Tariff chaos begins
Tariffs: The day has finally come. The prospect of a 25% tax on goods from Mexico and Canada and a 20% tax on China already shook the stock market and retail sales. This week we'll see what these hefty taxes on the U.S.' three main trading partners mean in practice. We break down what these new policies mean for brands, shoppers and the broader economy.
Beyond tariffs, we’re covering Urban Outfitters’ latest approach to everyday essentials, a startup making it easier for banks and business owners to navigate financial processes, the evolving landscape of connected commerce, and the leadership skills brands need to win over Gen Z.
Women rule: Marketing mavens share intel for SMBs
Above: Ashlee Margolis (courtesy)
To mark International Women’s Day on March 8, we sat down with Ashlee Margolis (founder) and Jenine Leigh-Pollard (managing partner) of marketing firm The A List, whose clients include New Balance, Quince, Farm Rio, Ilia, Grove Co. and Fly by Jing, to talk actionable tips, community building and how the female-run firm rules the roost. –Marcy Medina
Describe The A-List and what you do.
Margolis: In 2001, I founded The A List. We leveraged the stars of the moment to help brands increase their influence and conversion with parties, red carpet appearances, store openings and a specialty showroom. Twenty-five years later, still female-run, we are a full-funnel marketing firm creating authentic, strategic partnerships by pairing top brands with leading celebrities, influencers and tastemakers. We are the go-to partner for producing memorable experiences, from organic gifting to guest-listing for events ranging from pop-ups to on-site activations at cultural moments like Sundance, Formula 1 and Stagecoach.
In 2021, I teamed up with Jenine, who began her career as a talent agent. Through our partnership, The A List has expanded to include influencer and digital marketing and celebrity endorsements with talent ranging from Diane Keaton, Michelle Yeoh, Quinta Brunson, Tracee Ellis Ross, Julianne Moore and Aubrey Plaza.
What are your top 3 actionable tips for SMBs to market themselves?
Leigh-Pollard:
1. Leverage social media with a purpose
Social media allows SMBs to reach a large audience, build brand awareness and directly interact with our community with the ability to reach new ones, all while being cost-effective.
2. Focus on local SEO and Google My Business (GMB)
Local SEO boosts your visibility for nearby customers, making it easier for people to find you when they're searching for services you provide in your area. Many SMBs have a local focus, and a strong GMB presence can help you stand out from competitors without competing on a nationwide basis.
3. Build relationships with email marketing
Email marketing is a powerful tool for SMBs to stay in touch with their community, provide updates and deliver curated messaging. It's cost-effective and can yield a high ROI if done strategically.
How does The A List build community?
Margolis: As a company, we try to give back to the community whenever we can. Right now, we’re running a large-scale fire relief program [in southern California], assisting over 125 families a day, three days a week, for the past eight weeks. We also make time to have fun as a team. A casual breakfast party or a game night at my house are great ways to bond. When it comes to hiring, we place a huge emphasis on kindness. With about 35 women on our team, there’s surprisingly no drama. Everyone genuinely respects one another, and it makes for a positive and supportive environment.
What is the future of brand marketing?
Leigh-Pollard:
Increased Personalization and AI Integration
Brands will increasingly use AI and data analytics to personalize marketing, tailoring content, offers, and experiences to specific consumer preferences and behaviors. Consumers expect brands to understand them and provide relevant, customized experiences. AI allows brands to scale personalization and create deeper connections.
Sustainability and Purpose-Driven Marketing
Consumers, especially younger generations, are increasingly prioritizing sustainability and social responsibility. Brands need to demonstrate their values through actions and messaging. Brands that genuinely align with purpose-driven initiatives will build stronger, more loyal customer bases.
The guy who's making small business loans attainable
Turns out it costs banks large amounts of money to give small business loans, primarily because of the costs to set them up properly. Entrepreneur Chris Hurn launched Phoenix Lender Services in January to streamline all the red tape of underwriting, servicing and liquidations so community lenders can offer small business loans to those who need them.
Why this matters: Loans can literally launch or save a small business, but they're tricky to apply for and even trickier for banks to administer. (Forbes)
Consumer spending falls as tariff fear sets in
Consumer spending slipped .5% in January amid tariff panic and the already rising prices of many goods, the Bureau of Economic Analysis reported last Friday. What's more, the Federal Reserve Bank of Atlanta did an about-face on its prior forecast of 2.3% annual rate of economic growth and now says the economy will contract by 1.5% in Q1.
Why this matters: Not to sound alarm bells, but we're really hearing them loud and clear. Businesses have been girding themselves against this moment for months, but sudden stock market drops can really hit home directly and indirectly. Stay the path and stay cautious. (CFO Dive)
Tighty whities get the Urban Outfitters treatment
Why foreign retail chains love the U.S.
How to get more IG likes, comments, shares & saves
How pandemic affected retail, 5 years later
Mais, oui: Paris department store Printemps hits NYC
7 ways to wire your CX for Gen Z
Consultant, instructor and author Jeofrey Bean has published his third book about customer experience leadership, and this one is focused on Gen Z and how to attract and retain this valuable demographic. Bean tells CX Network about seven leadership skills to have for next-gen customer experience: it starts with understanding the value of CX, understanding Gex Z, harnessing data and behavioral economics, developing best practices, strategies and finally, innovation.
“There will always be people who don't think customer experience is a real thing, but then there's a small group of companies that do get CX, and as a result, when they go into a market, they dominate it." - Jeofrey Bean, author, instructor and consultant
Why this matters: CX is what keeps customers coming back, so it's critical to master this element of the retail journey, especially for a cohort that prizes the experience above all. Full stop. Read Joefrey's interview here.
Connected commerce and retail media, explained
Digiday's aptly-named "WTF Series" breaks down big concepts into practical explainers, and this time, it's targeting connected commerce, which refers to the way all retail channels, online and offline, work together. Or how they should work together. That's different from retail media, which is advertising (i.e., media) in stores. The two are often incorrectly used interchangeably, but they do work in concert.
Why this matters: While connected commerce isn't new (it just used to be called omnichannel retail), it's a brave new world for retail media. The good news is that advertising has been around for ages and the same rules still apply, only there are new interfaces making it possible on in-store screens and on your phones and laptops. (Digiday)
Trump delays ending de minimis for Canada, Mexico
While the average person had never heard the term de minimis before the new administration came roaring in, retail folks have known about this loophole for a while. It allows goods with a retail value of less than $800 to enter the country duty-free from neighboring trade zones Mexico and Canada. It's what has allowed fast fashion companies like Shein to flood the market with cheap goods and not have to pay taxes on it.
Why this matters: President Trump pledged to end this policy as part of his tariff actions against Mexico and Canada, but he has paused it for now. So the price of your $20 China-made t-shirt shipped from Mexico or Canada won't double in price just yet. Watch this space for updates next week. (Supply Chain Dive)
What we are reading: The Drop By With Melissa Magsaysay is a newer entrant onto the Substack scene, but the former WWD sportswear editor, author and TV personality gives real people insider fashion, beauty and wellness advice in her free weekly column.
What we are watching: 51-year-old YouTuber Michele Wang represents the cohort of influential, chic women of a certain age who are pushing the needle at retail. Her soothing presence conveys luxury, but her down-to-earth real talk is also, well, real. A former hand knitwear designer from NYC who now resides in Las Vegas, she also has deep technical fashion knowledge.
What we are following: Tory Burch is among those creating something that interweb observers are calling Premium Instagram. Which isn't an official product from Meta, but the elevated video content that's appearing on the social media platform from Tory Burch and a handful of other brands. For now, it's still free, and it's and definite upgrade from the norm.
Thanks for reading this week's edition!
You can reach the newsletter team at theskupe@mynewsletter.co. We enjoy hearing from you.
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The SKUpe is curated and written by Marcy Medina and edited by Bianca Prieto
