Transcript
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Conversations from the front lines and marketing. This is B two B Growth.
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Welcome back to the echo chamber.
Here on B two B Growth. I'm
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here with James Carberry, Dan Sanchez, and I'm Benji Block, and we're
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gonna give you quick rifts, hot
takes from in and around marketing. And
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today we want to talk about the
All In podcast. There. I think
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they're like the twentieth biggest podcast in
the world or something. They're high up
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on the charts. Uh, James, you want to explain real quick what
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the all In podcast is it all? Or like maybe give some context there.
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Yeah, So the All In podcast
is most of talk about tech.
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It's a lot of VC guys that
you have made jillions of dollars in tech
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and now they're you know, venture
capitalists, but really really smart folks.
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And I saw this TikTok video the
other day where essentially they're talking about how
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traditional businesses you know, and guy
in here I think is that David Friedberg
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is basically saying traditional businesses are going
to be dead in thirty years unless they
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start to become content businesses. Because
you're seeing you know, the Mr Beasts
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of the world, the Paul Brothers, the Kardashians. You're seeing all these
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folks that are building massive influence,
massive audience. They have attention, and
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like we've been saying, like we
are in the attention economy. Those who
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own the attention own all the leverage. And what started, you know,
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seven eight years ago by seeing you
know, oh that's cute. They're over
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there building a following on YouTube.
Oh that's cute. It's now turning into
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people starting burger franchises, candy companies, make up lines that gets sold in
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airports all across the country. I
mean the Paul Brothers with their drinks.
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Yeah, I mean these influences.
It's far beyond cute. I mean they're
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building legitimate businesses that these folks on
all in and are brilliant guys, and
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they're saying these traditional busin this is
have to look at what's happening and start
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making decisions that keep them from falling
into the trap of getting beat by these
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folks that have built massive amounts of
attention online. Mr Beast launched a chocolate
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bar, became like the number one
chocolate bar in the country. He just
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opened up a burger restaurant last week, Number one. No more than that,
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like a hundred thousand or something.
Kylie Jenner launches a makeup brand,
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takes off, becomes this billion dollar
brand. Kim Kardashian launches a clothing brand,
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becomes a three billion dollar brand.
And here's what I think is the
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most prescient emin A transaction, And
you guys can tell me I'm crazy.
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I think the most important emin A
deal of was when Pen Gaming bought bar
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Stool Sports, because it shows that
every consumer package good or every consumer services
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business ultimately needs to be a content
business. And if you don't naturally have
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content creation in your blood, you
have to go and buy a content business
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or you're going to die. And
that's why I think all traditional brands that
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aren't oriented and built around content creation
as their primary differentiating foundation will not survive
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and will not be able to compete
effectively. And instead, what we're going
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to see his influencers build and distribute
consumer goods and consumer services in a more
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efficient way because guess what they've got
distribution built in. Let's say Coca Cola
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tried to build a content business today, how good would they be? Not
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very good. That's why they're gonna
end up dying and do you think Mr.
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Beast Burger could beat McDonald's. Yes, and that's what I'm saying.
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That's my point. That's why it's
kind of saying when you think about it,
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if Mr Beast had five thousand franchisees. Yeah, but this is exactly
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my point that I said at the
beginning. Every traditional brand will get destroyed
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in thirty years, and they will
get destroyed by the influencers that have built
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an audience through content creation and now
creating businesses on top of that that compete
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with the traditional incumbents, not technology
advantage businesses. I'm talking about core consumer
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goods and services. They also have
to be pen gaming. Pen gaming does
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betting. You know, there's no
real advantage in betting. You build a
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sports book. That's it. The
reason Penn Gaming bought bar Stool is they
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now have an audience that they can
drive to their sports books, right,
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and so the same will happen.
Was still have to make a great product
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though, I mean that's the other
challenge here is can you also be a
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product savant? Can you be a
virtuoso in building products in transition to being
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an influence? Yeah, And I
think that's what him gets right. She
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makes great product and Mr Beast his
first burger was not good. But now
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this new burger, from what I
understand, is awesome. So you have
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to have both things switched on.
Think about think about what's easier and what's
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harder. What's easier building an audience
of two billion or a billion people that
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listen or watch you every week or
building a great burger. It's a lot
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harder to build the audience and the
product, if it's really hard. Yeah,
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it's not. I'm not talking about
complicated cars and stuff or electronic I'm
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talking about basic consumer goods, cereal, beverages, food, Why not community
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of music, audience, like like
all this stuff that's commodity. You know,
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betting, I mean this is not
the betting is not a differentiated service
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offering to consumer. So ultimately,
how do you differentiate It's the it's the
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audience that you've now built, the
brand that you've built through the audience because
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of content creation. Yeah, I
would say, he breaks. I would
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say this is a very hot take
that I did not fully agree with,
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But he breaks. I'll break it
into three parts. This is what his
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kind of his hot take was.
The First part is that the biggest marketing
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and advertising deal of two was when
Penn National Gaming bought bar Stool Sports.
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That idea is because they're basically they're
buying a media company right that does podcasts,
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they do all the bar stools is
huge. The second part of his
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hot take is he says it it
shows that every consumer packaged good or consumer
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service business needs to be a content
business or they're gonna die. And then
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the third part is that every traditional
consumer brand consumer services company will be destroyed
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in thirty years by influencers who have
distribution built in. So I would say,
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of the three, the first one, I'm like, I don't know,
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Like I don't fall low marketing and
advertising deals as much to know if
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that was actually the biggest deal.
So I'm fine with, like, you
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know, okay, he knows more
on that one, like for sure,
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maybe that's right. The second one
that consumer package goods or consumer service businesses
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need to be content business, I
start, I'm like, kind of not
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in my head, I'm like,
yeah, I like that. The third
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one, I don't agree with every
traditional consumer brand consumer services company is going
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to be destroyed in thirty years.
I just don't think that's true. Because
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Coke McDonald's. They have staying power
for more reasons than just the fact that
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people have liked their burgers in the
past. They also have the money and
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the finance to go higher. Influencers, they don't need to be them right
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now, and they're constantly evolving.
So when you see a Justin Bieber Travis
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Scott get something like the Cactus meal
or I think like bieber Head Nuggets,
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those things did, they actually boosted
sales to the point where you could go
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read the New York Times article The
Era of the Celebrity Meal, and it
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shows that those marketing campaigns truly work. Those are influencers who are driving revenue
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for companies like McDonald's and Coke.
And the same thing is true even with
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Taylor Swift. Taylor Swift didn't get
the halftime show for the last several years
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because it was a Pepsi halftime show
at the Super Bowl. And now when
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as soon as Pepsi dropped that,
because she's a coke girl, who coke
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advertising girl, she was, there
was rumors everywhere that she was going to
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be the halftime show. She didn't
even end up being it. I'm excited
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for Rihanna, by the way,
but I will end this ramp by just
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saying I think he's right on some
things. But the projection thirty years from
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now that somehow those companies just don't
have staying power, in my opinion,
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is incorrect. Dan, Where am
I wrong in my thinking? What are
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you? What are your thoughts?
I don't know. I think you're right
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to say all is really hard and
really strong. There are still taxis in
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a post uber lift world. They're
still around. There are a fraction of
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what they used to be, but
they're still here. There are still profitable
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taxi companies, just less of them. They were still you know, the
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people that book your your vacation,
you know, a vacation agents, Like,
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yeah, Like they're still around.
Their business model looks totally different now,
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and now they're just pretty much make
money off of affiliate purchases, right,
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That's how they make their money.
Now you don't pay them anymore.
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Things change, Like, I can't
believe that thirty years from now, my
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local dentist in my town is going
to go out of business. He's not,
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and he doesn't have to own an
own an audience. So but I
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think he's right, and that it's
going to make a dramatic shift. There
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are going to be winners and there
are going to be some freaking losers in
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this transition, that is for sure. Is it everybody know? Is it
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going to affect everybody in some way? Some more, some a lot,
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and some a lot less. Right. It's certainly affected the taxi cab industry
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when Uber disrupted it. So this
massive game of attention is going to disrupt
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a lot of companies. It's going
to disrupt industries and some people are going
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to win and some people are going
to lose. Does that mean they all
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go bankrupt? No, but some
of them will B two B growth will
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be right back. There are a
lot of questions on marketers minds right now,
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and analyzing the latest trends can be
a full time job in itself.
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Can an a R filter really improve
brand awareness? Why are streaming ads so
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allowed? What do viewers really think
about shoppable ads? Marketing Group does the
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hard work for you, dropping a
quick to read, free newsletter in your
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inbox every weekday, covering essential topics
from influencers and advertising to social media and
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more. Marketing Group never misses a
beat. Get the answers you've been looking
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alongside a growing community of over two
hundred and sixty five thousand marketing professionals.
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Check it out by clicking the link
in our show notes right now. So,
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this massive game of attention is going
to disrupt a lot of companies.
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That's going to disrupt industries, and
some people are going to win and some
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people are going to lose. Does
that mean they all go bankrupt? No,
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but some of them will. What's
interesting to me as we started Young
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Married Christian last year and so I
started meeting a lot of these Christian influencers
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flown down to Orlando to record our
show. The more relationships I've built with
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these creators that have built you know, and they're not in the Mr based
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league at all, but you know, I think one of them is closing
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out on two hundred thousand subscribers on
on YouTube and building really solid affinity with
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his audience and is starting to monetize
in different ways. What I think is
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powerful about the Paul Brothers and the
Kardashians and folks like Mr Beast is a
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lot of creators by nature are incredibly
creative people and they don't at least,
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what I observed in hanging out with
them, only a fraction of them are
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kind of business minded. They're much
more focused on the creative and like,
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what is it that is going to
be? You know, it's gonna make
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this video somebody's favorite video. And
Mr Bea says all the time, he's
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like, I'm just in the business
of making the best videos possible. I
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want to make the best videos possible. I want to make the best videos
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possible. But what he's showing all
of the other creators right now is how
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you can have that relentless focus on
quality and focus on making the best videos
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ever and still build an enterprise around
you in the in the attention that you're
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able to build with your very specific
skill of audience building and attention creation.
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And so I think you're gonna see
a lot more creatives that start to do
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what he's done. Like he's hiring
CEOs for these different enterprises and he's saying,
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I don't need to go run a
burger franchise, I just need to
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hire somebody that's done that before.
And so I think the more creators that
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you see monetizing and very creative outside
the box ways, they're just writing the
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playbook for how it's going to be
done for the next ten, twenty thirty
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years, and it's it's exciting.
I think it's gonna be really exciting to
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play out. I think what you're
gonna see is traditional brands are gonna have
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to up their game. Like that's
why I love capitalism, Like more competition
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means it's going to be better for
the consumer. Like if Logan, if
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the Paul Brothers end up coming out
with a burger that's better than McDonald's,
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McDonald's gonna have to make a better
burger, Like that's what's going to drive
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them out of business. And so
I think, you know, there's they
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were even going back and forth in
that TikTok video about like yeah, but
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you still have to have a great
product. And you know, the guy
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was pushing mc and he's like,
yeah, and building an audience is way
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harder than building a great product.
And I would agree with them, like
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building a great product not taking any
I'm not saying that that's easy at all.
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That is incredibly hard. As someone
that's tried to build two software companies,
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even building software really insanely freaking hard. But I don't think it holds
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a candle to how hard it is
to to build a thriving audience that knows
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and and loves you and has deep
affinity towards you. I think that is
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much harder than building a singular product, particularly when it's a commodity product.
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And so that's that's my two cents
on this, James, let me ask
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you a question. So let's say, right now, do you have affinity
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towards a B two B leader influencer
to the point where if they were to
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just like give a recommendation, because
on the B two B side this is
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different. It's not it's not a
ten dollar burger, right, So then
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I'm like, okay, could you
be an influencer to the point do you
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have anyone in your life right now
that you listen to to such a degree
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that if they were like by this
software, you would just do it,
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you know what I mean? Like, because B two B is not going
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to have a hundred thousand people show
up for a burger launch in a mall.
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That's the Paul Brothers can post on
Instagram, and because you know,
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for the audience that they it just
drives a different type of reaction. Do
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you have affinity towards someone like that, and how do you see it playing
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out in the B two B space. Yeah, I've got affinity like that
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for sure with Chris Waker, Alex
her Mosey, Gary V. Laylor her
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Mosey. Yeah, I definitely think
that I've got affinity to the point where
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somebody tells me to buy something in
B two B land and I'm I'm at
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least looking at it and seeing if
if it fits the business need that we
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have. Yeah. I've purchased multiple
things from Tim Ferris, right, same.
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Yeah, he goes and endorses things
on his podcast. You better believe
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I've tried some athletic greens. His
ads are the best because you know that
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he's also testing his stuff, testing
them. I preach about that quite a
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bit because I love the way he
does adds. I wonder when it's like
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an enterprise sales motion, right,
when you're you're talking about multiple people that
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are involved, it's you're gonna have
your opinions and you're gonna bring that to
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the board, Right, You're gonna
bring that to whenever you have to make
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a decision. But like how that
influence works out, obviously it's still better
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to have an audience. I just
think it's a more nuanced conversation when there's
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multiple people and maybe you're all on
the same page, and maybe you all
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listen to the same people and then
it's just gold, you know. But
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I do think it gets a little
bit more complicated. The larger year organization
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is the slower moving decisions tend to
be. But it's never bad to build
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an audience and have affinity, and
uh that I couldn't disagree with. I
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loved the hot take of this because
I'll just read a couple of these comments
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really fast before we close. But
people were all over the place. In
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the comments on the TikTok, one
said I actively avoid products from influencers.
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The next one like my prediction,
Coca Cola will still be king in thirty
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years. These guys, these guys
are jokes. Influencer products are not very
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long lasting. Coke isn't gonna go
down anytime soon. This guy really said
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Mr beast Burgers could be bigger than
McDonald's. Like, people just all over
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the place. But I love that
he has kind of that audacity to bring
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up something like that because it gets
us thinking in a new way. Yeah.
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Well, and I think when when
you're the guy in the TikTok video
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with tens of millions of dollars in
your bank account, gives you a little
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bit of credibility to the person commenting
on a TikTok video that's never built anything
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in their life, Like you hear
that and you go and that's why you're
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going to look back in ten years
and go, oh, yeah, that's
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why that guy that deck a millionaire
got left behind didn't build an audience.
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Yeah, I think that's you have
to take it seriously. But then I
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just think you gotta also think for
yourself as far as how far this will
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go, Like, there's other ways
to win, but this is one that
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we would definitely be very interested in
and we see the value in building an
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audience, so we had to talk
about it. Well. This has been
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another great episode here of Echo Chamber. If you want to chat with us,
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you can do that on LinkedIn.
We'd love to hear from you,
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and we'll be back next week with
another one of these episodes. Thanks for
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listening, everybody. We're always excited
to have conversations with leaders on the front
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lines of marketing. If there's a
marketing director or a Chief marketing officer that
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you think we need to have on
the show. Reach out email me Benji
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dot block at sweet fish media dot
com. I look forward to hearing from
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you. M