Latest / EGGS! The Podcast / Eggs 464: How to Build a Truly Sustainable Business from Scratch with Kate Assaraf
Transcript
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- 2:04Hey, everybody. Welcome back to Exit Podcast.
- 2:06Today's special guest is Kate Aserath, the the founder and CEO
- 2:09at DIP. How are you, Kate?
- 2:10Thanks so much for joining us. I'm great, thanks for having me.
- 2:14Absolutely. I'm thrilled to death to have
- 2:15you and I'm really excited about what you bring to the table
- 2:18here. You got a really exciting
- 2:19business, which by the way, I love your branding.
- 2:21Everything is awesome. I come from marketing.
- 2:23I love that. Let's talk a little bit about
- 2:25your business and what you do and and how we got here today.
- 2:28Sure. Yeah.
- 2:29So my name is Kate Assaf. I own Dip sustainable hair care
- 2:34and what it is is plastic free hair care and personal care for
- 2:37people that have kind of are kind of fed up and written off
- 2:41sustainability. And I think that there's a lot
- 2:43of people out there that have, you know, invested in the
- 2:47plastic free deodorants or the hair care or just all of the
- 2:50swaps and have felt very disenchanted with the movement
- 2:54because they found that the products weren't better
- 2:56substitutes than what they were already using.
- 2:59And so I found a lot of people were leaving sustainability and
- 3:02just returning back to their plastic clad items.
- 3:06And my goal with dip was to make something so good that the
- 3:09plastic free part of it didn't even matter.
- 3:12Yeah, I love that. Well, it's one of the things I'm
- 3:14constantly telling our kids. But it's like, you know, be
- 3:17undeniable and then people can't say anything about it, right.
- 3:19So to your point, you know, the plastic freeness was great, but
- 3:22the fact that the product itself is actually significantly
- 3:25better, you know, is undeniable in this case is actually the
- 3:28difference maker. The plastic thing is great, but
- 3:30you know, the other part is the actual differentiator.
- 3:32So it's amazing. In fact, we never, it's not
- 3:35never, but we rarely talk about being plastic free in our
- 3:39marketing because it's really not the big part of the story.
- 3:42Big part of the story is that this is really good, it's made
- 3:44with great ingredients and it'll last you a long time and save
- 3:47you money. Yeah, I love that.
- 3:50I think that's great. So let's talk a little bit
- 3:52about, I guess sort of your entrepreneurial beginning then.
- 3:54So, you know, for a lot of people, maybe they have the
- 3:58family that inspired them to get into a business, or maybe, you
- 4:00know, grandma and grandpa ran a hair care company and then you
- 4:02moved into this, you know. Can you talk about your
- 4:04experience and what that was like?
- 4:06Sure. So, you know, I grew up in a, in
- 4:09a family that was peppered with, I wouldn't say littered with,
- 4:12but peppered with entrepreneurs. And, and so my dad was an
- 4:16entrepreneur, my stepmother, my brother, my, my, my two brothers
- 4:21and my sister. Now that I'm like thinking about
- 4:22it, my step sister, I guess there are a lot of entrepreneurs
- 4:24in my family. So I, I'm the youngest in my, in
- 4:28my family tree. So I had a lot of wisdom ahead
- 4:33of me and I saw a lot of the good, but also a ton of the bad
- 4:38with entrepreneurship. So it's something I didn't
- 4:40really want to step into lightly.
- 4:42In fact, I'm not sure I ever really wanted to be an
- 4:44entrepreneur at all. But you know, when you see I'd
- 4:48been in the beauty industry for 20 years, when you see like a
- 4:52problem you can solve and it becomes an unscratchable itch,
- 4:56as I've heard it described, that's exactly what it was for
- 4:58me. It was like, I know I can make
- 4:59this hair care great like that. I, I know that because I was, I
- 5:03was, I've been on a mission to reduce my plastic for now.
- 5:06It's been almost 12 years, but like the idea that I couldn't
- 5:10find something that was up to my standards really, really upset
- 5:14me because I was creating more waste than I was doing the
- 5:17opposite of what I intended, which was like reducing waste.
- 5:19But instead I just had like all these shampoo and conditioner
- 5:22bars in my shower and I, I was like, I know I can solve this.
- 5:25I'm, you know, and it's like, I know I can do it better than
- 5:29what's out there. So here we go.
- 5:31It's time to roll up my sleeves and join.
- 5:33Join all the other audacious people that start their own
- 5:36business. Yeah, No, I love that.
- 5:39Well, it's, I think that's like kind of a core spot where like
- 5:43entrepreneurs are born right as they discover something that
- 5:46bugs, bugs them or a problem that they're trying to solve.
- 5:49And so, so I think that that's like a very pure way of getting
- 5:52into this business. I think it's also cool or
- 5:55interesting. And you sort of alluded to this
- 5:57at the beginning or mentioned at the beginning, which is you had
- 5:59initially sort of this notion about, you know, trying to get
- 6:02rid of plastics or trying to be better in that regard, but how
- 6:05that's almost become irrelevant at this point.
- 6:07You know, it's like a, it's a, it's a feature, but it's not the
- 6:10whole thing. And, and so I love that from
- 6:13just sort of a foundational perspective, which is trying to
- 6:15build a product. You know, I, I think sometimes
- 6:18people get caught up and this is where people will like try and
- 6:20cut corners to get profitable. Like, so they'll use a cheaper
- 6:23material or they'll use whatever.
- 6:24And you know, it's kind of this, I don't know, it's like addition
- 6:28by subtraction or something, right?
- 6:29They try and figure out a way of making a product by doing less
- 6:33of something or whatever so that they can increase their margins.
- 6:36And it sounds like for you in particular, the process might
- 6:40have actually been opposite, which is, you know, or maybe,
- 6:42and, and I'll let you fill it in, but maybe it wasn't that big
- 6:45a problem to actually use better ingredients.
- 6:47Like, so it's like, why are we being cheap and why are we using
- 6:50these terrible chemicals and things like this that, you know,
- 6:53that you're seeing in hair care products and, and really all
- 6:55products, you know, so maybe I, my naive brain is going, oh,
- 7:00well, it's a matter of cost, right?
- 7:01It's like, OK, we can get this thing cheaper if we buy this
- 7:03crappy chemical and it's only a few molecules, molecules worse.
- 7:07You know, it's fine. And you know, but in your case,
- 7:09you actually went the other direction where you started
- 7:11building better quality. And it seems like maybe at least
- 7:15in the beginning, maybe profitability or you like making
- 7:18a cheaper cost, you know, cost effective product was less of a
- 7:21factor than building a good quality product.
- 7:23Yeah. Well, so I've been in marketing
- 7:26for a long time. And what happens often in the
- 7:28trenches of marketing meetings and, you know, your listeners
- 7:30probably already know this. Someone brings a product to a
- 7:33place to a manufacturer and is like, make this at, you know,
- 7:36whatever the fun price points are, can you make this so I can
- 7:40sell it at 999-1999, you know, 29 like you, you build the
- 7:45product to the price point. I did not.
- 7:49Obviously there's some flexibility and beauty, right?
- 7:51So I worked with a chemist who had been making salon hair care
- 7:55for 40 years. And so he was kind of his kind
- 7:59of like transcended like trends and all of these things in hair
- 8:04care. He knew it was like tried and
- 8:05true. He also knew it was new in the
- 8:07market. And I said with, with him, I was
- 8:10like, let's make the best bar ever, regardless of what the
- 8:15price is going to be. That's how I started.
- 8:17I didn't start with like build backwards and subtract all, all
- 8:21of the bells and whistles until we can meet this marketing price
- 8:24point. And I knew because I'm, because
- 8:27because it's a solid format, I knew I could grow the bars to
- 8:31make the value. Do you know what I mean?
- 8:33So well, if you so the conditioner bar, for example,
- 8:37like most people in hair care and, and in luxury hair care
- 8:40want to sell like a tube of expensive conditioner every
- 8:43three to five weeks. They want someone on that like
- 8:45fast to consume system. And so for me, I was like, well,
- 8:51you know, I'm sustainable. I want to buy less.
- 8:53What if I made the best conditioner bar out there and
- 8:56just grew it so you only have to buy it once a year?
- 8:59So that was, that was kind of how I managed putting really
- 9:03great ingredients into it. I made the value for the
- 9:06consumer, not for me. And I was banking on the
- 9:10consumer being so excited about it that they would tell others.
- 9:14And so then that was that was how I did it.
- 9:16And I, and it's for my love of someone trying to reduce
- 9:20plastic, that I did it that way. Yeah, no, it's so interesting
- 9:24because it seems so counterintuitive or different
- 9:26than the way that like, you know, the big companies do.
- 9:28And, you know, obviously I don't buy a lot of hair care products,
- 9:31so I can't totally speak to this, but but I can tell you
- 9:34that, you know, at least in my marketing or like, you know, my
- 9:36wife, you know, ever since having kids, you know, her hairs
- 9:40had had been thinning and things like that.
- 9:41So she's tried everything under the moon to try and make
- 9:43something work. But it seems like most of these
- 9:46big companies anyway, it's kind of gimmicky, like they come up
- 9:50with a new thing or there's some new chemical or some new mineral
- 9:53out of Central Africa or something that is going to be
- 9:56the thing, right? This is the the new thing.
- 9:58So the rest of it's still the crap that it always was, but now
- 10:00we're sprinkling a little of this whatever magic in it and.
- 10:04But it's marketing ingredients. So most of the base is going to
- 10:07be the same across many different things.
- 10:10And the market ingredients they come in, oh, a new extract or a
- 10:13new like peptide or a new ingredient that just, you know,
- 10:17especially in shampoo, conditioner, most things are,
- 10:19they rinse off. So like, it's not like a skin
- 10:22care where you're letting something sit on your skin for a
- 10:24long time and then you get the benefits.
- 10:27Yeah, no, I think it's such an interesting thing because yeah,
- 10:29I mean, they just, I mean, I can think of some different brands
- 10:32that my wife's been experimenting with.
- 10:33Like there was one that was like a hemp thing or something that
- 10:36was like, so hemp was the big trend for a hot minute, you
- 10:38know, And I don't know, I mean, maybe it is good.
- 10:40I mean, I have no idea if it's good or bad in reality, but you
- 10:44know, but nonetheless, it was the big brand.
- 10:45It was the thing to try. It was whatever they were
- 10:47selling at one of these fancy salon stores, you know, and, and
- 10:50so she went for it. And so.
- 10:52But what's interesting about your approach is, you know, I
- 10:54mean, not only was price not a factor, but you did actually, I
- 10:57guess through the, you know, the scaling like you were talking
- 11:00about, you're able to kind of make it cost effective.
- 11:02And then, you know, I think the other thing that people do or
- 11:05that your approach is really unique for, But I think with
- 11:07women in particular, they're willing to spend money on this
- 11:09stuff, especially if it is good, you know, and, and I think they
- 11:14would love to only have to buy it once a year and things like
- 11:17that. So your perspective, you know, I
- 11:19mean, again, it's kind of, OK, so you were sort of fighting the
- 11:22war against plastic. But what that says more broadly
- 11:25about you as a person is that you sort of care about society
- 11:28or people or things or the planet or whatever, right?
- 11:30But there's this care outside of yourself in this little
- 11:32corporate version. And so I think if you
- 11:35extrapolate that out to something more broad in terms of
- 11:38the product you're building, all of a sudden it starts to sound
- 11:41like, OK, well, I actually did build this for you and this is
- 11:43good for you. And yeah, you only have to buy
- 11:45it once a year. And maybe it costs a little more
- 11:47than what you were buying yesterday, but you're only
- 11:48buying it once a year. And, you know, but like all this
- 11:51was for you. And I think that that's a very
- 11:53different perspective than you see in a lot of marketing and,
- 11:56and a lot of, you know, even in healthcare and marketing or
- 12:00sorry, beauty, beauty, it's, it's not a common thing, I don't
- 12:04think. Well, thank you and and care for
- 12:07myself and care for others and my customers, not mutually
- 12:10exclusive. And I think if you build that
- 12:12kind of framework into your company, that is, is the sweet
- 12:16spot. Like I'm, I, I feel so fortunate
- 12:18that I really do love what I do when I like spring out of bed to
- 12:22run my company. But I also, you know, I'm, I'm
- 12:25so hyper aware of what it's like to be a consumer trying to do
- 12:30better for the earth, you know, because so many people are
- 12:33trying to do better and you know, they buy into like these
- 12:35sustainable gimmicks and it like ends up really annoying them and
- 12:39turning them off. So I, I wanted someone to be
- 12:42like to, to buy dip and feel like surprise and delight.
- 12:46They're like, Oh my God, I can't believe this works.
- 12:48I can't believe my hair feels the same way it would feel
- 12:51coming out of a salon. Like those are very emotional
- 12:53things. Hairs likes is so emotional.
- 12:56You get a bad haircut, like it could ruin you for, for a solid
- 12:59amount of time. As as I see, it's like my
- 13:01favorite tik toks to watch is when someone like tries to do
- 13:04the phone. Thanks.
- 13:07Always cut more than you need, you know, but but yeah, I just,
- 13:11I just I feel for someone who's trying to do right by the earth.
- 13:17And I feel that there were, there was a time when there was
- 13:20a lot of like private equity vultures kind of swooping in on
- 13:24this time of, on this type of consumer, like the person who's
- 13:27like wants to buy plastic free items and selling them things
- 13:30that just were only plastic free, but not good.
- 13:34Yeah, no, it's funny cuz I remember, and it's not totally
- 13:37related, but I remember the hype around the Toyota Prius was that
- 13:42you'll save the earth, you'll save gas money, you'll do all
- 13:44this stuff, all these things. And then later it came out that
- 13:46there was some tests that they ran on it or something, some
- 13:49report and it said basically that the amount of Petro
- 13:52chemicals used to make a Prius is like 10X what you'll ever use
- 13:56to offset. You know, so it's like to your
- 13:58point about marketers trying to sell this to people who are
- 14:00trying to do good, it's, you know, people are making
- 14:02decisions to try to do the right thing, But there's a little bit
- 14:05of this bait and switch thing where it's like, well, yeah, I
- 14:07mean, it's better than your, you know, current car, but you know,
- 14:10you're actually still doing all this damage.
- 14:12So it's like, right, you know, And so so having a product like
- 14:15that that's I guess a little bit more true to the cause is good.
- 14:17But I think also and just to transition a little bit, that
- 14:21sort of mindset or your approach to this too, I think is really
- 14:24indicative of how you've grown this business as well.
- 14:27So not only in trying to scale, one of the big things that
- 14:29you've been a little bit anti is trying to avoid the, the big box
- 14:33stores and these big online platforms and things, the
- 14:35Amazons of the world. And in, you know, in part, not
- 14:39only take your, your sort of brand or your mission, you know,
- 14:42to your consumers in a better way, but also sort of elevate
- 14:45the small business world and things like that, you know,
- 14:47where these, you know, smaller shops can start to carry your
- 14:50products. And what I think that does is I
- 14:52think exactly your goal, which is it builds brand affinity.
- 14:55It makes people actually love you versus, you know, just any
- 14:59product. I mean, you know, hey, I might
- 15:00run out and buy $0.99 suave, but it's not because I love them.
- 15:03It's because it's cheap and it smells like apples.
- 15:06Yeah, but you know, but it's probably terrible.
- 15:09So. But I don't have any affinity
- 15:10for those guys. That's my point.
- 15:12And so, but in your case, you know, people actually like, I
- 15:15guess the the money and the cost or whatever start to become
- 15:18second or third when you really love a brand and you love what
- 15:21it stands for. And so can you talk about I
- 15:23guess sort of the conscious decision to try and avoid these
- 15:26sort of, I guess, more commercial routes that maybe
- 15:29more obvious decisions that the aforementor, aforementioned PE
- 15:34vultures would have gone immediately, which is to Amazon
- 15:37and to the big box stores. Making that actually part of
- 15:40your process to not do that is is, you know, for I think for
- 15:44some people it would be considered risky, but I think it
- 15:46actually plays into exactly who your brand is.
- 15:49Yeah, this is my favorite topic, by the way.
- 15:50It's like I so, you know, I'm almost five years, I'm 4 1/2
- 15:55years into owning dip. In the very beginning when I set
- 15:59out to support indie retailers, I, because I became I came from
- 16:05big box background and beauty background and, you know,
- 16:08Sephora, Ulta, Target. This was like the those were the
- 16:12goals back then Amazon, right? Like I by all my former
- 16:17colleagues, I was pretty much scoffed at and laughed at from
- 16:20my business approach. Like you're like, Are you sure
- 16:22you're never going to stay off Amazon?
- 16:23You're, you're like the second Alto is willing to write a PO,
- 16:27you're going to run into it. And, and, and I don't think they
- 16:30understand because the, the sustainable, like consumer I am
- 16:34that I have been refilling since I discovered refilling.
- 16:38And if anyone doesn't know what refilling is, there's refill
- 16:40stores all around the country. You go in with like your empty
- 16:44laundry jug and you refill laundry or you refill your hand
- 16:48soap or you like for me, like the, the, the death of me is
- 16:51going to be these mangoes, these dried mango cheeks.
- 16:53Like I'm always revealing a big tub of those and I eat them at
- 16:58my desk, but I refill as much as I can.
- 17:00So I'm not constantly buying containers and constantly buying
- 17:04plastic and packaging. So because I've been part of
- 17:08that community since I, you know, now it's been 7 years,
- 17:11I've been part of this refilling community.
- 17:13I knew, I knew that that's where sustainability actually happens.
- 17:17That's where the real conversations about
- 17:19sustainability happen. That's where people go to like
- 17:22these in store events and they, they, you know, that's where you
- 17:26go for discovery. And I call it like Refill is the
- 17:28new record store. So if you remember back in the
- 17:31day when you wanted to find something cool in music, you
- 17:34would go to the record store. You talk to the the kind of like
- 17:37that counterculture person behind the counter and be like,
- 17:40I like this band. Like what else do you have for
- 17:42me? Like it's like that
- 17:43sustainability now and it's this grassroots movement.
- 17:47It's like punk rock economics to like go and refill.
- 17:52I think it's so cool. And so it, it, it sounds like
- 17:56I'm like anti corporation and all these things.
- 17:59I'm not anti corporation, but I know this moment I put dip on
- 18:03Amazon, People will flock to Amazon to buy it and not to the
- 18:06refill stores where I know sustainability matters the most.
- 18:11And I don't know how to explain this with any more like
- 18:15enthusiasm, Like I love, like I know them now.
- 18:20I know these people personally, these refills, there's probably
- 18:22like 4 or 500 at any given time in the country all the time.
- 18:26I know these people, I interact with them.
- 18:28I know all about their stores. I've visited like refill stores
- 18:32in almost every state and met their customers in person.
- 18:35Like I love this movement and I will do whatever I can to get
- 18:41people in those doors, yes, to buy dip, but to buy dip and have
- 18:45that like target effect where like you go in for one thing and
- 18:48they were like, oh, OK, I need this.
- 18:49And before you know it, you've made a bunch of swaps that you
- 18:52didn't know you needed. And for me, like there's so much
- 18:58digital pollution out there and so much, there's so many like
- 19:01bad actors trying to sell you sustainable goods.
- 19:04Whereas like if you go into a refill store, that person behind
- 19:09the counter, the owner has like vetted every version of every
- 19:12product. Like they've tried 50 shampoo
- 19:14bar brands before they bring in dip.
- 19:16You know, they've tried every version of like replacing Saran
- 19:20wrap before they give you, you know, Stasher bags and like, you
- 19:23know, whatever brand that they choose.
- 19:26So that's that was my that was my whole goal.
- 19:30I've now gone. I've now been on a soapbox for
- 19:32too long so. Well, that's OK.
- 19:34I think it's actually literally your job to be on a soapbox.
- 19:37That's kind of the kind of the gig.
- 19:39No, But one thing that I think is really interesting about it,
- 19:42and this is like a dichotomy that I've been kind of exploring
- 19:44a lot. I mean, I have been writing on
- 19:46this topic for a long time, but it's this idea of this movement
- 19:49back to sort of these grassroots things, right?
- 19:52And I think it's actually getting faster and faster.
- 19:54As much as everybody thinks the world's going to implode on AII
- 19:57think actually what's going to happen is people are going to
- 19:59resist AI and move back towards more like, I don't know.
- 20:03Tangible things is what how I describe it.
- 20:05And so and you start to see some of this happening when like
- 20:08craft beer and you know, beard oil and some of these things
- 20:12that are a little more relevant to my male audience.
- 20:14But but you know, nonetheless, though, the point of those
- 20:17things is, I mean, all the way down to your phone.
- 20:19I mean, like now we're totally button free.
- 20:21And if you're pressing a button, it's like not even a button.
- 20:24That's a picture of a button. You know, like you, you've even
- 20:26lost the tactile sensation of pressing a button on your phone.
- 20:29And, you know, and I think that there's something in humans that
- 20:33and, and I, I kind of distill it down to relationships, but I
- 20:37think it's relationships with yourself, with people, with
- 20:40things, right? And I think that we like as
- 20:42humans to have some kind of physical relationship with
- 20:45something. And so in this case, whether
- 20:48it's a, you know, whether it's a conditioner bar or it's, you
- 20:52know, a some some product that was made by, you know, somebody
- 20:56down the block or whatever versus buying the commercial
- 20:59version, I think sometimes people just like that even if it
- 21:03is. And I really like how you
- 21:04phrased it as being kind of a little punk rock economics here.
- 21:07But it is kind of that, right? There's also this contrarian
- 21:10thing that people wanna do totally where it's like, well,
- 21:13yeah, well, you bought that one. I got this one and it's handmade
- 21:16by Joe over here or whatever. This one's kind of cool because
- 21:19it's unique, it's different. It's not the one that's
- 21:21mainstream, you know, and it's like I always complain about
- 21:24Costco jeans. For example, they started
- 21:27selling Lucky brand jeans. And when I was a kid, I loved
- 21:29Lucky's. Like I was broke and I could
- 21:31never get them. And one day when I could afford
- 21:33Lucky jeans, finally I started buying them.
- 21:35And then Costco started selling Lucky jeans and I've never put
- 21:38on another pair of Lucky jeans. And you know, part of it was I
- 21:42bought a pair from Costco because they were cheap and I
- 21:44tried them and they weren't the same Jean.
- 21:45It was something else that was made for Costco, but it was just
- 21:49lucky branded. But for me that did so much
- 21:51damage to the reputation or the exclusivity or the cool factor
- 21:55of having these lucky jeans that it totally changed my
- 21:58perspective on those pants, Right.
- 22:00And even if you can go into a high end retailer or whatever
- 22:02and buy fancy lucky jeans still like I, I don't know if you can,
- 22:05but maybe you can. It's lost status.
- 22:08I wouldn't, I wouldn't now like among the new brands, you know?
- 22:11What I mean, it's also lost that emotional piece, like when I
- 22:14think buying something and parting with your own earned
- 22:17money and putting your money in the hands of a brand is
- 22:20emotional, right? Even if it's just fast, it's a
- 22:23fast transaction. It's an emotional thing parting
- 22:26with your money because it once it becomes stuff, it's no longer
- 22:29money, right? And so, you know, you buy
- 22:32something and you like think you're like, oh, these jeans,
- 22:35these lucky jeans have some sort of prestige to them.
- 22:38And then you go see them kind of like everywhere on everyone.
- 22:42And then it's like, Oh, I actually don't think that this
- 22:44choice was the same choice I thought I was making.
- 22:48Yeah, yeah. And don't get me wrong, I mean,
- 22:50like I spend plenty of money at Costco and there's plenty of
- 22:52things that I think Costco is good for, but but there's like a
- 22:55slickness to that stuff when it kind of loses, it's like, and
- 22:59even if it's totally just my naivete, right?
- 23:01My added, I mean, Lucky Jeans is probably selling gazillions of
- 23:04pairs of jeans. I mean, they're not that
- 23:05exclusive really, right? But for some reason, when they
- 23:08hit a place like a Costco, there's a slickness that
- 23:10happens, right? And so, and I think that that is
- 23:12maybe what's being avoided here in your case by your philosophy
- 23:15of avoiding these big box stores and stuff too.
- 23:18Not only are you, you know, really appealing to your
- 23:20sustainability edge, but I think if you moved your product into
- 23:24Amazon, for example, like all of a sudden now you're competing on
- 23:26price or you're competing on whatever other factor, you know,
- 23:29and it might be an easier delivery mechanism for some
- 23:31people. But in order for you to stand
- 23:33out on Amazon, like you're gonna have to start making decisions
- 23:35that are maybe different, like you're not gonna be able to, you
- 23:37know, your, your main audience may still buy it from Amazon,
- 23:40But I mean, but, but there's gonna be like, if you're gonna
- 23:43try and win net new business, and now you're gonna have to
- 23:45maybe make some concessions to try.
- 23:46And, you know, maybe you have to optimize.
- 23:48So you show up in search or you have to, you know, lower a price
- 23:51or let them use their smart pricing or, you know, whatever.
- 23:53And so all of a sudden it's, it just changes the whole dynamic
- 23:56and maybe back to this notion of slickness.
- 23:58Well, now it's easily gettable. I don't have to work for this.
- 24:01There's no relationship. I just, you know, I can click
- 24:03now and I'll have it tomorrow. And, you know, it loses a little
- 24:06bit of that if I have to go to the refill store, like I have
- 24:08skin in the game, right? I have to go do this.
- 24:10If I want my product, I have to go get it.
- 24:12And I think that that's actually kind of a good thing in some
- 24:15case. I think so too.
- 24:16I think the friction's important because I think impulse shopping
- 24:20is not really healthy for people and I want people to have a
- 24:23little bit of friction before they buy it, make sure they
- 24:25really want it. But outside of like the cool
- 24:28factor and all of all of that, of just not being on Amazon
- 24:33mice, independent stores, some of them that carried dip, some
- 24:36of them. But I, I have one in particular
- 24:38that sold, you know, about $200,000 worth of dip since she
- 24:42started carrying it. She could never do that if it
- 24:44was on Amazon. I have another, I have plenty of
- 24:47stores that sell between 50 and $75,000 in one store per year of
- 24:53dip. And that is something I'm very,
- 24:56very, I'm very protective of because these are these are
- 25:02people who are have put like everything on the line to open a
- 25:05sustainable store. It seems almost like backwards
- 25:08in today's commerce world. And I think it's so cool that
- 25:10they do it. And I think that if more brands
- 25:14like took their stuff, you know, I know everyone's making a
- 25:17killing on Amazon pretty much, but I think if more brands
- 25:20really protected their retailers, I think they would
- 25:23still do well. Like I I do well enough to
- 25:26support myself, my family, seven team members and I have my own
- 25:29factory. Like without being on Amazon, I
- 25:33don't think it's like a necessary part of the of the
- 25:35chain. And I like, and it's not that
- 25:38I'm anti Amazon. I would be I'm pro indie stores
- 25:43because I think that every community needs to have like
- 25:47they're like the last truth tellers in commerce because you
- 25:49they have to look you in the eye to sell you something and then
- 25:51they have to you know, if you don't like it, then usually you
- 25:55can return something. So like, there's, there's so
- 25:58many ways to deceive people online right now that I love the
- 26:01idea of someone being able to go into a store being like, hey, I
- 26:05heard dip is great. Is it is, is it was it what it
- 26:07says it is? And that person behind the
- 26:09counter can be like, yeah, I stock it because XYZ, you know?
- 26:12And I think, I think people are yearning for that kind of
- 26:17authenticity more than any kind of convenience.
- 26:21Yeah, I think most people are tired of whatever's going.
- 26:23On no, I think that that's a huge thing.
- 26:25And and I mean, you know, of course every master marketer or
- 26:28whatever is going to really be advocating for big box or things
- 26:30like this just for distribution sake.
- 26:32Just how do we move more product, right.
- 26:34And I, you know, there's arguments for that and I think
- 26:36it's fine for plenty of products, but I think like in
- 26:38your case, I, I really like the metaphor you used earlier of of
- 26:41sort of the local record store right there.
- 26:43My local record store when I was a kid was Budget Tapes and
- 26:46Records. And I used to love, love, love
- 26:48that place and any opportunity to go.
- 26:51I mean, I've explained this stuff to my kids a million times
- 26:53because musics all digital now. They don't have like a
- 26:55relationship with their CD case and reading the leaf notes and
- 26:58yeah, trying to understand all the things that like, you know,
- 27:00I mean, you actually had back to this notion of relationships.
- 27:03You had a relationship with that product.
- 27:05But like, you know, and so and if you were a kid or a younger
- 27:08person, you know, you walk in there.
- 27:09I have $20 to spend. I get one CD and there's a wall
- 27:12full of new releases. Like, how do I decide?
- 27:14So you talk to your guy at the, you know, behind the counter and
- 27:16you learn, you know, what kind of music is it, you know,
- 27:18because you didn't have the Internet for all that stuff.
- 27:20So it's so much, you know, so the bond that I built over that,
- 27:23like I remember when they finally closed or sort of
- 27:25evolved into like dubbing VHS tapes for people or something.
- 27:28And it's like, what are you doing?
- 27:29You know, it's just like such a heartbreaker.
- 27:32And so. But you know, I think that
- 27:35having those kinds of relationships is so important
- 27:37with with your products and things like that.
- 27:39And like you mentioned, if, if you started competing by putting
- 27:43your product on Amazon and started actually eating the
- 27:45business of your small retailers, like I mean, you just
- 27:47kind of turn into the dog eating its own tail, right?
- 27:50Like it actually probably does you more harm to do that
- 27:53depending on I guess what what are your priorities?
- 27:57It's so unspecial. The, the shopping experience on
- 28:00Amazon, you know, it's, it's there's I love, you know, I'm,
- 28:05I'm not anti consumerist. I'm anti like hyper consumption,
- 28:09right? So like that experience of
- 28:12shopping, I always, I grew up with it, you know, being social,
- 28:16being something that I did with my sister or my mom or my best
- 28:19friend. I love the idea of in person
- 28:21shopping making a comeback and OK, of course it's lofty, right?
- 28:25Like it's lofty for me to be like everyone, you know, shop in
- 28:27person. Like of course you can still buy
- 28:29on my website and stuff, but I don't think people realize the
- 28:32more they kind of take all of their hard earned money and just
- 28:35give it to a few, like a few retailers.
- 28:39Like say you buy everything on Amazon for convenience, like all
- 28:42of your salary goes to Amazon. It doesn't come back to you.
- 28:45There's like no method for it to come back to you.
- 28:47But if you're shopping in your neighborhood at least like
- 28:50they're paying that store or that business or restaurant,
- 28:53whatever. It's like paying the taxes that
- 28:55make your neighborhood cool. Like make it just makes it it's
- 29:00you want to keep your own money that you earn flowing in your
- 29:03own micro economy. It just makes more sense to me.
- 29:07But I don't think people think that way.
- 29:08Like I study at economics and I think that way, but I don't
- 29:11expect everyone to consider that when they're shopping.
- 29:14Yeah. But I do think we are moving or
- 29:16starting to move in in a direction that's a little bit
- 29:19more of that. I think part of it is inflation
- 29:21driven and the fact that the dollar has become worth less
- 29:23than it used to be. People, families especially, or
- 29:26having to make, you know, more decisions based on what they can
- 29:29afford and what they can't afford.
- 29:30Yeah. And they're gonna start doing
- 29:32some of these things and they'll actually find out.
- 29:33I mean, you know, of course there are deals on Amazon.
- 29:35And don't get me wrong, I mean, I spend plenty of money there
- 29:37too. So I've, I've crapped on all the
- 29:39big guys, but I definitely spend plenty of money there, you know,
- 29:42so, and there are plenty of things that I'm good with buying
- 29:44on Amazon that just, you know, it's not important to me or I
- 29:47need it quick or whatever, or it's convenient or for whatever
- 29:50reason. But I definitely think that as
- 29:52people are having to be a little bit more discerning with their
- 29:54money. And, you know, maybe there's,
- 29:57you know, a, a portion of them too that are interested in
- 30:00sustainability or other things like that, You know, maybe,
- 30:02maybe there's those social causes that they're interested
- 30:04in. But I think so much of it will
- 30:05just come down to economics. And I think that is going to
- 30:09lead to sort of a resurgence of this kind of relationship with
- 30:12retailers and stuff like that. And I think people are going to
- 30:15start trying to dodge some of that slickness that we were
- 30:18talking about where you're going to the big heavy retailers that
- 30:20you're just, you know, one more cog in the machine, right?
- 30:23I don't know, it feels good to interact with people.
- 30:25And the more that we spend time in our phones and all that
- 30:28thing, every now and then when we have to run something out and
- 30:30we get to meet somebody or have a good, you know, visit with
- 30:33the, you know, retailer in some shop or whatever, like, I mean,
- 30:36the more those things are going to be good.
- 30:37I mean, like my wife as an example, has been actually going
- 30:40the other direction, which is, you know, and it's actually good
- 30:44for us. It's better for us.
- 30:44But we've been eating out a lot lately because our kids are in
- 30:47sports and we're all over the place.
- 30:49And but our attitude is just that everything's become so
- 30:53expensive. The people are kind of terrible.
- 30:55Like nobody really wants, you know, customer service is in a
- 30:58bad spot. The food's not that great.
- 31:00Like, you know, everything is kind of slipping.
- 31:03So the experience of even doing that stuff is kind of lost its
- 31:05luster. And so now we're doing, I guess
- 31:07the home based version of going to your local retailer, which is
- 31:11we're just going to cook at home instead, you know, And so, but
- 31:14as we also start doing different things, you know, my wife goes
- 31:16to a lady for nails. She doesn't go to the fancy
- 31:18chain salon. She goes out to somebody's house
- 31:20and gets their nails done in someone's basement, you know,
- 31:23And so it's like some of that kind of stuff where I think that
- 31:26the relationship driven factors are going to become more and
- 31:28more important. And I think that's where a
- 31:30product of yours will really start to shine.
- 31:32And so maybe let's talk about just, I guess, some of the early
- 31:36growth of your company. Obviously, you talked about a
- 31:38couple of success stories that your retailers are having and
- 31:40some things like that. But we don't go from nothing to
- 31:43a lot. I mean, there's a journey here.
- 31:45So can we talk a little bit about just sort of your early
- 31:47days? I know one of the things beyond
- 31:50just sort of your personal drive to try and be sustainable and
- 31:54some of this other stuff you didn't do, some of the things
- 31:56that a lot of businesses are going right into.
- 31:58You know, we already talked about the big box stores and
- 31:59things, but you're also not reliant on like influencers and
- 32:02things like that. It seems like the relationships
- 32:04that you're building are, and you use this word earlier too,
- 32:07which was they're a little bit more authentic.
- 32:09You're are building real relationships with real
- 32:12customers and retailers and that's transitioning or, you
- 32:15know, becoming sales for your company.
- 32:17You know, so the economics are working, but can you talk about,
- 32:19I guess, I mean, part of it is making conscious decision to do
- 32:22that, which is, hey, you know, we're going to do this
- 32:24grassroots versus destroying a bunch of money, you know,
- 32:27marketing plan or something and you do a big media buy or
- 32:30something and blitz the Super Bowl or something.
- 32:32And so, you know, so there's a different approach here that
- 32:35you're taking all together. And I think it could be really
- 32:37inspirational for people who are like, they don't know where to
- 32:40go, or maybe they're starting with no money and they don't
- 32:42know how to get moving without buying ads, for example.
- 32:46Yeah. So I'm, I'm contrarian myself.
- 32:49I have issues with authority myself.
- 32:51I think my mom was also a rebel. So I don't know whether I don't
- 32:57know what it is, whether it's birth order or whatever it is
- 32:59that makes me like not want to follow the rules.
- 33:03But I'd been in, so I'd been in beauty for 20 years.
- 33:06I'd seen kind of, you know, how the sausage is made with
- 33:10influencers, with, you know, deceptive marketing, with the
- 33:14the playbook that you kind of see all over the place.
- 33:17And, you know, a little bit, I think a little bit of arrogance
- 33:21peppered in with the audacity and the then that other piece of
- 33:25me that likes to solve puzzles. I wanted to know if I could make
- 33:28a genuine word of mouth brand. That is what I set out to do on
- 33:32my own and I was like, I can use all of the things that I hate
- 33:36about beauty marketing, you know, like only using young
- 33:40model and now it's changed over time, right, but like only using
- 33:42one kind of look and deciding like, you know, that Gray hair
- 33:48is just as important as, you know, bubbly blonde young hair.
- 33:53You know, like I, I took everything that I found, I don't
- 33:59know, kind of irritating about beauty marketing and I just
- 34:02turned it on its on its head and I was like, OK, I'm not going to
- 34:07use influencers. How do I turn that into my
- 34:09marketing story? It was like, I just, you know,
- 34:12broadcast, Hey, there's no fake hype here.
- 34:15If there's an affiliate or an ambassador of dip, they have to
- 34:19purchase dip first to be even considered to be an ambassador.
- 34:23So it's not like I just give out free products to everyone and
- 34:26everyone's like, oh, dip is great.
- 34:27And then they move on to the next shampoo and they're like,
- 34:29this is also great. And then the next one, you know,
- 34:32so I was very protective of who talk about dip and, you know,
- 34:36just the reality. Like I wanted, I wanted
- 34:39everything to be so real because I knew people were going to
- 34:42crave reality at some point. Like it's only a matter of time
- 34:45before someone's like, OK, I've bought like 10 things that suck.
- 34:49Like I want something that someone's actually purchased,
- 34:51you know? And so there was that piece of
- 34:54it. And then the other piece of it
- 34:55was 20. We launched at the end of 2021.
- 34:58It was, you know, we're still in COVID at that time, but it's
- 35:02like the starting to like the rules were starting to like lift
- 35:06and I saw everyone was, was approaching everyone else
- 35:10digitally. And I thought, what if I just,
- 35:13you know, went analog? So I called stores, I walked
- 35:16into stores. I, I basically, you know, took a
- 35:20page from Sarah Blakely's playbook from the, the CEO of
- 35:24Spanx and she like just went around to the place and showed
- 35:27people like, this is what I made and This is why it's great.
- 35:30So I just did that at refill stores all over the country and
- 35:35that's how I started. And within 18 months, we were 7
- 35:38figure business. Yeah.
- 35:39Well, and it's so funny too, because it's so commonplace.
- 35:41Like that was the way business was done prior to 2020.
- 35:44And so it is very interesting how big of shift it was.
- 35:49And I mean, there's a lot of ways that this has been maybe
- 35:51positive or negative. I know it's really affected our
- 35:55school age kids and stuff like that.
- 35:56Where this big move to digital. I spent a lot of time during
- 35:59that period of time cuz I've always kind of worked remote in
- 36:02one capacity or another. I spent a lot of time then
- 36:05teaching companies how to work remote and how to manage
- 36:08people's feelings and make sure that, you know, people weren't
- 36:10feeling isolated and alone and all these kinds of things.
- 36:12You know, but it's like, but now looking at it and seeing some of
- 36:15the damage it's done, it's funny how it's actually novel just to
- 36:19do something in person or to reach out to somebody by phone.
- 36:23You know, I, I love going to these network events and meeting
- 36:25people, but there's so many people that just want to
- 36:28armchair network, for example, through LinkedIn or whatever,
- 36:30right, That have really no real incentive.
- 36:33But like, I could get more done in 5 minutes with somebody just
- 36:35talking. Then, you know, spending six
- 36:38months with them on LinkedIn going back and forth, you know,
- 36:41it's so it's so funny and, and it's just insane that it's
- 36:44actually a little counterintuitive now because
- 36:47it's just the way that we were. And there's a whole generation
- 36:49of young people coming up right now that, you know, their whole
- 36:52mode of communication is on My, my youngest son is 14 and you
- 36:57know, so he's deep into the social media and all that kind
- 36:59of stuff. But, but the one thing he does
- 37:02it's, I mean, considered insane by his friends is he calls his
- 37:05friends all the time. And so like when he's, you know,
- 37:08they, they'll get online and they'll play Fortnite or Call of
- 37:10Duty or whatever, and they'll be on PlayStation and they'll be
- 37:12playing with each other on the network.
- 37:14But he will call them instead of using the in game chat or
- 37:18whatever, he'll just put them on FaceTime and he'll just sit in
- 37:21FaceTime with his friends the whole time.
- 37:22I think they think it's bizarre. But for him, this is how he
- 37:25likes to communicate. He's a huge like relationship
- 37:28guy, even if he doesn't think about it that way.
- 37:30Yeah. And but it's funny because it's
- 37:32my older son is not that way. He would rather be left alone
- 37:35most of the time. And so, so digital has been
- 37:38great for him because he can reach out and talk to people and
- 37:40and do what he wants that way. And so I think that there's such
- 37:43a, I mean, it's such an interesting thing, but it's like
- 37:45you hear people say stuff that we've all all heard and all
- 37:49thought was stupid, which is like getting back to the basics.
- 37:52But I think that the basics are actually kind of where it's at.
- 37:54And so, so 10. 1000 years human commerce was face to face,
- 38:00right? It's only very recently in human
- 38:02history that digitally, like digital commerce has been
- 38:06around, but for so long there was like a code between buyer
- 38:10and seller and I feel like that code has been lifted a little
- 38:13bit with the Internet, like there's less accountability from
- 38:16either side, right. I think buyers are are allowed
- 38:20to be more terrible and so are sellers just because of the
- 38:24nature of just digital commerce and and the holes that are left
- 38:27in between the, the relationship.
- 38:30And so I love, I know, I mean, like it's, it's a little bit of
- 38:34like a, you know, a love letter to the way I grew up in like the
- 38:39late 80s, early 90s where I just love, I loved the experience of
- 38:44shopping face to face. And, and I think that
- 38:48accountability is really important between buyer and
- 38:51seller. I think I could stop 100 people
- 38:52on the street and 100% of them would have a story of how they
- 38:57bought something that didn't measure up to their expectations
- 39:00and they had a hard time returning it.
- 39:02You know, and I think that that is what is happening with
- 39:07digital commerce a lot like you can oversell and under deliver
- 39:10very easily and then you throw people into like an AI customer
- 39:14service hell loop and you try and fatigue out the customer.
- 39:18And so for dip, another thing that we do is we have an actual
- 39:21human being. Janet is our customer service
- 39:23person and she's amazing and everyone is treated like a human
- 39:26being instead of, you know, just served AI.
- 39:32Can I? How can I help you stuff?
- 39:34Yeah. No, I think, I mean it's
- 39:35incredible. I think it's a very cool thing.
- 39:37We may have already kind of covered some of these ideas, but
- 39:40what are some scrappy things that you did that maybe wouldn't
- 39:43scale and this goes back to maybe some of these hands on or
- 39:47analog marketing approaches, but things that wouldn't scale but
- 39:49did actually work. So I think we, we hear a lot in
- 39:53startup culture, especially, you know, this notion of scaling.
- 39:55And it's like, how many voices can we, you know, how many
- 39:57people can we hear and being OK with only 2% of people even
- 40:00hearing our message or even giving a crap.
- 40:02And you know, you know, there's all this stuff about like a
- 40:06bigger microphone. But what do you, what are the
- 40:09things that you did early on or even maybe still do that you
- 40:13know, even though it didn't scale to your contrarian point
- 40:16of view, it was still effective. One of the one of the things I
- 40:21did was I started hosting small groups of retailers in little
- 40:27summits for dip. We call them dip trips.
- 40:30And so we did one. I took our top ten stores to the
- 40:33Dominican Republic. It was just the few of us
- 40:37talking about, you know, none of them had met each other.
- 40:39They've all met each other digitally because the refill
- 40:42stores are networked, but they've never really met each
- 40:44other in person. So we all got together and we
- 40:45had this thing in common and, you know, we, we had a great
- 40:50time. It's just a couple days in the
- 40:52Dominican Republic together. And, you know, we, I took a few
- 40:56stores to Morocco for two weeks. And when you think about big
- 41:01marketing campaigns, these are ways, way smaller price tags for
- 41:05me to do these very intimate gatherings.
- 41:08And they ended up, you know, I know my relationship with these
- 41:12people and they have real, I have real memories with these
- 41:15people. You know, instead of this kind
- 41:18of like I sell you shampoo and you sell it to customers kind of
- 41:22thing. So, you know, we, we did this
- 41:24Catskills. I did like hosted a big summer
- 41:26camp and the Catskills and I had one of my most fun childhood
- 41:30friends out there. Like we did like trivia with
- 41:32like super soakers. We did like a big boat contest.
- 41:34Like everyone had to build their own boat out of cardboard, like
- 41:37real human fun things. And as far as marketing budgets
- 41:42goes, they were small for marketing budgets, but big, big
- 41:45impact for me. And like, they're big impact for
- 41:49everyone because then they go back to their stores, which are
- 41:53all over the country and they're like, let me tell you about dip
- 41:56and what we did. And it was like they're, you
- 41:57know, it's, it's a, it's really fun.
- 41:59And, and even the riskiest thing I just did recently was I
- 42:02brought on two of my competitors.
- 42:04I, I adore the founder of High Bar, which is a major competitor
- 42:08of mine and plain products. And I was like, Hey, I do these
- 42:12trips. Do you want to we sell in all
- 42:14the same stores? Like let's get together with
- 42:17like 30 of our retailers. We went to Nashville and like,
- 42:20let's talk about how our three brands, how we are actually
- 42:23friends behind the scenes in sustainability and how the three
- 42:27brands coexist and serve different types of customers
- 42:31that might walk into your doors. And that was like a really,
- 42:34really fun, profitable thing for us that, you know, again, has
- 42:39like the a tremendous ripple effect in both reputation and
- 42:44just you can't buy that kind of relationship with someone.
- 42:48Yeah, no, I love that. And it's one of these things,
- 42:49you know, you've probably heard or people talk about, you know,
- 42:52the the butterfly effect, right? Like a butterfly flaps it's
- 42:54wings somewhere and then that's making tsunami waves in Japan or
- 42:57whatever it is. Yeah.
- 42:58But but I mean, kind of what you're describing here, and you
- 43:02even use the word ripple, this notion of what happens and, you
- 43:06know, when you connect with people on that kind of level,
- 43:09you know, to your point, yeah, they go back to work and then
- 43:12they tell everybody at work. And then when those companies go
- 43:14to or those individuals move to other companies, they take that
- 43:16message off them. And like, you know, then these
- 43:19ripples start to collide. And that's kind of where the
- 43:22real magic starts to happen, I think.
- 43:23And it's kind of what you were describing where you're actually
- 43:25working with competitors to go out and do this because it's all
- 43:27for the greater good. Like, you know, it's not about
- 43:29business or being cutthroat. Instead, it's more about being
- 43:32authentic and showing up and being.
- 43:34Entrepreneur is lonely and so being an entrepreneur in
- 43:37sustainability is even lonelier. So I don't, people don't realize
- 43:41like we we're networked with each other because it is a
- 43:43lonely road to be like, hey, buy less, buy better stuff.
- 43:47And like hopefully you understand that the plastic part
- 43:51is just like we just all want you to ditch the plastic in the
- 43:54long run. We all have the same goals.
- 43:57No, I love that. Well, and it's like the I, I was
- 44:01meeting with somebody the other day trying to pitch somebody to
- 44:03work with us the other day and they asked us kind of they said,
- 44:06well, who are your competitors, right.
- 44:07And I didn't have a good answer for them because basically I
- 44:10said, I don't look at anybody as a competitor.
- 44:13Like I feel like there's enough work out here for all of us.
- 44:15So it's like, you know, I mean, so you can work with me or you
- 44:17can work with somebody else, but I'm not competing with them.
- 44:19Like either either choose me or don't, but I don't even see them
- 44:22that way, you know? So it sounds like in your case,
- 44:24you know, I mean, obviously these people are competing, are
- 44:26competitive in terms of, you know, maybe shelf space or you
- 44:29sell similar products, things like that.
- 44:31But the fact that you were able to kind of pull it all together
- 44:33for the greater good, I think just goes back to that
- 44:36sustainability messaging, sort of that being at your core and
- 44:39all that stuff, you know, and it's just one more layer of
- 44:41authenticity that gets carried through the whole process.
- 44:44And I think that that's where so many of these companies fall
- 44:47apart is that they don't actually have that level of
- 44:49connection to their product or their customer or their, you
- 44:52know, their business in general. You know, most of these
- 44:54companies, especially the big box stores and things like that,
- 44:56are just selling products. And it's just who, who will give
- 44:59us the best margin, who will give us the best whatever, whose
- 45:02product is most popular and gonna, you know, like because if
- 45:04I'm going to give up some of my shelf space at Target, then I
- 45:08have to have some guarantees in place.
- 45:11I gotta know that I'm actually gonna use that space wisely.
- 45:13Otherwise, it's gotta go to some company that'll do better.
- 45:16And so just the relationship is so different.
- 45:18I don't do not envy being a buyer at Target.
- 45:21I think that is very difficult. It's gotta be the worst.
- 45:24Well, cuz even as an individual, well, because you've got your
- 45:27own values and then you've got to balance the values of just,
- 45:29you know, box stores trying to be profitable.
- 45:32You've got whatever, you know, I'm sure big company like that,
- 45:34you know, they've probably got some different social incentives
- 45:37that they're trying to work for. Or, you know, maybe they have
- 45:39causes that they love and they want to try and build that into
- 45:42their, their types of products they sell and stuff like that.
- 45:44So there's just so many, I don't know, so many kings to please.
- 45:47It's like I couldn't imagine doing that for work.
- 45:50I think that's a really tough job.
- 45:51And I also think just, you know, the the sway of public opinion
- 45:57in and out of target is, is something it's probably very
- 46:01difficult for a buyer to navigate.
- 46:03Well, especially when you're doing your buying six months, a
- 46:06year or two years in advance and then it's like, oh crap, now
- 46:09that's not cool anymore, you know, or.
- 46:11Whatever it is, I know. So yeah, it's such AI couldn't,
- 46:14couldn't imagine. One thing I wanted to talk about
- 46:17with you too is sort of, you mentioned that you guys were
- 46:20basically 7 figures in about 18 months.
- 46:23What do you think about, or how do you think about sort of
- 46:25growth speed versus staying aligned?
- 46:27And obviously, I mean, just from this conversation, I can tell
- 46:29that you're wildly aligned with your values.
- 46:31So I'm sure that this is, you know, pretty predictable
- 46:34response. I, I suppose, but you know, how
- 46:36did you factor in, you know, yes, I, I am really, this is my
- 46:39thing. But yes, we do need to grow too.
- 46:41Well, growth was. I think it's because growth was
- 46:44a byproduct. It wasn't the goal.
- 46:46So I think if you, if you know what your, your actual goal is,
- 46:51my goal was to support as many refill stores, independent
- 46:54salons and surf shops as possible.
- 46:57You know, that that was my goal. And the little bit of the
- 47:01selfish goal was like, can I do this without running any ads?
- 47:04And can I do this without paying Zuckerberg a dollar or anything?
- 47:07Like I had these other like little internal goals that were
- 47:10selfish, but like, you know, I, I, I wanted to know if I could
- 47:14create this, this company like a real authentic company.
- 47:17It was a, a marketing thing I'd never seen done before.
- 47:20And I just wanted, I just wanted to know if I could do it.
- 47:23And now 4 1/2 years in, we've, we're, we're about to run ads
- 47:28for the very first time. But like, that decision has come
- 47:32as like, I owe it to my team who's been working really,
- 47:35really hard and it, you know, and the stores like refill
- 47:40stores, surf shops, they're closing, you know, I can't save
- 47:44them all as one brand, right? But what I, what I can do is try
- 47:49and scale the awareness of what we're doing, which I've never
- 47:52done before. So I'm going to scale the
- 47:54awareness and try and get people to understand to go buy these
- 47:57things in stores. So that is my next phase of
- 48:00growth, which is kind of exciting, you know, so that, I
- 48:04mean, I haven't started running ads yet, but that's my next, my
- 48:07next thing. And it really is, I'm not trying
- 48:12to save the world, right? Like saving the world is like a
- 48:14very egotistical thing to say, but I am trying to save the
- 48:19refill community and I have to do that by leading by example.
- 48:27So I have to show, like I've already shown in the past five
- 48:30years, like what a company can do and how they can do it and
- 48:33what the road map is to like build an authentic company.
- 48:36But now it's time to like to scale it up a little bit and
- 48:39make sure that this leading by example is effective for people
- 48:43that don't really know what we're about.
- 48:46Yeah, well, and I and I think we're in a like an economy right
- 48:49now. We're in a world right now where
- 48:50like people are ready for this kind of messaging too.
- 48:52So I think it's kind of heading at the right time.
- 48:55I think we've all been, you know, like we were talking about
- 48:56COVID and stuff before. I think we've all gotten to a
- 48:58point where like we've kind of done what we were going to do
- 49:00with digital. And, you know, and don't get me
- 49:03wrong, I mean, AI is going to be crazy and there's going to be
- 49:05all the, I mean, there's other stuff too, but, but I think for
- 49:08a lot of humans, we're definitely hitting a point of
- 49:10exhaustion on a lot of this stuff.
- 49:13And, you know, we're overwhelmed and inundated.
- 49:15And I think that only gets worse with AI.
- 49:17And, you know, I, I think I've said this on the last five or
- 49:20six podcasts. So everybody, I'm sorry, but but
- 49:24the I keep using this metaphor, I come back to this vision of
- 49:26this notion of like a post apocalyptic Tokyo.
- 49:29Every pane of glass, every whatever is a video screen and
- 49:32there's just moving everything. And then you've got like this
- 49:35old dude slanging ramen like on the street corner from his
- 49:38little, you know, little rickshaw or whatever.
- 49:40And that thing stands out so much in that field full of just
- 49:45crazy. And that's kind of how I think
- 49:47things are going to go with AI. I think you're going to get to a
- 49:49world where marketing is so inauthentic because literally
- 49:52being written by robots and it's already begun.
- 49:55You know, that stuff is starting to get everywhere.
- 49:56It'll get better and it might become more convincing or
- 49:59whatever, but at the at the end of the day, it's still going to
- 50:01just be more, you know, it just enable it enables people to make
- 50:05more stuff for less money. So they're just being noisy.
- 50:08And I think in a world that's super noisy, there's
- 50:10opportunities for companies like yours.
- 50:11And so I love that you're putting out a, you know, sort of
- 50:14a road map or an idea or even just, I don't know, kind of
- 50:17affirming people who might be interested in having a product
- 50:20that's a little bit more in line with what you're doing, which
- 50:23is, you know, maybe not necessarily even in your
- 50:24vertical, but saying that, you know, this is the thing I'm
- 50:27passionate about and I love this.
- 50:28And there's room for me to build a business on this thing that I
- 50:30love without having to sell out or give of myself or whatever.
- 50:35I can stay true to what I'm trying to do and that my goals
- 50:39don't have to be aligned with the goals of private equity or
- 50:42some of these guys that are just throwing money at companies.
- 50:44Because I think at least for a little while, and I've seen it
- 50:47really up up close and personal here in Utah because we've got
- 50:50such a thriving like start up community.
- 50:52There's like these steps that everybody must take and you're
- 50:56not successful if you don't. So if you don't do a big
- 50:58fundraise, then I guess you're not successful.
- 51:00If you're not a big Unicorn or you don't have a giant exit or
- 51:02whatever, then it's sort of is like almost putting everyone
- 51:05else down. If you don't figure that part
- 51:07out, you know, and and it's created this bar that's so
- 51:09unachievable for a lot of startups.
- 51:12You know, I mean, not every startup is going to go through
- 51:13like a Series A or series B. You know, they do, they just
- 51:16what every company does that. But I think what's really cool
- 51:18about your story is that you're showing that it's not necessary
- 51:21either. And that, you know, there is a
- 51:23unique path for just about every business out there and anybody
- 51:26can do whatever it is they want to do.
- 51:28And you know, with, you know, passion, interest, hard work,
- 51:31you know, all the, all the tropes you can accomplish
- 51:34whatever you want to do. And there's actually a place for
- 51:36you to do it while staying true to yourself.
- 51:38You don't have to try and pretend to be something else.
- 51:40And I think that's something that's really inspirational
- 51:42about your story in particular. Thanks.
- 51:44I, I never anticipated success. You know, you just don't know if
- 51:49it's going to come or not. Like there's it just is not
- 51:52something that you, you want to bank on yourself, right?
- 51:55You want to start a business and bank on yourself.
- 51:57You just don't know what's going to happen.
- 51:59And you know, for me anyway, like there's so there's so many
- 52:03twists and turns that got me to where I am now.
- 52:06So I don't want anyone listening to think that it was easy.
- 52:08Like at one point my contract manufacturer went bankrupt and I
- 52:12was like, I don't know if I'm going to have a company
- 52:13tomorrow. And it was like in that
- 52:16crossroads. I just, that's how I became a,
- 52:19you know, AUS manufacturer. Now I have my own facility that
- 52:22has doubled in size over the years.
- 52:24And so these, these are things that like, if any
- 52:27entrepreneurship or any entrepreneur is like listening,
- 52:30it's just there's going to be a lot of twists and turns and it's
- 52:33going to be crazy. And like the best thing you can
- 52:36do is, is think about a lot of things as noise.
- 52:41I think a lot of the advice I got in the beginning has
- 52:44absolutely turned out to be noise and has absolutely turned
- 52:47out to be exactly the opposite of my path.
- 52:49And it is and it that I think is what makes DIP special and like
- 52:53you know, for anyone else out there that is wondering whether
- 52:56they need to kind of sell out or fundraiser any of those things
- 53:00like build the thing you want first and then kind of it will
- 53:04open the options for you later. Yeah, I love that.
- 53:07And I think if people really play that through, like if they
- 53:09just think about life in general and stuff like that, like, I
- 53:12mean, you know, I mean, we all know, you know, whatever, you
- 53:14get old and you die or whatever. But I mean, like, but
- 53:16everybody's path is so different, right?
- 53:18And we're all all pursuing different things and we all have
- 53:21different interests and all that stuff.
- 53:22But I think there's this expectation in business that
- 53:25there's sort of a road map like you should be able to do AB and
- 53:27C and now we're successful. And the reality is, and it's the
- 53:30one thing that I always point to in doing this podcast, for
- 53:32example, we've been doing this for nine years.
- 53:34You're going to be our 460 second interview.
- 53:36And so in talking to that many founders, business leaders, CE
- 53:41OS that we've heard everybody from every walk of life up to
- 53:43and including like literal rock stars.
- 53:45And at the core, what there is, is this sort of, you know,
- 53:50freedom to actually work within a process that you create.
- 53:54There is no road map. And I think as soon as people
- 53:57can give themselves permission to start looking for a road map,
- 54:00they can learn from, you know, maybe they'll grab a piece from
- 54:02you that is, hey, you know, it's OK for me to be authentic about
- 54:05the thing I care about. I don't need to fake it just to
- 54:07try and get more ears or whatever.
- 54:09And you see so many people doing this on social media where
- 54:11they're just trying to put out an act or something.
- 54:13But I mean, people smell that stuff.
- 54:14They know what it is. And so, so I think it's, I think
- 54:18it's really, I don't know, I think it's encouraging to hear
- 54:20from people like you, but I think it's also good to just
- 54:22kind of reinforce that notion that it's never a straight line
- 54:26and that's OK. And so and the adversity and the
- 54:29problems and the hurdles and the things that you jump over,
- 54:31that's all just part of the process.
- 54:33Totally. I mean, you're never gonna.
- 54:35It's never smooth sailing for long.
- 54:39Yeah. I love that.
- 54:40Some smooth seats, right? Yeah.
- 54:42I just kind of wanted to leave you with one last thing, which
- 54:44was I wanted to talk to you and you kind of already alluded to
- 54:46this a little bit. But what do you hope to
- 54:48accomplish as you're moving around and you're doing this
- 54:50podcasting and you're starting to to guest and you're going out
- 54:53there and you know, obviously you're introducing people to
- 54:55your brand and your philosophy a little bit.
- 54:57But like, is there anything in particular that you would want
- 54:59to leave behind or might be the thing that you might, you know,
- 55:02leave for the entrepreneur, the founder?
- 55:04And, you know, and we talked a little bit before the show, you
- 55:07know, I mean, just being a female founder in a sort of male
- 55:09dominant world, maybe not beauty specifically, but in a sort of
- 55:12entrepreneurial sense, you know, it's tends to be a little bit
- 55:15more male driven. You know, anything in particular
- 55:17for either young women or maybe that men should be more aware
- 55:21of, or, you know, just things that you've encountered that
- 55:24it's like, man, it'd be easier if everybody just went along
- 55:26with this. So I, as a younger woman in
- 55:31business, like I studied economics and math and I tried
- 55:36to study the hardest things that I could in order to be able to
- 55:40kind of, you know, exercise my brain.
- 55:42And I didn't love math, but I knew it was really hard and I
- 55:45wanted to challenge myself. And I'm, I kind of navigate my
- 55:48life and trying to do really hard things.
- 55:50And I want to say to, to a lot of women out there, like now
- 55:55I'm, I'm in my 40s now and it's only now that people start to
- 55:59like take me seriously. Like for most of my life, I, you
- 56:02know, even though I think I've had pretty good business acumen
- 56:06and all these, these things, like do not listen to the people
- 56:10that don't take you seriously. You are, are probably like very,
- 56:14very smart and articulate in all these things.
- 56:18And like, if people can't see that about you, do not let it
- 56:22discourage you because you can prove anyone wrong.
- 56:25It's very easy to prove someone wrong and let like someone
- 56:29underestimating you actually be your best asset.
- 56:32Yeah, I love that. Well, Kate, we're getting to the
- 56:34end of the hour. Do you want to just give people
- 56:36a quick where they can track you down, how they can reach out to
- 56:39you or connect if they're interested, how they can find
- 56:41your product either online, not at Amazon or in person where
- 56:45they might be located someplace? Yes, if you want to find me, I'm
- 56:49Kate Asaraf on LinkedIn and if you want to find
- 56:53dipitsdipalready.com or at dip already on Instagram or at dip
- 56:58already on TikTok, I'm always in the DMS of Instagram.
- 57:02That's where people want to ask all the questions.
- 57:04So, and if you go on dipalready.com and you're
- 57:07curious, you don't want to listen to me and about my
- 57:10products, you can go on the store locator and it'll pull up
- 57:13the store closest to you and you can go and walk in store and
- 57:16check it out for yourself. That's awesome.
- 57:19Well, thank you so much, Kate. This has been sweet and I really
- 57:21appreciate the conversation. Lots of cool stuff in there and
- 57:23I'm really excited for the future of you and dip and
- 57:25everything. And so so kudos for that.
- 57:28But thanks for coming on the show.
- 57:29I appreciate you. Thank you so much, Ryan.
- 57:31Absolutely. Thanks so much to to Kate and to
- 57:34everybody who listens to the show this week and every week.
- 57:36And we'll see you guys next time.
- 57:37Bye.