We have the opportunity for them to sell to consumers directly. If you see the t shirts are a great billboard.
Great quality. They enjoy it. Everyone says Oldguysrule. Where are you going to look it up. What are you going to Google? We can handle that literally soup to nuts. Felix: When you are looking at brands that you want to begin relationship with to potentially liscense from them. Are there ways to at least set yourself up to be more attractive to having them work with you?
To make it an easy yes for them to say yes we want you to liscense our products or liscense our brand? Dave: I think it comes from experience. I think it comes from presentations you give. Once again, it kind of goes back to being nice.
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It goes back to being honest, be transparent. Show them what you can do. Show them your past history and talk to them and brainstorm with them. They stay with their brand forever. You should be honest. Anybody can build a store.
Look at Shopify and others out there do a great job at it. You have to come with other things and other solutions.
You have to think holistically. What is it going to cost to operate. How are we going to get people there.
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You build it, you need to also have a significant amount of money set aside for marketing. You have to be able to get people in your list.
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Email marketing is by far the most effective way to generate revenue for your company. You have to be able to generate a list and get it growing. Felix: Maybe from the business perspective, this deal took about a year to come to fruition. What does a typical deal like this look like if, again, someone out there is thinking about doing this for the first time. Really it was a lot of lawyers. Obviously it helps if we hit certain points for everybody right. We give the royalty out over certain periods of time without going into too many specifics per year that we just hand a nice check out to Oldguysrule.
Felix: Makes sense. A little bit earlier you were talking about how one of the key reasons you wanted to liscense from this brand was because of the demographic. You did you research to find out more about them. Talk to us about this process. How did you discover, not necessarily this particular target market, but how did you learn more about the demographic that would buy from Oldguysrule?
Dave: A long time ago, it seems like forever, inforgraphics are great. Not saying always sided but usually sided. I used it a long time ago to check out and see how to drive traffic. With one of the things we did with the InteligAcademy, we created an infographic to see how it would drive traffic. A great company called Column 5 out of Orange County did it. I looked up Baby Boomers. Which we can talk about that too. And look at Google images and pop open a new tab of every single graphic and looked at all the stats.
Typically with infographics one designer might steal the information from another designer but what am I learning about? What do they know about that demographic. You can do the same thing with millennials. You can do the same thing with pretty much gen X. There are plenty of those infographics. Yes, I can also just Google and read articles, read wiki, et cetera. The quick down and dirty is infographics.
I like the short significant facts. Just give it to me bullet point. I need to know what do I need to know. What kind of data is most important. When you are looking at these infographics, what are you handing for? What are some key question you wanted to have answered when you were doing this research? How do they live their life? How much are they paying in a mortgage? Do they have kids? What are they spending on their kids? What about health insurance? What are their bills?
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What kind of discretionary income do they have to be able to spend on anything they want to spend it on? What do we know about them? When you start to think about these things, about the Baby Boomer audience. Yeah, I know my dad, my mom, the like a certain type of food or a certain restaurant or whatever.