they opened their first permanent store. "We saw this massive performance change in the business, because customers could touch and feel the products," Tannen discovered.
So Boll & Branch added more stores, and recently has turbo-charged their brick-and-mortar strategy. In just the past year, they have grown from 8 stores to 15.
But here’s what captivated us: how they decide on store locations.
They use Zillow.
Yes, Zillow. Tannen spends time examining the residential housing markets in prospective store locations.
Why? They're looking beyond household income.
Yes, their best customers have high incomes. More important, they have homes with lots of bedrooms.
“Even if they have more money in New York City, they’ve got more bedrooms in areas that have homes,” Tannen said. “So when we get to a slightly more suburban area, the customer that becomes a believer—their potential lifetime value increases exponentially.”
“If you look across our store mix, you’re going to start seeing a trend. We are in Birmingham, Alabama—very large houses relative to their market size. We’re not in downtown Chicago; we’re out in the western suburbs.”
Tannen admits that he spends a lot of time on Zillow to scout out new store locations. “Zillow is my favorite sport, actually.” Seems like he has not handed that off to AI.
Let’s be clear; AI is not to be dismissed. In fact, it no doubt powers Zillow!
But the savvy and judgment of an owner is not to be dismissed, either.
We find it rather inspiring.
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*"Why Boll & Branch’s Scott Tannen obsesses over Zillow to choose store locations." Andrew Adam Newman, Retail Brew, November 3, 2025
We have been too. The latest reported results are for August 2025.
Here is the statement from “An official website of the United States government”:
The U.S. Census Bureau is updating its economic indicator release calendar in coordination with other agencies and the Office of Management and Budget to address the impacts of the recent lapse in federal funding. We will provide the updated release schedule as soon as it becomes available.
It’s not just the shutdown that is causing the delay. It is the “lapse in federal funding.” No indication of if/when that funding will be restored.
Here’s another truism:
What’s the best way to increase sales and profits?
Sell more to your “best” types of customers!
And today, it is not enough to have profitable products. Instead, we must find—and nurture—our most profitable customers.
The eighty/twenty rule of thumb is no doubt at work in your store: eighty percent of the volume is generated by twenty percent of the customers. (Of course, these percentages are not exact, but you see the point.)
The more you know about that “twenty percent,” the better you will become at focusing your entire operation—buying, displays, advertising, special events, etc.—on your “Best Customer” and her preferences.
Your POS system may tell you "What's selling?"
Your Customer Relationship Program may tell you "Who's buying?"
And now, The ROI has developed a 3-step process you can readily use in your own stores– free! – to answer the essential question: "Who's buying what's selling?"
The goal here is to identify the general, overall characteristics of your Best Customer. Once you know these characteristics, you can seek out more like them. Think of it as cloning your Best Customer!
Schedule a free Zoom session with the Co-Founders.
RetailOwner.com
Avoid mistakes • Seize opportunities • Look ahead now
The Retail Brew newsletter posted their "roundup of the highest profile holiday forecasts." Their summation? "Experts predict cautious consumers will slow their roll in 2025." *
They cited forecasts from Adobe Analytics, the Mastercard Economics Institute (MEI), Bain & Company, PricewaterhouseCoopers, and Deloitte. They explain how each of these sources gathers their data, what each source concludes - their Data Points – and their Insights.
Retail Brew's conclusion: "A rough consensus is forming among experts that the 2025 holiday season could be a letdown compared to last year."
As you are the in-house expert on your business, that's undoubtedly not news to you. But it may confirm and quantify that dark cloud hovering on the horizon.
Take advantage of the lead time you have – that is, this last week in October - and identify "What are my options for November and December?"
Overcome the uncertainty of this holiday season, and, applying your good judgment, begin 2026 from a greater position of strength. Whether you choose The ROI’s PROFITS Forecaster or 3-in-1 Calculator, become a Member of The ROI and you can look ahead not just to November and December, but to the next 12 months. Empowering!
No need to guess! In real time, on the spot, you can see and compare the impacts on profits and cash flow of your "What if's...?" Just tweak the inputs, then see the outcomes. Immediately!
Hmm. Don't like how that would turn out? Try some “What if…?” changes. All on your own. Remember your goal: "What are my options?"
Some may not work at all.
Others may be workable, but not make much difference financially.
And some that have previously been dismissed out of hand may actually "pencil out."
Now, armed with those insights, apply your good judgment!
As a Member of The ROI, you can chart the path forward through the holiday season and into 2026 with confidence – and peace of mind.
*"Experts predict cautious consumers will slow their roll in 2025." Alex Vocolo, Retail Brew, October 17, 2025.
Especially during times of major changes economically, retailers are well advised to:
focus on your customers
control the "controllables"
and above all else, keep perspective!
Ahh, yes, retailers. That third one - "keep perspective" - can seem daunting. What's the secret to achieving that?
In today's lingo, it would be "metrics". That is, measure and monitor your tactics and results.
For an insightful overview of a 4-step process that enables you to know whether your business is trending up, down, or sideways, take advantage of this week's Webinar of the Week, led by Pat Johnson and Dick Outcalt, Co-Founders of The Retail Owners Institute®.
You also can download your own master copy of The ROI's Trend Tracker form.
Sell My Store, Please! • Banks4Retailers
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