It’s The Most Taboo Business Model We’ve Ever Seen

Sam, you know what they say when you're on a boat and it's sinking? Get off. Women and children first. And that's what we're doing with the podcast today. Women and children first. I feel like I can rule the world. I know I could be what I want to. I'll put my all in it like my day's all on a roll, let's try to make it a little bit more. I have a look a topic I want to talk to you about. Have you seen this startup? That's called co fertility.

How do you spell it? CO fertility. I don't know. It could have been co like You spelled with a K like in the Asian way. I don't know. Co fertility. All right, I get it. Yeah, I'm I'm there. So check this out.

Uh you know a little bit about egg freezing, but uh I didn't know much. I've never done it, but I do know There's like a growing trend of this. I think basically people are having babies later in life. And um egg freezing tech has come along and it's also become more normalized. I think some companies pay you. Or will we pay for your egg freezing? Um, but like just look at this Google Trends chart. So last five years.

Egg freezing has basically gone from, you know, roughly kind of thirty forty on the Google trends to Like Basically eighty. And so it is it is on the rise, and that's just in the past, I don't know, couple of years, two, three years. I think last year

Twenty thousand women. in the United States chose to freeze their eggs, so still a very small number. W so for like the eighteen year old men Who are listening to this podcast. For me six months ago. What is egg freeze? What do you mean? So egg phrasing. So I guess uh I guess I I I actually don't know the difference in terminology, but I know from experience there's two ways to do it. One

Uh a woman just freezes her eggs and then when she's ready Uh uh I I guess Why does it feel like we're having the talk? It's like when I'm all each other very much. I was a per I I was a participant in this. And so I guess you could you could freeze just eggs. And then eventually when you like meet a husband or you meet someone who you want to like mix it with, you mix it and they stick it up inside the women, and then like nine months later, hopefully she has a kid. Uh the other way you do it is you freeze embryos. Um, which is a process that I went through, which is Uh awesome.

But Every like leading up to doing it, I have to bring my sperm. To the doctor. uh like thirty minutes after getting the sperm out of my body. And you just have this ultimate look of shame.

And I remember My wife and I have debated What is more embarrassing and shameful like when a woman has to go to a gynecologist or when a man has to like donate sperm? Uh it's like it's like when my son comes out like I haven't seen him in a little while and he's like a three year old and he just comes out of somewhere and he'll be like, I did a bad thing. That's you walking into the hospital holding a cup of sperm. It's a it's a horrible experience. And so uh yes, I I so that's what egg freezing is. Somehow we made this about the dude side of things, but I think for the women it's a little bit harder. They have to like literally take shots and like harvest the egg. It's like a very hard process on your body. Anyways.

It's also very expensive. So I think traditional egg freezing, one cycle Is something like ten thousand dollars. And so there's a startup, Co Fertility, what they came out and said was Hey. Free egg freezing.

How is it free? Right. And it says, um, by the way, they had like this billboard. Or this ad which was it says the best time to freeze your eggs. is often when you can least afford it. That's why we're making it free. And I don't know if you ever heard that phrase

Yeah. If it's free. Then you are the product. Yes. Wow. The biggest version of this. So what it's doing what they're doing is they're like, we will freeze your eggs for f for free. But we keep half.

We keep we keep out. And this sounds a little crazy when you first hear about it, but I actually think This is pretty smart. What they've done is they bundled together. Two things. They bundle together Egg freezing and egg donation. So some people do

Donate eggs, they get paid for it. And they're willing to do that. They go in eyes wide open and they choose to do that. And that's great because other people need eggs. And so They bundled it together where now you can You can get free egg freezing if you bundle in and agree to donate half the eggs up front. And on the other side

They go and charge people who want eggs and they charge them thirteen thousand dollars. thirteen thousand seven hundred dollars to as their matchmaking fee to get you your eggs. And so I think this is a pretty smart and disruptive uh model. What do you think of this idea? Uh

Insane. I think this is insane. Uh not in a bad way, necessarily. I think it's a bad way for me. I don't wanna do that. But I think that the whole process of that that I went through, that my wife and I went through

I think it was like something like sixty thousand dollars. Um And her insurance paid for it. But if you can't afford it, you're screwed. This is Pretty wild. Do you think this could actually work as a business?

I think this can totally work. I think there's a lot of people out there who, like you said They don't have the Extra tens of thousands of dollars to freeze their eggs. And so if your options were

Don't ha don't freeze it or this free option. But you're gonna donate your you know, some of your unused eggs. And you'll know that they're out there in the world. I think there's a lot of people who will take that. And I uh by the way. I think that because this is controversial It's gonna get so much free press.

Like there is something um Almost strategic. in doing a a s sort of controversial taboo Almost a naughty idea. And you will get

Article after article, online argument after online argument. And all it really does is it pushes away the people who were never gonna be your customer, but it educated the people who actually might be your customer because it's gonna be so noisy. Dude, let me tell you a related story. So she said I could name her name. But you and I have a friend named Kat. And well she's m cl I'm really close with her. I don't know if you're close with her. I think you've just met her once or twice.

Um, her and her wife wanted to have a kid. And it was and although she's successful, she's uh She's a frugal woman and it was really expensive to do this. And we all have a mutual friend, David. Who's this wonderful man? He's like

A six foot tall Good looking, nice, smart guy. And Kat and her wife Emily were like, David, would you like to uh You know, could we get some of your sperm and have a baby? And they looked into like some of this egg freezing stuff and it was really expensive. And they were like

Can we just kinda Do it yourself on this one. And so uh they didn't have sex. They didn't have sex, but He would come over in the morning Uh like when they were ovulating. And he would do the deed in the bathroom.

They would get the sperm and they would just kinda uh I guess they had like a do it yourself kid at home. Yeah, like a turnfaser. I don't know. Like and uh they did that in the very first try. Kat got pregnant, now she's got a beautiful two year old. And Wow. It worked. It's a what a free lunch? What what happen what did David get out of this? Nothing. He just he's like a he's like dude, it's like On paper. She is a great entrepreneur and a great marketer. She convinced this guy

To do this for free. Yeah, you know, she used her uh her marketing skills. Well, they have a beautiful kid, and he's like the uncle, and his parents sort of act like a mixture of grandparents and uncle and aunts. And it's like a wildly awesome relationship and everyone's happy with the ordeal. And so this whole like co-fertility thing. I think this is another interesting solution to the same problem. Similar problem. What's the what's the slogan for Austin? Uh I don't know. What is it? Uh keep Austin weird. They kept it weird. If I told you this solution. Like, oh, it's just possible. You'd be like, That's crazy.

These three people, it's I guess it's a thruple. I don't know what you call this. It's perfect. It's like the most harmonious relationship I've ever seen. Yeah, it sounds actually very healthy, to be honest. It's very healthy. So I like co fertility. Did they raise money? Um I I You know how I think they raise money? They have the like You know when you see somebody who goes to the store and buys a new outfit?

And you're like, You're looking great, but like Can't really put your finger on what's new about it and then you see the tag on their jacket still, you're like, Oh This you got a new jacket. That's what you went shopping and got a new jacket. Their fonts are all the fonts of like a red antler brand where you're like, oh You launched, but you paid for

Fancy branding up front. You got a font that I can't find on defont.com in the free section. And so I know that they got some money somehow to do this. Uh, this is pretty cool. Would you do this? Yeah, why not? Uh also it's hilarious that Like on this huge life decision. I was like, why not? And then for the first time in my life, my brain responded with several reasons why not. Usually why not is met with nothing. So they did some I I I was reading some study and it said that

Eighty three percent of egg donors share that they would donate again and only two percent regret their decision. Which Forget about so you know, surveys I think are are often prone to just like finding data that supports the point you want. But I do think it's an interesting Uh that's an interesting statistical thing, which is

What percentage of people regret X decision. Like I would love to see a list. Of life decisions. And then the regret score.

Um, you know, for example Turning this. Burning Man is this thing that I've been on the fence for for like eleven years, even though Everybody I like and trust in my life who goes is like, it's the best. What are you even talking about? What's the decision? Just go. And

N I don't know anybody that's regretted it. Personally in my life, I'm sure there are people'cause there's like a million people that go every year. But I I just kinda wanna see for life decisions the the regret percentage for each thing. I think that would be very illuminating. for uh somebody who's trying to make good decisions in life, don't you think? Wait, so why haven't you gone? To Burning Man, I'm scared of drugs.

Yeah, same. But you just literally said no one that you've met has regretted it. And when I tell them that, they're like, So then don't do drugs. I'm like, but I thought that's what you do there. And no, that's just one of many things. You don't have to do drugs. My What kind of dork assponse was that? And then I'm like, Okay, I'll I'll think about it this year. Then I go home and I'm like, I'm still scared of drugs. I'm not doing this. My square friend, like my I'm straight edge. So my other straight edge friend And his girlfriend, they're like, Hey, we went to Burning Man Burning Man, it was awesome. Do you guys want to see some pictures? I mean I was looking at pictures and swiping through their phone and it it looked a little bit normal. A little bit normal and he's like Sitting over my shoulder like

Yeah, this is this cool guy we met. Like there's this cool van that we saw. Um there's us just like Doing this, and then there's a picture of him, but naked, like with a a full frontal photo with his arm over her, who's also naked, and they're just like smiling, and then he's just like yeah, there we were, like celebrating this thing. The weather was great that day. Yeah. And then just swipe and I was like, Okay. And I saw that. I was like, I don't know, man. Those might be the scariest words in the English language. Do you wanna see some pictures from my Burning Man trip? It's like you know, right before you go to Six Flags and they put the they the the like roller coaster thing and then the thing comes down and clamps you in. That's that's how I feel when somebody says you wanna see the pictures from Burning Man this year.

Um, I wanna do another parenting one. Before I get to the parenting one, can I do a quick little thrill the show? Throw me, baby. This is something I'm um I'm proud of. So in Hampton, we have access to like a thousand founders and we've been doing these really cool surveys where we survey by the way?

Hampton. It's my community uh for CEOs, uh average CEOs doing about twenty five million dollars in revenue. You guys can check it out and you apply. We interview everyone. Fun fact. My partner Joe and I watch one hundred percent of the interviews and we're the ones clicking the approve or deny button. Um like the Harvey Weinstein of the of the process, would you say? No, I would not say that. I would not. So check it out. Joinhampton.com. But here's what's kinda cool. We did this survey and I was like, Let's do wealth where we like ask all these people all these questions like

You know, how much money do you have? What's your monthly burn? All these questions that people are embarrassing to have. It was cool. But then we were like Let's actually do it by industry. And so we're doing it by software. Uh, we're doing it by all the different industries. So what other industries are there? Software, marketplaces, health stuff. Uh we just did one on e-commerce. And if you go to joinhampton.com, Or just search just actually this is easier. Look in the YouTube description or just Google join Hampton. and then blog and you'll see our blog and you'll see all of our reports.

Dude, we did this thing with e com owners where we asked them all about their revenue per employee. And uh they're uh how much profit they're making, how much they're paying themselves, things like that. Did you see that thing we released? What was the revenue per employee? I'm curious.

Dude, it was pretty good. So let me read you off some of the Wow, what a satisfying answer. Thanks. I'm gonna read it. I'm gonna the chart just says Pretty good. Yeah, D. It just says D. I'm gonna read I'll I'll I'll read you uh off. So we had about fifty people reply. The average revenue of the responder was twenty five million, average revenue per employee one point three five million. The average founder paid themselves$385,000 a year. Net profit has grown consistently over the last couple of years, and we break down each company's net profit. Um And shockingly, I guess this isn't shocking to you and I.

Fucking meta, dude. It's still the best platform for buying ads for e com. Dude, uh it is, except for there's a couple of people just dominating on TikTok shops right now. But um Let me ask you something. On one point three million of revenue per employee.

Right. So one point three million of revenue per employee. I would say that A good e commerce brand. Is doing. twenty percent profit margins on that before taxes. Even uh

Even a margin. Um And I would say the average might be between ten and fifteen percent. So let's just do a little math. So one point three And let's just use the fifteen percent number. What is that? O hundred and ninety five thousand dollars.

And so I would guess the average wage might be a hundred for these e commerce uh stores, maybe a hundred twenty. And so Roughly fifty to seventy K of profit per employee.

And so that's why the thirtieth and final slide of this presentation Where we go through all the numbers. It just says don't. Don't. But if you're listening and you aren't into e commerce, check it out. Just look up uh You can go to joinham.com slash blog or just search Hampton blog. And you'll see all the reports there or in the YouTube description. Now

Can we talk about something that it was your idea to cover this person? And I'm now obsessed with them. Who's that person? Doctor Becky. Dr. Becky. I love Dr. Becky. I more so love the idea of her than maybe I actually love her. Explain what you who she is and why you love her.

I'm gonna give you like the Two minute breakdown of who she is. So Doctor Becky, I believe her real name is Becky Prince. Now her name's Becky Kennedy. Grew up in Scarsdale, New York, which is like a really nice suburb in Long Island. On Long Island, it's like forty five minutes outside the city. She had a bunch of issues as a kid. So she had like emotional issues that she wasn't sure how to handle.

uh eventually that developed into anorexia and she starts going to therapy at age eight or nine. Gets obsessed with therapy. goes to Duke and Columbia to study psychology. And then starting around the pandemic, so two thousand twenty, she just starts doing this content on Instagram. And it I looked at her first post. It feels like very impromptu. So it's like her just

kind of like actually like this setting or like you uh your setting beh next to a wall, just with their camera up and answering questions about parenting of which she studied uh at Duke in Columbia. And it takes off. And one of the reasons it takes off is she's very charismatic. She's very cool looking. She's got the it factor. She looks like someone who you could trust and she grabs your attention nicely, although it's sort of like Andrew Huberman, where he's not doing anything like thrilling.

But there's something about their personality and the way they look where you're like, I just want to trust and listen. I trust. You just trust this person. Yeah, I just want to listen to you. Now Things kind of take off and she's like Let's turn this into a thing. So she creates this business called Good Inside. And it's a community where you pay three hundred dollars a year.

And You uh You get access to like this area where you can talk to other members and you could ask questions. And they also have a bunch of uh she calls it good inside. Clinicians But people who I guess who she's trained

who are talking and answering different questions. And now it's a thriving community. Behind the community you also can see videos of her, things like that. And by the way, do you know who she partnered with to start this business? I do, I just found that out right before this pod. Did you catch that? I was like Erica Belsky. Yeah. Is that a common last name? Or is this Scott Belsky's wife? And it turns out it's Scott Belsky's wife. No way. Scott Belsky's wife.

Scott Belski. Yeah, Scott Belski, who's now the chief product officer at uh A Dobie. Uh I don't know if he's actually been on the pod, but we both admire him. Just a wildly successful, cool dude.

And That's her partner. And did you also know that they've recently raised ten million dollars for this business Good Inside. No way, I did not know that. And this is only like a few years old. I think it's like three, four years old, but you you missed the headline. The headline of the story is Uh, the product uh there's their product, Good Inside, has about fifty thousand paying members. So they're membership community is probably doing around

thirteen, fourteen million a year. In revenue, giving parents Parenting tips, parenting advice from to clinical physicians and mothers, right? Uh that's kind of amazing. And this is amazing. It's an interesting market. There's actually a bunch of these. So I don't know if you ever saw uh Taking Care of Babies. Do you know who that is?

No, what's that one? So if you just get her her her name is Kara and then her handle is taking care of babies. We had bought her course like for a hundred something bucks. when I had my first kid and it she has basically like a sleep training course Oh, train your baby to sleep without Without uh crying it out.

I did this too. I bought her hundred dollar course. I sat down, I did it, I looked at it, I watched it, and I was like Yeah, we're not gonna be able to do that. But either way, it was good material. And there were some good insights in it. And basically the funnel for these is all the same. Free content on Instagram or YouTube.

And then basically like They're just Building trust on Instagram, really, where it's like Here's who I am. Here's what I do. I'm gonna put up stories and tips every single day. They build up trust, trust, trust, trust, trust. And then they have the free, or sorry, they have the paid either membership or educational product underneath it, the info product. Taking care of babies. was making somewhere between ten and fifteen million dollars. This was not even like a company. This is just like her.

of 10 to 15 million dollars a year in revenue with fat profit margins because she was spending nothing on marketing and basically had no, you know, a small team or no team. And uh and then she got canceled. Unfortunately, she got canceled. Because she donated to Trump. Of all things. Like pretty crazy reason to cancel somebody, but uh the mom sort of in mass unsubscribed. And in all the mommy groups on Facebook, they were like, We're not gonna support her if she's gonna support Trump. And so she kinda got knocked down a couple of pegs. I think she's still out there doing fine, but But wouldn't like the Trump people be like, Yeah, I'm in even harder.

Well, I think there's probably some lean in the like who uses these products and who pays for these products, which is like maybe more coastal moms and whatnot. Like it might be skewed in that way. Um, I'm not sure, but but you're right. Yeah, it it it doesn't fully doesn't fully make sense, but I remember reading that. There's other ones. Uh Ben had bought this one called Big Little Feelings, I think. Uh, they sold two hundred thousand courses at an average of a hundred dollars, so twenty million in revenue. Um Turns out

Mom influencer. Great career. Great career if you could pull it off. And it's a very simple career, uh, not easy to do, let me put that way, but very simple. Free content on Instagram. lead to paid thing. But obviously these people have expertise. Maybe they've been a a doula for a long time, or they're a clinical physician, or they're a clinical psychologist. Sorry. Um they have they have to have some expertise or authority in the domain.

But You know, one of the things I really liked about Dr. Becky's content, by the way, is I think intentionally She makes it relatable so she's not wearing a lot of makeup. She's not sitting in front of a very well produced thing, which of course they could afford it at this point.

But she'll be like On the go to pick up her kids from soccer practice, just take out her phone when she has the impulse about some topic and say it. And I think it makes her feel Like the kind of relatable but aspirational mom who like Just finds time, doesn't have time type of thing. And um, I think there's something strategic about that. That that's pretty cool.

So That's what I wanted to bring up. So Doctor Becky is, I think, a very, very smart woman. And I think she runs with very smart people. Because I was looking into this woman a little bit.

And this sounds like I'm hating. I don't mean to for it to sound that way. I'm a big fan of this person and I think they're the real deal. I think that this is far more than it appears to be. It tries to look like it's kind of thrown together and and it's this thing.

But Doctor Becky lives on the upper west side of New York, where a eighteen hundred square foot apartment is typically five to like seven million dollars. And she also like uh went to the best schools. She's from Scarsdale, which is a beautiful, uh fancy community uh in New York. I think that she runs around with

You know People like Eric Abelski, these people that are top notch, top at their game. And they I think that it was definitely like a we're gonna do this and we're gonna do this and we're gonna do this. Not Oh, one thing just happened to turn to this, to this, to this. Like She's executing this plan.

Perfectly. And so this again, this sounds like I'm being negative. I'm I'm not. There's nothing wrong or unethical at all about any of this. Uh, but it like I think this is like a perfectly executed plan, is what I think it is. Yeah, I think for most content creators, It starts organically. Right,'cause you don't sit there and think And now from scratch I shall become An influencer with millions of followers. It's not really start. I don't think that's a great thing. I think she did. I don't think so. We could scroll like let's scroll all the way to the street. No, they deleted old posts. All the old I I already found the old posts. They've been d like

I I I looked out on on YouTube, like there like there aren't that many old posts. Um And well here's what I think. I think that if had you met this woman ten years ago Like it would have been very you could have just had a conversation with her and be like Yeah, I I think you got the if factor. Like this is like a type of person who I see her talk and I'm like, dude, it's very obvious that you've got like whatever these popular influencers have.

Let's just put a little bit of money behind this and turn this into a thing. Well, I like that you've gone coffeezilla on this one. You're like Hey wait, pa pause that frame. That's Oprah in the background. She's friends with Oprah. Like if I try to find the thing, I think my personal belief. I don't think it's plotted, but I do think it's strategic, meaning. I think there is a lot of uh

To make something look effortless, to make something look authentic and and and and real It actually takes some effort. to make something look effortless. And it takes um some thinking to make something look off the cuff in a way, right? And um And often it's not that you're manipulating people, but it's you're intentionally saying no to certain things.

That would ruin that vibe, that would break that trust, that would break the fourth wall or whatever. And so I do think that they've done a a a great job of that. Like uh Yeah, I th there but there is the negative version. Like I think remember those stories about Sam Bankman Freed? Where they were like, um Hey, uh, you know, you're gonna meet with whoever this investor today. And they're in the boardroom and they're like, Sam.

Um You look good. He's like, Thanks. And they're like, No, like you need to Do you need to look like a Like you need to look like a dork. And they were like, get this man some jorts. And uh like somebody ruffle up his hair, make it look like he hasn't slept in six weeks. And there's a there's an article that basically was like

We basically s knew that people pattern match. And if we can look basically like Zuckerberg and a bunch of the other like kind of prodigies who are Awkward, who dr don't know how to dress, who They have these weird personality quirks. Okay, let's play up that he's vegan. Let's make him drive this car, right? Like There was intentional choices along the way.

to either Make him look more like that or Prevent anybody from polishing up those rough edges. They're like, no, no, no, the rough edges are key. Let's keep those and actually let's put those front and center. Yeah. And um there were sort there were stories that came out. And it's very rare for those stories to come out because even the people that pull it off, They

They never have any incentive to come out and like acknowledge that. It's only when somebody has a complete downfall that his closest confidants come and betray and be like, Yeah, that actually happened. By the way. I am not Remotely implying that Sam Bakeman Freed and this woman are even in the same I'm not all I'm say I like this lady. I trust her advice. I think she's wonderful an invite to her hands party this summer, right? What I'm saying is I think that she's just a shark when it comes to business, which is not something that would you would necessarily want to portray when you're trying to be a

A mother expert. I'm on board with Becky. I think she's the best. So I I'm on board. Um What uh Is there any? niches that you think are interesting other than parenting for this model, because this model is the most basic, simple model. Explain the model. What what do you mean by that?

So the model is um Well, I don't know why they raise money for this, because typically you don't need to with this model, but the model is We'll use Andrew Huberman as an example. So or we could use what I've done, whatever. But the model is you get popular on the internet and become a thought expert. And then you get popular oftentimes through having a blog, sometimes a podcast, sometimes on social media.

And then you create a community. You create a community that is uh something like two or three hundred dollars a year. And you try to get as many people as possible. And then you also host events that cost money. And then you have courses that are between one thousand and two thousand dollars, something to upsell because you want your pricing to be Something cheap. A little bit more expensive and a little bit more expensive. And then you just focus on getting more and more popular and creating this business all around a lifestyle, an idea. For her, her idea is um

uh what's it called good inside. I think that's like her it's like that's like a thing she teaches called good inside for other people like um There's Mark Sisson who did this with um uh good apple, which is about like a a health company. There's a lot of people who have done this. in a variety of niches where it's Thought leader.

Blog Book. Course. community. And then like some type of higher tiered membership.

Yeah, definitely. I like Miss Excel did this with just Teaching people Excel. Excel expert. Create free content leads to courses, leads to info products, leads to membership. Uh I think this playbook has been out for a while. And by that I just mean to say

I don't think this is um I don't think you have to do the figuring out. All you have to do is the execution. Which is nice in a way. But it also means it's kind of competitive. It's not as easy as it might have been if you were early in the figuring out phase.

But you could definitely do it. We've done it in a way. Um, we just gave three examples in the parenting niche that have done it. Miss Ex Excel has done it there. There's people who've done it in the, you know, the V Shred type of model that have done it in the guys bodybuilding. What's V Shred? V Shrey? No, what is that involved like the V of your abs? Uh yes, it yes, the Dorito body, baby. You want your you want your upper body to be shaped like an upside down Dorito. Um You don't know who V Shred is? That blows my mind, dude. Let's V Shredd. It is the perfect intersection of

Dude's shirtless. Successful businesses and internet affiliate marketers. I can't believe you don't know who this guy is. That is your that's your Venn diagram. Sign me up. You don't know who V Shred is? Oh my God. All right. So let me give you a little V Shred. Uh Stories. So th you you do know this guy. As soon as I you see him, you're gonna know this guy. I I'm on his website. I have I I don't I've never seen this before in my life. Basically this guy was

Super jacked guy. Who then has runs Facebook ads, you click the Facebook ad and it takes you down a funnel and his funnels are Pretty like Well known in the internet like marketing niche. 'Cause it'd be like a V Shred click funnel.

And it would be uh usually a quiz and it would take you through a quiz of like Uh I'm a guy. It's like do you want to get jacked? Or get abs. And you're like, Oh man. Or it's like both. It's like give me both. And then be like, What holds you back? Is it You know Eating poorly? You're like, Yeah, it is eating poorly. How'd you know? And then you just keep going down this funnel. It's like I'm gonna give you a personalized thing.

And then he gives you a personalized thing and you pay ninety nine bucks for it. And he basically ran this funnel Um And made like I don't know how much money this guy made, but I I'm pretty sure I ran at one point this was like nine figures. But I think I might be mixing up Chino Body and V Shred. No, you're right. I'm looking at V Shred and some like there's some stories saying it's done two hundred million dollars in revenue. Yeah, so how the look at this blog post. How V Shred Use a quiz funnel to drive two hundred million in revenue. I don't know if this is like legit or not, but

In twenty twenty twenty two, they had five million monthly visitors on their website. And uh yeah, this guy just basically dominated with uh with Facebook ads for the the health and fitness niche. Now what he was doing was he was using ads. He was still an influencer, but he was like, Cool, I'm gonna pump ads and I have this like funnel that was basically The most simple click funnel in the world. Like You go there, literally uh we could show this on the screen. It's a progress bar. And then it just says, Are you a man or a woman? And there's like simple like A or B type of answers. And you click, you click, you click, and then you kinda want to see what's the end here.

And then they'll show you like at the end, it's like before he sells you the thing, he shows you like five transformations like Here's this nerd, now he's Jack. Here's this fat guy, now he's skinny. And it just shows you like five transformations. And then it's like, do you want that shit or not? And then you buy it. Imagine them just describing it at their meeting like you did. So we're gonna show him uh show'em a a nerd, a fat guy, and then we're just gonna say, want this shit or not. So where are we gonna get a nerd? Take your shirt off right now, go take a picture. It's you, you're the guy. Um Do you wanna talk about this guy, Isaac? Yeah, yeah, tell the story. Okay, this is like a full s This is a full circle story. So have you have you seen

Have you seen what the guy that guy Isaac's doing, the guy We talked about his mini katana brand. What's his last name? I have no idea what Isaac's last name is. Isaac Mini Katana guy, sword guy.

And we talked about it before because he had taken a a c product that was super niche. Literally katana's like s the I don't know, Japanese sword. Sword. He sent me one. Yeah, they're called mini katanas by the way this thing is like six feet long. It's so small. Nothing mini about it. You know how pissed my wife was? That we got this like giant sword in the house now, and I'm like, I don't know. It's supposed to be small. I I don't know what happened. Um And they couldn't run Facebook ads or Google ads because you can't advertise weapons.

And so what he did was really smart was he basically got content creators to make Cool video he turned his disadvantage to a disadvantage. His disadvantage was I can't run ads. His advantage was I sell a cool product, swords, and there's a lot of cool content you can make with swords. And he just used YouTube and TikTok to go viral many times. And he builds it up to like Ten million or s so a year.

Basically like, you know, uh ten ten to twenty million a year in revenue on the katana brand. But of course. Surprise, surprise, there's not a lot of repeat purchase in the sword niche, right? Like you're not You know, there are some collectors, but for most people Most people don't want a sword. Of the people who want a sword

You might just want one. You might not want to fill your house with swords. So it was not a great ecom product. But once you're switching, before you get to what he's doing now You've missed a few points about Isaac. So Isaac, I listened to a podcast with them. He was like uh he did postmates and like freelancing.

And things like that. Then he's like, I'm gonna start a business and so He was like, Yeah, we can't like you said we can't advertise, but you didn't say how Big. His channel's got. So basically he was like I'm going hard on content.

And so he gets that one billion views a month. across his network of of YouTube channels. And so his main channel on YouTube. Which only launched in two thousand twenty two. has eight point seven million subscribers and five uh like and billions of views. And this is like not their main product. Their main product is the swords.

And they're just using this as marketing, but it's they knocked it out the park. It's an incredible example of marketing. I've used this, uh I've used I've learned some things from Isaac and used them in my business um that have been very effective. And it's a just a different way of thinking about marketing. So but what he was doing was he would say, All right How do you sell a mini katana? You can either go to people who already are collectors. That's a really, really small market. You go to people who Might be interested. Why?'Cause they have

Interest in anime and and different like Interest overlaps. Where do they hang out? Okay, they hang out on TikTok and on YouTube. All right, cool. How do I actually Get them to want my product. How do I build desire for my product? And what he did was instead of saying

Here's the sword. Here's the features, here's how the handle looks, here's how sharp it is, whatever. He's like Do you think I can cut this bullet in half? If I shot a bullet at somebody at this ninja. Do you think the ninja could cut it in half with a sword?

That video has like I don't know, ten, twenty million views. It's like an insane video where a guy literally Chops a bullet in half as it's flying at him. Using a sword. And um then he does another one where it's like

Which is kinda like a weird that's like a weird thing. If you punch me, me saying like told you my face could stop that. Like the bullet aims at the sword. As you bleed. Um He also did one that was like another marketing thing I really liked of his was How do you not mention the product in a way that drives the comments crazy? So he started a video that was our not he, but like one of his creators, started a video that was like cooking a steak.

So you think it's a cooking video and it's about a steak. And then they put the stake on the On the cutting board. And then they take a giant katana and they cut it into slices, but they never mention the katana. And every comment was like Uh are we gonna talk about him using a actual sword to cut the steak? What what the hell was that? And the comments drive the virality. And it was if he had said, now watch me use this sword.

People wouldn't care. It's when he didn't mention the sword that all the comments have to talk about Uh bro. Can w what is this? And it's that type of social engineering that I think was really, really smart. All he needed was a better product. I think he might have a better product now. And so he he starts to sit down and he's like, All right, so my business got to like ten or twenty million in revenue.

That's not enough. I want to go to one billion. And so he shared out. He goes in late 2022, I stepped back and I said, I need to hit a billion dollar company or I wanna make a billion dollar company. Here's my five requirements. Would the content playbook give us an a severe unfair advantage? Does the does it have a huge TAM, meaning Could a one percent win be a massive outcome? Is there some is this something that I'm personally passionate about? Does this have a moat, sort of like Mini Katana store already had, which is

Like making swords are really hard, so If I can figure that out, I have a moat. And then finally The product doesn't one hundred percent rely on marketing. Because I want tailwinds. Uh I want I want to like catch a wave. And so he said, What can I launch?

That fits that. And so what did he launch? He launched a Freeze dried candy brand called Kan Pai Foods. And um

It's basically candy bread and it's fr I I don't know. Have you ever had freeze dried candy? I I've never tried this. I I don't think I've had this. I don't really know what it is. All right, so here's what it says. Freeze dry process removes all moisture from the candy, leaving behind a perfectly crunchy treat. So I think it's candy that's crunchy like a chip, basically. And light. So it's like a gummy bear, but it's like light. Yeah. Yeah, exactly. Um just the sugar. And so he uh

By the way, this is a great example. Valuable insights that I ever had on the podcast. When Alex Hermozzi came on the podcast long time ago, I don't know where this was, his first came on like three years ago. And you know, hormones he puts out like you know, a metric shit ton of content every month.

And I don't consume all of it. But this one thing he said to me three years ago on our podcast has stuck with me, and I've repeated it to myself and many others. I actually told Isaac this. At a party once when I was talking about dude. You are doing ten out of ten execution. on a two out of ten opportunity.

This is the advice I needed to hear early in my career. Because I started a restaurant and I tried to do all the coolest shit in the world and I tried my hardest and I was trying to bring Ten out of ten effort. And I thought I was a ten out of ten talent, but I was going after a two out of ten opportunity. And that's what Hormozy said that he the that's the advice he got from Russell Brunson about

his gym launch thing. They were like uh Dude, you're You're an amazing marketer, but you're just using your marketing to launch Brick and mortar gym chains one at a time. A couple in a year, maybe. What you need to do, that's you taking 10 out of 10 execution at a two out of ten opportunity, brick and mortar, small scale boutique gyms.

Instead what you should do is take your marketing playbook and go sell it to every gym across the country. That's the ten out of ten opportunity. Similarly. Um

Yeah, uh it was just the last segment we talked about with the Dr. Becky. Taking her her expertise in children, if all she did was saw five five clients a day. as a clinical child psychologist or whatever it is. Um, that would be a smaller opportunity than what she decided to do, which was

make a media product that scaled to millions of people and then charge, you know, a membership fee and make thirteen to fifteen million a year on her membership fees, right? That's a Same skill set. Bigger opportunity. Or same person, bigger opportunity.

I think what Isaac's done is he's taken that ten out of ten content playbook. that he really like mastered. And he switched from going to a a one I would actually give the sword thing like honestly a one or two out of ten opportunity. And now he's going for like, you know, a sort of a five or six out of ten. Somebody six out of six or seven out of ten.

opportunity because he said it right. He might have had a hundred percent of the mini katana market before. And It'll be smaller than him getting Half a percent.

of the uh of the candy market. Or even the Like alternative candy market in this case. What did you do with your mini katana? It's sitting right over there on the wall in my office. In a case. Just in case. Which is the problem with it. Which is the exact problem with that business.

And so did he shut down Minicatana? I have no idea, but he should. Just light it on fire and throw it in the dumpster and hope no one finds with that whole business. It's honestly an underrated uh An underrated thing is the art of quitting. Um, like your whole life you're told not to quit and you're told that perseverance is everything.

Well, quitting like everything. It it wouldn't exist if it didn't have a function. And uh there is a function to quitting things and You know, it's easy to quit when everything's failing. The hard thing to quit. is the slow burn of mediocrity, right? Like The thing that's not taking up all your attention, but is taking up some. The thing that's not totally working and achieving your goals, but it's not totally failing. It's that middle zone is the danger zone.

Um the things that are obviously failing are easy to stop. We stop them, no problem. The things that are working are easy to keep working. You just shouldn't stop them. It's the things in that middle zone. that people are very, very bad at quitting. And If I had to give myself a little pat on the back, this is the one thing I'm good at.

Is Being pretty ruthless about things in the middle zone. Like I had a venture fund that I was doing. I I had a rolling fund. It paid me very well and I was deploying I don't know. close to ten million dollars a year to invest in startups. It was uh it was good.

But it was in the middle. I found better investment opportunities outside of that. Um, but it wasn't so bad that I needed to stop. And I could have just let it chug along and eat away at my focus and instead Just made a ruthless cut and said, I'm stopping this. And when are you stopping it? I'm stopping it yesterday. It's done. I'm just gonna stop it now. That was a good time to use a a line that I I think we should make our line, which is

That's a toot my own horn, but beep beep. Yeah. Ha ha ha. You gotta say it like that. Dude.

Have you said that before? That's an MFM special. Dude, once in a while you just get me. Like you make me laugh in a way that very few people can make me laugh, dude. It is so funny. That is oh my God. Wow. Just give yourself a little two. That was good. I don't want to do the podcast anymore. I want to end it and laugh. That's an MFM special. Um, Isaac, I think you're awesome, man. Sean, I think you're awesome for being a quitter. Beep beep. Dr. Becky, even though I was sounding like I was being rude, I think you're also awesome. Beep beep. Um

Is that it? Is that the pod? That's it, that's the pod. I feel like I can rule the world, I know I can be what I want to I put my law in it like On the road less travel, never looking back

What you see above is a preview of the first minutes. One unlock costs 3 credits and covers this episode forever: full segment and word-level timestamps on this page, plus .txt, .srt, .vtt and word-level JSON downloads, as many times as you like.