In this podcast, Leonard Brody discusses building brands and consumer products in a world of infinite choice and media, and how celebrity plays a role. They explore the integration of Caravan and CIA, the rise of celebrity-led brands, and the potential of blockchain for fan engagement. Additionally, they explore the future of consumer loyalty and how brands can effectively engage their audience through tools like generative AI and gamification.
Celebrities are now actively involved in owning, co-founding, or investing in companies, and the success of these ventures depends on authenticity and a genuine connection between the celebrity and their audience.
Blockchain technology has the potential to transform fan engagement in sports, allowing for deeper connections, direct participation in decision-making, and the creation of structured loyalty plans.
The rise of online purchasing reflects a generational shift in attitudes, with younger generations considering buying products online the norm, while technology has also revolutionized traditional activities like dating.
Deep dives
Tech industry changes the playing field for various industries
The tech industry has revolutionized different sectors, such as Hollywood and streaming. While the tech industry itself may not directly participate in these transformations, it significantly impacts the way these industries operate. For instance, Netflix is considered a participant in the TV industry, leading to questions about rights, production, and payment for content creators. Similarly, the digital age has transformed branding, retail, and consumer goods, requiring new approaches to brand building. Caravan is addressing these shifts by co-founding celebrity-led companies and providing the infrastructure and expertise to scale these ventures.
The rise of celebrity-led brands and the importance of authenticity
The podcast explores the rise of celebrity-led brands and the shift from traditional celebrity endorsement. Celebrities are now actively involved in owning, co-founding, or investing in companies. For example, Kim Kardashian has her own private equity fund, while Blake Lively owns alcohol companies. The success of these ventures hinges on authenticity and a genuine connection between the celebrity and their audience. Celebrities with engaged audiences who understand their fans' interests and values can leverage their influence effectively. Additionally, it is crucial for celebrities to embrace the entrepreneurial mindset and take their involvement in these ventures seriously.
Blockchain technology and fan engagement in sports
The discussion highlights the potential of blockchain technology in transforming fan engagement, specifically in sports like Formula One and football. Blockchain could enable deeper connections between fans and their favorite teams, allowing for more direct participation in decision-making, such as game day or transfer market decisions. Blockchain can also facilitate the creation of structured loyalty plans, where fans become active participants in the revenue ecosystem of the brand they support. Furthermore, the technology allows for modernized co-op models, granting fans a voice and decision-making power similar to what they had in the early days of community-owned sporting clubs.
The Shift in Online Purchasing Habits
Over the last 25 years, the e-commerce landscape has witnessed the progressive acceptance and purchase of various goods and services online. While some items, such as books, were easier to sell online initially, the penetration of different types of goods has gradually increased. This shift in consumer behavior reflects the generational change in attitudes towards purchasing online. For younger generations, buying products online, including makeup, is the norm, whereas older generations may still have reservations.
The Impact of Technology on Consumer Behavior
The advancements in technology and the rise of the digital era have significantly influenced consumer behavior. Online dating serves as a prime example of this change. A longitudinal study conducted at Stanford revealed a significant increase in online relationships, with over 50% of new relationships formed in the US in 2021 being initiated online. Additionally, technology has had an impact on traditional activities like dating by altering the means through which individuals meet potential partners. The advent of technology has also paved the way for new possibilities in engaging customers and creating small communities around brands and artists.
A conversation with Leonard Brody, Co-Founder and Executive Chairman of Caravan. How do you build brands and consumer products in a world of infinite choice and infinite media? And how does celebrity fit into that?
