Latest / Brand Storytelling with Fexingo: Narrative, Mission, and Stories That Sell / How Liquid Death Turned Water Into a Punk Rock Brand
Transcript
- Lucas: So Luna, I was walking through the beverage aisle the other day, and I saw this tall, black can that looked like it belonged in a mosh pit, not next to the Dasani. And it hit me—we've never actually talked about Liquid Death on this show. Given how much we've covered brands like Red Bull and Oatly, it feels like a gap. Luna: Right, and it's such a fascinating case. I mean, it's literally just canned water, but they've built this whole universe around it. How did they even get started? Lucas: Well, the origin story is almost too good. The founder, Mike Cessario, is a former creative director who worked in advertising. Back in 2017, he was on a surf trip in Indonesia, and he kept seeing plastic bottles washing up on the beach. He thought, why not make water in infinitely recyclable aluminum cans, but package it like it's a badass energy drink? Luna: And he actually did it? I mean, it's one thing to have that idea, but to actually launch a canned water company with a skull on it—that takes guts. Lucas: Yeah, he did. But he didn't just make a product. He made a joke first. In 2018, he created a fake product video called 'Liquid Death: The Water of the Future'—basically a parody of a hard seltzer ad, with a guy chugging water while a mosh pit goes wild behind him. He posted it on social media just to see if people would react. Luna: And they did, right? I remember hearing that the video kind of went viral. Lucas: It got millions of views and thousands of comments from people saying, 'I would actually buy this.' So he took that feedback, ran a Kickstarter, and raised over $66,000 in a few weeks. That was enough to get the first production run going. And the rest is, well, liquid history. Luna: So the brand was born out of a joke that people took seriously. That's such a smart way to test demand without spending a ton of money. But what's the actual brand strategy behind it? It's not just the can design, right? Lucas: Exactly. The product itself is just water—no minerals, no added electrolytes, no flavor. But they've created this whole persona. They call their marketing 'Murder Your Thirst.' They use dark humor, heavy metal imagery, and 100 percent recycled aluminum cans. They even have a 'Liquid Death' metal band that performs at real concerts. It's all about turning a boring commodity into a lifestyle. Luna: And it's clearly working. I've seen their stuff all over social media—their ads are so over-the-top, they're almost parody. But that's the point, right? They're embracing the absurdity. Lucas: Yeah, they lean into it hard. They have a campaign called 'Don't Be Scared, It's Just Water' where they show scary-looking cans, but the message is reassuring. They've also sold merchandise like branded coffins and cemetery plots—I think they actually sold a real funeral package at one point. It's all part of creating this world around the brand, so water becomes an experience, not just something you drink. Luna: A funeral package? That's wild. And it obviously resonates with Gen Z, who love ironic humor and brands that don't take themselves too seriously. But let's talk numbers for a second. How big has this thing gotten? Lucas: So, by 2023, they were doing over $100 million in revenue. And in 2024, they saw like a 40 percent jump, hitting somewhere around $140 million. They've raised significant funding, including a $75 million round that valued the company at around $1.4 billion in early 2024. So it's officially a unicorn. Luna: That's insane for something that's literally water with a cool label. But do you think this growth is sustainable? I mean, eventually the novelty wears off, right? Lucas: That's the million-dollar question. And it's one they're actively trying to answer. They've expanded beyond plain water into flavored sparkling water—they call it 'Severely Fizzy'—and iced teas under the 'Liquid Death' brand. They're also pushing into retail partnerships with big chains like Target and Walmart. So they're not just relying on the gimmick; they're building a real beverage company. Luna: But the gimmick is what got them there. And I've seen some criticism that they're basically a marketing company that happens to sell water. How do you respond to that? Lucas: I think that's actually a fair critique, but they'd probably wear it as a badge of honor. Their CEO has said they're a media company that sells water. They spend a huge portion of their budget on content creation—they have a podcast, a YouTube series, and they're always doing something weird. In a way, they're following the Red Bull model, but with a much smaller product range. Luna: So they're basically selling the story, not the water. And it works because the story is compelling. But let's zoom out a bit—what can other brands learn from Liquid Death? I mean, you can't just copy their style; it would feel like you're trying too hard. Lucas: Right, and that's the key. Authenticity is everything. Liquid Death's whole thing is that they're authentic to their own weird vision. They don't pretend to be something they're not. For other brands, the lesson is to find a truth about your product and amplify it in a way that's consistent with your identity. For water, the truth is that it's the most essential thing we consume, but also the most boring. So they flipped that on its head and made it rebellious. Luna: And they also tapped into a real cultural movement. Sustainability is a huge issue for younger consumers, and aluminum cans are more eco-friendly than plastic bottles. They're solving a real problem, even if they're doing it with a heavy metal soundtrack. Lucas: Absolutely. They've made sustainability feel cool, which is a big deal. Most eco-friendly products are marketed with a serious, almost preachy tone. Liquid Death made it fun and irreverent. That's a hard balance to strike. Luna: And they're also incredibly good at community building. They have a huge fan base that calls themselves the 'Death Cult,' and they actively engage with fans online, respond to comments, and even feature user-generated content in their ads. That's something we've seen with Glossier and Duolingo—building a community around your brand is powerful. Lucas: Exactly. And they've managed to do it without being cringe. It's like they understand the line between being ironic and being cynical. They're clearly having fun, and that comes through in everything they do. Luna: So what's the biggest risk to their growth? I mean, at some point, the joke might get old. Or they might expand too fast and lose that punk rock edge. Lucas: I think the biggest risk is over-saturation. If you start seeing Liquid Death everywhere—on every shelf, in every ad break—it loses that underground appeal. It's the classic counterculture dilemma. The more mainstream you get, the less rebellious you seem. They're walking a tightrope. Luna: And that's something we've seen with other brands too, like Red Bull or even GoPro. They start out as niche, then they become so big that they're just part of the landscape. It's hard to stay edgy when you're a household name. Lucas: Yeah, but if anyone can pull it off, it's Liquid Death. They're constantly surprising us with new stunts. I mean, they literally launched a 'vending machine that only takes insults'—you had to insult the machine to get a free can. Those kinds of things keep the brand feeling fresh and fun. Luna: Ha, that's ridiculous. And you know, it reminds me of something else. We've been talking about how brands build storytelling, and Liquid Death is a masterclass in creating a narrative that's bigger than the product. But it also makes me think about how we support shows like this one. We keep this podcast ad-free, and it's only possible because listeners who enjoy these conversations sometimes choose to buy us a coffee. If today's episode gave you a useful idea or just made you smile, that's the link—buy me a coffee dot com slash fexingo. No pressure, but it does help keep us going. Lucas: Yeah, thanks for mentioning that. It genuinely does make a difference, and we appreciate anyone who's ever considered it. But let's get back to the story—because there's one more angle I want to explore. We've talked about the marketing, but what about the actual business model? How do they make money on a product that costs so little to produce? Luna: Good question. I imagine the margins are pretty fat on water, even in expensive cans. But they also sell merchandise, and that's probably a huge revenue stream. Lucas: Definitely. They sell t-shirts, hoodies, even a coffin-shaped cooler. I read that their merch business is actually booming—it's like a clothing brand that also sells water. That's a smart way to monetize the brand loyalty beyond just the beverage. Luna: And they've also partnered with other brands like skateboard companies and music festivals. It's all about embedding themselves in the culture they're targeting. Lucas: Right. And they've been smart about distribution. They started online and in small retailers, but now they're in major chains and even at some concert venues. That's how you scale. Luna: So what's your final take on Liquid Death? Are they a genius brand or just a flash in the pan? Lucas: I think they're a genius brand, at least for now. They've taken a truly boring product and made it exciting. They've created a strong identity, built a community, and they're expanding smartly. The question is whether they can maintain that magic as they get bigger. But from a storytelling perspective, they've done something remarkable. Luna: And maybe that's the lesson for all of us—whether you're selling water or software, the story you tell around your product can be just as important as the product itself. As long as it's authentic and engaging. Lucas: Exactly. And with Liquid Death, the story is loud, it's weird, and it's unforgettable. That's something any brand can aspire to, even if they don't want to sell caskets.