Mar 22, 2017 | By WGSN Insider
Big data meets consumer insights. Experience WGSN.
While Johnson had a rough run trying to transform JC Penney, he seems to be having more success with Enjoy, which he is forecasting will be profitable by autumn.
The business, which is a delivery service and e-commerce operator that helps consumers set up new gadgets at home, is seeing uptake across all generations.
“It appeals to everyone, even millennials, it’s that delivery culture, who want it now,” said Johnson.
Johnson, said the company has assured quality – but now it’s about making the experience more magical.
He called the sort of platform he offers as a “personal commerce platform”, likening the system to Soul Cycle – people pick the class, bike, and time on the internet, but then you go to the studio to have the experience.
While the business has parallels with Uber, as it operates on a demand basis, Johnson has a very different approach to labour and scheduling.
Johnson said the business thinks of its experts as people rather than labour, and staff salary is based on current markets and will vary by market based on cost of living, plus they get benefits from day one, and get “complete freedom of when they work and how much they work”.
He called for retailers to let scheduling work better – to let them be more in control of when they work.
“If staff pick the hours that they want to work, we take the risk on scheduling and making sure that there will be enough customers at the time,” he said.
He said that the biggest challenge to e-commerce growth is customer acquisition. But he said the businesses’ secret is working with manufacturers – it Is AT&T’s smartphone partner, and is doing the same with other manufacturers. “When people go to Sonos and buy a stereo and want it delivered today, we fulfil that, and then when that customer buys their next piece of technology, they come to us.”
By linking up with the manufacturers on a deep partnership basis, it means that it insulates itself from the prospect of future competition, as they’re unlikely to set up a competitive service when they’re already being served so well from an established provider.
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Check out: Petah’s article on tech, the future of retail and why fashion retailers shouldn’t be afraid to embrace failure.
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