Commerce Outsights: Nov 25, 2024

The unlikely comeback of Abercrombie, how TipTop could reshape re-commerce, and Perplexity’s AI-powered shopping assistant is here.

This week, we’re digging into Abercrombie & Fitch’s surprising comeback story, exploring the shift towards decentralized e-commerce strategies, and examining a new theory on how advertising really works.

We’re also looking at TipTop’s innovative re-commerce solution, Lowe’s new membership services, and Perplexity’s AI-powered shopping assistant.

Let's get into it!

Does your brand need help with strategy, design or development?

For over a decade, we’ve been shaping, launching, and scaling shopping experiences for category disruptors such as Cometeer, Framework, and Huckberry. No matter where you’re going, we can help you get there.

Book your consultation →

The Unbranding of Abercrombie (11 mins). Abercrombie & Fitch’s unlikely comeback story continues, as the once-controversial brand sheds its preppy image for a more inclusive, trend-driven approach. Now targeting millennials with practical, affordable clothing, Abercrombie has become a Wall Street darling and a case study in successful rebranding—all while distancing itself from a problematic past.

🔒 Triumph of the marketplace (7 mins). As retailers struggle with rising costs and shifting consumer habits, Ana Andjelic argues it’s time to rethink e-commerce strategies. Her key takeaway: stop treating websites as the hub of customer experience. Instead, embrace decentralized, social commerce tactics that meet shoppers where they are—whether that’s TikTok, Instagram, or physical stores.

Ads Don't Work That Way (21 mins). Kevin Simler challenges conventional wisdom about advertising, arguing that ads don’t manipulate our emotions but rather imprint cultural meanings onto products. I have some (very raw) considerations on this concept in my digital garden: Advertising may work by cultural imprinting.

Future: TipTop May Redefine Payments (6 mins). TipTop, a new payments solution from Postmates founder Bastian Lehmann, is poised to revolutionize retail by seamlessly integrating reCommerce into the shopping experience. By offering instant cash for used items and upfront discounts on new purchases in exchange for future returns, TipTop addresses both consumer demand for sustainability and brands' need for responsible disposal of synthetic materials.

Lowe's introduces new Lowe's Digital Home Platform (3 mins). Lowe's unveils new Digital Home Platform for MyLowe's Rewards members, offering personalized appliance management and maintenance support. This move aligns with Lowe's Total Home Strategy and is the perfect example of a loyalty program done right (more about this on our blog).

Shop like a Pro: Perplexity’s new AI-powered shopping assistant (2 mins). Perplexity launches AI-powered shopping assistant with one-click checkout, visual search, and unbiased product recommendations. This includes a Merchant Program that helps retailers integrate their product data. Ironically, I had just written about consumer-facing applications of genAI.

We don’t accept sponsorships for this newsletter. All product recommendations come from our consulting team.

Reactiv. Reactiv is an AI-powered platform for mobile commerce apps. The ability to send push notifications to anyone who’s seen your ad is quite interesting, as is the flexibility offered by their Plus plan. Definitely a company we’ll be watching over the next months. 👀

Does your brand need help with strategy, design or development?

For over a decade, we’ve been shaping, launching, and scaling shopping experiences for category disruptors such as Cometeer, Framework, and Huckberry. No matter where you’re going, we can help you get there.

Book your consultation →

💡 Need to build a Shopify app? If you’re interested in creating custom Shopify apps, check out Nicolò's latest article: it's about using Gadget to streamline app development and minimize time-to-market.

🎥 We made a showreel. Officially, we needed one for the events and conferences we sponsor. Unofficially, we just wanted to have some fun and showcase some of the work we did in the last years.

👟 Valentino made a mini-site for their sneakers. The Bay by Bay digital experience lets customers view the sneakers in detail and try them on via AR. Our honest review is that it’s good but not amazing.

🧑‍🎨 Design systems need a purpose. Drawing from past failures and a webinar she recently attended, Michela shares her thoughts on why design systems need a purpose for existing. Just like brands.

That’s it for today!

If you’ve come across any interesting articles, podcasts, or products we should check out, you can email us at [email protected].

See you in two weeks! 👋