Share This Episode

Greg Connolly: Blitz Scaling, The Perfect Meal And Getting America Back In Shape

We're literally going on a rocket ship. We are talking with Greg Connolly from Trifecta Nutrition, who is well on his way to building a $100 million company and beyond. I am fired up to bring this show to you. We go across the gamut. We talk a little health in this show. We talk a lot of entrepreneurship including five or previous ventures and tenacity. We also talk about pivoting, which is incredibly important. We also talk about raising money.

If you're getting to know Greg Connolly, he's been an entrepreneur most his life. Even back to the early days, getting started young, selling things and mowing lawns, to being in the SaaS world, to even dabbling in the corporate arena. He's gone out and raised lots of money for different adventures. He is an incredible inspiration in what he's doing now in his mission of getting America back in shape through the vehicle that he's building at Trifecta Nutrition.

I promise you this, you're going to be hungry and excited to try their food at the end of it. You're going to learn a whole lot along the way. I am super excited for this show.

Dustin
Greg, you're riding a rocket ship of a business called Trifecta Nutrition, the nation's largest all organic meal delivery service. You've garnered attention from Forbes, UFC, Men's Journal, Muscle and Fitness, CrossFit and a whole lot more. You've hit eight figures in a few short years. You're looking at nine figures in an aggressive timeline. Do you feel like something special is going on here or is this another day at the office for you?
Greg
I definitely think we have something special going on for someone to see growth in a company as we've experienced. It is a combination of being in the right place with the right product at the right time and deploying the right marketing strategy to scale the business. As much as I'd love to tell you and your readers that I'm a marketing genius that has landed all of these major partnerships, it does have to do with the market in general. It’s us having a product in industry and space that is hot itself. It’s capitalizing on that to become one of the biggest and hottest brands in the space.
Dustin
Greg, I got so many questions to ask you. I'm excited. I am thrilled. I want to start with this. We got a lot of entrepreneurs reading. You're on this path to nine figures. I want to start though and take it back because for some people that's the dream, but yet it's sometimes so far away. What was critical at the beginning of getting to seven figures? What were some of the key foundational things?
Greg
To give your readers a little bit of background, this is my fifth business. With scaling up any business, tenacity is one of the keys to the kingdom when it comes to entrepreneurship. In general, it’s having a business where you enjoy what you do. I know it's very cliché for people to say. You have to be passionate about it. I absolutely think that being passionate about business in general, what it's like to build a business is critical. One of my favorite quotes is from a dual interview of Bill Gates and Steve Jobs together. Steve says essentially that the key differentiator for most entrepreneurs that succeed and don't succeed is not quitting. It's continuing to find a way to scale the company.
For us, Trifecta was a skunkworks project inside of another business I was running. Within a few short months of us getting it live, it scaled so fast that it was doing more in top-line sales than the parent company. At that point, we essentially closed down the parent company and focused all of our effort on Trifecta. For people getting started, it's about testing a lot of ideas, getting to a minimum viable product very quickly. From there, deploying the right essentially marketing process, inbound marketing funnel to be able to scale the company up as it goes through these different phases. In the very beginning, we were thrilled to have a few customers then a few hundred. We were blown away when we started to get into the few thousands. Obviously, now we're in the tens of thousands of customers.
It's about making sure you have a product that the market wants in the first place. At that point, once you have that minimum viable product, it’s going through the right steps to scale it. A lot of early-stage entrepreneurs I talked to their first question is, "How do I get funding?" They haven't even taken a product or a service to market yet. It's about making sure you have that minimum viable product, making sure that people are willing to pay for what you're selling in the first place. From there, you could look at how to scale it or in the case of Trifecta, we call it blitz scaling. Scaling it very quickly and in a short multi-year period of time to get to the point where you're in the tens. Hopefully, by the end of 2019, we'll be in the hundreds of millions.
Dustin
Greg, we're going to have fun with this interview with so many places to go for me. It's fun and a little overwhelming. I want to take a step back because I want people to get to love you even more. You mentioned the five SaaS businesses or multiple businesses before. We're going right back to Trifecta. Let's talk a little bit about your pedigree, the background. What were you doing before Trifecta?
Greg
Going way back, I've always been almost Gary Vee's style. I’m one of those entrepreneur kids. I was mowing people's lawns, babysitting and doing pancake breakfast for the Boy Scouts and all that type of stuff when I was younger. That led to when I was in high school, I did my senior project launching a janitorial business, which I ultimately never launched. Early in college, it was right around when the internet was starting to pick up steam. I started a boutique web design firm when I was in college. That was the first business. The name was absolutely terrible. We called it the Cyber Division. I went around to local businesses. I tried to sell them on while the yellow pages were a thing of the past and this new thing, the internet was going to take over the world.
We did get clients that what where I became a self-taught developer, coder because I was a business major. I recruited a few friends to help me develop some of these websites. I graduated and closed the business down after having used it to pay for a lot of my college. I went into the corporate world for a little while. I ultimately left that to get into the software service space, which was becoming very popular at the time in San Francisco because of big success stories like SalesForce.com who's pioneered the Software as a Service business model. I had gone out and got venture capital funding for one of them. We raised about $14 million in venture capital across an A and B round, both $7 million rounds from some pretty prominent VC's out in Sand Hill. I ended up selling the company to a much larger multibillion-dollar software company and spun that off to launch a drink company, which was the company I was mentioning. It was a company named Amara. We worked on that for a few years.
In 2014, I was doing a licensing deal with the Paleo Diet, which was a very popular diet at the time and still is pretty popular to this day. That licensing deal tied food and drink into the contract. We weren't producing any food. We said, "Let's see if we can get a kitchen going, do some eCommerce food sales to provide some extra cashflow for the drink business.” That was the a-ha moment that led to us eventually closing the drink business down after five months because within five months the food business has scaled into the six figures in terms of monthly run rate. At that point we were like, "We're on to something." This is an eCommerce business that operates as a Software as a Service business. That's the backstory going from being a natural entrepreneur and utilizing that to try a lot of different ideas, some of which were successful. I've also had failures. I would consider the drink company a failure because we closed it down. I also started a nutrition blog a while back that I would consider a failure that I ended up selling off. I was able to sell it and make some money out of it but obviously, it wasn't a huge success like I was hoping for at the time.
Dustin
You mentioned the contract on the food part. Was that something that you put in or was that something that they put in, and it was necessary to close the deal with the beverage company at the time?
Greg
One of my favorite books for your audience to read is Negotiation Genius. It is a book that focuses on how to negotiate in high stakes negotiations like a licensing deal that's worth tens of thousands or hundreds of thousands of dollars a year. I was able to very late in the negotiation say, "You don't have a prepared food licensing partner. If we are going to get this deal done, let's include that in the contract." It was an easy thing for them to give me. At the same time, I did it very late in the negotiation process. The industry term is nibbling. It's adding things very late in the negotiation when the person wants to get the deal done. We were able to successfully get that added. That gave us multiple years of exclusivity over the Paleo Diet in both the food and beverage category. They have vast marketing resources so it’s us utilizing their marketing resources to promote our brands.
Dustin
Greg, that's a game changer. You're probably not here now in this form or fashion in this conversation at least, without putting something like that in?
Greg
It was a huge piece of us launching the brand. The PaleoDiet.com was getting over a million monthly uniques at the time. When we launched the company, we had them send out an email blast to their 800,000 subscribers on their email list. They post about us on their social media. We were live with referral, affiliate links on their website. They did a full side banner takeover on their entire website. That was rocket fuel when we launched the brand for us to come out of the gates, guns blazing because we had a major worldwide diet backing the food. The first meal plan we released was the Paleo meal plan because of it. We had good channel alignment as well. That's something a lot of early-stage marketers screw up is they will say, "If I get celebrity influencer X, Y and Z to promote us, they're going to do a few posts on Instagram and we're going to become a famous brand and sell millions of dollars' worth of stuff.”
For someone who has over 200 celebrities and celebrity athletes promoting his product, it's not that easy. It's a lot more complicated. We've found that having fitness and nutrition influencers promote a food product works very well. If it's someone like a famous rock star or an actor or somebody else who isn't the type of person that people would go to for nutrition advice, it doesn't matter if they have millions of followers on social media. They won't successfully be able to promote the product. You need a very good channel alignment. The deal with the Paleo Diet gave us that. It was a major global worldwide diet that was the most popular diet in the world at the time. They were promoting Paleo food and the Paleo Diet and then we, of course, were selling Paleo food. It was a layup for their audience to subscribe to our service. That's how we were able to get a rapidly scaling, minimum viable product.
Dustin
I want to dive in on the pivot. It seems pretty obvious. You were in the drink business. You had the meal plans that took off like wildfire. A lot of entrepreneurs get married to their thing. They don't pivot. Was it that easy of a decision? Was it a matter of fact for you like, "Shut this thing down, this the true business over here?"
Greg
I'm definitely one of those people. I am a very determined entrepreneur as I mentioned with my Steve Jobs’ “Never quit” quote. It was very difficult for me to give up the drink company. We had planned a pivot for that to turn it into an eCommerce subscription model like the food. The writing was on the wall. I had to face facts. The inventory carrying costs of that business was too high for me to scale it without raising tens of millions of dollars for it. I'm sure a lot of your audience running one company realize they already have to put 80 to 100-hour weeks for a single company and doing it for multiple companies, it’s not sustainable.
I'm a married man. I love to spend time with my wife and family. It is not possible to run two rapidly growing companies at the same time unless you're very large already. It was very hard for me to give it up. It was a very long process for us to get our investors from the drink company transferred over to the food company because I didn't want to leave them behind. They had bet on me with the drink company. We came up with the pre-money valuation everybody was comfortable with. We did dollar-for-dollar stock transfer over to the food company to make sure we took care of everybody that had bet on us early on. At the same time, we're making the right business decision.
There were some tough conversations with people that had invested in the drink company. All of a sudden, I'm saying, "We're fundamentally taking the business in another direction," as I'm sure you can imagine. After I explained to them, the metrics of the food company, how fast it was scaling, that it was in their best economic interest to move to the food company. We were able to get 100% of our investor group on board. I brought them over to the food company and now obviously, the rest is history. They're all thanking me for being a standup guy and bringing them over to the food company because I could have cut my losses and said, "You invested in a business that wasn't successful. I'm going to this other business now." I'm a Boy Scout. That wasn't the right thing to do. I ended up bringing them along to the winning team.
Dustin
I appreciate you sharing that. In my research, I found that you guys raised in 2018, $2.6 million. Was that in addition or was that part of what you described?
Greg
That was an addition. That was a Series A raise.
Dustin
Why did you raise the money?
Greg
It's mainly because we're in a race. Like any hot industry, there are going to be a new entrance, people that are able to raise a lot of capital very quickly. We want to be the 200-pound gorilla in the space. The market for meal delivery is absolutely staggering in size. To give your audience some super-high-level quick metrics, the entire global software industry is about $330 billion a year. Grocery in the United States alone is a $650 billion a year industry. Food in general including fast casual, fast food, grocery, food service, all these different categories, is significantly larger. It's about a sixth of the US GDP. We're talking a multi-trillion-dollar market.
We're selling food through eCommerce so we're not going to put grocery out of business anytime soon. There's definitely a lot of available white space within the market for us to capitalize on in the short-term. Food was one of the last industries to make the move over to eCommerce. It started with books obviously with Amazon then electronics and now people buying most of their hard goods through Amazon. Even with Amazon Fresh for several years and Amazon's acquisition of Whole Foods, Amazon has had a lot of trouble breaking out of the stigma that you buy books and electronics from them and not your groceries. That's allowed grocery companies like Blue Apron to become very large, HelloFresh. There are a lot of acquisitions and IPOs in the meal kit space. We're the next generation beyond that where we make fully prepared food where no cooking is required. Because of that, it's allowed us to open up a much larger market. We know if we do want to become the 200-pound gorilla, it's going to be a combination of us having the right brand, the right marketing mix, targeting the right target market.
Scaling the business in an intelligent way where we are profitable, where we do have the right internal subscription metrics so we don't end up in a situation like Netflix or Blue Apron where they go public. They do their SEC filing and all of a sudden, investors realize they're paying more to acquire a customer than they are making a net profit on a customer, which is a scary business model to see from behind the scenes. Obviously, Netflix figured it out and went on to become close to $100 billion market cap at this point. Blue Apron is starting to figure it out at this point. They've now forecasted that they will be profitable in Q1 2019.
I don’t know if you've watched their stock, but when they IPOed, everybody saw their customer acquisition costs compared to their net profit per customer and lifetime value per customer. I was very nervous about the sustainability of the business and they got creamed. They were at risk of getting delisted from the New York Stock Exchange, which is arguably the most embarrassing thing to happen for a business. It's something where we wanted to make sure we had the right metrics. We also want to scale very quickly. Even if you are profitable, infusions of outside capital will allow you to scale up all of the marketing campaigns in various different elements within the business much more rapidly.
Dustin
Greg, you're incredibly savvy when it comes to raising money. You talked about the initial investors from the beverage company that came over. You raised $2.6 million. You mentioned the $14 million before that was raised, the $7 million rounds. What's your general advice to entrepreneurs in raising money? What do they need to know?
Greg
There are a lot of components to it. If you are serious about raising capital, one of the things I always recommend is for them to read Raising Venture Capital for the Serious Entrepreneur. That book will break down essentially all elements of the process because people get into it. They think, "I'm going to get $1 million or a couple of million bucks to start scaling up the company.” The more money you raise early on, the more diluted you become when the company is large. It's a risk when it comes to raising capital. I tend to push people more towards not raising capital, at least getting a minimum viable product. Scaling it to a point where it's profitable to some degree before you do go look for outside financing because you're going to pay a big equity price for that first few hundred thousand.
You realize in a year or two when you're making $100,000 a day that you gave up millions of dollars' worth of stock to get a few hundred thousand dollars early on. Educate yourself about the process, educate yourself about the terms. I have a phenomenal legal team for our security’s side of the fence. It's a very knowledgeable team that does the legal work for a number of venture capital firms in the area. I still read all the contracts myself. Don't be fully dependent on lawyers. You need to know what the terms are. When you sit down with a VC firm and they tell you they only do participating preferred shares with a 1X multiple with XYZ cap, if you don't know what you're talking about, you're going to smile, nod and have no idea that's something you can debate. A negotiation is going on right in front of you and you're oblivious to it because they may invest a few million dollars in your business.
It's important to educate yourself early on. You have time to do that while you're building out a minimum viable product to see if there is a fit for what you're selling in the marketplace in the first place. That would be my short-term advice is definitely educate yourself on all the terms. At that point, go into it realizing that the more you raise early on, the more you're going to be giving up, which is going to be painful when you become a company doing tens of millions of dollars or hundreds of millions of dollars in sales. The name of the book is Raising Venture Capital for the Serious Entrepreneur. I've read a lot of books on venture capital and that one lays out most of the terms and elements that an early-stage entrepreneur is going to need out of all the books I've read in the VC space.
Dustin
Greg, I want to go back to Trifecta differentiation. You'd mentioned a couple of players in the market. How do you see yourself as differentiating Trifecta from other meal prep or meal delivery services? What makes you different?
Greg
There are a few elements. The product is obviously one of them. I truly believe if you don't have the best product, you're wasting your time. In most product businesses, at least in my opinion, you want to launch with Elon Musk's pyramid launch model where he started out with a super-premium product. Those early-stage Tesla roadsters and the Lotus body where he could get a minimum viable product to market. They were very expensive. The only people that bought them were very wealthy people or celebrities. It established Tesla as a premium brand and that's something we've done very well.
We are the luxury premium brand in the space. Part of that is the brand itself. I worked with a branding agency called McLean Design. I've worked with a number of branding agencies over the years. In my opinion, they are the best in the business. They've done major multibillion-dollar brands. They took Hansen's Energy. You've heard of Hansen's Cream Soda. They've got a bunch of different soft drinks. They took Hansen's Energy Drink and they converted it to Monster. Monster has now grown to become the largest energy drink company in the world. That was coming from a place where they had an 8% share of the market and Red Bull had a 92% share of the market.
Brand matters. We didn't call Trifecta Greg's Paleo Meals or Greg's Vegan Meals or something like that. People want to be associated with our brand because we are a cool brand, the sexy brand, the luxury brand. Starting at the top of the pyramid with a high-end luxury product. Coming in with a mid-market product, which we did with our à la carte line where you can build meals for about $5 to $8 a meal, which is much more affordable for most people. For Tesla that was the Model S, the Model X, where it wasn't so unbelievably expensive like the Roadster. Finally, they went to mass market, which is now the Model 3 that they're trying to produce at scale. It's about going in the opposite direction. Most entrepreneurs think, "I'll come up with a price-competitive option." That is a very difficult play for a number of reasons. The main one is you want to be a coveted brand. You want social influencers and most people to covet and want your brand.
It's much easier to go downstream from luxury to economy than it is to go upstream from economy to luxury if that makes sense. That's the first stages of fundraising. Make sure you have the right business model, the right brand strategy. With that pyramid model, if you are selling a product. Get a minimum viable product. From there, at that point, educate yourself on fundraising and go out and start talking to local Angel Investor groups, friends and family. You're probably going to start with friends and family. Maybe you can raise $100,000 in small increments from them. From there, you'll go to Angel Investors where you can raise a few hundred thousand to potentially as much as $1 million or $2 million from some super Angels. From there it's obviously venture capital where you're going to raise $2 million as much as $40 million or $50 million these days. The next stage after that is his private equity where your small deals are in the $15 million range.
Big deals get into $100 million to several hundred million range. Beyond that is usually an IPO. Unless you're someone like Uber, which virtually nobody is ever going to start a company like that. There are very few unicorn companies that raised billions of dollars in private capital before they go public. It's very rare. It's usually people get to friends and family, Angels, maybe venture capital. Usually, they either raise a private equity round and sell or they get gobbled up because they have proprietary technology or something else along those lines.
Dustin
You acquired the number one CrossFit app on the Apple app store, Pocket WOD and you rebranded it. What was the thinking behind that if you're a meal prep company?
Greg
It was a part of our overall strategy. If you look at our competitors, most of their phone apps are essentially another way to order their food. They don't add any value to their consumers. For us, it was a two-part play. The CEO of that company, Tyler Thomas, we wanted him. He had helped with some of our site architecture early on as a favor, because he and I are friends. He's now the CTO of Trifecta. It comes down to customer success and data. I am in the business of getting America back into shape. That is literally our company mission. Our food has an after state, a means to an end. We're not trying to create a cooking experience like Blue Apron or we're not trying to eliminate the convenience of not having to grocery shop like a standard meal delivery service.
What we want is to have people eat our food and either lose a whole bunch of weight or if they're already in pretty good shape, maybe they get a six-pack or something along those lines. We're a specifically designed service to help people get healthy. One of the ways we have found to best help people succeed is to have them track what they're eating. Rather than us starting from scratch and building our own app which can be a multiyear process, we spent about $1 million and bought an app company outright. We brought that app company inside of Trifecta and added some nutrition components to go along with the workout components they already had.
It gave us a great base to start with. They had 4.6 out of five stars out of over 5,000 reviews. They had multimillions of downloads already. All these components that would have taken us years and years to build up, we were able to slingshot out there right out of the gates with an amazing app that was useful for helping our customers succeed. For most businesses, their main goal is customer success. If your customers are successful, they're going to stick around. They're going to refer their friends. They're going to be long-term subscribers. A big component of that was tracking your exercise, tracking your food and activity, etc. Since we all live in our phones all day now, the most effective way for us to do that was going to be with an app. Rather than starting from scratch, we said, "Let's go into the market and find a best of breed app."
We obviously love Tyler because we had worked with him over the years. It was a match made in heaven. We were excited to acquire DMW Design Group, which is the parent company of that app. We simultaneously rebranded into the Trifecta app, which has given us another stream of revenue, given us a bunch of data on our customers because they enter their workouts, what food they're eating, all of this stuff that will be useful as we plan to approach healthcare in the long-term. At the same time, make our customers more successful all in one swift stroke. We’re excited about it. It's paid serious dividends since we did the deal. That's the backstory behind the app acquisition.
Dustin
I can imagine some of the folks that are reading part of our crew, part of our audience that are entrepreneurs, they would be probably throwing things at me or blowing up Facebook to ask this question. Are there any other apps, companies or even tech that looks appealing to you as a potential acquisition? Is there anything on your mind?
Greg
In terms of tech, one of the things that we're interested in, there's a lot of technology and different ideas floating around about quantified human tech. We've talked to Google's medical device company, Verily. They have, for example, contact lenses that track your blood sugar level through your tears. They're not accurate enough yet to be able to directly replace poking your finger for a blood sample. You've got to think Type 2 diabetes, that's a massive market for us. If we could get different quantified human technology like contact lenses or maybe some specific wearables or various other things that are feeding us more data about our consumer's health, we're able to adapt the food they're getting, the activities we're suggesting, the nutrition we're suggesting, all of that more accurately on a one to one basis to that individual consumer.
Those types of technologies are very attractive to us from an acquisition standpoint. To blow your readers' minds, I talked about big market sizes, Type 2 diabetes by itself, we as taxpayers spent $430 billion on Type 2 diabetes care alone. That's through Medicare. It's a mind-blowing amount of money. We spend about $6,000 per user per month to be able to provide that care. We could feed that same user for about twenty times less, much less. That's long-term for us is to get these quantified human technologies integrated into this total solution for nutrition and healthcare where eventually physicians can prescribe Trifecta to people.
Those people were able to track their blood sugar level through their contacts, their activity through their phone and their smartwatch and various other stuff like that to be able to feed that data to healthcare providers so that they're able to keep much better track of their patients. They know if something like a heart attack is probable or if the person has their diabetes is getting worse and they're about to have some episode or a stroke or something along those lines. Those types of technologies are where we see the future of nutrition and healthcare. Those are definitely very attractive for us from an acquisition standpoint.
Dustin
I want to talk about sponsorship a little bit because I know some of our folks do that. I've done that in the past a little bit. You've done CrossFit games, UFC and there are so many other events that you've sponsored. How has sponsorship played a role? How do you look at it? How do you look at ROI if you're going to enter into a dealer sponsorship?
Greg
There are a lot of components to it. This is an area where we definitely have some ROI secret sauce that I'm on the off chance that one of our competitors is listing that I'm not going to give away. For the most part, directly sponsoring the sports leagues allows us to have a huge amount of influence over the influencers in that league. Take CrossFit as an example, which is a league that we essentially totally dominated at this point. We've titled sponsored the CrossFit games for multiple years in a row. We’ve had most of the top athletes including like the Michael Jordan of CrossFit. His name is Rich Froning. It allows us to bring all the influencers in that particular space together because we are directly sponsoring the league itself.
It also allows us to prove the efficacy of the brand. My goal is to help get America back into shape. The people educating Americans on nutrition are the top bodybuilders, the top CrossFitters, the top UFC fighters, the top Olympians. We sponsored the US Olympic team as well. These athletes are the ones that people follow on Instagram. They follow their diets. They follow their YouTube channels. They're looking to see what these people are eating to have these amazing six packs and to be these ideal body types. We utilize those influencers to educate the population on how to get into shape. Having that direct partnership with the sports leagues allows us to connect with the top athletes in the leagues, as well as essentially build a competitive advantage for us because we're signing these multiyear exclusives with the leagues.
The biggest one we've done to date is a five-year almost $10 million sponsorship with the UFC. I'm a big fan of the UFC myself. Obviously, they're extraordinarily popular these days and it’s a weight class sport. The fighters are managing their weight both before the fight as well as in fight camp. Finally in fight week, which is the week before the fight when there's usually the most drastic weight descent. Having Trifecta be directly involved with that is absolutely critical. We announced with the UFC Performance Institute that we are taking over the entire UFC nutrition programs. Not only are we sponsoring the UFC, which gives us all the social media posts and Octagon placement and all of those types of things. At the same time, the UFC has brought us in to take over their nutrition programs.
We fly a gentleman named Mario, who's our Executive Chef for the program. He flies around with UFC to the various different pay-per-view events, cooks for the fighters right there on-site using Trifecta food. That results in much fewer fighters missing weight, which in the UFC's case is worth tens of millions of dollars per pay-per-view. You can imagine if you have a title fight. The title fighter doesn't make weight then all of those people are not going to buy that fight. It's very valuable to Dana White and his team and that's why he brought us in to help get that program set up so that now we've been running it, we've had maybe one fighter miss weight. It was because the fighter was a very late entrant, eight days before the fight. Another fight had dropped out and they had to bring a new fighter in.
We're saving the UFC tens of millions of dollars, at the same time the UFC is buying huge amounts of food from us, which allows us to counterbalance the money that we're spending on the sponsorship. It's amazing visibility for us across the board because literally, the name of the program is Trifecta Fight Prep powered by the UFC. There's not much a cooler you can get on the brand standpoint than to be running nutrition for the entire UFC. It's something we're extremely excited about. It gives us a lot of visibility because the UFC in terms of pay-per-views were seen by 1.8 billion people worldwide. They're a massive global sport and they're neck and neck with the NBA for the largest number of social media followers. Across all platforms, they've got roughly 65 million social media followers. Since we're very social influence or driven business, us having huge partners like the UFC supporting us is phenomenal for continuing to compound our growth over time.
Dustin
Greg, before you were the Cadillac or the Pinnacle, the Mercedes, whatever car of your choice, the Tesla Roadster. I'm thinking like influencer market is such a big thing. You're there. You're sponsoring the whole league, so you get that brand awareness. Maybe think back to before all that stuff happened, if you're going to go out and get a traditional influencer, I love the advice of getting one that is in channel alignments. Don't try to get some big celebrity, get one that makes sense together these deals. What makes it exciting for a professional boxer or a wrestler or UFC champion to want to get behind your brand other than a big paycheck? What are some of the points there?
Greg
There are a few components. Part of it goes back to the pyramid component we were talking about. Having that Tesla Roadster vibe to the brand, if you launch with a low-price mass market product, it's going to be difficult to get those celebrity influencers on board. You want to a very sexy product that's very coveted by the influencers themselves. From there, it's identifying someone that is very well channel aligned with you. If you're selling business services, you're going to want someone like Gary Vee or Daymond John or Kevin Harrington, someone along those lines that are known for being a business expert.
People always say, "I have a B2B business or this or that. I don't know if influencer marketing is for me." I always laugh at them because it's something where even business owners or people too, they are following the same influencers on social media. We don't have an outbound B2B Division. It's only inbound because we get multiple businesses every single day that directly reach out to us and say, "We want to carry Trifecta in our gym,” or our store or whatever the situation is. A great example, it's a funny one that was based in California and marijuana has now become legal. A buddy of mine runs one of the largest marijuana growing operations in the country.
He sells to cannabis clubs and B2B sales situations. He was asking me about influencer marketing. He's like, "I don't sell directly to consumers and because of that I don't think it's going to work for me." My response was, "Imagine you getting someone like Snoop Dogg or Wiz Khalifa or somebody like that on board. All of the cannabis club owners that you work with hundreds of them follow those, someone like Snoop Dogg on social media. If Snoop Dogg is promoting your particular brands of marijuana that you sell, those cannabis club owners who are your B2B contacts are going to get a huge demand from their customers to carry that particular brand. They're going to see it themselves on their social media and it's going to be a win-win for you." It's easy to run those types of campaigns.
Even if you're doing something like selling B2Bs. It's getting channel alignment, making sure you have a highly coveted super premium product that is going to appeal to the influencers. From there, it's starting smaller, get someone on Instagram that has maybe 100,000 followers to start. Once you get them on board, maybe a couple of people like them get someone who has 500,000. From there, you'll have the street cred with the bigger influencers because you're like, "I've got John Smith who has 500,000 followers. I want to bring you on board. You've got two million.” You could be like a flagship influencer for the business XYZ and find a way to make it a win-win for you and the influencer. For us, that's giving them the product for free with the food. Simultaneously, we put them in our affiliate program and build out sophisticated inbound marketing, the affiliate funnels around the influencers. The more they promote us, the more they're able to monetize the relationship. That aligns our economic incentives, which is absolutely critical.
Most people go out and they go, "I'll pay you $5,000 a month if you post about us two or three times per month." I guarantee you that influencer is going to post about you exactly two times a month. They're going to do the minimum possible amount that they can do to get that money out of you. They're going to resume promoting things that they feel like are scalable, like their own products or services or personal brand or whatever the situation is. It's aligning your economic incentives, starting small and scaling up, making sure you have a highly coveted premium product and making sure you have channel alignment. If you get all of those things in together simultaneously you can build out a robust and successful influencer marketing program.
Dustin
Greg, I appreciate you being on the show. I want to ask you, what's the future? What are you most excited about at Trifecta?
Greg
It’s us completing our domination of all sport. Once we have the last remaining sports league signed on board, that would be very exciting for me from a B2C standpoint. The most exciting for me is every week in our team meeting, we highlight customer success. Seeing people that have lost 20, 30, 50, 100 pounds; our current record is a woman lost 190 pounds eating our food about a year and a half. Those are what is exciting for me. That's why I'm so excited for us to get into healthcare. That is a space that is not only the multibillion-dollar opportunity for us as a company but also our opportunity to give back to the US by helping at scale solve the obesity epidemic, which I would argue as the largest public health crisis of our time. At the same time, it’s a way to help individual people.
I quote these metrics all the time, but we're now at 74% of adult males and 68% of adult females and almost 55% of children who are overweight or obese in the United States. When it comes to the national budget, it doesn't matter if you're a Republican or a Democrat. The fact that we're spending trillions of dollars a year on healthcare is eventually going to cause major financial issues for the country. We feel like this is a way for us to give back to the US. Help people on an individual level because they feel great. We did a full story on a gentleman named John Gramlich that's on our YouTube right now. He lost 110 pounds. Seeing him be that excited and that upbeat for him to have a six pack now, all of this stuff, it's not much more a rewarding you can ask for from a business standpoint.
It's amazing to see that type of response from our consumers that call into our customer service. They're like, "You have literally changed my life. I'm a different person. People see me and they're like, ‘What happened to you?’” They feel great about themselves. They're able to be more active. They can play with their kids. They're more successful at work. There are all these ancillary benefits that come from being in great shape. That is the thing that keeps me working around the clock. I'm excited to see that from so many of our customers. I want to scale that to a meaningful level nationwide where we're having a major impact on the obesity epidemic in the United States. That is what's in store for us in the future. We're excited to continue to scale and hopefully continue to help tens of thousands of more people in the US get back into shape.
Dustin
Greg, I truly appreciate you coming on. I know you're incredibly busy sharing the mission, sharing some inside baseball with us here. For folks that want to try some of the yummy and scrumptious Trifecta nutrition meals and everything that you have to offer, including the education that you provide as well, where can folks do that?
Greg
On our website, TrifectaNutrition.com. You can google search for Trifecta at this point. We are the whole first page on the internet. That's the easiest place for them to find us. We've got every type of food under the sun at this point. Everything from Keto to Vegan to macro-based plans. We've got something for everybody. I appreciate you having me on the show. One of my big passions is helping other entrepreneurs out. I'm thrilled to see what you guys are doing over at WealthFit. I'm glad I could do my small piece to hopefully contribute to the discussion and help your audience continue to scale their businesses and impact people's lives and in their ecosystem.
Dustin
Thanks, Greg. I truly appreciate having you.
Greg
Thank you. I appreciate it. Talk to you soon.

RELATED TRAINING

 in 

LIFESTYLE

The 7 Mind Types

The 7 Mind Types

How To Discover Your Mental Superpower and Harness It For Success in Life and Business

Ridgely Goldsborough

Watch Now
article
How To Achieve More By Doing Less

Learn how to be more productive — without working harder. Discover how high achievers get more done by focusing on what’s really important . . . and ignoring everything else.

How To Achieve More By Doing Less

Alex Carabi

Read Now
Ignite Your Genius

Ignite Your Genius

How To Activate Your Subconscious Mind, Eliminate Mental Blocks, and Achieve More

Howard Berg

Watch Now
Speed Learning

Speed Learning

How To Unleash Your Brain’s Full Potential and Get Smarter Faster

Howard Berg

Watch Now
podcast
Eat To Beat Disease

Your body has the power to kill disease on its own. Learn about your body's natural defense system from Dr. William Li.

Eat To Beat Disease

article
Into The Valley Of Fire: Why Struggle Is the Only Way To Progress In Life

Learn how to progress in life by accepting struggle & hardship. Take on bigger challenges—give it your all—and come out stronger than ever.

Into The Valley Of Fire: Why Struggle Is the Only Way To Progress In Life

Alex Carabi

Read Now
article
Only 1% Of People Have A Self-Transforming Mind: Learn How To Think In Grayscale

Learn the 5 Stages of adult development. Plus learn how to develop a self-transforming mind and join the top 1% of adults.

Only 1% Of People Have A Self-Transforming Mind: Learn How To Think In Grayscale

Alex Carabi

Read Now
podcast
Change Your Brain, Change Your Income

Unlock your brain’s hidden power with John Assaraf, founder and CEO of NeuroGym.

Change Your Brain, Change Your Income

podcast
Blitz Scaling, The Perfect Meal & Getting America Back In Shape

Greg Connolly, self-made entrepreneur, shares the secrets to his success and how to raise money for your growing business.

Blitz Scaling, The Perfect Meal & Getting America Back In Shape

podcast
Feel Better Fast, Freaky Eating & The Virgin Empire

JJ Virgin teaches us how to feel great through what we put in our bodies. Learn how to lose fat for good with a natural diet.

Feel Better Fast, Freaky Eating & The Virgin Empire

Be a Goal-Getter

Be a Goal-Getter

How To "Un-Stuck" Yourself and Start Achieving Every Financial, Physical, & Life Goal You Set

JP Servideo

Watch Now
podcast
A “Real Life” Superwoman

Robyn Benincasa hasn't let her bionic hips get in the way of breaking world records, fighting fires & winning races.

A “Real Life” Superwoman

podcast
Being True To Yourself & Going ALL-IN

Reichen Kuhl has done it all: entrepreneur, Amazing Race winner, lawyer, and model. Learn how to make a resume out of a well-lived life.

Being True To Yourself & Going ALL-IN

Relentless Power

Relentless Power

How To Build Mental Toughness and Achieve Your Ultimate Purpose

Kevin Armentrout

Watch Now
podcast
From Cancer ... To Rafting Around the World

3-time whitewater rafting world champion, attorney, entrepreneur, cancer survivor. Juliet Starrett's mindset was forged in fire.

From Cancer ... To Rafting Around the World

Extreme Productivity

Extreme Productivity

How to Develop Ruthless Focus, Accomplish More, & Conquer “Impossible” Goals

Croix Sather

Watch Now
The 4-Day Weekend Lifestyle

The 4-Day Weekend Lifestyle

How to Re-Design Your Life, Re-Discover Your Passion, and Make Every Weekend A 4-Day Weekend

Croix Sather

Watch Now
article
Change Your Life (and the World) with an Exponential Mindset

Understanding exponential growth is a CRUCIAL part of creating a wealth building mindset. Learn how to use it to your advantage.

Change Your Life (and the World) with an Exponential Mindset

Amy Blacklock

Read Now
article
Get SMART: How to Achieve Your Goals with a Long-Term Mindset

You have goals. Maybe you've had them for years—but they aren't doing you any good collecting dust in a journal. Time to get things done.

Get SMART: How to Achieve Your Goals with a Long-Term Mindset

Jill Huettich

Read Now
podcast
Financial Success Through Strong Relationships

How to build your business with relationships. Dave Meltzer explains how negotiating relationships is the key to business growth.

Financial Success Through Strong Relationships

article
It’s About Time: Learn How to Spend (and Save) Your Time

Time is running out. Don’t you want to make the most of it? Here’s how you can grab the clock by the hands and make the most of your time.

It’s About Time: Learn How to Spend (and Save) Your Time

Kayla Provencher

Read Now
article
Let Clowns Do the Juggling: How Multitasking is Killing Your Productivity

How many things are you doing right now? Put down your phone, close your tabs, and learn how focusing in can save the quality of your work.

Let Clowns Do the Juggling: How Multitasking is Killing Your Productivity

Justin McCormick

Read Now
article
Check Yourself: Keep a Work Checklist & Up Your Productivity

Check it out! You can improve your productivity by keeping a work checklist. Learn how to write one and take your career to the next level.

Check Yourself: Keep a Work Checklist & Up Your Productivity

Jill Huettich

Read Now
Developing a Warrior Mindset

Developing a Warrior Mindset

How to Shatter Your Fear, Upgrade Your Brain, & Fight Your Way to Financial Freedom

David Fabricius

Watch Now