Codie SanchezFounder @ Contrarian Thinking

Gwyneth Paltrow's $250 Million Media Company #shorts

15 Jan 2023 · 1 min

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0:53

Short YouTube video (Codie Sanchez) summarizing Goop’s growth: founded 2008 as Gwyneth Paltrow’s favorites newsletter; ~150,000 subscribers after ~1 year; by 2018 reportedly ~8 million subscribers with ~40% open rate. Key lessons: (1) built audience by giving free value before monetizing, (2) used viral blog/data to decide which products to produce, and (3) tested with partner launches before full product bets — by the year after first e‑commerce brand launch (2012→2013) product sales represented ~70% of revenue.

Chapters

Do you know Gwyneth Paltrow's media company is valued at more than $250 million. What she did was so smart. Goop starts in 2008 as Gwen's favorite things, but a year later it had 150,000 subscribers. Flash forward 20188 million subs open rate of 40% here's what Gwen nailed first. Free free free. She didn't monetize day one. She only ventured into E Comm and creating her own products multiple years after getting her audience's trust and giving them lots of free stuff. 2. Data not desires Goop used their viral blog posts to tell them which products to launch. Third is Don't Bet the House. Before launching their first E Comm brand in 2012, they partnered with this other company to launch a single product. As soon as it sold out, she was like, we are going to recreate this product. The following year, they generated 70% of their revenue from product sales as opposed to ads or sponsorships. Just because you're famous doesn't mean you're going to be a billionaire. You got to do the work.