5_Retail_Lessons_from_5_Years_of_this_Podcast

Catherine Edley [00:00:00]:
Some of you have been listening from the beginning, I know, and maybe if you’re somebody who’s joined us more recently, I want to reflect back on some of the key themes that have come up over the last five years. So because it’s five years, I’ve picked five themes and I’m going to be going through the key themes that I feel have been the ones that have come up time and time again in the podcast. And then at the end I’m also going to share a little bit about what’s coming next. Welcome to the Resilient Retail Game Plan. I’m Catherine Edley and in the next few minutes you’re about to get powerful real world retail retail strategies from insights shared both from my guests and myself, backed up by my 25 years in the retail industry. Keep listening to learn how to grow a thriving, profitable product business. Let’s jump in with this latest episode. When I realized that it was nearly five years that I’ve been running the podcast, I actually had to go back and check my calendar because it just doesn’t feel like it’s been that long.

Catherine Edley [00:00:58]:
But I have been releasing weekly episodes now since the 30th of June 2020. So the podcast is now officially 5 years old. So the very first episode and I wanted to start with a bit of an introduction, tell you more about who I am and why I’m here talking to you about resilient retail and what that term even means. And what I wanted to do in this episode is take a little bit of a look back because when I first started this podcast I had absolutely no idea that we’d end up at this point where been going for five years. I’ve hit over 155,000 downloads and spoken to nearly a hundred amazing guests on all kinds of different aspects of retail. And so I thought it would be a good time to reflect back on what we’ve learned together. So let’s get started. So theme number one is, as I like to say, turnover is vanity and profit is sanity.

Catherine Edley [00:02:02]:
And that is the theme that I keep returning to again and again in the podcast, is that it’s all about not just what your sales are, not just focusing on those top line sales figures, but actually really driving and understanding the underlying profitability in your business. And I think the reason that this is so important is because so much of the information that is out there for small business owners is really aimed at service businesses and it’s very difficult for product business owners to get good advice about the profit in their business from people who are experts as in service businesses, because quite frankly your profit, your cost structure is completely different to other businesses. And understanding that and managing it and keeping on top of it and pushing your profit is something that is entirely achievable for people who have a product business. But it’s something you have to watch really closely. Fun fact. My most listened to episode of all is episode number three of the podcast. Bearing in mind we’re now on number 258, so going back a while and episode number three is called Healthy Profit Margins. So let’s start off by talking about why they’re so important.

Catherine Edley [00:03:22]:
Well, if you think about it as a product based business, there is only one place in your business that money is coming in and that is the difference between what you buy something for and what you sell it for. And we also have episode number six, which is also highly downloaded, which is called pricing the value triangle. So talking all about profitability and pricing. So so when you listen as well to some of the people that we’ve had on so we’ve had lots of experts and we’ve also had people who have built their own businesses, have grown and scaled it, you’ll also hear them talking about the importance of profitability because ultimately if you grow your top line sales without taking care of your profit, then you just end up spinning your wheels or becoming busy fools. It’s a thread that woven all the way through all of the episodes. And I know that it’s something that people really respond to and people often mention this to me when they talk to me about listening to the podcast about how it’s really got them to think differently about their profit and their pricing and what they’re pushing in their business rather than just pushing those top line sales. If you have got a business that is profitable that can pay you, it is just so much more of a comfortable place to be than if you have got a business that is just bumping along all the time at the bottom of your overdraft or if you’re having to take out loans repeatedly. And it can be something that feels very uncomfortable for a lot of people.

Catherine Edley [00:04:54]:
So focusing on profit as opposed to top line sales is absolutely crucial. So theme number two, we are sticking with the numbers theme and this is all about stuff stock. So stock is one of my favorite favorite topics to talk about. I absolutely love talking about stock management because for me it is literally make or break for businesses. And often when you see the headlines behind big retailers going bust, we haven’t had a really High profile one for a little while. But you know the stories when people like Woolworths go bust or Toys R Us or things like that. Actually, often when we dig in and we look behind the stories of these big retailers, what they’re actually usually talking about is either profitability, profit margins, or they’re talking about stock. And both of these issues are absolutely make or break for retailers.

Catherine Edley [00:05:51]:
The reason I talk about stock as much as I talk about profit is because again, there just isn’t that much information out there. And I think for me, the thing that I hear over and over again from the people I talk to about their stock is that they think it’s simple or they thought it was simple to start off with. And most people around them probably think it’s simple. They say things like, oh, you just buy things and sell them, right? It’s all pretty straightforward. They don’t realize that they need to have a structure and a system. And often when people come to me and they’re feeling really stressed out or they’re feeling just that the business is growing, but the profit’s not growing the way they want it to, they just don’t seem to have enough money to rebuy their best sellers, for example. We always uncover at the end that stock is the culprit. So for me, that’s why I talk about it in the podcast so much, because it’s a subject that I’m really, really passionate about.

Catherine Edley [00:06:46]:
I feel that so many businesses can benefit from having a better understanding of their stock and it can really lift the weight of the world. That can feel like it’s sitting on your shoulders when your business isn’t making as much profit as you want. So stock is something that we have talked about over and over again on the podcast. Most recently episode 254 was all about your stock system, what that needs to be. But we’ve talked about it again in conversations with people who’ve grown their businesses. And it’s a theme that I like to come back to. I’ve done a series on the golden rules of stock. We’ve talked about seasonal stock planning, how much to buy for Christmas, and so on and so forth.

Catherine Edley [00:07:27]:
And I believe that it’s just really such an important topic. And again, the feedback I get from people who are fans of the podcast who listen to the podcast regularly, often saying that they just need to find that information from somewhere. And there is a real drought of information around stock management in product businesses. So the third big theme, when I was looking back through all the Archives thinking about all of the 257 episodes that I’ve done up until this time. One thing that pops up again and again, and each year, it’s usually one of the top episodes for the year, and that is industry trends. So what’s ahead for the retail industry? This is really tied into my work as a Forbes contributor. So I produce an article every year around December time, which is looking at the year ahead and the key trends that are shaping the business. And then usually the podcast episode is brilliant because I’m able to take all of that research that I’ve done and all the conversations I’ve had with retail experts, and I’m able to share that with you as a trend episode for the podcast.

Catherine Edley [00:08:33]:
And as I said, that is usually one of our top performing episodes of the year. And from that, what I’ve taken is that the retail industry is forever changing and we’re all just trying to keep up. If you think about it, when I started this podcast in 2020, this was during lockdown. So it was a lockdown podcast started and then we moved into retail reopening. So we saw a huge e commerce boom in 2020 and 2021 to a certain extent. Then we saw more shifting back to more towards bricks and mortar in 2022, 2023. We’ve had cost of living crisis, we’ve had energy crisis, we’ve had all of these different things that have been impacting the way that the customer buys. On top of that, over the last 18 months, two years, we’ve had the impact of generative AI.

Catherine Edley [00:09:26]:
In fact, I just completed a piece for Forbes about AI in general and all of the different things that it can do and the opportunities that there are for small businesses with AI. So there have been so many shifts. And I think when I look back, as I said over the years of the podcast, what we’ve learned together is that the retail industry is changing. There is so much that happens each year, and on the one hand, it’s a really fascinating one because lots and lots of things shift. So consumers will become more cautious with their money, or sometimes they’re feeling a little bit less cautious. There will be product areas like, you know, health and wellness has been something that we’ve seen for a number of years now sort of top the product trends charts. We’ve also seen things like people really leaning into hybrid retail, where they’re researching online and then coming to buy in store, or they’re looking in store but then want to be able to purchase it online. So We’ve seen lots and lots of shifts.

Catherine Edley [00:10:29]:
We’ve seen things like the rise of TikTok shop and people buying through their social media apps. That’s still one of the fastest growth areas of E commerce, for example, where people are actually wanting to check out, do their product research, see product demonstrations, watch reviews from customers, and then actually purchase through the app. And of course, the apps absolutely want that, because it’s all for them about the eyeballs. The amount of time that people are spending on those apps, of course they’re going to encourage that. So we’ve seen this huge shift. So many different new technologies coming up, so many different shifts. Interestingly, one of the things that I talked about in my Forbes article on AI recently is Shopify’s latest horizon theme. And that is all about something they’re calling declarative commerce.

Catherine Edley [00:11:19]:
And declarative commerce is basically you say what you want to happen and you watch the technology create it. So instead of you sitting there and diligently creating a new template or creating a new collection, that you would be able to say something like, put all of my scarves into a collection with a 20% off code, and then watch the technology do it. Or create me a clean website which is suitable for an upscale skincare brand. And then again, watch the technology do it. So again, that’s another shift. That’s another way that small businesses, I think, are going to be able to leverage their opportunities because you no longer have to have deep technical knowledge when the technology is able to actually produce things for you. Now, arguably, there’s lots that you then need to do to have a point of view and a point of difference and stand out in a world of sameness if everyone’s got the same capabilities. But I think it’s a really interesting development.

Catherine Edley [00:12:16]:
So what we can take away from that is that there’s lots of shifts in technology, lots of shift in tactics. Customer sentiment fluctuates constantly. Ultimately, I think what the one thing that I’ve do find interesting is that even though things are different, even though things shift, there are many, many fundamentals which are absolutely the same. And they’re the same as they were in the 1950s or even the 1900s. And that is people want great service. They want great customer service. They want great communication from the people that they shop from, and they want great products. They want to be tempted, they want to be lured or seduced into spending their money with you.

Catherine Edley [00:12:57]:
They want something that really appeals to them, and they want to know where things are from. They want to know the stories behind items and they want to feel that connection with where they’re buying from and, and what they’re buying. So I think that we have seen that remain steady. It’s just there’s so many things that kind of swirl around it that a lot of the time it’s about you as a business owner, understanding what that means for your business, what can you take advantage of and frankly, what can you put aside and shut out some of the noise. Over the years as well, I’ve done lots of sort of pet talk type episodes where UK is going to recession or what’s happening in Covid. I mean Covid is one of those examples where to begin with. Absolutely everybody was completely gobsmacked and lots of people felt like, right, well maybe this is it for the business. And there are many people which now look back on Covid and see it as almost the peak of their selling for the last few years.

Catherine Edley [00:14:00]:
So I think another thing that we’ve learned from the podcast is that lots of things can be going on in the outside world and often what we have to do is focus in on the things that we can control. And over the years I’ve talked a lot about your circle of concerns, everything that bothers you or you’re concerned about and then your circle of influence, the things that you have some influence over but then really operating from your circle of control. So instead of getting pulled and distracted by all of the different things happening in the world and all the different trends that you can really focus in on the things that you can actually make a difference to, like creating amazing products that your customers will love and giving great service to your customers as well. So I think that is a really big theme. As I said, number three is the industry’s forever changing and we’re all just trying to keep up. But I should also add to that that the most important thing is that in all of that change, you’re focusing on what you as this is not my concept. This is from Stephen Covey’s 7 Habits of Highly Effective People. But really you focusing on living in your circle of control.

Catherine Edley [00:15:09]:
So theme number four, sales and marketing. This is a topic that is always really well received. People really enjoy these types of episodes. And over the years I’ve spoken to so many different people about so many different platforms. We’ve talked about TikTok, we’ve talked about Instagram, we’ve talked about Instagram in many different forms. We’ve talked about Pinterest, we’ve talked about email marketing on numerous occasions. We’ve talked about optimizing your website, so there has been a huge amount of focus on various different tactics for sales and marketing. And social media in particular is something that people are always interested in.

Catherine Edley [00:15:49]:
And these are very popular episodes as well. So what can we take away from that? What have we learned in the last five years? I think probably somewhat similar to the trends, the social media trends change all the time. Things shift, algorithms change, and the types of content that gets noticed has changed. Probably five years ago there was still some leverage in static images on Instagram and then it went to everything is video and now we’re back to carousels, getting really great engagement. And I think we’ve also seen a shift as well towards the fact that the people who do really, really well on the video based platforms, they may well be people who have a real affinity for creating content. And I think that my opinion about social media has changed over the last few years as well. And I think what I’ve learned from talking to all of these experts is that the biggest issue sometimes is spreading yourself too thin. Because we’ve talked to people, as I said, about every single different tactic or type of marketing that you can think about.

Catherine Edley [00:16:57]:
The truth is, is that if you lean really heavily into almost anything, whether it’s SEO or email marketing or social media marketing, then you will see results. But the danger comes more from trying to lean into the wrong place where your customers just aren’t. And I also think that’s important to recognize where there’s a mismatch between you as a founder, what you love to do, and what you choose to lean into. So, for example, if you are painfully introverted and absolutely do not wish to have your face on camera, then making a decision that you’re really going to push yourself to show up on Instagram can be really, really draining. And I have certainly seen people burn out and just generally feel really miserable because it’s something they’ve been determined to pursue and it just wasn’t them. Whereas if they’d focus, say more on Pinterest, which is a visual search engine as opposed to a social media platform, then they would have been much happier because it suited their personality more equally. So if you love to write, why not lean into writing? I would say with the exception of email marketing, I feel like everyone needs to do email marketing. That’s something else I’ve learned over five years.

Catherine Edley [00:18:07]:
Email marketing is absolutely, absolutely crucial to most product businesses. I would say that it’s important to choose what works for you and to really Lean into that and also not to get swayed by shiny object syndrome. And that is something that we all need to take into account when we’re listening to business advice, including this podcast. You may hear someone talking about a new platform or a new tactic that you think sounds really fascinating, but you have to bring it back to do you have the money to pay someone else to do it? And if you don’t have the money and you don’t have the time and you’re not 100% sure that it’s really going to make a difference, is it really something that you want to be focused on? So, as I said, we have covered every platform, every tactic when it comes to sales and marketing. And I would say that my big takeaway then from the last five years is that lean into what you love to do, be consistent, and make sure you’re giving something a really good go. Trying it before you decide. Right. This isn’t for me.

Catherine Edley [00:19:06]:
But equally so understanding that you are going to have to test and learn a lot of different things to really understand what’s resonating with your customer. And then point number five is mindset is everything. And this is again, something that I also feel like I’ve learned along with you over the last five years. I personally find this one somewhat frustrating because I think that wouldn’t it be great if our mindset didn’t actually impact our businesses as much as it does? Or maybe I should be positive, have a positive mindset and say, isn’t it great that we have that within our control to really manage our business? And I think that not only have we had some amazing mindset experts and coaches on the podcast who’ve really talked about this in great, understandable ways, we’ve had people with sales mindset coaches and consultants talking about how important it is for you to really believe in what you’re doing and to really push yourself and your sales and how you have to have that self belief to do that. So all of those things I think really, really help. And I think the other thing that really stands out is when I think back to some of the amazing conversations I’ve had with people who’ve built amazing businesses. So we’ve spoken across the years. We’ve spoken to people like Connie Nam, who started Astrid and mew, we talked to Claire Burrows who founded Air and Grace, Lucy Greenwood who founded Lucy and Yak, all of these different people who have founded these incredible, amazing businesses when you hear them talk about their businesses, and also, I should say, many, many other people who Built amazing businesses of various different sizes as well.

Catherine Edley [00:20:45]:
What you really hear in the people who are successful in growing their business is the passion. Definitely 100%. You hear passion and you also hear determination. And I remember I interviewed Eleanor Bowmer, who runs Eleanor Boma, which is an amazing story of, of Eleanor starting on a marketplace. And she’s now stopped. Her ranges are stopped in everywhere from Sainsbury’s to Next. And she’s done some incredible collaborations, like Children in Need and so much more. She’s really somebody who has elevated her business and grown her brand and is an inspiration, I know, to a lot of people.

Catherine Edley [00:21:26]:
And I think what really struck me was this story about how she’d ordered, I think it was something like 500 leopard print tea towels. And she was just like, I was just determined I was going to sell them. I was absolutely determined I had to sell them. And she found a way. She went out there and she made it happen. And I think that again, something that when I think of all the conversations that I’ve had with people who’ve grown their businesses, all of the experts around mindset, self belief, around sales, what it all comes down to is you’ve got to be resilient, emotionally resilient, I guess. You know, obviously the podcast is all about resilience in retail, right? And the numbers piece helps you be resilient. So having enough profit and controlling your stock and that’s all really helpful when it comes to navigating the ups and downs of the retail industry.

Catherine Edley [00:22:14]:
Understanding what the trends are, that really helps you be resilient as well. It helps you be resilient when you understand that social media and marketing, it’s about finding what works for you as opposed to try and force yourself into doing something that just doesn’t work. And then, you know, emotional resilience is absolutely key as well. You have to have passion for what you do. Do you have to have a real love of a challenge? To be honest, I think that’s a big piece of it as well. You have to have this ability to pick yourself up. It’s not about building a business where you never get knocked down, that just doesn’t happen. It’s about being able to pick yourself back up when you do get knocked down and that self belief is key and having a purpose.

Catherine Edley [00:22:58]:
So ultimately, what I’ve really reflected on is that retail as an industry is endlessly fascinating. I think the fact that I’ve been able to fill five years worth of weekly podcasts and I feel like I barely scratched the surface of what there is to talk about when it comes to retail and growing a profitable product business. It also really makes me feel like the industry is way more complex than many people realize. And there is also, again, something else that really struck me when I was going back over the podcast over the last five years is, but there still isn’t a huge amount of information out there on these key topics, things like your stock management, things like your sales strategy, your profitability and your cash flow. Another topic that I’m very, very passionate about talking about is how do you control your cash flow? It can feel like money’s flying in and out all of the time, and it can feel really overwhelming. And I think for me, when I reflect back on my journey, this is my 25th year in the retail industry and I spent nearly two decades working in big retailers. And frankly, they were very toxic. A lot of them.

Catherine Edley [00:24:03]:
I had a lot of toxic work environments and a lot of businesses that just operated in a very toxic way. And when I think about what I’m trying to do with the podcast, really what I want to do is help you. I want to help you grow a profitable business that flourishes, that rewards you financially, that doesn’t keep you up at night because you’re not really sure how you’re going to cover the next bill because you’ve got this other bill for your, your stock going out and, and you just don’t feel like you’re in control of it. So I want to help the people who do have that passion and purpose, which I must admit is most people that I speak to when I talk to them about why they started their business. Everyone always talks about wanting to do things better, wanting to make better products, wanting to really help people and planet, for example. And for me, if I can, with the podcast, help you understand better how to create a business that is profitable and thriving, then that for me is a big part of my mission. I feel like the retail industry is exciting and vibrant and it deserves to be full of these incredible independent, small startup, independent retailers and brands who have got exciting new ideas, who are dedicated to doing things better and have got the creativity and need that inspiration and advice to help them understand how those creative ideas actually make money. So thank you, A huge thank you.

Catherine Edley [00:25:30]:
I have to say, a giant thank you to you for listening. If you’ve listened since the beginning, then thank you so much for being with us on this journey. And if you’re new to the podcast, then thank you for joining and coming along for the ride. So what comes next. Well, as I said, the mission of the podcast is clear. It’s about getting you that information. It’s about giving you tips and ideas and inspiration. And we will continue to be hearing from from the best experts when it comes to the sales and marketing tactics that really make the difference, the mindset that you need to be successful and sharing stories with you that will inspire you and motivate you and show you the way forward, but always with that very practical element to it.

Catherine Edley [00:26:13]:
And I will continue to share my solo episodes, sharing my thoughts on what’s going on in the industry, those all important trends, what’s happening, what you need to be aware of, as well as the advice that you need to make sure that you are taking care of your bottom line. You may have noticed as well, we’ve had a new intro to celebrate five years. And just definitely with the podcast, my goal is to make it even more engaging, more exciting. I would love to hear from you. I would love to hear your questions that I can answer on the podcast. I would love to hear the kind of guests that you would like to see on the podcast. I would like to know what topics you’d like me to cover. So do come over to Instagram.

Catherine Edley [00:26:50]:
Instagram at Resilient Retail Club. Say hello. Let me know what the podcast has meant for you, which episodes you’ve enjoyed, and what you’d like to see from me next. I have to say the number one thing for me about the podcast, which I never really expected, was when I meet people who tell me that they listen to the podcast. I can’t tell you how much that means to me because I record most of the episodes in my office where I can reach out my hands and touch both walls. And it’s such an amazing thought to know that this podcast that I put all of this time and effort into gets out there and people are listening to it and it’s making a difference. So thank you again for listening. Do come over to Instagram and let me know what you’d like to hear next.