← The GaryVee Audio Experience
The GaryVee Audio Experience
The Best Marketing Strategy For Businesses | Fireside Chat at Palmers Marketing and Sales Summit | #10 of 2024 Top Podcasts
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- [00:00]
Gary Vaynerchuk
Hey everyone. We're counting down to 2025 with our top episodes of 2024. Here's episode number 10. Enjoy. First of all, thank you for having me. You know, my career really in essence, besides the lemonade stands and the baseball cards I sold all around New Jersey growing up in this great state, really started my dad's liquor store in Springfield, New Jersey. And in 1996 I launched winelibrary.com so I started direct to consumer e commerce wine business in 1996. And so that was on the back of a single store, retail store that I'd at that point already worked in for the last seven years. I started working there when I was 14. So end caps and signage and customer count and moving. This is. There's a lot of reasons I say yes to things. We're so grateful for the Sasha relationship I really love really what's happening in cpg. You know, I'm empathetic that people in CBG may not like it because there is a lot of change. Like, I mean, right off the top, I'm petrified about retail media. Like you're already paying enough in shopper marketing and slotting fees and now they want you to run media on their sites. Like we're left with no money to market. Like there's real talk. There's a lot going on. And the reason I start here is I don't think everybody. I'm flattered if anyone knows who I am, but I'm setting up for everyone to know that since 1996, all I've ever been thinking about is Omni, you know, and so everything I built was from that. And this agency is built really to be an operating system for my future private equity behavior. So I'm in this conversation deep. I'm also very close to Logan, Paul and MrBeast. And I think your biggest competitors are not the Proctors and the Johnson Johnsons and l'oreals. It's gonna be influencers. Humans are the next frontier and I lived that already. I started direct to consumer wine brand called Empathy Wines five years ago and in 18 months I sold it to Constellation Brands for a nine figure exit. There's a lot going on here and so let's talk about it. Right. Obviously for this room, there's the realities of your actual day to day and the retailer has all the leverage, at least the big ones for the eight of you that are going to those. And then for the people you're managing in this room or partnering with underneath, there's a little less leverage. When it gets fragmented into specialty stores and things of that nature, there's really only two things that you know, really there's many things, but at the end of the day of selling stuff, there's only two things this organization's doing. It's marketing and it's selling right. And we're losing leverage on the selling front because the retailers have too much power and the big ones have way too much power. And that doesn't even get into the fact that Amazon is gonna continue to take market share and they're gonna take that first party data and make decisions when there's enough critical mass to private label everybody. You think private label at big box stores are tough? Wait till you see private label from Amazon. And the future of what's coming, which is you're gonna wake up in a year or two and you're gonna see that Meta or TikTok bought Target and now what like what happens when you wake up in the morning and Facebook bought Target and now they're requiring you to spend your marketing money only on Facebook if you want those slotting. So there is something I actually thought about writing a book recently called the Channel Conflict wars, which is predicting out what I think is coming, which is we are in direct conflict with our retailers at scale and we don't have the leverage. Which is why I started a marketing company. The only thing in real life, not in the fantasy land that we all live in, when it's in our vested interest that can allow this brand that is so iconic and you do have the trends going in your direction and I do think the product has incredible permission to win in the ever changing landscape of the consumer. However, if this company is not able to effectively market and brand, it will lose no matter how epic this sales infrastructure that I'm looking at is. Cause that's just real life. And so in cliche talk, I'm so empathetic for the majority of this room because we go so hard to make the selling happen. We, we have such cynicism to the marketing, right? Look at all this money they're wasting. I'd rather have those dollars to get a couple more shelf space or this and that. But the problem is we're just digging our own grave. So I think a real, if we're talking real business, a big strategy in general is really understanding this opening sentence and even being more supportive in a lot of ways. I tell a lot of sales organizations you've gotta be supportive about what you're doing in marketing. And instead of being cynical to it or upset that we're allocating too much to it when I can make more of it. You should realize that unless we achieve that, it's game over. That's real talk. So what's gonna change Most of it? TikTok is going to effectively be a retail outlet. They're just gonna follow what's happening in China like it's done, it's already happened. The QVCIFICATION of social media is here. In the next two or three years, the far majority of this product demand creation is gonna come from human beings live on TikTok and Instagram or whatever pops up next. It's just different and it's really different. And so of course we can formulate better products. And yes, we are much luckier than other products where the trends are going in our direction to our product. But unless this company is capable of creating consideration and demand to give us the leverage with our retailers, it will be tough sledding. They're gonna keep taking more money from you.
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Unknown Speaker 1
All right, on that note, I gotta.
- [05:41]
Gary Vaynerchuk
Look for another job.
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Unknown Speaker 2
Ready for that?
- [05:44]
Gary Vaynerchuk
Bogo. I like it. In all sincerity, please, some of the.
- [05:53]
Unknown Speaker 1
Words you mentioned, what we're talking about here, we have a unique difference from our key competitors. We talk about Unilever, we talked about Proctor. And you're right, maybe they're not the ones to worry about. But what we love about who we are is we're faster, we're more nimble, we're more creative.
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Gary Vaynerchuk
You're not faster than a young woman that lives in Atlanta with 29 million followers. Correct.
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Unknown Speaker 1
That's true. And that's where it becomes. This idea we've been talking about for the last day and a half is about unthinking and thinking differently and how do we teach these teams? Because I'm scared. I put a dinosaur on board. And the guy in the right corner there is our e commerce specialist, knows everything and I'm going to sit with him and just keep learning. Of course we all have to be progressive that way. But the question I was going to ask you is around how do you teach your team to go next level and think differently and to be forward.
- [06:41]
Gary Vaynerchuk
By not incentivizing the short term. Another tough thing in the construct of what we've got here. I'm empathetic to everything that's going on here, but it is the answer to your question. I'm a two year sales broker, you know what I mean? Again, I am really trying to be in this room and say I understand. I've been around the Block my gray hairs are coming in. I'm a businessman. I understand. To answer your question, the reason my world is always incentivized in innovating is cause I don't build structures that incentivize short term KPIs. Because when you're incentivizing short term KPIs you become too oriented on the transaction. And I'm a salesman, so I understand the energy in this room. The hell you might not even be. Don't forget I also own and operate on my own businesses. I'm not publicly traded. I'm not trying to sell them. So I am giving a lot of care to 17 years from now. I can't ask that of my employees or of any of you. You know how many people here are retiring within the next 17 years? Raise your hand. Real talk, you know, tough for me to say, hey, I really need you to give a shit about the next 17 years from now. Tough to ask that. So for us it's easy. My religion is also day trading attention. I think the only thing that of course, I think the only thing that matters in the world is who's the best at garnering attention. The end. There's no other currency. It's how the whole world's always worked. I was born in the Soviet Union before I immigrated here. And I'm 47 years old. So I grew up in Jersey in the 80s, very captivated by the Cold War because that's where I was born. But this is where I was growing up. And I was also a pretty poor student because I was really a purebred entrepreneur. But the one class I was good at was history. And now I understand why. I was interested in pattern recognition. When there's a coup history country at the same time the army or whoever's doing the coup is going to the palace to get the guy. They're going to the radio station, the newspaper and the TV station to control the message. All of the anxiety and unrest we all have in our country and in geopolitics right now is because communication has changed. We've gone away from the big platforms owning it, hence the governments. And now we have decentralization of communication. Mr. Beast couldn't be a threat to Hershey's. Logan Paul couldn't be a threat to Gatorade. The influencer that I'm most worried about for you in the next five years couldn't be a threat to you because they didn't have enough scale to compete with you. You didn't have enough scale to compete With PG and Unilever at that level now, a single human can screw you all up. Because she can reach everyone for nothing. Zero. She doesn't have to run commercials. Right? And she doesn't need the retailer. She doesn't need Walmart. Walmart is taking your money to give to people like her to seduce her to come into the store. Cause they need her. Shit's changed. And I think the energy I'm trying to bring to this meeting is we don't have the luxury of believing we're fast, you're slow. I'm coming here with one agenda. The deep hope that the energy of the conversation makes you go faster and makes you go realer. We can't waste money. You are not in a position. I know this business well enough and the competitive set. You are not in the position to waste one penny on marketing. And so that's what day trading attention is for me. What's the underpriced influencer? What's the underpriced platform? Last week, TikTok worked like this. Today it works like that. What creative works there? Why is organic social media the most important thing in business yet nobody's looking at it? Because everyone thinks it's an afterthought and a nice to have when it is the foundation of the competitors that are eating up the ecosystem. Sally in Atlanta didn't start with a $40 million budget. She posted on TikTok and it went viral. You need to do that. That.
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Unknown Speaker 1
There you go. Great stuff. Next one's me again, right?
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Unknown Speaker 2
Yeah.
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Gary Vaynerchuk
Yeah.
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Unknown Speaker 1
And dovetailing from that, it feels like there's this whole idea of creative commerce and digital and you've got to be really present to do. What you said about the TikTok effect is take advantage of selling.
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Gary Vaynerchuk
That's right.
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Unknown Speaker 1
So what's your thoughts on creative commerce and all that that could mean?
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Gary Vaynerchuk
I believe everything's always been the same. Procter and Gamble, let's use them. Outspent everybody at the right time on television to become Procter and Gamble. Do you know that Amazon outspent everybody? Everybody on Google AdWords the first five years, which is why it's Amazon. There are moments in time when there is underpriced attention and the best practitioners in it. I'll use a real estate comp. Somebody bought all the beachfront property in Malibu at some point. It wasn't yesterday, but 80 years ago, somebody made the right bet and they bought four or five acres there. And that worked out. Fifteen, 20 years later, you were on the fourth street away from the beach, paying twice as much as she or he paid for beachside 15 years earlier. It's just arbitrage, right? Slotting fees, like private labels. There's some OGs in this room. The CPG retail relationship looked very different in 1980 than it does today. We had 100 cents on the dollar to do marketing, right? And so they took our money and slotting fees and created competitive products to us. And that hasn't stopped. That's accelerating with all the data they have now, right? The data's really clean. This is why we have to build our own DTC capabilities, not support theirs. Of course we have to support theirs. Cause we're in trouble if we don't. But we have to milk every dollar. We have to know who the customer is. Cause they know every customer and. And we know very few. Right. And so creative commerce is to me, like, asking, like, what do I think about oxygen? Like, yes, it is essential to live. Thanks.
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Unknown Speaker 2
You know, the next question's a little bit of a gearshift. And I really like what we're talking about now. And I feel like in some ways, a brand like us, we're held hostage to some of those shopper marketing programs and slotting fees where we feel like we're not big enough to say, no, you're not.
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Gary Vaynerchuk
And news alert. Neither are the biggest companies in the world. Pepsi and Proctor and Kraft, they're not big enough either. When a retailer represents 30% of your business, you're in trouble.
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Unknown Speaker 2
Well, just to talk about something else, that there is a lot of change out there. And you know, AI right. That's what everyone's fearful of. Cause we all don't understand it. How do you think that's gonna impact creative selling or whatever?
- [13:34]
Gary Vaynerchuk
It's gonna make it more efficient once people start demonizing it and fearing it. I was in, actually. This is so incredibly fun for me. Wait till you hear what I'm about to say. I was in New Jersey, in Union, New Jersey, at a chamber of commerce eventually, in 1997, that looked pretty similar to the room I'm in right now. And I said, we were talking about this thing that they wanted me to talk about called the World Wide Web. And I gave my spiel the way I'm giving it now, with the same level of conviction and the same Jersey mouth. And somebody raised their hand and said, gary, I was explaining, like, finding, you know, this was early Web. There's some kids in here, like, for some of us that are a little bit over 45, like the Internet Was like, what is this? Like, it was like, crazy. Kind of like the way you may feel about AI now. Like, it's something, but how? What? And I was talking about a directory, like, search, like, you know, find. Like, if you remember, for ogs, the Internet used to mainly be referred to as the information superhighway. It was predominantly known as a place to go get information, and now it's obviously the foundation of society. Anyway, I gave my spiel, and a guy raises his hand and goes, this is the stupidest thing I've ever heard. He said, gary, I was talking about if you needed to find a plumber in Jersey. He goes, if I need to find a plumber, I'm gonna go to the Yellow Pages. And I said, for now, but you won't.
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Unknown Speaker 1
And.
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Gary Vaynerchuk
And he laughed. And most of the people in the room laughed until they didn't. And so AI, we're in a different place because now we have 25 years of technology, and everyone here who laughed at the Internet, who laughed at email, who laughed at the iPhone, who laughed at social media, is like, kind of understanding that they're wrong. And so none of you right now are completely dismissive of AI. Instead, we're now on the other side of the pillow. We're fearful of it. Is it going to take my job? Are the robots going to kill my kids? Like, you know, we turned it into fear instead of audacity. The answer to the question is, AI is going to do for us what the tractor did for us when 80% of us in the world worked on a farm. There was a day when 80% of the human beings on Earth worked on a farm. And then the tractor was invented and allowed us to do other things. AI is going to allow us to do other things. We are going to be able to do work that used. I can make a deck in three minutes. And that used to cost me hundreds of thousands of dollars in employees in three weeks. Now the question becomes, what happens to those employees? They'll do other things. You know, this is what they said. I mean, the car was debated heavily. Electricity, my friends, I don't know how many people like history, electricity was demonized aggressively by humans. Most people claim that it was demons running through your house. So basically, what I'm. I just need even the people that are retiring in the next 17 years, all of you will be affected by AI for the rest of your life and in great ways, like, it will do your taxes for you, and you don't have to pay an accountant the money. And it will actually be right and you'll get your full tax credits and it'll take two minutes. That's good, right? And the way you sit here and say really is the same way that people sat 100 years ago that I can go to Australia within the day. And that used to take a month. The world's moving. Innovation doesn't stop in our lifetime. And AI will be one of the most profound things that you ever see in your life and it will completely change all our lives. However, this company at this moment should spend zero minutes on it. Maybe a little bit for internal, maybe dex to each other to be a little faster. We need to talk about the first stuff. This company needs to figure out how to be more relevant to more customers at scale within the money that it has to become a defense mechanism to the infrastructure of how their product is sold. Marketing is the only way out. Which is like super hardcore because again, I'm marketing and sales and this is a sales like I get it, but marketing is the only way out.
- [17:52]
Unknown Speaker 2
I believe it.
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Gary Vaynerchuk
It's true. But, but, but, but to the point of the joke of all this, you can waste all your money in marketing, you can't in sales. And that's why we have the feelings we have. But marketing is the only way out.
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Unknown Speaker 1
I'm with you back. You do sales and marketing, but you.
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Gary Vaynerchuk
Take it from you, I'm the only way out. Louis, you are. I want to follow her.
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Unknown Speaker 2
You know, social media is important and you know, obviously that's something you've been preaching to a lot of brands and companies. And I think that we've leaned on it heavily because we didn't have budget, so we actually maybe were a little further. I don't want to push it back, but.
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Gary Vaynerchuk
So what are some of the big.
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Unknown Speaker 2
Mistakes you see companies make with social media?
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Gary Vaynerchuk
Not understanding how much science is behind it. The science behind the art. I post my content. My personal posts on LinkedIn are scheduled to the exact minute. I will post on LinkedIn at 9:07am because more people will see it than if I posted at 9:06 and 9:08. And nobody thinks about that stuff. I think about the first three seconds. I think about the creative. All I think about is how the algorithms work to give me more reach to what I want. And then I layer human psychology, and then I layer my business objectives, and then I layer that Kelsey and Taylor Swift are dating and how can I use that pop culture. And so I'm playing a game of ingredients. I'm using pop culture. I'M using platform reality. I'm using science, I'm using best practices. I'm using human behavior. I'm using business reality. So again, the hardest thing in the world to do in the world in marketing and I do it all, is social media creative. And yet it is deemed the easiest by every organization. And what I mean by that, I mean it's the thing that most people don't actually really care about. This is where you can outflank your competitors, your direct competitors. The biggest companies, many that we work with, will take more seriously a 30 second commercial and spend more money on the catering of that 30 second commercial and the T&E of that 30 second commercial. Then they'll spend on their entire year on social, which is why they're all so reliant on influencers, because they don't know how to do it. And so my big take is that people marketers, business people, salespeople like ourselves, will go to a dinner table and we will have conversations about social media if we do, on two fronts. One, how it's ruining the country. Two, how it's ruining our children. All right, so general conversation amongst people is they will literally have dinner conversations with gusto on how powerful this platform is that it's ruining how scared you are of it. What it's doing to the politics, what it's doing to politicians, what it's doing to the country, what it's doing to your children. You will sit there the whole time on Saturday night with your best friends or your relatives. And then you'll come in Monday morning and you'll look at it as the least most important thing in your marketing mix. I've literally had CEOs of companies who I do business with, especially when a lot of stuff was going on three or four years ago in America. And they would yell at me for 10 minutes about how bad social media was. Cause it's put democracy on the brink of its knees. And then we would switch over to business once we were done with our opening cocktail and letting that person rant. And they would then explain to me how social media can't sell their product the way that print can. And I was like, let me get this straight. Social media's powerful enough to put democracy on its knees, but it can't sell lipstick? Get the hell out of here.
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Unknown Speaker 1
That's great. And coming to the jimbol script a little bit, because you mentioned one, one word in there that is is what I believe we're about here. And I get made fun of for my Bronx New York accent, coming out here. Human.
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Gary Vaynerchuk
Yeah.
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Unknown Speaker 1
Humanity. We believe in this room, our sales competitiveness is that we have better people. And I believe that deep in our heart. And that's why they're here. The key is to understand that AI and all this other stuff still needs us to a degree, 100%, it still needs us. So we've got to not be afraid of it and embrace it and elevate our game with it. So any other thoughts on that?
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Gary Vaynerchuk
I'm a full buyer of that. Like, do I believe at some point the robots can win? I do. I don't think we'll see it. But like if you told me in 200 years, like robots are like dinosaurs, didn't think they were finished. Like, you know, things happen. I believe in those kind of things. I don't think in our lifetime. And so that's exactly right. A lot of you in this room did not move fast or hard enough on the Internet to. Did not move fast and hard enough on social. Did not move fast. I mean, some of the people here actually held onto their BlackBerry three years longer than they needed to because you needed to touch the buttons.
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Unknown Speaker 1
Yeah, yeah, yeah, that's right.
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Gary Vaynerchuk
So what I would ask is to inspire. This is. I agree with you. Like, again, a robot is not going to a specialty retail store that has 15 units in Ohio and placing the order. It's not coming, not anytime in your career. So you need to figure out how to use ChatGPT to type in. How would you sell to a. This is literally something you could do with AI. Hey, ChatGPT, how would you sell to a cliche third generation business owner who owns 40 drugstores in California? Like, do you understand that it will spit out stuff and may say one thing that you may just try on a phone call being a human and it might work. Use the weapon. Here's how I have always thought about technology. It is the biggest tidal wave coming that you've ever seen and we've got one of two decisions. Grab a surfboard and run it. Put your head in the sand and pray. And the second one is not a good outcome. And that's what I think about AI for you. Find your way to use it.
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Unknown Speaker 1
Great, thanks. Anything else or question and answer?
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Unknown Speaker 2
Just a quick one. Because in leaning into social media and how those influencers have all the power right now, we've had success with great influencers who have organically mentioned us and those are fun. I don't want to say they're the only successes we've had. But we haven't been able to replicate that.
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Gary Vaynerchuk
I think about this a lot. My. So I'm writing a new book about what I'm talking about. This is why I'm so in it right now. It's called Day Trading Attention. And the thesis is what we're talking about. But it's also that we've never been a time in marketing in the last hundred years where you can steal it or you can get murdered, right? Think about the analogy that just happened. Influencers is a big one for me that I talk about in the book. It's what you just talked about. You might wake up this morning and something good's going on. You're like, what's going on? And then you finally figured out by midday that a single human made a single video and good things have happened and you paid zero. Then you're all excited, and you're like, all right, let's milk this. And you go out and try to find other people that seemingly look like that person, right? And you give them money and nothing happens. And there's confusion. And the confusion sits in the day trading of attention. Which means the reason I use day trading is there's two different ways to invest. You invest like me, which is you make different big bets and you go to sleep and you know that your grandkids are gonna be happy or unhappy with you. Or you day trade, and you're making it in the margins hour by hour, and both are different ways to do it. Marketing used to be the other way. Nine months, we're gonna plan the campaign, and we're gonna pray that it works out. And now it's. If you are not marketing, every single day, someone's outflanking you. It's hard. And I'm empathetic. Like, I don't. By the way, I wish it wasn't like this. I wish I was Don Draper. I wish I was chilling in Midtown, drinking for four hours, coming up with a slogan, and you're thrilled with it. That would be a great life. It's just not the reality of what we live in, you know? And so I think that influencers are something you have to figure out. It's why I bought a publishing company. I actually think advertorial is something people should be doing more of. I don't know if you know what green screening is. It's when you see people, right? You've seen it. Like, I see some people shaking. But for the ones that don't know, in TikTok or Instagram, you see a Person talking, but in the background. It's like a headline. I think you should be buying advertorial. You should definitely connect them to Gallery Media Group, because then you're writing your own. Oh, got it. Good. Thank you. Oh, that's right. I'm sorry. That's right. That's gonna work. You're literally writing the headline. You want people to know, and then you have a human endorsing it. That's pretty good. And so there's a reason the FTC is starting to get really involved with influencer marketing. You're gonna start seeing content a year from now of Big Red Ad. Their concern is, do customers know? The answer's no. It's so seamless, the marketing. Right. It's not a commercial, it's not a print ad. So there's a lot going on. But influencer's a place you gotta keep hacking at. You becoming the influencer, though, is the holy grail. What I do for a living right now is try and get you to be in a place where you're not at the mercy of the influencer and not at the mercy of the celebrity and not at the mercy of the retailer. That is my obsession, and that's what needs to be your obsession. Otherwise it's gonna cost you more money to do business. Right. And that's why marketing is it, like, you just have to be as great as if you have a dollar, how do you make it work? Right. You know, a lot of times in this scenario, people like Gary, we don't have the. I'm like, good news. Your competitors that are spending 18 times more than you are wasting every dollar. So if you spend your dollars properly, you can actually grow. That's why brands grow. I don't have to explain anybody here. You're in the business. Like many brands get big with less budget. They did the right thing. Money is not the variable. Otherwise there'd be no new brands stuff. Open it up.
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Unknown Speaker 2
Yeah.
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Unknown Speaker 1
All right, guys, we're gonna open up to some questions. Anybody out there have a few?
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Gary Vaynerchuk
Yes.
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Unknown Speaker 1
We should pass the mic.
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Gary Vaynerchuk
Yeah.
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Unknown Speaker 1
All right, go ahead. When you mentioned talking about AI, and.
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Gary Vaynerchuk
You used a noun there that I.
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Unknown Speaker 1
Didn'T think I'd hear you say, because the majority of humanity is very fearful of AI.
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Gary Vaynerchuk
Yes. But then you used in your sentence, you said, use it as a weapon. That's right. Okay. How do you change humanity's mindset and not consider it as a weapon and embrace it so that it is a more positive element? Pain people that are ideologically set in Their ways, which is 90% of humanity, only adjust with pain. Almost every one of the people that calls us to do business are in trouble. I'm selling the truth. The rest of the marketing world is selling yesterday. And the only time we get a phone call is when they have a problem. The only time people innovate is there's a small group that it's in them and they win, and everybody else gets on board when it starts to hurt. When I was running around saying that Facebook was going to be enormous in 2005, I got laughed at. You know what I called it? The grandma effect. When I was trying to explain why. So I'd do my spiel, I'd get my feedback, and I'm like, do you know what the grandma effect is? And of course they didn't, because I made it up. They're like, no. I'm like, do you know what's happened? This is 2006 Facebook. Just to give people context, whatever your journey was with Facebook, I said, do you know what grandma's like? And they would say what? I would say they're grandchildren. Okay? So we agreed. I said, do you know where every picture of a grandchild is going right now for the people that actually have children that were just born? Facebook. And that's exactly what happened. Grandma said, I don't need Facebook until she did. Your BlackBerry was good until people were out flanking you or doing things on their phone called the iPhone and were on the Internet, and you were, like, sitting there saying, what's going on? Pain. Like, here's what's gonna happen with the AI conversation. A couple people here are gonna get inspired by this talk and go in the offense. Everybody else is gonna think they're gonna do something, but they're not. They're gonna chill, and then when they feel the effects of it, they'll adjust. It's the history of man.
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Unknown Speaker 1
Fair point, Hannah.
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Unknown Speaker 2
Four years ago, we were here, the same group. TikTok was not part of the conversation. So thinking about your point as over investing in what's up and coming, is there anything that you have your eye on that you think is the next big frontier?
- [31:02]
Gary Vaynerchuk
So a point of clarity. Thank you. My point is not to over invest in what's upcoming. My point is to invest in today. The business world thinks it's tomorrow. That's where all my Delta is. TikTok's not tomorrow. I think you should spend 60% of your marketing budget on TikTok today. All of it. Like 60% of, like, the whole thing. Maybe 80 you know, like, and by the way, Becky is amongst every other marketer on earth that would think that is. It wouldn't even cross one's mind. It's not how it works. It's very hard to make that jump. My point is TikTok's not tomorrow. The answer to your question is I have no idea. I don't predict. I'm not Nostradamus. I know my track record, I know why people follow me. But I'm just talking about today. I'm just lucky that the world is stuck on yesterday. I didn't know Google AdWords was gonna change my life. They came out, I played with it the first day and I took my dad's liquor store from a three to a seventy million dollar business in four years with no money, you know. You know, it just, I don't know what I didn't, you know, the second I saw TikTok it was musically when I saw it, I'm always paying attention, you know, but whether it's be real and then I'm like, nah. Whether it's, you know, like I'm watching everything. I look at the top 100 apps in the Apple Store every morning when I wake up to see if anything's spiking. And the way I found Snapchat and the way I found musical ly was it was there before anybody was reporting on it. And after it was there for four weeks, I'm like, something's here. I download it. And now I have so much pattern recognition and I understand human behavior naturally. And now I've done it for so long, I have a good feeling often is this sticky or is this a two week thing? But I don't speak about it. Even if, I mean when I saw Snapchat, I'm like, this is it. Cause I know that high school kids don't want their parents to know what they're texting. Wasn't super complicated. Like, here's a good value prop. You don't want your mom to take your phone to see what you've been talking about. So use Snapchat so she can't. Pretty easy to understand that was gonna be valuable to kids, you know. And so, you know, I think. But I didn't talk about it for a full year. I don't want to guess because it would undermine my reputation. But I'm in everything always. And so the answer to your question is it's in the nuances right now. YouTube shorts is very good and underpriced because YouTube is the second biggest search engine in the world. And so we can win twice where with TikTok we can only win once we post. Boom. Yeah, there's some searching going on. You've probably seen headlines. Gen Z uses TikTok to search. I get it. Yes. YouTube is way bigger. And so the same video on YouTube, if it does well, you might also get work from that asset for the rest of the year, especially if you go into how to and things that people search. So we train at Sasha and VaynerMedia, make the content that you want to make but on the back end title it for search even if it's not directly correlated to the video so that we win the search game. Those are things I think about. Then it's also the other thing I think about strategically is media and creative together against a business result. So one of you opens a new account that's meaningful and we're being tested for nine weeks and it really matters. I want to run media and creative in a 5 mile radius of all 41 doors. So getting sales and marketing to team up more specifically against truth of business is very passionate. Part of this for me as well. Right. You get oh, you got a nasty phone call today. The buyer of XYZ says if you don't buck up, what do we go to pour money into shopper. Not me. I want to not do that. That just gets us further down the path of our death. I want to run ads on social on a 1 to 2 mile radius of the 29 locations we need to fix. So it starts to become surgical.
- [35:11]
Unknown Speaker 2
All of our media to that point.
- [35:13]
Gary Vaynerchuk
Can you guys hear on this one? Yeah. Good, go ahead.
- [35:16]
Unknown Speaker 2
All of our media to your point goes to retail, sometimes more targeted. You know, we don't drive to our D to C with social organic, you know we don't really have. Each day we link one of our posts to one of our retailers and try to give everyone a little love because we found that that's a real great selling point when we're our retail partner saying hey, we are driving all this organic traffic in addition to media to your site. But and we've started doing these static images called you know we call them shelfie shots and we get more engagement on those organic shelfies and you know some, some really some assets that we spend a lot of time on. So I guess I'm trying to understand is there a better approach than just picking every day which retailer like a strategy behind it to make it more.
- [36:05]
Gary Vaynerchuk
Impactful, post more and make the more point to your DTC to Our DTC versus make them more make more content. So don't replace your content with for the retailer because that's working for you in the short term vulnerability that you have. But add more content output to your mix. I have ready for this Gary Vee me how many people here consume somewhat consume some of my content on the Internet. It won't hurt my feelings. I'm just getting a sense. Okay. So for the ones that raise their hand, I have 29 full time employees on my content.
- [36:49]
Unknown Speaker 2
That was all you.
- [36:50]
Gary Vaynerchuk
You know it's all me on the copy, it's all me. If I reply, it's always me. Nobody acts as me. But I have 29 full time people that work on the post edit, the strategy, the analytics. I'm a human. I'm a human being. I have 29 full time people on social media organic content that I pay real money like it's not free. I don't know what to tell you. I could have literally walked in, said that and left. And for the most bright in this room they'd realize the punchline of the conversation. A human is allocating dramatically more output than you are as a company. So the answer to your question, you need to put out more stuff, whether with Sasha, with yourselves, I don't really care. And a lot more of it needs to point to your dtc. Cause all I heard when you're doing stuff for them is you're funding your enemy.
- [37:53]
Unknown Speaker 2
Yeah. Thank you first of all, nice to meet you. As a fellow 80s Jersey baby.
- [38:02]
Gary Vaynerchuk
Where in Jersey did you grow up?
- [38:03]
Unknown Speaker 2
Park Ridge.
- [38:04]
Gary Vaynerchuk
I love it. I know it. I did so much direct mail for the first 10 years of my career in New Jersey. I know literally everybody. You know how Jersey is, right? They're like, I'm in Bergen County. I'm like where? Or I'm in Monmouth County, I'm like where? They're like, oh, it's Colt's neck. I'm like, I know Delicious orchards.
- [38:23]
Unknown Speaker 2
One of the things I found is I've seen the power of Twitch streamers for myself and I was wondering. It's kind of hard to convince people who don't know who Logan Paul are, don't know some of these people are in these spaces. Do you see an oversaturation necessarily in the beauty influencer space and an opportunity as white space for Palmer's or a beauty brand to really embrace something. Gaming streamers and people that have these kinds of influence that might be a little bit out of our normal box of thinking.
- [38:50]
Gary Vaynerchuk
Yes, it's underpriced attention and it's the exact demo if you look. So female gaming gamers and streamers are an incredibly fascinating category and they over indexed to the demographics that I heard on the end here of mixed families. It's just incredible how many Latinx mixed. There's just, it's one of those things they're over indexing now. The problem is the good ones are compensated in real. You know this if you're in it. Like if you tell a bunch of people that don't know and they're like oh this little girl who's like playing video games on Twitch like let's get it, how much is she? And they're like. And you're like 400,000 for a week. And they're like what? This goes back to people just not knowing what's happening. So this game in day trading attention is Charli D'Amelio and Logan Paul and Emma Chamberlain. That ship has sailed. All three people I mentioned I spoke to when you could get them for 100 bucks. You need to be in the business of emerging talent. Cause you can't afford real talent. And emerging talent is remarkable. Cause like yourselves on the human sales team and the product itself. Cause it's the right. One of the fun things to come to this is do you know how rare it is to actually have a great product? Like you have it easy, right? Like you have a competitive advantage on just the product. Like you're halfway home. So you need to win on emerging talent. Emerging influencers, somebody who has 40,000 followers who might just be happy for free product. I would use product all day long. I would just ship it everywhere. Again back to another thing that I'm building now currently on my belief on this. I'm now up to seven full time employees who I pay very handsomely. Especially the top three who are just mapping the 40 million people that follow me and putting them one by one into a CRM. Shirt size, shoe size, favorite foods, like a database. That's so bananas. Cause that's the weapon. That's the weapon when I decide to get into another business and I can click one button and have 47,000 people that like bananas and I have their address, I can sell my bananas to them and when I say sell, give them the bananas with the hope that 3% of them post. Because that arbitrage against my costs will create enough demand for what I'm trying to accomplish. Humans are the next social media. I'll give you one that I would do at scale with your product. I would Do a lot more live events where people can get the product trial and I would film it because people will come up to your booth or your activation and give you endorsements and then you can chop that up and use it on social. So the content that you're recording at the event is worth more than the cost of the entire event. It's almost like the event is free. It's turning an event into a production facility and it's the best content that will work on social. So it's 10 times better than the shell. So you put on an event at a, you know. Right. It's a, it's a beautycon. Yeah, yeah, yeah, yeah. But you know, to that point, if you filmed every second of Beautycon and left with 912, you know, ads, social media posts for the year, that made the Beautycon investment 10 times better.
- [42:21]
Unknown Speaker 2
Yeah, for sure. That's great. Yeah.
- [42:23]
Gary Vaynerchuk
And then again, let's talk business. Uh oh, we're losing at Publix in Florida. Well, let's do a pop up event in Florida. You know, maybe even in their parking lot. I don't know, like, you know what I mean? Like you can get, you can do bubble. I'm obsessed with bubble gum and tape. You know, this stuff doesn't have to be fancy. You can always be from the streets of Jersey, you know.
- [42:47]
Unknown Speaker 2
Question. In this scary phase of AI that we're in right now, are there any brands that are leveraging AI in a.
- [42:56]
Gary Vaynerchuk
Smart way that you could share with us internally? A lot of companies are using it again to make dex like all this internal stuff. The reason no one's doing the external is all the biggest companies in the world know that there's huge litigation brewing on copyright and trademark. Right. If you were to brands know that they can make a 30 second commercial right now in AI in two seconds. They don't know where it came from and they don't want the litigation. So we probably have a half a decade worth of misunderstanding and clarity needs before we get true. You know, law Internet 96 to 2001 was scary for me because we didn't have the Internet act in 2001. The blockchain NFTs is scary for me right now because I'm waiting for the government for clarity. AI is going to be the same. So you won't see brands go too crazy just yet because they won't use it for content because they don't need a letter from Disney saying this inspired by Mickey Mouse. You owe us $400 trillion.
- [43:50]
Unknown Speaker 2
Thank you.
- [43:51]
Gary Vaynerchuk
You're welcome. What time is it? Julian, what the fuck? I got to get the hell out of here. I'm so late. I got to go. Thank you so much.
- [44:04]
Unknown Speaker 1
Thank.