Brainstorming $100M Ideas with the $1B+ King of Brands
Timestamps are as accurate as they can be but may be slightly off. We encourage you to listen to the full context.
Podcast Summary
In this episode of The Diary of a CEO podcast, Sam Parr interviews Eric Ryan, the serial entrepreneur behind billion-dollar consumer brands including Method soap, Ollie vitamins, and Welly bandages. (01:26) Ryan reveals his systematic four-step process for disrupting established categories: finding cultural shifts that categories have missed, identifying "seas of sameness," being a strategic thief who borrows ideas from unrelated industries, and creating simple iterations that cut through noise. The conversation covers Ryan's unique approach to product development, from trend trips where he transforms global inspiration into products within 24 hours, to his philosophy that "if it's hard, it's probably wrong." (17:17) The episode concludes with a creative brainstorming session where both hosts pitch half-baked business ideas, applying Ryan's methodology in real-time.
- Main theme: How to systematically identify and disrupt consumer categories through strategic observation, cultural trend analysis, and simplified innovation that transforms "must buy" products into "want to buy" experiences.
Speakers
Eric Ryan
Eric Ryan is a serial entrepreneur and the co-founder of Method cleaning products, one of the first designer commodity brands that revolutionized the home care industry. He also founded Ollie vitamins, which transformed the supplement industry by making gummy vitamins mainstream for adults, and Welly bandages, which brought color and design to first aid products. Ryan has built multiple billion-dollar consumer brands and has a unique relationship with Target, being one of the first entrepreneurs to successfully launch startup brands with major mass retailers.
Sam Parr
Sam Parr is the host and co-founder of The Diary of a CEO podcast and a successful entrepreneur. He has experience in the e-commerce space and has built and sold businesses. Parr is known for his direct interviewing style and ability to extract practical insights from successful entrepreneurs and business leaders.
Key Takeaways
Look for Cultural Shifts That Categories Haven't Adopted Yet
Ryan's core strategy involves identifying major cultural trends that are happening in one area but haven't been applied to another category yet. (04:38) For Method soap, he noticed the "lifestyling of the home" trend in 2002 - people were starting to care about how products looked on their countertops, but cleaning products were still designed to be hidden away. This insight led to creating cleaning products that were designed as decorative objects. The key is finding trends that exist elsewhere and asking "what if this cultural shift was applied to this traditional category?" This approach allows entrepreneurs to ride existing consumer momentum rather than trying to create entirely new behaviors.
Master the Art of Strategic Theft from Distant Industries
Ryan emphasizes that the best innovations come from stealing ideas from as far away as possible rather than copying direct competitors. (05:38) For Method, he stole from personal care (colors, fragrances) and housewares (beautiful vase shapes) to create cleaning products that looked like "little objects of desire." The further apart the two dots you're connecting, the more powerful the potential idea becomes. This creates what Ryan calls "creative tension" - bringing together two disparate concepts creates deeper consumer experiences and stronger brand loyalty because the combination feels both familiar enough to understand but novel enough to be exciting.
Change Only One Thing at a Time for Higher Success Rates
Ryan follows what he calls the "golden rule" from fashion and apparel: if you change one thing from the core category, you have a higher probability of success, but if you change two or three things, you'll most likely fail. (18:14) He compares this to advertising's principle of throwing consumers one egg versus multiple eggs - people can catch one, but will drop multiple. This principle helped him create square vitamin packaging when everyone else was round, or change Band-Aid colors when everyone else was nude-colored. The key is finding that single stroke that cuts through the noise while keeping everything else familiar.
Turn "Must Buy" Products into "Want to Buy" Experiences
Rather than trying to educate consumers about entirely new categories, Ryan focuses on transforming products people already understand they need into products they actually desire. (27:03) With Ollie vitamins, he took the insight that millennials view health and wellness as a lifestyle pursuit and reimagined vitamins as lifestyle products rather than medical necessities. This meant designing square jars that people would want to leave out on their counters, using benefit-focused names like "Sleep" and "Beauty" instead of ingredient names like "melatonin" and "biotin," and creating an overall experience that felt more like Soul Cycle than a pharmacy.
Prioritize Energy Flow and "Time to Fun" in Everything You Build
Ryan evaluates both business concepts and customer experiences through what he calls "energy flow" - if something is giving him energy back while working on it, he knows it's right. (28:53) He applies this same principle to customer experience through what the hosts call "time to fun" - minimizing the time between a customer's first interaction and their first positive experience. Whether it's grab-and-go munchkins at his theoretical diner concept or the satisfying experience of peeling wax off cheese, successful products need to deliver immediate gratification. This principle extends to business operations too - if you're constantly pushing water uphill, you might be in the wrong market or pursuing the wrong approach.
Statistics & Facts
- Method soap and Ollie vitamins are both approaching billion-dollar brand valuations, demonstrating the massive scale that can be achieved through category disruption. (01:22)
- In 2002, no mass retailer worked with startups, making Ryan's partnership with Target groundbreaking as the first startup to successfully launch designer commodities in mass retail. (03:21)
- Ryan's 24-hour product development cycle during trend trips allowed his team to sell new products to Target before even returning home from international trips, showcasing the power of rapid iteration in retail partnerships. (33:54)
