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Christine Kim's avatar

Great post, thank you! Liquid Death example is the most interesting to me. It's water, that's it. They figured out though that every other water brand was fighting over the same axis: purity, mountain springs, hydration etc. and just opted out of that entire conversation. Now they're selling merch and doing collabs like they're an energy drink company. Most marketing teams would never get there though. The instinct is always to play on the same map as everyone else and just argue you're better at it. Walking away from the map entirely takes a kind of confidence that's pretty rare in practice.

The Brand Lab's avatar

The framework is sharp. The Two by Nothing creates attention and differentiation but it doesn't create a margin structure. Liquid Death repositioned water as rebellion. Brilliant marketing. Underneath it, they're still selling water with water economics and they had to raise over $700M to sustain the performance. Corona owns 'beach in a bottle' and it works because the underlying product economics already supported the positioning. The brands I autopsy almost always had a great Two by Nothing. They were genuinely different. What killed them was that being different didn't change the unit economics of the category they were still operating in. The positioning was new. The cost structure was the same as everyone else's.

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