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Tapestry | Fortune

Tapestry Company Profile, Stock Price, News, Rankings | Fortune

Silos that once defined the C-suite are collapsing—and no role is changing faster than the COO. Today's operators sit at the crossroads of finance, strategy, technology, and more. Scott Roe, COO and CFO of Tapestry, and Kelly Esten, CMO and COO of Enterprise of Toast, are navigating this evolution firsthand—balancing overlapping mandates in the luxury goods and restaurant and retail technology industries, respectively. Toast is ripping up traditional playbooks even further by having multiple COOs inside the organization. Join this candid conversation about how these leaders are operating across traditional boundaries, managing competing priorities, and what it takes to succeed when the C-suite is expected to be more aligned than ever. 

Kelly Esten, Chief Marketing Officer and Chief Operating Officer of Enterprise, Toast
Scott Roe, Chief Operating Officer and Chief Financial Officer, Tapestry
Moderator: Phil Wahba, Senior Writer, Leadership, Fortune; Co-Chair, Fortune COO Summit

Breaking Silos: The New, Dual Realities of the COO Role

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Let me ask you, what's your typical day like? Is this two jobs or is it really two that have melded into one? Sure, I'll start. Uh, hello everyone. Uh, you know, I think it's one job, Phil, and with two minds you got a little devil on each shoulder, at least from my perspective. So I'm CFO and COO, and I don't think you can really separate your mind, right? You bring different aspects and different points of view to bear, but in the end it's, you know, I, I view my job as an amalgamation of both of those. I'm gonna go 2 jobs um for me I really run two separate departments with 2 separate operating rhythms with two separate leadership teams and so I cherish those moments when they come together when there's a marketing program for our enterprise business and all of a sudden I. Get to use my full brain on one thing, but for me it's about how do I make sure these two different departments get the right amount of attention, the right amount of time, and, uh, the way I set up my operating system, some days are all one, some days are all the other, and you know, the best days you get a little bit of both. Well, let's talk a little bit about the, like each of you, your other job is, is different, um, I mean we've seen I cover leadership at at Fortune and sometimes you see, uh, somebody will be COO and then they'll have the CFO or they'll have the CMO, they'll have something else. And so at this moment in time, what's the rationale at Toast for you having CEO Enterprise plus CMO and offer at Tapestry and mixing with finance? So Kelly, why don't you go first? Yeah, you know, I grew up on the marketing side of the business and a handful of years ago we were really starting up our enterprise business at. So I left marketing for a few years and went all in on making sure this kind of new segment had what it needed to be successful and what that meant was I went around all the operations of the company, whether it was customer support or customer success or even tools and systems to figure out how does it need to change how we operate to serve larger customers. And then when I came back to marketing, uh, it's hard to take those hats off sometimes and, um, what I, we found was there was still a need for a leader to pull together the segment thread and so one thing we've done at Toast is actually have multiple COOs. I know we're gonna talk about that. Um, who each lead different parts of the business who have a different operating model and so as I've brought them together what like the time in the enterprise business rearchitecting how we operate for large customers brought a totally new perspective to how I do marketing. Both how I lead the team, the context I bring to the team about the broader, um, ecosystem we're working on within Toast, as well as just being super close to customers and bringing that perspective back to the marketing team. So it's, I'd say it's probably something that's not a forever but it's more about the maturity of the different businesses that Toast and where we are now and what executives can bring those tool kits to bear. Yeah, I think that I, I would, uh, agree with your comment. I think organizations are fluid and it depends on the current, you know, what is the mission of the, of the, of the enterprise and what talent do you have within the organization. So when I came, uh, 5 years ago today, my anniversary, anniversary, thank you, uh, into the company, I, I had strategy and was the CFO and then and more or less a year later. I took over the CMO role and you know one of the things that we were looking to do is reduce the space between so as you reduce the leadership, the senior leadership team, if you bring together, uh, you know, fewer people to make decisions, it makes you more agile, it makes your ability to pivot and, uh, make quick decisions just easier. There's fewer people at the table, so I think from my back. Background which I had a back in a background in tech and a strong experience in supply chain, it was a natural for me to roll up those functions and and really think about integrating the business and and be a little more seamless. So you talked earlier about having two figures on your shoulder, one an angel, one a devil, which is which? Do you ever in the morning look in the mirror and start. Arguing with yourself with your COO guy saying, hey, I need upgrades to my CRM system. Coach, by the way, which, uh, the bulk of tapestry sales come from that brand, has been killing it 30%, uh, comps last quarter, and a lot of it is because of how good they are at getting market insights. So they spend a lot of money on marketing, but also on all the data, so the market is very targeted. And then does the CFO side of you say, whoa, whoa, whoa, we just spent a lot of money on CRM and all this tech just cool your jets, you know, we don't wanna freak out Wall Street, you know how they get when you start to spend money and, and so do you ever debate yourself in the mirror in the morning? And then I don't think I'm gonna answer that question. No, I, you know, so what we did, Phil, is if I go back is we really remade the business model because we had it started with a key insight which was. You know, we need to reach a younger customer, and that customer we know has a lot of noise in her background, right? We, we hear that Gen Z is kind of the point of market entry where we focus our efforts and a lot of people would say that consumer is more fickle. I would argue that's kind of lazy analysis. She just has more choices today. So if you look at her closet, yeah, there's more brands because she has more choice. So we realized in order to reach that consumer we had to break through. In order to do that, I wish Wall Street would give us a pass, but they won't, so we had to remake the business model. So we've quadrupled our marketing investment and our operating, uh, our operating margin is up 600 basis points over the last 5 years, right? So without the hard work that comes finding efficiency, driving gross margins, all those things, we couldn't afford the marketing capacity, the reach that we need in order to execute our strategy, which is. Opening the aperture, looking redefining the total addressable market and not just try to trade share, which is the traditional way that people looked at it in our category, but actually how do we grow the market and, and to do that we had to reach a lot more people so there were two sides of it, right? What do we do in terms of executing the marketing and what are the investments, but also what are we gonna do as a company to um. Allow us to do that and still have our investors stay with us. Not easy. Yeah, well, they're staying with you. Your market cap is at an all-time high, close to it. It is, yeah, yeah, we've, we're, we've gone up 4, uh, 400%, 4 times, yeah, in the last 5 years. So, um, a question for, for, for you, Kelly, is one of the things that's interesting about Toast is that you're not the only COO in the company. Um, and a couple of years ago I did a, uh, um, in-depth piece on Costco and I went back to their leadership website. 8, members of the leadership team at Costco also have COO in their title, so like the chief merchant, which would, which is the title you would have at another retailer. Uh, it's called the person's called the title is EVP Merchandizing COO, and then the head of the Canadian business is COO, and so there are 8 people out of 30 that have the COO title. You guys have something similar. So what's the rationale? Is this a way to tell, you know, for the CEOs to be, they want the whole leadership team to be thinking like operators no matter what you do? Is that the point? Yeah, absolutely. You know, for us, first of all, I think the COO title is really flexible, right? We probably, if we went around this room and asked everyone. What scope you have a COO we'd get a pretty wide range of answers from people who are running all customer facing teams to people who are more technical focused to people who have supply chain like there's a really wide range of what COO can mean but for us it is about who has responsibility to operate this part of the business. And um we've really put COOs around our growth bets at Toast. So if you think about toast strategy, we've been traditionally an SMB restaurant business and that's our continues to be a growth engine for us and it's absolutely our core business. But as we look to future growth, we're really looking for some new areas for us to expand international being one where we have a COO and of course enterprise where we have a COO. And so the idea is this person is operating that business and has the authority to change how we operate. To make sure we're meeting the needs of that new business opportunity and not being held back by, you know, interacting with how the core business operates, which is now a very well tuned machine, um, but we have the ability to kind of break that model and rejigger it whether it's systems, whether it's processes, whether it's people, and make sure it fits the operating model needed for that new area of the business. Well, speaking of scope, maybe can you just give us, uh, an idea of what the COO part of your job includes? Yeah, sure, I, I, uh, oversee all tech, so that includes digital technology and AI. My boss jokingly calls me the AI czar, and I said, as far as I remember the czars, it didn't work out that well for me. And uh and then I have all the supply chain and then uh financial functions and and before I turn it over I'd just like to build on what you said I think that's really interesting you have so many COO titles because the way we talk about and think about leadership is um you know everybody earns their seat at the small table from somewhere you're you're a marketer. I have a financial background. You know, supply chain, whatever it is, but at that table we're all business people, right? And so you gotta get out of your functional, uh, orientation and that's why I answered that earlier question, Phil, that you asked is I think you gotta bring your whole self, uh, to the and and think like a business person and not like a functional leader when you're at these, these kind of jobs. Absolutely. You know for me it's the entire customer journey, so everything from sales to on boarding to customer success and support as well as our product investments to make them successful and it's really about um when we thought about what's the scope we need for the COO role in these new growth areas that we wanna operate differently it's about where we wanna cross the businesses and where does the model need to change, uh, and that might be different for the international business than it is for the. Enterprise business, for example, um, and so that's OK and let's make sure those roles are really about how do I have the freedom to operate and make the right decisions on behalf of my customers. I'm gonna come to the audience in a minute for, so if you have questions, uh, put your think caps on and then we'll, we'll have somebody come and visit you. But, um, for now, um, can you tell us, uh, when would it not make sense, do you think for An executive to not have uh dual roles. I mean, that's sort of the standard usually people have one, but you know there are obviously benefits. But uh what under what circumstances would you say, yeah, no, one title is enough. I'm not sure if I'm exactly answering your question, but as I think about my two roles, Phil, it'd be, uh, I mean you could make an argument having the CFO independent and not having other, you're a little bit, you know, the fox fox watching the hen house if you, right, if you don't play that role properly. Um, the way that I think about that and the way we try to do it is I have very strong lieutenants who I empower and I ask them, challenge me, right? If I ever get over the line or if I lose my objectivity, you gotta make sure you have an organization and a culture that's allowing you to call out if you see something that doesn't make sense. Hopefully I won't do that. But you know sometimes we lose our perspective. You see something, say something, as they say in some way. I, I think it's also about never being the bottleneck, right? Your point about really strong lieutenants, to me, how you manage a broader scope is you got the right leadership team in place. You have the right operating system in place. You know where you have to weigh in, where you've got lieutenants who can go do that, and I think as you. You the faster decision making benefits like I can discuss with myself whether a marketing campaign should be SMB focused or include enterprise, but I don't need, so I don't need to bring someone else in. But when I become this kind of bottleneck across the business, that's when you've got to think, OK, there's not enough overlap here for this to make sense for the business. I think we had a question in the back. Yeah, I guess you can just say uh your name and affiliation and sure, yeah. Hi, it's uh Christoph again from, from Wise uh and uh the question is, uh, probably for Kelly Mora, but in the multiple CEOs set up, I'm curious how you make sure that you don't, that these different CEOOs don't operate in silos because there are certain things like processes, tools, etc. where it's worth overlapping or using the same technology, same processes and Yeah, just curious how you make sure that this, you don't generally duplicate work and become too inefficient over time. Yeah, absolutely, you know, two things. One is there are absolutely times where we don't want to duplicate efforts, so we have, you know, very tactically we meet monthly and we talk about what's going on in our segments, decisions we're making, things we're pulling out, etc. but we've also made an explicit decision that sometimes that's OK. Like if I wanna go put in a project management tool for example or a new AI thing for enterprise and there's a duplicate effort going on in another part of the business we've actually accepted that the innovation and the closeness to the customer, the decision making we're making close to the customer is worth having some duplication across the business that's an explicit trade off we're making at this maturity. For these businesses that will ultimately change as the businesses mature, but right now the point is go fast, be close to the customer, make those independent decisions. Yes, check when there's obvious overlap, but we're making that trade off a little bit in the business as well. I think we have a question over here. Yes, uh, hi, I'm Shweta from Cognizant. So first of all, nice to have a conversation which was not about AI. You're welcome. But let me, yeah, don't worry, but we'll, I'll bring AI here and I'm gonna go back to a conversation that was my, my with my CEO of the last session where interdisciplinary skills are becoming so much more important. Do you see this kind of, you know, leadership crossing over our traditional boundaries and taking multiple responsibilities becoming a lot more common because of AI, especially like I think you said, you're also the AIs are in the company. Well, so AI is a tool, it's an enabler, but it doesn't override your, your fundamental, uh, outcomes you're trying to achieve and the way we think about it is I, I, I like the way you said it right. Where are the red lines? Where are the degrees of freedom, and, and I'll tell you, I'll give you a specific AI example. So we have what we call enterprise initiatives which are. Have a large AI component so they require cross uh cross function or cross brand or cross region or maybe all of the above coordination and we manage these as enterprise projects so you'll have a project manager and you'll have somebody looking across the common thread because when you start touching different organizations you don't want people moving at different speeds or having different. Uh, you know, approaches and the fact that it's AI enabled just opens the aperture on what you can do at the enterprise level, but to me it's about the outcome, not about the technology, you know, AI can be a hammer looking for a nail, um, and then on the other hand we have, um. General uh uh capabilities that we give to, uh, um, all of our employees, frankly and say go crazy within your areas of responsibility as long as you don't cross a functional boundary or where we've set those red lines then we give people autonomy to innovate and within their areas. Yeah, the only thing I'll add is we are seeing some blurring of functional lines, right? like. I think about sales and marketing where the SDRs and the marketing funnel we think that's gonna compress with AI or the line between product marketing and product management might blur and so there is some kind of looking at those boundaries and rethinking how different executives might lean further up funnel or further into product or product further into marketing so that's the one place where we're starting to see those shifts happen as well. Great. Well, thank you guys for joining us, and I'm told that for your 5th anniversary at a new job you can buy a coach, a briefcase. Oh, is that right? Get yourself a, a store discount. But join me in thanking Kelly and Scott for being here with us today.

CEO Joanne Crevoiserat talks growth at Coach and its other brands, Kate Spade and Stuart Weitzman.

How Premium Luxury Brand Coach Has Built A Moat For Parent Company Tapestry

Photo Illustration By Fortune. Photo provided by Tapestry. 

Leadership

Chris Cocks, Chief Executive Officer, Hasbro
Joanne Crevoiserat, Chief Executive Officer, Tapestry
In conversation with: Matt Heimer, Fortune

Fortune Global Forum 2024: Brands We Love

Photograph by Michael O’Shea for Fortune

Joan. Good morning. Thank you so much for joining us. Um A and Alex, thanks for the introduction. Um So Alex mentioned the sort of idea of uh creating brand love and I'm kind of fascinated by that. Um talking about brand loyalty or brand love points to sort of the truth of what's a very um emotional and maybe arguably irrational connection, you know, between customers and the products that they're most uh loyal to. And at the same time you each have at your command, you know, endlessly growing amounts of data that were the kind of modify this irrationality and give you ideas about, you know, how to use it, how to shape those emotional reactions. So I'd love to hear a little bit about how that's playing out for you. What are you uh how are you, what are the kinds of data you're getting? What are they telling you and how are you reacting them to shape the brands? Um Chris, we were just talking about this earlier if you wanna kind of jump into. Oh, yeah, sure. Uh Well, first off, thank you for having me. Um Yeah, so it has where we use data quite extensively, I think is probably everyone in this audience does inside of their firms. Uh I started off at Wizards of the coast, which is a subsidiary of Hasbro. And in my six years there, I think we oct uh our data and insights budgets. I've been CEO now for about 2.5 years and I think we're on our way to tripling our data and insights budgets. So it's foundational for us to fundamentally understand our consumers and where they wanna go and we'll use that on everything from uh you know, what do parents wanna buy for their kids? And what are the hot new trends that uh little boys and little girls are looking for for the holidays to uh large scale digital games uh where we understand what players are, what classes of uh characters, players are choosing, what formats they're choosing um and how we should be affecting design and in a digital format, in some cases, you can tweak those products fairly quickly based on the way the players are using them, for example, with the digital games in the in the portfolio. Oh, yeah, sure. So magic, the gathering is our biggest brand. It's a billion dollar card game. Uh It's rather complex card game. There's over 20,000 unique cards inside of the, the domain of the game every quarter or so. We release another 250 to 300 cards which really shaped the quote unquote meta of the game. And uh digital allows us to understand how those cards are being used in real time. And if we have some power creep inside of one card, we can either uh nerf it and uh make it a little less powerful or help to edge up some other cards to help offset it, which helps drive satisfaction for the game. That's great. Joanne, you're in a very different sector, obviously, you know, tapestry is the parent company of Coach and Kate Spade and Stuart Weitzman. Uh But at the same time getting a big flood of data in and it's how is that shaping marketing decisions, design decisions. Well, it's great to be here and I'm learning new terminology. So I'm gonna use Nerf it going forward. We don't use that in our business, but um we do use data. So uh just to, to build on um that idea as a retailer, we have a lot of data and our focus has been to really harness that data and embed it in our organization. It's not enough to have the data and even to pull an insight out of that data. It has to be in the hands of the people who are really making the decisions every day in our business to have an action that has an effect on the consumer ultimately. And what we talk about at tapestry is this, it, it's a balance of what we call a balance of magic and logic. Our, our business is a lot about bringing creativity and innovation to consumers. But doing that with an understanding of what consumers value and you know, in, in the world today, the consumer moving pretty fast, there are lots of things that are impacting how the consumer feels from day to day, from region to region. Um And I'll give you an example, our tabby bag, which is uh now a a new icon for the business and it's been doubling in volume, uh pretty much every quarter for the last few quarters. Back in 2020 we had, we, we had seen the tabby start to fall off and um we were going through the pandemic and our normal cycle would have said, let's mark it down and bring in the next new thing. And our data said that actually this is a bag that young consumers are gravitating to. In fact, we're acquiring new young customers with this bag. So rather than so that insight informed our creative teams and that insight led to innovation behind the tabby bag, which was the creativity. This is the magic that came in and we developed a pillow tabby, which was, you know, we're in the middle of the pandemic. Everybody wanted, was staying at home, a soft uh brightly colored uh puffy version of the tabby went viral. Um And since then, we've launched uh a quilted tabby, a times square tabby, a square tabby tabby is uh taking on a life of its own. So it's, it's that it's the intersection of the data that informs the creativity when you bring those two together. That's when, that's when the real magic happened. Sure. Sure. Uh again, soft and pillowy, the nerf word comes to mind again, the different context. Um One of the big narratives around um the election that we just had last week was a sense that a lot of consumers felt uh felt cash strapped. You know, they didn't feel like they could splurge on things uh that weren't essentials. They felt like they were having to ramp back on treating themselves well, you know, you're each running companies where your brands uh are not essentials are about the last thing you're gonna throw out the window. How, how did you see that coming through in the data? How uh or did you see it coming through in the data? I should say and how have you responded to that perceived uh price pressure among your customers? So maybe I'll, I'll kick it off. Um uh So when we think about, first of all, as, as I mentioned, the customer is moving very fast and they're reacting to things that are impacting them including in inflation. But as we think about brand building, we think about the value equation with consumers and the value equation is more than just price um as a brand builder, we're focused on creating emotional connections with our consumer and delivering product and experiences that, that consumer values. So the value equation for a consumer is, yes, what does it cost? But what is the function, what is the style, what is the quality of the product and all of those things go into that evaluation of this is worth it. And so as we do a lot of work, understanding consumers and it's not just reading data, it's also going into their homes and talking to consumers and, and understanding the meaning behind the meaning that they might fill out a survey or you might see in the transaction data, it's really understanding what's on their mind and delivering that value equation that works for them. And when we build in the quality that they recognize when we build in styling and innovation, like the tabby bag, I just mentioned, um we understand what the value equation is for the consumer. Our job is to deliver product that they'll value and they'll buy at the price that, that we, that we can sustain. And so that's I think the essence of brand building and the essence of staying close to the consumer. I guess you also, there's an advantage in the sense of durability. It's easier to pay a premium if you think you're gonna have this for 10 years or 12 years, whatever, whatever the product might be, uh a great game or a great uh great bag. Um Chris, you've got a much wider assortment of things that you're selling obviously. But how uh have you seen price pressures um in your customer base? And how's that been playing out? Oh, I mean, absolutely. You know, the toy aisle, the dominant price point is $10 or less. I think it actually is the median price point inside of the aisle. So obviously, we have to deliver a lot of play value for the money. Um But I, I go back to something that Joanne mentioned that I think is a commonality between tapestry and Hasbro and how we think about things like at the end of the day, we're about delivering magical experiences to the consumer. Um You know, there is this combination, there is a very real and palpable sense of emotion in any purchase, whether it's a high end collectible for a 55 year old man or, you know, a birthday gift uh for a five year old neighbor. Um We need to bring magic and we need to bring it at every price point and it has where we deal with price points ranging from free for our digital portfolio of games all the way up to 500 to $1000 for a super high end collectible. I'm liking that there's the magic overlap between what you're doing even in very different fields. Um Just a reminder, uh speaking of magic, if you wanna make some magic by asking a question to either Joanne or Chris, put your hand up and we'll get a microphone over to you uh and don't be shy um flipping back to uh to brands and data for a second, you know, big portfolios for both of you. And you know, Joanne, uh t she's been pursuing an acquisition of uh of capri, which if it works out, which is admitted any question, but if it works out, you've got more brands and presumably more data. Um does that when you have a, when you're bringing data in from across many different products are the ways that it could kind of cross pollinate each other? I mean, you know, can team Mr Potato head learn something from team transformers or, you know, can can team coach, learn from team Stuart Weitzman, I mean, uh d does the data kind of move across the organization that way, I guess? Oh, well, we definitely see that. I mean, I suppose inside of our toy aisle, we share a lot of our designers across uh different brands. Uh There's a lot of commonality between consumers uh in the ages of like 4 to 8. Um And so the same kind of aesthetic that, you know, helps you create a great kind of my little pony experience often can be used to create a great candy land board game experience or a, a super high end action figure experience. Um And you know, the data, you know, parents usually have more than one kid. And so there's like two parts to our equation. It's what does the kid want and what does the parents want. Um and so understanding parent trends, understanding their price pressures, understanding what kids are asking for watching and consuming. Yeah, that has a lot of relevance for us. Makes sense. How about for you, Joan, I think similar in some ways but as I think about um how we build a portfolio of brands and, and the value that tapestry adds, we we have a purpose at tapestry that's to stretch what's possible. And, and that means that we help our brands stretch further than they could stretch on our own with capabilities that we're bringing to bear across the portfolio. So you mentioned one that's, that's data. Uh There are some data and sites that um are relevant across the portfolio. We we learned that one in three consumers this holiday will do most of their holiday shopping online. That's an interesting insight that all of our brands can use. Um But as we think about the platform, we have a platform where we allow our brands to have their own unique DNA. So their own designers, we do not cross pollinate design and merchandizing and marketing teams. The place where we find uh the opportunity to share across our portfolio. It starts with the consumer insights and the data that I just talked about, it includes technology. So reaching consumers today in places where they are increasingly requires a technology infrastructure that allows you to show up in the right way. So all of our brands leverage the same technology infrastructure. They benefit from the ability to harness all the data that we have in similar ways. But they apply it very uniquely to their brand and their brand DNA. We have a supply chain. We haven't talked about the supply chain yet, but I'm sure I'm sure we'll get to that. But we have a globally diversified supply chain that all of our brands can, can leverage. And that has been incredibly critical all through, particularly for the last five years with all the disruptions and supply and demand. And then I would say last is talent. Um We do cross pollinate talent across um brands across regions around the globe and that provides opportunities for our team members to really grow their careers in new and interesting ways and ways that would be hard to do if we were one singular brand. And it provides an unbelievable um trove of, of ready now talent for our brands in different different areas. So a lot of positives that the tapestry platform brings to each of our brands. Uh Glad you brought up global supply chains. Uh The incoming uh the president elect has said that that uh the most beautiful word in the English language is tariffs. Um And uh I was gonna go with elbow but he went with tariffs. That's fine. Um But uh well, but in all seriousness. There's been a tariff regime in place for a while. Uh Trump started one Biden added uh added to it. Uh Trump has said he wants to expand it. Your supply chains truly are global and yet a lot of your customers are here in North America. Um What have you learned from the past few years about how to manage that? And what are some of the challenges you're looking at going forward? Yeah, I mean, if there's one thing, maybe that I disagree with that you said earlier that, that uh some of what we make is nice to have, like, you know, Hasbro is in the business of creating joy and community through the power of play. I, I think that's a staple for most households. And what we've generally found is what's good for the American household is good for Hasbro. And generally speaking, I think our government representatives going back to Hasbro has been around since Milton Bradley in the 18 sixties. So going back to the Lincoln administration, uh we've tended to have a pretty good uh, cohesion between government policy, but the Lincoln Logs probably weren't made in like Malaysia. So there's the, well, no, I mean, but you raised an interesting point which is if it's, and I, thanks for me interrupt, but I mean, if the price doubles is, it's, you know, I think I might still pay for it but some, some of the, some households won't. Well, I mean, we have quite a bit of um elasticity inside of our supply chain. Sure. Um we're making things in North Carolina. We're making things in Massachusetts. We're making things in Belgium. We're making things in Kyoto, Japan and we're making things in Southeast Asia. And so we have tend to have a great deal of flexibility about where we can make things and how we can react to different policies. And I would say to move production for one place to another. And I would say, but generally speaking, you know, what's good for, what's good for Americans tends to be what's good for Hasbro when you're dealing with like things like play and things like toys and things that bring uh wellness to your household. Makes sense, Joanne, how about you? Yeah, I would, I would just say in the topic of supply chains and tariffs uh over the last five years as I alluded to. Um I think the theme is agility is the New Black in fashion. It's something we we like to say. Um it, it is uh so critical with all the disruption and demand around the world. Um We saw really, really big swings, I think unprecedented swings in demand as countries shut down. Um We saw unprecedented swings in supply uh with also disruptions and to supply lanes and ports and container availability. And we have a supply chain that is globally diversified to allow us to navigate all of those challenges and, and we have really focused on being able to uh navigate those challenges and deliver for our consumers. Our supply chain is not reliant on China. Um So, from that perspective, we feel well positioned less than 10% of our finished goods um are produced in China. Uh So we're, we're not beholden to one country or at risk of having one uh tariff regime uh really impact our business. But again, our focus is to make sure that we can deliver for our consumers and that we have the agility, not only to make sure the product gets here, but it gets here with the quality and the value. And that those that shift in our supply chain has been uh one that has taken several decades to build, right? We have to build the capability. Um You know, the handbag business is, is one that's, it's really craftsmanship, its scale, it's uh it requires craftsmen and we, you know, we're focused on bringing that, that incredible value, durable, beautiful product to our consumers. Uh And that's, that's the uh the focus of our supply chain. And I think you've each pointed to something at different points in the conversation, which is if the customer loyalty is there, the challenges can be overcome by that momentum. Um And unfortunately, our time kind of flew. So that's the note I'm gonna end on. But uh Joan Carvo, Ra and Chris Cox, thank you so much for joining us. I really appreciate it.

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