Outside's acquisition of 20+ publications failed because it used a "broad brushed" approach. It ignored the unique cultures, business models, and reader relationships of each title, leading to internal chaos and the founder's departure from his own company, Cycling Tips.
Preparing a company for acquisition can lead founders to make short-term decisions that please the acquirer but undermine the brand's core agility, setting it up for failure post-sale. The focus shifts from longevity to a transaction.
Lululemon's founder argues the brand is in a "nosedive" because its finance-focused CEO lacks creative vision. This highlights a critical tension: trendy consumer brands thrive on a founder's unique DNA, which can be lost when replaced by purely data-driven management that prioritizes deals over dreams.
To avoid an inconsistent, 'all over the place' approach, companies must establish a common brand-building philosophy or framework. This shared point of view, like Molson Coors's MUSCLE framework, ensures organizational alignment and helps build a cohesive marketing culture.
BroBible consciously resisted the industry-wide pivot to SEO-driven "how-to" articles and buying guides. Recognizing they couldn't win by following the crowd, they instead focused on their unique strength: covering cultural figures and the "in-between" stories in sports, which differentiated their brand.
Amazon's attempt to 'Amazonify' Whole Foods by adding processed foods like Doritos and Pepsi highlights the brand clash that causes two-thirds of corporate acquisitions to fail. The strategy, which includes hiding junk food in back rooms, is a sign of impatience and a fundamental misunderstanding of the acquired brand's value.
Instead of creating everything from scratch, Klue's Compete Network began by aggregating content and partnering with existing thought leaders. They provided the production 'plumbing,' allowing creators to focus on their expertise, which accelerated the network's growth and value.
Cycling Tips found that attracting luxury advertisers like car brands was incredibly unreliable. Revenue often depended on a single executive's personal passion for the sport; when that person changed jobs, the ad budget disappeared overnight, making it an undependable growth strategy.
Chomps' founders learned not to blindly copy the strategies of successful brands. They advise founders to gather wide-ranging feedback but to ultimately analyze it through their own company's unique context, as what works for one brand is not a guarantee of success for another.
Strict adherence to brand cohesion often stifles creativity and results in subjective boardroom debates. Brands achieve more by focusing on creating relevant, timely content that resonates with their audience, even if it occasionally breaks established stylistic guidelines.
Coca-Cola failed with ZICO not by changing its core quality, but by stripping away its ability to adapt. Large corporate systems, built for consistency at scale, enforce rigid processes that stifle the very nimbleness that made a challenger brand successful.