PROFILE

David Naumann

Vice President of Marketing, BRP
David has more than 20 years of experience marketing to retail and hospitality companies. His broad marketing experience is focused on designing and executing successful strategic marketing plans, demand generation, public relations and branding through customer-centric messaging. He has significant experience marketing retail technology and services at Retek (acquired by Oracle), Fujitsu, ParTech and BRP Consulting. To learn more, visit: brpconsulting.com
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  • Posted on: 04/24/2019

    Will Foot Locker’s NYC Power Store play ball with Nike?

    Foot Locker is experimenting with new concepts to make the brand relevant. Selling commodity products (shoes from multiple brands available at many other stores) is a difficult retail segment and differentiating your brand from the sea of competitors is the key to success. Selling in malls makes differentiation even more difficult as you are in a sea of sameness. The Foot Locker concept store in NYC should resonate with sneakerheads and help elevate the brand image of Foot Locker. In addition to new store concepts, Foot Locker is experimenting with many other ways to be unique and increase awareness. Foot Locker’s “The Hunt” AR scavenger hunt inspired smartphone-toting sneakerheads to venture across Los Angeles to unlock geo-targeted AR clues throughout the city earning the chance to be among the first to acquire new limited-edition LeBron 16 King “Court Purple” sneakers. In February, Foot Locker made a $100 million strategic investment in GOAT Group, which operates secondary sneaker market brands GOAT and Flight Club. In a commodity business, retailers need to be creative and create unique customer experiences to survive.
  • Posted on: 04/23/2019

    Are secondhand sales the right branding move for Neiman Marcus?

    Secondhand or "pre-loved" luxury merchandise is joining the mainstream trend of consumers that are passionate about sustainability and recycling. Buying used merchandise and clothing doesn’t have the stigma it had in the past when people were embarrassed to admit they purchased an item at a secondhand store. Now even some very affluent consumers are comfortable and proud to purchase previously-owned items. Partnering with luxury resellers enables Neiman Marcus customers to enjoy the benefits of luxury goods at a fraction of the full price and it is a great way for aspiring consumers to obtain luxury goods they normally couldn’t afford. Partnering with resellers enables luxury retailers to participate in the secondhand market opportunity without setting up completely new processes for obtaining used merchandise, inspecting it, and managing the inventory and promotion of the items. It allows them to offer used merchandise options immediately with minimal start-up costs.
  • Posted on: 04/22/2019

    Why is Petco doubling down on same-day delivery with Shipt and Instacart?

    Same-day delivery is becoming a common customer expectation and solving the last mile of delivery is difficult to master for most retailers. Partnering with third-party delivery services is the logical choice for retailers. The same-day delivery demand for Petco and other pet stores will increase as more stores offer it and it will become table stakes. For heavy items like cat litter and dog food for large dogs, home delivery is a huge benefit, as most people dread lifting those items or can't lift them. Smart move Petco!
  • Posted on: 04/18/2019

    Will America’s love for paper coupons ever die?

    There is still a large number of people that enjoy the satisfaction of clipping coupons and seeing how much they save when they shop. It is like a game for some people. What surprised me was the increase in the percentage of people that prefer to get coupons in the mail. Personally, I would prefer to get whatever discounts that are available to be automatically applied to my order based on my loyalty status. Making customers jump through hoops (clip coupons) segments customers into groups: those that are cost conscious fanatics and those that are too busy or don't care about saving an extra $0.50 or $1.00 for a few items.
  • Posted on: 04/17/2019

    Why didn’t BJ’s wellness program produce healthier results?

    Whether wellness programs are "profitable" investments is not the only measure of success. It may be difficult to ever measure the true outcomes of wellness programs. However, it is still a good thing for companies to do to instill better eating and exercise habits for their employees. While it is difficult to dramatically change people's habits, anything a company can do to improve education and encourage health changes is a good thing. In the long run, it can only help make employees healthier and happier.
  • Posted on: 04/16/2019

    Will Walmart’s KIDBOX help kids look good and do good at the same time?

    KIDBOX is a great way for Walmart to benefit from the subscription service craze that is one of the hottest trends in retail. It is a convenient way for parents to shop for their kids without bringing them to the store and it is especially great for people that live in rural areas that are not close by a Walmart. Some other subscription categories that are logical next steps for Walmart include toys, cosmetics, meal kits, pet products, candy and other specialty foods.
  • Posted on: 04/15/2019

    Can Walmart beat Amazon, Facebook and Google at the online ad game?

    Expanding its online ad revenues is a logical move for Walmart. However, they have a long and challenging road ahead to be a worthy competitor of Google, Facebook and Amazon. Google is the toughest player to beat, as they are the online ad king. They have most extensive experience and loyal customers. However, you can't underestimate the power of Walmart and Amazon.
  • Posted on: 04/12/2019

    Should retailers worry that secondhand apparel is flooding the market?

    There is no denying that consumers are become more open to secondhand clothing as an alternative to full-priced new merchandise. This is evidenced by stores like REI (used gear), Patagonia (worn wear) and Rent the Runway that are focused on appealing to the growing demand for secondhand merchandise and, in some cases, appealing to consumers' support for brands that encourage and embrace sustainability practices. The best way to compete with secondhand and thrift stores is to join them. If retailers feel threatened by secondhand stores, they should consider testing their own secondhand stores, following the model that Patagonia pioneered.
  • Posted on: 04/11/2019

    Amazon Go doesn’t want to leave cash on the table

    For locations that require retailers to accept cash, Amazon can figure out a way to do it. However, it will be an option that is available only in the markets that dictate it. It will be tricky for Amazon to do, as it is more than accepting cash, if you assume that the bank-less consumers also don't have a smart phone. Entrance to Amazon Go today is dependent on an app on the consumer's smart phone. If it gets too cumbersome to accommodate cashless customers, Amazon may choose not to open their Go stores in those markets.
  • Posted on: 04/10/2019

    Will retailers see more rewards from multi-banner loyalty programs?

    From a consumer's perspective, there are only positives with combining multiple banners into a unified rewards program. Hotels and airlines have been doing this for years and, as a consumer, I expect it and when multiple banner brands don't have a unified program I am disappointed. While there are some complexities for brands to maintain a unified rewards program, it goes a long way in increasing loyalty across a brand's multiple banners.
  • Posted on: 04/08/2019

    Retailers still haven’t solved last mile challenges for fresh foods

    The last mile for home delivery of fresh foods is, and will continue to be, the biggest challenge for customers satisfaction and retail profitability. Consumers are not willing to pay what it costs for home delivery, as most consumers expect everything for free. Home delivery is complex and costly and many retailers are experimenting with several options to find the right method (employees, third party services and crowd-sourcing). While keeping the delivery in-house helps ensure quality control, it is often more expensive to maintain. Retailers lose control and have to hope for the best with third-party services, but it may be the most economical choice.
  • Posted on: 04/05/2019

    Will Amazon, CVS or Walgreens win the speedy Rx delivery race?

    It is amazing what the Amazon has done to consumers' expectations. Consumers now expect to shop, buy and receive products without leaving the comfort of their home or phone. Personally, because I am frugal, I don't want to spend an extra $5 to $8 for same day delivery, unless I am in a physical crisis that prevents me from leaving my home. For replenishing current prescriptions, there are many free shipping options for filling orders. I don't think there will be one "winner" in the prescription fulfillment category and all the major players will get a piece of the pie.
  • Posted on: 04/03/2019

    Okay Google, how can you help grow Walmart’s online grocery business?

    There is no doubt that voice ordering is a growing trend, but it is still in its infancy. Consumers are becoming more comfortable with using smart speakers for music, seeking answers to questions and controlling home systems. In fact, we are building a home and most home builders are including smart speakers in the price of the home and integrating them with the temperature, lighting and security controls of the home. While smart speakers are still a small share of product ordering today, it is smart for Walmart to refine this technology and be available for early adopters of this technology.
  • Posted on: 04/02/2019

    Will IKEA become the world’s largest furniture rental outlet?

    At the low price point and furniture that isn't "built to last," it seems like it isn't designed for a rental model. For people that know they will only need the furniture for a fixed period of time (e.g., college furniture, housing that is for a temporary relocation, etc.) it may make sense, as it will avoid having to move or sell the furniture after it isn't needed anymore. Maybe this is a bigger opportunity than I think. The other issue is re-renting or reselling furniture that isn't as durable as other brands. It will be interesting to see how this test goes.
  • Posted on: 04/01/2019

    Are third parties the biggest reason delivery costs keep going up?

    The last mile of delivery is a big challenge for retailers and, as others have noted, retailers have notoriously under-charged for home delivery because consumers' expectations have become unrealistic. Free delivery isn't a viable model, as nothing is free! Free in-store or locker pick-up is a better long-term pricing model. Eventually, retailers may have more of a tiered delivery/pick-up pricing model that is more representative of the true costs. While pick-up lockers are still relatively new, they may be the answer - just like in the olden days when people would go the the post office to pick up their mail. It will be interesting to see how fulfillment/delivery/pickup will change in the next few years. BTW, I don't think the answer will be drones or driverless cars or robots - at least not in the next five years.

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