The Week In News, But Shorter

The Week In News, But Shorter
November 20 – 26, 2023

We hope our US readers enjoyed a wonderful Thanksgiving, and that all our property owners experienced the benefits of Black Friday. Predictions around spending for the holiday weekend were encouraging and we look forward to getting updates on the actual outcome. While there’s plenty to be said about the unofficial start of the holiday shopping season, this week we are instead going to focus on news from Simon, who has rolled out a creative use for AI and ChatGPT – “HolidAI.” The HolidAI “helper elves” will utilize computer tablets that lead shoppers through a short series of predictively personalized, AI-generated questions. Only available at two centers, we think this is a really creative way for a property owner to dip their toes into the generative chat space, building on their existing Simon Search platform. We’re also looking forward to getting updates to the actual outcome, as well as your take – share your POV with us on LinkedIn.

Lastly, we wanted to share about a few events we have coming up. We’re currently reporting from MAPIC in Cannes where we’re excited to connect with friends new and old – let us know if you’re here too!  Next week, David’s joining a panel focused on AI at NextGen Commerce: A Coresight Research AI Conference (12/5), and then moderating an AI panel at ICSC NY (12/7). If you plan to attend either, we hope you’ll check out the sessions or drop us a line to meet up.

Digital Meets Physical

Crate and Barrel debuts virtual store [RetailDive] Crate and Barrel launched its first virtual store in partnership with experiential e-commerce platform Obsess on Thursday. The online shopping experience is a replica of the brand’s newly opened flagship at 881 Broadway in New York City’s Flatiron neighborhood. Customers can schedule a free appointment both in-store and virtually, explore walls of swatches, light fixtures, tableware and more.

Amazon to launch online auto sales — starting with Hyundai [Chain Store Age] Starting in 2024, auto dealers for the first time will be able to sell vehicles on Amazon’s U.S. online store. Hyundai will be the first brand available for customers to purchase, with more brands to follow. Hyundai named Amazon Web Services as its preferred cloud provider, and the Alexa Built-in car-based digital experience is coming to Hyundai’s next-generation vehicles.

Having achieved profitability, Boll & Branch plots retail expansion [ModernRetail] After operating primarily as an online direct-to-consumer brand, Boll & Branch is now ready to grow its physical presence. The company just opened its new Dallas flagship 3,300 square-feet, as part of Boll &. Branch’s aggressive plan to expand its existing footprint in physical retail. 

Simon offers free personal shoppers – with help from AI [Chain Store Age] Simon Property Group is equipping teams of “helper elves” at select properties with an AI-based gift finder tool. Set to launch at marquee Simon properties in New York and Los Angeles, the Simon “helper elves” will be on site and ready to assist shoppers with instant help from ChatGPT 4.0-powered “HolidAI” gift finding technology that is connected to a customized database of retailer-specific gift ideas.

Micro & Last Mile Fulfillment

How Walmart Is Leveraging Automation and AI to Deliver Faster [The Wall Street Journal] Walmart projects that by 2025, 65% of its stores will be serviced by automation. The country’s biggest retailer is leaning into a high-tech distribution strategy to keep pace in the fast shipping race against Amazon and Target.

Should Stores Be Relied on for Online Fulfillment? [RetailWire] How would you rate the pros versus cons of using stores for online fulfillment? Where do you see the biggest opportunities to drive efficiencies and reduce costs within the ship-from-store process?

Shippers anticipate being able to meet holiday demand [ABC News] Carriers like the U.S. Postal Service, FedEx and United Parcel Service have capacity to meet projected demand this holiday season, which is cheery news for shippers and shoppers alike. Like last year, there’s expected to be little drama compared to struggles during the pandemic when people hunkered down at home and turned to online shopping while major carriers including the Postal Service simultaneously struggled with absences and a flood of parcel shipments.

Restaurants & Ghost Kitchens

These Are The Best 100 Restaurants In America, According To OpenTable [Forbes] Sometimes the best food critics are everyday diners and gastronomy enthusiasts—and OpenTable’s 2023 list of Top 100 Restaurants in America highlights just that. The ranking curates a list of 100 restaurants around the country, generated from over 12 million OpenTable diner reviews and dining metrics.

Digital payments have increased restaurant tips. But is it backfiring? [RestaurantDive] Restaurant workers haven’t returned to the sector in the numbers that business owners hoped to see years after pandemic lockdowns. And though the number of foodservice job openings and job seekers are beginning to near equilibrium, wage hikes and turnover are still squeezing operators. 

Why ghost kitchen pioneers want to say goodbye to the name [RestaurantDive] Ghost kitchens no longer reflect their flashy name, which denotes brands or food halls that diners could only access through delivery platforms. Many major companies in the space offer omnichannel touchpoints, rendering the term “ghost kitchen” misleading, Kitchen United CEO Atul Sood said. 

Mall Talk

‘We want to own malls’: Primaris REIT CEO on $370M Halifax shopping centre purchase [BNN Bloomberg] Primaris REIT has signed a deal to buy a shopping centre complex in Halifax for $370 million, and the company’s CEO says more mall acquisitions could soon follow. Alex Avery said that despite the prevailing sentiment that shopping malls are on their way out, demand for them has returned at a sharp pace post-pandemic.

Kohl’s CEO shifts focus back to stores: ‘The digital business is really what’s bringing us down’ [RetailDive] “The digital business is really what’s bringing us down,” Kingsbury said, adding, “I’m confident about the fact that we are doing well in stores.” Stores are where Kohl’s customers will find areas dedicated to Sephora, and Kingsbury echoed his predecessor in emphasizing the success of that partnership.