Your Next Move – "Inside the Engine of Retail Distribution"

Podcast by Inc. Magazine | Episode Date: March 17, 2026

Episode Overview

In this episode, Inc. staff reporter Ali Donaldson sits down with J.D. Hayes, co-founder of Legacy Retail Solutions (Legacy), a CPG advisory firm based in Bentonville, Arkansas. Ranked #899 on the 2025 Inc. 5000 list with 470% growth over three years, Legacy has achieved impressive expansion by helping iconic brands break into—and thrive on—the shelves of powerhouse retailers like Walmart, Costco, Target, and more. The conversation spans the keys to Legacy’s growth, managing through economic headwinds, evolving retail distribution models, the impact of e-commerce and AI, maintaining team culture, and building resilient leadership.

Key Topics & Insights

1. Introducing Legacy Retail Solutions & Their Growth (01:53–03:08)

• Business Model: Legacy acts as a middleware between consumer packaged goods (CPG) brands and major retailers, helping products get listed, distributed, and merchandised.

• Service Scope: Includes omnichannel strategies, warehousing, supply chain, forecasting, operational, and promotional support.

• Notable Retailer Clients: Walmart, Home Depot, Costco, Target, Lowe’s, Amazon.

• Growth Metrics: #899 on the Inc. 5000 (2025), third year on the list, continued improvement each year.

  “I would say that really our success has been the brands that we work with and distribute. We've had a little bit of lightning in a thimble, so to speak. We work with some very iconic brands... Pokemon as an example... Magic... Upper Deck... Panini...”
  — J.D. Hayes (03:20)

2. Biggest Drivers of Growth: Iconic Brands & Collectibles (03:08–04:49)

• Category Focus: Legacy specializes in distributing iconic brands, especially in the collectibles space (e.g., Pokémon, Magic: The Gathering, sports trading cards).
• Market Trends: Trading cards have become a top-performing asset class, driving consumer interest and portfolio diversification.
• Looking Forward: Legacy is searching for the "next big thing" in collectibles to stay at the forefront of value creation at retail.

3. Sustaining Rapid Growth Amidst Trade-offs (05:05–06:10)

• Culture & People: Success is deeply credited to a passionate, committed team, described as “in the people business.”

• Sacrifices: Team members sometimes make personal and professional sacrifices, motivated by genuine passion for the brands.

  “Our biggest team has to be run out of the office on a Friday afternoon at 5:30. It's like, guys, go home.”
  — J.D. Hayes (05:54)

4. Navigating Budget Pressures & Hard Decisions (06:10–08:01)

• Budget Cuts: Legacy has recently faced allocations and the reality of potential budget reductions.

• Strategic Focus: Managing the P&L closely, evaluating where to cut (especially in tech stack), but so far avoiding cutting people.

• People vs. Tech: While the tech stack is scrutinized, the relationship-driven, people-based business model remains central.

  “You can spend a small fortune, you get mesmerized and whiz banged by all these, you know, things. ...But I go back to one of the comments I made earlier. We still really are a people based business, a relationship based business.”
  — J.D. Hayes (07:37)

5. Handling Tough Conversations and Team Stability (08:01–09:05)

• Transparent Leadership: Open communication about business realities is emphasized, providing stability and reassurance during industry turmoil.

  “We are, you know, we're maniacal about finances with our business. ...just giving people that peace of mind that there is stability here. ...I don't think people think that much about how important that is, but boy, it's important.”
  — J.D. Hayes (08:53)

6. The Changing Face of Retail Distribution (09:05–11:38)

• E-commerce Evolution: The rise of digital commerce means “the phone in your pocket” is now the store, shifting priorities to digital content, imagery, and omnichannel strategies.
• AI Integration: AI’s biggest impact is foreseen on the operational side—demand planning, trend analysis, analytics, and transportation—not replacing the personal aspects of sales, but making back-end work more efficient.
• Selective AI Use: Copilot (Microsoft ecosystem) is their AI of choice due to concerns about security and focus.

7. Gen Z Talent & AI Adoption (11:38–12:57)

• Intern Power: Gen Z interns are highly adaptive, especially with AI tools, excelling at research and presentation-building.

  “They have adopted AI like, like crazy...they are just able to go out and put the most amazing top line executive presentations and recaps together with, with imagery and facts and quotes and data and it's just amazing.”
  — J.D. Hayes (12:11)

8. Scaling, Hiring, and Culture (12:57–18:38)

• Hiring Philosophy: Legacy looks for people with hustle, value-creation ability, and strong communication skills.

• Intentional Process: Long, multi-phase hiring vetting; focus on attracting talent that actively wants to join.

• Insider Preference: As Legacy scales, more functions are brought in-house for speed and control.

• Athletic Profile: Preference for hires who played sports at a high level for their discipline, teamwork, and feedback receptiveness.

  “We really look for people that have played some sort of organized collegiate or otherwise organized at a high level sports because they understand discipline...there is a profile with that that...we just see over and over some of the highest performers just constantly, for some reason, they're athletes.”
  — J.D. Hayes (17:51)

9. Mistakes, Culture, & Accountability (18:38–20:21)

• Lesson in Gut Instinct: Recent challenges arose from not acting quickly on cultural misalignment—J.D. and his co-founder owned it openly with the team.

• Honest Dialogue: Owning mistakes publicly built deeper trust and loyalty among employees.

  “We actually did that in our annual meeting with everybody in the room. ...really just owned it. And that might have been one of the more ...probably had more feedback on, hey, just really appreciate what you guys did with that because you didn't have to do that.”
  — J.D. Hayes (20:04)

10. Navigating External Threats and Risks (20:21–23:04)

• Current External Risks: State of the economy, tariffs, and the possibility of major brands going direct are biggest threats.

• Customer Retention Tactic: J.D. favors transparency—inviting clients to witness the complexity and grind with retailers, rather than “playing hide the salami.”

  “We've invited our clients to be a part of the conversation with our customers. We think them seeing the difficulty ...it's a grind. ...And letting them see the punches and the, and the blows that it takes, we think is a good thing...”
  — J.D. Hayes (21:40)

11. Outgrowing Past Growth Levers & Learning from Pandemic Era (23:04–24:55)

• Pandemic Growth Lessons: Explosive growth in toys, home, and pets during COVID-19 was an anomaly; expectations have since been reset.

• Agility in the Crisis: Recounted pivoting from alcohol distribution to selling sanitizer.

  “We would never have thought that our customer would be our customer in these other ways... how long could this last? ...it didn't last forever, obviously, but we maximized it while we could.”
  — J.D. Hayes (24:36)

12. J.D.’s Leadership Philosophy & Ongoing Growth (24:55–26:10)

• Military Influence: J.D.’s Air Force background shapes his discipline-first approach.

• Personal Growth: He's worked at being less rigid and more understanding of various personality types and work styles.

  “I've had to really peel back and learn to be a little bit more subdued and not just such a hard charger on things like that...you don't get so worked up, you know, so I'm trying to not get so worked up.”
  — J.D. Hayes (26:05)

Notable Quotes & Time Stamps

• “Retail is the pioneer of what's happening in the world. That's where the real money exchanges hands. And you've got to be fresh, you got to be new and you got to be priced right and you got to be on point.”
  — J.D. Hayes (04:27)
• “There's hope [in Gen Z interns]. Yeah. ...This current one that's coming up, they are wicked smart. I'm excited for them.”
  — J.D. Hayes (12:47)
• “Hiring is a long process with us...We have people that we feel very blessed that people like really want to be there.”
  — J.D. Hayes (14:30)
• “If you don't share with the people the real health of the company...they think the company makes like eight or ten times more than they actually do. So there's actually value in just being honest and open...”
  — J.D. Hayes (22:20)

Timeline of Key Segments

| Time | Topic | |-------------|---------------------------------------------------------------------| | 01:46–03:08 | J.D. Hayes introduction & Legacy’s business model, growth numbers | | 03:08–04:49 | The drivers behind Legacy’s rapid growth (iconic brands, collectibles)| | 05:21–06:10 | Sustaining growth: culture, talent, team sacrifices | | 06:10–08:01 | Budget management, tough trade-offs, P&L focus | | 09:05–10:10 | Retail evolution: ecommerce & omnichannel strategies | | 10:10–11:38 | AI’s present and future role in retail operations | | 11:38–12:57 | Gen Z interns and digital tool adoption | | 13:08–14:39 | Hiring approach, avoiding overhiring, tariff effects | | 14:49–17:24 | Roles for in-house vs. young hires, ERP implementation | | 17:24–18:38 | Recruiting athletes, protecting company culture | | 18:38–20:21 | Handling mistakes, transparency, team accountability | | 20:21–21:27 | Biggest risks: economy, tariffs, client retention | | 21:27–23:04 | Client engagement, strategic transparency | | 23:04–24:55 | COVID-era growth, learning not to rely on one-time booms | | 24:55–26:10 | J.D.’s leadership roots, habits, and personal growth |

Tone & Takeaway

The episode is authentic, conversational, and insight-rich, revealing the practical realities of running a high-growth, people-centric distribution business in a rapidly changing retail environment. J.D. Hayes underscores the centrality of culture, transparency, and adaptability—both in team dynamics and business strategy—as Legacy navigates growth, technology integration, and market risks.

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