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Innovation isn't limited to new products. PepsiCo created a joint venture-style content studio with VaynerMedia, merging internal and agency teams to co-create organic content. This structural innovation has led to a five-fold increase in content throughput.
Large corporations like PepsiCo have effectively outsourced innovation, avoiding the risk of building new brands by acquiring successful startups like Poppi. This dynamic creates a clear and lucrative exit path for entrepreneurs who can build the "next big thing," as they are creating acquisition targets, not just competitors.
To succeed today, product companies must also be media companies. Instead of solely relying on buying advertising, brands need to create and distribute their own content through owned channels. This strategy builds a direct relationship with the community, fosters loyalty, and creates a more sustainable marketing engine.
The partnership model combines an independent team's agility and bold decision-making with a corporate giant's distribution muscle and scale. The startup handles disruption and market agility, while the large corporation provides the infrastructure for growth, creating a powerful hybrid for navigating complex industries.
To succeed today, a CPG brand's primary function must be content creation. The strategic imperative is to think and act like a media company that happens to sell a food or beverage product, not the other way around. This reframes the entire business model and priorities.
When internal processes are too slow for timely social content, partnering with creators offers a strategic advantage. Brands are often struck by the speed at which influencers can ideate, script, and produce content. This agility is a key benefit beyond just reach and relevance.
PepsiCo's R&D head created global "flavor banks" to catalog both successful and failed experiments from around the world. This system allowed disparate teams to build on shared institutional knowledge instead of starting from scratch. It fostered productive internal competition and dramatically increased the speed and success rate of new product development.
This framework moves beyond formal client-agency relationships by creating co-creation sessions where teams 'break bread' together. It removes the transactional dynamic, fosters agility, and often leads to powerful, unbriefed creative work.
The studio operates dually: it takes on projects from product teams to inject energy, and it pursues its own obsessions, creating new initiatives and tools. This model allows it to be both a responsive partner and a proactive source of innovation.
The traditional, siloed agency model of a strategic "hand-off" to a creative team is outdated and inefficient. A more effective future model pairs a strategist and a creative together from the start, short-circuiting the process to produce better work faster.
Mute6's key differentiator was its belief that the creative team and performance marketing team should be one and the same. In 2016, this was a novel methodology that ensured creative assets were built with a deep understanding of performance metrics, creating a more effective and integrated go-to-market approach.