So. I wanted to share briefly a thing my eight year old told me that, once it was in my brain, I couldn’t get it out, because this child has
proven, over and over, he’s a poet. – I love this story, by the way. – He said, it was just me and him, he goes, Kurt, you know what I hate? I said what, Tanner? And he said, when teenagers
flex with their AirPods. (laughter) And then he just stared at me, waiting for the reaction. He knew he’d said something good. (Paul laughs) And I said, do you even know what that means? And which one, that’s like, for him it’s a real gamble just to repeat great stuff he’s heard. ‘Cause he said some, not
awful, but inappropriate things we were like, don’t repeat that! That he heard on YouTube. – Mm-hmm. – And so, this one was a gamble, and he never said it again, ’cause I didn’t follow up on it. I really should be like, I gotta go back and tell
him to be like, hey. Remember that time you said that? That was pretty funny, and
totally clean and tame. Just reminder to myself. And now every time I see AirPods, I think, I hate when teenagers
flex with their AirPods. – But, you didn’t, he, you asked him if he knew what that meant, and he literally like, do you know what any of that means, and he was just like, no. And then just turned right, you made him admit it. – Yeah, and then, I was like, just don’t, well, it’s always, the lesson is, hey, that was was fine, but if
you don’t know what it means, don’t just go around saying it, you’re gonna get yourself in trouble. – That’s how you sound smart, though, you gotta say it when you
don’t know what it means. – He is smart, though! But he’s, you know, he’s eight. He’s, there’s limited knowledge there. My favorite Tannerism of all time being, I think he was six, it might have been five, five or six, he just, and for whatever
reason, him and his brother were terrified, not of injuries, but of subsequently applying a Band Aid. And I guess it was like, you know, ripping Band Aids off sucks. And it means you got an injury. So he was like, wailing about having to put a Band Aid on for a blister. He gets the Band Aid on, and later that day he goes, mom, my life’s just so
different with my Band Aid on. (laughs) And that, it’s another thing, just been rattling around in
my head for two years now. (electronic music) (coughs) So I did, a couple weeks ago, I did the One Chip Challenge. Are you familiar? – Well, I’m familiar because
you won’t shut up about it. – Yes, I’m very proud. And my eight year old, who also has tremendous tolerance for spice, I’ve been building him
up for several years now. He did a little bit of the
One Chip Challenge as well. The One Chip Challenge is, and this relates to e-commerce in that, I bought it online, and it
is brilliant viral marketing. – Well, these guys are geniuses. ‘Cause you bought a single,
extremely spicy potato chip, how much did you pay for
a single potato chip? – For a single, it’s a
tortilla chip, thank you. – A single tortilla chip, I’m sorry. – Seven dollars. – Seven dollars, but you
also had to pay for shipping. How much did the shipping cost? – So I bought three chips, and I believe all three
shipped were $26 or $27. – All right, so you paid nine dollars for a single tortilla chip, because it was extremely spicy. – It’s in a commemorative cardboard box. – I want to know what their margins are, because I love these men. – (laughs) So this is how
they launched the brand, Paqui Chips, which sells tortilla chips that are notably, extremely hot. They sell a ghost pepper chip that I love, if I eat a whole bag, it will reduce me to tears. Two years ago, I saw on the Today Show and a whole bunch of local news stations, they must’ve just sent these things out, on-air personalities doing
the One Chip Challenge! In which you simply have to
eat a single tortilla chip that has been certified by the Guinness Book of World Records as the world’s hottest tortilla chips, at one and a half million Scoville units. And then see how long you can go without drinking milk or ice cream. Just sit with the agony. And then you, then you turn around and you
upload a video of this nonsense to the internet, hashtag
One Chip Challenge. – So what you’re saying is, you paid these guys nine dollars– – Uh-huh. – For one chip, and then you did all their advertising for them. – Yes. And in between, they
waged asymmetrical warfare against my tongue. – I love them so much. – It’s brilliant! – And they’re sold out! They can’t keep ’em in stock! Just make the chips, guys! Print money!
– Oh get, yeah! When I found out about it two years ago, they were sold out. And it, I think they might have done it the year before that, on a smaller scale, but I didn’t hear about it then. So I got on their newsletter, they, I tweeted at them, I said, when’s this coming back out? They said, get on our newsletter. Sure enough, I get on the newsletter, it’s a month later, they
say, One Chip Challenge is back in stock! Within a week, completely sold out. Yeah. (laughs) – I love them, I want that. – Yeah, they really, it is brilliant marketing,
’cause you’re in, you’re involving your
customer in the marketing, they’re doing the, ultimately, they’re doing
the marketing for you, but you’re leveraging
scarcity and social proof and all this stuff at once. – Well, and it’s extreme,
it’s a thing you, it’s a thing in the world
you cannot get anywhere else. – [Kurt] Yes. – And it is the best
in its market segment, the market segment being, horrific food items. (laughs) – And it’s accessible to anybody, because, okay, yeah, I paid
seven dollars for a chip. But that’s, the thing shipped is 10 bucks. Well, a majority of people could afford a 10 dollar item for, you know, – [Paul] As a goof. – [Kurt] To look cool on the Gram. – (laughs) Look cool on the Gram. – I had just tears streaming down my face, it was brutal. In– – All right, so, let’s get on to actual podcast content. – All right. The couple e-commerce news items, Simon Property Group, largest
mall owner in America– – They don’t own our mall. – [Kurt] They don’t. – But they own– – [Kurt] We’re Westfield. – They own, yeah, we’re Westfield,
they own Woodfield Mall, which is my top Chicago area mall. – Which, you may have
seen in the news when someone drove an SUV through it. – Yeah, I know, it was awesome. – Yeah, it was pretty crazy. – You could say it was awesome
’cause no one got hurt. – Yes. – [Paul] But– (laughs)
– Yeah, in retrospect– – If someone got hurt, it
would’ve been horrible. (laughs) – [Kurt] Well, it was– – He drove it through the Sears, which is good that he
drove it through the Sears. Reduce any sort of possibility of injury (Kurt laughs) if you drive through Sears. – Ooh, dig on Sears. – No one in there. And then he just kind of drove
through the mall for a while, ’til he crashed the car. – Yeah, the Twitter, Twitter video, from
Twitter user nipsfalloff, I’m not kidding. (Paul laughs) We saw that going around. And we’re like, oh man, I wonder what, how local news will credit this man. And they just credited by like, Twitter user, his first name. – [Paul] Yeah! (laughs) – They did not say
Twitter user nipsfalloff. (Paul laughs) Anyway, Simon Property
Group owns that mall, and that was entirely a tangent. It has been reported, 9.4 percent of mall
units were empty in Q3, that ties the previous record from 2011, so 10 percent, almost one in 10 mall units are empty right now. And Simon sees the writing on the wall, they are hedging their bets. So they invested $280 million for a stake in flash sale
site, Rue Gilt Groupe. I’ve seen, I remember years ago when Frost Hill sites
were huge, seeing Gilt. But I haven’t paid
attention to it recently. – Oh yeah, they had an
insane valuation, I thought. – [Kurt] Yeah. – Were they the ones that, you know, some bullshit three years ago where they were like, they’re
worth five billion dollars! Billion dollars. – [Kurt] Yeah, a lot of these– – I don’t think they are. (laughs) – Yeah, these valuations are getting a little out of control. I think that bubble’s popping
with what we’re seeing with, WeWork and Uber– – Considering WeWork was
worth 40 billion dollars two months ago, and is
now possibly bankrupt. (laughter) – So anyway, hedging their bet, they’re
trying to get into e-commerce. So even the mall owners themselves are getting into e-commerce. And they are pushing
shoppremiumoutlets.com, which is an extension of their successful, their outlet stores, the Premium Outlets. It’s the online version of that, and they claim they’ve got an email list of 35 million people, and they’re gonna market to
them with 300,000 products from 2,000 brands. That’s kinda cool, I don’t know, to see this very traditional company making this very expensive
investment into e-commerce. – Yeah, I just wonder how they’re gonna, I mean, I can see them doing, if they got a flash sale site, there just becomes a Gilt zone in the mall that just is like a pop up shop, like a rotating pop up
shop like we have in, there’s an area in our
mall called the Cube. – The Cube! – And it’s technically
being rented by Amazon, but Amazon swaps out what is in the Cube– – [Kurt] The theme. – Every single month, ’cause it was Star Wars
Cube about four months ago, it was a Batman Cube last month, I don’t know if it’s
still the Batman Cube. – I’m sure they’ll switch it. There was the Audible Cube. – It was the Audible Cube. – Oh, the Barbie Cube. – There was a Barbie Cube, yeah. So yeah. – [Kurt] A Barbecube. – A Barbecube. Every month it’s something different. But yeah, there’s a lot of
empty units in our mall. It’s one of our favorite things to do is when we walk around
and a new store opens, we just kind of look and we’re like, oh no, they’re dead. (Kurt laughs)
That’s not gonna work. – Yeah, we morbidly take
bets on how long it’ll last. – (laughs) Yeah, there was a, there was a chocolate
dessert shop that opened directly next door to our office, and it was weird in that it was like, sold desserts, but there
really wasn’t any seating, also who’s eating dessert in a mall that’s not a classic– – That was Cacao 70, which
in Canada’s a very big chain. But here it’s not. – It’s a chain, there’s a lot in Canada. – So I’m, I was rooting for ’em. But it didn’t work out. – But yeah, just walking by and seeing what they were offering and like, how they had it set up, you’re like, oh no, they’re dead. They lasted way longer than
I thought they would, though. – So, I think what we’re seeing is a convergence, where these traditional
brick-and-mortar is evolving, and so is e-commerce as well, to include these physical experiences
like pop up stores, and, in-store retail experiences, where you go see the product, but then order it, just
to have it sent to you, that’s how the Amazon Cube works. – [Paul] Mm-hmm. – I heard Lord & Taylor’s
doing that with pop up shops. But and even Google’s
getting in on the action, they relaunched the
Google Shopping platform at the end of September, and it does two cool things. You can upload a picture of
what you’re trying to buy, and then using Google Lens technology, it will suggest similar items to purchase. So you could be like, I’d like these shoes, or I’d like this dress, give it the photo, and it comes back with, okay, here’s stuff like that, what do you want to buy? And then the, so you
could go shop in person and then, you know, screw the retailer, buy using Google Shopping
to find a similar, a knockoff essentially online. It also, which is cool, you can, and this is, I feel like a shot across the bow to Amazon, you can set automated
price alerts on items when they go on sale, and then it’ll even say like, okay, here’s the store that, your local store that has it in stock, so you can go pick it up today. So there, that’s that e-commerce, brick-and-mortar convergence again. – And I mean, getting
an automated price alert when something goes on sale is just gonna, that’s
so extremely powerful that you’re just gonna get
so many sales off of that, it’s crazy. I mean, I know we talk a lot about, common theme here is how
much I play computer games, and on Steam, if you have
something in your Wish List, if it goes on sale, you get an email from Steam, immediately. That’s like, this game’s
on sale right now. Do you want to buy it? – And do you? – I also have the Steam app on my phone, and my app pops up a notification where it’s like, an item on
your Steam Wish List is on sale, and they always, it’s
clearly the same trigger because it arrives the exact same second the email does, too. (laughs) But yes, twice in the last 24 hours, an item on my Steam Wish
List has gone on sale, and I’ve immediately bought it. – So I don’t know what the
details are on this thing, but if you’re not on Google Shopping, missed opportunity. I would jump on that. – Oh yeah. – Some housekeeping items, so we talked in the previous episode about, two episodes ago about my
Klaviyo Boston experience, and how they’re adding SMS and a lot of excitement about around that and a lot of questions as well. And I know I think I
addressed it then on the show, but people have asked several times, when is it available? They said, for flows, so
the automated version, that will be available
in October, this month, should be available. And campaigns, that comes later. And I don’t know what the exact date was. The other question, people
are, with SMS, you know, not just Klaviyo, all
implementations of SMS, they’re nervous about it. I don’t want to annoy my customers! I hope they can unsubscribe. Yes, of course they can! I, you know, I didn’t explicitly state it, I didn’t think I had to, if you reply STOP, the
customer’s opted out. Period, done. I mean, it’s just the
way SMS short codes work. – I’m very intrigued by the SMS thing, because on one hand,
I personally feel like it would annoy the hell out of me, but on the other hand– – See, I don’t know that
you’d opt in to it, though. – That’s true, I guess, that’s, and to me, that’s
one of the stumbling blocks is that, it requires a
very explicit opt in. That I don’t think people
are used to doing yet. People understand giving your email, but giving your phone
number for some reason feels more personal to me. So it’s like, I feel
like it would annoy me, I don’t think I would opt in, but then everyone who has implemented it that we know of so far, it just prints cash. – Yeah, oh it’s tremendous. – It’s hard for me to
marry those two thoughts where I’m just like, I don’t like this, this is gross. And then also, oh no, but
everyone else loves it, it prints cash. (laughs) – And when we say implemented so far, we’re referring to SMS campaigns, agnostic of app or service provider. – Yes. – [Kurt] Just you are sending
some kind of promotional SMS. – Yeah, I’m talking about
SMS campaigns in general. – But yeah we’re like, consistently crazy row as numbers, where you’re getting
99 percent open rates, and 20x ROI on the spend. ‘Cause the catch with SMS is, you’re bizarrely, and this is the telecom
industry doing this, you’re paying per text you send. – Yeah. Which is BS. – So, do you know what the supposedly most requested Shopify
feature is of all time? – Oh, I know, it’s order editing. – And order editing,
according to Shopify apps team will start rolling out to merchants at the end of this month, October 28th. So if you have been tearing your hair out every time a customer goes, hey, I placed an order, and it’s wrong, can you fix that? And you have to go, no. – It’s small, but I wanted an extra large. – Yeah. So like, that’s and someone asked me, what’s the use case for order editing? That’s the use case. Person placed an order,
and then goes, oh shoot, I forgot to add this. Oh shoot, I forgot, I
put in the wrong size. Oh, can you help? Oh, you know, yes, the answer
now will be yes, I can, let me fix that for you. Once order editing is live in the store. And I for the first time saw another Shopify, new Shopify
feature announced at Unite, is in beta right now, I
saw it in a client store, shipping profiles. So I feel like this
solves a lot of painful edge case issues for people, let’s say you’ve got a store, you sell a whole bunch of regular items, and you’ve got one giant item, or you’ve got one item that
can’t go second day air, that kind of thing. Up until now, your only option was, figure out convoluted
shipping rules to add, figure out some Shopify script
if you’re on Shopify Plus to fix it, the new solution is, shipping profiles, it’s
product based shipping rules. So you can go like, here are
my general shipping rules, and then here are the rules
for this one edge case product. So if that is a concern for you, congrats, it’s in beta,
I believe if you ask, request it from support, they
can turn it on in your store. I don’t know if that’s
official, somebody told me that. Not sure if it’s true or not. I may have just hosed myself. (laughs) You wanna move on to listener questions? Boom! Listener questions! Adam Owens says, oh this is a poll question. I want to be able to have GeoIP decide what currency to
display on the products and in checkout. I’ve seen a few that say they do this, but it either doesn’t work at checkout, or you have to not use native checkout, which is another question, what are the pros and cons if you switch, if you do switch from native checkout, there’s two questions in here. Paul, walk me through geolocation. – Well, geolocation, and by which we’re talking about judging by the, you can sniff
out your users’ IP addresses and the first couple
digits in the IP addresses will, you can trace
them back to the country that that person’s in, you could even do it down
to the city they’re in, but you don’t even have to go that far to figure out the country they’re from. There used to be some
free tools that did that, but they’re pretty much gone now. So now there are services that do it, and they charge you per, you
know, lookup they have to do, and it’s just a piece of JavaScript, and every time a user hits your store, it fires and, a value is returned
that’s the country code, like US or CA, or you know, I don’t know, MX, for Mexico. And you could then, you could then do a bunch
of stuff that’s like, all right, well, if it
returns US, do this. If it returns Canada, do this. And, you know, all that sort of stuff. – What are some use cases for this? – Use cases for that, I
mean, you can change your, if you’re displaying, you know, free shipping below $50, but if someone’s in Europe
and you’re in the US, you want to have the free
shipping threshold way higher, or maybe not have a free
shipping threshold at all, so you can change content like that. I think Shopify automatically will change, you can have a currency switcher, like if you have a currency switcher installed on your website, you can have the currency
switcher default to whatever the currency is that the user is from. You can hide and show content. – If you run multiple sites, you could redirect them
to the localized version. – Oh, that’s right, yeah,
you can redirect them to a localized version of the site, we had someone like that
that they were in Australia and then there was the
non-Australian version. So there’s that. That costs money. I think you can get away with it for less than… Probably less than 200 bucks a month if you have a big store, can still do it for less
than 200 bucks a month. – So this is if I do, I want to just custom, have a developer customize my theme to do whatever the heck I want. – And subscribe to a service, yeah. You’re gonna have a service
that gives you access to their API, you get a
certain number of requests to their API to find out
where the users are from. – Do you remember the
name of that service? – There’s a bunch of ’em. I don’t remember, I linked
it in the Slack channel, with that question that someone
had one, a couple days ago. – Iplocation.net? – Maybe, I don’t know. – [Kurt] Yeah, I don’t know. – They all generally
are, have the same price. There isn’t really much, just search for IP geolocation service or something. – Yeah, there’s a whole bunch. – Yeah. The other way you could do it that’s free, is there’s something called
the HTML5 geolocation API, I think it’s called, which is built into your browsers, and the browser kind of does the request, the browser can
request from the computer what country you’re in. But it can’t do that automatically. So I’m sure you’ve seen this where you go around on websites, and those little pop up that’s like, hey, Google.com would like
to know your location. Yes, no. And you have to check
a box and agree to it in order for it to work with every single site. I’ve always thought that that, using that was a waste of time, because like, you know, a random website
wants to know my location, my immediate response is like, no, you don’t, I’m not
telling you my location, so I assumed people would not, since it required an opt in, people would not opt in to it. But then I’ve had a couple
people come back to me in our Slack channel that was like, oh no, I’ve used it, and people opt in. – Okay. – So maybe. Give it a shot! Hire a developer, have ’em turn it on. – The solution is, hire
a developer to do this, which, while it sounds
technically complex, and therefore expensive, when we’ve done things with it, it really was not that bad. – I mean, the hardest part
is getting the location from the person and how
you manage to do that. I mean, but there are services that have, that do it for you. – Yeah, they do it silently, they don’t have to ask the customer. – And as for the separate question where he’s like, I want
to do a bunch of stuff surrounding this at checkout, my answer to that is, don’t do that! Leave the checkout alone. That’s my thought. Kurt’ll disagree. – The answer, I mean, if
you replace the checkout, the biggest issue is, your Shopify analytics get jacked. That’s the downside. – Yeah, and I mean, I don’t think
this is necessarily a secret, but Shopify views the true core of their
product as being the checkout. – Yeah, replacing the checkout is frowned upon for this reason. – And Shopify’s like, that’s
one of the best things we do for you, is we provide the checkout and do all the things in the checkout. That’s the hard part. And so, Shopify is, you know, trying to… Optimize that checkout, they care very much about
optimizing the checkout and having it work great, so you’re probably hobbling yourself if you switch it. – And the alternative checkout systems, like some of these, if
you’re on Shopify Plus, you can customize your checkout. And you could run Shopify scripts to change shipping, payment methods, and pricing on products
for advanced discounts. Obviously none of that stuff is supported in the replacement checkouts. But if you’re not on Shopify Plus, you can’t edit your checkout. Being, and you don’t want
to move to Shopify Plus, you could use these third party checkouts that add extra features. So the three I know of that are the big ones are Bold Brain, or I’m sorry, Bold Cashier, which Staples Canada uses. Ezra Firestone’s Zipify OneClickUpsell, and, what’s the third one, oh, CartHook, Jordan Gal’s CartHook. They’re, none of them is bad, that’s also the way the
subscription apps work, when you hit the checkout, it’s a clone of the Shopify checkout, you’re not in the actual checkout. Now they’re adding checkout extensions, which is gonna fix that issue. – Well, and isn’t it part of, didn’t they talk in, at Unite 2018 about all, this multi-currency is gonna be built into the Shopify checkout? – Multi-currency is live, and available now in the
native Shopify checkout. – All right, so that kind
of makes this guy’s question almost moot. – A lot of people, I don’t think, realize that this is available to them. – [Paul] Yeah. – So I will link to
that in the show notes. Shopify multi-currency. The, and you don’t have to
be on Shopify Plus for that. If you’re on Plus, I think
the feature it adds is rounding rules, so you convert, let’s say
your price ends in 99 cents and you convert it, now it ends in 38, on Shopify plus it gives you the option where it’ll just re-round it back to 99. – That feels extremely minor to me. – That’s pedantic.
– [Paul] Yeah. – Yeah. That’s not a big deal. – I mean, I feel like if you’re asking these questions like, you have so many international customers, you want to do a bunch
of GeoIP location shit and redo your whole checkout and all that sort of stuff, you sound to me like a candidate for Plus. – Yeah. Yeah, move to Plus. And the advantage there is, you get the additional
support to handle this stuff, you’re gonna get, you can
customize the checkout out of the box if you want to. You could do Shopify scripts
to handle a lot of this stuff. And you get the clone stores. So if you wanted to run
multiple localized versions of the store, you can, it’s all under one account, and you get the multi-store dashboard. – Speaking of which, David Aspinall asks, I’m thinking about
migrating to Shopify Plus. My question would be, do you see significant revenue increases from clients who migrate
that you can only attribute directly to Plus, and as a bonus, what features do you think are the most powerful and game-changing? – I like this question. – I know. Our general rule of thumb
when someone asks us, well, should I be on Plus? What should I do is, what problem are you trying to solve that you think going on
Plus will fix for you. Because, I mean, you
could have a great store that sells millions of dollars a year, and not be on Plus, and be totally fine. But we have clients that
have specific to them pains or problems that plus
then opens up a toolbox that those pains or
problems can be solved. – Yes. – So it kind of depends specifically on why you think you need plus. And sometimes the answer is yes, and sometimes the answer is, eh, Plus couldn’t really
fix that for you anyway, we gotta figure out a
different way of doing it. – Yes, and I would say what he’s saying. Hey, do you see revenue increases that you could attribute directly to Plus? If that’s the question, the answer is, it’s because they were able to– – They were able to
leverage the Plus features. – It’s, yeah, they had a, before you sign on to it, you need to have a plan in place where you’re gonna be able
to leverage those features to see that return on investment. In some cases, the brand is so big, the price is a drop in the bucket, and they just want, they’re like, listen, I want the best of everything and I want the extra,
the VIP priority support. – Well, and don’t they get
different credit card rates? – They get lower processing rates as well. – They get lower processing fees. So if you’re big enough that
the lower processing fees pay for Plus, then yeah, you should totally upgrade to Plus no matter what. – Yeah. Yeah, at the point, if you’re
doing seven figures a month, then it’s like, well, you just go to it just to save on the processing fees. But there’s some other nice stuff like, they’ll give you nine clone stores, where that’s where if
you want to localize it, or you want to use one
specifically for wholesale. You get that priority support, the reduced fees, and the other things are
the Plus exclusive apps, which is, my favorite is Launchpad. So Black Friday’s coming up, you could schedule your sales. So you could say, this is my Thanksgiving Day sale, and it swaps in the theme that has all the info in there, and it automatically
discounts the products, or publishes the exclusive gift product, or swaps out your scripts to change, to power a discount without coupon codes, so that thing’s very, Launchpad’s very convenient, especially during the holidays. And Shopify scripts is cool, if you want to, two common
use cases for that would be, if you’ve got, you want to
have these complex sales and not even use discount codes. So you could go– – Yeah, just do automatic
buy one get one sales, or you know. – You would do that one a lot. – You know, just kind of
like create a pack of things where it’s sort of like, oh, if you buy two of these, then you know, something
else gets added to your cart, and that thing is now free. – Yes. – That they can add it as an add on. – Yes, and the magic is like, all right, if you’re doing a lot of
promos with coupon codes, the coupon code itself
is a barrier to entry, that is a friction point. Shopify scripts let you apply
the discounts automatically, no more coupon code, you may then see a conversion lift or AOV lift that then pays for Plus, just in doing that. – [Paul] Yeah. – But I would say it’s either like, you got a strategy where you know you can leverage those things, or you’ve got very specific
pains or problems like, oh man, we’ve gotta add compliance for California Proposition 65, and so now we can customize the checkout. – Yeah, you gotta add it to checkout. – [Kurt] That does it. That’s one you’ve done a couple times. – We’ve done that a couple times, and legally, if, California has this really dumb law called Prop 65, where if someone somewhere
in some study at one time in the history of the universe found that one of the
ingredients in your products may possibly have caused cancer one time, in California, you need to note that down. – Forever. For the end of time. – ‘Til the end of time. ‘Til someone, and if they buy it, and
the rules are very specific on how and where and what you have to say in order to warn them. Of course the problem with this is, people in California are just inundated with these warnings at all times, so they’re just like, ah, whatever, I don’t even care. The entire property of Disneyland– – [Kurt] Yes! – Possibly causes cancer. – Yes, I was there in June or July, and as you enter the property, there are several signs that say, warning, this are
under Prop 65 may cause cancer. Like, what?
(Paul laughs) Disneyland, the whole park causes cancer? – [Paul] Yep. – And the answer, yes. At some point, you know, maybe there was mercury in the earth, I don’t know. The other crazy one is Starbucks. Every Starbucks in California has the Prop 65 warning on the door. – Oh, because roasting coffee beans, and then the roasted
coffee beans possibly cause a increased cancer risk. – Yes. So the issue is– – Also all grilled meats
cause increased cancer risk. – You know, obviously we have to say, hey wow, it’s great they’re
trying to protect people, but when you do it to the point of change, where people will have banner blindness, no one is going to pay
attention to the label anymore. – If every day of your
life you’re warned about something that causes cancer 10 times, you’re kind of just like, I don’t even care anymore. I can’t leave my house. (laughs) – Yeah! Yes, that’s the issue with it. – As part of those rules, in the checkout, you have to note what products cause cancer– – If it’s going to California. – If it’s going to
California, and the way, and obviously you don’t want
to do that to every state, ’cause people in other
states are gonna be like, what, holy shit? I don’t want to get cancer. I’m not buying this. So we’ve implemented a thing where in the shipping field, if they put California
in the shipping field, it sniffs that out, and then pops all the warnings up before they purchase. – Yes. – And you can’t do that unless you have Plus. – Yeah. Yeah, you can’t edit the checkout in a reasonable way without Plus. His follow up question, Mr. Dave, Dave Aspinall’s question, who, he owns Chase and Wonder, which has one of the best
about pages I’ve ever seen, chaseandwonder.com. He writes, what’s the best
app solution for wholesale, we sell wholesale in multiple currencies with different pricing, not directly linked to a
currency exchange rate, and currently use a
different platform for this. Handshake, which incidentally
was bought by Shopify in May, I’d like to bring our wholesale site, so it sits within Shopify. Mostly so I could sync with Klaviyo and other automations which
our current provider lacks. Anyone got any solutions
that aren’t klunky? And it sounds like, all right, if you’ve got– – Well, the thing with the wholesale, with, he has different pricing, but the pricing isn’t
connected to exchange rates, I don’t know how to fix that, without, unless you have
multiple wholesale stores. – That’s the answer. So under Shopify Plus, you
get the nine clone stores, so that’s how he would do it. And it’s cool, you go, you tell them, you email your merchant success manager, or the merchant success team, whichever, and you say, hey, I need to clone my store. I’m spinning up a new store, clone it. And they will sure enough, they will do, you’ll get
another store in your dashboard that is a duplicate of the first one. It’s not perfect, there’s
a handful of things you’ve gotta go finish yourself. – [Paul] So say he is– – But it saves you a lot of work. – Say he has a standard retail store, then he has wholesale one, and then he has four
other wholesale stores for four major currencies all, when he makes a change, does he have to make
that change five times? – Good question. This was one of the big
Unite announcements– – I’m not even trying to
throw you softballs, here. I legitimately don’t know the
answer to these questions. – So you get, you, if you’re on Plus you have
a multi-store dashboard. And, I don’t know if that’s a
brand new feature or not, I’ve never logged into
the multi-store dashboard. – I’ve never seen that. – Yeah, so I don’t know if it’s rolled out to everybody yet or not. The multi-store dashboard, you can have a single product catalog that also lets you, like a single product
catalog for everything and then you can make individual changes to even description, price, whatever on a per-store basis. So there’s a lot of effort put into, you can manage this multiple
catalog in a sane fashion. – Well that sounds like the answer to all of his problems. (Kurt laughs) Shopify Plus. – Well, and so, I’m thinking through this for– – Buy it today. – A client with a huge
wholesale store right now, and for wholesale, and they were, they were
using Bold Customer Pricing. So you tag, and Bold
Customer Pricing’s cool, you don’t need Plus for it. The, let’s say they tag
their wholesale customers bronze, silver, gold. And Bronze gets 20 percent off, silver gets 30 percent off, gold gets 50 percent off. And then Bold Customer
Pricing implements that. But it’s, all apps of that level of complexity including our own Crowdfunder, it’s a little hacky, it has
to do a bunch of workarounds to achieve this. If you, so that’s option one without Plus. With Plus, you can, you could do essentially the same thing, just with a single Shopify script. Where you say, and this is
an example script they have that you could just get, you don’t need to know code, just plug in your variables and run it. It’s like, if customer tag gold, discount all products 20 percent. If customer tag bronze, blah blah blah. So you could power the whole thing without having to use an app, without having to mess with, you know, crazy multi-variant setups where there’s, the
discount’s a hidden variant and yeah, big pain. – Rachel Reed says, customer retention
techniques, exclamation point. I assume she wants us to talk about them. Product replenishment, product
replenishment email flow, and Black Friday, Cyber Monday benchmarks. Kurt, what’s product
replenishment email flow? – All right. Product replenishment email flow, this could be one of two things. (Paul laughs) (laughs) So the– – Does that mean how to send people emails when products are back in stock? – All right, that would be a safe, that’s the first safe guess, is she’s talking about
back in stock emails. I don’t think she is. – [Paul] Okay. – But let’s say she is. In Klaviyo, they have a flow called a back in stock flow, and they give you a back in stock form you put on the product page. When the product’s unavailable, it swaps in this form, they put in their email, they go on a list. When the product’s back in stock, they automatically get
an email from Klaviyo going, hey, this thing’s available, you want to buy it? In an ideal universe, you also run dynamic checkout buttons, so that way, I get the, I’m sitting on my couch on a Friday, I see, oh, man, that tee shirt
I wanted’s back in stock. I’m describing a real event that happened. (Paul laughs) That’s how I bought a
stupid Star Wars tee shirt. Months later, you get an email, this thing’s back in stock! I click it, I end up on the page, I click buy now, Apple Pay, so start to finish in nine seconds, I bought a stupid Star
Wars tee shirt that I like. So that’s the back in stock version. Product replenishment flow is very, is different and very clever. Let’s say, the good, you gotta sell a consumable good. So let’s say you sell,
coffee’s the easy answer. And oh no, I ran out of K-pods! Or K-cups, whatever
those things are called. And I reorder. So Klaviyo knows, and I’m assuming, this is a Klaviyo flow, ’cause Klaviyo can
predict next order date. You use that to email the person, or maybe you know, you sell supplements you know only last 30 days. You preempt it by sending them an email at three weeks from the
order of that product, and you could do flow
filter, filter by product, three weeks from when they order that, hey, do you need more? Are you about to run out? Here’s a link, you
could reorder right now. – And you give ’em a deal on it? – If you wanted to, you don’t have to. – [Paul] Hmm. – That’s up to you. That’s the easy part. – [Paul] I like deals. – We all like deals. The, so and if you’re gonna do that, use dynamic coupon code,
for the love of God. And then you can send a follow up, hey, your coupon code’s about to expire! She also mentions, customer retention techniques! – Also she says,
strategies to increase CVR from blog visits. CVR, customer value– – I think, all right, so also saw CVR and was like, what does that mean? I think CVR is shorthand
for conversion rate. – Oh. – [Kurt] Yeah. – People, be more specific
in your questions. I beg of you. – Well, and especially for like, new merchants, people
who are getting started, if the acronym confuses me, (Paul laughs) if someone’s new, they’re gonna be like, I don’t know what they’re talking about! (Paul laughs) And if we use acronyms on the show, or technical terms, I apologize,
that is a personal failing. All right, so her first topic suggestion was customer retention techniques. So you want to focus on
retaining your customers because customer acquisition
costs are so high. That’s really what makes or breaks direct to consumer brands is, what’s it gonna cost you
to acquire a customer. – So customer retention techniques, well one– – [Kurt] I think the– – One is have a good product, and give them a good user experience with the thing that they bought from you. – [Kurt] Yeah, it starts
with good experience. – So they don’t hate
you after they buy it. And then two, it’s just all email. It’s email ’til the end of time. – Yes. Yeah, it’s gonna be staying
top of mind with email, having, you know, consistent promos, having relevant valuable
content related to it, having that automation like, hey, get these accessories,
that kind of thing. But also, I mean, there are other
channels you could look at, too. So that’s where SMS could come in handy. But I think it has to start
with customer service. You have to be like,
hey, you got your item, you know, is everything working out, let us know if you have any questions. If you’re leading with
either customer service, or hey, let’s be entertaining and here’s a bunch of value, you know like you’re a Hoonigan-esque media company, people are there for that media and the entertainment are like chubbies, where I say on that newsletter, I won’t buy anything for nine months, and I’m just like, I want to see what they’re putting out next. I think that’s, those are the
methods for retaining people. Is, you’re selling as a side effect of the other things you’re doing. – Yeah, it’s like, It’s like, you now know what they bought. So like, if you have the time and the ability, you want to… You want to contact them. – You need to stay top of mind. – You need to stay top of mind– – [Kurt] Without being salesy. – But keep in mind the
thing that they bought. So that is sort of how you’re– – [Kurt] Segmentation? – Helping them, like segmentation. Say if you’re selling home
brewing kits or whatever, you’re contacting them about, well, here’s how you’d need to do it. And here’s some tips, and how did that turn out? And stories about it, and accessories you might want to buy. You know, I think that’s really where
segmentation gets very strong. – Oh, absolutely. – [Paul] Is– – But it could even start with– – Segmenting post-purchase flows, depending on the exact
product that they bought. – Yes. And you know who does a
really good job of this is Recycled Firefighter, Jake Starr. Depending on which product you buy, he turns around and emails you, this is the story behind that product. These are the details behind that product. Hey, I’m doing a 24 hour
sale on related product. He dives into, he looks at
the category you bought. ‘Cause if I buy a wallet from him or I buy a backpack from him, those are very different purchases. So he will, he’s gonna
segment his follow ups and his campaigns based on that. I think that’s, well, you know what, if we distill it down to its core thing, it’s, be relevant to their purchase. You know what they bought, send them relevant content. – Mm-hmm, always. – She asked about BFC and benchmarks, dude, I have no idea. – I don’t know, just sell a bunch of shit. – Yeah, you know, just get out there and sell some stuff, what’s your problem? – (laughs) Well, it’s like, don’t– – It’s too broad. – It’s too broad, you can’t set goals, the only goals you could set are your own goals. We can’t tell you what your goals or your benchmarks need to be. – Yeah, it’s gonna be different based on how old your brand is, what you sell. Do you, are you direct to consumer, are you the manufact-, there’s
so many factors in that. – And I mean, I guess
there are other benchmarks that we sort of have rules of thumb for, like email opens and stuff like that. – If it’s, yeah. – [Paul] We’ve talked
about that previously. – The moment you’re at
15 percent and under for your email opens, you have a problem. – Yeah. – You want to keep it at above 20, but realistically 30’s good, or return customer rate, well that’s a benchmark for Black Friday, you’ll probably get a
lot of past customers, but I mean, those are all
things you would look at in retrospective to decide
was this successful? – After it’s over, did that work out? – Yeah. I think– – You shouldn’t be
setting preemptive goals I guess, just kind of do the best you can. – And I like that she asked
about customer retention, and then Black Friday benchmarks. Because I, on Black Friday, you’re not acquiring a cold
customer on Black Friday. It’s gonna be people that
you’re remarketing to from the previous 60 days as well as past customers who may be, you know,
eyeballing something else, rebuying or purchasing a gift. – Yeah, we talked about
this previously in that, costs of customer
acquisition through November are just gonna be through the roof. So trying to acquire new customers is gonna be extremely
expensive at the content store, at the– – [Kurt] The traffic store. – At the traffic store, AKA Facebook. So instead of that, you need to be remarketing to people to keep your costs low. – Yes. Yeah. And then she asked a
wonderful follow up question, strategies to increase conversion rate from blog visits. All right, here is the tactic that Ezra Firestone teaches. This is the example he
uses, it’s a great example. His market is, is women who are concerned
about fine lines and wrinkles. So they Google something related to that, they land on a blog post about it. The blog post has an email opt in in the middle or the bottom, this is called a content upgrade, where essentially you say, hey, do you want to learn more about the topic that this blog post is? And if it’s about a product you’d say, do you want to get 15 percent
off your first purchase? And immediately you deliver on that. You also have an exit intent pop up when they go to leave the site that tries to collect their email, ’cause we just, we need to
get them on that email list, get them into that welcome series and build that relationship. And then because they
visited that blog post, create a custom audience in Facebook for just that blog post, and then send them the offer related to exactly that thing. So similar to the core message of our customer retention answer is be relevant always, same deal with, that’s how you’re gonna increase conversion
rate from blog visits. Maliq, frequent commenter Maliq asks, how often should you
be emailing customers, and at what point do you go for the sale? How many value emails should you send before asking for the sale? That’s a very– – I think you’re asking for
the sale on every email. – You do it as a PS. – I think at the end of every email you’re just like, hey, buy this thing. I mean, why not? – I would do it as like, and if you’re looking for
a hard and fast number, it’s three to four, but there’s people who are
gonna want to buy right away, and you want to prime
the pump on the idea. So I think it’s like, it’s always entertaining or
informative or educational email with a PS, hey, you
could buy this right now. Ready to buy right now, here you go. And then email four is, hey, that thing we’ve been talking about, you can get it right now. – Well, and it lets you
winnow down the list too, ’cause obviously if people
bought at the end of email one, you don’t have to send them email two. – [Kurt] Yes. – And that allows you to, as you go down the funnel, you tailor the message, ’cause clearly the email two buyers don’t
ever see email three, so then email three can give a different or harder sell. And then those people that
were bought by email four, so then email four can
give an even different and different sell. You can keep hitting them
from different angles. – I’ve heard this strategy
called buy or die. (Paul laughs) Or, I like that one. Or, buy or get off my list. So it starts educational, educational, soft sell, soft sell,
educational, moderate sell, harder sell, extreme
sell, you’re unsubscribed. Or break up email at the end. – I think yeah, I think four
even feels like a lot to me. I think at four, I think four you’re just
like, all right, fine. You get a coupon code. You held out long enough. (laughs) – Good things come to those who wait. (Paul laughs) Yeah, no, that’s a good question. And the other one’s, how often should you
be emailing customers? As a general question, so the people are so worried
about annoying customers. People’s tolerance for pain
with email’s very high, especially if you
deliver any kind of value or entertainment in the slightest. So don’t, certainly don’t spam people, but there, you could
get into an issue where, if you don’t email them enough, they forget, they’re like, who is this? When did I sign up for this? And you’ll get more unsubscribes by sending too few emails. So I mean, and I think you’re getting into too few at the point where you’re at once a month. I like, I think weekly is the
right answer, I really do. It’s gonna depend on the brand and the content you have available. But I would not want to be sending fewer than twice a month, or they’re gonna be like, who is this? And just unsubscribe. – It’s like email them until
your list starts shrinking. – That’s also true, yeah. – Did your list shrink this month? No, send more emails. – Yeah, look at your unsubscribe rates. See what it does. And you could also use segmentation. So I’ll give you an example that I use. I love segmentation. I’m doing a virtual
conference, virtual summit, for e-commerce tech, and it’s about operational
excellence for Black Friday. Okay, so I know it’s about Black Friday. So I looked at people who opened my Ezra Firestone Black Friday email, if you opened that, I know you’re probably
interested in Black Friday. So you, only if you opened it do you get the email about this upcoming Black Friday webinar. Then we do a follow up email to that one, you only get the follow up if you opened but didn’t click the operational excellence one. So it’s like, all right,
I know you’re interested, but you know, maybe you got distracted, you didn’t have time, so I’ll send you a second one. That way I’m not just
spamming the entire list, and I think that’s the other approach to get comfortable with
sending more email, is through that segmentation. – You’re ridiculous. – Oh, I love segmentation, it’s so fun. – You’re so weird. I’m so glad I hitched my car
to a congenital optimizer. – I am, I’m addicted to optimization. 100 percent, that’s what’s going on here. Closing, closing, we always need topics and questions for these episodes. And we like to help, our Facebook group is growing. Help us get to 3,000 members
in our Facebook group. Search the Unofficial
Shopify Podcast on Facebook and join Unofficial Shopify
Podcast Insiders Club, we would be happy to have you. And Happy Halloween. – Halloween’s a couple of weeks away. – I love it. You don’t love Halloween? – Ah, I’m too old. – [Kurt] That’s a no. – I’m too old and I don’t have kids yet. I’m sure I’ll love it
again when I have kids. – That’s a good point. For me it’s just like, oh, this is the season
in which Addams Family’s on loop on the TV. – Oh, that cartoon looks bad. – I know. I’m not into it. It did not please me. I’m a curmudgeon. – You’ll never beat Raul Julia. – No. – Raul Julia, it’s just so good. – He’s irreplaceable. (Paul laughs) – All right, we’re done. Enjoy your time. – See you guys. – [Paul] Farewell.