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The Agile Brand with Greg Kihlström®: Expert Mode Marketing Technology, AI, & CX
#720: Building stronger customer relationships using AI with Noah Zamansky, Stitch Fix
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- [00:02]
Liberty Mutual Spokesperson
And Doug, there's nowhere I wouldn't go to help someone customize and save on car insurance with Liberty Mutual. Even if it means sitting front row at a comedy show.
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Liberty Mutual Companion
Hey, everyone, check out this guy and his bird. What is this, your first date?
- [00:15]
Liberty Mutual Spokesperson
Oh, no. We help people customize and save on car insurance with Liberty Mutual together. We're married. Me to a human, him to a bird.
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Liberty Mutual Companion
Yeah, the bird looks out of your league.
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Liberty Mutual Spokesperson
Anyways, get a quote@libertymutual.com or with your local agent.
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Liberty Mutual Companion
Liberty, Liberty. Liberty, Liberty.
- [00:30]
Capella University Narrator
There's a fire inside you you can't ignore. Stand still. Not a chance. You're a lifelong learner who's come this far. Now we are here to help you keep going further. Capella University what can't you do? Visit Capella. Edu to learn more. The Agile Ground
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Noah Szymanski
Foreign.
- [00:58]
Greg Kilstrom
Welcome to Season seven of the Agile Brand where we discuss the trends and topics marketing leaders need to know. Stay curious, stay agile and join the top enterprise brands and Martech platforms as we explore marketing technology, AI, e commerce, and whatever's next for the Omnichannel customer experience. Together we'll discover what it takes to create an agile brand. But built for today and tomorrow and built for customers, employees and continued business growth. I'm your host Greg Kilstrom, advising Fortune 1000 brands on martech, AI and marketing operations. The Agile Brand podcast is brought to you by Tech Systems, an industry leader in full stack technology services, talent services and real world application. For more information, go to teksystems.com to make sure you always get the latest episodes, please hit subscribe on the app you listen to podcasts on and leave us a rating so others can find us as well. Now onto the show.
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AI can create immersive human centric experiences that not only drive sales, but also foster enduring brand relationships in a rapidly evolving market. Today we're going to talk about how AI driven personalization allows retailers to move beyond generic experiences, crafting unique interactions that resonate with individual preferences and behaviors, enhancing customer satisfaction and loyalty. I'm thrilled to be joined by Noah Szymanski, Vice President of Product tech and Design Client Experience at Stitch Fix here at ETEL Boston. Noah, welcome to ETEL Boston. Welcome back to the show, Greg.
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Noah Szymanski
Thanks for having me back. It's great to be here in Boston and yeah, it's been a great ETEL so far.
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Greg Kilstrom
Yeah, absolutely. I know we did the Fireside Chat this morning. Doing a follow up here for those that didn't catch either your previous appearance here on the show or At ETEL Boston. Why don't you give a little background on yourself and your role at Stitch Fix and maybe for those a little less familiar with Stitch Fix, tell a little bit about what the company's about.
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Noah Szymanski
Absolutely. So I'm Noah Smanski. I'm a VP of client and styling experience at Stitch Fix. And I lead the product and technology teams that are really driving transformation of how our clients and stylists interact with our service. And for those who are unfamiliar with Stitch Fix, we are the leading online personalized styling service that helps clients discover the styles that they love that fit perfectly and evolve over time and so that they can look and feel their best. And, you know, style is deeply personal. And that's why, you know, from the very start, when we started nearly 15 years ago, it's been about combining the human empathy of Stylus with the leading and best in class data science to really provide our clients with the most personalized experience. And that's the same approach that we're taking today and really backed by our high quality assortment to help clients save time, look great, and really evolve their style over time.
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Greg Kilstrom
Yeah. Yeah. Love it. So, yeah, we're gonna talk about some of the latest developments of some exciting announcements today, this week from Stitch Fix. But, but before we do, I want to go back and touch a little bit on what you touched on there and some of the interesting applications of both AI as well as that human touch. And so, like many companies, your Stitch Fix is using customer data to personalize, to tailor things, I guess, no pun intended, to tailor things to the customer. But there's also a very unique part of this, which is those human stylists that you mentioned. So can you talk first about, you know, how do you find the right balance? And, you know, you want to use AI, you want to personalize, you want to have that immediacy, and yet you also want to balance that with the human, you know, the human component.
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Noah Szymanski
Yeah, absolutely, Greg. I mean, for us, you know, it is about that combination. But one of my favorite parts of this business and about the service as a client is the huge network of stylists that we have across the country. You know, these are seasoned experts, they're fashion enthusiasts, and they're trend setters, and they're all deeply motivated to really understand your style so they can send you the perfect pieces each and every time. But we realized about a year, year and a half ago that we weren't really shining enough of a spotlight and giving our stylists enough credit. And this is really, you know, this is a really key component that really sets us apart is that, you know, is our stylist. And so we launched Stylist profiles and photos and really was. The idea was like, hey, let's shine a spotlight stylist, and let's showcase, like, their personality, their expertise and their interests. And, you know, what we saw was that clients, a dramatic increase in clients requesting the same stylist. And that's one of the strongest leading indicators of engagement that we have. And so we, you know, we discovered that, you know, this is so important to our clients and this is something that we really wanted to invest in. And so the way we think about it is that that's really like a core part of the experience that sets us apart. But that personal connection with the stylus is amplified by all the technology from the tools that we provide the stylus that make it super easy for them to provide you with a really great outfit selection to the recommendations that we show you on the site. It's all part of that combination. And so with AI moving as quickly as it is, we see we're moving both forward the human element and the AI component for it. Because for us, that's really kind of our differentiating factor and that's why our clients love us and kind of come back again. Again.
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Greg Kilstrom
Yeah, yeah. And I mean, I can attest I'm. I'm wearing a few things from Stitch Fix right now, even a happy customer there. And I do think that that balance is important because, you know, you do, you know, the human stylists. And again, I've. I've requested the same person a couple times in a row as well. And so, you know, you, you give the opportunity to build a relationship of sorts. But also there's that the, the data component is so important to get things right initially because I would imagine, you know, the first step, the first interaction or the first purchase that a customer makes, the better information, the more the, you know, just deeper information that you can have, the better selections you're going to make for them. All of that takes a certain amount of, you know, not only building trust, but also demonstrating that if they give you a little more information, you're going to be able to give results. So there's a value exchange there. How do you approach demonstrating that value exchange with even early customers?
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Noah Szymanski
Yeah, and that's the critical thing, is that we need to demonstrate that value early on. And it's really about showing our clients early on that we're listening to them, that we heard them, that we understand them. We feel like, you know, this is the foundation of trust and that's like really the most important part, you know, of the equate that value exchange equation that we see. And so, you know, last year we launched our Style file, which, you know, we talked about on the last podcast, which, you know, is our AI powered, you know, style profile that we provide for our clients. And that was really a breakthrough for us because, you know, early on in that journey where we're asking the client a lot of questions, it actually showed that we understood exactly what their style was and, and gave them a way to articulate it in words. Right. And so that was a really big step and was a very impactful change for us. But we've continued that approach across the experience and that's where our clients really understand is like, the more they interact with us actually, the better the service really does become. From the ratings that they provide with, we call the style shuffle. Thumbs up when they're looking at different outfits, thumbs down if they don't like it or thumbs up if they like it. And to all the interactions that they have from like the items that they keep or that they send back. You know, that's all part of the, you know, the algos and our system really understanding them at a deeper and deeper level. And so that's how we think about that value exchange that grows with time. But, you know, it's really about like doing more to communicate that, that we've heard them. And another way that we've done this is through our contextual nudges that we've rolled out over the last year, which are just little snippets of text that give you clues around why we're recommending a certain item. And that's been super impactful on our engagement scores and for our clients because we're sharing information like, hey, this item matches your style file or is complementary to an item that you just purchased. And that really helps contextualize what's happening behind the scenes with the recommendations.
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Greg Kilstrom
So as I mentioned at the top of the show, you're making several announcements this week, so I wanted to get to those and so let's talk about a few of them. So Genai has a lot of creative applications. Certainly we've seen some really interesting stuff here at etel even let's talk about a couple of those applications from Stitch Fix. How are you approaching the use of AI assistance in the shopping process and how does this reinforce the human stylists that come a little later in the process?
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Noah Szymanski
Yeah, it's, it's. I mean, it's so great to be here. And AI is definitely the topic of the hour here at etel. And so, you know, we've been at this, you know, the AI game for, since we really found it. You know, we were founded, like nearly 15 years ago, and we had talked about, you know, note assist and the way we embed natural language using large language models in the last podcast. And so that's really given us a head start around, really in depth experience and momentum around application of large language models and generative AI. But the AI assistant, we're really excited. We're announcing this week, and this is the first time where we're really putting the tools directly into our hands of our clients to help them try to articulate what they're looking for and share that with their stylists. So it's really another angle that we're applying the technology to help build that connection with the stylist. And the way what we hear our clients say is that they really kind of struggle to kind of explain what they're looking for. Sometimes when they're starting writing their request note to the stylist, sometimes they don't know exactly how to express that. And so this is really like a perfect use case to introduce natural language in a conversational way and generate the images and provide a visual. And so that's exactly what we're doing. Starting the conversation with conversational prompts, getting a feel for what they're looking for in a conversational, natural way, and then in real time, showing them personalized images in real time of looks and vibes that they can give us feedback on. And at the end of that very quick and seamless process, we're packaging it together in a request note that they can send to their stylist, which has, you know, really expressive express request note and visuals as well. So there's really, you know, something really tangible for both the client and the stylist to work with.
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Greg Kilstrom
Nice. Nice.
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Noah Szymanski
Yeah.
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Greg Kilstrom
And that visualization component, I mean, it's so important, you know, when you're talking about something like clothing or other. Other products like that, it's so important to have that context. Are you doing other things with Gen AI to help that process of like, you know, let me see it before I get it kind of thing?
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Noah Szymanski
Yeah, that's the, that's the next stage. We're not stopping at the AI assistant. And, you know, our clients have said that the, you know, through our research that the most inspired that they, they feel is when they can actually visualize themselves with outfit recommendations and emerging trends. And so that's the next step. Over the next couple of weeks, we are going to be enabling just that for our clients. And it's a really personalized application of the latest visualization techniques using generative AI to help, you know, you know, you can see yourself in, you know, in the actual setting and in the actual clothing. And I think, you know, our clients early, early days and early reaction is really super positive. It's a very aspirational yet tangible way to approach visualization.
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Greg Kilstrom
Nice, nice. Yeah, we'll have to stay tuned for some things there. That's great. More to come there, definitely. So last thing here, as far as announcements go, you're going to be using technology to more directly connect Stylus with customers. Can you talk about how you're going to be using AI and other technology to do this while still harnessing customer data and other technologies to enhance it?
- [13:56]
Noah Szymanski
Yeah, absolutely. We are excited to start ramping what we're calling Stylus Connect, which allows our clients to connect directly with our stylists and in near real time to share questions about style, about fit, about emerging trends, and do so in a way with technology that allows stylists to share looks, to share, you know, items and to really like talk about the, the outfits that the client is looking for. And so for me, it's really about hyper personalization. And you know, I was really excited to use this to plan my outfit for my niece's graduation. And you know, that interaction with the stylist, the conversation was really so natural, you know, and she was able to share lots of looks, you know, in near real time. And, and we were able to really, you know, see and co create that fix and see it come together. And when I received the fix, like everything was great. I put on the jacket and the shirt and I snapped a picture and I sent it to her. And it was just this magical moment where I realized that this is actually a deeper connection than I've ever had with any other similar service. And she was able to provide additional styling advice as well. So far, the results and the feedback from our clients is super positive. And they love this kind of modality and way of communicating directly with our stylists. And so this available on iOS and is going to be ramping over the next few weeks. So very exciting.
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Greg Kilstrom
Yeah, yeah. And I mean, I love that there's lots of different ways to interact as well. So you can work directly with a stylist, you can use the AI Assistant. So using AI, balancing with the human stylus, but also giving customers what they want. Right. I mean, and generally what they want is flexibility, right?
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Noah Szymanski
Yeah, I mean, that's exactly right. It's about giving our clients the agency, and you mentioned about how do we strike that balance. And we really want them to be able to engage with us in their way. And if they want to chat with us directly with the stylist, they can. If they want to jump in and really help visualize their style with an AI assistant, they can. And so that's the exciting thing about how this is going to evolve and how we can actually really try to blend the AI and the client connection seamlessly. Moving forward.
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Greg Kilstrom
Yeah, I love it. Well, before we wrap up here, I know we covered a lot here in a short amount of time, but how do you look at, you know, moving forward? How do you look at continuously improving things, you know, improving the customer experience, always keeping that. That balance or even the optionality in mind, you know, what kind of guides you in the way your team approaches new ideas?
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Noah Szymanski
Yeah, definitely. You know, I think we talked about two of the key guiding principles that, you know, AI is definitely moving very quickly, and, you know, we're committed to. To, you know, investing and staying ahead of that curve. And I think the announcements that we made today have demonstrated how committed we are, and we're going to continue to drive innovation in that space. At the same time, we see a future of AI and humans, not AI or humans. And so that's the second guiding principle for us is, like, always striving to strike that right balance, and we believe that's a real differentiator for us. And using those two key guiding principles, it really is just about listening to our clients and stylists, you know, working with them, you know, to constantly improve and experiment. And, you know, we're trying to just move as quickly as we can. You know, the space is moving quickly, and our client expectations are evolving all the time. And so that, you know, velocity is really the key in the name of the game there.
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Greg Kilstrom
Yeah, no, I love the AI and humans. I love that. And also, you're using AI to not improve the customer experience, but also the stylist experience. So you're using it to improve everybody's experience, in other words, and I assume the business as well. So.
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Noah Szymanski
Yeah, absolutely. Yeah. And the tools that we provide them are so critical for everything that we do. And so that's really a huge part of the equation.
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Greg Kilstrom
Yeah. Love it. Well, Noah, thanks for coming back on the show. Here. Always great to talk with you. One last question. I might have asked this to you already, but I'll ask it again. What do you do to stay agile in your role and how do you find a way to do it consistently?
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Noah Szymanski
Yeah, I think it's changed a little bit and evolved since even the last time. But for us, I think especially with the AI innovation space, one of the things that we've had to do is really take a modular approach as the models evolve, are evolving quickly. So quickly that we need to be able to experiment and almost plug and unplug different approaches. And we need a solid data platform to be able to, to do that. And so that's, number one, is very like take a monitor approach and be ready to, you know, adapt the latest when the latest is, is ready. So that just takes a kind of like different architectural approach and mindset for innovation. And then, you know, secondly, it's, you know, I think for us it's about, you know, collaboration and that's, that's been consistent. You know, we've been working with a lot of, you know, external partners. But, you know, the theme here today has been about, you know, hackathons and internal partners and we don't have like, you know, generative AI team off to the side, you know, doing, working on Gen AI. It's like it's our entire team and it's technology and it's marketing and so that is, you know, we're doing a lot of, you know, evolution of our tools and staying, you know, staying up to date with the latest and greatest. So that's really, you know, kind of how we're thinking about staying agile.
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Greg Kilstrom
Love it. Love it. Well, again, I'd like to thank Noah Szymanski, vice President of Product, tech and Design Client experience at Stitch Fix, for joining the show. You can learn more about Noah and Stitch Fix and Etel Boston by following the links in the show notes.
- [20:04]
Thanks again for listening to the Agile brand brought to you by Tech Systems. If you enjoyed the show, please take a minute to subscribe and leave us a rating so that others can find the show as well. You can access more episodes of the show@theagilebrand.com that's theagile brand.com and contact me. If you're interested in consulting or advisory services or are looking for a speaker for your next event, go to www.gregkilstrom.com that's G R E G K I H L S t r o m.com the Agile brand is produced by MissingLink, a Latina owned, strategy driven, creatively fueled production co op. From ideation to creation, they craft human connections through intelligent, engaging and informative content. Until next time, stay curious and stay agile.
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Capella University Narrator
The agile brand.
- [21:06]
Liberty Mutual Spokesperson
And Doug, there's nowhere I wouldn't go to help someone customize and save on car insurance with Liberty Mutual. Even if it means sitting free front row at a comedy show.
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Liberty Mutual Companion
Hey everyone. Check out this guy and his bird. What is this, your first date?
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Liberty Mutual Spokesperson
Oh, no. We help people customize and save on car insurance with Liberty Mutual together. We're married. Me to a human, him to a bird.
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Liberty Mutual Companion
Yeah, the bird looks out of your league.
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Liberty Mutual Spokesperson
Anyways, get a quote@libertymutual.com or with your local agent.
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Liberty Mutual Companion
Liberty. Liberty. Liberty. Liberty.
- [21:34]
Capella University Narrator
There's a fire inside you you can't ignore. Stand still. Not a chance. You're a lifelong learner who's come this far. Now we are here to help you. Keep going. Further. Capella. What can't you do? Visit Capella Edu to learn more.