The Untold Truth About Grass Fed Beef Marketing | Nicky Fiorentino DSH #793
CHAPTERS:
00:00 - Intro
00:38 - Scaling a Butcher Shop
03:09 - Grass-Fed vs Grain-Fed Beef
11:33 - Understanding USDA Grading System
15:56 - Top Selling Meat Products
17:50 - Revenue Comparison: Online vs In-Store
19:30 - E-commerce to Butcher Shop Transition
20:00 - Quality: You Get What You Pay For
22:10 - Grass-Fed vs Grain-Fed Overview
24:53 - Starting a Meat Subscription Service
26:30 - The Subscription Box
27:28 - Future Plans for The Metery
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Transcript
So by eating grass-fed beef, you're essentially avoiding the possibility of consuming those toxins.
To me, that seems like a stretch.
I think the other side, which is analyzing the, you know, omega-3s and sixes, well, okay, if omega-3s and sixes are so important to you, why are you not eating fish that has 1,000%
more omega-3 and 6 than any form of Angus beef?
All right guys got Nikki Fiorantino here from the meetery.
We're gonna talk meat today.
One of my favorite topics.
Let's go.
Let's go baby.
So you have a butcher in San Diego right?
We do.
We have a butcher shop in Mission Gorge area of San Diego and we also ship
online nationwide.
Nice.
Yeah and that's what caught my attention because a lot of butcher shops just sell locally but you're able to scale to the masses.
Yeah so we deliver nationwide we deliver to Alaska and Hawaii most of the others don't and when I got a warehouse, I had a couple big offices in the front that I didn't need, and I turned them into a butcher shop.
And that's been a whole ex experience in and of itself.
Yeah, and you also use billboards, and you said
that was one of the best marketing you've ever done.
Crazy.
I put up billboards after about three and a half years of the shop being in business, and within three months, the shop...
had doubled in size.
That's it.
Billboards just, they drive so much traffic.
It's, I'm kicking myself that I didn't do it sooner, but I'm glad that yeah, that's insane to me because they're all over Vegas, and in my head, I never thought they work, to be honest.
Yeah, I mean, I think when you're a marketer by trade, you have a tendency to discount things, but
I always said to myself, yeah, that won't work.
But I got it, I gave it a try, and I was very, very wrong, and I'm happy that I was.
I could see it working for butcher shops because you get a lot of repeat business.
So if that billboard brings in a few people and they're reordering, it's a good ROI.
Yeah, no, absolutely.
I mean, any customer that we gain is almost certainly coming back to the store.
And, you know, the billboard, what I learned a few things about billboards.
The most important things I learned was, number one, you have to have a very
captivating message.
that gets people's attention.
So our first billboard says in big bold letters, you can't beat this meat,
which a lot of people
walk into the shop with a big smile and said, I had to just see who did that.
And then another thing that I learned is that the billboard has to directionally be,
if you're trying to grab local traffic, directionally facing the flow of traffic to your store.
So we have scaled the billboards now and I had the only one that has failed was directionally opposite.
catching traffic that was leaving our vicinity versus you know something that impulsively you could just easily turn to.
That makes sense because no one's going to turn around for a butcher shop.
I mean, maybe someone, but
they'd have to really want that meat, right?
Yeah, exactly.
Now, let's get into the nitty-gritty of the meat types because you have a very interesting take on this grass-fed movement, which is hot right now.
Yeah.
Yeah.
I mean, we'll preface it by saying we carry grass-fed, grass-finished beef, we carry grain-fed, we carry wagyu.
So
I
do believe that
whatever somebody wants, we're going to serve their desires.
When I'm asked what my thoughts are, I'll state my thoughts.
I think that grass-fed beef is a very well-marketed and positioned product.
And I
don't think that the grass-fed versus grain-fed Angus beef argument really has a clear winner, quite frankly.
I think that there's some good points that are being made, but I also don't agree with a lot of what's being said.
There's a lot of movement on the grass-fed side.
It seems like that's kind of winning the debates I I see at least on social media.
Yeah, I mean, there's a lot of, you know, big guys talking about grass-fed beef.
You had, you know, Paul Saladino, Liver King, plenty of other influencers.
And, you know,
I think that data and I'm a marketer, right?
So I really try to understand what the data is that they're saying can be manipulated.
And, you know, what I see, you know, Saladino saying is that, well, you know, there's all of these,
you know, toxins that are being put on the grains that these Angus cows are consuming.
So by eating grass-fed beef, you're essentially avoiding the possibility of consuming those toxins that were put on grains, which a cow ate and digested.
To me, that seems like a stretch.
Then there's, I think, the other side, which is analyzing the omega-3s and sixes
and
the nutritional properties of grass-fed versus grain-fed beef.
And
again, I think there's a really
good argument that says, well, okay, if omega-3s and sixes are so important to you, why are you not eating fish that has 1,000%
more omega-3 and 6 than any form of Angus beef.
Right?
Yeah, that's the wrong argument to have.
Yeah, so it's like, sure,
grass-fed is mildly, incrementally better than grain-finished in certain nutritional areas, but
at what cost?
Right?
You're probably paying potentially more for that.
Way more.
Not potentially.
Yeah.
Grass-fed, grass-finished is way more.
And on top of it, I think you're sacrificing a lot of flavor.
You are.
It tastes different.
Yeah.
I mean, there's just fat is flavor.
And, you know, I do believe that every body
reacts differently.
And, you know, the people that feel better after they're eating lean beef,
we want to be there to serve them.
But at the same time, I'd rather ask all of those people, why are you not contrasting
Angus versus Wagyu?
Why is it grass-fed versus grain-fed?
Because Wagyu is dramatically healthier in a lot of regards.
And everything that the grass-fed people are
stating, you get with Wagyu,
as well as the flavor and tenderness that that different breed, because Wagyu is made up of four breeds of cattle that are different than Angus beef.
So if you're telling me I can get the flavor and the nutritional benefits of Wagyu
as grass-fed,
why aren't the influencers talking about that?
I've never heard someone advocate for Wagyu over
grass-fed, to be honest.
So, yeah, that could be a new narrative we start here.
Yeah, I mean, you know, Wagyu, you have similar levels of omega-3 and 6 as grass-fed beef.
Wagyu is rich in monounsaturated fat, which is the good fat, whereas Angus is
more saturated fat.
And then additionally, Wagu has 30% higher CLAs than Angus.
And there's a ton of benefits to CLAs as well.
What's CLA?
Linoleic acid.
Linoleic acid.
I forget the C.
It's,
you know, it's, it's
the benefits of that are improved metabolic,
it's anti-carcinogenic,
as well as an anti-inflammatory.
Nice.
Yeah, I could see that.
Is Wagyu way more expensive than
Wagyu can be dramatically more expensive, but again, it's how you shop, right?
And everybody sees Wagyu or hears the word Wagyu and they just picture some hugely fatty Japanese A5 ribeye, right?
That's not all
Wagyu is, you know and that's something that I've really focused on is like okay how can we educate people on the other cuts in beef one of the things that I think we've done the best job with is pecana
which is you know it sits above the sirloin and it's a phenomenal cut of beef
so there's a lot of different options that you can get when purchasing Wagyu and not all of those options are crazy fatty marbled
cuts.
Yeah, there's American Wagyu, there's Australian.
Yep, there's lots of different kinds of Wagyu, and then
you delve into
genetics as well.
What percentage of the steak?
Because American Wagyu, for example, is going to be 50-50 crossbred most of the time, half Angus, half Wagyu.
Whereas
Australian, you're typically
at least purebred, which is 93.75% or higher.
Damn, 93.
And then there's what's called full blood, which is 100% waggy genetics.
And full blood exists in America, Australia, as well as Japan.
And Japanese is usually the most expensive, right?
Japanese is the most expensive, yes.
Yeah, because they have the A5.
Correct.
And that's like one of the highest grades you can have, right?
So A is a carcass rating that's only in Japan.
The Australian full blood that we sell is is genetically identical to Japanese, but it's really cool.
It doesn't look like anything that you're getting from Japan.
So it's going to eat more like a steak.
It's still gonna have a heap of marbling, and you can get different marbling scores as well.
But the Australian stuff, because of the way that it's raised and because of what it eats, different farming practices yield different
types of steak.
I mean, genetically, we're identical.
You go to the gym all the time.
I eat too much Wagyu.
We look different, right?
I got to try some Australian Wagyu, man.
It's fantastic.
And a lot of our customers, they walk into the store and they have never tried Wagyu before, and they try, you know, a piece of Japanese and a piece of Australian.
And a lot of them come back and say the Japanese was amazing.
It was super rich, but I need more of that Australian.
Wow.
Yeah.
That is crazy.
Because people always just assume they go to a restaurant and get the Japanese.
It's like the best one.
Yeah.
And, you know, I tell people, and
I'm probably the only
person that really loudly speaks this, that Japanese wagyu is not a good dinner steak.
I mean, it's a fantastic appetizer, but it's super rich.
I mean, and you know, they call it a holiday steak in Japan for a reason.
It's a treat.
It's not something you eat a 10-ounce slab of.
You're going to be, you know, on the couch asleep.
It's very heavy.
The USDA grading scale.
So we had a phone call before this, and you were saying you'd rather have a Creekstone choice than a Costco Prime.
Yeah, I mean, I think that the USDA grading system
is
hyper-dependent on who the
guy grading is, right?
I also believe that Creekstone in particular, we've sold their stakes in the past.
Right now, we're selling Double R Ranch, which I would say is, you know, similar in notoriety.
Double R is the Snake River Farms Angus division.
Got it.
So
I would...
I've seen such variance in...
the marbling of prime and choice.
We sometimes get choice steaks in that look like they could be Australian Wagyu,
and we sometimes get prime steaks in that look like grocery store select stuff.
And
that makes me pretty weary of the USDA grading system.
I know it's, you know,
it's an imperfect human decision, so I'm not being, you know, too critical of it.
But at the same time,
its consistency is difficult.
I wonder how it's based.
Is it all just human eye?
Or is there a scale?
Yeah, no, there's a
human grading.
Oh, really?
So there's no like metrics they use?
Well, they have
a guideline of what choice should look like, what prime should look like, select, you know.
Yeah.
But it's
there's no like buddy with a tape measure saying, you know, here's how much fat or measuring like the fat to me content.
So it's, you know, that's how it should be.
Yeah, they should be using an AI scale and something with the meat on there
to determine the ratios.
And there's, I know there's like x-ray or MRI detection occurring in the WAGI world as to trying to figure out how cattle are marbling.
You know, which prior to slaughter,
do we need this, you know, cow to be eating longer so that it achieves a higher marbling score?
you know, or is it ready for market?
Interesting, yeah, because the marbling, there's a whole score system for marbling, right?
Right, yeah.
So
whereas USDA is, you know, pretty much select choice prime is what everybody's seeing.
On the Wagyu side, there's the BMS scale, which is beef marble score.
And it's in Japan, it goes to 12.
In Australia, it goes to 9.
I think that was like Australia's nod to Japan that will never get to a 12 or
just giving them that nod for whatever reason.
Some
it's it's also subjective and now there's brands out there that are what's called table grading their own
beef and assigning themselves tens and elevens and so it's it's
it's not like a government controlled regulated score.
Oh, okay.
So it's all subjective.
It is subjective yeah.
Yeah, if I was the owner of a meat company I would just give myself high scores.
I mean yeah and
it trickles over there too, right?
Like we've seen
whether it be Japanese or Australian,
we don't buy anything Japanese below a nine.
And we're just nine, 10, 11, 12.
Wow.
And
the
nines sometimes come in looking like 12s and the 12s sometimes come in looking like nines.
And, you know, it's a little bit of luck of the draw.
But thankfully, when you're at our level,
It's all tastes good.
Yeah.
Even if it's a bad nine, it's still going to be awesome.
Absolutely.
Compared to the grocery store.
Absolutely.
I mean, look at the meat there.
Yeah.
You probably don't shop there ever.
Sure.
You'll buy at the grocery store?
Yeah.
I mean, I'm not buying steak at the grocery store.
That's what I meant.
Steak and turkey and chicken and shit.
Yeah.
If,
you know, if I'm feeding tons of people and they don't all have to eat Wagyu, then, you know.
I'll still go once in a while.
What's your top sellers?
Top sellers are probably our our off cuts.
So we have a steak called a Denver steak, which is cut from the bottom of the chuck, chuck tail flap.
Fantastic steak.
It's affordable.
It's, you know, I think it's like 60 bucks.
Super marbled, great flavor, real tender.
So that's a great one.
The pecana that I mentioned, our top sirloin, we cut them into,
they look like little filet mignons.
So they're eight ounces.
Those things are great.
A lot of people that are
don't want want a ton of marbling love those because they're still nice marbling, but it's not overwhelming.
And then, you know, all the crazy stuff always moves, like all the Japanese, and we're also Kobe Beef certified.
And not a lot of people have that, right?
No.
There's, I think, like six or seven of us.
That's it?
Yeah.
So it's super hard to get.
It is.
Yeah.
What's the qualifications?
Honestly.
We weren't really privy to much of the due diligence process.
We had to answer some questions and whatnot, but I know that, you know, a pretty thorough background check was done on us and well, you know
I think where I've gotten lucky in this business is my internet marketing background and
a lot of my
counterparts are you know fantastic butchers or or artisans, but
we've been able to really posture ourselves nicely online, which you know a lot of average
butchers might not know how to do dude.
I hate it because I go to a couple butchers out here and you can't buy shit online.
Yeah.
It's so annoying.
Yeah.
I mean, it's like a first world problem, but it is.
I mean, and it's, you know, we launched during COVID and
so we very quickly learned how to ship and
get meat cold to people's.
Because people couldn't walk into your store.
Right.
Yeah.
Wow.
We launched purely online.
And then the storefront came probably six, eight months after the internet launched.
What does better for you revenue-wise?
Revenue-wise, Revenue-wise, it's still online.
Okay.
But storefront is way better profit margins because we're not shipping.
Yeah.
Are you going to scale it to other cities?
I can see it happening.
I think there's a franchise play there for sure.
It's a good name.
Thank you.
Trademarket?
Yeah.
Nice.
Got all the socials.
Yeah, that's a really good name, the metery.
I mean, well done.
Thank you.
I'm surprised it wasn't taken, honestly.
No, it was.
Oh, it was.
Yeah.
The most expensive thing was the Instagram handle.
They figured out what I was doing and they put the
someone got it.
Yeah, yeah.
I know a couple people that have paid tens of thousands for IG handles.
I think I paid like 11 or 12 grand for this.
Holy crap.
Just what's the handle?
The metery?
At the metery, yeah.
Wow.
And so there's all these
similar ones, but the only one I couldn't get was the YouTube.
It was like just some dead channel that hasn't been touched in years.
You'll have to hit them up directly.
I tried.
It was like in Russia or something, like just random.
Was the domain taken, the website?
Yeah, everything.
You had to buy everything.
Everything.
Yeah.
That makes sense.
But it was worth it.
I mean, it was like, okay, I knew that there was a business there and, you know,
it was a worthwhile investment to try to own, you know, what I perceived to be a very good...
timeless
name and domain and social properties that corresponded to it.
It's an interesting transition for me just witnessing this because you had a successful background in e-commerce.
So to go towards a butcher shop model is interesting.
So my background is actually performance marketing.
So I did lead generation for a real long time.
I did some e-commerce work as well, but like never Shopify.
So Shopify was brand new to me.
I was doing more of like affiliate type e-comm.
But my you know, the depth of my background was in performance marketing lead generation.
Got it.
Yeah.
And you did super well there.
Yeah.
Yeah.
It was,
I still
am in that world as well, dabbling around and, you know, making moves when I can.
Yeah.
But it's, you know, it's, it's, it was very similar to, and I took a lot of the learnings from that world into the metery.
And it's like, if anybody's bought leads before, you know, you get what you pay for.
Yeah, you can't cheap out on leads.
Exactly.
Yeah.
And same goes with meat, quite frankly.
Like, if you buy the cheapest meat, you're going to have the cheapest experience.
Yeah.
100%.
I don't cheap out on meat anymore.
Right.
And, you know, I bet you don't have to eat as much of it to be satiated.
No.
One, one a day, one meal a day.
Right.
And it's not
an accident, you know.
The cheap stuff you can
consume a lot more of.
And that's another thing that people don't really know about Wagyu is that, you know, they look at it, they just say fat, fat, fat.
But guess what?
You're going to to eat a third of what you eat
in just lean Angus beef.
You know, you're going to have to change your IG handle to the Wagyu King.
I try to fly under the radar.
Yeah, you're pretty low-key with your personal one.
I don't, I don't.
Our customers are
businessmen and women.
And, you know, I don't do the internet flexing.
We just try to provide as great a service as we can, and I know our customers appreciate that.
The health influencer game is a risky one too.
You get under a lot of ridicule.
Yeah.
I mean I think that the grass-fed Wagyu
and I'm don't get me wrong, like I'm not afraid of getting on the internet and
speaking my mind.
I've built quite a TikTok following doing that, but
I just don't like taking positions in
topics where there's good arguments on both sides.
Like the grass-fed, grain-fed one, you know, I have my beliefs, but at the same time, who am I to say somebody that is subscribed to the grass-fed theory is wrong?
So I'd rather treat that person with respect, carry the product for the, you know, small portion of people that actually want it.
And if I'm asked this opinion all the time, what I think of it, then I state my mind.
Makes sense.
You know, what about the raw meat crowd?
Raw meat?
Yeah, you sell that.
Like liver and stuff.
Uh-oh.
We don't, but I
can see ourselves starting to sell that.
We're getting more people that ask for it.
Liver King, definitely.
I buy his supplements, actually.
Yeah.
He definitely created some of that demand.
I think Saladino probably did as well.
Him and Paul did very well with their supplement lives.
Absolutely.
I took him too.
And
you know, we're believers in it.
I want,
and someday probably will, to launch like a primal burger that's a blend of beef and ofal.
Yeah, there's a brand out of Austin, Force of Nature.
Yeah.
Do you carry their products?
I don't.
Seeing them, big admirer.
Yeah, I like their brand.
Yeah.
Great, humble brand.
I like the way they source their meat.
Sourcing is important to me.
Yeah, absolutely.
Because I'm like on the spiritual end of things, and I think it really matters how the animal's being sourced.
Totally.
And, you know, I'm an animal lover, and I think that that's
something that's also super important in choosing your meat is
you know, I see the farms that these cattle are raised on or the pigs or whatever.
Right.
I know that they're having a good life.
Right.
And, you know, I've watched podcasts from the butcher box CEO and he's the same exact way.
And it's like,
you know, the animals have one bad day, but but that's life, right?
And we all have that one bad day.
And
I'm thankful that the farms that we source from, I know, are giving those animals a good life.
Yeah, that's good to know about Butcher Box because they are a mass market.
So I actually assumed that they didn't care about that side of that.
No,
you know, they're hugely grass-fed, pro-grass-fed guys.
I mean, I don't think they own any
grain-fed beef.
Wow.
They don't offer any grain-fed beef.
So they're big on the marketing side of the health benefits of grass-fed beef.
But, you know, I've listened to their CEO pretty much every podcast he's done, and
he definitely speaks to
the animals in a way that I very much relate with.
That's cool.
And I saw you're launching a sub monthly subscription too, right?
Yep.
So we launched that last November.
So it's eight months old now.
Nice.
Yeah.
Increase the company valuation, right?
MRR.
Yeah, for sure.
It took me three years to do that too, because
I think
when I think of a subscription, I was always, I mean, the metery was built on customer service, right?
Because there's enough guys out there that you can get Wagyu from.
So I knew that we had to separate ourselves just by providing extreme customer service, which we do.
I always was terrified of the thought of like a customer getting a box of $400 box of Wagyu that they didn't want.
They forgot to cancel or forgot to pause it.
And now I lost that customer for life.
And
thankfully, the technology has kind of improved and we launched our subscription.
You can pause it, you can swap, you can skip.
And that's the other thing that has improved is the box itself.
So you're not just getting the same thing month after month.
We've got, I think it's like 70 or 80 items now that you can.
The supply chain on that sounds intense.
It is.
It's been a logistical nightmare.
I bet.
I uh I was super lucky to hire a COO who actually is now a partner of the business,
Carlos.
And he has just taken so many operational
issues out of my life.
Yeah, I bet.
The box is doing well, though.
Box is doing well.
It's growing.
It's
you know, it's a completely new type of transaction for us and, you know, analyzing subscription revenue and cohorts and, you know, AOCs and stuff like that that
previously we just looked at, you know, repeat rate and lifetime value.
Yeah, new metrics now, right?
Now it's a whole new set of metrics.
And,
you know,
then you delve into the attribution conversation about which marketing channel am I actually attributing this to because attribution is all messed up as you know.
Oh, yeah, with the Google and iOS updates are.
Yeah, I mean, it's been a brutal couple years trying to
figure out how to properly attribute traffic now.
And
you just have to have an omni-channel approach, and you have to just look at the big picture.
Absolutely.
Drive yourself crazy trying not to trying to drill in too tight.
Yeah.
What's next to the meteorite, man
I think next so we're right now we're focused a lot on the storefronts we're gonna open up a express concept in a different northern part of San Diego very soon I think we're gonna
try to keep increasing retail I mean with this the billboards working as well as they did I feel like we've got a good little
equation going there and then growing the subscriptions you know we're still available for one-time orders and just keeping it growing i mean it's steadily grown year over year and uh
so that from a business standpoint i would say that's next we did just actually
harvest our first full-blood uh i'm sorry purebred wagu cow nice so uh that was being raised out in colorado That'll be to us tomorrow.
Okay.
It looks amazing.
So we'll have our own line of Wagyu potentially.
What's going to say?
Yeah.
Let's get it, man.
We'll link below if you're watching this, guys.
If you want some meat, 15% off for military and first responders, right?
Yep.
Which is a huge discount.
So that's awesome.
But yeah, check them out, guys.
Thanks for coming on, dude.
Appreciate it.
Yeah.
Thanks for watching.
Peace.