Scene from a keynote at Shoptalk in Las Vegas with Kevin O'Leary on a large digital screen.
Editorial

Retail’s Renaissance: Why Shoptalk Was All About Customer Emotion

9 minute read
Justin Racine avatar
By
SAVED
From immersive stores to AI-powered ads, the brands winning are the ones that feel human — and help customers feel more like themselves.

The Gist

  • Retail is having a moment. Shoptalk Spring proves retail is alive, emotional and more connected to customer experience than ever before.
  • From Gap to Meta to Wayfair. Brand leaders like Richard Dickson, Clara Shih and Liza Lefkowski show how CX drives loyalty, innovation and inspiration.
  • The customer is the channel. Whether it's a disco at 7:30 a.m. or an AI-powered ad experience, every brand moment needs to meet customers where they are.

LAS VEGAS — When you’re in Las Vegas, there are some things you just expect to see. Pool parties, Cirque du Soleil shows, gambling, people cutting lose and genuinely having a good time and experience.

Things you don’t typically expect to see (especially at a retail event): bumping electronic music, smoke machines, lasers and disco ball ... at 7:30 a.m. in the morning.

Yes, that’s right, that’s AM, not PM.

My routine for tradeshows typically is same everywhere I go – wake up two hours or so before the event kicks off, get ready, mark the sessions I’d like to attend and head down to the event somewhat early to get the lay of the land if you will.

Specifically, this week, I was in Las Vegas for Shoptalk spring. And, per my routine, I headed downstairs early to walk to the event. The closer and closer I got, I started to see a haze of smoke filling the hallways.

I think, “This doesn’t seem right. What’s going on?”

As I continue to put one foot in front of the other, equal parts curiosity and apprehension, I start to hear music pounding.

Again, I think to myself, “There’s no way clubs are open this early — right?”

I round a corner and see in gold sequence lights the "Shoptalk" sign, with a DJ, disco balls, lasers and smoke filling the entrance to the event. My feet stop, I look around and think to myself:

“A party at 7:30 a.m.?!”

And to my surprise (and quite a bit of delight), it was a party indeed; however, the reason behind the party wouldn’t reveal itself until the keynotes later in the afternoon. So I, like other attendees I wondered, "What’s this all about? Where is this going?"

The anticipation was palatable — and I think that was the point. Retail inherently is, and should be, exciting, energizing, unexpected. It should break all the rules.

And sure it enough, it was revealed to us. The anxiously waiting attendees finally saw the light. This wasn’t a typical Las Vegas all nighter party (thought a few of those may have happened). But, in fact, something much more exciting and applicable.

Table of Contents

This Is the Golden Age of Retail

What you may ask?

The next Golden Age of retail; that’s what.

As Sophie Wawro and Joe Laszlo of Shoptalk took the stage, they eloquently explained to us that we are about to enter the era of retail and customer experience. From the onset of department stores, to the rise of the shopping mall, we as consumers and brands are now entering next Golden Age of retail.

And what might that be?

An age that puts people, not products, first. An age that puts connection, joy and excitement back into shopping. An age where retail and products act as a conduit to inspire consumers to uncover who they are at their core, who they want to be and how they want to express themselves to the world we all live in.

And THAT, is something that excites the heck out of me.

Why? Well at my core, I’m an "experiencer." I love to feel, relate and understand deeply how brands can find the best possible ways to relate to me at my core.

Retail and Customer Experience Connections

So, with that, here are my top "experienced: moments this week from ShopTalk Spring in Las Vegas:

Top Session I Heard: Richard Dickson, CEO, Gap, Inc., on Retail CX

By far, my favorite session of the week: Richard Dickson steers the ship that is Gap, Inc. and, in doing so, understands the human side to business and consumer expectations. He understands how important it is for a brand like Gap to create products that bring out the best in the people who wear them.

“We really pride ourselves on giving customers the ability to make GAP their own style, let them wear it the way the want it,” Richard explained.

YES, this is what we love to hear: give customers the tools needed to be their true, best self. Richard continued, talking about why price shouldn’t always be the driving force behind customer connection.

“Old Navy, as an example, was about price – not product," he said. "That narrative was confusing to the customer. We want to have conversations with our customers and integrate our band to be relevant which ultimate drives revenue. Retail is in the detail.”

Learning Opportunities

I truly love this perspective because it points out something that I feel brands forget. Sure, price is important and table stakes, but customers will spend more on experiences and products that elevate their own sense of self, their sense of expression. And at the end of the day, that's what keeps customers for life.

Creating Lasting CX Through Identity and Emotion

But also, this creates generational customers. And here’s how. Think about parents who shop at the Gap for their kids. Their kids then wear the clothes, and it becomes part of them. Maybe that family takes a trip, goes to Disney world, takes photos; those photos become memories that carry full cups of emotion and nostalgia that is representative of the feelings of that day, the smiles, the laughs, the ice cream melting all over the shirt. Brands like Gap have the ability to create generational impacts and loyalty with customers through giving customers the ability to connect on deeper levels of consciousness.

THAT’s what retail and branding is all about, and Gap get’s it — big time.

Top Session I Heard: Clara Shih, VP of Business AI at Meta

Here’s the thing: you can’t really go to any industry even these days without talking about AI. And while overall Shoptalk did a good job of putting the human side of consumers as the priority, there was one specific session that caught my attention.

Clara Shih from Meta talked about what AI will mean for the future of branding from a business user and consumer standpoint. Specifically, she dug in on Meta’s Advantage+, a tool set that allows business users to connect deeper with more relevant media and add content through their various channels.

So, like what?

Well, Clara demo’d a new feature that allows brands to show ads through Facebook; and, within those ads, have location maps with the nearest location where a customer could purchase, giving the consumer control directly within the ad to get directions to a store.

Pretty cool, huh?

Not as cool as this though: Clara continued with another demo that showcased the ability for a consumer to see an ad, and live chat with an agentic AI agent – WITHIN THE AD.

What? Yes, you read that right.

Screenshot showing capabilities of Meta’s Advantage+.
Meta Advantage+

Delivering Customer Experience Within the Ad Environment

This new feature is designed to do something I wish more brands would do – have conversations within the channel in which the customer is active. Even more than that, this feature allows customers to ask other questions that may not even be product related – like “Hey I placed an order with you last week, any idea what’s taking so long?”

This full service concept really delivers on the desire consumers have to ask question, regardless of channel – and because of that, I applaud Meta for finding innovative, creative ways to give customers not only more tools, but more ways to converse with brands in a humanistic fashion.

Top Conversations I Had: Liza Lefkowski, Chief Merchant, VP of Stores, Wayfair

There are some people who just GET customers on a deeper level. Liza Lefkowski is one of those such people. Liza presented a session on blending together data and experience to curate product selection. In her talk, she discussed Wayfair’s recent play into retail locations and how the home furniture and décor retailer aims to connect deeper with consumers, in a humanistic way that inspires and excites.

Liza and I grabbed some time after her session to dig deeper into Wayfair (and her) motivation to give customers the ability to shop the way they want to, on their terms.

“Stores are designed to stand on their own," she said, "but also be integrated into the overall customer experience. It’s the immersive manifestation of Wayfair."

We love immersive manifestations in retail settings — and so do customers — but nobody likes a pushy store associate, so how does Wayfair aim to please without feeling overbearing?

“Store associates are there to guide if you want the guidance," she said. "They are there to talk to customers about their needs, their preferences, and if they want further help, associates will sit down wit the customer and pull up an iPad with additional features to shop in further detail with customers." They want to build emotional connections with the customer.

Brand to human emotional connection, that’s the good stuff: that’s what drives loyalty and repeat purchases and does what all brands should strive to do: give customers experiences that allow them to feel, to be their true expression of themselves.

Blending Emotional Connection With Self-Service

“Wayfair wants to be your favorite neighbor; we want you to feel that warmth within the store, but we won’t impose," she said. "It’s about the consumer self directing. It should feel like a brand that is there help you find what’s just right for you.”

Liza (pictured below) Wayfair’s vision is spot on. Now more than ever, customers desire the ability to self serve, and, where applicable, get the help they need in a thoughtful, empathetic way. Wayfair is on the forefront of creating experiences that not only convert, but that matter. And that’s what Wayfair sees as their vision. Creating experiences that resonate, that connect, that allow customers to find the products that are truly designed for them and their life.

Liza Lefkowski, Chief Merchant, VP of Stores, Wayfair, on stage talking at Shoptalk.
Justin Racine

Related Article: The Emotional Drivers of Customer Experience

Top Conversations I Had: Kelly Goetsch, COO, Pipe17

Some say he's the godfather of composable, the king of MACH: of course, I’m talking about none other than Kelly Goetsch. If you’ve been anywhere in digital commerce the past 10 years or so, there’s no way you haven’t heard or crossed paths with Kelly.

Previous chief strategy and product offer at Commercetools and co-founder at MACH Alliance, and the now chief operating officer at unified order operations provider Pipe17, Kelly is someone that anytime you’re able to have a conversation with him, you know it’s going to be insightful, energetic and a little bit spicy.

Kelly and I grabbed time to discuss his new venture at Pipe17 and how he views the evolving nature of customer expectations.

“People want to shop where they are. They want to be entertained. Marketplaces like TikTok, Walmart, Shein and others are getting increasingly larger traffic because that’s where customers are,” Kelly explained.

So, if everyone is buying through marketplace channels, what about branded sites?

“There’s just more sources for discovery these days. Sure, brand sites will still be used for discovery, but the transaction can and easily will happen off the brand site,” Kelly described. “And when you’re a brand selling across five or six different channels, you need to be able to accurately and effectively manage product inventory and customer expectations."

Meeting Customer Expectations Across Channels

One thing is for sure: Kelly (pictured below) is dead on. We as consumers desire to purchase within the channel we are most active in. Why create friction and tension by trying to move someone into a different channel to purchase when their intent is already there? Pipe17 and Kelly aim to make it easy for consumers to shop within the channel they desire, all while reducing costs for retailers in the process.

Kelly Goetsch, COO, Pipe17

Conclusion: Retail Should Spark Emotion, Not Just Transactions

I have something to confess: this was actually my first Shoptalk Spring, believe it or not. I’ve never been to the event before. My first experience with Shoptalk oddly enough took place at their fall event last year, which I was a big fan of.

Spoiler alert – I was a big fan of this event, too.

Why?

It felt fun, it felt energetic, it felt emotional, it felt unexpected. Everything that retail should be to delight, surprise and connect with customers. There’s a building theme I’m seeing with Shoptalk events, the exact feelings brands should be giving consumers. This event provides to its attendees.

Why? To remind us: while technology and AI are important, connecting with customers on human levels will always be the cornerstone of retail and success.

As Alexander Turney Stewart (who many consider the grandfather of retail) once said, “You must never actually cheat the customer, even if you can. You must make her happy and satisfied, so she will come back."

Customers can’t be cheated. They can only, and should only, be connected with. Make your customers happy, make them satisfied, make them feel, make them connect, make them feel inspired to be the best version of themselves.

And, of course, make them dance to music at 7:30 in the morning with disco balls, smoke machines and lasers.

fa-solid fa-hand-paper Learn how you can join our contributor community.

About the Author
Justin Racine

Justin Racine is Principal, Unified Commerce Strategy at Perficient, a global digital consulting firm serving enterprise clients throughout North America and the world. At Perficient, Justin drives digital commerce strategies that assists Fortune 500 brands to achieve and exceed business goals through commerce-enabled technologies. Connect with Justin Racine:

Main image: Justin Racine
Featured Research