Dr. James Richardson’s Post

Have you read the book that inspired DUDE Wipes and Once Upon a Farm to become laser-focused on rapid growth via a single core category? As you plan for 2025, make sure you know the principles that consistently drive high double-digit and triple-digit growth rates for consumer brands. It's not about your war chest. It's not about corporate swag. It's not about viral TikTok ads. It's about curious, analytically rigorous minds. And it's very hard work to stay focused. #business #entrepreneurship #startups

"If you're $80 million in sales, you take up your price 10%, and your volume goes down more than 2%, you don’t have much of a brand." Strong brands observe the price inelasticity of the CPG sector as a whole. If your brand is behaving elastically, you have a real problem—you are interchangeable. I recently shared more of my updated thoughts on early-stage CPG growth with Sumit Patil. Listen to where my head is at, given current macroeconomic and funding realities. https://lnkd.in/gUFaD9xd #podcast #startups #entrepreneurship

Believe it or not, doubling retail sales annually can not rely purely on distribution growth...if you want the business to keep growing healthily. You must drive velocity growth at existing stores, enough of them to turbo-charge the business. Don't fall for the national brokered roll-out fantasy...and stop asking brokers to chase 5,000 doors with no velocity growth proof-of-concept. You're not ready... More on today's PGS Blog... #business #startups #entrepreneurship

Being an entrepreneur should be an obligation. An obligation to serve society with something meaningfully better. Not an excuse to capture wealth for the owners. The former attitude also leads to humbler management and a greater likelihood of success through audience-based iteration. #business #startups #entrepreneurship

ROC. Regenerative Organic Certified. Is it the new "certified organic"? Or a dead-end nano-niche for navel-gazing elites? Part of the answer lies in ROC's ability to condemn its cousin 'organic' as inferior while introducing new consumers to the latest premium standard of environmental agriculture. Google search volume for "regenerative agriculture" has grown exponentially since 2017 - a keyboard Skate Ramp of sorts. I can definitely tell you that interest in "organic" never grew this fast in the 1980s and 1990s. The movement relied on human word-of-mouth and episodic PR. It did not take off at scale until the mid-2000s (before high-speed internet was universal). Both word-of-mouth and PR yield far slower results than TikTok and Google SEO. ROC demand is also growing much faster than supply. ROC acreage is now estimated at only 700,000 acres in the U.S., or 13% of the USDA-certified organic acreage (number courtesy of Regenerative Farmers of America). Supply is nanoscopic in the U.S. More than 80% of regenerative acreage is international at this point. Regulatory intervention would accelerate ROC the fastest and reduce prices to middle-class levels. The more significant problem I see is that ROC foods at premium or super-premium prices will cater to an elite who will insist that the products perform vastly better than premium equivalents in everyday usage. In other words, the same audience able to pay and ideologically primed to adopt the ROC standard is ALSO the same group that will hold these branded products to a higher sensory standard. This is the "sensory tax" in premium CPG. It isn't kind to new brands and product lines. Some of the few products I've tried that have paid this "sensory tax" include - New Barn Organics eggs, specifically Dr. Bronner's liquid soaps What ROC lacks that "organic" had in the 2000s is the element of fear. Organic took off due to ferocious word-of-mouth among Whole Foods Moms who were pregnant and terrified of what bovine growth hormones (introduced to the U.S. milk supply in 2015) might do to their fetuses, babies, and children. That is a very ancient fear - harm to my children. Saving the earth from the ravages of climate change may be necessary to some of us, but it is not the same kind of fear that Whole Foods Moms had come into those stores in the 2000s, racing for organic milk. I was there documenting these folks. ROC needs to find a "fear" to tap into that is more immediate than global warming. Will ROC become the next "certified organic"? Let me know your thoughts and the most insightful answer wins a signed hard copy of Ramping Your Brand! #business #startups #entrepreneurship

Hint: replace moralistic purity language with the language of superior quality...the latter is less divisive and fits directly into the dynamics of competitive consumption that drive behavior. Purity talk is ancient, yes, but also divisive. #business #startups #entrepreneurship

When you appear in public…always appear as a peer to the major brands. This is a powerful signaling move for a low awareness brand. It’s the right kind of cocky. Just got my Barbacoa breakfast tacos at Snooze an A.M. Eatery near UC San Diego in La Jolla. “Want hot sauce?” “Yes,Ma’am” She puts Yellowbird® on the counter first. Then Cholula. F*%k Cholula That’s the power of restaurant placement in the right zips…you’ll show up branded as a peer, not an insurgent. #startups #business #entrepreneurship

In my book, I define the Skate Ramp according to the growth curve of an elite tier of brands that double sales annually to attain scale. This is really hard. Not only does the design need to be spot on, market timing in your category needs to be optimized so that you can be the first (or second) to scale nationally. And, you need to be able to turn on distribution steadily at an ambitious pace (for those new to the industry). Not crazy fast, but fast for an inexperienced sales team. It's NOT really important in the long run to double your sales annually, if you can at least grow them 50% annually. My client roster includes some famous brands who understand this. The difference in terms of getting from $1M to $100M ARR is only a matter of a few years. Given that major chains are LESS likely to send you national than in the 2010s (when they were naive about premium CPG brands), it is harder to explosively open doors and, therefore, harder than ever to stay on the Ramp in retail. So, the burden is now on market timing more than when I wrote the book. The Skate Ramp appears more rare to me in the market today, but it is still achievable (especially with a strong e-com inclusive launch and killer digital awareness building). At the end of the day, the principles of getting on the Ramp work for ANY early-stage brand, because following them will make your brand more memorable with consumers. Whether you grow 15% annually or 100% annually more likely comes down to the strength of your INITIAL seed money, cash flow and working capital situation. So, plan your financial footprint much harder, and you may still be able to Ride the Ramp in the 2020s. I see Skate Rats every time I get access to POS data from clients. Every time. #business #startups #entrepreneurship

Very unpopular opinion. Stop pitching. Just stop. Pitching signals a position of weakness. It invites charity. It invites manipulation. It gives all the leverage to the dominant party. And you have lost all possible leverage when you do this. You didn't "pitch" your life partner (I hope). You behaved in an attractive manner (even if, as in my case, it was just long enough to generate a ring exchange). Stop pitching. Instead, build a movement. You...use verbs like Network Announce Promote Give Dance Yell Laugh Attract I just listed the verbs that, over time, build awareness and enthusiasm. Winning a pitch contest establishes nothing other than your subordinate status to the panel judging you. Just entering is a mistake. Although, most will forget you did this...mostly, you wasted valuable time, the founder's absolutely most precious resource. HINT: I built my current business ignoring ALL the major industry stakeholders except those who endorsed my book. And I networked into those limited blurbs as a peer. I basically invited them to an 'opportunity.' I didn't pitch them. It will piss some off, but this is unlikely to stop you in today's world. #business #startups #entrepreneurship