Experience: The New Retail Transaction

looking at cam Is that right? Uh? Special episode today, Laura's in l A. That's where I am looking at the Hollywood sign as you can imagine. Um, it's where I belong. And so this is fun because this is bicoastal and I'm excited for today because what women, um don't want to talk about the future of the retail experience. Well, I don't know if they're every woman wants to talk

about the future of the retail experience. But I think that women understand that they hold the majority of the buying power in retail on line, offline, and they're underserved. And I think retailers and on the brand side have been slow to respond, and now we're seeing tons of like direct to consumer businesses starting, which I'm really excited about new models in retail and everyone, you know, a couple of years ago, was talking about the death of

brick and mortar. I don't actually think that's going to happen. I think brick and mortar is going to change. And we have a guest coming on, Amanda Latifi, who's the CEO and co founder of have to Have h A F T A h a v E. Have to Have, which is a text based communication tool direct from retailers to buyers for specific products and items. And it's really cool and Amanda's going to tell us about it next. But we've known Amanda. Lord, you've known Amanda for years

and you introduced me Amanda, and I loved her. She's an amazing girl boss and super smart, and we've been talking about having her on the show forever because we both get really excited about what happens when retail goes beyond transaction. And I think that a lot of retailers are thinking about this, but we're still seeing on a really surface level, and the actual brick and mortar experience

is generally the same as it's always been UM. Now we've got maybe square and we've got new ways of purchasing things, but we're still really waiting for retailers to take off and really embrace retail as experience or experiences retail um in a totally different, really meaningful way, so that it's not totally just transactional. Yeah, I mean, when is the last time you, like, really got excited to

go shopping in a retail location. Like I can't tell you how many times that I have gone to a mall in the last year, or you know, some other sort of retail location, probably based on necessity like forgot something while traveling or what have you. And I think ultimately, at the end of the day, it's like I want to get in and get out. I want to find what I need to get. You know, I might look up retail me not to find some type of discount at the register, but the actual setup of the location

doesn't necessarily pull me in. It's usually just based on necessity.

And I think with what you know online and digital, I mean, my favorite way to shop now is Instagram, and you know that I have a addiction, and so you know, I think it's interesting, Uh, to see how brands who have started online are starting to move into the you know, offline space because they want people to touch, feel, see, experience a brand versus those that have started in brick and mortar um and are trying to find their way

digitally while really rethinking the space itself. And so I don't know, this is a hard one, and I'm not so sure it's going to be something that's solved, uh in a day, but something that obviously has been indicative by the headlines you read of you know, hundreds of thousands of retailers closing on a regular yep. I totally agree. So with that episode nineteen and a man Latif from

Half to Have, we'll be right back. So excited to welcome to the show a friend, co founder and CEO of Have to Have, Amandolas, Yeah, thank you for having me. So Amanda, tell us a little bit about what's going on and Have to Have tell us about the business model and sort of how you got into this. Yep. So we started Have to Have about two and a half years ago, and it really was to solve an empty, open white space in the shopping experience for the consumer.

So I love to go into stores like into the actual retail brick and mortar offline stores and try things on, touch and feel them, and I realized there was no way to keep up with things I had found in store. I would take pictures of tags, then I would look up the numbers later online trying to find the item or look for it when I went in store and started talking to a bunch of friends and realized that everyone else did this as well, so we long just have to have the app. About two years ago, Uh,

it moved really fast. We were featured as the best new app in the app Store four weeks in. It was insane. I didn't even know if what we were doing was legal, but we essentially created a platform where a shopper would scan a tag added to their list of half to halves, and we would notify them when it went on sale, all via the app. UM. We worked on this for a while, got seventy five retail

partners going. Things were doing well, but once we started going out to raise money and talking to UM investors in vcs, one of the venture capital firms said to us, this is great, but apps are limited. How do you make this not an app? And that was extremely bewildering to us because the scan technology was essentially buried in the app. So our CTO had an epiphany and we realized that we could essentially run the entire half to

HAVE process via SMS or text message. So using elements of the phone, we were able to bring the same consumer process to bear. So now as shopper takes a picture of a tag, they text it to us at seven seven double oh seven. We added to the list of Have two haves and then we text them when it goes on sale. So that's removed a lot of the barriers. You don't have to download an app. The other thing it does is it gives us this instant

access to communicate with the consumer real time. We realize that when we started Have to Have, we were sitting on a ton of purchase intent data, and if you think about media and how stores operate, a lot of their marketing efforts and re engagement efforts are based on post purchase, especially in regards to end store. So we realized there was a huge opportunity with all this data we had, so getting rid of the app and moving into SMS and really this B two B model allows

us to partner directly with the retailers. That's amazing. So now you're more in the B two B space than the B two C space directly correct. Yeah, we're kind of a weird hybrid. So what happens is you walk in a store and you'll see a ARA cling, which is like a sign on the mirror, and it would say something like found something you love. Take a picture of the tag texted to seven seven double oh seven. We'll save it for you and you'll get exclusive offers

and sail alerts. And now what we're able to do is work directly with the retailer and say what's the problem, what do you need to move So we're working with Halston Heritage, which is a retailer that has amazing ready to wear but also eveningwear, and they said, let's do some movement on evening where so we built out essentially customized logic where when a shopper takes a picture of an eveningwear item, we text them back and offer that says by that specific item. So all of our everything

we work through is products specific. It's not meant to be general marketing. So purchase the silk wrap kimono dressed today and get fifty dollars off a full price handbagger shoe. So now we're really creating the opportunity for upsell, but it's something that the shopper is interested in because you've essentially opted into this product, you've illustrated purchase intent against it. So for us, it's how do we drive conversion in store and how do we capture miss conversions offline and

drive them to online. So it's like I r L. Yeah, like Pinterest in real life is how some consumers have kind of like categorized us because you think about it, there's really no way to save something you've found in store. We all have our own mechanisms and behaviors, but there's

never really been a true platform. And what we're telling retailers too, is if you think about retail right now and what it's going through an omni channel and what everyone is saying about the stores and how they're suffering. When you think about online, retailers have such a developed tool kit for online. They know when you enter the website, they know what products you interact with, they know which ones you're looking at, they know when you add it

to the cart that you're thinking about buying it. And then when you leave the side, they're able to retarget you via social media, they can drive offer triggers, they can email you. But when you think about the store, it's a blind space. The only people that know anything truly are the sales associates, and we're really trying to digitize that in store data and just give it right

back to the retailers. So now when someone you know selects an item, picks it up, tries it on, takes it to the dressing room, now you can know something about it because we're telling them, Hey, if you're interested in these and you're not going to buy them today, take a picture of the tag. Now you're able to do insightful client telling. You can develop a stronger relationship. We're able to bring through these customized offers. But now, for the first time, you can retarget within store data.

So we're essentially working with retailers so they can add their own offline data to the retargeting efforts. Nobody has done this before. That's amazing. Thank you. Will you start white labeling have to have software. We've talked about this some um in the past. I think it depends on what opportunities present themselves. For us. The other thing that I want to do, Like I said, we're a bit of a hybrid in the sense that we are B

two B, but B two C drives that interactions. So I always want to make sure that a consumer never feel it is like this is a marketing ploy. This is meant to be a true consumer tool that drives insightful data for the retailers. That being said, once you enter these larger big box stores that have um multi labels, some of the items can be sourced from other retailers.

So when we're working with more of these private label retailers, so when you think about Halston Chili Beans, we're working with people like Express Club, Monico Made Well, people that for the most parts sell their own product. It makes it to where we don't have to do any type of price comparison shopping because we're not trying to do that either. We're not trying to train consumers to only

buy on sale. We're just really trying to capture any missed opportunity in store and connect that interest to eCOM. I mean, one of the interesting things that you just said was about this isn't a marketing ploy. This is rather meant to be a utility or a value exchange.

Is this directly because you know, I think about how many times I can count on my hands I've actually been into a retail location, you know, and last six to twelve months, is that something where brands that you're working with or you're seeing in the retail space are getting smarter about and understanding it's not about you know, hacking some marketing employ but really finding unique ways to engage people at the point of sale and in terms

of physical location. Because it's really interesting to me that brick and mortars haven't figured out new ways to kind of pull people in that aren't just incentive based through discounting for example. Yeah, I mean this category industry right now, there's a lot of movement going on in it. I think we saw a year or two year ago everyone got super panicked about it, and now everyone, I think, in my opinion, is starting to really hunker down and

try to figure out things. So to your point, it's you know, how are you making this shopping space more than just a place to shop? So, um, Westfield just opened this Century City Westfield here. It's an amazing location. Lots of food, coffee shops, move the grocery store. I went there one day, spent three hours. I didn't buy anything, but I stayed there. I took inventory of the stores.

I walked in a lot of them. So I think the shift is happening to where when someone says I'm going shopping, it doesn't always mean that a purchase is going to happen, and retailers have to be okay with that. But what they need to do is use that browse opportunity to really get their product inserted into someone's consideration set. If I need to come back for a present, I'm going to go to these three places because they already

went by and noticed that they had things. But then to your point, I think retailers are really trying to be inventive with essentially their in store stack and what they're able to do for people. So is it you know, being able to customize the denim with your initials and things of that nature. Is it in store events? Is

its styaling sessions? Is it something like us like I really so we talk about this, Laura and I talked about this all the time, like retailers experience and the opportunity to do something with your technlogy and actually the store. The brick and mortar store changes into a real experience for a shopper is to us the holy grail. Like, you know, are you having those types of conversations with retailers.

Are they understanding that the the opportunity there entertainment experience in a store, you know, not just like events for you know, drape Er James, Well, like, yeah, I just got an email UM from Shinola not long ago that you know, come in by a product and have the opportunity to have your bag hand painted with you know,

obviously your initials are name of choice. I think you know what I'd be curious to know, Amanda's as you're aggregating all of this data and understanding what people are saving and starting to build personas, do you see this as an opportunity Maybe we're inventing this right now. I

don't know. Is this an opportunity for you to start building out UM insights where it goes beyond just this is what this person wants to buy, but now this is what this person wants to feel and experience and engage in store completely Because I think a lot of what operators are working with, just in regards to data is an then complete data set. So when you think about all the data they have, a lot of it is accumulated from online activity and then post purchase behavior

in store. Because like I said, you don't know what someone's looking at in store. What we're essentially able to tell them is this is what the person is going to buy. That changes the messaging entirely. Like the example always uses. I go into a store once a year and I buy two pairs of genes or whatever. I don't buy jeenanes that often. I don't need them. If you continue to message me about genes, you've lost me. I don't need any more genes. Not only does it

say that you don't know. Although I know your husband and I think you'd probably disagree with that statement. It might be true but for this case in point. But you know, if it's an it's off message, it becomes annoying. I cut you off. What happens when you really have have something to tell me. I think retailers have done a lot with data, and I think there's a lot more we can do with it to really make the

experience feel personal. Eyes We also keep saying in regards to sales and discounts, like I want to help retailers take those off signs off the windows, like don't sell to everybody, just put on sale what someone wants to buy. The other thing that we say is if you think about when you go into the store. Let's say on Wednesday, you go in China and item, and on Friday, they know that that category is going on sale, you leave Wednesday because it's just not the right time for you.

They now have just been money remarketing to you to make you aware of this promotion and to try to bring you back to store or online. Why wouldn't we advance that sale to you knowing that you've illustrated purchasingtant in that item. So I really think there's a ton of opportunities both on the retailer side and to your point, the consumer experience, just to start shopping how people shop more. That's the big piece. But it's also about feeling the brand.

So if you love a brand, it's about experiencing the brand. And now every brand has said transaction first. Growth is equals transaction. I want to see transaction being bolstered by true brand experience that is tied to business. To me, that has dropped the mic with what you're doing and the possibilities. So tell us about being a woman in this venture capital world and any tips that you have, any experiences you want to share. You know, has it

been difficult, have people been more open to it? You know, have you had problems saying shopping equals female? Really listened to me, this is a product that makes a lot of sense. You know, have people blown you off? Yes? Oh my god. When we first came out and um, we were still fully at based and you know, we were really trying to raise. So we've gotten done with our initial raise and we're at capital Um right now

working out of their lab. So I got lucky with them because they really got what we were trying to do, and they pushed us to advance the product and they believed in us. And that was the biggest thing. Is

it's not about taking money. It's about taking money that believes in what you're doing and can really help you iterate the product because nobody finishes with what they started with us to like, we realized there was a lot more data to be had and shared with retailers, so you know, we had to shift and go to market strategy as well. But when we first got out there. You know, you don't always want to believe the situations, and you want to think that you're going to create

a situation that's different for yourself. But the reality is, you know, we went into a lot of meetings and there were all men. And I don't necessarily think they didn't want a fund of female um or they didn't want to, you know, support a woman. I think it was more that the idea didn't resonate with them. I think the reason have to have doesn't exist as a lot of the retail technology has been driven by men before,

and they don't understand how women shopping store. So we would pitch this idea and they would be like, I don't get this. You expect me to go into a store and not buy something. This doesn't make any sense. And I'm like, well, clearly you're not a woman and you've never been shopping um. So, you know, there was a lot of those missed opportunities because they just didn't get it. And I think if you're someone investing, the

first place you go is to your rolodex. And I think a lot of people's rolodex is similar to themselves. I know a lot of women that are like me, And I think men know a lot of men that are like them. And I think it's really about diversifying the rolodex, making sure that other women are a part of the boards. You know, you're really going to events to seek out women. And I'm not saying it's because you know, we need a better chance. I'm saying there

just needs to be some diversification and deal flow too. So, Amanda, I'm curious to know, Um, what do you see if you had to get into your crystal has to have shopping ball, what do you see as the single biggest trend or technology that will up end retail in the next twelve to eighteen months. I mean, I hope it's us. Is that? Yeah? I think that there it's gonna be me. Um, you know, I really think there's a lot that can be done. You know, everyone talks about omni channel and

things that nature. I do agree that that is a storyline and their structure of reality. But I also think what retailers are doing online is working. It's growing, A lot of us are shopping there. The numbers I'll show that When you say retailers, do you mean like DTC, like retailers that just exists online or just in general. I think in general, I will say, since you brought up DTC, I think you see a lot of brands

that were online brands that are coming offline now. So ever, Lane, I mean, why we parker this Everyone knows and I think they're doing that because they understand the value of brick and mortar and the brand awareness, brand loyalty, the interaction that it can drives get people in their touch field. Try really take a brand that's online and kind of give it that personality and personification. They understand the value and that. But what they're doing is they're opening these

brick and mortar stores, but they're of the future. They already work well, there's already synergy, they're collecting the data real time, they know what's going on. So I think in a general sense, retailers are going to start to see more success when they bring some of the efforts and techniques that they've employed online when they bring was offline. And that's part of the conversation that I want to

be a part of. That's awesome. Which brands do you think are doing it best right now in terms of online offline synergy? I mean, like like the ones I just said, like ever Line is doing a really good job. They're just starting to open their brick and mortar stores. I think Warby Parker's always done a good job. I think they did a really good job in bringing the brand to bear in a physical space that still felt a lot like the online shopping experience, even how the

displays were stacked and set. And the thing is, these news stores are able to learn from the mistakes of pre existing ones, and they're not having to change real time. And that's some of the challenges I think existing you know, retailers and brands are are facing. How do we kind of make this shift why we continue to drive the business forward? We totally agree. So, okay, we're gonna wrap with our favorite game, which you've played with us, not on Mike UM kill by d I Y What would

you kill? Would you buy? What would you do yourself in the retail space? Okay, So I mean I want to be careful of who I would kill because I hate killing anyone in a general sense, but I think I would kill Sears. I think their time has passed. I don't think they iterated quick enough. I think the real estate is worth more than the brand, and now they're starting to put their private label brands and other retailers. So I just think it's time to say goodbye. Um

By this is gonna sound you know what. I would buy Amazon because they're the most powerful player, and I think there's a lot that they can do um in the offline world, especially when you know, we start to talk about fashion, like we know what's going on with the bookstores, but what are they going to do in fashion? I want to be a part of that. So I'm going to buy Amazon, and yeah, I need some extra money though, and then um D I Y. I think I would D I Y a real retail experience top

to bottom. I'd go in there, make it extremely experiential. We'd obviously launched with have to Have, but I'd love to kind of set up my own store experience too. We've even talked about it for have to Have. Maybe we just set up a d O Y store that you come in and you can't buy anything. All you can do is take pictures of the tag. So how you're talking now, you're talking exciting and please invite us

to that party obviously, um, Amanda, thank you so much. Amanda, thank you, good luck with to have to have and how can people reach you if they want to talk fashion? So have to have dot com? H A F t A have dot com. We're at have to have on all socials. I'm just Amanda at have to have dot com and then give it a try. We're ready to

get going. You can take a picture of a tag and text that picture to seven seven double o seven seven seven zero zero seven get it kind of spylight fashion sky Thank you so much, guys, So thank you to Skype for allowing at Landa to go by coastal today. This was a different challenge, wasn't it. Yeah totally. I miss I miss you. I miss you. I miss you too, but I'm sure I'll call you after this. I know you will. And thank you to Amanda Latifi doing our

first UM show as a call in. We really appreciate it. And check out have to have is it is on fire? It is so smart um and support another lady girl boss businesswoman. Yes big thanks to Cameron Drew's, our producer, Matt Turk, Andy Bowers and all of our friends and family at Panoply at Landia. You know where to reach us at Atlantia Podcast on Facebook, Twitter, Instagram. We're out there, so get at us. We're having fun having our conversations, and as always, don't forget to leave us a review.

Wherever you're listening to this podcast. Thanks and we'll talk to you in two weeks. Full disclosure. Our opinions are our own