Shark Tank Investor Destroys YouTuber Products transcript

I've generated over 10.2 billion dollars in sales and became one of the youngest sharks on Shark Tank. And this is Brian Johnson's snake oil. This is Ben Azelart's backflip cereal. [music] And this is Bures Scales Trenches. And while these guys have massive audiences, some of them know nothing about business. And I'll be breaking down each of their businesses. The problem is here, I just get two packs [music] of the same and uncovering small tweaks that could unlock millions of dollars in profit. >> This is Trenches, a sugar-free hard candy loaded with caffeine, L-theanine, and L-tyrosine.

[music] And it's designed to help you log in. It's from a guy named Bures Scales. >> Never heard of him. >> Well, I'm about to tell you about him. >> All right. >> A 22-year-old freelance brand scaler. And this bag retails for $27.99 for 30 candies. The first drop sold out completely in under 48 hours. [music] But he has gone on record and stated that he wants to scale this business to $100 million. And >> And he's the scale daddy.

Can I try it? >> Certainly can. [music] >> Smells good. Mhm, actually, I'm not going to say it tastes like chemicals, but I can taste that there's definitely something in there that is not sugar and just flavoring. So, first up, if I was going to think about where would this actually be placed in a retail store? If we're going after a nootropic market, would this be able to convert me? And right now, no. And look, while I think that this is a business that's probably [music] going to struggle to get to eight figures in its current form, let's take a look at their funnel and exactly how they're selling it and what I would do to scale this puppy to be on nine figures.

Alrighty, so it's time to go full-blown internet marketer mode and rip this funnel to living shreds. [music] What have we got here? 538,000 subs, not bad. 1K videos. I launched my $100 million candy brand. $100 million, huh? >> He posted a couple things about it and it's it's going ham. >> What's that say, 13? >> $13,000. Everything is relative, but I would not say that is going ham, homie. All right, I got 6,000 followers on TikTok.

These things are ripping like 100,000 views a video. Let's look at this one. This is the most popular one. >> Cuz we ship orders every day. This The The day that you order >> That's what most people do, bro. >> [laughter] >> Bro, it's like if you're not shipping orders every day, like that's not a unique selling proposition. We arrive on the website. Looks pretty bare-bones, like a skeleton Shopify store, to be honest.

But, I do like how homie's got two different price breaks here. We've got the one pack at $27.99, and then we've got the two pack. However, the problem is here. I just get two packs of the same [ __ ] And as what I can see here, there's only 137 reviews. Pretty low, right? So, just looking at this product page, I would say that it is not very enticing. I don't feel like, "Man, I I really want to try them. They look delicious." And this is super super short-form copy.

So, we're going to use a website called SimilarWeb, where we can go over and see what kind of traffic this guy's pulling. So, you can see here, on average, about 15,000 visits a month. And you can see 95% of the social traffic is coming from YouTube. Again, no surprise there. He's only running six ads. This is as bad as it gets when it comes to ads. >> I got a new one in my mouth, and it tastes a whole lot better. >> Does that mean the other one tastes [ __ ] Specifically for someone called Brett Scales, this is not going to be scaling anything. >> [screaming] >> Let's just say that homie gets, on average, 13,500 visits a month.

[music] At a 1% conversion rate, that's 135 orders per month. Now, his average order value on this, let's be a bit generous and say that his average order value is $32. So, that means that, give or take, he's going to be doing about 4,320 bucks a month, or 51,000 bucks a year. All in all, this is not a $100 million candy brand. It's not even close to that. All righty, so this is how we are going to juice up this guy's funnel and actually get him doing some meaningful revenue.

So, first of all, when we look at the site, we are going to be launching multiple flavors. It is not going to be hard to launch a cherry flavor, a grape flavor. If that's the whole vibe and we're going for berries. But we are not going to be begging people [music] to buy two packs of the same candy. Then we want to be doing strike through pricing even for the one-time purchase cuz that's going to improve our conversion [music] rate.

Next thing that we are going to do is just juice this page up with long-form copy and video. We need to have a video that basically sells the [ __ ] out of this stuff, right? I'm talking about a 1 to 3-minute video that I get sold. I watch the video, I'm like, "Oh, this makes sense. This actually looks like it's worth trialing." And after doing all of this, we are going to bump up his conversion rate from 1% to 1.45%.

With our price breaks, with adding additional flavors, with putting long-form copy in there, with adding a video, this is going to take his orders to 921 orders per month. With the increased AOV of $45, that's going to be $41,427 a month or $497,000 per year. But this is just one of the tools in our arsenal. Now, we are going to take their numbers predominantly from YouTube and we are going to take their ads that they're running six and we're going to juice these puppies up to 600 ads that we're going to be running.

And this is going to take their traffic to 400,000 visits per month. Now, when we do this, this is where the juice reel comes in cuz we're going to get 5,800 orders per month at the new AOV of $45, that's $261,000 per month or $3.1 million per year. Now we are talking, right? Well, we fixed his D2C funnel. We haven't even got into the all the ninja [ __ ] that I would do with adding one-click upsells. The reason that we're not going to dive too deep into that is because this is a confectionery product.

It is an impulse purchase. Just like the way that Mr. Beast figured out, not many people are going to be buying chocolate direct from my website. I'm just going to close down my Shopify store all together, and I'll put all of my eggs into the retail basket, and that's worked very well for him. But, we are not just going to get our products stocked on the retail shelf and just pray to the internet gods that this [ __ ] actually sells.

No, we are going to launch an army of TikTok creators and pay them a commission or just get them on the books and pay them a monthly salary to be producing content for us and post three times per day. And see, the thing here is not to drive direct to consumer sales. What we want to do is we want to feed the retail flywheel by building so much demand with this younger demographics that these big box retailers like Walmart and Target want walking into their store.

That is how you sell these products. Then, it's time to do the full maximum national retail rollout, where we get this thing stocked in every Walmart and every Target around the country. So, that is going to make the homie Breast Scales an additional $12.73 [music] million. So, when all said is done, we're going to take this itsy-bitsy tiny little business to $15.13 [music] million. That is going to be enough for Mr.

Breast Scales to buy himself a hundred and nine Porsche 911 Carrera every single year. That is a fresh 911 arriving on your driveway every three days. It's the same product, same brand, with these four moves, he can 62x his revenue. Which YouTuber wants it next? >> [laughter] >> This is Bryan Johnson's snake oil, a $39 bottle of olive oil. It was invented by the man who's popular for harvesting his son's blood to help him live forever. >> Thanks. >> And he has started a longevity brand called Blueprint that has raised around $60 million.

Can I try it? >> You certainly can. >> Is that one? Seriously, snake oil, what a fantastic name. Premium extra virgin olive oil. I find myself to be quite the olive oil connoisseur. >> [music] >> Definitely tastes a lot cleaner than what I imagined. Mm, I can taste the peppery kick. It's definitely got a bit of a kick at the end of it. It tastes very, very clean, but it's definitely more refined than I would have thought.

So, I'm pretty impressed with the product to start. Now, let's look at their funnels and see how we can scale this. Alrighty, let's rip this funnel to shreds. First of all, he put out a video to launch this olive oil, and as you can see, it's got 1.1 million views in 2 years. So, not bad. So, we've got a three pack. You're going to be buying a bottle of olive oil at 169 bucks if you're getting a three pack, or the one purchase is 6650.

Then we've got little order bumps here right in the car. I likey. The rest of it is very short form. A lot of reviews though, 651 reviews. So, if we take a look at SimilarWeb, we can see that on average, he's getting around 950,000 website visits per month, which is breaks down to about 250, 200k per week on average. Not bad at all. Now, because he obviously has a very high affinity with his audience for these kind of products, I'm going to estimate that his conversion rate for this product would be 2%.

Meaning that if we look at on average getting 237,500 visits specifically for snake oil per month, that's going to equate to 4,750 orders. Based on his pricing breaks, we can see that he sells one bottle of this product at 6650 Australian. I don't think a lot of people are going to be straight up ordering the three pack. I'm going to give this guy a conservative average order value of $75. Now, if we have a look at what this looks like in terms of top-line sales, it's $356,250 per month or $4.2 million per year in olive oil alone.

Not bad at all. However, let's look at how we can absolutely juice this funnel up to the gills. First of all, you know I'm going to say it, straight-up strike-through pricing on the product. I want the value to be built. Is it usually 95 bucks? Then again, the more that you tell, the more that you sell. So, we're going to add long-form copy on here. We're going to show all of these trials that he's done, but more than anything, I want to see that 4-minute video that's going to do a lot of selling on this actual product page.

I do like the amount of social proof, so there's a hell of a lot of social proof, but I just don't see a huge amount of people balling out and and dropping almost 200 bucks on olive oil. What could we do to get people buying more of this and using it more often? What about that we launch an olive oil protocol? Of like a water fast, and then you break it with the olive oil, and it's a 4-week thing, and in order to do this, you're going to need three bottles.

We got to do something to get people buying more of this, and I think that would be a genius play for Brian. Now, the other thing that I would say from this page is there's not one photo of Brian Johnson anywhere on this thing. Just adding his face alone on this page is going to get the conversion rate bumping up. Not only do I want to see that, I want to see all the people that are tagging him on Instagram holding the olive oil, tasting it, telling us how amazing it is that they've never had olive oil like this in their life before. >> That is so peppery. >> Because right now, this page just feels as sterile as anything.

It's just the product that looks like a bottle of wine and nothing else. I'm going to say that if we do all the things that the Internet Daddy is prescribing, we're going to take his conversion rate from 2% up to 2.6%. Now, in addition to his consumption, I'm not going to go too crazy with lifting his average order value. I'm only going to add an additional $10 taking his average order value from 75 bucks up to $85. So, if we have a look at what these numbers are going to net out in, he's going to be getting 6,175 orders at 85 bucks average order value.

That's going to bring his monthly revenue up to 524,875 bucks or $6.3 million per year. It's just a nice little 2 million bump in olive oil per year. So, the next thing that we're going to do to really juice this puppy up, if we have a look at his Facebook ads. First of all, I like what I see here. My number one longevity tip. But again, it's just not enough ads. Like 38 ads out of these, it looks like maybe four or five of them are olive oil.

And because this product has such a big TAM, I think he's only scratching the surface of what he could do on meta. So, what we are going to do is going to scale the traffic for his olive oil product up to 800,000 [music] visits per month. And the way that we're going to be doing that is just by launching some of his long-form videos that have already performed on YouTube like this one that's got 1.1 million views. And we're just going to move this from his organic engine over to his paid engine.

We're going to add some basic CTAs throughout this ad. And then we are going to start scaling to cold traffic. I reckon with the amount of organic content that he produces, he could go from running 38 ads to running 3,800 ads. And that is going to scale the number of orders that he gets up to 20,800 orders times the new $85 average order value. That's 1.7 million dollars per month, which is 21.2 million dollars per year in olive oil.

So, the additional revenue when all said is done that we generated for Brian is 16.9 million. The homie could buy himself 169 hyperbaric oxygen chambers with that additional change. And the beauty about all of this is is Brian is already doing this stuff. He's already producing content that is super high quality. He's got a die-hard audience base, and he's already got this asset that he's just not using on cold traffic that we're going to move across to the paid traffic engine and scale this puppy up. >> This is Backflip, a kid cereal is from Ben Azelart, a 24-year-old YouTuber with 17 million followers across all socials. >> Big dog. >> Would you like to try it? >> Yes, please.

Oh, all right. Let's take a look here. First of all, great packaging. This is definitely got a whole look and feel to it. No milk, I like it. Just just raw dogging the cereal. That's actually really good. The other thing that I really like is that all the packaging is very unique to the flavor. Overall, I am I'm a fan of the product. I'm a fan of the niche as well. But, being a fan of a product, being a fan of a category is only one thing.

Now, it's time to actually rip into their funnel, have a look exactly how they're selling them, how they're converting all of this attention at the top of the funnel into actual people going in store and buying the stuff. Alrighty, let's rip this funnel to shreds. So, first up, let's just take a look. Before we get into the funnel, let's just take a look at the launch video this YouTuber put together to launch this stuff in the [music] first place. >> The CTA in the last person to leave >> Oh, [ __ ] This is [ __ ] absolute peak YouTube here.

These YouTubers is pretty much whoever can scream the loudest at you, right? They all sound the same. They They all look the same. They look like they were printed in a 3D printer, these guys. >> I'm releasing my very own cereal brand available at Target on July 19th. >> So, as we can see on the video here, he's saying sold in Target. Join us in Target. So, this is very, very clear that the play that this guy is making is not a direct-to-consumer play.

It is a retail play. And I definitely think that this is the right play for him to be making. And so, what I have found from ferreting around on the internet is in the launch they sold 120,000 boxes, which would equate to $718,000 in gross revenue in their first 3 weeks. Not bad at all. But, let's switch gears and take a look at their actual funnel [music] now. First of all, I will say out of all of these YouTubers that I have been reviewing, this is the first guy who's got some video above the fold.

These look like super high-quality animation. And look, this [ __ ] looks delicious. I will say that. Looking at this, I am getting hungry. Flipping Good Cereal, shop now, less sugar, gluten-free, 6 g of protein. Nice anchoring of of what the USPs are of this product. Ooh, I like what I see here. This is a very optimized product page. Ooh, boom. Forced high AOV at six boxes. You cannot be buying one box and it's going to run you $52.80.

And then 20% off subscribe and save. With the strike-through pricing, it's usually 66 bucks a box. And they've also got a 30-day money-back guarantee. My man, I like it. All in all, I would say that the above the fold is nice and optimized. But, other than that, you've got eight reviews. My 9-year-old daughter's got a Shopify store up with more reviews than that. We need to get cooking. All righty, so let's juice up this landing page.

The first thing that we're going to be doing is harvesting a lot more social proof. I would do it be doing some giveaway where we're going to randomly select people that are leaving reviews directly on the website to come out and spend the weekend with this guy, shoot a video with him, all of those kind of things. The children will go absolutely nuts for this. He would get thousands of reviews as he did that. Then, in addition to that, we're going to have strike-through pricing on the six boxes.

We're going to add the video, long-form copy. Then, we're going to basically do like a mini documentary of taking Kellogg's, all the Lucky Charms, all this crap that these kids eat. And we're going to do a side-by-side comparison. We're going to do blind taste test and show how much better our product is. Really juice up this the other guys versus Backflip. If we do all of this stuff and juice this puppy up, you know, you already know that the conversion rate is going to bump up.

I'm not going to go ham on this thing and say we're going to double his conversion rate. Let's just go for a 20% bump. So, we're going to take the conversion rate from 1% up to 1.2%. Now, from the same traffic that the homie's already getting, 312,000, we're now going to convert 1.2% of those visitors at the 66 buck AOV. Yes, I'm not changing the AOV. With our new updated math of 1.2% conversion rate, that brings us to 247,104 bucks per month or a 3 million D2C business.

That's going to bring his new total up to 6 million. And that's just with these changes alone, but you know I'm not going to stop at that, right? So, we look at Ben Azelart's Meta Ads Library, and what do you know? No ads. Absolutely no ads running. It is a complete and utter disaster here. What these creators need to understand, these YouTubers, they're like, "I got all these subscribers. I got 50 million subs. I'm going to launch a video.

It's going to be the best thing ever. My product's going to sell out, and I'm never going to need to promote this thing again." No, no, no, no, no, no, no. The amount of attention that you need in order to actually make a business viable is sickening. And it's not about just promoting it once on your channel. Homie needs to be doing chronic product integration with his product in his short form, in his long form, and then he needs to be taking his best performing pieces of content organically, moving them across to the paid engine.

I'm going to suggest that we are going to spend 1.5 million dollars per month. Ben, before you have a heart attack, you can chuck this thing on Uncle Visa or Auntie Amex, and it's free because it pays for itself in a 30-day period. Now, for the 1.5 million back of the napkin math, that's going to get us 3.75 million visits per month. That plus the organic of the 312,000 is going to be just a just a little pinch over 4 million visits per month.

That at the 1.2% conversion rate at a $66 AOV, that's 3.22 million dollars per month or 38.6 million dollars per year direct to consumer. That doesn't include Target or any of the other channels. going to use Target and we're also going to be using the D2C channel to validate and get into Walmart and get into all the biggest big box retailers because this sales velocity, these buyers over at Walmart, at Kroger, at Costcos, they can smell it.

They're watching these D2C brands and that's going to earn them meetings at those places. Then we're going to 4x the wholesale business. We're going to take that puppy from 3 mil all the way up to 12 million dollars per year. That with our D2C play, that's going to get this guy to 50.6 million dollars. And with the additional 47.6 million dollars, this guy happens to love secret rooms. He'll be able to buy himself 476 fully loaded secret rooms at 100k a pop.

That's a new secret room every single 18 hours. Eat your heart out. If you like this video and you want to see more of them, let me know what YouTuber or creator brands that you want me to tear apart in the next [music] video. Like, subscribe, and I'll see you in the next one. Ben Azarol? Is that how I pronounce this man's name? Azelhart? You better tell me. Otherwise, the army of 13-year-old boys in the comments are going to blow me up.