Balbale at Walmart: “Consumers today tack between digital and physical experiences on their path to a purchase.”
(Photo by Michael Bucher)

Balbale at Walmart: “Consumers today tack between digital and physical experiences on their path to a purchase.”
(Photo by Michael Bucher)

The future of retail won’t be brick and mortar or online, says Musab Balbale (MBA 2007). Instead, it will be a more inclusive combination of the two. Balbale, who spent several years of his career focused exclusively on online sales, is testing that theory at scale as merchandising vice president of Walmart’s beauty business.

Balbale was a vice president at the Vitamin Shoppe in the mid-2010s when he saw Amazon and startup e-tailers moving into the wellness category. The competition inspired him to transition into the e-commerce space himself, first as vice president and general manager at Jet.com, and then, when Walmart acquired the young company, as vice president and general manager of the retail giant’s health and beauty e-commerce business. In that role, he saw the potential for the beauty category to be a pioneer of omni-channel sales.

Consumers have long been accustomed to using online platforms such as YouTube or, more recently, TikTok, to discover new products, but digital sales in the category were not on par with other consumer goods. The explanation: “Beauty is a fun purchase for consumers,” observes Balbale. Customers want to have that experience in person.

It’s a phenomenon that retailers have also seen in categories such as home and fashion, but beauty’s more accessible price point makes it a natural space for retailers to experiment with the hybrid shopping model. The everyday presence of beauty products in a consumer’s life is also a unique opportunity for retailers to connect with consumers, he adds. “Beauty is a category that has the ability to articulate a brand promise or personality,” says Balbale, which is particularly appealing to Gen Z—and others.

“Retailers are beginning to appreciate that Gen Z has a cross-generational influence on mass behaviors,” he says. “More so than previous generations, they are influencing their parents’ and their grandparents’ decisions on what to buy and the brands and retailers they choose.” In-store and online, for example, Balbale has reshaped Walmart’s beauty offerings and marketing to expand the assortment of Black-owned and sustainable brands the company stocks, highlighting those changes on TikTok and Clubhouse, the new audio-focused social media platform.

But today’s consumers are looking for real commitments from companies, he cautions. It’s not enough to make small, surface changes; you have to look at the whole value chain, advises Balbale: “To be a diverse retailer, you have to have diversity on your business team, on your shelves, and in customer-facing voices, including marketing and store associates.” This is a moment of transformation, he says. “Omni-channel is a learning experience for all of us.”

How to: Market to Gen Z (and beyond)

Become digitally fluent. This generation of consumers is digitally native. They respond to individualized content that is less permanent. Think TikTok, not Facebook: “Understanding how to talk to them using their technology and their language is really important.”

Be intentional about your values. The consumption-to-conviction ratio is changing, and more purchase decisions are based on social values: “Gen Z consumers expect the brands they support to take a stand, especially on social justice issues.”

Build a more inclusive team. The Gen Z audience expects inclusivity—in terms of race but also in terms of gender, sexual orientation, and age: “You need to bring all those voices into the conversation to come up with ideas and solutions for the consumers.”

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