The Startup Ideas Podcast
The Startup Ideas Podcast

How to Build Hype with Matteo Franceschetti

February 3, 2022

AI Summary

5 min read

How to Build Hype: The Psychology Behind Making Sleep Cool

The hosts open with a story about Elon Musk's Twitter poll on selling Tesla shares. "He gets the internet," one says. "He knows how to drive intrigue without it being like a Tesla ad." The poll got millions of votes, gave Musk cover to sell $20 billion in stock, and generated massive free publicity. The lesson: memes plus a great product equals good things happening.

The Mischief Model: Reverse-Engineering Virality

The conversation pivots to Mischief, a New York-based collective founded in 2016 by a former BuzzFeed employee. They've done about 90 product drops, each designed to go viral. The Jesus Shoes—Nikes with water from the River Jordan in the sole—sold out immediately. The Satan Shoes for Lil Nas X had drops of blood in the sole and triggered a Nike lawsuit. They bought an original Andy Warhol drawing for $20,000, created 999 identical forgeries, and sold all 1,000 for $250 each, netting $250,000.

The core insight: Mischief reverse-engineers press coverage. Every drop is designed so that blogs and news outlets have to write about it. The hosts call this "reverse engineering getting coverage"—asking not "what product can I build?" but "what can I build that people will write about?"

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What you'll learn

  • 1 (00:30) **Elon Musk’s Internet Mastery** - The hosts discuss how Musk used a Twitter poll to generate hype and cover for selling $20B in stock, highlighting his ability to scale intrigue without traditional marketing.
  • 2 (07:34) **Building Hype with Mischief** - Introduction to the creative collective Mischief and their viral product drops that reverse-engineer press coverage.
  • 3 (13:37) **The Future of Marketing is Drops** - The hosts argue that in the modular economy, anyone can launch a profitable drop with just a designer, a distributor, and an ops person.
  • 4 (19:57) **Interview: Matteo Franceschetti (8 Sleep) on Sleep Fitness** - The founder explains how his co-founder coined “sleep fitness,” reframing sleep as recovery and performance, not wasted time.
  • 5 (24:01) **From Sleep Tracker to Tech Brand** - The company’s pivot: first product was a simple sleep tracker; after a rebrand and Series A, they launched the Pod with active cooling.
  • 6 (26:31) **Making Sleep Aspirational** - 8 Sleep treats all users as “everyday athletes,” mirroring Nike’s strategy of making elite performance accessible to everyone.
  • 7 (30:08) **Supply Chain During Disruption** - How 8 Sleep manages demand surges and shipping delays by air-freighting units, accepting margin hits to fulfill holiday orders.

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Show Notes

Sleep has never been sexier, but it wasn't always that way. On this episode of Where It Happens, Matteo Franceschetti (@m_franceschetti) joins hosts Sahil Bloom (@sahilbloom) and Greg Isenberg (@gregisenberg) to discuss how he was able to transform a stale, outdated product into a hot category drawing interest from athletes and big investors. You'll hear stories about how they were able to win over Y Combinator and scale their business. If you want to make noise in a loud room, the episode explores models of disruption ranging from MSCHF to the one-and-only Elon Musk.


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