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- [00:00]
A
Hey CPT guys, listeners, PVSB here and we want to take a minute to tell you about something that Sree and I are genuinely proud to be a part of. And that's the Cornell OmniCommerce Leadership Program, an immersive on campus executive education experience at Cornell University in beautiful Ithaca, New York, happening July 27th through the 31st. This isn't a webinar. This isn't another online certificate you do in your pajamas. This is five days on the Cornell campus surrounded by senior executives from retail, CPG and ad tech service providers all wrestling with the same questions you are how do I win the omnishopper? How do I navigate retail media? What does agentic commerce mean for my business? The faculty lineup is extraordinary. We're talking Cornell professors alongside practitioners from Mars, Snacking, Nestle, Walmart, Ajo delhez, Fetch Dollar General, Monster Energy, Bayer Consumer Health, and yes, sri. And I will be right there in the room with you. You walk away with a Cornell SC Johnson College of Business certificate, 36 professional development hours, and more importantly, a concrete Omni Commerce roadmap you can bring back to your organization on day one. Seats are very limited. The program is built for VPs, directors and senior leaders who are serious about getting ahead of where commerce is going. Visit the link in our show Notes to learn more and request information. Search online for Cornell OmniCommerce leadership or find the direct link@cpguys.com we'll see you in Ithaca this July. Now let's get into Today's episode. It's June 9, 2026 and this is the Commerce Riff brought to you by the CPG guys. 10 minutes of the news stories that matter in commerce this week. I am of course your co host, pbsb. I'm joined as always by Paparazz, the father of pop stars co. Think Blue Consulting. Sree, what's going on with you?
- [01:59]
B
Warming up, getting excited for our big trip to France in about three weeks and that's the culmination of a lot of hard work. CPT guys are hosting everything from happy hour, breakfast sessions, panel sessions. To get to know more, just go to www.CPTGuys.com. check out our LinkedIn page. You know you have to register. We're happy to see you. I can get in touch with Peter or me. Sri@cpguys.com or pbsb at sri@CPTGuys.com now prior to that, at the time this episode is playing, we're at NielsenIQC 360. We are the closing keynote with Liz Buchanan, the North America president that will be a podcast in the future, so you have lots to look forward to when it comes to content. And of course, we're right bang in the middle of our C Suite series. So, Peter, what can I say, man? It's just exciting times.
- [02:49]
A
And before you know it, we'll be up in Ithaca for the Cornell Omni Commerce Leadership Program the last week of July. Sri. That's going to be a very exciting program. Everybody wants to be a part of it. It's amazing.
- [03:00]
B
Very limited seats left. We're almost packed out.
- [03:03]
A
All right, let's kick things off with a story that's equal parts brand strategy and cultural tightrope walking. Because with America's 250th birthday on the horizon, the marketing world is scrambling to figure out how to show up for the semi quincentennial. That's a good term we should all get used to. Last summer, a record low 58% of US adults described themselves as extremely or very proud to be American, down nine points from the prior year and nearly 30 points from when Gallup first asked a question in 2001. That's the backdrop against which brands are now trying to plant a flag, literally and figuratively ahead of the Fourth of July. Now, some brands have earned the right to be in this conversation. Jeep, which has held the top spot in Brand Key's annual survey for most patriotic brands since its launch in 2020 01, is leaning in hard through its parent company, Stellantis exclusive automotive partnership with the nonpartisan America 250 Commission. The campaign pairs a special edition Wrangler red, white and blue Captain America shield on the spare tire with Marvel's Captain America, a character born the same year 1941, that the Jeep vehicle went into production. That's not a big bandwagon play that's earned brand equity doing work Sree. On the food and beverage side, Clorox's portfolio brands, Hidden Valley Ranch, Kingsford, GLAAD and Burt's Bees have all rolled out efforts spanning limited edition packaging, retail partnerships and paid search. And notably, Coca Cola is remaking its iconic 1971 Hilltop ad I'd like to buy the world a Coke and keep it company around the theme of buying America a Coke with a goal of generating 250,000 volunteer hours tied to food insecurity, disaster relief and youth empowerment. Here's the CPT strategic lens. The brands winning this moment aren't the ones waving the biggest flag. They're the ones who've made the smartest connection between what brands actually stand for and what the occasion means to consumers. As one brand consultant put it, the winning approach is about finding the balance between nostalgia and bringing nostalgia forward in a modern way that allows it to be inclusive of what America stands for today. Question for CBG and retail brands who haven't yet committed is what is your authentic entry point into this moment? Because consumers and retailers are watching, the difference between a brand that belongs in the conversation and one that's just riding the slipstream is becoming very easy to spot. Over to you, sri.
- [05:48]
B
All right, Peter, let's head from Middle America Main street all the way to the East Coast Hudson river. And that is Herald Square, New York. Because Macy's just posted Q1 2026 results and it's a week worth talking about Comparable sales growth of 3%, strongest first quarter performance in about four years raised its full year guidance on the back of it. Net sales rose to $4.68 billion for the quarter ended May 2. Net income came in at 63 million, a meaningful step up from $38 million a year ago. Warms my heart, Peter, because Macy's is one of those stores of our generation in store is what I want to add. But Macy's did a pretty good job of also becoming Omnichannel, which is certainly paying off to the day. The standout performer was Bloomingdale's, where comparable sales surged 10.2% record for the division's first quarter results in its seventh consecutive quarter of growth. CEO Tony Spring credited a combination of buzzy brand assortment, a fun factor unique in the luxury landscape. And I want to be direct about this. The bankruptcy of rival Saks Fifth Avenue, which created a meaningful opening in the luxury department store market, certainly helps. The Macy's namesake banner delivered 1.6% comparable sales growth and Blue Mercury added another 6.4% for the full year. The company now expects comparable sales to grow between half a percent and 1.2% compared to previous outlook of down half a percent to up half a percent. Five consecutive quarters are better than expected results indeed, Peter. That's the headline for CEO Tony Springs so called bold new chapter turnaround plan very early it seems to be working. He's redirecting resources to its luxury nameplates higher potential store locations while exiting weaker ones. Notably, the quarter wasn't without headwinds. Management called out an estimated $0.04 tariff drag on earnings, but they lifted guidance anyway, citing confidence in underlying momentum of the business for CPG brands and retail media partners. Here's what we think Macy's Media Network got a shout out, shout out on the earnings call. Bloomingdale's is the luxury engine. It's growing department store that was on life support three years ago is now quarter by quarter quietly becoming a more interesting commerce partner. We'll be watching the trajectory carefully on the CPG guys. And Peter, I shudder to think this is the story of the have and have nots further separating economic division in America. Luxury delivering for Macy's. Over to you Peter.
- [08:19]
A
Yeah Sree, we should, we should give a shout out to Michael Kranz at Macy's Media Network. He was on our podcast late last year and he's done such a tremendous job. I think Pentalief has been very much involved in that. So congratulations to both of them on those numbers. And I'll tell you, I was walking out of the Palmer House on Thursday after my opening keynote and I walked up State street to pick something up at Target and I walked by the empty sacks off 5th store and it was a little heartbreaking. So it's nice to see as to you, to you to your point, a retailer from our era, Macy's really starting to to shine a little bit more. And as for Bloomingdale's numbers, they must have sold a lot of Bloomies. All right now I want to take our listeners north of the border to my home and native land for a story that is near and dear to my heart because Zellers is back. Pinkies up, yes. After its soft launch in Edmonton last fall, the iconic Canadian retailer was returning to Ontario with two stores, one opening June 18 in Toronto's North York neighborhood at 80 Orifice Road, a standalone 25,000 square foot location. The second coming to Windsors Tecumseh Mall this July. For those of you don't remember Zellers, they were a brand that ultimately got bought out by Target in its short lived entry into Canada. And when they pulled out there was nothing left to remind them of that. And Canada's also recently suffered the loss of the iconic Hudson Bay company. So Zeller's 3.0 strategy reimagines the classic department store through a smaller format, highly curated retail experience spanning 20 to 50,000 square feet. Apparel, accessories, home and seasonal at its core with grocery being layered in for the first time. Interesting. We're talking flavored popcorn, candies, international chips, better for you snacks, grab and go beverages and a curated Italian grocery assortment from the Gigi brand including pasta, sauces, olives and oils. Described as part of a broader focus to expand food snack and confectionery offerings in a more significant way. Over time, the Edmonton pilot had been informative. Home decor emerged as a standout category. The brand is adding Maxwell and Williams, Casa Domani and Home Linens under Rachel Roy, Taharie and Chaps and the apparel side. Adidas is among the latest brand additions with NFL, NHL, Dickies Von Dutch and Juicy Couture coming shortly after the Ontario openings. And yes, Zetti's back. The iconic Bear mascot returns this summer with a national partnership with Pediatric Oncology camps tied to the relaunch. That's brand purpose with real roots in the community. SRI the CBG lens here. Well, Zellers is essentially field testing a new format for value oriented curated retail in Canada at a moment when consumers are under real financial pressure and hungry for discovery. The food expansion is the tell, right? It signals that this is not a nostalgia play. It's a genuine attempt to build a differentiated small format retail model. CPG brands with Canadian footprint should be watching the category list closely. The shelf is being built right now. SRI Close this out, would you?
- [11:35]
B
Every time you talk about something Canada, I'm reminded we need to do more. It is truly North America. We need to talk to more Canadians. We need to talk to more retailers over there and see what we can learn. We got a lot of listeners in Canada out. Let's close this week on something that's going to actually matter to every brand marketer listening. And it cuts right to the core of how we think about consumer relationships in the age of AI. New research from the agency Gale is out this week under the title of the Preference Economy, and it has some findings that could actually stop you in your tracks. Over half of surveyed consumers, 56%, are now comfortable delegating the entirety of their comms with a brand through AI. Nearly 1/3 have already instructed an AI assistant to prioritize certain brands over others. Let's land for a quick second. Peter Gale CEO Andrew Noel put it bluntly. They're saying I will just trust the LLM to be my heavy lifter and filter between me and a brand. And he sees the trajectory as steep. In the next two or three years, 60 to 70% of consumers are expected to be setting brand preferences directly in the AI assistance. This compounds an already fragile loyalty landscape. The average consumer is enrolled in four to six loyalty programs, but most of them are ghost members. Enrolled, not engaged. I have so many Peter that I'm a ghost member of especially Grocery. Among millennials and Gen Z, 61% of those aged 25 to 34 have abandoned a brand for competitors because of superior loyalty experience. How often do you and I tell this story on the cpg? Sometimes I feel like merchandising doesn't even listen. Still do it their old way as gas is the frequent shopper card rewards like everybody has the same blueprint. So as a shopper, who cares? That happens even when the actual rewards from the competitors programs are worse, which is bizarre. The prescription from Grail Double down on first party data. Invest in community as a differentiator. Understand that strategies vary by category. A QSR needs a different approach than a big box retailer, but the common thread is still targeting the same household and that is the consumer, whether through social listening in aisle research or genuine community management. Critically treat loyalty as a recurring investment, not a one time discount mechanic. That's bam bam done. Our take on the CPG Guys if AI is going to be the intermediary to the relationship between your brand and your consumer, the only way you can stay relevant is to have earned a preference signal that the consumer has already chosen to encode. That means the work of brand building, loyalty and community doesn't get easier in an AI world. It gets much more urgent than it's ever been. The brand that matters most to consumers are the brands that will survive the filter. Please build accordingly. Bring it home. Please.
- [14:20]
A
That's a wrap of this week's Commerce Riff. Before we go, make sure you've caught up on our most recent episode of the CPG Guys, featuring Matt Gregory, Chief Customer Officer at Unilever. It's a conversation you're not going to want to miss, and don't miss the upcoming ones. We've got Doug Vandevelde, the Chief Growth Officer W.K. kellogg. We have got Chris Peterson, the CEO of Newell Brands. And of course, big episode 600. We have got our friend Tony Rogers, the Chief Marketing Officer of Dollar General, plus Christine Gambino, CEO of Omni. And we've got the head of Walmart plus joining us. So if any of these sparked a thought, drop it in the comments, send us an email. We read it all, and if you're not already following us on LinkedIn, Instagram, TikTok, Facebook, and yout, well, now is the time. We'll see you next week, everyone. The content in this podcast episode is provided for general informational purposes only. By listening to our episode, you understand that no information contained in this episode should be construed as advice from CPG Guys, LLC or the individual author, hosts or guests. Nor is it intended to be a substitute for research on any subject matter. Reference to any specific product or entity does not constitute an endorsement or recommendation by CPG Guys, llc. The views expressed by guests are their own, and their appearance on the program does not imply an endorsement of them or any entity they represent. The views expressed by CPTGuys LLC do not represent the views of their employers or the entity they represent. CPT Guys LLC expressly disclaims any and all liability or responsibility for any direct, indirect, incidental, special, consequential, or other damages arising out of any individual's use of, reference to, or inability to use this podcast or the information we present in this podcast.