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Speaker 1: Shares of the retailer lands and rising after the apparel

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Speaker 1: company reported a big beat and third quartered groast margin

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Speaker 1: that helped the drive and the justin Ebatah that was

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Speaker 1: above the consensus estimate. Right now, the shares on pace

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Speaker 1: for one of their best days since the summer. Let's

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Speaker 1: get right to it with Andrew MacLean. He's the CEO

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Speaker 1: of lands End, joining us right now to talk about

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Speaker 1: a results as well as the holiday shopping season. And Andrew,

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Speaker 1: let's start off with those results here. We should point

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Speaker 1: out still some softness when it comes to revenue growth

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Speaker 1: or the lack they were of. Still some softness when

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Speaker 1: it comes to the loss per share, but investors are

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Speaker 1: really focused on that margin expansion and what actually drove it.

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Speaker 2: What drove it, We made a decision to look at

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Speaker 2: our customer differently. We had been leading into demographics. We

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Speaker 2: really changed over to psychographics and we found the rod

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Speaker 2: touughless customer segments that really really appreciated Land's End and

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Speaker 2: so we started to gear our product and our whole

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Speaker 2: piriarchy of the brand around them. So we created ourselves

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Speaker 2: as a solutions company, which wasn't that hard because we

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Speaker 2: are a Solutions company. We'll do anything to make you

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Speaker 2: feel better about the dressing experience, from tummy flattening technology

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Speaker 2: to swimsuits for mistectomy. People have had mistectomies, and it's

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Speaker 2: been amazing to really be able to connect with the

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Speaker 2: customer and give them more than just fashion, and that's

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Speaker 2: been incredibly powerful for us, and the customers come on

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Speaker 2: a jury with us this year three quarters now of margin.

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Speaker 1: Expect I am curious just in terms of the general

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Speaker 1: trends that you're seeing with customers are coming into your

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Speaker 1: stores on to the website here. Do you see the

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Speaker 1: same sort of seasonality that other retailers see with the

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Speaker 1: pickup that we kind of get in November and December

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Speaker 1: for the holiday season or are you sort of more

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Speaker 1: evened out over the course of the year.

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Speaker 2: Ninety four percent of what we do is done with

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Speaker 2: a click from our customer perspective, so we actually start

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Speaker 2: holiday early. We do have a holiday peak. It's not

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Speaker 2: as pronounced as some retailer, but we certainly see a

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Speaker 2: peak that begins in early October and actually finishes by

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Speaker 2: mid December with last shipping dates. And it really peaked

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Speaker 2: around an incredibly strong Black Friday and cyber Monday for us.

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Speaker 3: You know, you talk about lands Head being a solutions company.

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Speaker 3: What's the solution to reducing returns? If most people were

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Speaker 3: done with their holiday shopping by mid December, I assume

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Speaker 3: you're gearing up for a flurry of returns in early

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Speaker 3: January when people send back gift said don't quite fit

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Speaker 3: them or don't work for them.

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Speaker 2: Sometimes people look at our website and they get a

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Speaker 2: little bit that's too worthy and there's too much on there.

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Speaker 2: But if you actually look on the product pages, we

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Speaker 2: put a lot of data about fit and we actually

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Speaker 2: have a true size component and that's been really great

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Speaker 2: at helping to reduce the returns tsunami that's been out there.

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Speaker 2: In addition to that, we're piloting technology. We talked about

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Speaker 2: it on the call this morning with a company called

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Speaker 2: Sizer that can take a picture of you for a

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Speaker 2: second and get your fit right at ninety percent plus accuracy.

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Speaker 2: And I think it's these technologies that are really going

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Speaker 2: to make a difference. And we will always take our

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Speaker 2: return from our customers, we trade them back into the

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Speaker 2: right fit. But there's a lot that goes on in

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Speaker 2: that space, and some of it's very very sort of

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Speaker 2: old world in terms of just the words all the

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Speaker 2: way through to the new technology. But you're right, it's

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Speaker 2: a big deal in our sector.

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Speaker 3: So I also wanted to ask you. You mentioned technology

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Speaker 3: AI is part of that whole sizing technology that you're

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Speaker 3: bringing to bear here, But what about the new technology

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Speaker 3: and healthcare, which is weight loss drugs. I I'm wondering

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Speaker 3: if you have seen any kind of impact or you

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Speaker 3: anticipate any kind of impact in terms of people needing

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Speaker 3: to buy brand new wardrobes as a result of losing

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Speaker 3: significant amounts of weight.

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Speaker 2: That has been a great That's a great question and

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Speaker 2: something I've been waiting to see all year. I haven't

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Speaker 2: seen any evidence of it yet. Size and curves have

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Speaker 2: actually gotten larger through the pandemic, and they've stabilized at

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Speaker 2: the moment, so we've not seen those starts to fall.

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Speaker 2: But part of me thinks that there's going to be

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Speaker 2: a little bit of comp embedded in our industry over

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Speaker 2: the next year or two as those weight loss drugs

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Speaker 2: start to bite and we'll see people changing their wardrobes out.

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Speaker 2: One of the things you do get from lands End,

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Speaker 2: and one of our solutions is we can sell you

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Speaker 2: product that will accommodate you through at least two inches

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Speaker 2: if not more, change in your waist size, and already

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Speaker 2: has tummy flattening technology in it, so we don't even

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Speaker 2: think you need to get to the weight loss drugs,

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Speaker 2: and if you do, our product will still fit.

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Speaker 1: All right, Andrew, I am curious about give me the

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Speaker 1: growth story here a longer term. I mean, obviously lands

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Speaker 1: In has been through a few iterations over the last

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Speaker 1: few years. I know the retail footprint isn't quite I

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Speaker 1: guess what it used to be when I was a younger.

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Speaker 1: You still have a sizeable presence. There is there an

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Speaker 1: expansion plan, either through brick and mortar or through other means.

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Speaker 2: You know, it's interesting. Rather than bricks and mortar, our

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Speaker 2: physical manifestation of the brand, and it is important is catalog.

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Speaker 2: That was our heritage. It was a channel, but now

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Speaker 2: it's a marketing vehicle that really supports, you know, and

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Speaker 2: underpins our digital, digitally native footprint. And that's what we're

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Speaker 2: going to continue to lean into. Our energy is in

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Speaker 2: what are those journeys of the customer from that physical

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Speaker 2: manifestation digital manifestation. Every we're going to go with that

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Speaker 2: I find stores to be really expensive way to gather customers.

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Speaker 2: And I look at a lot the pure plays over

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Speaker 2: the last few years that spent lots of money trying

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Speaker 2: to get customers from from stores, and you know, you're

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Speaker 2: committing a lot of inventory, there's a lot of buildout costs,

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Speaker 2: and I think we can do a great job with

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Speaker 2: our existing customer base and then using the catalog both

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Speaker 2: for existing customers and to prospect with as a vehicle

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Speaker 2: to drive the brand forward. I'm not saying never it's stores,

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Speaker 2: but right now we think we got a pretty good

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Speaker 2: running road ahead of us with with with what we

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Speaker 2: have in hand.

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Speaker 1: All right, Andrew, great to talk to you. Andrew McLean.

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Speaker 1: They're the CEO over at Lands and