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How a $4,500 Video Turned Into a Billion-Dollar Success Story

by Lyn Graft
Dec 17, 2024
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5-minute read   |  Read this newsletter online

Michael Dubin took a crazy idea, a simple everyday product, and combined it with a $4,500 DIY video and sharp storytelling to enter an industry he knew nothing about—and take on billion-dollar market leaders. And built a billion-dollar business.

In today’s SOFE newsletter, we dive into Michael’s killer underdog journey, starting with a chance meeting at a Hollywood cocktail party that led to the creation of an online startup that disrupted the $30 billion global shaving industry. I’ll also share:

  • How embracing the underdog mindset can become your greatest strength.
  • Why a simple, shareable story can ignite massive growth.
  • The humorous DIY video that started it all & now has 28 million views.

 

Here’s to staying sharp…LG


Founder Story: Michael Dubin, Dollar Shave Club

 

Michael Dubin had spent a decade honing his skills in media and marketing, working at TV networks and magazines. On the side, he nurtured his passion for comedy, writing sketches and performing improv. After moving to Los Angeles to work in online media, Michael found himself at a party one evening, chatting with a man named Mark Levine. 

Mark casually mentioned that he had access to 250,000 twin razors and, after learning about Michael’s background in digital marketing and promotional video production, posed a question: Could Michael help him sell them? The conversation quickly turned to the razor industry, its exorbitant prices, and the inconvenience of buying razors in stores.

The two realized they’d stumbled onto a huge opportunity: disrupting the bloated razor market with a completely different approach.

Michael saw the potential to not only sell razors but also build an entirely new kind of brand. He understood that most men hated the hassle of buying razors and resented paying for overpriced products with unnecessary features. Instead of creating another traditional razor company, Michael envisioned one that was straightforward, funny, and completely online. 

Drawing on his comedy background and marketing expertise, Michael crafted a DIY launch strategy centered on a single, humorous video. With just $4,500, he produced a 90-second clip to introduce Dollar Shave Club to the world. Starring in the video himself, Michael delivered cheeky, no-nonsense lines like:

“Do you like spending 20 dollars a month on brand-name razors. $19 go to Roger Federer…and do you really think your razor needs a vibrating handle, a flashlight, a back scratcher, and 10 blades?”


Michael used the video to showcase how big brands convinced consumers they needed unnecessary bells and whistles for a great shave—when they didn’t. He poked fun at the industry’s obsession with over-engineered features, like 17-blade titanium razors with special lubricants extracted from rare rainforest trees.

Instead, he demonstrated the simplicity and practicality of Dollar Shave Club’s products: high-quality, no-frills razors delivered to your door for a fraction of the cost.

The message struck a chord. The video went viral almost overnight, crashing Dollar Shave Club’s servers within hours. In just 48 hours, 12,000 orders poured in. Michael and his friends scrambled to pack boxes and print labels by hand to meet the demand.

By positioning Dollar Shave Club as the witty underdog, Michael created a relatable brand that resonated with millions. The company grew quickly, eventually amassing over 3.2 million members. Five years after launching, Dollar Shave Club was acquired by Unilever for $1 billion and to this day remains one of the most successful direct-to-consumer (DTC) brands in the personal care market.


Storytelling Lessons:  Feelings  >  Facts

Michael Dubin turned a simple idea into a razor industry revolution by embracing his underdog status and staying true to his vision. Through a 90-second video, he crafted a story that highlighted Dollar Shave Club’s simplicity and used the strengths of billion-dollar competitors as reasons to choose his brand instead. His journey shows how authentic storytelling, rooted in who you are, can transform an idea into a movement. Here are 3 lessons founders can apply to build their own brand story.

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