In short
Podcast Summary: Finding Peak with Ryan Hanley
Episode Overview Title: How Honey, Hustle, and Hard Lessons Built a $10M Brand | Jack Espy Description: In this episode, Jack Espy shares his entrepreneurial journey, detailing how he turned a job loss during the COVID pandemic into a $10 million beverage brand focused on health and wellness using honey as a sweetener.
Key Themes and Discussions
- Jack Espy's Journey
- Initial Setback: Lost his job during COVID, leading to the exploration of creating his own beverage brand.
- Accidental Discovery: While mixing cocktails at home, he realized the potential of honey as a natural sweetener for beverages.
- Founding of Brands:
- Spirited Hive: Launched in 2020, focused on honey-sweetened canned cocktails.
- Strive Soda: Introduced later, aimed at creating a better-for-you soda option.
- Core Concepts of Entrepreneurship
- Turning Failure into Success: Jack emphasizes that early failures provided valuable lessons that shaped his business acumen.
- Naïveté as an Asset: His lack of initial knowledge about the beverage industry allowed him to approach challenges with a fresh perspective.
- Importance of Learning: Continuous learning from mistakes and adapting strategies is highlighted as crucial for success.
- Marketing and Distribution
- Challenges of Distribution: Discusses the complexities of getting products on shelves and the importance of maintaining velocity—how quickly products sell once on the shelf.
- Smart Growth Strategy: Jack advocates for a slow, focused growth strategy in a few key markets rather than spreading too thin across many.
- Cannabis Industry Insights: Lessons learned from the beverage alcohol space could apply to non-alcoholic ventures, with a focus on sustainable growth and profitability.
- The "Better for You" Movement
- Defining "Better for You": Jack explains that better-for-you products should focus on ingredient quality rather than just calories.
- Honey as Differentiator: Both Spirited Hive and Strive Soda leverage honey's health benefits, setting them apart from competitors using artificial sweeteners.
- Navigating the Beverage Market
- Understanding Market Dynamics: Jack explains the varying laws and regulations across states that affect distribution and marketing.
- Competitive Landscape: He acknowledges the rising competition but sees it as beneficial for raising overall awareness about healthier beverage options.
- Future Aspirations
- Expansion Plans: Future plans include new product lines and possibly becoming a beverage brand incubator to introduce additional products.
- Community Building: Both brands focus on creating a community around their products through lifestyle marketing and events.
Key Takeaways
- Entrepreneurship is a Journey: Success is often built on early failures and the ability to adapt and learn.
- Focus on Quality: Prioritizing quality ingredients and a strong brand message can differentiate a product in a crowded market.
- Growth Strategies Matter: Sustainable growth strategies that focus on depth in select markets can lead to long-term success.
- Need for Continuous Engagement: Maintaining visibility and engagement with consumers is vital in the beverage industry, especially with the competition.
Connect with Jack Espy
- Spirited Hive: [Website](https://www.spiritedhive.com) | [Instagram](https://www.instagram.com/jack_espy/?hl=en)
- Strive Soda: [Website](https://strivesoda.com/)
- Personal Contact: [Jack Espy on Instagram](https://www.instagram.com/jack_espy/?hl=en)
Conclusion In this episode, Jack Espy shares invaluable insights into building a beverage brand from scratch, focusing on the importance of quality, community, and strategic growth. His journey from a job loss to launching successful brands is a testament to perseverance, adaptability, and the power of innovative thinking in the entrepreneurial landscape.
Written by AI. May contain mistakes. Listen to the episode to check what was said.
Transcript
Automatic transcript. May contain errors.0:00Happy Holidays! Want to give your host a gift? Consider subscribing, rating, and reviewing the show this holiday season. it really helps the show grow. From all of us at Believe, have a Merry Christmas everyone and a Happy Holiday.
0:18I wouldn't be where I am today if I hadn't made those, you know, mistakes. First two years, I wouldn't change it for anything. It took a lot, a lot longer for us to get to market because I was trying to learn as I went. I had to make those mistakes. Going through all those pitfalls and speed bumps along the way got us to market in a way that, you know, the product was amazing.
0:47What is it about honey? Because it seems like everything you do is honey related. And obviously you've tapped into a differentiator in the various beverage brands that you have that we're going to talk about. And I want to dig into them and really talk about your entrepreneurial journey. But what was it about honey as a sweetener that you decided to really leverage it as much as you have as a differentiator in your brand? Totally. Yeah. I mean, I get that question a lot. It's funny because I've always loved honey ever since I was a little kid. You know, from putting it into, you know, I mean, even today, I wake up, I put, I don't know if you've ever tried this, but honey and coffee.
1:31Yeah, that's, that's my main sweetener. Then I put it on steak. I mean, I pretty much only eat meat and fruit and I put, you know, honey on steak, I put it on everything. And how it all kind of started was, it was in the middle of the pandemic. And the job that I just had out of college, I ended up losing it, which was in real estate finance. And what do I do at this time? Like everybody else, I was at home mixing up one too many quarantine cocktails. And one night I was mixing my two favorite drinks at the time, which were Moscow mules and Mexican mules. And I was making these drinks to my friends and they're like, damn, Jack, like these drinks are really good.
2:08Like you should can them. And, you know, little did I know, I didn't know anything about business. I knew nothing about you know starting a company or anything like that and you know naive me was like well why not take a stab at this so we're all thinking about different names for this new brand that I was going to create and I was like well what about the name mint bee and they all go dude that is the stupidest name I've ever heard of but why mint bee and I was like well you know because there's a mint and a moscow mule and bee because moscow mules and mexican mules are sweetened with honey. And they're like, what are you talking about, dude?
2:44So little did I know I was making these drinks wrong. But because I have that honey addiction, I was just happening to sweeten my Moscow meals and Mexican meals with honey, not even knowing that that wasn't even an ingredient. And then to your question, that's kind of when the light bulb went off my head. And I was like, well, what if I took a different approach to this whole industry? And instead of sweetening these drinks with, you know, synthetic sugars, like aspartame, sucralose, et cetera. Even like, I don't like the taste of Stevia. And I know a lot of people also don't like that taste. I was like, well, what if I sweeten it with the world's first natural sweetener, which is honey and it tastes amazing.
3:20So that's how I started spirited hive. And also, you know, ended up sweetening the brand with honey. And then also my other brands drive soda, sweetened that brand with honey as well. And spirited hive was first, correct? That was first. Yeah. So that was my first point at creating a brand. I started with that brand and built that up. And that started in 2020. Got that to market in May of 2022. So it took about two years to get it on the shelf. Built that brand as a Tennessee, so a Nashville-based brand. One thing that's always been a pillar in my life is health and fitness. And I always wanted to create a better food beverage within the soda category.
4:03Because as I was building this brand, I saw the same thing happening in multiple other beverage spaces. Like a lot of like better for you, which was all about calories and low sugar or no sugar. And for me, I was like, well, that doesn't mean it's better for you. Just because it has zero calories and zero sugar doesn't mean it's good for you. It means you're, you know, ingesting different ingredients and synthetic ingredients, which I don't want to have in my body. So that's why I started Stripe Soda, which was a better for you soda that was using honey as a sweetener and also, you know, aiding in hydration as well.
4:38Because we walk around dehydrated every single day without even knowing it. So why not have a great tasting soda that also hydrates you throughout the day? So talk to me about those first two years, because that seems like you got to have a lot of faith. building a brand for two years before you actually put it out into market and actually make, you know, try to make any money on it. So what were those first two years like in getting this thing off the ground? It was a lot of, at the time I thought it was a lot of failure, you know, because I was like, you know, throwing all the spaghetti at the wall and nothing was sticking.
5:12I was trying to figure it out. I knew nothing about the beverage alcohol industry. I knew nothing about starting a brand. I knew nothing about being a founder. I knew nothing about being a leader. all these different things. And it was, it took a lot of time to get the product to where I wanted it to be, because I didn't want to just release a product that had okay branding, had an okay product, like tasting product. I wanted everything to be perfect. And it took a really long time to get there. But all these failures, which now I've, you know, framed my mind a little bit different to look at these failures as lessons, you know, because all those lessons that happened over those first two years, I wouldn't be where I am today if I hadn't have made those mistakes or if I hadn't have learned those lessons.
5:57So first two years, I wouldn't change it for anything. I think it took a lot longer for us to get to market because I was trying to learn as I went and I had to make those mistakes and I had to learn those lessons. So it took two years to get there where a lot of other founders who have been in this spot before may have been able to get a product to market in six months or a year. And realistically, it was more like two and a half years to get there. But again, you know, going through all those pitfalls and speed bumps along the way, got us to market in a way that, you know, the product was amazing.
6:31But also to I learned so much along the way, which I would have made those mistakes, you know, at some point, but I'm glad it happened early on rather than obviously now. Now, when you got to Strive Soda, were you able to take those lessons learned building Spirited Hive and get out to market faster? 100%. Yeah, we turn that brand around a lot quicker. And still, you know, we're still tweaking the product to this day. I mean, we released with one, you know, one point of branding about a couple of months ago, we're already tweaking it to something and we're probably going to tweak it again. And it's just always changing.
7:07But we got that to market much faster because I knew the blueprint you know at least I created that blueprint that I was like okay cool like let's do exactly what we did you know subtracting all these pitfalls that I had to get this product to market a lot quicker whereas before the blueprint was nothing I was like I have no idea what I'm doing I'm just trying to figure it out as I go what was one of the big uh obstacles in with spirited hive that you were able to step around with a strive I think the biggest thing was hmm that's a good question I think the biggest pitfall for me was figuring out the steps that were involved from having an idea to creating an idea in your kitchen or creating a product in your kitchen then producing that on a large scale and getting that to market to then get that on the shelf you know I think for me that was I saw that as one big hurdle not all like small little hurdles And that's kind of what I broke down in my brain was that's not one big hurdle.
8:09We had to break that into multiple steps, conquer each one of those steps to then get the end goal of getting it on the shelf. And once I broke that down, cause now I knew, you know, how to get a product from an idea to, you know, having package design, having, you know, printed cans and getting that product produced to then, okay, like now we have to get this in front of some distributors. Maybe we start selling it independently, which now we can do cause it's not the beverage alcohol market. So that was like a whole like, oh my gosh, this is amazing. Like now I can actually sell to Ryan if you had like a convenience store like that, which we couldn't do with beverage alcohol.
8:44So everything was definitely expedited a lot quicker in that process to now people can actually have it on the shelf and purchase it a lot sooner rather than me trying to figure out all that out with Hive not knowing where to turn next. Once I completed one step, I was like, okay, now what do I do? I have no idea. Yeah, that definitely helped. That makes a lot of sense. So, you know, I think one of the areas of entrepreneurship that I have not spent a lot of time is retail product creation. So versus, say, a tech startup or a professional services startup, et cetera, what are some of the unique characteristics of creating a retail product that you think, like, most founders or entrepreneurs in that space?
9:31like when I think about this, I'm like, you know, I've had a million ideas for something you make in your, like you see, you make something in your kitchen, you come up, it tastes good. People tell you to, I mean, people say that crap all the time. Right. But you heard that and you turned it into something that we can now buy on shelves at stores. What, where do you think most people start to go? Right. It just feels like such a big leap. Like, I don't know why. And maybe it's just because of the space that I'm in, coming up with an idea for a tech product or an app or something and getting it out into the market, like it makes a lot of sense to me.
10:04But with a retail product, it seems so overwhelming. Like there's so many cans and so many gas stations. And how do you get that shelf space, which I know is really tough to get? How do you like all it seems like this monumental effort to get a retail product on shelves and actually have it consistently be bought. So like where were those places where you were able to get past that step where most people kind of get dashed across the rocks? Yeah, I mean, the two biggest things in this industry is distribution and marketing. You know, you have to get the product on the shelf and then you have to leverage marketing to pull that product off the shelf.
10:44And I think a lot of these brands, and I'll kind of do like a big full circle to answer your question, is a lot of these brands today that may have a successful product to getting it onto shelf, but may like, because a lot of these brands try to go big super quickly. So they're like, oh, we'd have this new beverage. We just raised$30 million and now we're trying to go after all 50 states or all, you know, lower 48 states. that's great and they may put up some really good revenue numbers for the first maybe 18 months but the big thing is is just getting product onto shelf doesn't mean anything when when things actually come in and like oh wow that brand's actually doing well is when they start to get repeat orders and their velocities are going up and velocities i mean purchasing points of purchase per store.
11:35So like if your velocities are, you know, two, three, four cases per store, okay, now you're doing well. But if you just try to cast a really wide net and try to leverage your points of distribution without leveraging your velocity, then your company's going to implode in a matter of no time. And we just kind of saw that over the past couple of years. There's been a big restructuring within the beverage alcohol space, mainly within cans, because so many brands try to cheat the system and go after growth rather than profitability. So we're taking a different approach at that. And it's why we've been around for five years is because we're taking a slow approach where we're trying to grow market over market independently rather than cast a really wide net and go after multiple different states at one point in time.
12:22Realistically, we're such a small company that we couldn't do that. I could have the ability to raise a ton of money and go after a bunch of states, but it wouldn't be done in a way that would make sense and grow because we want to own each market that we go into. Like Nashville, Tennessee, like we're slowly starting to own that market. And we've been in there for three years now and it's taking that long. So it takes a long time. And to your point, it is that daunting. And I didn't know that. And I was super naive to this industry before getting involved in it. And sometimes it's beautiful, beautiful to be naive because if I knew all the headache and all the hoops to jump through, I wouldn't have gotten involved in this industry.
13:02I would have done something else. But, you know, I think it's beautiful to be naive because I am doing it and I love what I do. But to your point, in some states, it really is like you have to attack every point of distribution you have and you have to manage every point of distribution you have. So it's a huge task and it's a huge undertaking to be able to grow So a product that actually is like a viable product over time. So those two things have to work hand in hand, distribution, getting product on shelf, and then marketing, being able to have good marketing techniques and campaigns, et cetera, to get that product pulled off the shelf.
13:40Because then people are going to come back for more. I mean, that's the biggest thing is like if your product tastes good enough, if you get them to buy it the first time from a campaign or great shelf placement or whatever that is, they'll keep coming back. But the thing you have to worry about is the other products that are coming to market because it's a fickle industry. Some people will be like, oh, yeah, I love that high product. But did you see Surfside just came out and they have a new thing? Let's go try that. And then, you know, it's always it's always working. Yeah. So that's interesting.
14:09So the idea there would be you'd rather be on every you'd rather have a shelf in every store in a market than be in a couple stores and a whole bunch of markets. and while it may look better on like a scatter plot, right? Like at the end of the day, that density create, like people are seeing it everywhere. They can't get away from it. Every gas station they walk in or every beverage store they walk in, et cetera, depending, you know, that's kind of the idea is be very dense in one market and that's how you get traction. Yeah, what we look for is like whenever we're doing a general sales meeting or talking to distributors or sales reps or whatever it is, it's always, we don't want to be everywhere.
14:49We want to be in the stores that are actually going to sell our product. Because a lot of these brands go into these general sales meetings and they pitch like, okay, we're putting a sales incentive on X amount of pods and pods are points of distribution. So they're going to go out there and they're going to get all these pods. But, you know, of the, let's say, 200 pods they get, only 75 are good accounts that will actually keep your velocities up and keep selling your product. So when I go in with my head of sales, we take the approach of, hey, we want to go after your top A and B accounts. We will put a great incentive plan together for you guys to get those 75 accounts.
15:29And then we're not wasting money on the other 125 that maybe get a single purchase through, but then never reorder again. And then take that same mentality across multiple states that, because we want to live within an ecosystem of around 8 to 12 states. We're in six right now. We only want to expand to eight to 12 states because then the idea is to get acquired. And if there's not enough meat on the bone for one of these beverage acquisition companies to come in and be like, oh, wow, you're in 48 states, but your velocities are one case per store, they'll sniff through that immediately rather than, oh, you're in eight to 12 states.
16:10you're doing six cases per month in each one of your stores that's a viable product and there's enough meat on the bone for them to come in increase you know economies of scale decrease cost of goods put you through their whole distribution pipeline and they can do that overnight whereas i can't obviously so that large uh like beverage roll-up that organization has is is obviously pulling in all the shared services into one so they have like you say economies of scale but then they also have the uh like a tried and true uh distribution model set up that they're requiring you to basically plug your brand your product into this machine that they've built and then that machine goes out and almost guarantees the distribution to a certain extent as long as the product is good and maintains its quality is that kind of the idea pretty much yeah it depends on the beverage acquirers you know there's like the big five which you know i'd love for them to come in at some point because then that is what they do you know there's other ones that don't have that distribution or the you know cost of goods to lower that but for the most part like the big five or six you know like constellation diageo gallo those kind of big brands they can easily do that and then also too you know i think something that um is uh is interesting is you know one big piece of the puzzle is if you're in all 48 states these big partners work with certain distributors so if you're signed with you know 48 distributors and of those 48 they work with 22 of them crap now we're gonna have to spend all this money of getting the this brand out of these contracts to then sign with them in the states that make sense to us that we work with, that could be like a no-go on a deal.
18:05So there's all these different things that you have to kind of work through and think about rather than, oh, you know, Rhode Island wants to bring us in. Let's go with Rhode Island. And before, like three or four years ago, I was doing anything to get distribution. I didn't care about velocity. I was like, it doesn't matter. Let's just get as much distribution as we can. I need to satisfy investors. I need to make sure that we're still going, going, going and growing month over month. Whereas now I'm like, okay, we got to think about this strategically. What states are actually going to do a good job for us?
18:38What distributors are going to do a good job for us? And how can we work together with these distributors to hit our velocities? And that comes down to us at the end of the day, not them. They can help us get there, but it's all about us working as a team to increase velocity, increase sales month over month. So now, since I'm learning so much more about this industry, I'm taking a different approach than I was three, four years ago. Now, did you start the business with selling in mind or was that something that as you started to get into it, started to understand the beverage marketplace as a whole that you were kind of like, look, we need to be thinking about how this is packaged up because a lot of the things that you're talking about I don't know that a lot of people would think that far out ahead while they're in growth mode, right?
19:28A lot of people would just be like, grow, grow, grow, grow, grow. We'll figure it out when, you know, when that becomes a problem. But it's seemingly you are taking a very thoughtful and tactical path to set your business up to be as well positioned to be bought in the future as possible. why that mentality versus just as you've kind of stated growth at all costs get revenue up like take every opportunity you know was that a mentor was that something you just came to like I feel like that's a fairly unique especially this early in your career that's a fairly unique perspective definitely mentorships I mean like I've talked to a bunch of people that I've met in the founder space within beverage and their biggest piece of advice and it was like it was funny because like the first time I heard it I was like what the fuck is this guy talking about I was like no like I'm gonna grow as fast as I can and then kept on hearing it from founder to founder to founder because it's not sustainable you know and that's the thing is like if you're in this space the margins are too thin for you to grow that quickly without having to raise a ton of money year over year or quarter over quarter or whatever it is where it's like you can be digging that hole very, very quickly if you want to grow that quickly.
20:47So it's all about how quickly do you want to grow. And again, things have changed a bunch within this sector in the past, and it's expedited in the past three years. I mean, like three years ago, we saw a bunch of brands get acquired because they were just chasing as many cases as they could get. It didn't matter what their velocities were. I mean, obviously, you still want to have good, strong velocity, but they were going after pods. It was just like, how many pods can we get? Let's grow this thing. And a lot of these beverage acquirers were like, oh, wow, look at these brands. Let's eat as many of these up as we can.
21:21And in the beginning, I was like, let's chase growth. Let's go after growth as fast as we can. But the industry slowly started to change because it was like, this isn't going to be like that. It's almost like the craft beer boom, back 15, 20 years ago. It's the same exact thing. Whereas like a lot of brands got ate up pretty quickly and then it was like, okay, wait, hold on. Now we need to see the viability of this, not only these brands, but the industry in general, the ready to drink canned cocktail industry. Because like you look at soda, the soda space is completely different than what I'm talking about with Hive.
21:54Like Hive is specifically beverage alcohol. And it's changed. And in those changes, that's when I've changed my, you know, strategy is let's grow slow. Let's grow smart. let's go a mile deep and an inch wide rather than the opposite and let's see what happens you know let's keep going after these velocities and putting these small little like almost like goals in place which like hey let's try to hit this velocity in this state let's try to hit this velocity in this state let's try to get this campaign off the ground let's keep doing this with the end goal of year over year trying to get a certain case goal because case goals still matter to us but it's like, how did you get there?
22:31Because, and sorry if I'm spitting so much like kind of beverage knowledge. No, this is great. Thank you. But like, there's two ways to get to end revenue, or end case goals. You know, you have your points of distribution and your velocity, you can have a super high point of distribution with a low velocity gets you there, or you can have vice versa, or you can have both in the middle. And that's what we're going for is like both in the middle, balancing each other out to where it's like, okay, it's showing that we have steady growth from a points of distribution standpoint that we're going after more points of distribution with a good velocity with us.
23:05Because if a beverage acquirer saw that we were just going after points of distribution, they'd be like, no, I can smell through that. I know exactly what you're doing. But if it's too much the other way, it's like, okay, you're not growing quick enough. Like, why aren't you growing faster? Why aren't you opening up new markets? Because they want to see both working in tandem. So yeah, I don't know if that answered your question. No, I think that's phenomenal. And I think it translates to many other businesses. So my home industry is the insurance industry, specifically the property casualty industry.
23:37So home and auto, commercial insurance, stuff like that. And the exact same thing is true. It's slowing down a little, but 2020 to 2022 was a huge M &A cycle for insurance agencies. Very similar to what you're saying, right? There's these large roll-up organizations and they're constantly looking for either new brands or new models to roll into this shared service model, et cetera. Exactly what you're talking about. And it's similar but different, right? There's a way to grow an insurance business, an insurance agency that is very attractive to roll-ups. And then there's another way of growing, which would be kind of similar to your focus on point of distribution, where you have a bunch of scattered different policy types, different carriers that you've written with, like accounts that maybe only have one policy, et cetera, that show maybe, yeah, you're growing.
24:28Maybe your top line number looks good, but managing this book of business on the back end is so much work and has so much a cost that you have a lower EBITDA or your margins are lower and now you're less attractive. So what I love about what you're explaining in detail, and details are great, man. Don't hesitate to go as deep as you want, is that the lesson here that I'm taking from what you're describing is you can be an early stage entrepreneur, right? inside of five years would still, I think, be considered early stage, especially since you just launched three years ago with Spirited Hive, was you can be early stage and be thinking about packaging and how you grow to be attractive to potential buyers at the same time.
25:12It doesn't have to be this chaotic, hell-bent on growth, nothing else matters. We'll figure that problem out. Like that's one way to go, but there are all, it also seems like you, you may be exchanging early stage growth and maybe vanity metrics for some ticking time bombs in your business down the road. Is that kind of what I'm hearing from you? Totally. I mean, because for us, like we have to stretch every single dollar we can, you know, cause like, again, like we're still growing, which is amazing. And we're growing in the right direction, which is great. however you know we're still a small brand and I don't want to do any serious raises I mean if it makes sense in a couple years where it's like okay like now to get that next step we're really going to have to bring on like series a and really go after it then you know we'll do it you know whatever it takes but we're trying to stretch every single dollar so we're trying to be as smart as we can on what we can do from not only you know altering current business on hey you know producing what should we do should we continue to produce with this co-backer should we go somewhere else that you know allows us to you know free up some more cash do smaller production runs and um or you know do we increase our minimum order quantities with our distributors like all of that is thought through whereas before i was just like i don't know whatever is the industry standard and i think it's okay to go against industry standards as long as it works for your brand on what you're trying to achieve and yeah i mean it's it's awesome and now like we're trying to leverage market leverage marketing as much as we can now and that was the biggest thing that took us only up until like six months to a year ago to really figure out was like so much of this industry and a lot of these brands think that once they bring a distributor and once the cases get on the shelf their job's done now it's up to the distributor sell it through it's like no you have to put all these campaigns out there you have to get those three points where someone sees it three times for them to buy and that is the hardest part by far i mean like if people think that distribution's hard yeah distribution's hard but getting people to buy your product is very very hard because there's so many products out there like you go to a beverage if you go to total wine you look at the shelf you'll be like inundated with all these different brands like what do you choose you choose the ones that you know you go to high noon because you've seen that go to sun cruising you've seen it it's very high though i've never heard of that why would i buy that you know so that's why we always have to be like in front of the consumer from paid ads to marketing incentives, like campaigns on the shelf, like enter in to win a trip to Nashville or whatever that is, or events, activations, getting people to try it.
27:47So that's somewhere where we've kind of shifted our budgets more towards marketing on helping us go through more product quicker and increase our velocities from a retail standpoint. In my head of sales, you talked about mentors. You know, I brought on my head of sales about a year and a half ago, and he's changed everything because he's taught me so much on not only sales, but marketing as well and how to leverage campaigns to not only get good shelf placement, but also to deplete product at the shelf, like you can kill two birds with one stone. And so it's been awesome. Like, that's the biggest thing for me, you know, with building this brand, not knowing anything about it on the way or starting it is, you know, what can you learn from other people and who can you bring on that you put in the seats that really know what they're doing and can help you get to your end goal.
28:39So how do you do that? Because, you know, I'm thinking about. The holidays are here and that means it's the most wonderful time of the year to save with Rakuten. Use Rakuten to stack cash back from your favorite stores on top of holiday sales. That's savings on savings. With Rakuten, you can get cash back on gifts for everyone on your list. From toys for the kids to kitchen gear for the person who loves to cook to electronics for everyone. You can even save on something for yourself. Just shop the stores you love and cash back is automatically added to your account. and you can get paid with gift cards, PayPal, or check.
29:19Or eligible American Express card members can even choose to earn membership rewards instead of cash back. It's truly a no-brainer. Join for free today and get a new member bonus after minimum qualifying purchases. Just go to Rakuten.com, download the app, or install the browser extension. That's R-A-K-U-T-E-N. Terms and conditions apply. The liquor store that I go to. So again, we'll talk Spirited Hive before we talk Strive, right? And, you know, this is relatively new, last three to five years, but this canned cocktail boom has been, like you said, similar to the craft beer boom. You know, now there's two entire, geez, they got to be 24 foot sections inside this place that are just nothing but, you know, four and 12 packs of canned cocktails.
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30:10so as you as you think about spirited hive and and how you separate like how do you start to craft that message like why would i go with a spirited hive versus a surfside versus a high noon versus a lucky one that dave portnoy just came out with right like like if you're if you're sitting next to those brands like what are the things that you're actually doing as a as a d2c brand to to stand out like what is the marketing what how does the messaging work how does the placement work on the shelves? Like, is it slipping the guy a fin on the side when he's, when he's stacking the shelves or like, how does, how does all that actually work?
30:46Totally. Yeah. I mean, it was interesting because, and it's funny to think back on this, but when I first started this brand, I wanted to be the better, quote unquote, better for you canned cocktail. That's a hundred percent sweetened with organic wildflower honey. So that was our hook, you know, every single time was where the better for you can cocktail a hundred percent sweetened with honey and it's it's stuck with us ever since because like we're more of like obviously our flavors are amazing and they're unique but our big selling point is that we're utilizing a different sweetener to sweeten your product to sweeten our product that isn't synthetic doesn't leave an aftertaste and is a better for you product rather than all these other ones that you know like I just listed and when I first went into my first multiple distributor meetings even to this day I get called out for it they're like better for you how is this brand better for you like your calories aren't super low and although our calories are relatively low I mean we're 7 % ABV around 160 calories so nothing crazy because we're especially at 7 % ABV and I was like well what's your definition of better for you and he was like well like I want to see zero sugars I'm gonna see really low calories and I was like okay cool that's that's great I mean we're going from the standpoint of better for you ingredients rather than calories and it was like this for the first year and no one was really claiming better for you in that space because a lot of the people that drink alcohol don't care but there is a segment of the market that's more of a white space of people who love health and fitness just like myself and probably like you like i don't know if you drink but like for me i love health and fitness but like thursday night i'll probably have a drink tonight with my family or I have a hive tonight.
32:27I have a couple of hives over the weekend. And to me, it's all about balance and embracing the balance in your everyday life. So it took a long time for that to happen. And we've gotten a lot of press around that, which is great. I mean, some of it was kind of negative in the beginning, but now it's turned to more positive. And now you look at the space, everyone is claiming better for you. Even products that have the worst ingredients ever are claiming better for you. And it's like on every packaging across most of the ROTD category. So that was our big call out. But our main call out is that we're 100 % sweetened with honey.
33:04And from shelf placements, like where we can kind of tie people in is one, they like to see that. Two, in Tennessee for us, our big selling point is we're a Tennessee Nashville based company. So a lot of people when they go to Nashville, whether they live there, they want to drink local or if they're coming in they want to experience natural they want to go to broadway they want to do all these different things but they want to embrace that you know honky-tonk vibe and this is like one of our new merch lines we launched is raise on honky-tonk and hive is our is our big thing that we're pushing so they want to drink local and it's like always figuring out like okay what is like a cool campaign that we could do that can be at retail level like eye level that someone sees that have never seen this product before that's like I want to buy this.
33:49And one of the things that we did up in Michigan was we're in a bunch of Meyers up there, which is kind of like the major grocery store chain up there. And one thing we did was the Raise on Honky Tonkin Hive campaign, which is win a trip to Nashville. So you entice the people to come in to see that scan to enter and to win. And then, oh, I'm going to give this a try. Let's see what this tastes like. And we really pride ourselves on that our product's so good that they're going to come back for a second time, but you still have to stay in front of them because it's not so much that your product isn't good enough.
34:23It's what other campaigns are these other brands running that will take their attention off of Hive onto a new brand. So you always have to stay in front of them. And I think to your point earlier, like it's so daunting, this space is you're totally right. And I didn't know any of this. It's like always staying in front of the consumers 24 seven. And it's so hard because you can lose an account like that if you take your eye off the ball. So, and there's so many different ways to get into that, you know, from marketing to, you know, distribution, all those things. But, you know, it's like a dual product approach, distribution and marketing to be able to stay on top of that.
35:03Yeah. The placement piece to me is so interesting because there's another liquor store that I go to sometimes that's like a little more convenient, but it's very small. and all of their products that would be in your category, like they have one cooler, you know, the kind of very standard national brands like a Surfside or a High Noon are in there. And then every other brand is like stuffed in the bottom of the cooler or is warm on the side of the cooler just sitting there. And I'm like, man, if you walk in and you're just looking for a four pack and you don't want beer, but you'd want something canned, you know, maybe you just like the way you feel better the next day.
35:42if you have a vodka or tequila or whatever instead of a beer, like you're just going to take the cool four pack that's sitting inside the fridge, even if it's not, you know, exactly what you came in for. So, and again, I apologize if these are too nerdy, but I'm just interested. I'm so interested in the business because I don't know that much about it. Like you get the distribution point, right? So like the distributor I'm assuming says, Hey, I, tell me where I'm wrong in here. It says I have 20 locations, you know, this is the average volume, whatever metrics they give you. Right. So you go to that distributor and you say, hey, we're willing to do this deal.
36:17We want to be in Michigan. How then does it cost you money? Is it the quality of the product? If you start hitting a certain amount of volume, do you then not have to pay for the placement? How do you actually get that distributor to make sure that your product is like, it's like eye level, center cut is like where you want to be or something. How do you make sure that your product actually gets seen by the people when they walk in the store? So the super interesting thing about beverage alcohol industry is like what you described of like trying to pay to get on the shelf is completely illegal.
36:51You can't do that. So that goes against tight house laws. And there's so like these laws are back from prohibition. So like super archaic. This industry is super archaic. Whereas like Stripe Soda, literally I was just because that's a San Diego based brand. I was in a store and he was like, you know, I like this brand. It tastes good. But, you know, what's in it for me? what are you going to do for me? And I was like, well, you know, we want this shelf placement. If I buy out this other product, can we get it on the shelf? And he's like, yeah, there's two cans left. And I'm like, okay, cool. Let's buy those two cans and we'll put it on the shelf.
37:26And then, you know, there's always something in it on that end. And there's obviously gray area, obviously in the beverage alcohol industry. And we always try to stay away from that because, you know we really we truly leverage and we truly believe that our product is good enough to be able to withstand and go against these big guys and it is but the interesting thing is to answer your question on like how you get it on the shelf when we go into these distributor meetings and we we pitch to these distributors on general sales meetings on like we have a new product releasing in the spring. So we're getting our annual operating plan all ready to go to start pitching to all these distributors.
38:08And like the big thing is, is like we come up with these campaigns, you know, it's five o 'clock, you know, it's five o 'clock all summer long. Like we want to do a giveaway or we want to do, have a big shelf display that, you know, calls out all these different things that makes us so much better. And it's an entering to win or whatever it is That allows us to get the distributor to go out because we put an incentive behind it. So like, Ryan, you're a distributor rep. Like if you go get 10 of those displays, we'll pay you$100 for each display. So that gives you kind of like you're free to go hunt, get as many as you want.
38:47That will get us onto those campaigns. Well, one, it'll be attracted to distributors because they're like, oh, wow, this is awesome. They've got their stuff together. Two, it gets the sales rep out there into the market to go start getting that onto the shelf. And however they do that, that's up to them, you know, with their relationships that they have with these liquor stores and chains and all those kind of things. And then three, what that does for us isn't even the campaign. It's more or less getting the product in front of the consumer, having things around it kind of bells and whistles, being like, hey, you know, draw your attention to here.
39:26It's a big display versus, to your point, being on the side of the cooler sitting there. It's like, I don't know what that is. It kind of, what it does, it gives it credibility. Because it shows like, oh, wow, how did this brand get this when all these other brands are just sitting here on the side? And that's really hard to do as well because you have to stay in front of your distributor to be like, hey, we've got these campaigns going. and that's what my head of sales and my head of marketing have taught me over the years and over the past couple months is like we always have to have a campaign in place because if you don't have something in place then that shelf placement is going to go to a different campaign from a different company that's going to steal your spot so you always have to be staying in front of it because that will help with your velocities too always having a big shelf placement and the the biggest thing for us is like, if you're not cold, you're not sold.
40:19So, oh, and it's specific in this industry within, you know, beer and canned cocktails is you always have to be cold because no one wants to go in to go buy a warm four pack because usually they're buying that for later that day or you had a crack one when they get home. Yeah. Or in the car, depending on where you are located. Yeah. I thought I'm advocating for that friends. Um, so, so can you sell, and I just don't know the laws here. Could you sell an elk? Like if I wanted to go on your website, could I buy four packs and have you mail them to me? Is that, is that legal? Yeah. So it depends on the state and it's ever changing.
40:55So that's really interesting. So we, we sell in Connecticut and through Connecticut, you're allowed to ship out of Connecticut to most states. I think it's like 36 states and that literally changes day to day. Like some states get added some gets taken off so since we have distribution and we have a really good two actually really good distributors up there we can sell out of um connecticut and ship to you what state are you in new york yeah so we can send to new york we actually used to um we used to distribute it in new york um in liquor stores but it was it's such a tough market because it's very pay-to-play where it's like, again, like, look at all this shelf space.
41:39What are you going to do for me? And we just didn't really get involved in that whole pay to play because I was like, I don't want to, we're already starting business off on that foot. I don't really want to continue that. You know, it's kind of like a hostage situation. If I'm going to give in here, when, like, at what point does it, you know, does it end? So we're in a lot of states where, and then, you know, you look at like New York, which is only in liquor stores. then you look at you know tennessee which is a franchise state so it's only liquor stores and you can only have two per liquor license so like let's say ryan you owned a liquor store that gives you the right or you own a liquor license that gives you the right to have two stores so now just think about that like we have to go then manage all of those stores with my reps florida different michigan is different those are chain states so chain states we just got into Publix Liquors.
42:33So we had to make one presentation and obviously there's so much more than just one presentation, but we gave a really great presentation and we are there to help our distributors sell through at Publix to be able to hear their velocities help them. But we got 370 stores from one pitch and those get managed by our distributors. Same thing up in Michigan. So each state is very different. And then you have states that are like class C states or class B States, which is where I'm at right now, South Carolina and Texas, where, you know, on-premise accounts, so like bars and restaurants have to buy through the liquor store, not through a distributor.
43:11So it all kind of boils down to this idea that, you know, the United States is the United States, but at the end of the day, each state is pretty much its own country, not only from beverage alcohol laws, but like gun laws, everything has its own laws. And that's what I've learned a lot of is like, you know, so I never thought in a million years, I would know like, oh, class B state. Yeah. Yeah. Oh, franchise states. Oh yeah. And then like control states, which is the, the state actually buys the alcohol. So that's like New Hampshire. That's like North Carolina. Those are the places with package stores, right?
43:47Don't they call most of the states call them package stores still? Exactly. Yeah. So how are you, are you, so because you can sell direct and you're also trying to constantly bring people back to buy more are you doing like uh direct and i'm going to use the word community but like community in the virtual sense are you pulling people into a newsletter your social feeds like are you doing online like is there are you doing anything uh from like a digital or content marketing standpoint where you're drawing someone maybe buys a couple four racks in michigan and sees on the packaging they can get on some news like are you do you have campaigns to draw them in to then you can stay in front of them digitally as well so lifestyle marketing with hive is definitely a lot harder than it is for strive because strive you know for us direct to consumer is huge like we're about to get amazon up and running we're about to get walmart up and running because this brand is a lot newer we just launched like three months ago so yeah we're starting to grow our direct to consumer not only through our website um but also through amazon also through walmart and then you We're still going after retail in San Diego because it's a San Diego-based brand.
44:58And we're trying to just take that same approach, like grow small but still go after chains. We're not so much constricted by state laws, really, because we're free to hunt really wherever. But we still don't want to go too big too quickly. So with that brand, we're trying to build this community not only through email, SMS, but we're trying to build this community around the product. So trying to do a lot of events, trying to, you know, get people trying and really get it out there, which is a breath of fresh air because I could go do a little pop-up tent on the side of the street here in Charleston and sample my product.
45:35If I did that with Hive, I'd be arrested immediately. Like you can't do that. So there's things with this space that's much easier but also harder, you know. And that's a lot that I'm learning most recently is that it's not apples to apples. It's apples to oranges. The beverage alcohol industry has much more constraints, but at the end of the day is very supplier focused to a certain extent, whereas the non-alc industry is much more like Wild West. But there's just a lot of complexities in it too that I'm slowly starting to learn as I go. Like, do I work with Kehi and Unify? Do I go DSD, like distributors?
46:23Like, how do I do that? And we're slow and I'm getting all this knowledge as I go. And I'm still making, you know, I'm still learning those lessons and making those failures as I go because it's new. You know, it's something that's different than the beverage alcohol industry, which is super exciting. So I'm very happy that I'm learning these as I go because we're still so small. Like, we haven't even really got our feet underneath us yet on the strive side. but trying to take as many lessons I've learned in Hive to bring that over to Stride so I don't make those mistakes again on this brand. Have you done anything with influencer marketing?
47:01It seems like with D2C brands in general, influencer marketing can play a huge role. The right person puts your can down in the shot in a podcast or whatever, or a set or on their Instagram or whatever, and now you can see massive lifts. So have you dipped your toes into that space, and how does that work for you? So with Strive, yes. So we're getting into that right now. We haven't done anything recently because I guess there's a couple of different things, a couple of different reasons why. We launched middle to end of August, so we've been in market September, October for two months. Initially when we launched, we weren't fully, realistically weren't fully sure how we were marketing the product because it's a new industry you know we didn't know if we wanted to go full in on soda if we want to go hydration if we want to do a balance and now we've realized that you know we are soda like that's what how people drink our product and you know hydration and honey are just additional benefits that come with having a great tasting soda so now since we know that then we've been able to really fully update our website to really portray that, you know?
48:16And now we're ready to bring people on because we didn't want to bring people on too early to where, you know, they could be messaging something that we didn't want them to message and that we weren't even sure about. So now we have this kind of really good brand book that we're like, okay, like awesome. Like this is how people are drinking our product. This is how they like love to have it in their everyday life. Now let's have our influencers come on and start portraying that message. Use that UGC, whitelisting, all that stuff. Get it out there. So that's something that we're going to start doing in the next couple months.
48:49On the Hive side, we had a kick-ass influencer program that I ran for a little while, brought someone in to run it. And it was doing really, really well for a while. The thing that we didn't really realize is people don't really buy ready-to-drink cocktails online. it's something that it's just like in it was just kind of we didn't know until we actually tried it and it was really fun building that program we had some amazing influencers on there who really loved the product and just really believed in it and believed in our mission and this whole idea of like who's your hive who's your community who the people that you love to be around is your hive and it could be your close friends your new friends your old friends work friends really whatever bringing this sense of community together and creating that hive.
49:35And that's what we really try to portray online through social, et cetera. And we did an amazing job doing it. But at the end of the day, we're in the business of making money. And from a direct-to-consumer perspective, it just wasn't coming through. We were still doing great month over month from our sales perspective. But how much we were paying all these influencers versus how much we were making from this play from direct-to-consumer wasn't working. And the problem with that is, too, is, and to your point, you know, with most of all these other industries, whatever marketing tactic you use, you pretty much have something that you can look at from a statistics standpoint and be like, okay, we launched this marketing campaign and we received, you know,$100 ,000 in revenue from that marketing campaign.
50:21it's not as easy within consumer product goods because we don't know like let's say you're one of our influencers ryan and we saw that you made you know on one post you brought in two grand worth of revenue from direct consumer but we have no idea of your followers who went out and bought that at retail level so it's so hard to really judge that um because you can look at it two ways Like, is the idea for this campaign for influencers on the Hive side, is it all about revenue and that's it? Or is it getting the product out there, getting people seeing it? Because for a while, we were really going after like health and wellness influencers, which again was kind of seen as like, why are you doing that?
51:07But within that space, everyone knew Hive, which was amazing. Like everyone knew it. And we do anticipate bringing that back at some point in time, but our main focus right now is getting our ambassador side of Strive and Hive up and running and then getting our UGC and whitelisting up and running for Strive to really test that out. Because again, Strive Soda is so much more of a direct-to-consumer product than Hive is. So we're going to hopefully see a much bigger uptick in revenue from launching that program than we would with Hive. So do you see your, and I'm assuming there's like a parent business that sits over these two brands.
51:47Do you see yourself as like a, I'm going to take beverage as a whole, not just alcohol or non, but like this beverage space as a whole. Do you see this as you got like a bet? You're like a beverage brand incubator. Like this is something every couple of years you'll bring a new product out or, or do you think, you know, between strive and hive, you have enough to do that. It'll be more flavors. and more variations inside of that? Or like now that you kind of have this roadmap, I guess, do you become almost like an incubator to be bringing new products out to market because you have now a template for doing it in a way that is successful and also is packaged up properly and et cetera?
52:29Like, do you see that as a potential path for you? That would be a dream. I mean, honestly, like Honey Holdings owns both brands, which is a fun name. but yeah yeah that is a fun name i would absolutely love to continue building brands my bandwidth won't allow that i mean i'm already kind of tapped out as it is juggling both of these brands i think once it gets like hive is you know either acquired or is at a point where you know there's a new ceo running it or whatever it is at some point like my whole idea is to keep innovating and building brands. I think the reason I would have never built Strive if I didn't see that gap in the market where I was like, this is what I really like.
53:15You know, I really want to create a better for you product. Is it a soda? Is it a hydration beverage? That's only sweet with honey. Cause no one's done that. And I was like, ah, I was like, do I do it? Do I not? And I was like, screw it. You know, there's no time like the present. If I'm in over my head, I'm in over my head. But to do that a third time, I just wouldn't be able to do that. I think one thing to your point, which we're already innovating, like I've got a innovation call next week with my team on what are the new products we're releasing. Like I said, we have a really exciting product that we're actually releasing with Hive in the spring, which I'm super pumped about, which is very new.
53:52Do you know when this episode will be released? A couple of weeks. A couple weeks. I'll just, I mean, it's not really a secret. We're coming out with a tea. So all of our products are 7 % ABV. So we have three core products, which is our take on a Mexican mule. So it's a ginger and lime infused honey. We have our take on a Cosmo, which is our best seller. The girls are absolutely obsessed with that one. So that's a cranberry and lime infused for our vodka. My favorite, which is our take on a Tom Collins. So that's a lemon and juniper berry infused honey for our gin. And all those are 7 % ABV. again only sweet with honey but we're releasing a new version which is a little bit different it's going to be 4.5 percent and again that's because of all these beverage alcohol laws some states don't allow you to sell so like florida for example if you're 5.9 and under you can sell in grocery so since we're at seven we can only sell in liquor stores so now we're going to be free to hunt at grocery stores and convenience stores etc in florida so this is a 4.5 It's a spiked tea with a vodka base sweetened with honey and a little bit of lemon.
54:59And that, I don't know if you golf, Ryan, but perfect golf drink. I was going to say, it sounds like an amazing golf cocktail. It's like, and the whole plan that we're doing behind it is the Honey Hills Country Club. So we're doing all this merch that's going to be releasing around spring, early spring and throughout the summer. But it's promoting, you know, like a perfect summer beverage. So super excited to release that. And then we've got some new innovation on the Strive side. We're going to be releasing two new flavors next spring, spring, summer. So that's super exciting. And then there's ideas underneath Strive that may be not liquid form, which will be really cool.
55:39So we're working on some very exciting stuff on both brands. That's awesome. Now, one last question for you. You know, you've kind of taken the lead on, as you've mentioned a couple of times, better for you. and ultimately, I think even probably the bigger differentiator versus that language is the honey, you know, sweetening with 100 % honey. Have you seen and or how do you handle mimicry, right? I mean, I'm assuming someone has seen, hey, these guys are seemingly differentiating and doing pretty well with this honey only sweetening. Have you seen people start coming out to the market with similar, you know, a similar formula, a similar branding or trying to be the honey sweetener play as well or do you guys still kind of own that space and when people do start mimicking you how do you keep yourself separated i mean you know it's a form of flattery you know always if someone's trying to mimic you and you're doing something right which is awesome and yes we've had a couple of brands in the past and present that have you know taken our same play from a sweetener form but also to like I always look at it as like you know the more the merrier because then that's only educating more people opening up that space to be bigger within the category I mean yes we'll be able to have a smaller market share of that but at least it's expanding it so you know because if we're just one brand out there that's only sweet with honey as a soda that's hydration people are like oh cool that's awesome like I love that drink but if multiple brands are doing it brands are doing it, then it's like, okay, that that's expanding, you know?
57:14And also to like, from a selfish perspective, I'm like, oh damn, like I would love to be the only one in the space. Maybe, you know, with these other brands will grow more, but also to like my whole thing at the end of the day is like, I want people to have better for you products that are actually better for you, you know? And if that means there's more products that are coming to market, so be it. I We're seeing honey being used all over the place and new protein bars that it's like sweet with honey rather than sucralose, aspartame, all of that. Like for me, I'm like, oh, heck yeah, that's amazing.
57:50Let's keep that innovation going because it's leading in that direction. And I care at the end of the day, I care about health. I care about fitness. I care about feeling my best. And I also care about other people feeling their best. And the only way to do that is to have more products in the market for it to be more viable. and uh you know on the hive side we've had multiple brands in the space you know that have been sweetened with honey and you know i think it's totally fine i think when it gets to the point where packaging is being copied and that kind of stuff that's when i'm like wait hold on let's kind of figure this out here and that's always tough because you got to get lawyers involved and all those kind of things and obviously try to avoid that as much as you can but you know you're never gonna be free of it you know it's always gonna happen if you're doing something right people are gonna copy you and we've seen it at the high level you know like I don't know if you've been looking but Anheuser-Busch has copied um was it Suncruiser or Surfside they came out with a brand that looked identical to it and like yeah I saw something I saw like an article like a headline yeah so it's gonna happen regardless and like that's the main point of flattery right there what a massive brand is copying you or massive beverage conglomerate is copying you then you know you're definitely doing something right but you still have to protect your best interest at the end of the day dude i know there's a lot of people that health and wellness is important to them to listen to this show and i know there's a lot of boozers as well uh and people that are always looking for products like strive soda that that you know they may enjoy their afternoon soda that they have and geez if i can get rid of all the sweeteners and and feel good about what I'm drinking.
59:29You know, I think, I think there's a lot of people that are going to be interested in what you're doing. If they're, if they want to get deeper into your world, you know, learn more about the products, buy the products, see if they're in their, their area, et cetera, or see if they can have them shipped to them. Where should people go? How do they get deeper into both your world? Like you specifically, if you're doing anything or talking about this stuff online and or the products themselves. Totally. Yeah. So if you're interested in, in spirited hive, just at spiritedhive on Instagram and spiritedhive.com.
59:58We ship to around 37 different states, 37, 36. So go on there. And then if you are in Michigan, Florida, Georgia, Tennessee, Texas, and Connecticut, we sell in liquor stores in all those states. And then on Strive, we're just getting kicked off. But if you guys live in San Diego, we sell in most of the convenience stores and kind of grocery stores in that area. And then you can also buy us at strivesoda.com. and then if you want to get in touch with me, I'm on social media a good amount. So if you want to shoot me a DM on any questions you have or founder questions or anything, it's at Jack Espy, E-S-P-Y.
1:00:35Dude, appreciate the hell out of you. I really enjoyed the depth. I could have gone another hour with you here. I really love the depth that we got into in the business. I appreciate you taking the time and kind of nerding out because I think even if someone's not in the same business as you, I think a lot of the problems that you're approaching and how you're thinking about them, you're doing in the right way. And so much of getting better at what we do individually is learning from other spaces that aren't our own. So I love these episodes, especially when we go deep like this and appreciate the hell out of you and your journey, man.
1:01:07Thanks so much. Awesome. Well, Ryan, I really appreciate you having me on. It was a great conversation and I love getting deep too. I mean, I love educating people on an industry that I knew nothing about only so long ago. And it's just getting other people to know it. I mean, it's business advice, even if it's not, like you said, even if it's not in your industry. You know, it's business advice at the end of the day or what you've learned, what you, you know, lessons you've learned along the way. So I really appreciate you having me on. Yeah, no, I love it, man. And, you know, I think the other thing from your story that I think is really admirable is that, like you said, five years ago, you didn't know a single thing about this space.
1:01:46and I think so many people have ideas, things they wanna do, an entrepreneurial spirit inside them of something they may wanna build and we don't realize that while five years at the start feels like a long time, but five years in looking back to you probably feels like yesterday to a certain extent. So it's not as long a time to kind of bring your dreams and turn them into something tangible that you're actually making money at and doing every day and I think it's a wonderful story. So thank you so much, bud. Of course. Yeah, Ryan, I'll leave you with this. I think one thing about like a piece of advice if I could give any potential entrepreneur, this is mainly for people who like are scared to take that first step.
1:02:30I think I don't always want to look at my story, but my story is different to your point. Like I knew nothing about beverage alcohol industry. I knew nothing. My whole background was real estate finance, real estate development to go work for someone else. So I had never had a job. I knew nothing about business. And I took that step. It doesn't matter if it's a well-calculated step or if it's a super messy step and you have no idea what you're doing. The biggest thing, and I know it sounds so cliche, is just taking that step but going full in. And like it will be super scary, but you'll learn it along.
1:03:06If it means a lot to you, you'll learn everything you need to know about that industry and you'll become a pro at it in no time. but you just have to take that first step, you know, to do it. I love it, bro. I love it. Nothing but success to you. Appreciate the hell out of you. Awesome. Well, thank you so much, Ryan.
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From the publisher
Join our community of fearless leaders in search of unreasonable outcomes...
- Want to become a FEARLESS entrepreneur and leader? Go here: https://www.findingpeak.com
- Watch on YouTube: https://link.ryanhanley.com/youtube
When COVID shut the world down, Jack Espy lost his job, mixed a cocktail, and accidentally discovered the idea that would change his life.
Connect with Jack Espy
- Spirited Hive: https://www.spiritedhive.com
- Strive Sode: https://strivesoda.com/
- Instagram: https://www.instagram.com/jack_espy/?hl=en
Fast-forward five years and he’s running Spirited Hive and Strive Soda — two honey-sweetened beverage brands rewriting the “better-for-you” playbook.
In this unfiltered conversation, Jack and Ryan Hanley dig into:
- How to turn early failure into a profitable foundation
- Why naïveté can be a founder’s secret weapon
- The brutal truth about distribution, marketing, and shelf space
- Building slow, selling smart, and setting up for acquisition
- What “better-for-you” really means (and what it doesn’t)
This one’s part business therapy, part entrepreneurial bloodsport.
Grab a drink, settle in, and take notes.
Because growth done right still takes sweat, humility, and a little honey.
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- From $2 Million Loss to World-Class Entrepreneur: https://lnk.to/delk
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