Hey Vanquishers,
Celebrities.
They don’t want to make movies, TV shows and content anymore…
They want to sell stuff!
Today I want to share my take on why that’s smarter than you think and not as obvious…along with lots of other cool eCommerce stuff!
TODAY, IN 10 MINUTES OR LESS, YOU’LL LEARN:
✔️ Vanquish Framework: Fear Vs. Expansion
✔️ The new billion-dollar celebrity brand-building blueprint
✔️ Lessons from 5 celebrity brand-builders
✔️ What makes a brand a brand in 2023
✔️ One random gem from my younger self
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Some of our clients include Intex, Keter, Makita, Bestway & Le Creuset.
A partner in the truest sense, we are changing the way agencies and consultants interact with brands to make real impact.
VANQUISH FRAMEWORK: Fear Vs Expansion
You know it, and I know it, the big Chinese brands are taking over eCommerce faster than you can type alibaba.com into your search bar.
So, you have two options: make a cuppa and let it happen, or get off your behind and take them to task by building a real brand and taking it global.
Asian manufacturers are not afraid to expand overseas, so why are we Westerners so cautious and fearful of it? The common theme in most of our calls with eCommerce brands from Europe or the USA is ‘fear’. How do we do it? How do we overcome the blockers? What if it doesn’t work?
It astounds me that so many are happy to sit back and let sub-par brands eat them for breakfast!
Surely you have no choice but to spread the risk and sell better products in more countries?
What will you do?
THE NEW BILLION-DOLLAR CELEBRITY BRAND-BUILDING BLUEPRINT
Before we get started, let’s crush one myth: celebrity brands are NOT successful because they are celebrities.
It may make you feel better to say it, but it isn’t strictly the truth.
They are successful because they are great business people, with great advisors. In the same way that there are just as many non-celebrity brands equally and much more successful, there are also many A-listers with little generational wealth to speak of.
While their stardom may have opened doors for them, there are compelling reasons behind their foray into entrepreneurship.
For celebrities, fame can be both a blessing and a fleeting one. The entertainment industry can be unpredictable, with careers rising and falling like the tides. To safeguard their financial futures, celebrities are diversifying their income streams. Property? 2000, Stocks? 2010, Products? 2023
Of all the diversification options out there, these guys are all choosing products. Why? Because the leverage, return and longevity are unparalleled. Physical products are the new celebrity currency.
But here is the thing: For every celebrity doing this, there are 100 unknowns doing it bigger.
Dwayne Johnson & Mark Wahlberg can’t sell their movie careers. Mr Beast & Logan Paul can’t sell their YouTube channels. They’re entertaining, but they exist only with them. When they stop, the money stops. Think, ‘dancing bear’. Worse still, they have no value without their celebrity face, so there is no asset value to monetize.
Enter physical product brands. They’re tangible. They sell when you’re asleep, and they can accumulate huge value and saleability.
But you have to know how to do it.
The Rock, for example, is smart. He understood Jeff Bezos’ flywheel concept and set about building his own. He leveraged one platform to build another. More naturally begets more: Additional force to any one input on his flywheel creates more of every input on his flywheel. Case in point: Mast-Jagermeister just announced it will become an investor in Teremana, a move designed to further foster the brand's global expansion and distribution.
All of which, if you do the math and apply a few assumptions, likely means Johnson's flywheel has made him a billionaire. George Clooney sold his Casamigos brand for a deal worth $1 billion ($700,000 upfront and an additional $300 million if certain sales targets are hit). At that time, Casamigos had sold 120,000 cases the previous year.
Compare that to Teremana's 600,000-plus cases sales in its first year and, even though the price points -- and possibly margins -- are different, the potential is arguably much greater. Lower cost typically leads to broader appeal, which should make it easier for Teremana to leverage its extensive distribution network to expand into other lines and territories.
I know what you're thinking. "Interesting. But how does that apply to me?"
Well, you’re already selling products, right? Otherwise, we wouldn’t be here. So you’re already trading in the best currency for 2023 and beyond. So now it’s about leverage.
Do these guys sell their products just on Amazon? No
Do they sell just at home? No
I get tired of wise asses still saying that there is a valid argument for being ‘Amazon-native’ or not expanding overseas.
A true brand is omnipresent, always, period.
Go physical. Go digital. Go multichannel. Go global.
Be a real brand. Be like these guys.
Social media, DTC, marketplace, marketing. It all goes to build your brand flywheel, and if you do it right, you can build a monster too.
LESSONS FROM OUR CELEBRITY BRAND-BUILDERS
💥 Don’t long for fame and fortune, they’ve got it and they want what you have
💥 Don’t wait too long to diversify off one platform. Channel-native = bedroom seller
💥 Don’t fear international expansion, it is inevitable and essential for serious brands
💥 Build your own multi-platform flywheel of content, sales and visibility. Be omnipresent
WHAT MAKES A BRAND A BRAND IN 2023?
White label doesn’t work anymore.
There are still spurious ‘gurus’ and course creators out there touting the same Amazon FBA bulls**t. Look, it worked ten years ago when the market was young…but it doesn’t work today.
You can no longer find a product on Jungle Scout, go onto Alibaba, then order it with your sticker on and sell it a dollar cheaper. It’s too competitive, it is unprofitable, and it’s stupid. You’ll burn through ad budget long before this becomes sustainable.
Only true brands win in today’s complex landscape.
Put the work in, find a differentiated product, and build a brand around it. It takes time, yes. It is hard work, yes. But it’s what it takes.
You have to source where the bedroom sellers are not, create like they cannot and invest like they will not. It is only a red ocean for ‘me-too’ products.
ONE RANDOM GEM FROM MY YOUNGER SELF
For 20 years, I have been filling Peter Pauper Press journals with notable quotes, wisdom and things to remember. I write privately, for me. Now I want to share one with you exactly as I wrote it then:
“Trading Company - Many Brands + Products ➡️ Income Exceeds Needs, Which Should Always Be ‘Just What’s Needed ➡️ Excess Is Invested Into Property & Investment Vehicles ➡️
Investments Appreciate & Deliver Passive Income ➡️ Wealth”
“NB/ The more we grow income but retain expenses ‘as is’, the faster we gain wealth. * Monitor this”
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Spread The Word
I’ve been doing this for over 20 years, therefore everything I talk about is a result of real-life commercial experience from doing the same things you’re doing to grow your brand.
The benefit is always hindsight, and if I’d known the pitfalls and the right levers to pull at the right time…I’d have reduced a 20-year process to 2.
I hope this weekly send, our daily content and overarching message helps you do just that.
If it does, please spread the word with your colleagues, family, friends or anyone who could use the help.
Happy Building, Vanquish The Competition & Follow The Opportunity…Wherever It May Be