Podcast Summary
Embracing Otherness: The Advantage of Entrepreneurs' Outsider Perspective: By not conforming to societal norms and thinking differently, entrepreneurs can find innovative solutions and make significant impacts, leading to success and historical achievements.
Entrepreneurs often feel like outsiders, and this trait is actually beneficial for their success. James shared his experiences of feeling socially awkward, being a loner, and having an inadequacy complex during his childhood. These experiences shaped him and made him see things differently, which is a common trait among successful entrepreneurs. By not conforming to conventional wisdom and social cues, entrepreneurs are able to find unique ways of doing things that set them apart from the competition. This mindset allows them to achieve outsized returns and make a significant impact in their industries. As James mentioned, going against the grain often leads to making history rather than being mistaken.
Embracing Individuality in Business Journey: Finding your own path, regardless of societal expectations, can lead to personal and professional growth, as James Watt's unconventional journey proves.
Finding your own way and not caring too much about what others think can lead to opportunities and solutions in business. James Watt shares his experience of not meeting his mother's expectations and the subsequent lack of contact for over 20 years. However, he has found success and a fulfilling relationship with his father and the rest of his family. While James acknowledges that his difficult past may have contributed to feelings of inadequacy and an inherent drive to prove himself, he has found temporary relief through business achievements. His father's hardworking nature and resilience have also influenced him greatly. James's unconventional path, from studying law to becoming a fisherman, taught him valuable lessons about resilience, teamwork, and facing adversity.
The true test of character and capabilities is revealed during difficult challenges.: Facing and overcoming difficult challenges reveals someone's true character and capabilities, both in personal and business settings. It is important to confront the reality while maintaining faith to achieve success.
Facing difficult challenges is a true test of character and reveals someone's true capabilities. James Watt shared his experience on the boat and emphasized that it is during the most challenging and adverse situations that you really see what someone is made of. This lesson can be applied to business as well, where it's easy for team members to shine when everything is going well, but the true value lies in identifying those who can be relied upon when things get tough. James also highlighted the importance of confronting the harsh realities of the current situation while maintaining faith in reaching the ultimate goal. It is crucial to prioritize and address the most difficult challenges rather than getting caught up in the excitement of new projects. By acknowledging and tackling these challenges head-on, companies can determine their destiny and achieve success.
Overcoming Challenges with Passion and Resilience: Starting a business or pursuing a dream requires passion, resilience, and staying true to your values, even in the face of challenges and potential failure.
James Watt and Martin Dickie started their beer company with no experience, no capital, and no business plan, but with a huge passion for making fantastic quality beers. They faced numerous challenges, from financial struggles to rejection from potential customers. However, they were determined to stay true to their vision and refused to compromise on the quality and flavor of their beer. Despite facing tough times and even contemplating failure, they persevered and eventually found their breakthrough in 2008. This conversation highlights the importance of passion, resilience, and staying true to your values when starting a business or pursuing a dream.
Perseverance and Passion in Business: Building a strong community around a business can be crucial for its growth and success.
Perseverance and passion can lead to success in business. Despite facing financial struggles and feeling inadequate, James and his partner refused to quit and were determined to make their business survive. Their opportunity came when they won a beer competition and secured a contract with Tesco. However, they were unprepared to meet the demands of the order. Undeterred, they approached a different bank and convinced them to provide the necessary funds. With the right equipment and the support of their community, their sales gradually increased, giving them a foothold in the market. This shows that building a strong community around a business can be a crucial factor in its growth and success.
Building a Community: How Equity for Punks Helped Raise Millions and Create Brand Ambassadors: By involving their customers as investors through Equity for Punks, the company not only secured funding but also fostered a supportive community of brand advocates, resulting in increased loyalty and valuable feedback.
Community has been one of the most important factors in the success of their business. When they needed money to expand their business in 2009, they came up with the concept of Equity for Punks, where they sold shares of the company to their beer-loving customers. Despite skepticism from legal companies and others, they took a gamble and launched this untested business model. It turned out to be a success, with 600 investors raising $500,000 initially, and now a community of 210,000 people raising almost $100 million through Equity for Punks. This model has created a close-knit community of investors, advocates, and ambassadors who believe in the company's mission and feel ownership over their beers. This community has become their biggest fans, providing valuable feedback and support in various aspects of their business. This innovative model is similar to crowdfunding, but with a focus on building a strong community and increasing loyalty among their customers.
BrewDog's Unique Marketing Approach and Commitment to Authenticity: BrewDog's success stems from its bold and provocative marketing tactics that align with its values, helping the company stand out in a competitive industry and build a loyal customer base.
BrewDog's success lies in its unique marketing approach and commitment to staying true to its values. BrewDog differentiates itself by asking two simple questions: "Could or would another business do this?" and "Will it give a 10x return compared to competitors?" This mindset has helped the company stand out in an industry dominated by larger competitors. To gain attention and market share, BrewDog understands the importance of being bold and provocative, especially in its early years when it had limited resources. However, every marketing initiative is carefully evaluated to ensure it aligns with the company's beliefs and goals. By staying authentic and passionate about their fantastic beer, BrewDog continues to build a loyal customer base and drive business growth.
BrewDog's Unconventional Marketing Tactics: BrewDog's intentional complaints about their own beer exposed industry corruption, emphasized the importance of craft beer education, and highlighted the dominance of larger companies in the beer industry.
James Watt and his company, BrewDog, used unconventional marketing tactics to challenge and expose the power dynamics within the beer industry. They made a meta statement by intentionally complaining about their own beer to highlight the corrupt and unfair practices of industry regulators, such as the Portman Group. By creating a beer with a high ABV and receiving negative press, they aimed to contrast themselves from bigger players that produce cheap and potentially abused alcohol. This strategy ultimately garnered attention, achieved the desired headlines, and highlighted the need for education and appreciation of craft beer. It also shed light on how larger companies exerted influence and pressure on smaller businesses to maintain their dominance. Watt saw these challenges and setbacks as signs that BrewDog was making a positive impact and disrupting the industry for the better.
Pushing Boundaries: The Key to Success in Business: Being innovative, constantly improving, and using strategic marketing are crucial for success in business. Embrace boldness, challenge norms, and stay ahead in the market.
In order to be successful, businesses need to push the boundaries and be worthy of imitation. James Watt emphasizes that unless competitors are trying to copy or knock you down, you're not posing enough of a threat. This highlights the importance of staying innovative and constantly improving to stay ahead in the market. The conversation also touches on the topic of bold marketing moves and the line between truth and morality. While James admits to making mistakes and taking things too far in the past, he believes in using controversial tactics to expose flaws in systems or challenge established norms. Overall, the key takeaway is that being daring, constantly evolving, and using strategic marketing can lead to remarkable success.
The Importance of Context in Marketing Campaigns: Marketing campaigns should consider the context to avoid misinterpretation, ensuring that the intended message is clear and easily understood by the audience.
Marketing campaigns need to consider the context in order to avoid misinterpretation. James Watt shared an example of a marketing mistake made by his company. They created a beer called Pink IPA, aiming to highlight the gender pay gap and donate proceeds to charity. However, people misunderstood the intention and saw it as another product targeting women. This taught James the importance of ensuring that the intended message is clear and not open to misinterpretation. Steven Bartlett agreed, emphasizing the need for the context of a marketing campaign to be inseparable from its message. This highlights the significance of considering the way a campaign may be perceived at face value and taking steps to ensure that the intended message is easily understood.
Inspiring and supporting leaders on the journey to success.: Effective leadership involves communication, understanding individual motivations, seeking support, and transitioning from managing to leading as the business grows.
Effective leadership involves taking people with you on the journey and inspiring them to go voluntarily. It is important for leaders to communicate the reasons behind their actions and clearly articulate the benefits for both the individuals and the business as a whole. Pushing team members too hard without considering their investment in the company can lead to burnout and ineffective outcomes. It is crucial for leaders to understand that not everyone will have the same level of drive and commitment. Additionally, leadership can be lonely and intense, which is why having a mentor or someone who can provide guidance and support is highly beneficial. As a leader evolves, they should aim to transition from managing a small team to leading a medium to large company, focusing on taking their people along on the journey.
Aligning incentives and ownership for success.: Giving equity and sharing profits with employees motivates the team, improves customer experience, retains talent, and has the potential to transform the industry.
Aligning incentives and creating a sense of ownership among employees can lead to a fundamentally different and more successful business model. By giving equity to the team, the business owner ensures that everyone is invested in the company's success and rewards them accordingly. This approach not only motivates the team to work harder but also elevates the standard of hospitality and customer experience. Additionally, by sharing 50% of profits with the employees at each hospitality venue, the business aims to retain top talent and create a more positive working environment. The conversation suggests that this unique model could inspire other businesses to follow suit and potentially transform the industry as a whole.
James Watt's Passion and Vision for Future Growth: James Watt, CEO of the company, is driven by a strong passion for leading and growing the business. He envisions building one of the world's best companies and is excited about the journey of making a meaningful impact and achieving long-term success.
James Watt, the CEO of the company, is driven by a strong passion to continue leading and growing the business. While he may feel indifferent or numb towards the achievements they have accomplished so far, he is focused on the future and the potential impact they can make. James envisions building one of the world's best beer companies and overall companies, similar in scale to companies like Whole Foods, Tesla, Google, Amazon, and Starbucks. He is excited about expanding their reach, making a meaningful impact on sustainability, enriching the lives of their customers, and taking care of their team members. James emphasizes that the journey and joy of building something is what excites him the most, and he looks forward to the next 5-10 years of growth and success.
The Pursuit of Happiness beyond Achievement: True contentment comes from embracing the journey of growth and progress, rather than fixating on reaching specific goals or milestones.
Achieving a specific goal or reaching a peak does not guarantee long-lasting contentment or happiness. James Watt shares his experience of setting the goal to build a unicorn company, which he believed would bring him a sense of accomplishment and fulfillment. However, upon achieving this goal, he quickly realized that the euphoria was short-lived and the challenges and demons still persisted. Steven Bartlett reflects on this, emphasizing the importance of setting goals that can never truly be completed. He suggests that constantly striving for improvement and using words like "better" instead of focusing on specific rankings or achievements can lead to a more fulfilling journey in life. This conversation highlights the idea that true happiness lies in the continuous pursuit of growth and progress rather than fixed destinations.
The Power of the Inner Voice and Overcoming Self-Doubt: Forgiving past wounds and recognizing our worthiness are essential steps in silencing the negative voice in our heads and finding true validation from within.
The voice in our heads, often influenced by past experiences and external validation, can greatly impact our self-perception and drive for success. James Watt's childhood experiences and his mother's discouragement created a voice in his head that constantly questioned his abilities, pushing him to prove himself and achieve validation. While this voice has propelled him to accomplish great things, it still lingers and creates self-doubt. The conversation highlights the importance of forgiveness and healing from past wounds to break free from the grip of this negative voice. It also emphasizes the need to recognize our inherent worthiness and not rely solely on external validation to feel like we are enough.
Shifting Ambitions and Finding Meaningful Goals: Success is not solely defined by material possessions and impressing others. It is important to align ambitions with personal values, find fulfillment beyond financial success, and strive for personal growth and meaningful goals.
Both Steven Bartlett and James Watt have experienced a shift in their ambitions as they have grown and achieved success. Initially driven by a feeling of inadequacy, their ambitions were centered around material possessions and impressing others. However, as they began to feel more fulfilled and content with themselves, their ambitions changed to become intrinsically motivated and focused on personal growth and meaningful goals. They emphasize the importance of aligning ambitions with personal values and finding fulfillment beyond financial success. James Watt also acknowledges that Brewdog has had its share of controversies and challenges in the past, but they have taken steps to improve their company culture and become a better employer. The launch of their new manifesto, the Brewdog Blueprint, reflects their commitment to sustainability and holistic success.
Acknowledging valid feedback and addressing toxic work culture: James Watt acknowledges his role in setting unrealistic standards, but also highlights the need to discern between genuine feedback and intentional damage infliction, using this experience to improve the company in the long term.
James Watt, as the CEO, acknowledges the valid and fair feedback about his company's toxic work culture. He admits that he has been too intense and demanding at times, setting unrealistic standards for the team. However, he also highlights that there is a mix of genuine feedback and intentional damage infliction by certain individuals. Despite facing criticism and being targeted by mistruths, misrepresentations, and criminal activities, Watt intends to use this experience as an opportunity to improve the company in the long term. He emphasizes the importance of listening to valid concerns while discerning between genuine feedback and disingenuous claims. Additionally, Watt reflects on the differences between how successful business people are perceived in the US and the UK, suggesting that jealousy may play a role in the negative reception towards success.
Fostering Transparency and Collaboration in Workplace Culture: Brewdog prioritizes transparency, involving employees in decision-making processes, and sharing unfiltered information, aiming to continuously improve their workplace culture.
Transparency and open communication are crucial for improving workplace culture and employee satisfaction. In the past, Brewdog made the mistake of trying to fix cultural issues without involving their employees, which proved to be ineffective. However, they have learned from their mistakes and now prioritize building initiatives with their employees' input. The blueprint, for instance, was developed through extensive focus groups and workshops to ensure that it would have a positive impact on the team. Additionally, Brewdog's transparency dashboard, which includes employee satisfaction scores and other metrics, demonstrates their commitment to openness and trust. By sharing these insights with the public, Brewdog aims to provide unfiltered information and allow people to form their own opinions. Through transparency and involvement, Brewdog has evolved and is dedicated to continuously improving their workplace culture.
Fostering a Diverse and Inclusive Culture at Brewdog: Brewdog takes proactive steps to address employee concerns, promote transparency, and create a safe and respectful work environment, prioritizing personal growth and embracing diversity in their leadership approach.
Brewdog has implemented measures to address concerns related to fear of reprisal and create a more inclusive and diverse culture. They have introduced anonymous surveys and an independent third party to encourage objective feedback from employees. James Watt takes full responsibility for any issues in the company and acknowledges the need for personal growth and evolution in his leadership approach. They have also established an independent ethics hotline for reporting concerns and have a diversity and inclusion forum within the company. Brewdog recognizes the importance of protecting all employees from each other and aims to build a business that is reflective of their diverse customer base.
The Importance of Collaboration and Listening in Building a Strong Culture: Building a strong culture requires collaboration and listening to a wide range of perspectives, acknowledging past mistakes, and creating an inclusive environment that aligns with core values.
Building a strong culture requires a collaborative effort from the entire team. James Watt highlights the importance of listening to a wide range of perspectives within the company, including those on the front lines. He acknowledges that he has made mistakes in the past by imposing his own ideas of culture and not fully considering the team's feelings and actions. Watt emphasizes the need to build the culture together with the team, creating an environment where everyone feels valued and heard. Additionally, Watt's role as a father has influenced his decisions, both in terms of sustainability and creating a company that aligns with his values. The conversation also touches on the importance of staying true to one's values and not compromising them, even in investment decisions. Ultimately, building a strong culture requires continuous learning, growth, and a commitment to inclusivity.
James Watt: Building New Businesses and Pursuing Passions: James Watt's commitment to long-term growth and his willingness to understand and improve himself demonstrates his determination and resilience in building and shaping the future of BrewDog.
James Watt and his company, BrewDog, have been involved in distribution deals with various companies, but have never intended to sell the company. Despite receiving numerous offers, Watt's focus is on building new businesses and pursuing his passions. He emphasizes the importance of committing to long-term growth and seeing where they can take BrewDog in the next 15 years. Additionally, Watt admits to struggling with expressing empathy and reading social cues, which led him to explore the possibility of having a mild form of autism. This self-reflection demonstrates his willingness to understand and improve himself. Overall, this conversation highlights Watt's determination, resilience, and his commitment to his company's future.
Embracing Feedback, Personal Growth, and Mental Health Awareness: Feedback, personal growth, and mental health awareness are essential for positive changes and resilience in the face of challenges.
Both James Watt and Steven Bartlett acknowledge the value of feedback and the importance of personal growth. James admits that he used to ignore feedback in the past but now recognizes the need to reflect and learn from it. He is actively working on being more empathetic as a leader. They both view the challenges they've faced, including negative media attention, as painful but also as opportunities for improvement. James believes that the past 12 months have prompted more changes in the company and his leadership style than ever before. They also discuss anxiety and its impact on their lives. James shares his experiences of hypervigilance and feeling under siege, emphasizing the importance of self-care and adopting practices like breath work. They both acknowledge the increasing prevalence of anxiety in society and the need for mental health support. Overall, the key takeaway is that embracing feedback, personal growth, and mental health awareness can lead to positive changes and resilience in the face of challenges.
The Importance of Transparency and Therapy for Leaders: Openly addressing personal struggles and seeking therapy can enhance leadership skills, promote trust, and cultivate stronger relationships.
Being open and transparent about one's struggles, especially in a leadership role, can foster trust and strengthen relationships. James Watt and Steven Bartlett discuss the importance of breaking the stigma surrounding mental health and seeking professional help, such as therapy. James emphasizes that as a CEO, it is easy to fall into the mentality of "suck it up and get on with it," but acknowledging and addressing personal challenges can lead to better leadership. Therapy, in particular, helps individuals understand themselves better and avoid default patterns that may not be helpful. James emphasizes that he embarked on an intensive therapy course not just for himself, but also for the benefit of his team and his role as a father. Ultimately, this conversation highlights the significance of personal transparency and self-awareness in building strong, supportive relationships.
Brewdog: The World's First Carbon Negative Beer Business: Brewdog's commitment to sustainability is demonstrated through their carbon negative status, investment in bioenergy facilities, reforestation efforts, and belief in collaboration for impactful change.
Brewdog's focus is on sustainability, people, and beer. They have recognized the urgent need for sustainability and have taken significant steps to address it. They became the world's first carbon negative beer business by removing twice as much carbon from the air as they emit, including their supply chain. They have invested in a bioenergy facility that converts wastewater into reusable water and green gas to power their system. Additionally, they have bought land and planted a million trees to create the lost forest and actively take responsibility for their carbon emissions. Brewdog believes that businesses working with scientists and engaged communities can have a greater impact on sustainability than governments alone. Their commitment to sustainability, people, and making great beers drives their actions. Despite criticism from the BBC about their progress, Brewdog remains dedicated to their mission.
The Importance of Finance and Embracing Constraints in Business: Finance is the language of business and understanding its importance is essential for entrepreneurs. Embracing constraints can lead to innovative solutions, while relying on oneself and thinking differently can result in more efficient and cost-effective solutions.
Finance is often overlooked but is a crucial aspect of running a successful business. James Watt emphasizes that finance is the language and scorekeeping system of business, and without it, entrepreneurs cannot effectively understand how their business is performing. He highlights that many small business owners ignore finance, which can lead to their downfall. James Watt and Steven Bartlett both share their experiences of being broke and how it forced them to find unconventional and innovative solutions to overcome financial constraints. They believe that constraints can be a catalyst for finding better ways to do things and encourage entrepreneurs to embrace constraints rather than see them as limiting factors. Furthermore, they advise against outsourcing tasks to agencies, as relying on oneself and thinking differently can lead to more efficient and cost-effective solutions.
Importance of Internal Involvement in Business Operations: Being closely involved in marketing and data insights, and avoiding outsourcing, helps businesses maintain authenticity, tailor their approaches, and achieve personal satisfaction and accomplishment.
When starting a business, it is important to be closely involved in all aspects, especially marketing and data insights. While outsourcing certain tasks may seem convenient, it can lead to a lack of understanding and alignment with the business's goals. By keeping things internal, a company can maintain a strong sense of passion and authenticity, which will resonate better with customers. Additionally, outsourcing may result in cookie-cutter solutions that other companies would use, rather than tailored approaches unique to the business. James Watt emphasizes the importance of being fully invested in the business, as it can lead to personal satisfaction and a sense of accomplishment.
