00:00Yeah, I think for us, the Bed, Bath & Beyond name and the Bed, Bath & Beyond brand has so
00:05much equity with the consumer.
00:08We opened two new locations in the Nashville area about a year ago, and we had people lined up out
00:14the door at the store opening.
00:15And I heard you talking about the coupon right before I joined and people bringing in coupons as old as
00:212006.
00:22And so as we think about just that equity in the brand, it's beloved.
00:26And so we see this unique opportunity to bring it back for the modern consumer.
00:31So tell us about that and how you're approaching the modern consumer, because you guys have been acquiring companies, lumber
00:37liquidators.
00:38Like, I feel like it's a little it's going to be a different Bed, Bath & Beyond going forward.
00:43So walk us through it and the strategy.
00:45Yeah, as we think about this future, I mean, we really want to hang our hats on the value of
00:49the brand, as I shared at the beginning.
00:51But there's a unique opportunity when you think about all of the acquisitions that we're making, that they really complement
00:57one another.
00:58And so when you think about what we all remember of Bed, Bath & Beyond, where you went to shop
01:02for your dorm or buy towels and bedding,
01:06the acquisitions that we're a part of at this moment are really completing other pieces in the puzzle.
01:12So container store, bringing storage and organization as we think about the total home.
01:17And then the Kirkland's brand has been around about 60 years. And so that brand is really known for home
01:22decor.
01:23I think I'd elaborate mostly, though, that the things we're most excited about are being an everything home platform.
01:31And so you'll hear us talk about that a lot. And the brands I just talked about are all great
01:35retail brands that have been in the mix for a really long time.
01:38But as we think about what really excites us and what really turns this business sort of back on fire
01:44again is thinking about home services and really connecting to the customer in a way in her home that we
01:50will do through Alpha and Lumber Liquidators and Cabinets to Go and the other brands that we've started talking about
01:55in our mix.
01:56Who is your customer?
01:58I think the good news about the brands that we have is they should be servicing everyone.
02:04And as we think about affordability and accessibility of our brands, we think there's a unique opportunity to really stay
02:10focused on that, not only with everything going on in the economy,
02:13but the fact that we are in a retail business and in a brand that is about making a house
02:20a home.
02:21And so we want to maintain that affordability.
02:24When I think about the customer, I would say we have the opportunity and the unique opportunity to really span
02:30all income levels.
02:31And we want to sort of sit positioned in a value space that appeals to everyone.
02:36I just want to know if the stores and I'm going to be very honest with you.
02:39Everybody knows me.
02:41I'm pretty blunt.
02:41But the stores kind of used to drive me crazy.
02:44I mean, I understood like as you as you want the pathways.
02:48Yeah.
02:49And if you can just walk in and get that one thing.
02:51No.
02:52And if I forgot something from the beginning, I get it.
02:54I get the strategy.
02:55Are you guys going to stay with that?
02:58Absolutely not.
02:59I think if you if you think back to not only the real estate strategy, but the amount of inventory
03:04that were in the stores at the time,
03:05it really wasn't a fiscally responsible approach and was a cluttered shopping experience, as you just said, Carol.
03:12And so the format and the size that we're looking at is about half the size of the legacy Bed,
03:17Bath & Beyond stores and closer to the size of what you see many of the average container store locations
03:22to be.
03:23So when you think about really pulling back and opening up a fresh current experience for Bed, Bath & Beyond,
03:30we've done the curation for you.
03:33We're not giving you 15 options of every single item in the store.
03:36It's really tighter and smaller than what it used to be.
03:39How do all of the different brands that you have acquired and how do they present in a single retail
03:46location?
03:47Is that part of the plan or are these all back end, you know, are these all back end efficiencies
03:52that happen?
03:53I think it's a little bit of both, if I'm being honest with you.
03:56And so obviously the back end efficiency is as we think about, you know, mergers and then sort of adding
04:02on to the capabilities that we have in our ecosystem today.
04:05I would be remiss to not acknowledge that we believe there are synergies across the business.
04:09But I envision you walking into a store in the future that says container store on the top, Bed, Bath
04:14& Beyond on the bottom and has all the best parts of container store.
04:18We would bring back the best parts of Bed, Bath & Beyond and then when you're in those stores today,
04:23you walk into the alpha section of the store where they design closets for you.
04:28We would add into that cabinets and flooring and really offer a service where you can be serviced both in
04:33the store or we can come to your home and measure for you and offer all of those services as
04:37well.
04:37So the vast majority of those brands would show up in a retail footprint.
04:42And on top of that, we're building a loyalty program that would link all of those brands so that as
04:47you transact in any one portion that you love, you can sort of trade those benefits across the whole ecosystem.
04:53Hey, we know you have to run just 20, 30 seconds.
04:56More acquisitions to come from you guys?
04:59I would expect more acquisitions to come from us.
05:02Okay.
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