October 8, 2024

Erewhon’s Marketing Success: How Grocery Shopping Became A Status Symbol

In a fantasy land far far away, there is a grocery store where you pay $26 for bottled water, $41 for a helping of mixed berries, $22 for a smoothie, and $40 for hot sauce. Except the land is neither distant nor fantasy, it is a real chain located in California. Erewhon, a luxury health-food store with 10 locations in and around the Los Angeles area, has people in a choke-hold, but why? The owners are marketing geniuses. Simply put, the target market for Erewhon is the rich and famous. To shop at Erewhon is a luxury experience, the New York Times called it “the unofficial hangout for the young, beautiful, and bored”. Vogue described it as “Hollywood's cult-favorite wellness location." Erewhon CEO Tony Antoci claims between his 10 locations there is a whopping $900,000 per location per week, so how did they even get to this point? Organically, he claimed, but not by magic.

Tony Andoci and Josephine Andoci, Owners of Erewhon. (The Hollywood Reporter)

Tony has been in the food business since age 17, starting with phone orders at a restaurant where he met his wife Josephine, who worked in the kitchen. These two have grown Erewhon to unprecedented heights since 2011 when they purchased it. If I cringe getting the essentials, a $5 carton of eggs and a $4 gallon of milk, how did they get people to voluntarily put a $20 gallon of milk and an $11 carton of eggs (yes, really) in their shopping cart? From a marketing perspective, Erewhon is genius. Celebrity clientele, social media, their viral smoothie collaborations, quality, and store design are the best explanations for the phenomenon of Erewhon. Erewhon really took off in 2019 after a new deal with New York-based growth equity firm Stripes Group, who invested money into opening more stores and expanding their location. However, marketing machine Erewehon did not just become successful with money thrown at it and some luck, The Antoci’s are experts as well. Tony Antoci started off with a humbler beginning, selling private-label bottled water with his brother Vito to high-end restaurants on the Westside, then upgrading to selling bar supplies like olives, lemons and cherries, shortly after they started this, Josephine joined their team. At an Italian Restaurant one day an employee familiar with their business asked Josephine to start selling parmigiano-reggiano, this marked their entry to the food space, and they began selling $90 million worth of of products to various vendors each year.

Years later, Erewhon is one of the face’s of organic, healthy, high-value groceries in California and online. They claim to be “driven to enhance the health of [their] community by providing organic, ethically sourced foods that support our bodies and our planet…’. Erewhon says on their website: “We’re more than a grocery store. We’re a community” right… I’m skeptical. But alas, the community in question involves affluent individuals in the area and a network of A-List celebrities including the Kardashian-Jenner family, Miley Cyrus, Hailey Bieber, Leonardo DiCaprio and more.

Seeing dozens of celebrities voluntarily shop anywhere will naturally gather attention and publicity, which was the case for Erewhon. Combining this insane publicity with their hot social media presence and buzz, their organic and quality ingredients, and their conveniently placed stores that happen to all be in affluent areas around the LA area, makes for the perfect concoction of success. People in these communities have a higher disposable income to spend on the things they want, making Erewhon a frequented destination for many.
See and be seen (Product collabs) and smoothies

Erewhon’s celebrity smoothie collaborations are nothing short of a marketing masterclass, transforming health drinks into Instagrammable status symbols. Picture this: a $22 smoothie created by the hands of A-listers like Hailey Bieber and Kendall Jenner, each sip wrapped in an aura of exclusivity. These partnerships don't just sell smoothies; they sell a lifestyle that screams "luxury wellness." With every star-studded launch, social media lights up, creating a ripple effect that attracts both die-hard fans and curious onlookers. Erewhon expertly leverages this hype, ensuring that their smoothies are the talk of the town, or rather, the talk of the high-end grocery scene. By aligning with celebrity culture, they’ve elevated the humble smoothie into a must-have accessory for anyone keen to rub elbows with the elite—because who wouldn’t want to sip on a concoction made famous by their favorite star?

Despite the fun that people (I) poke at Erewhon, they have a lot of philanthropy and community involvement to show as well. Erewhon partners with charities to donate over 25 million pounds of food to local communities, reuses or gives their waste to a sustainable recycling company, donates a portion of proceeds, and works with small businesses and farmers by promoting and selling their products. So customers can rest knowing that a portion of their $300 grocery bill, goes to various good causes. So maybe Erewhon is not so bad, I mean where else are we supposed to get our camel's milk, sea moss gel, yuzu juice, and kelp noodle chow mein all in one place?

June 6, 2024

What’s the ROI of a Billboard?

Anyone can create a digital ad, but not every company can take over the side of an entire building.

When they do, it sends a strong signal to consumers: we’re the real deal. 

People driving down the highway who see a McDonald’s billboard aren’t going to suddenly cut across four lanes of traffic to buy a quarter pounder with cheese, but the next time they’re hungry, they might consider buying one. (And maybe some nuggets, too.)

We’re strong advocates for billboards for clients with certain campaign objectives.

They help brands stand out in a crowded digital market and offer legitimacy.

Asking “What’s the ROI of a billboard?” is the wrong question.

That’s sales. Let’s talk branding instead.

Branding is...

  • Making future sales easier
  • Staying top of mind
  • Building trust
  • Gaining awareness (visibility)
  • Creating an emotional connection
  • Storytelling
  • Big-picture thinking

For this, we don’t measure ROI.

Not everything valuable can be quantified, and even measurable data can be inaccurate.

Consider this: people generally buy products and services from companies they know and trust. To become a company that people know and trust, you must first be visible.

Billboards should be considered as an element of a comprehensive multi-channel strategy.

August 10, 2023

The Remix Revolution

In the era of digital media and social networking, Gen Z is harnessing their collective creativity and technological prowess to reshape the way we engage with advertising content. The power of YouTube and TikTok has provided a sandbox platform for “the kids”, as I call them, to embrace and remix video advertising songs, creating a vibrant subculture of creative expression and unexpected content, of which advertisers have almost zero control over. The latter can be downright absurd, and sometimes even scary. (More on that later.)

But it’s not just the latest pop or rap song subject to a digital hacksaw, advertisement songs (aka jingles) and videos are transformed into something entirely new and unexpected. This process provides a sense of empowerment to the consumer. By engaging with advertising content in this way, they actively participate in shaping popular culture rather than passively consuming it. These creations have the potential to go viral, reaching millions of viewers worldwide. This virality creates a ripple effect, sparking conversations, trends, and cultural references that become a part of popular culture.

But first, a brief history:

The origin of advertising jingles can be traced back to the 1850s when businesses started using catchy tunes to promote their products. The 1920s to 1950s marked the golden age of advertising jingles with the rise of commercial radio. As television became popular in the 1950s and '60s, jingles found a new medium to reach a larger audience. Companies like Coca-Cola, Oscar Mayer, and McDonald's are among those that used jingles to create lasting brand awareness. Catchy little tunes became an integral part of commercials, embedding brand messages into the minds of viewers on a national scale.

After a slight decline on the late 90s / early 2000s, jingles are back in a big way. In the digital age, jingles have found a new life through online platforms and social media. Short, catchy sounds are used in digital campaigns (sometimes just a few seconds), and brands intentionally create viral shorts (or try desperately) to gain widespread attention.

Which bring us to power tools, and a cat.

Created way back in 2021 (an eternity for web culture), the Cat Vibing to the Home Depot Theme Song is an origin story of sorts, to an unexpected new genre. (The vibing cat itself originated in yet another video but I digress…)

It has all the critical elements of a smash viral hit:

  1. A cat (Cats in internet memes are a tale as old as time.)
  2. A cheesy corporate jingle
  3. Comedy

The video itself is hilarious. The cat’s head bobbing to the beat juxtaposed with images of construction workers and power tools makes me laugh every time, and yes, I have watched it many times over. It’s absurd.

It’s popularity among Gen Z is something a corporate marketing campaign could never achieve intentionally. (Go ahead and try Home Depot, prove me wrong!)

First of all, the video is uploaded with a straight-to-the-point tagline of “F*ck Lowes. All my homies use Home Depot.” If I was the VP of Marketing at Home Depot, I would have that quote framed and hanging in my office. I might even pitch it as the new official tagline and get fired.

But in all seriousness, here’s the magic within. Comments for this creation include:

Not going to lie, the Home Depot song is actually pretty good.”

“Why did it take me 21 years of living before realizing this song SLAPS”

And THIS gem:

“I want this to be an official ad on tv.”

Can you imagine this running as an actual ad? It would be amazing. But you can’t. The UGC aspect is the key to success.

But not to worry Home Depot, as of today the video has amassed well over 4M views. (The average video on the Home Depot official YouTube channel has about 10k views.) Clearly this is resonating.

Does Home Depot have a clue? Do they know this even exists? That nugget of information is not known to me, but it’s still here at 2 years after upload, and that is the right course of action. Leave it alone. Don’t stop the fun. The last thing you want as a brand is a negative reaction viral sensation.

The trend of remixing video advertising songs and videos is revolutionizing the advertising industry itself. Smart brands recognize the value of engaging with young audiences through this user-generated content. Some brands actively encourage users to create their own remixes and share them online, further blurring the lines between traditional advertising and user-driven content.

A Purple Monster is on a Murderous Rampage

An example of a massively viral campaign gone completely off the rails is the McDonald’s celebration of the goofy purple-blob mascot Grimace and the return of the limited-time offer, purple “Grimace Shake”.

Photo: McDonald's

In the "Grimace Shake" TikTok trend, users have created mini horror movies mocking the effects of drinking the mysterious concoction.

That’s right.

Horror movies.

I can just imagine the boardroom meeting at McDonald’s.

“What’s the status report?”

“Good news boss! Our Grimace Shake is going viral on TikTok!”

“That’s amazing. Tell me more.”

“Well, what’s trending is… kids drink the shake!”

“Terrrific.”

“And then… well, this is awkward.”

“Yes, go ahead. Out with it.”

“After they drink the shake, they… ummmm… convulse and die.”

“WHAAAAAAAT?” *Boss spits coffee all over shiny conference room desk*

END SCENE.

So, what is really going on here? Thousands of examples on the social media platform show users in a creepy scene after trying out the mysterious beverage (which is meant to celebrate Grimace’s birthday). Shortly after taking a sip of the special shake, the video cuts to the creators mimicking horror movie-style death scenes. The purple liquid can be found dribbling out of their mouths, splattered like blood all over the floor, and even oozing from their nostrils. It’s all very nasty.

I can't imagine McDonald's could have ever pictured the Grimace shake going viral quite like this.

@ruiz_alv04 via TikTok / @McDonalds via Twitter

It would have been very understandable for McDonald’s to try to put a stop to this trend immediately. Videos of customers literally going crazy and dying from consuming your product? A nightmare!

Or is it?

As a brand, what would you do?

McDonald’s did the right thing.

How?

They sat back and watched.

With a wink and nod from Grimace himself, McDonald’s gave a sly seal of approval essentially saying, “We get it. We’re not going to interfere with this. Go forth and create you crazy rascals! Oh, and btw, please keep eating at McDonald’s!”

Full disclosure - my young son, who typically does not eat at McDonald’s, bought the shake (along with a giant burger meal) immediately when this was all happening.

McDonald’s understood that Gen Z has a particularly wacky sense of humor, and this trend was high praise. Taking an innocent mascot like Grimace and mixing it with a Stranger Things vibe is just… so Gen Z. It’s weird. It’s retro. It’s parody. And even though it’s dark and creepy, it’s playful. It’s the ultimate mashup.

The trend absolutely blew up online with videos containing the hashtag #grimaceshake amassing over 3 billion views.

That’s BILLION.

With a B.

McDonald’s provided the tools - A stylized online campaign featuring a nostalgic retro character, and a weird purple shake. The creative audience provided the content. It’s very hard to intentionally plan something like this. Can you imagine a meeting where a marketing agency pitched this very idea, and promised McDonalds a billion engagements? You’d get kicked out of the room. Even when brands pay big bucks to influencers, the content often seems forced, fake. Gen Z in has a keen bs meter. When marketing content blows up organically and is a genuine positive experience, it’s the best-case scenario a brand can ever dream of.

As an “old man” Gen X’er myself, I hate to admit it but, through their imaginative reinterpretations, Gen Z has not only contributed to popular culture but also transformed the advertising industry itself. As this trend continues to evolve, it presents exciting opportunities for brands to connect with their target audience in new and authentic ways, harnessing the power of user-generated content. But as you can see, proceed with caution.

The “kids today” are indeed leading a revolution, where the remix becomes an art form and advertising becomes a source of inspiration and creative collaboration.

Now please excuse me, I gotta go... I’m suddenly in the mood for McDonald’s.

Photo: McDonald's

 

 

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