Latest / Brand Storytelling with Fexingo: Narrative, Mission, and Stories That Sell / How Oatly Turned Hate Into Brand Love
Transcript
- Lucas: So there's a moment in Oatly's history that I think perfectly captures why they're one of the most fascinating brands of the last decade. It's 2015, and they're about to launch in the US. They have this tiny team, almost no budget, and they're going up against the dairy industry and almond milk giants like Blue Diamond. So what do they do? They put up billboards in New York that say 'It's like milk, but made for humans.' Luna: I remember those. They were everywhere in the West Village. And they did get a lot of eye rolls, but they also got people talking. Lucas: Exactly. And that's the thing—Oatly didn't try to convince everyone. They leaned into a voice that was self-aware, a little smug, and openly anti-dairy. They even had a campaign called 'Ditch Milk' that literally told people to stop drinking cow's milk. The backlash was instant, but so was the cult following. Luna: And that's a risky move. You're essentially picking a fight with an entire industry. But it worked—they went from a niche Swedish brand to a global phenomenon in a few years. Lucas: Right. And today we're going to dig into how Oatly built a brand on provocation, and what any marketer can learn from their playbook—even if you're selling something as unsexy as, say, accounting software. Luna: But first, let's set the stage. Oatly wasn't always this edgy. They started in the 1990s as a health-focused company in Sweden, selling oat-based alternatives for people with lactose intolerance. Pretty boring, right? Lucas: Totally boring. And they were struggling to grow. Then in 2012, they brought in this new CEO, Toni Petersson, who had a background in music and branding. He basically said, 'If we're going to compete with dairy, which has a century of marketing behind it, we need to be louder and weirder.' Luna: So they hired a Swedish ad agency, and the first thing they did was redesign the packaging. They went from a generic carton to this hand-written, almost DIY style with quirky phrases like 'This is the carton. It's made from paper. It's renewable.' Lucas: And that packaging became a signal. It said, 'We're not like the big corporations.' It was a visual cue that they were transparent and a little rebellious. And it stood out on the shelf next to the stark, clean designs of traditional milk cartons. Luna: But the real turning point was the 'Wow, No Cow' campaign. That was for their Super Bowl ad in 2021, right? Lucas: Yeah. They spent a reported six figures on a thirty-second slot in a local Florida market—not the national broadcast. It was this minimalist spot with the CEO singing a jingle about how Oatly is 'like milk, but made for humans.' It was so low-fi that it felt almost like a parody of a corporate ad. Luna: And it got a ton of free press because it was so unexpected. People were like, 'Is this real? Did they really pay for a Super Bowl ad?' And that generated way more buzz than a slick, expensive commercial would have. Lucas: Exactly. And that's a core lesson: you don't need a huge budget if your idea is provocative enough. But provocation only works if it aligns with your brand's values and your audience's beliefs. Oatly's anti-dairy stance resonated with a generation that was already questioning the environmental and ethical impact of the dairy industry. Luna: So it's not just about being annoying. It's about being on the right side of a cultural shift. Lucas: Right. And that's what separated Oatly from, say, a brand that just tries to be edgy for the sake of it. They had a thesis: dairy is bad for the planet, and oat milk is a better alternative. That gave them a moral authority that a lot of brands can't fake. Luna: But there's a flip side. As Oatly grew, they started facing criticism—not just from dairy farmers, but from consumers who saw them as a big corporation co-opting a counterculture vibe. They got called out for being owned by private equity, for sourcing oats from farms with questionable practices, and for suing small competitors over branding. Lucas: Yeah, that's the risk of building your brand on a 'we're not like the big guys' narrative. Once you become big, you're vulnerable to the exact same criticism you leveled at your competitors. It's a trap that many challenger brands fall into. Luna: So what's the lesson for the rest of us? If you're a small business, how do you use provocation without becoming a target? Lucas: I think the key is to focus on a specific, authentic enemy. Oatly picked on Big Dairy, which was a well-funded, easy to hate industry. But they didn't attack almond milk or soy milk. They had a clear foe. And they also made sure their claims were backed by data—they published life-cycle assessments showing their carbon footprint was much lower than dairy's. Luna: So it's not just talk. You need to have the receipts. Lucas: Exactly. Another lesson is to lean into your uniqueness, even if it feels awkward. Oatly's packaging and tone were so distinctive that they became a meme. But you can't copy it verbatim—you have to find your own version of that honesty and quirkiness. Luna: And maybe the biggest lesson is that you don't need to appeal to everyone. Oatly's ads were deliberately polarizing. They knew that some people would hate them, and they were okay with that because the people who loved them became fanatics. Lucas: That's a hard pill to swallow for many marketers who are trained to maximize appeal. But in a crowded market, sometimes it's better to be loved by a few than tolerated by many. And that's exactly what Oatly did—they built a community of superfans who would tattoo the logo on their bodies. Luna: Wait, that's a thing? People actually got Oatly tattoos? Lucas: Oh yeah, there's a whole Instagram account dedicated to Oatly tattoos. The brand even offered a free carton of oat milk for life to anyone who got one. That's not just brand loyalty; that's identity. Luna: That's wild. But I think it also shows how effective their storytelling was. They didn't just sell a product; they sold a cause. And people wanted to be part of that story. Lucas: And that's the core of brand storytelling. You're not just communicating features; you're inviting people into a narrative where they're the hero. Oatly made consumers feel like they were making a difference with every carton they bought. Luna: So if a listener is thinking about their own brand, what's the first step? Should they go out and pick a fight? Lucas: No, not necessarily. Picking a fight works if there's a genuine villain and your audience feels strongly about it. But you can also be provocative in other ways—by being radically transparent, by challenging industry norms, or by simply having a voice that's unlike anyone else's. Luna: And if today’s conversation gave you something to chew on, that’s exactly what we hope for. These episodes stay ad-free because listeners like you support the show. If you found value, you can keep that going by saying thanks over at buy me a coffee dot com slash fexingo. No pressure, just a coffee for the road. Lucas: Yeah, that’s the way to support us. And it genuinely helps us keep doing deep dives like this one. Now, back to Oatly—one more thing I want to mention is their follow-up campaign in 2022, where they put their carbon footprint on every carton. It’s a bold move that makes a vague claim concrete. It’s one thing to say you’re sustainable; it’s another to show the math. Luna: That’s a great example of walking the talk. But it also invites scrutiny. If your numbers are off, you’re in trouble. Lucas: True. But that’s the game they chose. They’re betting that transparency builds trust, even if it makes them vulnerable. And so far, it’s kept them relevant in a market that’s flooded with new oat milk brands every month. Luna: So the challenge for Oatly now is to maintain that edge as they become more mainstream. Can they stay provocative when they’re in every grocery store? Lucas: That’s the million-dollar question. Many brands lose their mojo as they scale. But Oatly’s still doing interesting things—like their 'Help! Our Products Are Sold Out' campaign during the pandemic, which turned a supply chain problem into a brand moment. Luna: That’s a great example of turning a negative into a positive. They could have apologized and moved on, but they made it funny and showed their personality. Lucas: Exactly. So the takeaway is that brand storytelling isn’t about being loud all the time. It’s about being consistent in your voice, even when things go wrong. And that’s a lesson that applies to any brand, whether you’re selling oat milk or enterprise software. Luna: So if there’s one thing you want listeners to remember, what would it be? Lucas: I’d say: don’t be afraid to polarize. If you try to please everyone, you’ll end up with a bland brand that stands for nothing. Find your authentic voice, pick a side, and commit to it. The people who resonate with you will become your biggest advocates. Luna: And that’s the kind of brand love that money can’t buy. Thanks for joining us on this dive into Oatly’s story. We’ll see you next time.