How a Skincare Trend Led to $630M Exit

Leveraging earned media and micro-influencers is a cost-effective way to build awareness.

\"We did earned media. We see a lot of micro-influencers, we asked them to post, asked them to talk about it. Just send them free gifting as much as possible... Where we saw a lot of success also was with press.\"

• Ju Rhyu utilized micro-influencers to promote her product without significant costs.
• Earned media can amplify reach and credibility.
• Targeted outreach can generate buzz and drive sales.

Diversifying sales channels reduces risk and can lead to greater stability.

\"I went to a conference and these bankers were talking about channel diversification... They were saying the ideal channel diversification is one-third retail, one-third Amazon, one-third D2C... Of course, relying on one channel for most of your business is always risky.\"

• Ju Rhyu learned the importance of not relying on a single sales channel.
• Diversifying channels can protect the business from market shifts.
• A balanced approach to distribution enhances resilience.

Being observant and curious can reveal untapped opportunities for new products.

\"I love looking at white space and just thinking, thinking of ideas that can fill these opportunities. Sometimes I just go to Target and I'll walk the shelves, walk the aisles and see what I think they need.\"

• Ju Rhyu encourages founders to actively explore market gaps.
• Observing consumer behavior and retail environments can inspire innovation.
• Regularly scouting for unmet needs leads to valuable product ideas.

Exiting at the right size ensures a larger pool of potential buyers and better leverage.

\"Now I know why that's a threshold is because there is something called too big to buy... You get to like 200, 250 in terms of revenue, then people might want a billion dollars for valuation, and there just aren't that many people who can write that kind of check.\"

• Ju Rhyu advises founders to consider market dynamics when planning an exit.
• Timing the exit prevents narrowing the field of potential acquirers.
• Being strategic about company size can maximize acquisition opportunities.

Leveling up talent by hiring experienced professionals can transform a startup.

\"Some of the first hires were these VP levels, like experienced people. And it changed my life as a founder because I didn't have to have ten one-on-ones with people anymore... I hired people who would tell me what to do. I didn't want to tell them what to do.\"

• Ju Rhyu emphasizes hiring experts who bring strategic leadership.
• Experienced hires can streamline operations and relieve founders.
• Empowering talented leaders drives company growth.

Even profitable startups may need strategic investment to scale further.

\"We were growing really fast... We seriously started to think about it... We knew we needed to level up talent... When we took on the growth round, we were able to invest in areas like people.\"

• Ju Rhyu highlights the importance of raising capital to invest in experienced talent.
• Strategic funding can accelerate growth beyond bootstrapping.
• Outside investors can provide valuable guidance and resources.

Starting with a single product on a platform like Amazon can help test market viability.

\"We tested it out on Amazon... We're like, let's see what happens. And really, I mean, it took off.\"

• Ju Rhyu demonstrated the effectiveness of launching on Amazon to validate demand.
• Minimal initial investment can provide significant market insights.
• Success on one channel can inform broader distribution strategies.

Setting clear success metrics helps startups stay focused.

\"You have to define what is success... We came out with different scenarios. We said, what is hitting it out of the ballpark and it's a home run... And what is failing? So when do you say, OK, this is not working out... And then what's sort of like the middle ground, and when you're in that middle ground, then what do you do?\"

• Defining success and failure helps guide strategic decisions.
• Establishing clear benchmarks keeps the team aligned.
• Preparing for different outcomes enables proactive planning.

Building a strong team with complementary skills is vital.

\"This is where I feel very lucky because I did not consider any of that, but it ended up working out... In retrospect, I think we had really complementary skill sets... We didn't always agree, but I think we always had a willingness to talk things out.\"

• Ju Rhyu highlights the value of co-founders in providing support and diverse expertise.
• Complementary skills among founders strengthen the company.
• Open communication helps resolve disagreements effectively.

Overcoming hesitation is crucial for founders seeking product-market fit.

\"I tried to launch it. I had a name, I had sourced the manufacturer, I had the packaging. And then I just, I chickened out... It's a lot of commitment. I was by myself... And then I moved back to the US and I just, I shelved the idea.\"

• Ju Rhyu emphasizes pushing past fear to bring ideas to market.
• Finding co-founders provided her the support to proceed.
• Perseverance turned a shelved idea into a $100M business.