WEBVTT - Uber at Shoptalk and Apple's Run to $3 Trillion 0:00:02.360 --> 0:00:05.640 From the heart of where innovation, money and power colli 0:00:06.480 --> 0:00:11.000 in Silicon Valley and beyond. This is Bloomberg Technology with 0:00:11.080 --> 0:00:27.600 Emily Jay. I'm Emily check in Las Vegas for the 0:00:27.640 --> 0:00:30.680 retail event of the year Shop Talk, where brands from 0:00:30.680 --> 0:00:33.040 around the world have gathered to talk about the future 0:00:33.280 --> 0:00:37.159 of commerce. This is Bloomberg Technology. Coming up in the 0:00:37.200 --> 0:00:41.280 next hour. Uber wants to outdo Amazon for local commerce delivery. 0:00:41.360 --> 0:00:46.839 My exclusive with CEO Dara Kaswa Shay plus Rihanna Savage 0:00:47.000 --> 0:00:50.599 x Fency Lingerie company could be valued at three billion 0:00:50.640 --> 0:00:53.639 dollars amidst reports of an I p o are sit 0:00:53.760 --> 0:00:56.440 down with the retailer's president about the future of a 0:00:56.760 --> 0:01:01.440 R technology in store, online and more. And apples were 0:01:01.480 --> 0:01:04.000 under three trillion the iPhone maker on an eleven day 0:01:04.000 --> 0:01:06.880 hot streak. We will dial into the company's best performance 0:01:07.200 --> 0:01:09.720 since two thousand three. We will get to all of 0:01:09.760 --> 0:01:11.080 that in a moment, but first I want to take 0:01:11.080 --> 0:01:13.640 a quick look at the market at Ludlow here with 0:01:13.720 --> 0:01:16.200 the latest ad walkers through the day. Yeah. Well, the 0:01:16.240 --> 0:01:19.200 prospects for a resolution or at least scaling back the 0:01:19.240 --> 0:01:22.520 conflicts in Ukraine was the big driver's sentiment. Technology the 0:01:22.560 --> 0:01:25.200 best performing sector and equity markets. And it was interesting 0:01:25.240 --> 0:01:28.200 to see commodity futures fall in New York, the Bloomberg 0:01:28.200 --> 0:01:31.640 Commodity Index softer by two percentage points, the idea being 0:01:31.680 --> 0:01:34.240 that if we move towards a peaceful resolution in Ukraine, 0:01:34.400 --> 0:01:37.640 then the supply of oil soft commodities like wheat, industrial 0:01:37.720 --> 0:01:42.120 metals could improve. Of course, yields retreating the tenure US 0:01:42.160 --> 0:01:45.720 treasury yield down by six basis points two point four percent, 0:01:45.920 --> 0:01:47.960 and we've got some inversion right where the yield on 0:01:48.040 --> 0:01:52.080 the two year US Treasury higher than the US tenure yield, 0:01:52.400 --> 0:01:54.880 or in other words, the yield on short duration bonds 0:01:55.000 --> 0:01:58.480 higher than long term duration bonds. Of course, for many 0:01:58.600 --> 0:02:01.120 that's a signal of Rachelle show and in broad risk 0:02:01.160 --> 0:02:05.040 con sentiment, Bitcoin drop below forty eight thousand dollars per token. 0:02:05.080 --> 0:02:09.079 Of course, we're also in earning season. Micron, the semiconducted company, 0:02:09.120 --> 0:02:11.600 of course reporting and look at it stock after ours, 0:02:11.600 --> 0:02:14.760 and we're higher. Really bullish outlook. Essentially, this is a 0:02:14.800 --> 0:02:17.160 maker of memory chips, right d ram, but they're saying 0:02:17.160 --> 0:02:19.920 that a main driver of demand in their outlook is 0:02:20.000 --> 0:02:23.520 continued investment in data centers. That stock hired by four 0:02:23.800 --> 0:02:25.720 point four percent and after ours and in terms of 0:02:25.720 --> 0:02:27.280 some of the movies I've been watching throughout the day, 0:02:27.280 --> 0:02:28.919 We're going to talk about this one a lot in 0:02:28.960 --> 0:02:32.640 the show. Apple up for an eleventh straight day, its 0:02:32.720 --> 0:02:35.600 longest streak of gains since two thousand three. We're really 0:02:35.600 --> 0:02:37.120 going to dig into this one. Is a lot to 0:02:37.120 --> 0:02:39.800 talk about, but also tied to the confidence in Ukraine, 0:02:39.840 --> 0:02:43.120 this idea that will see more supply of industrial metals, 0:02:43.120 --> 0:02:46.239 more supply of battery metals. It was interesting to see 0:02:46.280 --> 0:02:50.240 gains in e v makers riving up seventm it's biggest 0:02:50.280 --> 0:02:52.600 jump since it's I p O and November eleven from 0:02:52.680 --> 0:02:55.000 Lucid getting up in the act as well and up 0:02:55.000 --> 0:02:59.160 eight percent. All right, thanks, We'll be back with you 0:02:59.200 --> 0:03:01.800 on Apple later. In this we are live here at 0:03:01.800 --> 0:03:04.959 Shoptalk in Las Vegas, where the retail industries power players 0:03:05.000 --> 0:03:08.120 are talking about the future of commerce and e commerce. 0:03:08.440 --> 0:03:11.280 I caught up with Uber CEO Dara Kazra Shah earlier 0:03:11.320 --> 0:03:14.040 to talk about everything from their vision to create a 0:03:14.160 --> 0:03:18.120 super app to Ukraine and inflation. Had to start though, 0:03:18.400 --> 0:03:21.399 by asking about how drivers feel about the pressure at 0:03:21.440 --> 0:03:23.960 the pump and those rising gas prices. Here's what he 0:03:24.000 --> 0:03:28.040 had to say. I'm hoping that with the early signal 0:03:28.440 --> 0:03:30.960 of there being some kind of a light at the 0:03:31.080 --> 0:03:34.120 end of tunnel as it relates to the situation, the 0:03:34.240 --> 0:03:38.320 terrible situation in Ukraine, uh, we'll have some relief or 0:03:38.360 --> 0:03:41.400 at least things won't get worse. I think the good 0:03:41.400 --> 0:03:45.000 news for us is that earnings for our earners are 0:03:45.680 --> 0:03:50.120 at significant highs. For example, in the US and Canada, 0:03:50.560 --> 0:03:53.280 our earners are earning an average this is an average 0:03:53.280 --> 0:03:56.000 of thirty one bucks an hour. Those are pretty robust earnings. 0:03:56.000 --> 0:03:59.320 But the pain of the pump is hitting everybody, and 0:03:59.440 --> 0:04:02.920 especially our drivers. And I know you've added the fuel searcharge, 0:04:02.960 --> 0:04:05.320 but drivers say, some of them, it's not enough. You 0:04:05.400 --> 0:04:09.600 have drivers protesting at your New York offices today. Will 0:04:09.720 --> 0:04:12.880 this searcharge go up with gas prices? And will it 0:04:12.920 --> 0:04:17.280 continue beyond May eleventh? If if gas prices are still high, well, 0:04:17.279 --> 0:04:19.240 we were the first and the industry to move on 0:04:19.279 --> 0:04:21.720 the searcharge, and we moved on the searcharge because we 0:04:21.760 --> 0:04:23.560 thought it was the right thing to do, and it 0:04:23.640 --> 0:04:27.880 helped cover the majority of the increase in fuel prices. Admittaly, 0:04:27.920 --> 0:04:32.240 not all of the increase in fuel prices in May, 0:04:32.480 --> 0:04:34.120 no one compartict where the world is. We're going to 0:04:34.240 --> 0:04:36.800 look at the situation and if the situation doesn't change, 0:04:36.800 --> 0:04:41.160 will certainly consider continuing the fuel charge or whether it's 0:04:41.160 --> 0:04:44.280 an increase or dree crease, who knows. We are going 0:04:44.320 --> 0:04:46.599 to We want to be there side by side whether 0:04:46.720 --> 0:04:50.000 earners and help them make a great, flexible living. Would 0:04:50.000 --> 0:04:54.400 you consider lowering your take rate or increasing there's generally 0:04:54.520 --> 0:04:58.720 our take rate is lower now than it has been historically, 0:04:59.360 --> 0:05:03.000 and over the long term, we essentially want to earn 0:05:03.160 --> 0:05:06.280 a fair profit, and we're doing everything that we can 0:05:06.360 --> 0:05:09.440 to drive automation and efficiency of our own system so 0:05:09.520 --> 0:05:12.240 that we can put as much of the dollar that 0:05:12.400 --> 0:05:15.599 let's say a rider spends on an uber to put 0:05:15.600 --> 0:05:17.920 it in our earner's pockets. The more money we make, 0:05:17.960 --> 0:05:20.480 the more money they make. So you've got gas prices 0:05:20.560 --> 0:05:24.320 at highs, inflation at forty year highs, a new variant 0:05:24.400 --> 0:05:28.039 that's potentially more can changeous. How is this impacting supply 0:05:28.440 --> 0:05:32.159 and demands? We're not seeing any kinds of impacts on 0:05:32.200 --> 0:05:35.600 supply demand demand. We continue to hit records as it 0:05:35.640 --> 0:05:39.680 relates to mobility and delivery and our commerce business that 0:05:39.680 --> 0:05:42.920 we're talking about here, So he really isn't showing up 0:05:43.040 --> 0:05:47.080 in the business earners growth continues to be very significant. 0:05:47.320 --> 0:05:49.920 More earners are feeling safe, they're coming back to the platform. 0:05:50.160 --> 0:05:54.000 Everybody wants to get out of the house. Uh. And 0:05:54.080 --> 0:05:56.360 so we're not seeing any kind of a signal at 0:05:56.360 --> 0:05:59.400 this point that would indicate something is going the wrong way. 0:06:00.040 --> 0:06:02.520 But we have to be hyper vigilant. And I think 0:06:02.560 --> 0:06:07.320 for us, we're benefiting from the secular trend on demand transportation, 0:06:07.800 --> 0:06:10.919 on demand delivery of anything, and as a result, I 0:06:10.920 --> 0:06:13.599 think we will be relatively resistant to whatever happens. You 0:06:13.640 --> 0:06:16.000 know in the broader economy. You mentioned we're close to 0:06:16.440 --> 0:06:19.279 we're at post pandemic his for rides. When do we 0:06:19.279 --> 0:06:22.479 get to pre pandemic hies. It's going to happen sooner 0:06:22.520 --> 0:06:25.920 than you think. This year is still definitely okay. Now 0:06:25.960 --> 0:06:27.680 I want to talk about the war in Ukraine. I 0:06:27.760 --> 0:06:30.400 know you work to pull a number of employees out 0:06:30.440 --> 0:06:34.240 of Ukraine. You're you've been offering free rides, especially at 0:06:34.279 --> 0:06:36.880 the border. What is the status of your service and 0:06:36.920 --> 0:06:40.960 your employees in Ukraine right now? So we are our 0:06:41.000 --> 0:06:44.560 employees who want to relocation have gone relocation. We're tracking 0:06:44.560 --> 0:06:48.400 them and their families. That comes first. Uh. Second, we 0:06:48.480 --> 0:06:52.560 are running our systems in the towns that the government 0:06:52.600 --> 0:06:54.960 wants us to run them, and we're actually not plugging 0:06:55.000 --> 0:06:59.200 in our our Uber direct which is our logistics uh 0:06:59.600 --> 0:07:03.120 technolo oology to be able to power the u n 0:07:03.200 --> 0:07:06.719 to carry food around. And at the same time what 0:07:06.839 --> 0:07:10.720 we're doing is we're raising money for Ukraine. We've raised 0:07:10.760 --> 0:07:13.280 over two million dollars through kind of donate buttons. It's 0:07:13.280 --> 0:07:16.280 incredibly easy to use and the donations have poured in 0:07:16.280 --> 0:07:18.600 in a way that we never expected. Now, you do 0:07:18.680 --> 0:07:21.880 still have a stake in your joint venture with yandex 0:07:22.120 --> 0:07:24.680 and I know you've had Uber Exact resign from the board. 0:07:24.960 --> 0:07:27.760 You said you're working to accelerate the divestment of that asset. 0:07:27.960 --> 0:07:30.160 But when you open the Uber app in Russia you 0:07:30.200 --> 0:07:33.120 can still call a car. Why is that? That is 0:07:33.240 --> 0:07:37.520 essentially a skin So it's only branding of our technology. 0:07:37.720 --> 0:07:40.400 There's no Uber technology being used at all. It was 0:07:40.480 --> 0:07:44.000 part of the original transaction. Uber is a very big 0:07:44.040 --> 0:07:47.520 brand globally, including in Russia as well, but we don't 0:07:47.560 --> 0:07:50.040 directly touch that in any way, shape or form. So 0:07:50.760 --> 0:07:53.320 what's the progress on selling off this asset? You know, 0:07:53.440 --> 0:07:55.400 how far are you willing to go? Because who's going 0:07:55.440 --> 0:07:57.520 to buy a Russian rides sharing service right now? I 0:07:57.560 --> 0:08:00.600 think right now everything's on hold. So we have stated 0:08:00.640 --> 0:08:05.040 the intent to sell. We will sell as soon as reasonable. 0:08:05.560 --> 0:08:08.880 I think right now, the fact is people are much 0:08:08.920 --> 0:08:13.760 more focused on humanitarian aid, resolving this terrible situation in 0:08:13.960 --> 0:08:19.360 Ukraine and hopefully then moving forward with some semblance of normalcy. 0:08:19.880 --> 0:08:21.840 Then we'll look up and see what we can do. 0:08:21.920 --> 0:08:25.040 We already divested about a billion dollars out of that business, 0:08:25.080 --> 0:08:26.960 so this is something that we have thought about earlier. 0:08:27.000 --> 0:08:28.920 It's not something all of a sudden that we thought 0:08:28.960 --> 0:08:32.720 about in this context, and we'll look to conclude the 0:08:32.720 --> 0:08:36.839 divestiture as soon as reasonable. Goober shares are down, Door 0:08:36.920 --> 0:08:40.040 Too shares are down. Instant Cart just lowered its valuation. 0:08:40.120 --> 0:08:44.600 By how long do you expect this market downturn to last? 0:08:44.679 --> 0:08:47.680 And what are you bracing for? I don't think you 0:08:47.760 --> 0:08:51.720 can predict the market. That's certainly not my job. Right 0:08:51.760 --> 0:08:54.160 My job is to run a business. And I think 0:08:54.200 --> 0:08:57.520 that we as a company have made the Pivots profitability. 0:08:57.520 --> 0:09:01.080 Remember we promised even profitability last year, we hit it earlier, 0:09:01.760 --> 0:09:05.439 uh than than our promises. We said we're going to 0:09:05.480 --> 0:09:10.360 be free cashual profitable this year. The mainline Uber mobility business, 0:09:10.760 --> 0:09:14.400 the delivery business ubernats and the freight business, all of 0:09:14.480 --> 0:09:17.040 them are going to be profitable. As it relates the Ibadah. 0:09:17.440 --> 0:09:20.440 So I think relative to a competition, we made the 0:09:20.440 --> 0:09:24.680 pivots of profitability sooner and at a scale, and I 0:09:24.720 --> 0:09:29.400 think the reopening for us is going to be a 0:09:29.520 --> 0:09:32.880 much bigger tailwind then let's say some of the other 0:09:32.920 --> 0:09:36.520 delivery players that were competing against Big Milestone. In London. 0:09:36.720 --> 0:09:39.480 You signed a new agreement with TfL two and half 0:09:39.559 --> 0:09:42.640 year extension, which is a big deal because they rejected 0:09:42.679 --> 0:09:46.840 your last two requests. I believe, also committing to full electrification. 0:09:48.440 --> 0:09:50.560 How are you going to do that? Well, we have. 0:09:51.240 --> 0:09:55.920 We committed to full electrifications quite early, uh and every 0:09:56.080 --> 0:10:01.280 single ride in London essentially uh we take some amount 0:10:01.280 --> 0:10:03.760 of that rod put it into a pool to help 0:10:03.920 --> 0:10:08.600 drivers in London moved from gasoline power cars to electric cars. 0:10:08.600 --> 0:10:12.120 So this has been it's part of Mayor City cons vision. 0:10:12.600 --> 0:10:15.240 We love that vision, so we have been working on 0:10:15.280 --> 0:10:17.400 electrying our fleet and we're going to get it done. 0:10:17.720 --> 0:10:20.040 You just got New York City cabs on board. I 0:10:20.040 --> 0:10:23.720 don't think anybody thought that would ever happen. Who's next? 0:10:23.840 --> 0:10:27.559 Is it San Francisco? It's we're certainly talking to many 0:10:27.640 --> 0:10:29.960 cap companies out there. This is actually a product that 0:10:30.000 --> 0:10:32.200 we built outside of the US. We've been at it 0:10:32.240 --> 0:10:35.439 for years. We have over a hundred thousand taxi cabs 0:10:35.559 --> 0:10:39.760 on our platform, benefiting from the demand that the Uber 0:10:39.760 --> 0:10:43.640 platform and the services and the earnings that Uber brings, 0:10:44.120 --> 0:10:46.440 and we're just this is just an extension of that 0:10:46.520 --> 0:10:50.000 same technology that we're building. Super excited about New York 0:10:50.679 --> 0:10:53.800 UH and it will be followed up, hopefully with many 0:10:53.920 --> 0:10:57.679 new announcements in many new cities. Labor Secretary Marty Walsh 0:10:57.920 --> 0:11:00.800 said last year that you think some gig workers could 0:11:00.800 --> 0:11:04.200 be or should be classified as employees. It's been reported 0:11:04.240 --> 0:11:07.520 that you've had conversations with him that have been productive. 0:11:07.880 --> 0:11:09.959 When's the last time you spoke with the Secretary of 0:11:10.040 --> 0:11:14.160 Labor or the Labor Department, and what progress have you made? 0:11:14.200 --> 0:11:17.199 What is his view workers? It was you'd have to 0:11:17.240 --> 0:11:20.800 ask him his particular vote view. My conversation with him 0:11:20.960 --> 0:11:26.320 was midst last year, and the Secretary really listened. I 0:11:26.320 --> 0:11:29.400 think he really wants to learn about the benefits of 0:11:29.440 --> 0:11:32.199 gig work. Uh and you know some of the issues 0:11:32.200 --> 0:11:35.920 with gig work. We don't think this world of having 0:11:35.960 --> 0:11:39.600 to make a choice between flexibility of earnings, which is 0:11:39.679 --> 0:11:42.880 the number one reason why driver's current years engage on 0:11:42.920 --> 0:11:46.000 our platform. They do not want to be employees. We 0:11:46.040 --> 0:11:48.400 don't think there's this kind of false choice between flexibility 0:11:48.400 --> 0:11:51.720 and benefits and earnings. We can have both. And so 0:11:51.960 --> 0:11:54.040 the dialogue that we're having, you saw it in Prop 0:11:54.080 --> 0:11:57.240 twenty two in California. It is and it was an 0:11:57.280 --> 0:12:01.040 outsize winner with voters all of our earners wanted. I 0:12:01.080 --> 0:12:04.679 think that the Department Labor is listening, and we're hoping 0:12:04.800 --> 0:12:07.640 we can get to this win win, which is flexibility 0:12:07.840 --> 0:12:13.360 and benefits. Couber CEO dar Causra Shahi. There. You can 0:12:13.400 --> 0:12:16.400 catch that full interview at Bloomberg dot com. Coming up 0:12:16.600 --> 0:12:18.599 much more from shop Talk, we're gonna be going to 0:12:18.640 --> 0:12:22.480 be joined by Christian Pendarvis, president of Savage x fenty 0:12:22.640 --> 0:12:25.280 yes that is Rihanna's lingerie brand, to talk about the 0:12:25.280 --> 0:12:29.000 future of shopping on an offline in the role of 0:12:29.120 --> 0:13:00.240 a r technology that's next. This is Bloomberg. We're back 0:13:00.280 --> 0:13:03.040 live at Shop Dock in Las Vegas, where the power 0:13:03.080 --> 0:13:05.839 players of the retail industry are talking about the future 0:13:05.880 --> 0:13:09.120 of retail and e commerce. One of those up and 0:13:09.160 --> 0:13:12.199 coming retail stars is Savage x fenty, a lingerie company 0:13:12.240 --> 0:13:16.120 of singer turned fashion entrepreneur Rihanna who's been expanding its 0:13:16.120 --> 0:13:19.600 brick and mortar stores and mulling a public offering. Let's 0:13:19.640 --> 0:13:22.840 talk about all this and more with the company's co president, 0:13:22.920 --> 0:13:26.040 Christian and Pendarvis with me here live in person. And 0:13:26.080 --> 0:13:28.600 you worked at The Gap, you worked at Victoria's Secret. 0:13:28.840 --> 0:13:32.440 What's different about Savage x Fenti and what Rihanna brings 0:13:32.440 --> 0:13:35.760 to the team. Savage x fenty is an amazing brand, 0:13:35.760 --> 0:13:37.600 and I've had the good fortune, as you mentioned, for 0:13:37.679 --> 0:13:41.559 working for some of the great mainstay brands in this industry. 0:13:41.760 --> 0:13:44.560 But what I think honestly makes us special is we've 0:13:44.600 --> 0:13:48.600 been built from a place of authenticity, really driven by 0:13:48.640 --> 0:13:52.440 our founder Rihanna Um and we're embracing fashion in a 0:13:52.440 --> 0:13:57.280 different way. We're celebrating acknowledging customers that haven't been seen 0:13:57.320 --> 0:13:59.880 and acknowledged in the context of this industry. In the 0:14:00.080 --> 0:14:02.440 been a very very powerful brand to be a part 0:14:02.480 --> 0:14:06.559 of Victoria's secret for so long was run I met. 0:14:07.160 --> 0:14:10.560 Do you think being run by a woman has made 0:14:10.559 --> 0:14:14.600 a difference. Yeah, oh absolutely, There's no question. Everything that 0:14:14.679 --> 0:14:17.640 we do comes from a place of authenticity. We couldn't 0:14:17.679 --> 0:14:21.240 be anything but inclusive. We couldn't be anything but about 0:14:21.360 --> 0:14:24.640 female empowerment. That's what Rihanna stands for, and she's brought 0:14:24.720 --> 0:14:26.760 that to bear in our business, and I think you 0:14:26.840 --> 0:14:29.760 see it across everything that we do, from our product 0:14:29.800 --> 0:14:33.120 assortment to how we show up in external marketing. If 0:14:33.120 --> 0:14:35.920 you look at our website and our social media channels, 0:14:36.240 --> 0:14:39.240 we show up very differently than how other people have 0:14:39.360 --> 0:14:41.320 in the industry. It started out as a pure e 0:14:41.400 --> 0:14:44.040 commerce play, but you've been opening brick and mortar stores, 0:14:44.080 --> 0:14:47.680 including here in Las Vegas. What's the strategy there. It's 0:14:47.680 --> 0:14:50.120 a really important strategy for us. We want to meet 0:14:50.120 --> 0:14:53.840 our customers where they are, and physical retail is not dying, 0:14:53.960 --> 0:14:57.040 much to the sagren of many direct to consumer brands. 0:14:57.200 --> 0:14:59.840 It's an important part of how customers want to shop. 0:15:00.000 --> 0:15:02.160 I think the thing that we're doing very different. It's 0:15:02.240 --> 0:15:06.280 not just transactional. It can't just be transactional. It's got 0:15:06.280 --> 0:15:09.560 to be about an experience, an inviting place that customers 0:15:09.680 --> 0:15:11.680 really want to take time out of their day to 0:15:11.760 --> 0:15:15.160 go into the stores. What's the vission for augmented reality 0:15:15.200 --> 0:15:18.560 in addressing room or as part of the online shopping experience. 0:15:18.800 --> 0:15:21.120 We've heard about this for years, but I still haven't 0:15:21.120 --> 0:15:24.040 really seen it come to fruition. Yeah, and we're one 0:15:24.080 --> 0:15:25.720 of the things we're super excited about is how we 0:15:25.760 --> 0:15:29.640 are leveraging technology. So for us, for example, fit bra 0:15:29.800 --> 0:15:33.240 fit is critical as an intimate apparel retailer, and it 0:15:33.280 --> 0:15:36.920 hasn't changed in decades for how a woman determines what's 0:15:36.920 --> 0:15:40.120 the right size. So we're leveraging technology in a different way, 0:15:40.360 --> 0:15:43.600 leveraging three D body scans that can take a scan 0:15:43.680 --> 0:15:47.000 of your body, get your exact measurements, and map that 0:15:47.080 --> 0:15:50.320 back to our product assortment to say, here's the exact 0:15:50.480 --> 0:15:53.600 best fitting braw for you in the right size. So 0:15:53.640 --> 0:15:56.880 it's it's important to bring technology to bear in physical 0:15:56.920 --> 0:15:59.720 retail in a way that actually adds value for the customer. 0:16:00.000 --> 0:16:03.000 Out Lingerie could be seen as a luxury good. We 0:16:03.040 --> 0:16:07.800 are facing record inflation, the highest inflation in forty years. 0:16:08.160 --> 0:16:12.600 How is that impacting customer choices and how much they're 0:16:12.600 --> 0:16:16.600 willing to spend. Absolutely, and it's nice to have right well, 0:16:16.760 --> 0:16:19.240 and we're very sensitive to that. I think because our 0:16:19.280 --> 0:16:22.880 customer is very value conscious, they are feeling the pinch 0:16:22.880 --> 0:16:25.840 of inflation in their pocketbooks. So we're very very sensitive 0:16:25.880 --> 0:16:28.800 to that. We're looking really at our product. Our product 0:16:29.040 --> 0:16:32.320 as replenishable. People always have to wear underwear and at 0:16:32.360 --> 0:16:34.800 some point in time that product wears out. So we're 0:16:34.840 --> 0:16:37.000 making sure that we're creating product that's going to be 0:16:37.040 --> 0:16:40.320 functional for our customer, add value for them, and really 0:16:40.360 --> 0:16:43.960 deliver it in a way that really entice entices them 0:16:43.960 --> 0:16:46.200 to come into our brand. Have you seen any pullback 0:16:46.440 --> 0:16:49.960 in online sales or sales in general as a result 0:16:50.160 --> 0:16:53.520 of the pressure that consumers are feeling. Yeah, absolutely, we 0:16:53.560 --> 0:16:56.280 are definitely seeing that within our business, and that's why 0:16:56.280 --> 0:16:58.960 we're really looking for where can we do product that 0:16:59.360 --> 0:17:02.360 is a nice luxury to have that is not breaking 0:17:02.520 --> 0:17:05.200 baking her Procket book, that's something that she actually wants 0:17:05.240 --> 0:17:07.199 to spend her money on. What are the trends, what 0:17:07.359 --> 0:17:11.360 was hot in the pandemic? You know that that's sticking around. 0:17:11.800 --> 0:17:16.240 How our tastes in lingerie changing. Yeah. Absolutely. One of 0:17:16.240 --> 0:17:18.800 the big things that we saw during the pandemic. Everyone 0:17:18.880 --> 0:17:21.640 was at home. People were wearing leggings and braw less. 0:17:21.720 --> 0:17:24.960 They were really looking for very comfortable, cozy clothing. We 0:17:25.040 --> 0:17:28.439 have this amazing onesie out of fleece that literally people 0:17:28.560 --> 0:17:31.880 were living in at home, and so we really embrace 0:17:32.000 --> 0:17:34.040 that as a trend. Now that people are starting to 0:17:34.040 --> 0:17:37.280 go back into the real world, they need more structured undergarments, 0:17:37.280 --> 0:17:39.240 so we're seeing a shift back to some of the 0:17:39.240 --> 0:17:43.640 more traditional categories within intimate apparel. How involved is Rihanna? 0:17:43.960 --> 0:17:47.320 Incredibly incredibly involved in everything that we do, whether it's 0:17:47.359 --> 0:17:49.639 on the product side and the assortment that we have 0:17:49.720 --> 0:17:52.439 in stores, or whether it's on our marketing side, our 0:17:52.520 --> 0:17:56.200 creative campaigns, the models and influences that we're working with. 0:17:56.440 --> 0:17:59.360 She really has her fingerprint on everything that we're doing 0:17:59.359 --> 0:18:01.720 as a branch. What what is it like working with 0:18:01.760 --> 0:18:04.760 her as someone who's who's worked at these established fashion 0:18:04.800 --> 0:18:08.040 brands which were run by mostly male ceo s. Yeah, 0:18:08.160 --> 0:18:10.960 it's a It's a wonderful breath of fresh air. I 0:18:11.080 --> 0:18:14.560 tease to people in my network. I know Rihanna is 0:18:14.600 --> 0:18:17.560 a global pop star. I see her as a business partner, 0:18:17.600 --> 0:18:19.920 because that's the context on which I personally know her. 0:18:20.280 --> 0:18:24.879 She understands the customer, She understands people's bodies, she understands 0:18:24.880 --> 0:18:27.320 people's pain points when it comes to their bodies, and 0:18:27.400 --> 0:18:30.600 she always makes sure that we're developing product that's addressing 0:18:30.640 --> 0:18:33.880 and acknowledging that. So she thinks very much about the customer. 0:18:34.040 --> 0:18:37.560 There are reports that you she are considering a public offering. 0:18:37.600 --> 0:18:40.679 What's the status of that. Well, we can't publicly comment 0:18:40.760 --> 0:18:43.359 on anything related to an I p O. We're just 0:18:43.400 --> 0:18:46.879 so singularly focused on growing this business and capitalizing on 0:18:46.880 --> 0:18:49.159 the opportunity to exist. So I think if an I 0:18:49.240 --> 0:18:51.040 p O at some point in the future makes sense 0:18:51.040 --> 0:18:53.440 for us, we'll definitely evaluate that. How are you thinking 0:18:53.440 --> 0:18:56.360 about the macro environment? You know, obviously we're seeing inflation, 0:18:56.640 --> 0:19:02.640 there's a lot of economic uncertainty. Don't know necessarily what's next. Yeah, absolutely, 0:19:02.680 --> 0:19:04.160 And I think that's one of the things that's super 0:19:04.240 --> 0:19:06.560 important about being a leader is being able to be 0:19:06.640 --> 0:19:09.720 agile and whether change. So for us, it constantly comes 0:19:09.760 --> 0:19:12.600 back to the customer. Where can we add value for 0:19:12.640 --> 0:19:14.720 the customer? What is it that they want and need, 0:19:14.920 --> 0:19:17.879 and how can we position ourselves as a nice little treat, 0:19:17.920 --> 0:19:19.960 a surprise and delight for her that gives her a 0:19:19.960 --> 0:19:22.120 little bit of joy and him a little bit joy 0:19:22.160 --> 0:19:24.119 within their lives right now? So we're doing some future 0:19:24.200 --> 0:19:27.520 casting here. Take me five years out. How is the 0:19:27.560 --> 0:19:32.000 company different? How is the retail industry different, specifically the 0:19:32.359 --> 0:19:34.320 Laing Dree segment. Yeah. I think one of the big 0:19:34.320 --> 0:19:36.280 things is you're going to continue to see this merge 0:19:36.280 --> 0:19:39.960 of physical and digital in ways that complement each other 0:19:40.280 --> 0:19:42.600 and then take advantage of the strengths that each channel 0:19:42.640 --> 0:19:44.880 has to offer. So we've had a lot of conversation 0:19:44.920 --> 0:19:47.400 I'm sure you've heard it this week about the metaverse 0:19:47.520 --> 0:19:49.320 and how that's going to come to bear. You're going 0:19:49.359 --> 0:19:51.040 to see that come to bear, I think in a 0:19:51.119 --> 0:19:55.240 real way that we're gonna dramatically expand how people shop, UM, 0:19:55.240 --> 0:19:57.679 and what that proposition looks like for the see shopping 0:19:57.720 --> 0:19:59.679 and the matter verse. Absolutely, I see shopping in the 0:19:59.680 --> 0:20:02.240 metamor and what does that look like? I don't know yet. 0:20:02.920 --> 0:20:05.440 We all want to know. When you come tell us, 0:20:05.440 --> 0:20:08.440 but you do have a great choice of colors. UM. 0:20:08.440 --> 0:20:11.480 Thank you for coming to join us today, and we'll 0:20:11.560 --> 0:20:14.960 keep our out. Thank you, thanks for having see Christiane Pendarvis, 0:20:15.000 --> 0:20:27.879 co President, thank you for stopping by a few stories. 0:20:27.920 --> 0:20:31.480 We continue to watch. Will Smith has apologized for slapping 0:20:31.560 --> 0:20:34.480 Chris Rock on stage at the Academy Awards. In an 0:20:34.480 --> 0:20:37.880 Instagram post, Smith said he was out of line. Meantime, 0:20:37.920 --> 0:20:41.119 the Academy of Motion Picture Arts and Scientists has opened 0:20:41.160 --> 0:20:45.520 a review of Smith's behavior, saying they'll explore possible consequences 0:20:45.920 --> 0:20:50.679 for his actions. Nielsen, the TV rating stalwart, has agreed 0:20:50.720 --> 0:20:52.840 to be bought by a group of private equity firms 0:20:52.840 --> 0:20:56.240 for about sixteen billion dollars, including debt. The consortium is 0:20:56.280 --> 0:20:59.480 being led by Brookfield Asset Management and an affiliate of 0:20:59.600 --> 0:21:04.000 Ellie Management. Nielsen provides audience data services to many of 0:21:04.040 --> 0:21:08.800 the media's premier networks, and the FTC has had enough 0:21:08.960 --> 0:21:13.920 of those Turbo tax commercials about being quote free government agency, 0:21:14.000 --> 0:21:16.760 suing to stop into it from telling perspective customers that 0:21:16.800 --> 0:21:19.520 its tax prep services on turbo tax come at no cost. 0:21:19.880 --> 0:21:23.560 In fact, that offer applies only to those with simple returns. 0:21:23.600 --> 0:21:26.400 Everyone else has to pay. The FTC says customers spend 0:21:26.400 --> 0:21:28.440 a lot of time and effort on Turbo tax, only 0:21:28.480 --> 0:21:30.600 to find out they've got to upgrade to a paid 0:21:30.600 --> 0:21:34.199 service to complete the returns into it, says the FTC 0:21:34.400 --> 0:21:39.040 claims aren't credible. Coming up, Apple's hottest run since two 0:21:39.080 --> 0:21:43.879 thousand three. How soon before we hit three t yes trillion. 0:21:43.960 --> 0:22:05.119 We'll talk about that next. This is Bloomberg. Welcome back 0:22:05.119 --> 0:22:07.720 to Bloomer Technology. I'm Emily checking in San Francisco. Let's 0:22:07.720 --> 0:22:10.160 get to the story of the day. That is Apple, 0:22:10.240 --> 0:22:12.560 the tech giants. Stock has been on its hottest streak 0:22:12.880 --> 0:22:16.199 since two thousand and three. Bringing in Dan, i'ves of 0:22:16.520 --> 0:22:20.200 web Bush. Dan, you heard adds analysis there. I assume 0:22:20.280 --> 0:22:22.280 you think this is a question of not if, but 0:22:22.480 --> 0:22:25.280 when when do we get to three tea and what's 0:22:25.280 --> 0:22:28.280 it gonna take to get there? Okay, I think what's 0:22:28.320 --> 0:22:31.920 really happened. The street is just better appreciating what's really 0:22:31.920 --> 0:22:35.680 happening in terms of the demand story. iPhone thirteen demands 0:22:35.720 --> 0:22:39.679 our trip and supplied by and we're seeing more higher 0:22:39.720 --> 0:22:43.520 a sps in China services as rocks out. Of course, 0:22:43.560 --> 0:22:46.920 a historic win for the oscars. That was an Amazon 0:22:46.960 --> 0:22:49.679 on Netflix winning. It was Apple and the first streamer 0:22:49.480 --> 0:22:51.800 to ever win. I think we put it together in 0:22:51.880 --> 0:22:54.359 my opinion, this is the stock that's going to go 0:22:54.440 --> 0:22:57.160