Latest / Building Brands with Fexingo: Identity, Reputation, and Long-Term Business Equity / How Liquid Death Built a Brand on Irreverence
Transcript
- Lucas: So Liquid Death is this canned water company that launched in 2019, and they've built a brand that's basically the opposite of everything you'd expect from a water company. No pristine mountains, no smiling athletes — just a logo that looks like a metal band and taglines like 'murder your thirst.' Luna: And somehow it works. I saw their cans in a 7-Eleven last week and did a double take. But how do you get people to buy tap water in a can just because it has a skull on it? Lucas: That's the question. And the answer is they're not just selling water — they're selling an identity. Founder Mike Cessario came from an advertising background, and he knew the beverage aisle was crowded with earnest, wellness-focused brands. So he went punk. They use dark humor, they call plastic bottles 'death,' and they even have a funeral for plastic bottles in their marketing. Luna: Right, I remember that campaign. They literally held a mock funeral service for a single-use plastic bottle. It was weirdly compelling. Lucas: Exactly. And that's the genius — they turned sustainability into a punchline, but a punchline that makes you think. Their packaging is aluminum, which is infinitely recyclable, and they lean hard into that. But they never lecture. They just say 'our water comes in infinitely recyclable cans, not plastic death containers.' Luna: So the humor makes the message stick. But isn't there a risk of alienating people? Like, if someone doesn't like the tone, they just skip the brand entirely. Lucas: Totally. But that's the point — they'd rather have a strong reaction than be ignored. In a category where most brands are interchangeable, Liquid Death is unforgettable. And their numbers back it up. By mid-2025, they had sold over half a billion cans, and they're now in over 60,000 retail locations. Luna: Half a billion cans in six years. That's a compound annual growth rate that most startups would kill for. Lucas: And it's not just water. They've expanded into flavored sparkling water, iced tea — still in aluminum cans, still with that death-metal aesthetic. Each product launch feels like a band dropping a new album. They even have a music label where they sign actual metal bands. Luna: Wait, they have a music label? How does that tie back to the brand? Lucas: It's pure culture play. They sponsor concerts, release limited-edition cans with bands, and even sell merch like t-shirts and hats. For their core audience — millennials and Gen Z who grew up on alt culture — it makes perfect sense. The brand becomes a lifestyle, not just a beverage. Luna: So it's almost like Red Bull, but for water. Red Bull built a media empire around extreme sports; Liquid Death is building a media empire around underground music. Lucas: Absolutely. And both understand that the product is almost secondary to the brand experience. Red Bull doesn't taste great, but you're buying into the energy and the lifestyle. Same with Liquid Death — the water is just water, but the can in your hand says something about you. Luna: I guess the big question is, can this scale without losing its edge? Once you're in every convenience store, does the counterculture vibe fade? Lucas: That's the balancing act. Cessario has been pretty deliberate about staying small in spirit even as they grow. They still do limited drops, they still collaborate with niche artists, and they've avoided the mass-market advertising that would water down the brand. Their social media is still irreverent and sometimes offensive — they literally posted a video of someone smashing a plastic bottle with a baseball bat. Luna: And that kind of content keeps the loyalists engaged. It's authentic to the brand, even if it turns off some investors. Lucas: Right. And speaking of investors — they've raised over $200 million from venture capital, including a round last year that valued the company at over a billion dollars. So the market is betting that this brand can go mainstream without going soft. Luna: That's a huge bet. But I can see the appeal — in a world of bland, politically correct branding, having a point of view is almost a superpower. Lucas: It is. And it's something a lot of companies struggle with. They try to please everyone and end up pleasing no one. Liquid Death shows that if you're willing to polarize, you can build a tribe that will follow you anywhere. Luna: So what's the one concrete takeaway for someone building a brand today? Is it just 'be edgy'? Lucas: No, I'd say it's more specific than that. The takeaway is: find a tension in your category and lean into it. For water, the tension was that all brands looked the same and used guilt-based environmental messaging. Liquid Death flipped that by making sustainability fun and aggressive. They didn't invent a new product — they invented a new voice. Luna: And that voice is what makes people pick their can over a bottle of Dasani. It's a decision that's more emotional than rational. Lucas: Exactly. And that's the heart of brand building — creating an emotional connection that transcends the functional benefit. Liquid Death's functional benefit is hydration. Their emotional benefit is rebellion. Luna: I'm curious about the economics, though. Water is essentially free — they're basically selling aluminum cans with a design. What's their margin? Lucas: I don't have exact numbers, but in the beverage space, margins on premium water can be pretty healthy if you control distribution. They started direct to consumer with a subscription model, which gave them high margins and a loyal base. Then they moved into retail, which scales revenue but squeezes margins. Still, with a cult following, they can command a premium price — usually around two dollars a can, compared to a buck for a plastic bottle of Aquafina. Luna: That premium is the brand tax. And people are happy to pay it. Lucas: Happy to pay it. And the brand keeps them coming back. They have a subscription service called 'The Death Club' that offers exclusive flavors and merch. It's a recurring revenue model that also deepens engagement. Luna: So it's not just a product, it's a membership. That's smart. And it makes the donation model work — oh, speaking of which, I realize this is one of those shows where listener support is what keeps it ad-free and going. If you're getting value from these conversations, a few listeners chip in monthly at buy me a coffee dot com slash fexingo. It's that simple. Lucas: Yeah, it's a small group that makes this possible, and we're grateful. No ads, no sponsors — just us talking about brands and business because you're interested. Anyway, back to Liquid Death — I think the biggest lesson is about consistency. Every touchpoint, from the can design to the social media voice to the music label, reinforces the same personality. Luna: So they have what marketers call a 'brand code' — a set of consistent elements that make the brand instantly recognizable even without a logo. Lucas: Exactly. And that's rare. Most brands change their look or tone every few years to chase trends. Liquid Death has been remarkably consistent. The skull, the metallic colors, the dark humor — it's all there from day one. And that consistency builds trust and recognition over time. Luna: Now, I've seen some criticism that the brand is just a gimmick — that once the novelty wears off, people will go back to buying cheaper water. How do they avoid that? Lucas: By turning the brand into a platform, not just a product. They keep launching new flavors, new collaborations, new content. They even started a podcast called 'Murder Your Thirst.' They're becoming a media company that happens to sell water. That way, there's always something new to engage with. Luna: So it's not just a can of water — it's an entry point into a culture. And the more they expand that culture, the stickier the brand becomes. Lucas: Right. And that's the blueprint for any brand that wants to last. Build something that people want to be part of, not just buy. Liquid Death is a case study in how to do that from the ground up. Luna: Well, I'm convinced. Next time I'm at the store, I might just pick up a can of 'Murder Your Thirst' instead of my usual bottle. Lucas: Just don't expect it to taste any different. But the experience — that's the whole point.