Buy this product here: To My Daughter Once Upon A Time When I Asked God For An Angel Mug
Home page: Beutee Store
To My Daughter Once Upon A Time When I Asked God For An Angel Mug
That is why I’m optimistic, because I don’t think that when that happens, entrepreneurs are going to close their windows and their doors and say, “We’re out of business now.” I think they’re going to say, “Okay, where are we going to be able to find new consumers?” And when one of those opportunities close, Clubhouse or TikTok or someone’s going to say, “Great, we now can help you with that.” And I think that is a better way to think about what is happening in retail. Not talking about the tech wars per se, but in retail.
I think my question there is if your highest-converting marketing channel changes its terms in some way, and you have to actually go find another marketing channel. Entrepreneurs are very creative, that’s why I have a show where I mostly talk to entrepreneurs, I like that. But that is a very disruptive and often devastating change for some people when your marketing spend suddenly goes very high.
Before the pandemic, one of the stories that I thought was most interesting was that direct-to-consumer brands across the industry were finding their digital marketing spends skyrocketing so fast. It was more cost-effective to open stores in New York City. Which is completely upside down.
There was an arbitrage opportunity. There was an arbitrage opportunity on physical retail in, like, Soho.
Which is crazy to me. It used to be the most expensive real estate in the world. And it was cheaper than acquiring customers on Facebook, which is nuts. Like I would try to explain this to people and people wouldn’t believe me. The pandemic has happened, I don’t know that there’s quite as much of that opportunity in Soho anymore. But it feels like that dominance is even more solidified.
And as the platforms do get into these wars, that the collateral damage for the entrepreneurs trying to build a business is really just a tax on, A, you have to figure it out instead of operating your business and making better products. And B, your money is definitely not going as far as it used to.
Yeah. But that assumes that the only way you’re able to acquire a customer and get attention is by spending money on it. When I look at Gymshark, do you know Gymshark, the company?