What I wrote last week
Concerns With PayPal’s New Plan – Unbranded Processing
Online-Only Startups Adopt a Bold New Strategy: Opening Actual Shops. What is old is now new. Online-only startups thought they could do away with physical stores, but now pivot to a hybrid model and establish physical presence. Online-only retailers realized there were two problems with their business model. The first is that it’s increasingly expensive to acquire customers online. Competition gets fiercer. Factors such as Apple’s changes are also a contributor. The second problem is consumer behavior. Folks want to shop in stores and it’s exceedingly difficult to change that. Digital-native retailers would rather change their philosophy than stick to their guns and go bankrupt.
Google staffers praise engineers for I/O, poke fun at execs because they ‘just kept saying A.I.’ While it’s not easy to manage a company like Google, Sundar Pichai, as CEO of Google, has not delivered a stellar performance in my opinion. He did appoint Kurian as Google Cloud CEO, which adds much needed capabilities and leadership. Besides that, there is not much else that gives me the same confidence as what Satya Nadella or Tim Cook has done. Mr Pichai’s employees don’t seem happy with him. He doesn’t show leadership by example when he had a raise after dismissing thousands of employees. As a company supposed to be the leader in AI, Google let ChatGPT and Microsoft take the lead and had an embarrassing launch of Bard, its high-profile rival of ChatGPT. All under Pichai’s watch.
Fast, the easy checkout startup, shuts down after burning through investors’ money. I wonder how much due diligence investors did when they poured $120 million into a startup that generated $600,000 in annual revenue. The cheap money led to recklessness and so did the arrogance.
Amazon Overhauls Delivery Network to Dispatch Packages Faster. Amazon used to ship items across the country to the hands of shoppers. they replaced that model with one that enabled shipping by region. The end results are lower costs, shorter delivery times and higher customer satisfaction. This is an advantage that is difficult and expensive for rivals to copy. In other words, a real competitive advantage.
Marie Schulte-Bockum – FC Bayern Munich: The Best Run Club in Football. I am no fan of Bayern Munich, but it’s admittedly a very well-run club. This Business Breakdown episode discusses how the club makes money and what it does right to be in a position of strength every year.
Target wants shoppers to think of it for groceries as retailer braces for leaner spending. Costco and Walmart are the leaders in low-cost everything. Aldi and Lidl have the lowest prices in groceries. Trader Joe’s brings quirkiness, uniqueness in inventory and a cult. What does Target have that can compete in the grocery world? What draws consumers to Target are several chic-styled goods and convenience. But the retail chain needs to deliver to consumers a reason why they should shop groceries at its stores. Especially when the freshness is disappointing, the uniqueness is lacking and prices are higher than rivals’.
Other stuff I find interesting
How to Become a Morning Exercise Person. “Despite the challenge of waking up early enough for a workout, Dr. Friel said, mornings are better for most people because they have more control over their time before the commitments of the day kick in. In one study, Dr. Youngstedt and his team instructed 101 adults to do an hour of moderate exercise at eight different times for three days. As expected, those who hit the treadmills in the morning shifted their circadian cycles forward, meaning their bodies were ready to sleep and wake up earlier.“
($) The Surprisingly Effective Strategy for Buying on eBay. A study that investigated more than 25 million eBay transactions revealed that offering round percentages in discount resulted in higher conversion rates. That makes sense to me from a psychological perspective. Consumers don’t like to do mental maths when shopping. Anything that can make them arrive at the conclusion faster will aid the conversion.
Vicious Traps. “Or curiosity and boldness. They are wonderful on their own, but combined can easily create impulsiveness. How about humility and ambition? Excellent traits, but together they can create successfully disguised arrogance.”
Japan’s sleepy tech scene is ready for a comeback. Bullish signs for Japan’s economy and human capital.
Russia Has a Vodka Addiction. So Does Vladimir Putin – But Not the Same Way. A fascinating tale on how Putin consolidated the vodka production in Russia
More than 81% of Nevada’s state land belongs to the state and the federal government
Americans are keeping cars longer. The average age of passenger cars reached 13.6
App Store stopped more than $2 billion in fraudulent transactions in 2022
Netflix’s ads-supported plan has five million monthly active users