Established industries often operate like cartels with unwritten rules, such as avoiding aggressive marketing. New entrants gain a significant edge by deliberately violating these norms, forcing incumbents to react to a game they don't want to play. This creates differentiation beyond the core product or service.

Instead of a single national campaign, Pepsi armed its local bottlers with camcorders to run the "Pepsi Challenge" in their own communities. Using local TV spots with real people, they created an authentic, grassroots movement that a centralized giant like Coca-Cola was ill-equipped to counter.

In a saturated social feed, generic ads fail. Small businesses can win by being creative, funny, or controversial. Their advantage over large corporations is speed and agility, as they can post bold ideas without the layers of legal and board approval that stifle creativity.

Most product categories are commodities with minimal functional differences. Success, as shown by Liquid Death in the water category, hinges on building an emotional connection through branding and packaging, which are the primary drivers of consumer choice over minor product benefits.

As an investor in companies like Liquid Death, Nick Tran prioritizes 'fun' projects where he can personally add value through brand building. His thesis is less about financial metrics and more about finding opportunities where a strong brand can create a competitive advantage, turning a commodity into a cultural icon.

In commoditized industries like energy, customers are accustomed to poor service and non-existent brands. Base identifies this as a massive opportunity. By focusing on creating the first "beloved brand in energy," they aim to build a powerful competitive moat that incumbents cannot easily replicate.

The founder's key insight was the disparity between the fun, irreverent marketing for unhealthy products (beer, candy) and the boring marketing for healthy ones. The brand's strategy was born from applying the entertaining, humorous tactics of junk food to the healthiest category: water.

When starting out, don't try to out-expert established players. Instead, compete on access and personal attention. Acknowledge your small size and frame it as a benefit: clients get direct access to you, the founder, which is something large competitors cannot offer.

A funny brand can't be funny in every scenario. Liquid Death's founder emphasizes the importance of situational awareness, particularly in customer service. When a customer has a problem, the brand must be earnest and caring, reserving its irreverent humor for top-of-funnel marketing.