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Apple’s “Scary Fast” events
Jeff Bezos Says Amazon Customers Are Always ‘Dissatisfied’
Omnicom Buys Flywheel to Extend eCommerce/Retail Media Reach
Low-cost e-commerce rivals Shein and Temu shelve US court cases
Alibaba banks on aggressive Singles Day pricing to recoup sales
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eCommerce Tool of the Week
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Dynamic Yield, a Mastercard company, helps businesses across industries deliver digital customer experiences that are personalized, optimized, and synchronized.
Apple’s “Scary Fast” event in 10 minutes
Apple orchestrated an atypical evening product launch, appropriately named “Scary Fast,” on October 30th, 2023, setting the eerie tone just a night before Halloween. In a break from tradition, the online livestream commenced at 8 PM ET / 5 PM PT, deviating from the usual morning or lunchtime slots.
The focus of the event rested on the introduction of new Mac products, emphasizing the unveiling of the next-generation M3 chip series. Apple introduced the initial three chips in the M3 family: the M3, M3 Pro, and M3 Max, integrated into two corresponding devices.Â
The iMac underwent an update with the M3 chip, while the MacBook Pro encompassed all three variants. The 14-inch model debuted an entry-level version housing the M3 chip, while the Pro and Max editions were exclusively available for the higher-priced 14- and 16-inch models, complete with an exclusive black finish.
For a recap of the noteworthy highlights from the event, viewers can access the video summary below and explore the comprehensive news coverage in the streaming highlights provided.
Jeff Bezos Says Amazon Customers Are Always ‘Dissatisfied’
Amazon.com Inc.’s Founder Jeff Bezos, known for transforming an online bookstore into a global e-commerce powerhouse, often communicated Amazon’s ethos through his annual shareholder letters. In his 2016 missive, he highlighted the need to avoid the dreaded ‘Day 2’ scenario, a pathway he described as a plunge toward “irrelevance, decline, and death.”
This insight extends beyond big corporations, resonating with startup investors. Bezos’s emphasis on innovation, agility, and customer-centricity mirrors the startup ethos. He cautioned against relying on proxies, highlighting the danger of processes that obscure actual goals.
Bezos advocated swift adaptation to external trends, emphasizing the importance of high-velocity decision-making. He emphasized that decisions don’t need full information and urged a culture of agility.
Investing in startups embracing this ‘Day 1’ spirit can lead to groundbreaking innovations, reflected in platforms like StartEngine, democratizing investment and fostering opportunities to participate in groundbreaking advancements, similar to being part of Amazon’s growth journey..
Omnicom Buys Flywheel to Extend eCommerce/Retail Media Reach
Omnicom, a marketing communications giant, has acquired Flywheel Digital for $835 million to boost its presence in the burgeoning digital commerce and retail media sectors. CEO John Wren stated that global eCommerce sales are poised to soar by 50%, hitting about $7 trillion by 2025.
Flywheel Digital, the recent acquisition, caters to over 4,500 brands, providing them with strategies to efficiently sell products on platforms like Walmart, Amazon, and Alibaba. Wren shared that while Omnicom contemplated developing similar capabilities, acquiring Flywheel appeared more promising, as replicating their success would take an extensive investment of both time and money.
Retail media is on an upward trajectory, expected to hit $45 billion this year with a projected $106 billion by 2027. However, challenges arise from privacy concerns and negative feedback on in-store ads. Instances like Walgreens’ digital smart screen ads on refrigerator doors faced criticism for obstructing shoppers’ experiences. Meanwhile, Instacart’s initiative to offer brands category-specific buying data aims to forge more tailored connections with consumers.
Low-cost e-commerce rivals Shein and Temu shelve US court cases
Shein and PDD Holdings’ Temu, engaged in fierce rivalry, have surprisingly sought to settle their legal battles in the U.S. by jointly filing court documents in Chicago and Boston to dismiss their lawsuits “without prejudice.”
The reason behind this sudden truce or any potential settlement remains undisclosed in the filings. Both Shein and Temu declined immediate comments on the matter.
Shein had filed a lawsuit against Temu, accusing them of instigating social media influencers to malign Shein and attracting customers to the Temu app via deceptive social media profiles. In response, Temu retaliated, alleging Shein’s breach of U.S. antitrust laws by coercing manufacturers into exclusivity deals.
The details and agreements about the dropped cases were not disclosed, and both companies have denied any wrongdoing in the litigations. These brands are recognized for their low-priced fast fashion models, with Shein operating in the U.S., Europe, and Asia and Temu targeting $16 billion in gross merchandise volume for 2023, exceeding prior estimates.
Alibaba banks on aggressive Singles Day pricing to recoup sales
Alibaba, ahead of Singles Day, its annual shopping festival, is compelling merchants to offer the most competitive prices on its Tmall and Taobao platforms, as reported by three insider sources.Â
Failure to comply could mean losing visibility and support during the event, marking an unusual move for the e-commerce giant. This strategy is seen as a countermeasure against competitors like Douyin and Pinduoduo, challenging Alibaba’s dominance with ongoing discounted items.
The intensified push is aimed at securing Alibaba’s e-commerce foothold, even as rivals reshape consumer behavior through daily live-streamed discounts. Alibaba’s actions coincide with signs of reduced consumer interest in exclusive shopping events like Singles Day, with many shoppers now seeking deals from regular promotions, including on live-streaming platforms.
Initial sales recorded during the event’s early phase demonstrated a promising increase for over 1,300 brands, yet consumer confidence in China remains moderate. The industry is witnessing a shift as daily discounted offerings blur the distinction between mega sales events, like Singles Day, and ongoing promotional activities.
eCommerce Book of the Week
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Signing off,
The Merchant @CartHustle