How to Build a Remarkable Brand in the Age of AI | Seth Godin — Transcript
Full transcript
- 0:00Successful brands are built with your
- 0:03customers talking about you, not you
- 0:05talking about you.
- 0:07So, some people,
- 0:09because that's where the money is, think
- 0:11marketing is about spend.
- 0:13Right? It's not. Marketing is about
- 0:15creating the conditions
- 0:18for other people to eagerly spread your
- 0:20idea.
- 0:38All right, welcome to the Entrepreneur
- 0:40Studio podcast. I'm your host Chris
- 0:42Allen, and today we have in the studio
- 0:45the one and only Seth Godin, and he's
- 0:47joining us virtually for an in-depth
- 0:49conversation on the future of marketing
- 0:51and building brands that matter. Seth,
- 0:54welcome to the show. Thanks for joining
- 0:55us. Well, thanks for having me. It's a
- 0:57pleasure. Yeah.
- 0:59Well, you know, you've uh you've spent
- 1:00decades, you know, working with brands
- 1:02and organizations to rethink how
- 1:04marketing actually works, but I think
- 1:06what we'd like to know is what are you
- 1:08seeing today in this moment uh of how
- 1:10marketing may be changing and how some
- 1:13things may remain the same in the
- 1:14future?
- 1:16Well, let's get our terms right, cuz
- 1:18still, 40 years later, people don't
- 1:20understand what marketing is. So, we
- 1:22can't talk about how it's changing till
- 1:23we talk about what it is.
- 1:25It's not hustle or hype or getting the
- 1:27word out. It's not promo. It's not
- 1:30interrupting people. It's not even
- 1:31buying ads.
- 1:33Those things worked really well in 1973.
- 1:37That if you bought an ad on MASH,
- 1:40you were going to reach 70 million
- 1:41Americans all at once. It was bigger
- 1:43than the Super Bowl every week.
- 1:46And so, you needed to make average
- 1:47products for average people, cuz it was
- 1:49average people that would see your ads.
- 1:53And the internet completely turned all
- 1:55of this upside down.
- 1:56Permission is the idea of delivering
- 1:58anticipated, personal, and relevant
- 2:00messages that people want to get them.
- 2:02Not spamming them, but being missed if
- 2:04you were gone.
- 2:05And most of the time
- 2:08successful brands are built with your
- 2:10customers talking about you, not you
- 2:13talking about you.
- 2:14So,
- 2:15some people
- 2:17because that's where the money is, think
- 2:18marketing is about spend.
- 2:21It right? It's not. Marketing is about
- 2:23creating the conditions
- 2:25for other people to eagerly spread your
- 2:28idea.
- 2:30So, now, to answer your question,
- 2:33it's becoming really clear because in an
- 2:35era of AI, in an era of too much noise
- 2:38and not enough attention,
- 2:41it's almost impossible to hustle your
- 2:42way to success. It feels like that's the
- 2:45only option, but it's not an option. It
- 2:46doesn't work.
- 2:48All the reality is is it's all about
- 2:50people, about stories. That's one of the
- 2:51things that's been meaningful about the
- 2:53work that you've done is that's the
- 2:54thing that's not changing is people are
- 2:56still going to be the buyers. AI
- 2:58not anytime soon are they going to be
- 3:00the buyers, right? So, this is about
- 3:02This is about people. Yeah, when AI is
- 3:04the buyer, you're going to lose.
- 3:07Right? If you If your business is built
- 3:09on answering RFPs and being the
- 3:10cheapest,
- 3:12and you can be the cheapest and succeed,
- 3:14congratulations. Your job is easy. You
- 3:15don't need any marketing help.
- 3:17Right? That Walmart grew and grew and
- 3:19grew cuz it was like, "We got average
- 3:21stuff and it's cheaper than anywhere
- 3:22else. Come buy it."
- 3:24But that's not why you need a marketing
- 3:25department. You need a marketing
- 3:26department to sell things that people
- 3:28think are worth it that aren't easily
- 3:31measured, things that are worth it that
- 3:33aren't the cheapest.
- 3:35And when an AI shows up, it's hard to
- 3:37teach it that. So, it just goes and buys
- 3:39the cheap one. And if that's what's
- 3:41going to happen, you're going to race to
- 3:42the bottom, and that's not going to be
- 3:44good.
- 3:47Well, I think one of the things about
- 3:48the storytelling aspect
- 3:51uh uh
- 3:52that conveys a lot of value, right? How
- 3:54do you think in the in small business
- 3:57today that's having to face this sort of
- 3:59technology challenge uh with adopting AI
- 4:02and learning how to use it and leverage
- 4:04it, but also trying to have that people
- 4:06element,
- 4:07the story is the thing that kind of
- 4:09connects the dots. Can you just talk us
- 4:11through how a small business should be
- 4:13thinking about storytelling in their
- 4:14business?
- 4:16Well, here's the key fork in the road
- 4:17with AI.
- 4:19The current cycle is cost reduction.
- 4:22How can I use AI
- 4:24to use less people, spend less money?
- 4:27And you can't cost reduce yourself to
- 4:28greatness.
- 4:29So,
- 4:31that's quickly going to be replaced by
- 4:32the opportunity to use AI to make things
- 4:35better, to use AI to make your work
- 4:37harder, but more valuable.
- 4:40And
- 4:41where do we go when we want to tell a
- 4:43story? It begins with a simple question.
- 4:47Who do you want to help your customers
- 4:49become?
- 4:51And then the second question is, what
- 4:53are their customers hiring you to do?
- 4:56And they're probably related.
- 4:59When you help someone get to where they
- 5:01want to go all along, you don't have to
- 5:03push very hard.
- 5:04On the other hand, if you're trying to
- 5:06persuade people who think you're wrong
- 5:08that you're right,
- 5:09you don't have enough time or money to
- 5:10do that.
- 5:12That's so true.
- 5:13Uh how do you build trust in this in
- 5:15this uh sort of AI-driven world, right?
- 5:18Cuz you've talked a lot about uh the
- 5:20philosophical operating system, how the
- 5:22bedrock of the connection with people is
- 5:24trust. How do you do that today?
- 5:27Yeah, so what's a brand? A brand is not
- 5:29a logo.
- 5:30A brand is a promise. It's an
- 5:32expectation. The example I like to use
- 5:34is this.
- 5:35If Hyatt Hotels announced that they were
- 5:37coming out with a line of sneakers,
- 5:39we have no idea what it would be like.
- 5:42But if Nike announced they were opening
- 5:44a hotel, we know exactly what it would
- 5:46be like.
- 5:47Because Nike has a brand and Hyatt has a
- 5:49logo.
- 5:50So, you make a promise when you show up.
- 5:54And trust is super simple. Trust is, do
- 5:57I think you're going to keep your
- 5:58promise? Did you keep your promise? So,
- 6:00if you make audacious
- 6:03promises constantly and you don't keep
- 6:06them,
- 6:07then you're the Wizard of Oz. I don't
- 6:09trust you.
- 6:10But if you make real promises and keep
- 6:13them when it's hard, especially when
- 6:16it's hard, that's how you build trust.
- 6:19Who do you think uh does that really
- 6:21well? Just in your experience.
- 6:24You know, you got Nike that knows how to
- 6:25do that and deliver on their promise.
- 6:27But like just that layer of trust, who
- 6:29do you think really does that really
- 6:31well in your experience? So,
- 6:34think of a brand
- 6:36that you admire.
- 6:38You just found one.
- 6:40Right? So, they don't have to be famous
- 6:41brands. I just bought a a replacement
- 6:43for the glasses I'm wearing because my
- 6:45prescription changed and that company
- 6:47that used to sell them doesn't make them
- 6:48anymore.
- 6:49So, I bought them from this other
- 6:50company and they came in just a little
- 6:53bit off.
- 6:54And it was online and it you know, I was
- 6:56like, I'm never going to hear from them.
- 6:5920 minutes later they wrote back. We had
- 7:01two interactions with an optician and
- 7:03they're going to make it right. So, am I
- 7:05going to trust them next time? Well, of
- 7:07course I am.
- 7:08That is worth so much more than a Super
- 7:11Bowl ad.
- 7:12That the opportunity when a customer
- 7:15raises their hand and says something's a
- 7:17challenge, it's in that moment when
- 7:21trust is on
- 7:24order, right? And if you say, well, due
- 7:26to unusually heavy call volume our phone
- 7:28trees have changed, please leave a
- 7:30message and the AI will call you back.
- 7:32You just made a very clear statement
- 7:35about your marketing priorities and
- 7:36about whether I could trust you or not.
- 7:39It's a A really powerful way to look at
- 7:41it. You know, um
- 7:43You know, I've heard it said that, you
- 7:45know, a company may own its brand, but
- 7:47the rest of the world owns its
- 7:48reputation. Yeah. And
- 7:51it goes really clearly into what you're
- 7:53saying. And the thing that's really
- 7:54interesting in a lot of companies is the
- 7:55marketing team is like, I own the brand.
- 7:59But I think you probably have a little
- 8:00bit different of a point of view about
- 8:02marketing's contribution to the brand
- 8:04and what the rest of the business is
- 8:06really doing to deliver on the brand.
- 8:09>> So, talk to us talk to us about where
- 8:11they get it wrong and where we get it
- 8:12right.
- 8:13The first piece of business advice I got
- 8:14was in 19
- 8:1681. When I got off 82, I got offered a
- 8:18job two different jobs.
- 8:20And I said to my old professor, uh
- 8:23I want to work for a marketing-driven
- 8:25company cuz I'm a marketer. He said, "Do
- 8:27you want to work for a marketing-driven
- 8:28company or a market-driven company?"
- 8:31And I said, "What's the difference?" He
- 8:32George said, "A marketing-driven company
- 8:35is run by the marketing department.
- 8:37A market-driven company is there to
- 8:39serve the market.
- 8:41So, let's think about, I don't know, a
- 8:42famous German car company that makes
- 8:44diesel cars. So, five engineers and some
- 8:49accountants get together and they decide
- 8:50to come up with a scheme to write some
- 8:53code that will defeat the European
- 8:56emissions tests and allow them to cheat.
- 8:59And it ends up being a huge scandal and
- 9:02costs them a billion dollars in fines.
- 9:05And the question is, was that a good
- 9:07marketing move or not?
- 9:09And cuz that's what it was, was a
- 9:11marketing move. But the marketing
- 9:13department probably wasn't in the room.
- 9:15Probably not.
- 9:16>> So,
- 9:17everything your company does that
- 9:19touches the market, how you design
- 9:21things, how you answer the phone, how
- 9:23much you charge, what kind of stuff
- 9:25you're dumping in the river, those are
- 9:27all marketing decisions. And if you're
- 9:29not touching them, then you're not
- 9:30really in charge of the marketing.
- 9:33So true. And that everything you just
- 9:34talked about is a team sport.
- 9:36And,
- 9:37>> you know,
- 9:39how do you think
- 9:41best
- 9:42like small businesses maybe don't have
- 9:44all of the team inside of their
- 9:47business?
- 9:48How do you think
- 9:49a small business should think about that
- 9:51teamwork right at a small scale and it'd
- 9:54be great for you to talk about at a
- 9:56larger scale how teams can better work
- 9:58together to really understand that
- 10:00the brand really is built as a team.
- 10:03This is a great question.
- 10:05Um
- 10:07inside the organization big or small,
- 10:10people are keeping track of something.
- 10:13At an investment bank, they're keeping
- 10:15track of their bonus and how much money
- 10:17they made today.
- 10:19But that's not true at almost any other
- 10:20company.
- 10:21Mostly we're keeping track of what will
- 10:23I tell my boss?
- 10:24Will this get me in trouble?
- 10:26Is this going to be a hassle? Am I
- 10:28taking a risk? What am I getting
- 10:30measured on?
- 10:31And if you're relying on a false proxy,
- 10:33something that's easy to measure,
- 10:36but not helpful, you're going to keep
- 10:37measuring it and you're going to go in
- 10:39the wrong direction.
- 10:40So, you know, back in the early days of
- 10:44email marketing,
- 10:45if you had an employee who was walking
- 10:48out the door, stealing laptops and
- 10:50staplers and selling them,
- 10:52you'd fire them.
- 10:54But if you've got someone on your team
- 10:55who's emailing large numbers of people
- 10:58to make the quarterly numbers work,
- 10:59you're letting them get away with it and
- 11:01it's costing you way more money than
- 11:02some stolen laptop.
- 11:04So, what do we measure? What actually
- 11:07happens in meetings?
- 11:08What are we keeping score of? What
- 11:10question do we ask?
- 11:12If you ask the right question, you will
- 11:15be amazed at how quickly the mission of
- 11:19the organization, its purpose,
- 11:21becomes clear.
- 11:22And so, you know, when I was talking
- 11:24about email marketing in the '90s and
- 11:26the
- 11:26'00s, I encouraged companies to put up
- 11:29two big numbers It's the wall where
- 11:30everyone could see them when they walked
- 11:32in. One number is
- 11:34how many people
- 11:35subscribe to hear from us.
- 11:37And the second number is what percentage
- 11:39of them opened the last email we sent.
- 11:42If those are the two numbers that
- 11:43everybody sees on their way in,
- 11:45you can bet people are going to change
- 11:47their behavior to make those numbers go
- 11:49up.
- 11:50And when I was at Yahoo,
- 11:52the thing that wrecked the company
- 11:55was the stock ticker.
- 11:56Because there were 3,000 people who sat
- 11:59there all day long watching the stock
- 12:00price.
- 12:01And if they did something that made it
- 12:02go up in one day, they did it more.
- 12:05And you can make it go up in one day,
- 12:07but it doesn't go up in one year if
- 12:09you're doing the wrong thing.
- 12:11I would say because I've worked, you
- 12:13know, in public companies before and
- 12:15that tendency to hit that quarterly
- 12:18earnings number uh
- 12:21I mean, it's a it's a tough one to
- 12:22really operate a business and deliver on
- 12:25your your your brand promise
- 12:28when you've got a you've got to send the
- 12:30price out there, you've got to raise it
- 12:31up, you've got to you know, do these
- 12:33things that really erode
- 12:35what you've been spending all this time
- 12:37as a marketer trying to do to help us
- 12:38show up authentic, show off that people
- 12:41can believe what we're doing, that we
- 12:42you know, I mean, all of those kinds of
- 12:43thing. It's it's a real trap in a big
- 12:45way, the measuring the wrong thing.
- 12:47Yeah, well said. Well, just speaking of
- 12:50authenticity,
- 12:51what are some of the things like I'd
- 12:53love to give you I would love for you to
- 12:56if you if if it's something that you can
- 12:57do it this way cuz I'm basically asking
- 12:59for a friend
- 13:00>> work on the fly, but Mhm. I'd love some
- 13:02this not that
- 13:03on maintaining authenticity
- 13:06Yeah. in in your messaging and also on
- 13:09the maybe on the internal, too. I'd love
- 13:10for you to go like do more of this,
- 13:12maybe not a lot of that. Yeah. Well, for
- 13:15people listening at home, we didn't
- 13:17practice this. Mhm.
- 13:20But I was totally waiting for you to ask
- 13:22me about authenticity cuz authenticity
- 13:23is a crock. Authenticity is overrated.
- 13:26Authenticity is a trap.
- 13:28Authenticity is for your best friend.
- 13:30Authenticity might be for your family.
- 13:33Authenticity is not for your customers.
- 13:35Because if your surgeon is authentically
- 13:38in a bad mood, you don't want them to do
- 13:40a lousy job on your knee implant. Right?
- 13:42That if the server at the International
- 13:45House of Pancakes, home of foreign food,
- 13:47if you go there
- 13:48and they're in a really bad mood, you
- 13:49don't want them to spill syrup all over
- 13:51you. Authenticity is not what you're
- 13:53asking for. You're asking for
- 13:55consistency.
- 13:58Consistency is what professionals do.
- 14:00Consistency is what we buy when we pay
- 14:03money
- 14:04to a brand or call a company or small
- 14:06business. Consistency is what your
- 14:09employees want when they get paid,
- 14:11right? They don't want the check to come
- 14:12Wednesdays and sometimes on Fridays and
- 14:14sometimes be a little higher and
- 14:15something. They want it to be
- 14:17consistent. So as soon as we can say
- 14:21and actors have no problem with this,
- 14:23right? George Clooney doesn't say, "Oh,
- 14:25George Clooney would never say that."
- 14:26Because he's not George Clooney, he's an
- 14:28actor.
- 14:29Well,
- 14:31a small business says
- 14:33"We're looking at a customer and we're
- 14:35saying we make these ballet slippers
- 14:38and we think they will help you." But
- 14:39they don't actually do ballet. They are
- 14:4260-year-old white guys with pot bellies.
- 14:44They're making something for someone
- 14:46else. Empathy.
- 14:48So what we're looking for is the
- 14:50ability, the commitment to adopt
- 14:54a fake authenticity that is called
- 14:56consistency.
- 14:58To say, "No matter which angle you look
- 14:59at us from, we're going to be like this.
- 15:02We're not going to talk about you behind
- 15:03your back. We're not going to manipulate
- 15:05you. We're not going to sneak things
- 15:07into the contract when you're not
- 15:09looking. We're going to be consistently
- 15:11the people we say we are."
- 15:14And if you want to go home and do some
- 15:16other weird thing, that's on your time.
- 15:18But when we're here, we're consistently
- 15:22doing the thing we promised and we don't
- 15:25care about being authentic.
- 15:28Great. I love this answer.
- 15:30And one of the things that uh I would
- 15:32say has been just in the past couple of
- 15:34minutes we've been chatting the theme uh
- 15:38of bringing that consistency to life
- 15:39really has a lot to do with being
- 15:41intentional about your culture. You got
- 15:43to You got to live by some similar rules
- 15:46to deliver with that kind of you know
- 15:47consistency. So
- 15:50tell us the Seth Godin you know uh sort
- 15:53of culture building at you know advice
- 15:55of how we can do this better as
- 15:56businesses.
- 15:59Well, I have it easy and I have it hard.
- 16:01And the reason is cuz there's only me. I
- 16:04don't have any meetings cuz no one goes
- 16:06but me.
- 16:07Um
- 16:08but it's hard because that means there
- 16:12isn't anyone to bounce things around
- 16:14with.
- 16:15So what I decided over the years
- 16:18as my organization got bigger and
- 16:20smaller is there is a role
- 16:23named Seth Godin.
- 16:25And it's not the person you might have
- 16:26dinner with. It's not the person you
- 16:28went to summer camp with. It's the role
- 16:30of Seth Godin.
- 16:32The same way Patagonia has that voice.
- 16:36There's no difference.
- 16:38And so small businesses get hung up
- 16:40because small businesses are usually a
- 16:42bunch of freelancers who are working on
- 16:45their own hustling to make a buck per
- 16:47hour.
- 16:48And so it feels like it's personal.
- 16:51But it's not. You're playing a role. So
- 16:54here's a great vivid example.
- 16:57Uh 25 years ago
- 16:59in my 100-year-old house the heat broke
- 17:01completely in the winter when it only it
- 17:03only breaks in the winter. And I called
- 17:06four different firms to come replace the
- 17:08boiler give us a estimate whatever.
- 17:11First guy comes
- 17:12and he's not the owner of the business.
- 17:15He is the technician.
- 17:17He walks into the house, he puts
- 17:19slippers on.
- 17:20I said, "You're going to the basement,
- 17:21you don't have to wear slippers." He
- 17:22says, "No,
- 17:23we wear slippers."
- 17:25And then he hands me a clipboard. He
- 17:27said, "While I'm downstairs, look this
- 17:28over."
- 17:29It's the names of 25 of the people
- 17:32within 1 mile of your house and their
- 17:34phone numbers who have agreed that if
- 17:36you want to call them for a referral,
- 17:38they will answer the call.
- 17:40Wow. And when he got back up to the top
- 17:41of the stairs,
- 17:43I said,
- 17:44"You're hired." And I canceled the other
- 17:46three calls.
- 17:48Because this is all I wanted. Right? All
- 17:51I wanted was a firm that played the role
- 17:54of we are professionals and we care, not
- 17:58I'm a guy with a screwdriver and I'll
- 18:00say whatever I feel like.
- 18:02So, we can act like Patagonia because we
- 18:05can say,
- 18:06"People are watching. Nothing's off the
- 18:08record. Everyone's watching all the
- 18:10time. How do we want to behave when we
- 18:13know our mom is watching or our
- 18:15customer's watching or our competitors
- 18:16are watching? If we always do that, we
- 18:19never have to worry about keeping our
- 18:20story straight."
- 18:22That's amazing.
- 18:23One of the things that you've done a
- 18:25really good job uh
- 18:26at articulating over the years is, you
- 18:28know, obviously marketing uh
- 18:30demystifying marketing, right? There's a
- 18:33uh I would say that there as marketers,
- 18:35you know, as a marketer myself,
- 18:37you know, there's a some bad behaviors
- 18:39and things that develop reputations in
- 18:41different markets and things like that.
- 18:42Like you talked about with email
- 18:43marketing and some of the other things
- 18:44that that have gone out there.
- 18:47But I think one of the things marketers
- 18:49struggle with is trying to
- 18:51differentiate.
- 18:52And trying to do something meaningful or
- 18:55or or say something remarkable in such a
- 18:59crowded world. And I love, you know, I
- 19:01just wanted to you to just do the purple
- 19:03cow, you know,
- 19:04>> Sure.
- 19:05thing just to unpack that for everybody.
- 19:08Yeah, we'll come back to differentiation
- 19:09in a minute, but But talk about
- 19:10remarkable first.
- 19:12Early on we talked about the idea
- 19:14that the word is going to spread cuz
- 19:16your customers talk about you not cuz
- 19:17you talk about you.
- 19:19Okay, what are they going to say?
- 19:21If you don't give them something to say,
- 19:23they're not going to say anything.
- 19:25They're not going to talk about some
- 19:26gimmick you had. They're not going to
- 19:28talk about how hard you're trying to put
- 19:30your kid through college. They're not
- 19:32going to talk about how desperate you
- 19:33are for them to make cash flow.
- 19:36They're going to talk about something
- 19:36that helps them.
- 19:38They will talk about something that
- 19:40raises their status or gives them
- 19:42affiliation or them insider uh
- 19:45status. If you give them that to talk
- 19:48about,
- 19:49they will talk about you.
- 19:52And we can
- 19:54create that. So, in New York City there
- 19:57are 50,000 restaurants.
- 19:59And if a restaurant shut, very few
- 20:02people would miss it.
- 20:03On Broadway and 90th Street about 30
- 20:06years ago they opened a restaurant
- 20:07called Carmine's. It's an Italian
- 20:08restaurant.
- 20:10Carmine's did two things, maybe three.
- 20:12Three. One, they served more garlic than
- 20:15it was reasonable to eat.
- 20:17Two,
- 20:18they served portions that were twice as
- 20:21big as any other restaurant, meant for
- 20:23sharing. And three, you couldn't get a
- 20:25reservation unless you had a party of
- 20:27six or more.
- 20:30As a result,
- 20:32when you went to work the next day you
- 20:33had to tell everyone where where you
- 20:34went last night cuz A, it was a party,
- 20:36and B, you smelled like garlic, and C,
- 20:38you had a great story to tell about how
- 20:39much insane food that they served you.
- 20:42And then if someone said, "Well, we
- 20:43should go back." You had to go find four
- 20:46other people to join you or you couldn't
- 20:47get a reservation.
- 20:49So, built into the dynamic of Carmine's
- 20:52restaurant is the engine of
- 20:54remarkability, the thing that makes it
- 20:56worth talking about.
- 20:58Most small businesses say, "You can pick
- 21:00anyone and we're anyone."
- 21:03And if that's what you're saying and
- 21:05you're hoping you're going to win some
- 21:06Google search,
- 21:07Uh you're going to hold your breath for
- 21:08a long time.
- 21:11I love it. Well, I'd say
- 21:13differentiation, right, is the is the
- 21:15thing that
- 21:16uh we're trying to do in a in a big way
- 21:18to stand out.
- 21:20And I think one of the things that's
- 21:22been interesting with social media has
- 21:25made this idea of
- 21:27um
- 21:28I'm going to just call it personal
- 21:29branding for just a second a much more
- 21:31accessible thing than maybe you just
- 21:34have access to media. The the personal
- 21:36brands back in the day, right, you you
- 21:39didn't have access to mass media. It
- 21:40was, you know, print and and things.
- 21:43And TV and maybe movies. And and so
- 21:47what's happening with companies is, you
- 21:49know, this idea that there are a few
- 21:51voices and faces that tend to show up to
- 21:53support these brands.
- 21:56How important do you think
- 21:58the personal branding element
- 22:01within a company brand, how can those
- 22:04sort of work in concert and where do
- 22:07they sort of break apart?
- 22:09Yeah. Um well, I'd love to hear about
- 22:11some of the things that you're working
- 22:12on, but uh the short version is everyone
- 22:15has a personal brand.
- 22:17And if you're not doing anything with
- 22:18it, well, that's what your personal
- 22:19brand is.
- 22:21But a brand is again, what do I expect
- 22:24when I hear from you?
- 22:25The magic of a human being as an avatar
- 22:30for a brand is human beings are
- 22:32complicated. They have a lot of surface
- 22:34area. They can do things that are
- 22:36appropriately remarkable that a faceless
- 22:39brand has trouble with.
- 22:41Downside, of course, you can't own a
- 22:43person and that person might let you
- 22:46down.
- 22:47And so like, you know, when I was at
- 22:50Yahoo the first few months I was there,
- 22:52they were delighted to have me going
- 22:54around
- 22:55being a personal brand connected with
- 22:58this.
- 22:59But as the stock
- 23:02price went up and decided to get more
- 23:03conservative, they said, "You know, we
- 23:06don't want anybody to be the face of
- 23:07Yahoo."
- 23:08I was like, "Fine with me. That's too
- 23:10much responsibility anyway."
- 23:12Um and so, I don't think this really
- 23:14makes sense for a public company
- 23:17unless it's some, you know, crazy
- 23:19billionaire who owns a lot of the stock.
- 23:21I do think it makes it a lot of sense
- 23:23for smaller organizations to put a face
- 23:26on what they're doing. But that person
- 23:29has to understand it's not really them.
- 23:33It's just someone who looks like them.
- 23:35Cuz if they try to do the authenticity
- 23:37thing and talk about how much how
- 23:39annoyed they were when they dropped
- 23:40their kid off at school this morning,
- 23:42now it it's not a person helping a
- 23:44brand, it's a brand giving a person a
- 23:46platform to just talk about themselves,
- 23:48which isn't the point.
- 23:52I think um one of the things that's
- 23:54really interesting is when uh
- 23:57you have uh
- 23:58somebody being sponsored by a brand and
- 24:01it kind of goes wrong.
- 24:03You know, when you have an internal
- 24:04person, at least they know they want to
- 24:06keep their job. The external person, you
- 24:09know, has that.
- 24:09>> Yeah. Well, you know, I've I've heard um
- 24:12I want to talk about social media just
- 24:14for a second because,
- 24:16you know, I'd say this this medium uh
- 24:19has I'd say grown in significance uh
- 24:22even more. It Popularity has been one
- 24:25thing that social media was. But now,
- 24:28I'd say as this medium has grown and
- 24:30developed, there's there's more
- 24:31significance to it.
- 24:34Um and so, one of the things that I'd
- 24:35love to just hear you talk about, you
- 24:37know, this idea of uh uh people and
- 24:39brands cuz it what happens, you know, I
- 24:41I I have I had a friend say it's the
- 24:43faces in your feed that slow your
- 24:45scroll.
- 24:46And you have this idea of corporations
- 24:49trying to participate in social media
- 24:51and they really, really struggle. And
- 24:53then you have the people
- 24:54uh that have all of the voices and where
- 24:56all the influencers have come from.
- 24:59So, I What's your commentary on that
- 25:01What's What's going on with social media
- 25:04and the significance of it that's really
- 25:06contributed to building companies?
- 25:09Well, let's begin with this. I talked
- 25:10about false proxies earlier.
- 25:13Mark Zuckerberg really wants you to
- 25:14focus on certain numbers.
- 25:16Those numbers aren't important to you.
- 25:19They're important to him.
- 25:21Making those numbers go up
- 25:24it's not your job.
- 25:25Right? You're Don't be an unpaid doobie
- 25:28for them. I have 400,000 Instagram
- 25:29followers. I didn't do anything to have
- 25:32that happen.
- 25:33But, I
- 25:34you know, if I post something about a
- 25:35new book, maybe 12 people on Instagram
- 25:38will buy it.
- 25:40The number of Instagram followers I have
- 25:41is completely irrelevant to the change I
- 25:43seek to make in the world. It's a
- 25:45distraction. Don't focus on that cuz
- 25:48it's not why you're here.
- 25:50Then, the second part of it is making
- 25:53sure
- 25:54that there's no gap between the
- 25:57commotion you're making to get attention
- 25:59and the work you're doing to gain trust.
- 26:02As well as the work you're doing to
- 26:04cause action.
- 26:05So, Wendy's has between 15 and 20 people
- 26:08working on their uh social media
- 26:11accounts.
- 26:12And they're sort of notorious for the
- 26:13way they throw insults around on social
- 26:15media.
- 26:16Has it sold one Frosty? Has it sold one
- 26:19hamburger?
- 26:20Right? I'm glad they're amusing
- 26:22themselves. I'm glad they're getting
- 26:23paid to amuse themselves.
- 26:25But, what's the purpose of Wendy's?
- 26:28Is that its purpose? Is that what they
- 26:29want to do more of?
- 26:31So, that If so, they should start a talk
- 26:32show, right? But, that's not what they
- 26:35signed up to do.
- 26:37So,
- 26:37we have to really be clear. Are you
- 26:40looking for awareness? Are you looking
- 26:42for
- 26:43uh
- 26:44certain kinds of proxies or you're
- 26:46looking for action?
- 26:48And if you're looking for action, the
- 26:49answer isn't how do I get more famous?
- 26:53The answer is how do I get less famous
- 26:55and more trusted?
- 26:57How do I create tension?
- 26:59Because tension is relieved by people
- 27:01taking action. Not how do I relieve
- 27:04tension for people on the subway who are
- 27:06going like this and looking at more than
- 27:08500 messages in an hour. Cuz none of
- 27:11those people are stopping and saying,
- 27:13"Oh, look, the vase I've been waiting
- 27:14for is on sale." and hitting buy. Every
- 27:17once in a while someone becomes a
- 27:18Kardashian. But it's probably not going
- 27:20to be you.
- 27:22And we don't need any more Kardashians.
- 27:23We already have the ones we have.
- 27:27For sure. I I think uh
- 27:30you know, in building the brands of the
- 27:31future, one of the things that uh
- 27:34you know, you I think you were sort of
- 27:36saying it right there or maybe you just
- 27:37a double click on it is
- 27:39that's the better versus louder, you
- 27:42know, kind of approach.
- 27:43What would you say would be some key
- 27:46things uh
- 27:47for just entrepreneurs to think about
- 27:50about becoming better versus louder?
- 27:53So,
- 27:54I was doing some research about a a
- 27:56business I did
- 27:58uh
- 27:58as a customer worked with years and
- 28:00years ago. It's called Garagiste.
- 28:02Garagiste uh does more than $30 million
- 28:05a year selling wine.
- 28:07And the way they do it is there's an
- 28:09email list. And if you're on the list,
- 28:12uh you get an email a couple times a
- 28:14week
- 28:15describing in incredible prose
- 28:17this find of a wine. And you click a
- 28:20button and they add it to your box and
- 28:22then three times a year they ship you
- 28:24whatever wines you've put aside.
- 28:27And here's a business run by one guy
- 28:29with a few assistants doing $30 million
- 28:32a year in revenue and with enormous
- 28:34amount of profit and so much leverage
- 28:36cuz he can walk into a winery that's
- 28:38struggling and buy all their wine.
- 28:40Right?
- 28:41Well, famously
- 28:43he sent a note and a press release out
- 28:45saying, "We're not taking any new
- 28:47sign-ups.
- 28:48We're done."
- 28:49Because it's enough.
- 28:51Our goal isn't cuz he wouldn't be able
- 28:54to keep delighting people
- 28:56after 130,000. He had 130,000 email
- 28:59addresses. He can't get enough great
- 29:00wine for more people. That's about
- 29:03better,
- 29:04not louder. It's about better. Those
- 29:06130,000 people showed up and showed up
- 29:08and showed up. $30 million a year's
- 29:10worth. That's enough.
- 29:12And so, when you have this bottomless
- 29:15pit for attention, this need to just one
- 29:18more click, when you got people who
- 29:20you're measuring on how much did they
- 29:22get the word out,
- 29:23don't be surprised that you're starting
- 29:25to reach average people. And average
- 29:27people aren't going to buy your
- 29:28software, and average people aren't
- 29:29going to buy your book, because they're
- 29:31average. They chose to be average.
- 29:33You're looking for the other people,
- 29:35the ones who are going to talk about
- 29:36you, the ones who are going to challenge
- 29:38you to do better, the ones who are going
- 29:39to eagerly pay more for better.
- 29:42So, when you pick your customers, you
- 29:43pick your future.
- 29:47I think uh
- 29:48a lot of what you're talking about is uh
- 29:51the acts that you take should have
- 29:52meaning,
- 29:53uh and that meaning shouldn't have to be
- 29:55measured by the easiest thing to count.
- 29:58Yeah. It's a a big a big part about it.
- 30:01Um
- 30:03you know, what what do you think is kind
- 30:05of the next
- 30:07the next evolution for marketing, right?
- 30:09You know, there's uh you know, you talk
- 30:11about email marketing, organic search
- 30:13was it for a while, paid social.
- 30:15You know, what are some of the things
- 30:16that you're you're sort of thinking
- 30:17about? And now, I'm in tactics land, I
- 30:19get that, but like what what do you
- 30:21think is sort of the the next evolution
- 30:24uh in
- 30:25you know, marketing?
- 30:27I'll tell you what it's not.
- 30:29It's not tricking
- 30:31Chat GPT to recommend your stuff to
- 30:33people
- 30:34by somehow inserting code and whatever.
- 30:37There there are plenty of people who
- 30:38want to sell you that today. They have
- 30:39no clue what to do.
- 30:41I think
- 30:42when we add AI to the equation,
- 30:45many people are going to use it to just
- 30:46make everything cheaper.
- 30:48And some people are going to use it to
- 30:50make it better.
- 30:51To invite somebody to be in a community,
- 30:53eagerly participate with a
- 30:57company, you know, just to to brainstorm
- 30:59something I thought of 2 seconds ago.
- 31:02I can take pictures of
- 31:04my entire tool chest, the mess that is
- 31:07my basement.
- 31:08I can upload it to a company that makes
- 31:10tools that I trust. And I'm working on a
- 31:12project. And now I can say,
- 31:15"Hey, I'll just put it in uh I don't
- 31:17know the name of it uh uh
- 31:20Techless. Hey Techless, uh
- 31:22I'm working on this and I can't find
- 31:24piece X."
- 31:25And it has seen all my tools. And now it
- 31:27could say back to me, "Oh, it's right
- 31:30over there next to the the widgets." Or
- 31:31it could say, "You don't have that tool.
- 31:33Would you like me to get it to you by
- 31:35tomorrow?"
- 31:37The more I teach it, the happier I am.
- 31:40The more I teach it, the more their
- 31:42brand is worth to me. The more likely it
- 31:44is that I don't go to Amazon and buy the
- 31:46cheap one.
- 31:48And the idea that a brand can have
- 31:50someone standing right next to me doing
- 31:52a service for me that I want them to do
- 31:55is a whole new level of permission.
- 31:58And
- 31:59eBay doesn't have permission with me
- 32:00like that. Quicken doesn't have
- 32:02permission with me like that. Very few
- 32:04companies do cuz they're all skulking
- 32:06around in the background spying.
- 32:08AI will have do some of that, but the
- 32:10real opportunity is to show up and be
- 32:13welcome and be missed if you are not
- 32:15there.
- 32:16Wow.
- 32:17I think you uh uh
- 32:20probably just said one of the most
- 32:22useful uh ways of using AI
- 32:25that I would love. You know, any project
- 32:28that you're working on, if it knows you
- 32:29that well, can make that recommendation.
- 32:31I mean, that's a that's a pretty rad uh
- 32:33use of AI.
- 32:35You know, I I you've been I don't know
- 32:38One of the things you said um
- 32:41in our our pre-conversation
- 32:44was that you're like I I've talked for
- 32:4520 years, you know, I've I've done this
- 32:47a lot. I you know, and that's why you
- 32:49said sort of the no rehearsal thing.
- 32:51Um
- 32:53But I you've said so many things and
- 32:55talked about so many topics.
- 32:57Uh what's kind of something new that you
- 32:59haven't really talked about a lot or
- 33:01what sort of what's brewing on the edge
- 33:03of you know, sort of Seth Godin's
- 33:05viewpoint?
- 33:07It's really interesting to watch
- 33:11what causes people
- 33:13to glaze over a little bit and what
- 33:15causes people to get excited.
- 33:17If you talk to people about
- 33:20straightforward
- 33:22fairly simple things they can do to
- 33:25transform their day, they're all ears.
- 33:27All right, what did you have for
- 33:28breakfast? Yeah, I have this new
- 33:29breakfast regimen. But when you talk to
- 33:32them about things that take a long time
- 33:35evolution being a great example their
- 33:37eyes glaze over.
- 33:39And AI is in both categories. AI is
- 33:43here's a hack you can do today. Take a
- 33:46picture of all your bookshelves. Now AI
- 33:48knows where all your books are.
- 33:50And you'll never scrounge around looking
- 33:52for where it is. It knows.
- 33:53Versus
- 33:56are you going to upskill in the future
- 33:57or are you going to be deskilled?
- 33:59Are you going to work for an AI which is
- 34:01going to be a really unhappy experience
- 34:03or is an AI going to work for you?
- 34:06And if you're going to have AIs work for
- 34:07you, you better start hiring them now.
- 34:10And learn how to be a good boss of an
- 34:12AI.
- 34:14And so in the last few months I've
- 34:16developed a bunch of really cool things
- 34:19with AI. Not my writing, my writing I do
- 34:21myself. Um and
- 34:25it's fascinating to me that most of my
- 34:28peers and many of the people I talk to
- 34:30aren't doing that.
- 34:32And for $20 a month, what are you
- 34:33waiting for?
- 34:35Because here's this squadron of summer
- 34:37interns who work for almost for free.
- 34:40They're not that good, but they're very
- 34:41eager.
- 34:42And uh
- 34:44if we can learn how to harness this
- 34:46power
- 34:47then we don't have to be a victim.
- 34:49And I think that shift is right in front
- 34:52of every small business in any field I
- 34:55can think of. And
- 34:57small business people tend to be working
- 34:59too hard to pay attention to what they
- 35:01ought to be doing next.
- 35:05It's amazing.
- 35:06Speaking of uh I think you called it um
- 35:10There's just sort of a long-term view
- 35:11and I I just want to think about just uh
- 35:14you've had a the opportunity to look
- 35:16back on a lot of things and there's a
- 35:18whole future ahead um and when you think
- 35:21about or look at the next generation of
- 35:22entrepreneurs, what do you hope that
- 35:24they choose to do differently than the
- 35:26generation before us?
- 35:29Well, it's going to be heartbreaking if
- 35:31I
- 35:32uh
- 35:32focus too hard on what I'm hoping for.
- 35:35But the book the book I wrote The Song
- 35:37of Significance was basically about
- 35:39saying this.
- 35:40If you have enough technology to be
- 35:41listening or watching this,
- 35:43you won the lottery. You're richer than
- 35:45the last king of France. Not only that,
- 35:47but you have enough freedom to spend
- 35:49part of your day doing something like
- 35:50this.
- 35:51So,
- 35:52why trade that in to hustle for a couple
- 35:56extra shekels when you could do
- 35:58something that mattered?
- 36:00And
- 36:01so when AI shows up and gives us all
- 36:03these
- 36:04leverage points,
- 36:06are we going to use it to come up with a
- 36:08dog walking service that's 1% better
- 36:10than the existing dog walking service?
- 36:13Or are we going to do something that it
- 36:16doesn't have to transform the world, but
- 36:17it should transform someone.
- 36:20That we should show up in a way that
- 36:22people would be glad we did.
- 36:24Cuz our job is not to do our job.
- 36:27Our job is to solve problems, to solve
- 36:29problems for other people, to make
- 36:31things better by making better things.
- 36:34That didn't used to be true. 200 years
- 36:36ago, your job was to feed yourself or
- 36:38you would die.
- 36:39Now, you don't have that problem. We
- 36:40don't I don't know anyone who's starving
- 36:42to death and you probably don't either.
- 36:45And so,
- 36:46we're wasting this moment when we could
- 36:48be creating art and beauty and
- 36:50connection and possibility and also feed
- 36:53our families.
- 36:54I think that getting tricked into
- 36:56thinking that your job is to make Chase
- 36:59Bank happy with your cat with your bank
- 37:01account is a mistake.
- 37:04Well, Seth, it was really awesome to get
- 37:06a lot of your wisdom, be able to help us
- 37:08all along, be able to help all these
- 37:10entrepreneurs along the way.
- 37:12Uh, I just appreciate you, you know,
- 37:14being willing to sit down and talk with
- 37:15us. Thanks for joining us in the studio.
- 37:16This was our first virtual one and I
- 37:19thought it went awesome and appreciate
- 37:21you taking the time.
- 37:22Well, I'm glad I could be a pathfinder
- 37:24here. Thank you for the work you do and
- 37:26this was a great conversation. Thank
- 37:28you, Chris.
- 37:29>> Absolutely. Thanks.
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