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Podcast Notes: Shopify Masters - Episode: How Two Founders Turned Curation Into a Competitive Edge
Episode Overview Title: How Two Founders Turned Curation Into a Competitive Edge Guests: Byron and Dexter Peart, Founders of Goodee Host: Serena Smith Release Date: [Insert Release Date] Listening Link: [Shopify Masters YouTube Channel](https://www.youtube.com/@shopifymasters)
Episode Description In this episode of Shopify Masters, Byron and Dexter Peart share insights on establishing Goodee, a global marketplace for sustainable home goods. They discuss their journey from fashion to home décor, the significance of curation in their business model, and the challenges of sourcing products while maintaining ethical standards.
Key Concepts and Discussions
Transition from Fashion to Home Goods
- Background: Byron and Dexter Peart had successful careers in fashion with brands such as Acne Studios and Nudie Jeans.
- Motivation for Change:
- Desire for deeper conversations about design and quality.
- Shift towards a more sustainable and meaningful consumer space.
- Recognition of the changing landscape of the fashion industry.
Principles of Goodee
- Core Values:
- Focus on *good people*, *good design*, and *good impact*.
- Emphasis on storytelling and emotional connections in product design.
- Curation Approach:
- A tight edit of products instead of overwhelming customers with options.
- Sourcing from makers who share their values and commitment to quality.
Customer Engagement and Experience
- Lower Return Rate: Goodee has a return rate of 4.5%, significantly lower than the industry average of 17%.
- This is attributed to meticulous curation and storytelling, allowing customers to make informed decisions.
- Gifting as a Business Model: A significant portion of purchases are gifts, fostering deeper emotional connections.
Sourcing and Maker Relationships
- Sourcing Process:
- Direct engagement with makers, ensuring ethical standards and quality.
- Personal assessments and original photography for each product to enhance storytelling.
- Community Impact: Helping small makers share their stories and craft with a wider audience without the burdens of marketing.
Navigating Challenges
- Logistical Issues: Challenges related to tariffs and supply chain disruptions.
- Adapting to Market Trends: The importance of remaining flexible and responsive to consumer feedback and market shifts.
Physical Retail Expansion
- Flagship Store: Opened in Montreal to enhance customer connection and provide a tangible experience of their products.
- Learnings from Pop-Ups: Importance of being present in retail spaces to directly engage with customers.
Advice for Entrepreneurs
- Support Systems: The significance of having values-aligned investors and partners.
- Curiosity and Adaptability: Staying open to new ideas and being flexible in business strategies.
- Resilience: Emphasizing the need for trust among partners and maintaining joy in the entrepreneurial journey.
Key Takeaways
- Curation as a Competitive Edge: A focused approach to product selection can enhance customer experience and loyalty.
- Consumer Education: Helping customers make informed choices leads to higher satisfaction and lower return rates.
- Community and Connection: Building relationships with makers and customers is crucial for sustainable growth.
- Success Redefined: Growth should not only be measured by profit but by the positive impact on consumers and communities.
Conclusion Byron and Dexter Peart have successfully transitioned from the fashion industry to creating a conscious marketplace with Goodee. Their emphasis on curation, quality, and consumer connection highlights how businesses can thrive while maintaining ethical standards. Their journey serves as an inspiration for entrepreneurs aiming to balance values with profitability.
For more insights, listen to the full episode on [Shopify Masters](https://www.shopify.com/blog/blog/goodee-curating-purpose-and-profits?utm_campaign=shopifymasters&utm_medium=youtube&utm_source=podcast).
Written by AI. May contain mistakes. Listen to the episode to check what was said.
Transcript
Automatic transcript. May contain errors.0:00We try to help people find a base foundational style, whether it's in fashion or in decor and furniture or design. I think the same thing holds for business. Hey everyone, welcome to Shopify Masters, your companion for starting and scaling a business. I'm your host, Serena Smith. Award-winning entrepreneurs and designers Byron and Dexter Peart have long been known for their impeccable eye, clear vision, and refined taste. We have a very clear idea of what kind of taste and curatorial effect we want to have in the market, and we stick to it. In 2019, they launched Goody, an online marketplace offering sustainable home goods and lifestyle products.
0:38that are as meaningful as they are beautiful. Our driving force behind everything we do always comes back down to people and design to the point where literally the first things we wrote down when we were building this business was good people, good design, good impact. And just this year, they've opened their very first goodie flagship store in Montreal. Byron and Dexter are here to share how they source with purpose, reduce returns through storytelling, and scale a mission-driven brand without compromising on values. Plus, what it's really like building a business with your twin. Welcome to the show.
1:07So happy to be here, Serena. Thanks, Serena. It's such a pleasure. It's a delight to connect with the two of you. Okay, so the two of you had a very successful and enduring career in fashion before you made this switch, working with acne and nudie jeans and you had a very chic leather goods line that I was just eyeing last night. What was it that made you feel like it was time for some kind of a transition in your lives? I love the question, Serena. And, you know, I think for us, I don't know if there's ever a good time to make a change in life, but opportunities present themselves. Bart and I had started out in our 20s, a company called Want.
1:54And to your point, worked with Acne Studios and Nudie and Philippa K and a variety of other brands. And then also we launched our own brand in our 30s. And we built an international business. We had a lot of fun. We worked with incredible people on our teams and around the globe. and I guess you kind of get to a place where you start seeing that you want to evolve as a business leader, as an entrepreneur. I think we felt really clear and solid in the voice that we had. I think the times had changed from what business and fashion looked like 10 or 15 years earlier. Barton and I have always been having conversations about quality, you know, things that matter, things that have purpose, things that last a long time.
2:39And in the fashion world, it started to become it felt like it was becoming less and less of a conversation that we wanted to have in that environment and we've had a passion for design art architecture and and kuri led us into the new direction which was probably a little bit less seasonal um more and something that was a forever conversation things that were conversations around products and ideas and stories about things that took time to make, but also lasted for a long time. And that felt like a better conversation to have in design and decor and furniture than it did potentially to have in fashion.
3:19I think it's like so fascinating that sort of internal journey of recognizing like it might be time to make a kind of scary and courageous, but potentially really wonderful jump. It's one thing to get to that place as one human being. It's another thing to get there as two humans. Like, did you get there together or was one of you sort of leading the charge initially? It's funny even to go back and reflect. We were working with all these other brands. We were running retail stores. And Dexter and I started finding ourselves getting more excited about designing our stores, more excited about the interiors products than we were about being in a meeting with Barneys and having conversations about like the next season's collection.
4:03So So I think it came natural because we both started to see, I'm like, we're having fun doing this. We're passionate about this. So to Dexter's point, I liked it. You have to kind of follow your gut a little bit as well, too. We both started feeling, even as twins, that not only our interests, but what we thought our potential to make change at an industry level was more likely going to end up in the home space, in a slower, quieter industry. It's changing as well, unfortunately. It's taking all of the probably the bad lessons of fashion and also being in cyclical seasons and markdowns and all the things we were trying to run away from in clothing.
4:43But for the most part, I think that we both got there together at the same time. And as we approach, even now, we just opened, as you mentioned in the intro, our new retail shop. We did that together. And it's the same thing. It's like now is our moment to get back in retail, getting closer to the customer, being able to tell more human stories and connected stories of how things are made and why they're made. And that's been an evolution. But we argue about a million other things that we don't are not on the same timeline about. But overall, the vision and where we should be putting our energy and attention, it's pretty much a straight alignment.
5:15You spoke to something that is, in the end, like so simple, though it might not be easy, which is just listen to what's lighting you up. You felt it and you honored it. Looking at other people, we have the fortune of being, yes, we're twins, but having a business partner that's in tune and intuitive to where you are. So it's listening to yourself, but also being really open to someone else, also seeing what they see in you. That could be from employees, that could be from a family member, a loved one, or your business partner. But being aware that, you know what, maybe it's time to make that shift or that change.
5:50Sometimes it's not only you who could be attuned to it, it might be others and just being open to other people helping guide you in that direction as well. There's obviously some overlap between the worlds of fashion and the world of decor and design, but you were essentially entering a different industry. Were there things that your background in fashion really helped you parlay into success in this new world? I would say absolutely, Serena. It's funny. We had a very successful retail concept in fashion. and somebody said to me, I was a customer client, walked out of the store and said, you know what I love the most about this store is that no matter what I purchase, I'm going to look great and no one's going to tell me that I don't look good.
6:32Like no matter what. And I think that that was something that I've kept with me was about A, listening to the customer, trying to make sure that when they're making investment in investment pieces, these are things that we still see people in our fashion world where they're still wearing the same acne blazer or Tomorrowland jacket from 10 or 15 years ago. So we were always having a conversation about essentials, staples, investment pieces. These are things that you're going to love. These are things that you're going to wear. And I think that that has been transferable as a concept and for a point of differentiation about how we've always run our business.
7:15And I think that with Goody, it's the same idea. is now as we enter into decor, and we might be showing you these fantastic makers that are doing beautiful work from, you know, parts of the world that are far away, but when that basket gets into your living room, it's going to look so much better than the already amazing photos that we've already taken within our space. And so as curators, I think that's been something that we've always considered part of who we are as our purpose and how we drive our business and how we see ourselves as entrepreneurs is let us assort and curate for you because we're doing it for you.
7:50And then we build on that confidence that you already have in your own design style and your own design language. That happened in fashion or in bags before. And I think that's a through line that went right through into Goody. Do you have any advice for how to develop that kind of curatorial eye? It's a great question. I would say for us, it's something that we noticed early on from a very, very young age. We've been, we're the people you talk about, like consummate entrepreneurs. We were selling T-shirts in junior school. Like we had our own brand with our own logos. We made up our own concoction of makeup and we're selling it in the schoolyard.
8:25We've always had not only product but branding and storytelling and taste making at our core. I don't know that it could necessarily be developed. I think it's one of those things that I wish I had musical skills. I really don't, Serena. And I think it's this, but I think if you do have an eye, I think it would be the same like cooking some people. It's about finding ways to hone that talent. And I do think a lot of times there are entrepreneurs who have their own vision. They have their own curatorial skills. They have their own taste. But they let others either subside that taste or evolve it because they think the market's demanding something else.
9:04but we have a very clear idea of what kind of taste and curatorial effect we want to have in the market and we stick to it we and we don't move in a direction because trends are saying to go in a different way or something like that we we've remained consistent that could be a positive or negative but in our focus it's something always being consistent is core to our identity and especially around that yeah i just want to add that i think trusting your gut and trying to find from within what you like that feels special. I think when you go to your favorite restaurant and there's something on the menu that really speaks to you or when you have your favorite shirt, those can be like foundational pieces.
9:46And then when we talk about essentials, and I think foundation is at its core of everything that we should be thinking about when we're trying to build confidence. So that staple pair of jeans that you feel really great in or that beautiful chair that you just made an investment piece in instead of buying something from, I won't say brand X, But that becomes something that's important foundationally for your table. And then once you start putting a setting on a beautiful table, even if that's a little quirky and it's something that you bought in Oaxaca in Mexico, it comes out to be who you are.
10:18And I think what we try to do is we try to help people find a base foundational style, whether it was in fashion or whether it's in decor and furniture or design. I think the same thing holds for business. It's like, where are you the strongest? And then add layers on top of that. And when you focus on where you're the strongest, it's easier to start pushing boundaries because you feel comfortable in what you know and what you feel good in. And I think design, fashion, business is all about confidence and feeling comfortable and then trying to figure out where your individual voice is because otherwise you sound like everyone else or you look like everyone else or your house looks like everyone else.
10:56And that's no fun. Mm-hmm. Right. And especially in this era when we're living through a time where we're all being so impacted by the algorithm. Yeah, exactly. Yeah. Everything core, core, core, core. Everything core. It's almost a radical act to have your own point of view. I think something that you're also speaking to, which I think is really beautiful when it comes to developing an eye or having an eye, It seems to me like you're saying it's a little bit less about the intellect and it's more about a feeling. Yeah, I love that. You just kind of know it when you see it. Yeah. And so I want to ask a little bit more about that curation process for the two of you.
11:37Something that I love about your website is that per your philosophies, it is not loaded with a thousand products, right? It's a tight edit with products that are coming from all over the world. So can you talk to me a little bit about that inspiration and discovery and sourcing process? How are you finding these products and these makers? How are you connecting with them? Yeah, I'm going to start with, I loved it where you just were about the head and that other place. And to us, the other place is the heart. And it starts with people, Serena. And at the end of the day, our driving force behind everything we do always comes back down to people and design to the point where literally the first things we wrote down when we were building this business was good people, good design, good impact.
12:22In fact, the name Goody actually comes from that because we were like, what is this all about? And it was those three things. And everything we've done since then has followed that same principle. So they're more than guidelines. It becomes when we're sourcing a brand, are these good people? Are they good people who own the company? Are they taking care of good people in that local community that they're working with? are the people that they in their community or the the influencers that they were are they also you know values orientated and the like and then is the design something that we really feel is a design that not only encourages permanence but it's also interesting like we talk all the time about surprise and delight in in our office and we don't think that design should just be it can't just be good it has to have an emotional connection to you right like and that's something that usually comes from the story, the story of the people, how it's made.
13:18You could feel it. And sometimes, you know, you just pick up a product, a basket, and you could feel the humanity inside that. And you know that that's more than something that was crafted by machine. I think in the times that we're in right now, it feels more and more relevant. So when we're sourcing, we're looking for that. We're like, it's a bit of an it factor, but in another way, sometimes they're just small makers that don't have the ability to find a platform to get into North America and someone to help share their story. And they're so passionate about how they're working and doing their business.
13:47And what we wanted to do was build a platform that could highlight them. So it takes a lot of work because it's the discovery piece. Then it's a full assessment that we do with all of the makers. So, I mean, would it be easier to just find brands and have them upload their own photos and text? But we go and we meet the makers. We do an assessment. We find out the stories and the points of influence where that's going to matter to our customer. and then we take our own photos and we write our own original text on every single product. And to your point, you can't do that with 10 ,000 products where you may be with ChatGPT maybe now, but for us, we're doing it in a human way and it feels really, really interesting.
14:23And I think that's what connects to the end customer in the end. Dexter, do you want to add anything to that? He's always had something there. He always has something there. I just could sense the energy. No, no, I think it was in your question. I think, and even what you were building on before with the algorithm, you know, the crazy thing about the internet is that you can just populate it with all the stuff that you want. And so, Byron and I, we believe that people actually do want to make a better choice, but they just don't necessarily know how to. And so, if you put 10 ,000, 20 ,000, 30 ,000 products and you say, go at it, how would anyone even know where to get started?
14:55And how would they make a good choice? And how would they know a little bit more about these products? And so, I think it's kind of incumbent on us in this world of marketplaces for us to really help the customer with their buying patterns and buying decisions. Because if we can help them, they will ultimately make hopefully better choices. And if they make better choices, it's better for all the stakeholders that are in that conversation. And so part of it has to be us limiting it. We have to play a role in being editor. We have to play a role in being curator. And I think that's what the customer hopefully is looking for.
15:30Hopefully we're saving them time. Hopefully we're saving them making bad mistakes. Hopefully we're saving them returning products that were never really properly assessed in the first place. or people that were greenwashing. And those are things that are extremely important to the process. Well, and the proof is in the pudding, right? Because your return rate is like wildly lower than the average. Your return rate is four and a half percent, right? And according to some reports, at least like industry average is 17. That's a lot of daylight. Like, what do you credit that to? Is it the feeling that the investment that you're making in these makers and in the storytelling is then really translating to the customer understanding so that, you know, they're happy and they're not sending things back?
16:15I think what's been really exciting is that we suspect, and while it's always anecdotal, that people are taking a longer time to make the decision. And then once they've made the decision, they're confident with their decision. And if that's the case, we've done our work. And we're perfectly happy for people to be slow about their buying process and be intelligent and intentional about it. And then once they've made that decision, if we do everything right, Barnard was talking about surprise and delight with our end of our last mile delivery, that every aspect of that post-purchase journey, if we do a really good job, and then after that, we continue to help people through that life cycle, that what they bought that day is not the last time you're going to hear about us, then we keep building that kind of beautiful brand love and customer energy that we're really looking for.
17:11If you're on the site, every product has a code symbol. We have 11 causes that we've decided that these are the causes that we care about, and everything's been assigned causes. So to that point, through the customer journey, we want to put it front forward that, you know, this is made, this is providing support for female empowerment, or this is reducing carbon emissions. So that's part of the sales and the process, I guess. And that's important to us, that it's not just something that's left afterwards. And to Dexter's point, sometimes that might take a longer period in the funnel. But then when they've gone through it, they know that the product that they brought home has value.
17:52Value in every sense of the word. It cultivates a different kind of relationship and connection with it, where I think as the person purchasing it, you're less likely to just go like, ah, I'll send it back. It's like imbued with more meaning already the moment it hits your doorstep. Yeah, exactly. And we have a significant amount of our businesses gifting as well too. So even on that where you were just saying, Serena, when someone receives that as a gift, the likelihood of that having more meaning by the time that they get it and having more affection and connection to it is also extremely high.
18:26So people feel really good about coming to Goody to buy thoughtful gives because they know there's more there there are, which is exciting. I have to say also, as somebody who wants to make conscious ethical choices in the purchases that I make, I really appreciate that you guys are doing the research and taking the guesswork out of the process for us because I think so often you can be in a space, kind of to the point that you were making about greenwashing and other things, you can be in spaces that look like they're really functioning above board, but it's kind of incumbent, the onus is on you as the consumer to do all those added layers of research.
18:58And that can just be exhausting, you know? And so sometimes you're like, well, forget it. I'm just going to buy this vase and hope for the best, you know? Right. So I really, yeah, I really do appreciate that you are helping the consumer along. And clearly this thesis that you guys have had has paid off because your return rates are so low. It seems to me also like there's this other component of the process, which is not just that you're trying to cultivate a real connection with the consumer, but you're also cultivating these real connections with makers who are trying to do right in this world where that is an upstream battle.
19:31How has that changed the relationship that you feel like you have between you and the makers? What feedback have you gotten from them in terms of what it feels like they're getting out of the partnership between the two of you? Byron is the guy who spends more of his time deeply connected with our makers. And so I'm going to let him answer. But I will say, imagine in 2025, 2026, being a maker who also has to have a website, who also has to be best in class operationally, who also has to deal with DHL and tariffs and has to deal with delivering all around the globe, that if we're asking designers and makers and artisans to put their best work forward and to preserve crafts, all crafts all around the globe, if we can help create platforms that elevate their craft so that they don't have to focus on customer acquisition and paid marketing and all of these other bits, it's a very exciting thing for us to be part of that relationship.
20:38And I think that without having partners, and I think this idea of stakeholders, like a bunch of people working together to lift this boat is so much easier than asking people who put quality and function and beauty to do it all on their own. And so I think this is a community that needs to be fostered and it works at a community level. And that's how we see our makers and our customers as all playing a role in lifting that up. Yeah, he pretty much said what I would have said. So there's telepathy happening here. I think that I liked where you were about the thesis on the consumer. I think we started with two theses and it was kind of the two-sided marketplace idea.
21:25We had a very strong opinion and vision that there was a customer out there like you, Serena, who's trying to make smarter, more conscious decisions, probably started making them in the food that they eat, the car that they drive, the way that they travel or whatever, but maybe hadn't gone all the way there in fashion or home goods, for instance. But we felt that that customer existed in the millions, if not hundreds of millions. And the other one was that there were, because it was a question that we had early on, it was, are there enough makers out there like this? And we were like, are you kidding me?
21:56That was how it all started. But I think people see that as a much more disparate, unevolved space. And I think where Dexter was on the ecosystem, what we thought early on is if we could not only identify these makers, but bring them together with other makers that share their values, that you could really fuel a powerful group that, and I'm going to digress for one small second. And when we were in the fashion business working with Want Les Essentielles, we went to a buyer, I will never forget, at Barney's. And she said, you guys keep talking about sustainability, but if we talk about it with your brand, then we have to find a way to talk about it with all brands.
22:34And we're like, why wouldn't you want to talk about that with all brands? And so coming to Goody, the point was, okay, let's every maker that's on the site have this really strong commitment and values-orientated intention and mission. And then if you put them together with others, that makes them want to not only do better in their own work that they're doing, but it just makes them feel like they're in a proper home for them. And that's been very important for us. the relationship last point is that that's obviously the makers and founders but the artisans who make the products that end up on the platform they are so proud and when we go and we meet the makers to see their products presented in to the North American market beautiful photography gorgeous storytelling seeing themselves like put front and center is a really special thing and that is probably in some ways the most rewarding thing of what we do.
23:29So, yeah. I would imagine also that for these makers who are operating with intentionality and integrity, having a marketplace that is also broadcasting that, because that part can be so invisible, right? Yeah. Yeah. We have a partner from Denmark that's been around for over a hundred years and one of the most celebrated furniture brands. And they came to us and they literally said, we absolutely love what you're doing and we would love to be a part of your portfolio and offering because you guys are able to tell a story, our story potentially better than we could tell it ourselves. And that was really interesting for us because it does add a lot of value and they appreciate it because a lot of times most of their other retail vendors are not doing that or it's just not a high point of interest for them.
24:18I would imagine that in the beginning, it was a lot of the two of you going out into the universe and finding the makers and to some degree pitching them, to what extent has that shifted where now they're coming to you and saying, I want to be a part of this world? It's completely shifted. It's upside down shifted. Yeah. Yeah. We get a tremendous amount of inbound because we have on the platform, we have makers from every continent on the globe. It's over 42 countries, I think, at the moment right now. So it's a broad reach. I think the key thing, and back to your question earlier, it's important and incumbent on us to make sure that with that much inbound and that much opportunity is to remain true to what it is, the assortment the storytelling that we're trying to do.
24:57So there's a lot of passes, but then there's been some beautiful and some of the most successful brands that have come in that way. But we have a really great marketing and merchandising team that are constantly out sifting new things. When we're lucky, Dexter and I still get to have some influence there. But it's a team that works really, really hard at this discovery. We want that people come and that they find things that they wouldn't necessarily find somewhere else. So that there is a whole art and science to that as well. Yeah. And I think even just for the audience, I also think that what we assumed five years ago about what our audience and our clients and our customers would want has evolved.
25:38And we've been able to now pick up on trends that have been consistent across different territories, areas, markets. And so a lot of it is not just assuming that this is what you are going to put forward, and that's what people are going to buy. It's been a journey of us being able to shift and move to what our customer is telling us and reading those signals. A small case in point is that we didn't, gardening and everything sort of small spaces outdoors was not an area that was, This is what we're going after and we're going to build a large category here. But over time, probably comes a little bit out of the pandemic, probably comes out of a few other through lines or trend lines.
26:24But people started coming to us as a resource for tending to their garden. And this beautiful pair of Japanese cutting shares or a beautiful pot or pots in different sizes all nested together. These are things that started happening and we were reacting. in a lot of ways as much as we were being proactive. And I think that's what's beautiful because we're learning in real time just as much as our customers learning. And curiosity lives at the core of everything we do. And seeing that our customers are curious and they're like, you guys do this really well. You're curating this better than anyone.
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26:57Now show us something else. And they're like, oh my God, we got to go back. We have to find more. And so it's a lot of that. It's a symbiotic relationship. Yeah, absolutely. How are you gleaning that kind of feedback from customers, given that until recently you were in a fully, you know, 2D universe. Yeah, yeah. And we did do pop-ups for that reason before. So we had a pop-up in LA. We had a pop-up at the Whitney Museum in New York. And that was one of the main objectives was to get that direct feedback. But we're doing customer surveys, a lot on reviews, lots in customer care. We have, it's a small team.
27:35We're 13 people, but we have our customer experience team is first rate. Like we're really not just trying to problem solve. It's really about trying to understand. And we're getting a lot of reciprocatory kind of commentary and feedback from our customers. And we're engaging that closely. And then the retail store is, I mean, it's amazing. And true story, when you come to Montreal, Serena, you very likely will find us on the floor talking to people inside the store. Yeah. They're still touching tables. I like that. Oh, no, no. We're forever touching tables and greeters and table touchers. And you may be able to do it.
28:13Yeah. It's such a super important part of being in a business that's human first. The physical living alongside that 2D digital is such a great mix because we have reach with our website. like great reach where you get to meet customers where they are at the time of night when they're shopping for their solarium or their conservatory or their little corner of their nook in their bedroom in Brooklyn. But at the exact same time, we have an ability right now because these are physical products to let people see this in the physical world. And before they got to see it at the end, and there's this beautiful surprise and delight, you open it up and it's gorgeous and you can see all the handmade or the work or the materiality that goes into it.
28:55But having a chance to be able to meet with people in advance of that purchase is also really exciting. We're learning a lot. And so the only one thing that I would also say there is that Montreal is not our largest market, but it's our home market. And one of the things that it took us a while to come around to, but being close to our store and being close to that knowledge center is so critical for us. We learned it because LA was far away. And then having the team also be close to it is going to be such an amazing, valuable resource for us where it's not just Bar and I that are close to the customers, but our team is close to the customers.
29:32And we could start shaping all kinds of interesting initiatives from events in the store with the marketing department to buying decisions with the buying team to customer service engagement or impact engagement with our customers. So all of that's happening in real time. And that makes for a much more exciting, much more dynamic company than we were before. But foundationally, we are e-commerce first. The center of gravity of our business is our e-commerce position. And then everything else is growing out of that. And so we're really excited about that. So you launched Goody in 2019. The shop opened up a few months ago this year.
30:12What made you say that now is the time for us to move into brick and mortar? It's a big question with the pandemic. And we were locked down, I mean, up in Canada for a couple of years, Serena. So I think we had this yearning for closeness and connection. It was the human connection, but also the storytelling connection. That back and forth felt really necessary for us. It has unlocked a lot. We were working remotely like everyone else, but we did for like a year and a half. And it can't go without being, it can't be lost on the fact, May 2019, we only had nine months as a team that we were together before the pandemic hit.
30:52And then for like a year and a half, close to two years of our earliest stages of development, we were working virtually. And while the business grew at light speed for a million reasons, obviously in that period of time, being in the home space and online during lockdowns. But when we came back, it was about getting the team together, building energy around the mission, the vision. And then the store feels like the natural next evolution to that, which was really around connection, being together, all seated at the table together, ideas starting to happen together, seeing the product all merchandised together.
31:28I think that's what the yearning was for that. It's also the stuff that I think is going to keep you getting out of bed every morning to keep doing this, right? You're absolutely right. You're absolutely right. Absolutely right. Yeah. Sourcing international products must come with some logistical challenges. What are some of the biggest pain points that you've had to work through? I think the pain points now are bigger than they were in the early days. Tell us. Enter terrorists. It's terrorists in the U.S. It's not an easy part of, I think, everyone's business right now. And so we spend a lot of time, to Brian's point, making sure that all of our makers are able to do well, that our company is able to be fine and that our customer finds tremendous value in conversations around craft and sustainability or design, whatever have you.
32:16And so I think what's critical in this moment right now is that we keep introducing that there is value in making a better choice. And then when supply chain issues complicate that value proposition, because there's 45 % tariffs on aluminum, and then that beautiful watering can that's coming from the UK that used to be pretty, not cheap, but it was an investment piece, and it's a watering can that you're going to have for 100 years. But with additional costs that layer onto that, then maybe that customer is going to say, hmm, I really love it, but I'm not going to make that decision, and I'm going to buy a lesser watering can from another environment.
32:58And so it creates a hurdle for the work that we're trying to do, it creates a hurdle for everyone's work. We understand that. But you would hope that the people that are putting good design and good products and using material sourcing in the smart way would not be put at a disadvantage in times like this. Because when you asked how it was from the beginning, this is the whole MO of what we're trying to do, is to encourage people to make these better choices. And so we recognize that price is one of those things. And so anything that has an impact on the price of products that is not specific to the quality or the person who's going to be gaining better wages, but it's for something that seems less important, I'll say, that becomes a challenge for our business.
33:46But it's one we're working through. Given that your MO or your raison d 'etre, I'll say for my fellow Montrealers, is not growth, what is your vision of success in the long term for Goody? Well, it is growth.
34:05It is growth. Don't get it twisted. Come on, come on, come on, come on, Serena. Come on. You got everything else right, Serena. I've been disabused. Thank you. I mean, it is 100 % growth and it's 100 % growth for all the right reasons. If more people start shopping more intentionally for better products, buy less of it, but buy better, that is a great growth strategy, right? Like people just start using their hard-earned money to buy better quality things from us and other places that are not us is a fantastic version of what the world can look like five or 10 years from now. And that's what we are trying to champion.
34:47Yeah. And sometimes, especially in our space, growth obviously implies revenue and multiples. But in a human level, growth is also capacity, right? So if we grow, those makers, opportunities grow. If we grow that resource management that's being done in X part of the world, maybe there's development in technology or opportunities for that. It's like everything at growth and scale is actually beneficial to the impact mission that we have as well, too. While it could be interesting to do something niche, I think Dexter and I are more looking at behavior change. So if you really ask me, like, it's harder to measure, but what the ultimate goal is, we'd like to make more people change their behavior about how they consume and what they prioritize in terms of the things that they bring into their world.
35:40And that is, I guess, probably fundamentally what we get up out of bed every day to do. Y 'all are sneaky. Sneaky. You're like, yeah, you're like, oh, it's a beautiful. Behavior changed through a watering can. That's exactly right. Sneaky. You're like. Sneaky Canadians. Sneaky Canadians trying to change the world. I love it. Before you opened the brick and mortar, you did a series of pop-ups. I went to your pop-up at Platform. It's beautiful. Oh, nice. Oh, no way. Awesome. Is that something that for people who are considering moving into retail, is that something that you would recommend? Were those pop-ups informative for you in a way that helped you then have a little bit more knowledge of how to launch brick and mortar with success?
36:26Yeah, I'm going to give a shout out to Platform here because we couldn't have done what we did without a partner like that. So I'm just going to illustrate that it's worth taking a second for because the build-up was, we came up with our own concept, but you have a physical space that was already set up for retail with POS terminals, team, they're staffing through them. And it's a short term. So us going in and bringing our own employees from Montreal, for instance, to go and move for three months wasn't a viable solution. So that worked out well for us. On the flip side, I think what our lesson or learning was and why sort of what takes us to Montreal is that we weren't present.
37:11And I would say that probably the one recommendation for anyone who's thinking up to open up a pop-up shop, if the goal is to connect and be close to your customer and me to meet Serena when she walks in. If we're not there because that's a six-hour flight away and we came for the opening, we came for an event, and we came for a closure like in total of the three months. Dexter and I were there for probably 14 days, but that wasn't enough, nor for our team, to glean all of the expertise and to really connect with our audience. So I would say that that's the main thing I watch out for. If you're going to open up a pop-up shop, be present and find a way that you're able to get the most out of it for your company, but also for the consumer, that the consumer is getting the most direct experience as possible.
37:58And California is by far our biggest market. and LA is a place where there has been a lot of love for our brand. And so we also wanted to show up because LA and California showed up for us. And so we saw in real time at the exact same time, and obviously we selfishly went during gifting season in the holidays, but we saw a natural uptick in our California business that was larger than every other area of our business. So I'll say more than anecdotally, we know that it had a net impact of more interest and more traction to our business in general. But I think to Byron's point, the goal was really to try for us to understand why is California loving what we're doing as well too.
38:47So it was as much us going to learn and as much as us giving a little bit of love back to a local area. Now that we come back to Montreal, which is not our largest market, but it is our home market, part of it is us putting a handout to our customer here and saying, hey, guys, we're home. Do you want to come in? And I think part of every small business is not just waiting for people to come to you. You have to show up, put your hand out, and explain to them how you want them to participate in the community. And that's why we're trying to show up now. You're galvanizing. Galvanizing. Sneaky galvanizers.
39:25Okay, before we wrap, you have to give me some of the juicy details. What is it like operating a business with your twin? Well, I think you probably just made it through an hour or half an hour or an hour of it. Great. Amazing. Amazing in the sense of we fight like we did when we were 12 or 13 years old. No question. We compete like we did when we were 16 years old. but we realized quite early that better decisions are made in in groups it's so funny that we're talking about a about a company that's about playing in a sandbox with others and barn and i for as long as we've been on this earth have never been alone and being amongst more than one voice is so kinetic for the energy that can be created and that's what we've tried to infuse into the organization.
40:21And so, yes, you see Barron and me today, but what you don't see is the rest of the team that's playing equally an active role in shaping ideas and initiatives and bringing passion and motivation to the project. And I think what Barron and I are doing as these, what are we, sneaky Canadians, we're just sort of like puppeteering of putting things out into the universe and then asking other people to engage with it in a way that is also interesting. And so I trust him. And I think relationships, any business partnership starts with trust. And the second piece I think is always in any business relationship is managing fear.
40:57And so managing fear as an entrepreneur, when you have someone next to you, who's willing to have that same fear threshold that you do or pain threshold, that's a very positive thing for getting through the dark moments and the insecure moments. And so that's kind of where we are. I I think we bring very different talents. We try to separate more now than ever. We're 53 years old for the audience. We're 52. We're 52, thank you. Okay, we're 52. I'm trying to be older than I'm still. But you'll be 53, 59 seconds sooner. But he's like the guy who's like, he's already there. I'm like, why are you there already?
41:36But that's another. So that's another podcast, Serena. So there you go. Yeah, no, I think that where I think Dexter might have been going, it was a little bit of a learned behavior result because we used to do what we liked and we tend to like to do the same things. A lot in terms of leadership, management, vision, storytelling. And then at some point we started realizing that it wasn't the most efficient way, not only for us, but for our team members. like who do I go to to get approval and sign off on this it was just like we were because we were two and I think at one point we started realizing that we had to kind of create space where these are the areas where you're going to lead and these are the areas where and I think that that's a very important thing especially with like husband and wife businesses or or like in partners really you need to kind of figure out what are the lanes of each and fill find where you need to where you can and should cross over.
42:37But for, and if it's not for yourselves, it's very important for other team members just to make things move for no other reason. Yeah, division of labor for the sake of clarity. Clarity, accountability, like just like straight up. Yeah. Clarity is kindness. I mean, the other thing about two twins working together is that you probably can't hide anything from each other. It's totally true. Yeah, he tries, but. I do. Maybe you always find out whatever. If any of us are being extra sneaky, Serena, then the other one's got to figure it out. It's that telepathic link. You can't fight it. Yeah, exactly.
43:19A hundred percent. You guys have dropped so many gems throughout the course of this episode, and I thank you. But I wonder, because what you're doing feels really special, and you're swimming upstream in so many ways. Do you have any other advice for entrepreneurs who are trying to stay true to their values, but also still needing to build a viable, profitable business. We have a really great group of investors who have supported us from the earliest days. And I think having the right support behind you is like everything. So young entrepreneurs, those decisions that you make very early on about financial support, risk, leverage, like it's very, very important that you think about who's going to be there three years, four years, five years down the road.
44:06And I think that we all, because of this world that we live in right now, we see these kind of get rich, quick kind of ideas of founders, all these founder stories. And it can be the case in certain cases, but oftentimes it's not. I'd say that the one thing that I'm quite proud of the group of people that we have that sit together with us on the growth side of the business, it's very consistent with our customers and our makers and everything, very values-orientated, growth-minded, and are along for the ride. And that's an important thing because that's what we're, that's what we and the team are all along for.
44:39So I'd say that. And I totally agree with Byron. I think back to being curious and not accepting that how you saw it in the very beginning is how it's going to be, I think is so critical. That curiosity needs other people helping you shape your ideas, tell your stories, find the little gems within the stories that might penetrate better and make sure you have, you know, good trust around the table internally. I think having external people that you can go to as well is critically important. And those could be people that are shaping conversations in other areas. I think that's key. and never giving up.
45:28It's such a weird thing to say, but this is such a scrappy, tough business to be in. And if you stay curious and you accept that you have to keep rolling, shifting, moving, a step here, a step there, be dynamic now, take a pause now, those are the things that are going to create the opportunity for something to happen. And then when those things happen, how do you double down on those things? So there's the moments are few and far between, and that's what you have to be tough for those in-between moments. And then when those moments show up, that great customer who bought this really great thing, and how, what do I do with that now?
46:06Those are the times when you have to be very intentional about how to strike those moments because it's not all happy, happy, good moment, good moment, good moment. And I think it's critically important that people think about resilience in a way that resilience takes you having to be curious. It's not just like, I'm resilient, and you cry your way through it. It's like, I'm resilient. I have to come up with other ideas. I have to come up with other concepts. I have to tell this to new people. And I think that that's critical. I know I have to let you go, but the two of you are just too interesting.
46:37So I have to ask you one more question, because you bring up such an important point of this, which is like the whole sort of psychological and philosophical side of this, of running a business and being an entrepreneur, how do you develop resilience so that you can make it through those dark and tough moments and not crumble? Sleep. I'm going to say meditation. Meditation, sleep. Meditation for sure. Time off. Time off for sure. Remembering that it's fun and that's what you want to do, I think is key. I would still challenge ourselves that I'm still not having as much fun as I wanted to have this.
47:16We're second time founders and I still haven't found my fun quotient at enough of a level. So I think fun is like making sure that you're able to maintain that joy and all the reasons why you did it in the first place. Our business has a lot of backstops that create that that fun shows up all the time, but it's extremely, extremely important to have joy in what you do. And yeah, I think it's, and the last one, and we could take a whole podcast on this is time. Good things take time. And I totally understand everybody wants everything right now and they want to open up their website and then orders start coming in tomorrow.
47:56Good things take time. And if you build trust over time, you'll have a good business. You just have to make it. And that's the hardest part is giving yourself enough time to make it because it doesn't happen overnight for 99.9 % of them. Time is value. Byron, Dexter, thanks for joining us today. It's been such a pleasure. Thanks so much, Serena. We really appreciate always getting a chance to tell our story. So we thank you. That's Byron and Dexter Peart, founders of Goody. Our show is produced by Alicia Clark, GoGo Zoger, and Schwang Esther Shan. Our engineers are Mika Betlam and Matt Schwartz.
48:34And I'm your host, Serena Smith. We're here every Tuesday and Thursday, wherever you get your podcasts. and be sure to check out the Shopify Masters YouTube channel for video interviews. Until next time, thanks for listening.
From the publisher
Goodee’s founders built a global home goods marketplace with purpose, curated design, and a 4.5% return rate by helping customers buy better.
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