the winners will clearly be those with effective omni channel offerings.ne of the notab points from the retail sales report was that the ce-commercennel does quite well. that's that can blend the good instore experience and the robust omni channel experience will be well positioned for the holidaulseason. >> s consumers expect a lot f discounting or promotional things? i mean, they're pretty used to that. >>el absol and, sue, it's a good question. because a lot of the retailers have brought in heavy inventory levels ahead of the tariff uncertainty. that coupled with the fact that the holiday always tends to be promotional. you should see heavy discounting throughout theext fewweeks. >> i'm curious about home goods as wel seem to be doing well and specifically of rh used to be calledestoration hardware, whichow has a big fan in berkshire hathaway. well all of a sudden?r, >> it's a good question, bill. you know, home furnishings is a sehat consumers are interested in because the housing market is very stable. a it's ana that consumers choose to ctinue to inv

we talk about omni channel, micro fulfillment. that's really going to drive their grocery business and their prices are fantastic if you look at our price check, walmart is investing, continues to invest a lot of money in their prices >> so courtney, every time i go to a walmart or any grocery, the one thing i use to benchmark prices is the price of bananas it's fairly tight. pretty cheap walmart seems to always have the cheapest prices on those bananas when i go and find them. is that grocery key to walmart's success going forward do they need to perishables business rather than anything else in the store? zpl we talked in general b about grocery and yes, grocery in general, yes, it's part of those online delivery or pick up program, but fresh food in particular was a call out. they didn't go as granular as bananas and you know jeff bezos really loves bananas so they're pretty priced pretty low at whole foods as well, perhaps better than some of the other products you see there so that's a funny one to pick out. it's a repeat tra

for that, it is urgent to really invest in that omni channel. >> it is key the digital side of thingss a massive undertaking. we saw the same thing happen with target. there was a time they said they are not making money but now walmart and target are surging fr surging. it is driven sometimes by 30% to 40% gains. >> even west elm saying sales grew that made up for 57% of their revenue. again, underlining why it is so important to vest in the e commerce experience. it is important for investors to dig deeper and not just judge a company just because they are telling us we are going to invest a lot of money in the long term growth like we saw with target, it does payoff >> thank you for bringing us those consumer thoughts. we appreciate it >>> tesla unveiled the highly anticipated truck in los angeles but it did not go according to plan phil, what did you think i can only think of the armored glass. >> we'll show you that this is a polarizing vehicle that is an understatement. tony who we had on the air, i love this quote. tesla's cyber truck looks weird, like really weird. it does loo

omni pork is produced by green monday. founder told us the rationale behind his business. it is not meant to sustain seven, eight, nine, 10 billion to eat the way we eat right 110w billion to eat the way we eat right now and to produce would meet the weights produced today so something is going to crack, something will happen that will threaten our protein supply chain. this but this is still a niche demographic. is this simply a fad in terms of the way people eat? what mac a lot of people ask that. is this just way people eat? what mac a lot of people ask that. is thisjust going to bea people ask that. is thisjust going to be a one or two—year thing and it will come and go. the reasons that drive the rising of this whole trend is based on climate change and based on food security and insecurity and food safety. these are all very scientific and actual wings and from a health standpoint, the medical professionals, the dock is will also come in and bring their side of the evidence to so with all these factors converging, we

haven't figured out omni chan he he'll wil channel .walmart almost the largest online company as well? if you look at the e-commerce business, it was up 41% in the quarter. are they beating amazon now at their own game? >> i think that it's not a single channel choice. so if you want food and you want to pick it up or you want it delivered, you know you go to what's convenient. online shopping is all about convenience. if you figure out a way to deliver that value proposition to customers, it's a win. with walmart, they figured a lot of that out. lauren: if you look at this year, walmart stock trouncing amazon's, up almost 30t 30%. the number of 401-k millionaires, folks that have at least a million dollars in their 401-ks, at a record high. people are not risk averse? they're still buying stocks and bonds? >> the stock and bond market are up. the enrollment is up. back in 2006, the pension protection plan was passed, and it allowed for you auto enrollment. the number of people who auto enrolled in 401-ks went from 50% to 80%. the fact

when i did start to get a little freaked out about the omni directional pole, this is our building. this is the pole. this is the bedroom. and this is my home office. so i was like whoa, this is, you know, weird. i don't know about this. but i get it. it's fcc and we're not allowed to talk about it. what i want to say at the end of the day, i'm really talking about a process here. obviously these are super controversial and the i should be dotted and t should be crossed and the information should be provided and i don't think they should be approved if that information isn't correct and after t after it to the res. >> thank you and your brief was very well done for a first timer. >> thank you. >> we'll now hear from the permit holder. >> joe again with x net systems. i wanted to comment on a couple of comments that we've heard over the last few minutes. there was a gentleman that referenced that what you are seeing here on these quote-unquote small shells on street lights and utility poles are the sale thing you see on roof tops on macro sites. it's true that some of the equipment u

. >> welcome back, the direct to consumer sales venture into the omni- channel brand where beauty productsn the shaving industry. the ownership acquired startup or $1.37 billion this year end the cofounder. >> so harry's was born out of a purchase experience i had going to drugstores and products were overpriced, overdesigned and jeff and i set out to create a brand that is different and provided a better overall customer experience, better value and more thoughtful design. in its evolved over time in our personal care, direct to consumer online, were now in retail, we've launched a woman's brand and flamingo, the compan y had the expense in 2013. >> so in terms of shaving and the pole in the market, how do you take that idea to what you have done in terms of raising capital, getting this company and customers and resonating with so many customer. >> and he called me in his experience resonated with me and we felt we can make it better for ourselves and there were millions of other guys who felt the same. guys wanted products that they would love to use that were really fairly priced in br

. >> target is obviously trading up 70, 80% of the year a a lot of it with the omni channel strategyrowing online sales for the last couple of quarters. when you think about amazon they are doing $250 billion in north american retail sales. when you think of the total pie what that looks like we have $5 trillion in the u.s. less than 10% of the sales are online. so to me i think that stuck in the mud over the last few months i think it's important that it has underperformed the maga complex in general think about that, apple up 70% of the year pop 1.2 trillion in market cap this is left in the dust but why, they went for the increased spending for the one-day shipping. >> and he said it was going to be an investment cycle. >> thn and this pause gives you the tune reload. >> aws is deaccelerating. >> right. >> you have extra spending aws is the crown jewel and microsoft and google eat away at aws. so i don't think it's viable right now. i think there is more selloffs to come. >> it's competition and all the segments that's what we are talking about here, as grasso mentioned we have aw

reported the fiscal q 2 earnings, guided up for the year showing gad comps and great results in their omni channel strategy that would be online and off line working well together but i think as we go into the earnings report, the options market implies a hefty move about 6.5% moving about 11% over the last four quarters. last quarter's 20% move skews that a bit but look at the move since that breakthroughout i think it closed that day august 21st at 103. it's held the gap and trending upward that's generally constructive. but that's interesting to me also especially if you are a bull on the name look at the five-year base it broke out of i suspect that that level in the mid-80s is going to be significant technical support for a while. but my trade thinking about next week in particular is that they are not guyeding up the way they did in august. i think that reset investor's expectations a bit but i would play over the next month for a pullback some of the consumer data and intentions we have had about buying into the holiday season seems a little depressed the idea in my mind if they giv

they have a number of omni channel initiatives going on also they have the aerie brand growing doubleits for multiple years now that's our favorite in the mall for holiday this season. >> michael, we keep hearing about death of the department store, yet nordstrom's stock rallies on the heels of earnings in the last couple of days is it overblown? overdone >> i don't think the death of the department store is overblown. the death of bad department stores certainly understated and we'll continue to see that play out over the next few years. where the stocks are responding is where expectations get a little too low and when that gets overdone, we're seeing outside reaction. i don't think we're going to see an end to volatility of retail stocks because it is so hard to price these types of turning points in a sector and still have an imbalance between the supply of available places to buy goods and the demand to buy goods through physical places. >> you mentioned home improvement as an area where you want to watch the season not something we often think about in terms of the gifting seaso

now that walmart wants to be omni-channeled an retailer, they are bringing those divisions together andhave exposed those r inside the company. caroline: as they try to streamline, what are the negative ramifications? who do note people see the world in the same way. the people inside bentonville who say, we are making all of the profits, the stores. these guys out on the coast, they are messing with ar, vr, making these acquisitions that don't work. there is a bit of jealousy there possibly. joe: letting tech people experiment on things that may never come to fruition is part of what all tech companies have to do. is that particularly hard at a place like walmart which, i imagine, is not their first choice of the place they want to work? matthew: walmart is not historically a tech company but their ceo wants to be seen as a tech company. they are going to campuses like stanford, princeton, yale. this has created a little bit of a conflict. walmart, at the end of the day, is a brick and mortar retailer. they are doing very well online but it has exposed this culture war. caroline: how t

that is really important last is omni channel are you shipping from store, can you buy online and pick in store. >> kind of the boring stuff. so jessica who is doing it right? >> target. they have really taken it. you look at walmart and what they've been doing trying to been amazon. target, you can ship from their stores the small format store is amazing. they tap into the higher income shopper which walmart doesn't have >> it hurts me to say it i'm starting to feel the same way about black friday, i'm sorry. it's becoming irrelevant less relevant. >> a consumer shops. you are talking about six days less in the calendar year. the consumer sees that when they have deadlines for christmas gifts. for us, black friday, cyber monday is another time for more. >> i hate to see these deals coming out it's november. >> really, wow, it is amazing. for ulta, we saw kylie cosmetics have an skplusive. >> by the way, got a $6 million buy out by coty the other day. that does it for "worldwide exchange" this morning "squawk box" begins right now. >>> futures pointing to a sharply higher open after th

in our industry, we talk about on the channel --omni channel. i talk to customers every day.ever have a customer use the word channel. they just want great experiences. ae reality is, if you are at definition of channel, the categories we sell are bought and stores. much more accurate is people are and they are in physical locations and they wanted when they wanted. they wanted on their terms. carol: people think how will nordstrom be different than the troubles than lord and taylor fell into? how would be different for you? store aarted as a shoe hundred years ago. i grew up selling shoes. you are literally on your hands and knees in front of the customer trying to take care of them. metaphor for how we try to run the business. the customer wants things that are different. building a new physical store today gives us advantages. we have technology built into the store. customers can be on their phone and a lot of product discovery for what we sell, fashion begins online. we know that over half of our store sales involve a visit to our website. usually on someone's phone. the

the walmarts of the world have done a great amount of investing in the omni-channel experience.pick up in the store. that is what the consumer wants. the digitally native consumer wants to have the store experience. it may be a pop-up store, it might be inside a department store or inside a mall. you have to provide all of those experiences. retail is a tough business. it is a business that has a lot of opportunity and it goes back to understanding your consumer. if you understand your consumer and have unique product and a unique experience, then you can win. that is why i like the analytics companies. i am watching big retailers investing in enormous amount of money in analytics and i'm seeing them get terrific results. several hundred basis points improvement and growth by better understanding the specific customers for the products. alix: great conversation. thank you so much. steve saito of of mastercard and saira malik. kkr is said to make a formal buyout build for walgreens. that stop is up 7%. we want to give you an update on headlines outside of the business world. seba

we can talk about that jargon, the omni-channel approach to retail, the idea that you buy in the store, you can pick up what you buy online at the store. that is the advantage to some extent that the retailers have that are competing with amazon because they've got these locations. they can make it easier for consumers to pick up what they are buying online if they choose to, and they are trying their best to take advantage of that. vonnie: why are we not hearing more about tariffs from retailers? i put the caveat in that urban outfitters did talk a lot about how tariffs hit them because they built up inventory in case something hit down the line. dave: it may be just a matter of how they've been apple to manage so far -- how they've been able to manage so far. some of those tariffs have been put off until mid december, so not quite the same issue it would have been a few much earlier -- a few months earlier. beyond that, think about where the consumer is at this point. unemployment around 3.5%, being sustained. people are willing to spend. we see that in the monthly surveys. when you

we think probably in ten years that number will be closer to 30% with a lot more being omni channels we think it's not fully in share prices yet >> walmart and target are neutral. is that because of their rin and where they are valued right now? what should they be value at >> the issue is really valuation. walmart has been a great job of putting it together. we could encourage people to look at other names. target is doing well on the multi channel front but the stock is up like 60% this year this is our base case. we do think there are risks for tariffs. you can see the market reaction today. we probably have to cut that earnings growth in half if you saw list 4b go into effect some of those risks are bigger for names. you'll cut the numbers because the retailers would have to absorb the cost. there's the double whammy. the wealth affect is the rise in the stock market and those tariffs go into effect, i would assume that would impact how that gets factored into your forecast as well >> it's a great question some think there's a near term and a medium term. in the near term given w

do something like that i they what's really despiriting they and home depot had problems with fear omnit spending enough, not getting it right. >> david, a lot of people noticed no mention of double digit ecommerce growth >> yeah, well, as jim points out, it's not easy when you have some sort of upgrade going on during that. it is so interesting to see the tale of two cities we've talked so often about when it comes to retail this tweak alone, target yesterday, an incredible performance obviously following up from the last quarter in which they did that as well, contrasting with kohl's, which does seem to be going down with terms of the pricing competition area that target perhaps avoided and macy's remember, this decline we may see in macy's, jim, on top of the decline this week from the kohl's numbers, so it's getting pretty significant here. i'm sure the dividend. i don't have all my data sources if front of me has got to be well above 10% at this price yeah, they're still making money, but not as much as anyone in in it with the dividend wul one would think. it feels like wire line

it has been the kind of declared winners of omni channel that have been the ones, which are the oneshat don't depend as much on clothes, so, yeah. >> first of many hits we'll be doing this week on retail. that's for sure. you are working friday black friday. >> we are. >> one of the most fun days of the year to work. >> you do? really funny you never show up for it. >> usually i do. >> it is very nice here on the floor. all the kids come. i'm always here for whatever reason seniority really works in my favor. >> courtney, thanks. we'll see you in a little while. when we return, vm ware and autodesk moving in opposite directions on the respective earnings reports stay tuned we are coming off record highs, looking for more this morning, all three indices riding a three-day win streak and on pace for the best month since june. livongo's mission is to empower people with chronic conditions to live better and healthier lives. we started livongo with a vision of transforming the health and care experiences of people living with chronic conditions. we believe that our unique member experien

in our industry, we talk about omni channel. i talk to customers every day.ave a customer use the word channel. it is not how they think. they just want great experiences. the reality is, if you are at a definition of channel, the categories we sell are bought in stores. much more accurately is people are on their phones and they are in physical locations and they want it when they want it. they wanted on their terms. carol: people think how will nordstrom be different than the troubles than lord and taylor fell into? i'm not saying you guys are apples to apples. how would be different for you? >> we started as a shoe store a hundred years ago. i grew up selling shoes. one of the things about selling shoes, you are literally on your hands and knees in front of the customer trying to take care of them. that is a good metaphor for how we try to continue to run the business. the customer wants things that are different. building a new physical store today gives us advantages. we have technology built into the store. wi-fi cell service, that conductivity. our cus

recognition, what's going to be the latest >> i think the most important trend in our business, john, is omni commerce, buying something on the phone or online but on the phone, pay with your face or thumb, get it delivered via grub hub or doordash to your door or pick it up yourself. we have 20 of the top 40 quick service restaurants in the united states using global payments hardware, software, payments in thrive throughs. today, the consumer expects frksless no cost e-commerce. shouldn't be a difference between the virtual world and physical world that's a billion for global payments. >> the argue that the consumer gets promiscuous, great for you if not great for grub hub. i love that promiscuous thing. jeff, thanks for being with us >> thanks for having me. >> they're never going to live that down. >>> today's mystery chart is pinterest getting crushed, down 21 and change, spenexpenses mor than double for the story. we're breaking down results with an early investor and analyst o gredod ia nute when you look at the world, what do you see? we see patterns. relationships. when you use locat

>> data zoo is an omni channel, the main reason we are buying data zoo is expanding the platform we have world class leading streaming ad platform built into tv first experience, and most tv ads even streaming today are sold direct, meaning direct sales team goes out, talks to agencies and marketers. but the world is shifting to tools automated buying for us, adding to our platform is part of our technology road map, moving that forward, getting ready for the day when all tv eventually will be ads purchas purchased, so for us, the acquisition is about a great team and expanding our ad platform to be more feature ready. >> big debate happening now within digital advertising around political advertising, whether it is twitter, facebook, whether today, reports about google reviewing some policies as you get more involved with data zoo or otherwise into advertising, how are you thinking about that at roku? >> so advertising is our biggest growth profit driver you think about all television moving to advertising, there was a report about 29% of viewing is now streaming. but only 3% of tv ads

and then there's how they're delivering it which is really more of a technology productivity kind of omni channel story. target's done it well. tjx delivered in their own way and the mall retailers haven't figured out how to reinvent themselves in the product they deliver it and how they deliver it to clients. >> let's finish out our opening block and talk broader markets if we could. it feels like we're frozen for this, you know, short-term freeze over trade. >> yep. >> we had this trend that felt higher i think it still does. i think we can agree on that but we feel frozen to some respects because we're watching these trade headlines wondering if this phase one deal is going to happen by the end of the year, reports yesterday suggesting it may not. is this the way it's going to be, pete >> i would say so. i would say we'll continue in this whole pattern because of the fact you were looking at phase one and looking at the stuff going on with our president with the impeachment inquiry and add in the rest of the geopolitical things going on, hong kong. take your pick at what you want to sa

customer experience whether shopping in store or online across all of its brands which is the new omninnel way that you must have if you're going to a louis vuitton, marc benioff told me you might see a sales rep carrying a phone or ipad, powered by salesforce. it's connected to a single customer record to enable a personalized luxury experience now you also may have seen this little einstein doll on the set when i interviewed marc. that is a symbol for artificial intelligence, helping you figure out what gift you might want and we do need help when we go to stores or we go online. i bring this up because as a tiffany shopper, have i never, ever seen anything even remotely like that in its stores. while i like their goods, i always feel like it is the first time i have ever been to the store despite the thousands and thousands of dollars have i spent there. i might as well be a three-eyed alien when i'm in there. i think the lack of tech at tiffany's is so palpable that lvmh sees it as a gem to be polished i don't blame them the company's management probably salvaged, but what can happ

omni channel is critical consumer wants the product anywhere any time they want to get it and fast andt have made the investments in the infrastructure, in the shipping, in the analytics are the ones that are winning right now and it's getting faster and faster and the consumer's changing faster than some of these legacy companies. >> jan, what do you think? >> steve, who do you think is winning and losing here? i keep talking about walmart, target, best buy being the winners, the big box guys. how do you see that shaking out as far as what's -- what we see going forward and who gets hurt the most by the tariffs? >> well, i think starting with you have the big boxes that you talk about are winning you also have categories that are winning and losing this year apparel is having a weaker performance the electronics, the hardware. the jewelry are performing quite well clearly the big box players within that are doing the best i think that some of these digitally native brands, we talked earlier about the digitally native brands that are opening up a lot of stores they're winning. the resa

that's an area where we're very much focused and really an omni channel fashion trying to blends the brick-and-mortar franchises he we own and operate with a budding and stronger digital presence over time certainly the vehicles have held their own relative to other electrified and non-electrified vehicles us about it stands out as a key obstacle in years to come. >> as auto sales begin to soften and come off in this country and across the world, electrification, some new technologies coming in, self-driving, ubers and lyft that are decreasing car ownership right now will we see more m and a and consolidation in the space >> i think for a lot of reasons, some of which you pointed out. broadly the dealership base is ageing many lack succession planning. many lack the appetite to make multi-million dollar investments in facilities and many lack the breadth in diversity in brand and geography that will help them weather the next recession whenever that may be those are some of the key drivers we certainly see helping to fill the m and a pipeline which, as far as i can tell is the most r

very mixed bag >> look, target managed to use technology to make it so that their omni channel is working. tjx, they openly disdain the online world why? they had value they have the lowest prices. it is such a love stock. i didn't want to -- i knew everybody else was going to raise the price target it has become a given. kohl's talks about promotional target is talking promotional. tjx, you are a lot have extra iy the companies that are saying it is promotional and home depot says it is promotional. they're not doing that well. the companies that say things are good, they're not talking about promotional. they're talking about winning traffic. david, traffic is the goal and target is getting the traffic. again, that leveraging as you pointed out, you get the traffic, you do get the gross margins, gross margins, you get the big numbers, target is not done going higher. people are trying to seriously adjust the fact that target not only is back to the old target, but maybe the most superior retailer that is online in america. i can never say that -- >> that goes to what were digital comps

3% to 4% over the last few years, and this year we are down so you need to see consolidation in an omni-channel- 35% of the business. francine: stephen sadove joining us. plenty more coming up. we speak exclusively to the irish finance minister paschal york.e at 8:30 new u.s. equities drifting with u.s. stocks. investors looking for progress in chinese negotiations with the u.s. this is bloomberg. ♪ beyond the routine checkups. beyond the not-so-routine cases. comcast business is helping doctors provide care in whole new ways. all working with a new generation of technologies powered by our gig-speed network. because beyond technology... there is human ingenuity. every day, comcast business is helping businesses go beyond the expected. to do the extraordinary. take your business beyond. ♪ touch.et's stay in china and the u.s. reach consensus on properly resolving relevant issues for phase one. powell's glass is half-full. fed chair jay powell says the u.s. economy's glass could fill up even more any policies could benefit all people. and $70 billion worth of m&a. we speak to kirkland's ceo afte

i would say home depot's advantage is really with the pro and everything they've been doing in the omniight i mean on the call we just heard about traffic up in the dijjal channel as well as conversion better, so obviously lowe's has some issues there historically they are making investmentses there. you know, we feel comfortable with our comp estimate for lowe's tomorrow at around 3% i think that captures some of the deflationary lumber pressures, offset by maybe some headway they're making with the pro. >> seth, our retail correspondent courtney reagan was telling us last year black friday was a record breaker for home depot why is that such a big holiday for a home store >> yeah. probably each of the last three years we've seen record-breaking black friday sales for home depot. they continue to get better and better at merchandising and marketing the black friday period what are they doing? they're offering things like power tools at very cut-rate prices they are driving traffic to the stores with events centered around specific items. they're starting the black friday sales earlier

the winners are a lot of the big box stores that made the omni channel invests. they have the technical infrastructure, analytic skills. it is walmarts, targets of the world, that are seeing terrific results. but you're also seeing certain categories doing better than others. for example, the electronics category to doing extremely well. you saw that in the best buy numbers the other day. category is doing nicely. jewelry is holding up pretty well. the department stores not doing as well. connell: right. >> you're seeing tougher results out of the traditional department stores. connell: we saw barney's, which everybody would think you pay arm and leg out of anything in barney's, we showed video they're giving stuff away as they're going through bankruptcy. >> it is going through liquidation. it demonstrates that the whole retail industry and department stores especially are a story of consolidation over many years. it is hard to be a niche player in the marketplace. they were a by-product of some of that but having said that you have 12,000 store closes in the un

those who are providing the omni-channel service where you can order on the web, pick up at the storere doing well. but the department stores are still not offering great bargains, not offering a reason to come into the store and have a great experience, they're not doing so well. stuart: nordstrom is an upscale outfit and they are up 9.5% now. >> your favorite words come into play. expectations. expectations were low for nordstrom and in fairness, they are offering a different experience for the consumer coming into the store. stuart: upscale place doing pretty well. tiffany, there's a bidding war for titiffany. somebody just raised their bid by a billion dollars. if you are in the middle of the pack, macy's or jc penney in the middle of department stores, not good. am i right? >> consumers and investors are being selective. stuart: now here's another one for shoppers. attention, please. amazon's black friday sales begin today. do we have black friday early shoppers here? lauren: one week before black friday, amazon has their black friday deals. they last for a week. does black frida