00:00:00 Chris
Hello, I am Chris Walton and welcome to this week’s Omni Talk Retail Fast Five, brought to you exclusively by the Omni Talk Retail Podcast Network. This week we come to you live from Las Vegas at Grocery Shop 2026. Omni Talk contributor and host of Grocery Talk, Ben Miller joins me this week where we recorded right from the trade show floor in the Vusion podcast studio built specifically for us by our friends there. Thanks to Cristina Rodriguez and to the entire Vusion team for their support all week. Producer Ella let’s start the show.
00:00:31 Ben
Competition drives innovation. We can’t have AI as something that people are just trying to figure out on their own. It needs ownership.
00:00:40 Chris
They’ve got the most compelling offers in that arena right now in the U.S.
00:00:43 Ben
In my opinion, this is Walmart leaning into Save Money Live better.
00:00:49 Chris
I’m going to make this a question on my Shop Talk panel next week in Nashville. Check. Chief AI officer, overhyped or underhyped?
00:00:56 Ben
So that’s a 41% increase.
00:00:59 Chris
There are 1500 seasonal spirit Halloween pop up stores in the US and Canada. You’re cooking. Let them cook. Ben Miller, Grocery Shop 2026. How you holding up, my friend?
00:01:10 Ben
I’m doing really good. I’m doing really good. How are you?
00:01:12 Chris
I’m doing great. I’m doing great. You did well this morning, too. What’s been the highlights for you so far? Was it you being on the main.
00:01:19 Ben
Stage, opening the show with the CEO of Instacart? That was pretty good. That was pretty cool.
00:01:23 Chris
That was pretty cool.
00:01:23 Ben
That was good.
00:01:24 Chris
Was that a feather in the cap?
00:01:25 Ben
It was a feather royally in the cap. No, no. It’s been a good start, hasn’t it? You know, I haven’t slept much, I’ve had lots of caffeine, but it’s been busy. We’ve had loads of retailers through the booth, haven’t we?
00:01:36 Chris
Yeah, we have. We’ve had a lot of good retailers. We had Mark Williamson from Costco, Brian Moynihan from Albertsons, Yael Cosset from Kroger.
00:01:43 Ben
Yeah.
00:01:43 Chris
Cossett from Kroger.
00:01:44 Ben
Yeah. Hamburger from Instacart. This is just day one, morning one.
00:01:47 Chad
Yeah.
00:01:47 Chris
Right. It’s not even a feather in your cap, Ben. I think the right word would be plumage. You have plumage in your cap for from what you did when you got to kick off this show. So. But my big question, which I know most omnitok fans listening want to know, is what’s it like to share what is probably a 3 by 10 enclosed glass podcast studio with yours truly.
00:02:08 Ben
Look, it’s okay now. Ask me again on Thursday.
00:02:11 Chris
Well said. Well said. Yes, yes. Hopefully we can still stand each other by the end of the day. Yeah, but this seems like we’re doing all right so far. All right, well, let’s get to this week’s show. Without further ado, this week’s show is brought to you of course, with the help of the A&M consumer and retail group, Mirakl, Quorso, Ocampo Capital, Veloq and R&S Logistics. All right, Ben, in this week’s Fast five, we’ve got news on Doordash and Uber Eats delivering from Costco warehouses nationwide. Harps food stores naming its first ever Director of AI Strategy and Innovation, Toys R Us opening 120 new standalone stores in time for the holidays. Meta Lab, the store concept behind Meta as AI Glass is nearly doubling its store footprint. And everyone’s favorite A and M er, Chad Lusk joins us for five insightful minutes. But we begin today with Walmart plus putting more gas savings into its members pockets.
Headline number one is course brought to you as it always is with the help and support of the A&M Consumer and Retail Group. The A&M Consumer and Retail Group is a management consulting firm that tackles the most complex challenges and and advances its clients, people and communities toward their maximum potential. CRG brings the experienced tools and operator like pragmatism to help retailers and consumer products companies be on the right side of disruption. All right, Ben, let’s get this party started. Walmart plus is adding Citgo as its core gas savings benefit, growing the program from 13,000 to more than 17,000 participating stations nationwide. With 10 cents off per gallon and no change to its $98 annual membership price, according to Walmart’s corporate news release. Adding Citgo lifts the number of participating fuel stations by roughly 30%, with the biggest access gains in parts of the Southeast, Midwest and Northeast where Citgo is strongest. Walmart says members who use gas savings, who used gas savings, excuse me, at least weekly saved an average of over $100 on gas last year, which is more than the cost of the $98 annual membership from that one benefit alone. To redeem at Citgo, members activate the benefit in the Walmart app like a Club Sitgo account and enter the phone number tied to that account at the pump. Members can also stack Club Citgo rewards on top of the Walmart plus discount. Alright, Ben, what do you think of this latest gas savings benefit from Walmart? And do you think it’s more of an offensive or a defensive reaction to our friends at Costco.
00:04:39 Ben
You know Chris, I had a little bit of a, I went a bit deep on this one.
00:04:42 Chris
Did you?
00:04:42 Ben
Yeah.
00:04:43 Chris
I love when you go deep.
00:04:44 Ben
Because what I wanted to know was genuinely what is the impact of gas inflation in the US right now? All right.
00:04:53 Chris
Oh, all right.
00:04:54 Ben
So I looked at, I looked at what was the average price for a gallon of gas this time last year? So 20. So yesterday 21st of September in the US so according to the AAA it was $3.18 a gallon.
00:05:08 Chris
Okay, 3.8. I don’t like where this is from.
00:05:11 Ben
Already by the 3rd of September this year that average price was already at 414. Okay, okay. So 318 to 414 Monday this week. Yesterday 444. Okay, so that’s a 41% increase year on year. We’ve had so many conversations already. This show about affordability and gas for so many people is a non negotiable. You needed to get to work kind of. Yeah, yeah, you need to get to work. You need getting around it. There is no getting around it. So for me this is great. This is Walmart leaning into save money, live better because they’ve identified what is one of the key things that’s driving affordability challenge for households across the US at the moment. And they’re saying we know we get it and we are prepared to go outside of our ecosystem to help you for it. So for all of that, I love it.
00:06:08 Chris
Yeah, I do too. I think it’s really, really sharp. I mean the way you just extrapolated that. Ben. I think the words I would use is common sense. Like it just makes common sense for Walmart to do this because the savings are so compelling when you stack it up to the cost of a Walmart plus membership. Like I actually think the savings reported in the headline are probably low if you’re actually getting a lot of gas through this membership program over the time. You know, it doesn’t take that many gallons to get to that level. So you know what’s interesting to me is what you said and it’s that Walmart is now extending outside of its four walls yet again I might add. Especially when you think about the subway, Papa John’s Dunkin Donuts extensions too to bring value to their customers. So it’s all about marketplaces and membership value. You know, that’s what retail’s all about. That’s where the future of E commerce lies. And you know, if I get right down to it, Ben, I want to get your thoughts on closing on this too. I mean, to me, Walmart, Amazon, Doordash, maybe Instacart too, because they’re kind of in the membership marketplace model too. They’ve got the most compelling offers in that arena right now in the US in my opinion.
00:07:12 Ben
Yeah, look, I do not disagree with that. I think the one thing that I do disagree on, I think they might have slightly over exaggerated the value over a year.
00:07:22 Chris
Really?
00:07:23 Ben
So. So I’ve done some math.
00:07:25 Chris
You did.
00:07:26 Ben
And I think, look, for a 15 gallon mid sized car, you’re saving $1.50. $1.50? Yeah. Each time you save, it takes a lot of $50s to add up to $100. So lots of people have got bigger cars. Lots of people use mud gas. I think they slightly overex it. So that would be my sniff the press release comment. But let’s put that to one side. At its heart, this is good.
00:07:51 Chris
Well, you know, we’re not driving those small European cars over here, Ben. We’re driving those Ford F150s over here in the US so. So, you know.
00:07:59 Ben
Yeah.
00:08:00 Chris
All right.
00:08:00 Ben
As someone that’s owned an electric car for the last six years, I. This is a whole mystery to me, Chris.
00:08:05 Chad
Right, right, right, right.
00:08:06 Chris
Absolutely. All right, let’s keep going. Ben, you got the next one right?
00:08:10 Ben
Yeah. Headline number two, and this is brought to you by Miracle, the catalyst of Commerce. Over 450 retailers are opening new revenue streams with marketplaces, dropship and retail media. And succeeding with Miracle, you can unlock more products, more partners and more profits without the heavy lifting. So what is holding you back? Visit miracle.com to learn more. All right, Chris, here we go. Headline number two. So, speaking of Costco, Costco is now available for delivery nationwide through both Doordash and Uber Eats, putting nearly all of its US warehouses on onto the two major platform delivery apps for same day and schedule orders. That’s two more major delivery apps on top of their long term existing relationship with Instacart. Per the Associated Press, Doordash says Costco was amongst the most searched for retailers not yet on its US platform. And the launch covers nearly 360 locations across 47 start states and Washington D.C. instacart, as I just mentioned, has been Costco’s main US delivery partner since 2017. But Costco CEO told investors in May that US same day delivery is growing faster than the company’s overall digital business and it is common amongst its highest spending members. Okay, Chris, are you surprised at all that Costco is Now delivering through all of the big three marketplaces, Instacart, DoorDash, and Uber Eats.
00:09:42 Chris
Oh, my God. There’s a lot of meat on the bone on this one, I think. I think, number one, strange bedfellows for sure. Like, it makes me, when you actually get to the actual logic of this, it makes me wonder, like, why wouldn’t you just go on Amazon, too? You know, if you really think about it. But you know that’s never going to happen, so. But that is. The logic here is, like, you’re saying our customers want us to be on these marketplaces. They want delivery through these marketplaces. They want us to deliver Costco to them via them. So let’s be on them and let’s plug into them. So, like, in theory, the logic is very similar, but yet for some reason, we don’t ever go there.
00:10:18 Chad
But.
00:10:18 Chris
So, anyway, I just wanted to say that up front because I think it’s really interesting when you step back from it.
00:10:22 Ben
Yeah.
00:10:23 Chris
But at the end of the day, to answer your question, I think we’re going to see a lot more retailers go in this direction, because I don’t see. I don’t see why you’re. Why you’re not going to do it. I’ve been hypothesizing about it since 2017. The first that came to me was I had a call with the guys at Delivery Solutions, which I used to be an advisor for. They were later purchased by ups, and they said, chris, like, why wouldn’t the retail community do this? Because it gives them competitive leverage to, you know, be on more marketplaces. That makes it a negotiation. They can also white label the service. I don’t know to what extent Costco’s gonna be on the marketplaces versus white label delivering through all these, but that allows you to pit the providers up against each other for the actual orders themselves, like, who wants this order, bid it out, you know, the whole thing. So it’s just a whole nother thing to me of it’s a. It’s no different than a product negotiation as a merchant, you’re just doing that the same way with the delivery partners, too. That’s my take, Ben. So I love it for that reason. I think it’s really smart by Costco to finally branch out. And I was talking to some other grocers too, here yesterday that had previously been, you know, in that same boat. And I think a lot of people are taking this approach now.
00:11:26 Ben
Yeah, look, from a Costco perspective, Louis, we just had Mark from Costco. He’s been in the stands he was talking about. They always think about the members first. So if their members are on the platforms, then it’s a logical expansion. So from a Costco perspective, it’s been coming, they’ve been trotting with Uber Eats, they’ve been slowly expanding, as you say, it feels inevitable. I think the really interesting wrinkle is to look at it from the other perspective. Okay, okay. So if you’re a shopper, you now have Doordash, got Uber Eats, and you’ve got Instacart, and you’ve got to make a choice of which those marketplaces you’re going to do your shopping on. Competition drives innovation. So you’re going to go to the marketplace that provides you the best service, that provides you the most compelling customer experience, that perhaps is the one that’s investing the most in AI, in the user interface, in the apps, the one that is connecting the most of the store together as possible. So I can see the next level of innovation coming from these marketplaces because of this competition that you’ve just spoken about.
00:12:31 Chris
Yeah. And you know who wins in that ultimately?
00:12:33 Ben
The shopper.
00:12:34 Chris
The shopper. And who else?
00:12:36 Ben
Costco.
00:12:36 Chris
Costco wins in that battle too, because they get the benefit of that innovation and they get to allow the customer to decide where they ultimately want to shop. So, yeah, it goes back to what I said on marketplaces too. Right, Ben? Like that shows you the power of having the marketplace and having a marketplace that is formidable from a technology innovation standpoint, too. Which we’re going to talk about no doubt later on as well, I’m guessing. All right. Headline number three is brought to you by Corso. Your stores are full of data, but are your teams acting on it? Corso turns data into personalized daily to dos that drive sales, reduce waste, and improve execution. No fluff, just action. Help your managers focus on what matters most. Visit corso.com to see Intelligent Management in Motion. Headline number three.
Harps Food Stores has promoted Will McDonald, a longtime Harps employee and former meat and seafood category manager, to director of AI Strategy and innovation in a newly created role. According to Grocery Dive, McDonald’s job is to find ways harps can use AI to improve processes and efficiency and to help the grocer adopt new AI capabilities faster. This is a first. This is his first, excuse me, exclusively tech focused role. He joined Harps part time as a College student in 2014. God, that makes me feel old. Entered the management Training program in 2016, held management and category analyst roles and became meat and seafood category Manager. In just 2023, Ben Harps joins Kroger and Ahold Delez USA in hiring AI specific executives to help navigate the fast evolving technology. Ben, are you pro or con? These the idea of AI executive leadership roles And I have no idea where you’re going to go with your answer on this one and I can’t wait to hear it.
00:14:17 Ben
So I guess thinking about this, I absolutely wanted to ask that question. Answer the question you’ve just asked. Right. We don’t necessarily talk about Harps actually to step back because it’s something that we’ve heard a lot. We’ve been talking to retailers about this. You and I were in Paris last week for a European show. It’s a topic that came up a lot. So there’s a couple of things. What have we heard? So number one, if you. The scaling of AI across the retail operation is the hardest thing. You know, it’s something, it’s very apt because of a sponsor in this particular question. Because that getting beyond trial phase is one of the hardest things. We can’t have AI as something that people are just trying to figure out on their own. It needs ownership. So firstly, is it really important that there is ownership within a retail organization to unlock the benefit? Otherwise it becomes scattergun of lots of trials that don’t add up to anything. So that I’m fully on board with. It needs dedicated focus, it needs governance, it needs prioritization. The key for me in the whole process. And look, I don’t mind how they structure it, what they call it, but it can’t be tail wagging dog. Okay, okay. So it can’t be, we’ve got, let’s do AI. It’s got to be what is the business challenge? What is the business problem? And then how is AI the right answer for this? So that’s kind of why, coming back to this story, I think it’s interesting the Harps and I don’t know the Harps business.
00:15:41 Chris
No. Yeah.
00:15:42 Ben
But they’ve got an individual from the business doing that. So look, I don’t hate that because I think it’s great that you’ve got somebody, however you structure it, whatever level it is having somebody with that business knowledge who can help look at business problems and then think about how we prioritize AI to get after it. That I think is the thing that feels really important to me. Well, what do you think?
00:16:05 Chris
Okay, so you’re bringing up some new wrinkles. Okay, I love this. So, so there’s. Okay, so I want to make sure I. So generally speaking, I think you’re pro. The. The executive elevation of AI.
00:16:15 Ben
Yes.
00:16:16 Chris
In a leadership role. Yes. I don’t want to put words in your mouth, but yes, that was what I took from that. Then the other interesting wrinkle that we need to talk about because you’re highlighting it, is the internal elevation of the person to that role versus bringing in somebody externally.
00:16:31 Ben
Yeah. So the two things that I keep hearing over and over again about AI is number one, it’s really difficult to scale. Number two, you need the context layer. So I’m kind of seeing this as like a one person context layer. Somebody who knows the business, who can then match the two together. And. And however you structure it, I think you need that.
00:16:52 Chad
Yeah.
00:16:53 Chris
Yeah.
00:16:53 Chad
Right.
00:16:53 Chris
This is so interesting. Wow, that’s so interesting to me. Like, I think I agree with you on the last part on this. On the overarching question. I think the jury’s still out for me a little bit. Like, I’m still waiting on the sidelines.
00:17:04 Ben
Okay.
00:17:05 Chris
And I talked to my buddy last night, my kind of my tech conciliary on all things technology related in retail, and he. He kind of said the same thing. He’s like, you know what? I just don’t know yet. There’s still so much to be learned. And the funny thing about this Harps story is like, you know, this is like the equivalent of the guy who like, really knew Excel back in 2000 and got, you know, just knows his stuff and like, is probably the right person for this job to drive change at Harps too, which is kind of cool. But I’m not, if I step back, I’m not rushing ahead to name ahead of AI quite yet. I think if I’m a retailer, I’m gonna. But I’m gonna pressure test my assumptions. Ben, I’m going to make this a question on my Shop Talk panel next week in Nashville. I’ve got three retail executives on my panel next week, and I’m going to ask them specifically point blank, Ben, chief AI officers, overhyped or underhyped, would you recommend doing it? And I can’t wait to hear what they say. But if you put a gun in my head, I think if you’re going to do it, I think it actually sits below the COO or maybe the CIO versus, like, on its own standalone island. That’s not the way I would do it.
00:18:13 Ben
I agree.
00:18:14 Chris
Because I think the deployment of AI in its first and foremost iterations is about changing the operations of the company. It’s not necessarily about transforming the business model as much as it is, you know, improving the day to day operations. So that’s where I think I would put it first and foremost. But what do you think?
00:18:29 Ben
Yeah, I think I agree. I think I agree. And I look forward to hearing what your panel is saying Nashville next week.
00:18:35 Chris
Yeah, it’s a good panel. All right, now let’s welcome Chad onto today’s program. Joining us now for five insightful minutes is longtime friend of the show and partner and managing director at the A and M Consumer and Retail Group, Chad Lusk. Chad is here once again for five insightful minutes to discuss with us how retailers and brands are thinking about their assortment strategies in the evolving wellness landscape. And Chad, if memory serves, you just led a panel at Grocery Shop on that very topic, did you not?
00:19:08 Chad
I did, I did. Yesterday. It was a great panel. We had three members from Target, Chobani and Roxbury Fizz 4 Kids.
00:19:15 Chris
Nice. Nice. Yes. And for those listening at home, we are live from Grocery Shop recording this episode with Chad. All right, Chad, let’s get right to it. So what do you make of the recent trends in food and beverage related to health and wellness and particularly the impact of GLP1s?
00:19:29 Chad
Yeah. So listen, there’s been a lot of talk recently about changes in food, but the reality is that none of these trends have happened overnight. These have been elements and shifts that have been building over years. At this point, we talk about them as if they are emerging signals on the spot. But I’ve been in Food and Bev for the last 20 years and the intent around eating healthier and cleaner, adding better functional ingredients, not just avoiding bad ones, changing the way that meal occurrences happen over the day to, to more frequent, smaller meals, delighting the senses, experimentation, creating new sensory experiences, all while trying to be more conscious of the cost per bite and sip. These are not new things. Right, Right.
00:20:19 Chris
True. In a lot of ways. Yeah, you’re right.
00:20:21 Chad
But I’ll give you, you mentioned GLP1s, right? I will give you that. A lot of them have been accelerated.
00:20:26 Ben
Right.
00:20:27 Chad
So none of these Trends started with GLP1, but the impact is, you know, is big.
00:20:33 Chris
Right.
00:20:34 Chad
Their introduction has created an inflection point. Think of it as a massive curve bending acceleration that was already in the direction that consumers and the food and Bev industry is going.
00:20:45 Ben
Right?
00:20:45 Chad
Kind of. I like to think of the analog of E commerce during COVID right. Where grocery E comm was already on the rise, albeit at a smaller base. But Covid collapsed 10 years of future state growth into one. So that’s kind of where we are on these trends.
00:21:02 Chris
So it’s an accelerant, basically. It’s an accelerant, yeah. All right, so given that it’s that we’re at that inflection point with the GLP1 impact and its accelerating impact on the overall industry, do you think how are consumers, are consumers going to behave differently? Like, are consumers changing all that much?
00:21:19 Chad
There is. So we’re in Vegas right now. So if you were to place a bet here in Vegas on the future of the food industry and the way that it’s going to, would you say that the overall thematic is going to be how do we figure out how to eat more while not adding to our overall nutritional and health issues as a society? Or how do we figure out how to eat less while giving everything that we want and eat from our food? Yes, you would be wise to put your chips on the ladder because what’s happening is there is downward pressure on long term consumption overall. And then you couple that with higher scrutiny from consumers in terms of what they actually decide to eat, and the end result is there are fewer hollow bites to be had out there and consumers more asking, well, what’s actually worth it?
00:22:11 Chris
Fewer hollow bites. That’s a nugget right there, Chad. Nice. All right, so then what are consumers actually saying is worth it to them?
00:22:18 Chad
Yeah, so a couple dimensions to this one.
00:22:20 Chris
Right.
00:22:20 Chad
So what consumers are increasingly doing is having food and beverage and they’re shopping and eating being delivered based on an outcome. Right. And so consumers are much more likely to choose the best fit for a specific need, not the best of a category. Right. Those lines are increasingly blurred. Competitive sets and share of stomach is happening across aisles, not just within aisles. And those that are winning are stealing share kind of across right now. That’s not to say that all jobs to be done in food are the same. There’s a wide set of needs and a wide spectrum in terms of things that make that bite or sip worth it. Right. On one hand you have the highly functional right, which is what we’re talking about with nutritional density and better for you. Right. Let’s also not lose sight of the other side. As a guy who is in the candy industry and sweet baked goods, the emotional side, enjoyment, celebration, needing an emotional lift, connecting with other people through food, through ritual and nostalgia. These are all worthwhile causes and needs to make that bite worth it. The end result, at the end of the day, it’s all about intention. And those products that have a vague role, you know, it’s hard to hide from.
00:23:35 Chris
Right. This is crazy to me because like yesterday we had the Instacart CEO on stage when Ben Miller interviewed him. We had him saying that technology is going to change the grocery industry faster and everything and all the things you’re talking about are happening too, in addition to that.
00:23:47 Chad
That’s right. That’s right.
00:23:48 Chris
And nuts. So. And then at the same time, which a point you mentioned, which I’d be remiss if I didn’t ask this. So this will get you out of here on this. There’s a, there’s a lot of issues macroeconomically in terms of inflation and pricing right now, and consumers are more price sensitive than ever. How are consumer, how are you expecting consumers to seek out value amid everything you’ve just discussed?
00:24:08 Chad
Yeah, there’s two sides to that coin because value doesn’t just exist at the lowest price point. It exists across all price points. So let’s talk about each one in kind. So everyone knows about the rise of private label, obviously, but this is not your parents private label. Right. And it would be short sighted to say that this is about price alone. So we’ve done research at A and M around this and about 68% of consumers say that private label quality is as good, if not better than national brands. High 50s percentage say that the assortment and variety is just as good. And nearly 70% say that it fits their dietary or lifestyle needs. Right. So outside of price, those are the three reasons why people buy food right? For the taste, for the assortment and for the ingredient panel. And so consumers no longer need to make sacrifices in order to hit that entry price point. And that’s defining value on one end.
00:25:05 Chris
Wow.
00:25:05 Chad
But, but, but. There’s more.
00:25:07 Chris
There’s always a but.
00:25:07 Chad
For all my premium price brand friends out there, premiumization is not dead. Right. Very much alive. Consumers are still spending up. They’re just being very intentional on what they’re doing.
00:25:19 Chris
Right.
00:25:19 Chad
And we see many, many examples in industry of where you have a distinctive advantage or differentiation that consumers are willing to spend up on that, whether it’s in the taste profile, in the ingredient panel, the experience and splurge event that it gives you that then consumers through surveys that we’ve done will say it is as good a value as private label in terms of what you’re delivering. Right. And so the key here is not to get stuck in that fuzzy no man’s land in the middle and align your brand’s value proposition against the purchase drivers that matter because the brand on the name of the box and the label doesn’t mean as much as it used to. It’s the attributes that define it.
00:26:01 Chris
Wow. Well, speaking of premiumization, that was a premium experience interviewing you, Chad. So thank you, man. That was great.
00:26:08 Chad
Yeah, thank you. It’s good to be here live with you.
00:26:10 Chris
Awesome.
00:26:15 Ben
Okay, Headline number four is brought to you by Ocampo Capital. Ocampo Capital is a venture capital firm founded by retail executives with the aim of helping early stage consumer businesses succeed for investment and operational support. Learn more@ocampocapital.com okay, Chris, here we go. Headline number four. Headline number Toys R Us is opening 120 new standalone stores for this holiday season with the partner Go Retail Group bringing its standalone footprint to about 160 stores. So according to Retail Dive, some of the new stores will feature creator studios. So, Chris, that’s dedicated spaces where influencers and toy brands can make content. And select stores will add candy shops and cafes. Toys R Us did a smaller version of this last year, opening more than 30 stores, including flagships and seasonal holiday shops. It is also in Macy’s stores nationwide. Chris, are you taking the over or under or on seeing more than 160 standalone Toys R Us locations in 2027?
00:27:27 Chris
Oh my God, Ben. 100% More. 100% More. And you know, I did my research on this one too, Ben. Okay, I did, because. And the way I looked at this one is I said, okay, what’s toys like? Well, toys to me is like Halloween. Yeah, it’s seasonal like Halloween. And did you know, Ben, you probably did, knowing you, but did you know that there are 1500 seasonal spirit Halloween pop up stores in the US and Canada? 1500.
00:27:53 Ben
I did not.
00:27:53 Chris
So last time I checked, 120 or whatever this number is is a far cry from 6. 1500, Right? I mean, yeah, it’s a pretty big delta there. I mean, I’m not a mathematician, you know, but that’s a lot.
00:28:08 Ben
That’s a lot.
00:28:08 Chris
And now, are the margins on toys the same as costumes? No. So you got to figure that into this, you know, probably not, but the opportunity is, to me, in the seasonality and the comps already there. So, you know, a disproportionate amount of the toy business falls in those last three months of the year. The guys at WHP Global are very, very smart. Their CEO is very smart. I’ve met him. He knows what the heck he’s doing. So I think they’re going to continue to refine the model and they will ultimately add more until they find the right number. I doubt it’s 1500, if I’m being truthful, but I think, you know, it’s definitely a lot more than the number, you know, that they’re going to go with in 2026.
00:28:47 Ben
Yeah. Okay. I mean, so I’ve done some digging as well.
00:28:50 Chris
Oh, have you?
00:28:51 Ben
I have, I have. Because what I wasn’t sure on, and I’m going to be honest, Chris, having dug around, I’m still not sure is how many of these are going to be pop ups, how many of these attempts, how many of these are further Macy’s locations? They haven’t mentioned it, so I’m assuming none. Yeah. And how many are going to be permanent stores? You know, Go Retail Group is a pop up specialist. So I, you know, there is some quotes they have not officially confirmed how many will be permanent. Some of them will be pop ups in many ways. I don’t think that matters.
00:29:24 Chris
No.
00:29:25 Ben
Because I think the principle is exactly the same and I completely agree with you. Yeah. What we’re seeing in this iteration of Toys R Us, the WHP global iteration of Toys R Us could not be more different than what went before. We’ve seen a curated range. These are smaller stores. And you know what, Chris? Do you know what I went back to? I went back to why did Toys R Us go in the first place?
00:29:47 Chad
Yeah.
00:29:47 Ben
Okay, so is this a good idea to bring back something that’s died?
00:29:52 Chris
Yep.
00:29:53 Ben
Okay. Okay. Which, let’s work with this.
00:29:58 Chris
I like where this is going a lot. Ben.
00:30:00 Ben
Look me. So number one, did people stop buying toys?
00:30:03 Chad
No.
00:30:04 Ben
Number two, did people actually fall out of love with the Toys R Us brand?
00:30:07 Chris
No, definitely not.
00:30:08 Ben
Okay. All right. Well, that’s two really good things.
00:30:10 Chris
Yeah.
00:30:11 Ben
The story that was told was Toys R Us could no longer compete with Walmart and Amazon and Target on price. And there is truth to that. The biggest challenge is if you look at other categories. So if you look at what Best Buy are doing, if you look at what Barnes and Noble are doing, the category of killers haven’t all died. The category of killers who died were ones that didn’t invest in their proposition and didn’t invest in their stores. So what happened to Toy Duras? They’re a leverage buyout.
00:30:45 Chris
Yeah.
00:30:46 Ben
Yeah. So 5 billion. They had $400 million of debt repayment every year. The business model with the large stores that can’t invest in their real estate didn’t work. So that’s what killed Toys R Us. It wasn’t the people who stopped buying toys and it wasn’t that they didn’t still have this love for the Toys R Us brand. So I couldn’t agree more. That whp this is a really smart move. This is non levered pop up low capex working on the brand. It’s absolutely a great call.
00:31:16 Chris
Yeah. All right, great. So we’re in alignment there. Yeah. And I got to think most of them are pop up too. And sorry for the confusion on some of the numbers too. Some of the reports are saying 120, some are saying 160. So apologies for that. We’ll check the numbers on that. But you know, roughly speaking, you know, those numbers are pretty close together. But net net, I think we both agree there’s room for more here potentially, given what you just said. Right?
00:31:34 Ben
Completely agree.
00:31:35 Chris
All right, well, let’s get to the last one. Headline number five is brought to you by Veloc. Veloc is a proven E grocery technology built by grocers for grocers. They unite proprietary software with right size automation to make same day delivery profitable. To learn more, visit Veloc.com that’s V E L O Q.com headline number five, Meta Lab, the store concept behind Meta’s AI glasses, plans six new standalone stores in the coming months, nearly doubling a footprint that previously stood at eight locations according to Modern Retail. The new stores start with Houston, which opens September 10, and are going to be followed by Atlanta, San Diego, Chicago, Scottsdale, and my favorite and yours, Ben Moynihan station in New York City. Existing locations include flagships in Los Angeles, New York and Honolulu. Metalab has also offered demos and fittings at Best Buy since June and is on track for 50 shop in shops there by the end of 2026. The category is growing fast, but is still young. For example, Circana says smart glasses revenue rose 233% in the 12 months ending just this past May. Ben, is the future so bright for smart glasses that you’re gonna have to wear some Meta shades?
00:32:45 Ben
Oh, my word. I truly and deeply hope not.
00:32:49 Chad
Really?
00:32:49 Ben
Really? Really?
00:32:51 Chris
Oh, wow. We’re gonna, we’re gonna have some, some debate on this.
00:32:53 Ben
Yeah. I don’t know where you stand on this, but look, I don’t like it at all, Chris.
00:32:57 Chris
You don’t.
00:32:58 Ben
And I’ll tell you for.
00:32:59 Chris
You don’t. Wow. Okay.
00:33:00 Ben
I’m gonna tell you for a couple of reasons. So firstly, let me, let me look at this move in isolation. I, I think this is meta scrambling and I think they’re scrambling for two reasons. One is they are trying to get in before the holidays. They’re trying to get product into people’s hands. And this is a product that works for people to touch and feel. So they’re trying to get it out before the holidays as quickly as they can. I also think they’re trying to get it out as quickly as they can because their product is not going to be as good as what Google and Apple are going to bring to the market.
00:33:31 Chris
That could be for sure.
00:33:32 Ben
So Google have committed Apple. It’s all rumors, but ultimately the power of smart glasses is where they integrate with your phone. So you’re either going to have a Google run phone in your pocket or you’re going to have an Apple run phone in your pocket. The integration from the meta device is clunky at the moment. The AI is not great if we’re being really honest. So I think they’re scrambling because the product isn’t going to be as good. And I’m going to hear the third one, Chris, before I hear your views. I think they’re scrambling because I think public opinion against the product and the category is turning. Okay, well let’s come back to that.
00:34:11 Chris
Interesting. Okay, so wait, so I want to make. So the future is not so bright that you need to wear meta smart glasses, but is it so bright that you need to wear others smart glasses?
00:34:22 Ben
So this is my last point. I think that public opinion is turning. So I’m surprised that Google still seem to be so convinced that they could bring this product to market because the. I would call it words, the creep factor. Yeah, I think is getting so big.
00:34:41 Chris
Wow.
00:34:41 Ben
That I think very quickly people are getting turned off these as a product.
00:34:45 Chris
Wow, interesting.
00:34:46 Ben
Okay, let me do another thing. Yeah, please.
00:34:49 Chris
You’re cooking. Let them cook.
00:34:52 Ben
Do you know that the.
00:34:53 Chris
Let them cook. You’re cooking.
00:34:55 Ben
The video and the images that are taken on a meta device, they’re only in 3×4, so you can only get the aspect ratio that is designed for their social media feeds for Instagram. They’re basically creating a product that enables you to record more content, to upload more content. So their algo runs and they can sell more sponsorship. That’s what it is. Their latest version of their glasses are now you. And they advertise it on the principle that you can scroll your Instagram feed without people realizing it. They talk about being connected whilst being present. I think the world’s turning against that as well, Chris. I think it’s a step too far and I Think people are starting to say that.
00:35:37 Chris
Wow. Okay. If there was meat on the bone in the earlier headline, there’s like a whole hamstring on this bone, Ben. Wow.
00:35:43 Ben
Okay, so tell me what you think. No.
00:35:45 Chris
God. I’m trying to digest everything you just said there too. Okay. And you and I had a long discussion about the same topic at nrf. And I gotta tell you, my opinion kind of changed this weekend because I went into the Best Buy installation of meta glasses with meta glasses. And the thing that surprised me, and I’m trying to step away from the meta, Google, Apple part of the conversation, just smart glasses in general. The thing that surprised me is that they are getting closer and closer to the point where the glasses look like normal glasses.
00:36:20 Ben
Yeah.
00:36:20 Chris
And you and I are both glasses wearers. Normal glasses wearers.
00:36:25 Ben
Long time.
00:36:25 Chris
They don’t look like the super dorky Zuckerberg version that, you know, I went out and shamelessly bought.
00:36:31 Ben
Did you?
00:36:32 Chris
Yeah. Never, never worn. But yeah. No, because they look like dorky and then they could tell when they’re on. It just. It looks voyeuristic. It makes me feel like an idiot.
00:36:39 Ben
The Ray Barn tie in is super strong.
00:36:41 Chris
Yeah. So. So I was surprised at how much they’re looking like real glasses.
00:36:45 Ben
Okay.
00:36:45 Chris
So now when I combine that with what you said, which I kind of go in the opposite way, when I combine that with how wired in we all are getting in our daily lives a La Fahrenheit 451 and was predicted back in 1950 or whenever the hell that book was written. Like, I can see a future where we are wearing smart glasses. So let me give you the use cases like, I wear glasses every day like you do. Would I wear a stylish pair if we were back in. In Paris last week and being able to communicate with my waiter just by having them on and translate what he’s saying to me or look at my menu and read it for me in French, 100% I would. And I could do that all without having to interact with the phone potentially too, in the long run. So that’s why I don’t know that the phone interaction is required here. But anyway, so my prediction is that we actually are going to see more stores, more meta stores and. And more definitely more meta stores in Best Buy stores here in the coming years. That’s what I think.
00:37:47 Ben
I look forward to that. I mean, look, when I sit back.
00:37:50 Chris
And think, I don’t have a lot of confidence in my opinion.
00:37:53 Ben
I mean, when I sit back and think about it, Chris, you’ve talked about these amazing use cases of having a device with you that could take photos, make videos, that can play music, that can translate things. The thing is everybody already has that in their pocket. What they don’t need is something that, that people associate with a creep factor.
00:38:12 Chris
There is also another incredible point of friction in this whole process, which is the lack of the optometrist, particularly at the Best Buy and I’m guessing at the Meta stores, although I’m not certain about that. But I’m guessing because it wasn’t mentioned.
00:38:24 Ben
Right.
00:38:24 Chris
But you know, Warby Parker’s done their physical optometrists in there. Because if you’re really gonna get to this world where like you and I can do this.
00:38:32 Ben
Yeah.
00:38:32 Chris
We need them to actually help us see.
00:38:34 Ben
Oh yeah, right.
00:38:35 Chris
There’s a functional requirement here, which is also why I can’t wear the ones I bought because I can’t freaking see Ben. So like, you know, and that’s a real thing. So that, that is my one caveat here where it actually might slow it down. The other point is the growth rate that Circanas purporting. 233% I think it was.
00:38:51 Ben
Yeah.
00:38:52 Chris
Is that fast to you or is that actually sound not very fast?
00:38:55 Ben
That sounds not very fast because it’s going to be up a small number.
00:38:57 Chris
Yeah, exactly right, 100%. All right, well, let’s get to today’s lightning round to close us out. Today’s lightning round is brought to you with the help and support of R&S Logistics. Are you looking for a fulfillment and distribution partner that’s just right? Well, R&S Logistics is small enough to provide custom solutions and that personal touch while also boasting 2 million square feet across 10 locations in the southeast. With technology that can scale your growing e commerce operations, visit rswarehousingsolutions.com alright, Ben, the Emmys were earlier this month and they crowned Widow’s Bay and the Pit. If one retailer got its own prestige TV drama, which company would make the best show and what would you call it?
00:39:37 Ben
Oh my God. So you know, Chris, I’m gonna curveball this. I’m not going to answer your question in the slightest. What I am going to do is I want to give a call out to my incredibly talented brother in law, Rupert, who was nominated for an Emmy.
00:39:53 Chris
Was he really?
00:39:54 Ben
This year. He’s a special effects producer and they were nominated for. For outstanding special Visual effects.
00:40:03 Chris
Oh my God.
00:40:03 Ben
So he was out in LA two weeks ago and Stranger Things won the award. So they Didn’t.
00:40:10 Chris
Oh, okay.
00:40:11 Ben
But kudos to my incredible brother in law Rupert for his Emmy nomination.
00:40:16 Chris
God, your in laws are like steeped in the, in the TV and film industry.
00:40:20 Ben
Oh my God, don’t I know it. Don’t I know? All right, Chris, here we go. Question number two. You and I have both received the privilege this week of leading mainstage keynote interviews here at Grocery Shop. So what is your all time favorite conference keynote?
00:40:37 Chris
Oh, my God, that’s a hard question to ask or answer. Not that it was easy question to ask, I guess. Okay, I gotta think. I gotta think of that across three dimensions. Like what’s the best one I’ve seen? The best one I’ve seen, the most memorable one I’ve seen is Shea Wong of Box.
00:40:51 Ben
Box.
00:40:52 Chad
Yes.
00:40:52 Chris
That dude is freaking hilarious.
00:40:54 Ben
Funny stand up.
00:40:55 Chris
Funny, yeah.
00:40:55 Ben
Retail stand up. Yeah.
00:40:56 Chris
And you know, he was compelling too. The best one I’ve ever moderated personally, I think was the Rapid Fire panel that I did with Ben Thompson and Dave Steck. That was just my, that was my all time favorite. And then the best one I’ve ever given personally.
00:41:10 Ben
Okay.
00:41:10 Chris
That path to purchase on the story of the future is going to be one hell of a party, Ben.
00:41:14 Ben
Oh, nice. You have to tell me about that.
00:41:16 Chris
That was like 2019 though. It was a long time back in the glory days. Cue Bruce Springsteen. All right, Merriam Webster welcomed looks, maxing, vibe, coding and cuffing season, which if you know what cuff. I had to look up Cuffing season. I’ve never heard of that. To its dictionary this week. Is there a word you would either like to see added or taken away from the dictionary? Ben?
00:41:37 Ben
Yeah, I’m going for added. I’d like to see low key added. Low key, that’s coming because my daughters use it all the time and low key, Chris, I haven’t got a clue what they’re talking about.
00:41:49 Chris
Yeah, yeah. I can’t believe that’s actually not in there.
00:41:51 Ben
Before coughing, it would be very helpful to know what they mean.
00:41:54 Chad
Yeah.
00:41:55 Chris
Given how often my kids say that too.
00:41:57 Ben
Yeah. All right, come on, Chris, here we go. Question number four. Vegas has now overtaken New York for me as the city outside my home continent, Europe, that I have visited most often. Something I never planned for. Sorry. Yeah, yeah. Chris, what is the city outside North America that you’ve been to most?
00:42:18 Chris
Oh, you’re gonna love this one. London.
00:42:20 Ben
Yes, that’s the right answer.
00:42:22 Chris
100% It’s London. Yeah. Oh, my God. And I’d live there if I could. As you know, I love London. London’s the best man. It’s absolutely.
00:42:29 Ben
The best is absolutely right on set.
00:42:31 Chris
Yeah, right there. There is a right answer to that question. All right, well, today’s podcast was produced and with the help and support of Ella Siriord. Happy birthday today to Anthony Mackie Schuyler asked into everyone’s favorite marine biologist, Jason Alexander. And remember, if you can only read or listen to one retail blog in the business, make it omnitalk. Our Fast five podcast is the quickest, fastest rundown of all the week’s top news. And our daily newsletter, the Retail Daily Minute, tells you all you need to know each day to stay on top of your game as a retail executive and also regularly feature special content that is exclusive to us and that we take a ton of pride in doing just for you. Thanks as always for listening in. Please remember to like and leave us a review wherever you happen to listen. Listen to your podcast or on YouTube. You can follow us today by simply going to YouTube.com omni Talk Retail and if you haven’t checked out Grocertalk, Ben, where can they go to find that?
00:43:20 Ben
Yeah, of course. So Grocertalk comes through every week on your omni Talk feed. It’s also standalone grocery talk feed if you just want all the content we put out about grocery. And of course, hit me up on LinkedIn @Ben Miller Retail.
00:43:33 Chris
All right, well, until next week, on behalf of producer Ella, Ben and myself and all of us at Omni Talk Retail, as always, be careful out there.
Omni Talk® is the retail blog for retailers, written by retailers. Chris Walton founded Omni Talk® in 2017 and have quickly turned it into one of the fastest growing blogs in retail.