Without question, the rise of e-commerce and changing consumer behavior has caused the retail industry to undergo significant changes in recent years. And Max Baumann, the founder and CEO of Basemakers, and a thought leader in the retail execution field, recently provided a comprehensive perspective on how brands can succeed in this ever-evolving retail industry.
During Repsly's most recent roundtable webinar on the current state of the retail industry and how brands can achieve retail success today, Max Baumann explained that in order to thrive in today’s landscape brands need to focus on the importance of resource allocation, retail execution, pivoting strategies, and adaptability for brands looking to build and grow their retail presence.
One of the key points that Max emphasizes is the importance of resource allocation for brands. Brands need to think about which retail partners are systemically important to them and invest in those partnerships. Losing a key retail partner can be detrimental to a brand's life cycle and its ability to raise capital. Brands need to allocate their resources properly to drive growth in their most important retail partnerships.
Retail execution is also essential for brands to succeed in the retail landscape. Max explained that out-of-stocks and voids are the top reasons why brands get discontinued from retail chains. He explains that brands need to identify their highest volume stores within their systemically important chains and find a great partner to create a roadmap to solve these issues through retail execution.
"What the data shows is that retail execution is essential. We recently did a buyer panel with H-E-B, Whole Foods, and 7-Eleven, and a big insight out of that was the number one reason why brands get discontinued from your chains. And they said out-of-stocks and voids.” - Max Baumann, Founder and CEO, Basemakers
Pivoting and Adjusting Strategies
Max also discussed the importance of pivoting and adjusting strategies based on the changing retail landscape. Brands need to focus on the 20 percent of activities that will drive 80 percent of the results and make sure that they are the most effective use of their spending. This involves routing, training, and management. By doing this, brands can ensure that they are getting the most out of their retail partnerships and their retail execution.
"It comes down to time management. What are the 20% of activities that are gonna drive 80% of the results?" - Max Baumann, Founder and CEO, Basemakers
Profitability and Cash Flow
Max also stresses the importance of profitability and cash flow for brands. Investors are becoming more calculated about the risk they take, and brands need to make their cash go further until they become bigger brands. By working with a company like Basemakers, brands can keep their cash in their accounts longer and allocate it towards inventory and other activities to build their brand.
When it comes to building a successful team, Max discussed the importance of creating a system to track and measure goals and developing the team through coaching and accountability. The habits of each individual in the company and the collective habits of the company are also essential factors in achieving goals.
Adaptability in the Marketplace
Lastly, Max covered the importance of adaptability for brands. Brands that are unwilling to listen to their customers and be adaptable to change may miss out on potential opportunities. Therefore, brands must stay competitive by allocating a percentage of their earnings toward innovation.
Max Baumann's insights into the retail execution field are invaluable for any brand looking to build its retail presence and grow its brand in the competitive retail landscape. Resource allocation, retail execution, pivoting strategies, profitability and cash flow, team building, and adaptability are all crucial factors in achieving success in the retail industry.
The retail industry is constantly evolving, and staying ahead of the competition requires a strategic approach and a willingness to adapt to changing consumer behaviors and market trends. Watch Repsly's on-demand webinar now on "Urgent Advice Your Brand Needs Today To Achieve Retail Success" to hear insights from other top industry leaders from The Good Crisp and Nutrabolt on how to gain valuable insights from experts on the challenges brands like yours are facing every day at retail.