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: 10/17/2018

    Should ‘best by’ dates expire?

    It is unfortunately that we can't rely on "good judgement" by consumers. For non-perishable foods, I think it is still prudent to have a date on the package that estimates when the product is best for eating, as most foods will deteriorate over time even in sealed packages. I would avoid putting "sell by" on any package, as that is only for the retailer and it will confuse consumers. A sell by date could be printed in more discrete/coded format. As for the best terminology for consumers, I think all of the suggested phrases are clear to me.
  • Posted on: 10/16/2018

    Does anyone pay the full retail price anymore?

    Retailers have trained us well. Almost anything can be found at a discount if you shop around, with the exception of premium brands like Apple, just released auto models that are in limited supply and several luxury brands. Some retailers have taken this to the extreme where virtually every product is sold below list price. With the expectation of discounts ingrained in our brains, retailers have no choice but to perpetuate the discount pricing model to attract and retain customers. It was a slippery slope that almost all retailers slid down several years ago and there is no climbing back to the top of the slide.
  • Posted on: 10/15/2018

    Will J.C. Penney’s new private brand connect with Instagram-savvy moms?

    Instagram is a great social media platform to drive inspiration and awareness for fashion brands. However, as Ricardo pointed out, this strategy to appeal to moms (most likely Millennials) is a contradiction to a recent announcement from Penney that they were no longer focusing on the Millennials segment. According to its recent interview with the Wall Street Journal, "In an apparent past-is-prologue moment, Penney is once again refocusing its attention on winning back the female Baby Boomer shoppers it has lost." Penney needs focus and a winning strategy that is attainable, given its current brand image and core customers. While expanding beyond their current market is possible, they need to have realistic expectations. Good luck Jill Soltau!
  • Posted on: 10/11/2018

    Is disruption coming to the alcohol beverage business?

    While I don't think there are good reasons to make the three-tier distribution system mandatory, it will likely persist for quite some time. Things don't change fast in D.C. Eventually, it may not be a requirement and when that happens, there will still be a role for distributors, but it will change dramatically. Large alcohol suppliers will opt to distribute their products with their own resources, but many mid-sized and small suppliers won't have the scale to distribute their products without the help of a distributor.
  • Posted on: 10/09/2018

    Gap sends its Visa cardholders to Amazon and Target

    I read this several times to figure out if there was something I was missing, but I still don't understand how this makes sense for Gap. Driving its customers to brands that sell similar products is driving customers to your competitors! I am sure they are going to create quite a stir with this strategy, especially with the investment community. Maybe this was a typo on a Gap marketing promotions campaign. When I reviewed all of the documentation about the Gap Visa card benefits and terms of the agreement, it doesn't say anything about Target or Amazon. If it is a marketing mistake, it would be a mistake that causes someone to lose their job.
  • Posted on: 10/08/2018

    Will a new private label keep Target’s customers out of Aldi and Dollar General?

    Target has been extremely successful with its private label brands and the addition of the low-price Smartly brand is in response to dollar stores and highly discounter retailers like Aldi taking market share from Target on low-priced, high usage product categories. If the prices for Smartly products are as low as the article states, they will successfully protect Target's market share on these product categories. The challenge for Target is to clearly differentiate the brand position relative to the Up & brand and premium brands. The risk is that it will cannibalize sales of the Up & Up brand.
  • Posted on: 10/05/2018

    There may be benefits to adding uncertainty to rewards programs

    I am not sure retailers should correlate the findings from the running club in Hong Kong with what would motivate consumers to spend more. Many consumers, including myself, are not motivated by loyalty programs that are unclear or uncertain on the rewards structure. For example, one retail loyalty program I am a member of doesn't publish the reward structure and I asked a store associate once, "I have never received a reward, what do I need to spend to get a reward?" The associate said "I don't know, but you might get a reward sometime." This made me frustrated and it didn't make me want to shop there. On the flip side, when I know I am close to reaching a threshold in a loyalty program, I will consciously spend more to receive the reward. While uncertainty works well for subscription-based product programs, which has the thrill of the surprise, I am not convinced it is effective for retail loyalty programs.
  • Posted on: 10/04/2018

    Can a new CEO revitalize J.C. Penney’s business?

    J.C. Penney has no shortage of challenges: declining sales, too many stores, heavy debt, aging customers and a less than stellar brand reputation. I am sure one of the first and most important steps Jill Soltau will focus on is defining J.C. Penney's future brand promise. It seems like in the past 10 years, Penney's had tried to reinvent themselves by trying to appeal to younger generations and experimenting with different pricing strategies. However, most of these attempts have not turned out very well. I wish Jill Soltau the best of luck, as this is an extremely difficult challenge for J.C. Penney.
  • Posted on: 10/03/2018

    Trader Joe’s success is a matter of values

    In my opinion, the value that stands out the most is the "wow customer service." While we love their product selection and look forward to perusing the next Fearless Flyer, what make us look forward to shopping frequently at Trader Joe's is the warm feeling you get with every interaction with store associates. Every employee is helpful and personable and they almost feel like family. We feel good about spending our grocery dollars at Trader Joe's. Not a lot of grocery chains have been as successful as Trader Joe's in curating a cult-like following, but another one that stands out is Wegmans.
  • Posted on: 10/02/2018

    Can a new store concept jumpstart a turnaround for H&M?

    There is a reason that H&M experienced a $4.3 billion glut in unsold inventory, and it wasn't a result of store layout. It was a merchandise planning issue. Unsold merchandise is result of poor product selection, pricing or forecasting. Oftentimes, the product selection is the biggest problem, especially in the trending fast-fashion category. When fashions change quickly, merchants need to stay up on the latest trends and have a nimble distribution network that adapts to the latest trends. If H&M doesn't address these issues, they may have cool new stores with unsold inventory.
  • Posted on: 10/01/2018

    Omnichannel retailing lands at the airport

    When I travel and know that it will be around a meal time during a connection, I often search out the best food options at the connecting airport online. Unfortunately, the best options are far from my gates and I end up with a suboptimal choice. I would welcome this service and I expect it will be embraced by a lot of travelers. One of the biggest hurdles I see is staffing that can scale with peaks in demand.
  • Posted on: 09/28/2018

    What would the nation’s strictest plastic ban mean for New Jersey’s retailers?

    While the plastic bag ban will be a huge adjustment for both retailers and consumers, it is the right thing to do. As consumers get accustomed to bringing their own bags and having a supply of them in their cars, it will eventually become a habit. It can actually save retailers money by not buying plastic bags that they traditionally gave to customers for free and now they can sell reusable bags. Plastic bags are horrible for our environment and one day they will likely be banned entirely in the U.S. Today even socially conscious retailers still use plastic bags, packaging, straws, etc. We all need to rethink our environmental approach. The Great Pacific Garbage Patch, a collection of plastic, floating trash halfway between Hawaii and California, has grown to more than 600,000 square miles – twice the size of Texas. Kudos for New Jersey for doing their part in helping to solve this problem.
  • Posted on: 09/27/2018

    HiO brings pop-up vibe to new store concept

    As evidenced by the recent growth in custom apparel and new chains focused on custom designed and sized clothing, consumers want to have uniques items that nobody or very few people have. Offering new products that haven't been previously available to consumers in the U.S. is a smart strategy that will resonate with consumers that want to be the first to have the latest new products. This concept should be a success in most major metropolitan markets that have a substantial sized demographic group that resonates with this concept. Customizing the assortments to each regional market will help improve demand.
  • Posted on: 09/20/2018

    Would you believe older men with lower incomes are the new drivers of online sales growth?

    The "new" e-commerce shoppers that are older men with lower income levels are likely not high on radars, but probably should be. In addition to this group, I assume there is also gradual growth among all older age groups as more of these late adopters of technology are have more time to learn and try new technologies. As discussed, the key is to make the experience with your brand's website as frictionless and personal as possible to build loyalty. It is hard to say if brands can take marketshare from Amazon, as the Amazon experience is pretty darned good. You need to out-Amazon Amazon.
  • Posted on: 09/19/2018

    Tuft & Needle and Native knew their first products fell short

    While these companies survived their initial missteps in initial inferior product quality, I wouldn't consider them role models for entrepreneurs. And Tuft & Needle sold to survive, which is a win for their investors but not necessarily a glowing model of success. It is very risky to launch a new product with mediocre quality, as first impressions matter. Once you lose a customer on an unsatisfactory experience, it is difficult to win them back.

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