When your product crashes and burns

We all know the traditional model of selling a product. Figure out what you want to sell, then find people who want to buy the thing. Now many creators are flipping this model on its head (with mixed results).

It's become more and more common for creators to start by building an audience for themselves and their brand. Then they decide what they want to sell to that audience.

But does this actually work?

The “Mr Beast” style of building an audience and then introducing products is a trend that will certainly continue. But sometimes, the faddish nature of this approach can lead to products with short shelf lives.

Take Prime Hydration, a drink brand created by YouTubers KSI and Logan Paul. When first released, the drink experienced a sales frenzy akin to Taylor Swift concert tickets in 2022.

However, recent sales figures indicate a significant decline in those sales. In fact, many stores are now heavily discounting the drinks.

It's common for the initial excitement to wear off after the first year.

We see this all the time in new product launches. Just look at Coke Zero. After a massive launch, they also saw sales decline in year two.

But, even though enthusiasm wore off after its launch, Coke Zero is still a strong brand. Why? Because the Coca-Cola Company put a lot of effort and investment into building the brand over time. This just shows the importance of patience and long-term commitment.

So how can you make sure your brand doesn't suffer the same fate as Prime Hydration?

Think about the long game. Yes, having an established audience is a great. But you can’t forget the importance of the fundamentals.

So focus on brand awareness, correct pricing, and highlighting your value proposition to your customers. Get those right, and you'll be much more likely to have a successful brand long-term.

-Nate, Head of Strategy & General Manager

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