The Best Idea Yet - 🛁 Jacuzzi: Legend of the Life-Saving Tub | 7
Episode Date: November 26, 2024Break out the bubbly, turn on the jets, and hop into our Hot Tub Time Machine: we’re going back to the origins of the Jacuzzi. The world’s most iconic whirlpool has become a symbol of sta...tus and luxury—think Scarface’s bathtub. But its roots are humble, starting with a family of seven Italian immigrant brothers. Over three generations, they pivoted one technology from airplanes to agriculture to the 1st-ever modern hot tub. It’s also the story of overcoming tragedies, and a devoted father trying to save his young son’s life. Find out why family businesses actually end… why half a pivot is more like a flinch… and why the Jacuzzi is the best idea yet.Follow The Best Idea Yet on the Wondery App or wherever you get your podcasts. You can listen to new episodes early and ad-free on Wondery+. Join Wondery+ in the Wondery App, Apple Podcasts or Spotify. Start your free trial by visiting www.wondery.com/links/the-best-idea-yet/ now. See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.
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What are you doing this week? What am I doing this weekend?
I mean, honestly, I know what you're doing. You're going up to Napa.
You probably love popping up to Napa.
Yeah, when you pop up. That is like a verb of choice.
You're so right.
You know what's funny?
When you're driving up to Napa, and everyone's
envisioning what it is, like this wine Mecca of the world,
the first winer that you pass, when you make a write-off
of 101, it says the Jacuzzi winery.
It's got to be a type.
Well, I saw the first thing.
I was like, well, this sounds like a fun idea.
Yeah, I would do a wine tasting in a hot tub.
I mean, I know Robert Mondavi is pretty famous out there.
Jacuzzi sounds Italian as well.
Yes, it does.
Jack, this ain't no translation error.
I mean, yeah, Jack and I did get curious about this Jacuzzi winery situation.
Well, it turns out when you check out the ownership structure of this winery, it actually
is the Jacuzzi family, like Jacuzzi Incorporated, Jack.
The Jacuzzi family.
They're not just doing hot tubs and bubbles in hot water.
No, they're doing bubbles in wine too.
Yeah, and the reason that the Jacuzzi family had so much money to buy a winery is because
the Jacuzzi family created the most iconic product of its kind.
What's so shocking about the Jacuzzi
family to me isn't the number of family members. There were 13 siblings, by the way.
Good point.
It's the number of different businesses they ran together. Because yet, Jack and I love
a pivot story. There are product pivots, there are use case pivots, there are marketing pivots,
there are moving sofas up the staircase pivots. Ross with friends, if you know, you know.
But besties, there is one pivot in particular that Jack and I have noticed is bigger than
just all the others.
It's bubbly, it's steamy, and it's part of your room upgrade at the Ramada.
Because that pivot is the Jacuzzi.
Do you know me?
My name can send goosebumps up and down your spine, make you forget your troubles and put your mind completely at ease.
The name Jacuzzi is trademarked, but it's also used generically to mean any jet-powered hot tub.
Yeah, Jack, it's become one of those things where you say the specific brand name to mean
any make of that one thing. Like you got your chapstick, you got your band-aid,
you got your Tupperware, and you got your jacuzzi.
But this 20th century invention draws on
4,000 year old traditions.
Yeah, these humans, we've been soaking in hot springs
since we stood on two legs,
from Japan to Mexico to Iceland.
But it's jacuzzi that brought hydrotherapy
into the modern era, creating a global market
that's expected to surpass $6 billion by 2026.
In fact, there's an estimated 26 million operational hot tubs
around the world.
And Jack, could you sprinkle on a little more hot context
for us over there, please?
That is one hot tub for every Floridian plus every Utah.
You can't forget about Utah.
But the jacuzzi journey is about so much more
than just kicking off your boots and soaking under the Park City stars. Yeti's this story's got
everything. Fighter pilots, game shows, Scarface's bathtub, and seven brothers
running this business together. But beneath the froth and bubbles, it's about
a family business turning tragedy into opportunity and creating an iconic
product through unexpected twists of fate.
Hang on to your speedo.
Oh, yeah.
Because Jacuzzi didn't just create an entirely new
category.
Yeah.
Jacuzzi is the best idea yet.
Oh.
Ah.
That's the spot, Jack.
Hot, hot, hot.
Oh.
Hey, Jack.
From Wonder and T-Boy, I'm Nick Marktown.
And I'm Jack Kravichy Kramer.
And this is the best idea yet.
The untold origin stories of the products you're obsessed with
and the bold risk takers who brought them to life. Been familiar but new, we got it coming to you
I got that feeling again
They changed the game in one move
Here's how they broke all the rules
His name is Dexter Morgan, but you know him as Dexter
And nobody knows his beginnings
Enter to win a pair of tickets to the screening of the Paramount Plus exclusive series, Dexter
Original Sin on December 12th.
Hosted by me, Rick Campanelli.
Enter at chfi.com.
From student to avenging serial killer, you never forget your first crime.
Dexter Original Sin, streaming December 13th, exclusively on Paramount Plus.
Let's start this episode by easing into our hot tub time machine.
Let's do it, Jack.
I like it.
We're standing on an athletic field, ringed by a racetrack just steps from the San Francisco
Bay.
The air is thick with July summer heat and the buzz of propellers as
a biplane takes flight. It's 1915 and we're at the Panama Pacific World's Fair in San
Francisco. Now this 10 month expo, it's showcasing the best in technology from steam locomotives
to this newfangled airplane thingamajiggy. It's like CES for the Woodrow Wilson. Yes,
it is. Since it's 10 months long, 18 million people visit. Nick, that's a fifth of the U.S. population. That is huge. The people
came to see a direct telephone line that connected San Francisco to New York. No you hang up. No you
hang up. And they also came to see a new form of travel that was still in its infancy, airplanes.
Now the crowds are oohin' and the crowds are on as they watch the stunt pilot of one of
these airplanes in action.
But there's one observer who's not so impressed.
He's a young mechanic who goes by the name Rakeli Jacuzzi.
He's working as an engineer and about to change aviation history.
Little does he know, his family name will become synonymous with relaxation.
Yeah, Rachele, he's an Italian immigrant.
He's an inventor and he's the eldest of 13 children.
13!
More on them in a minute.
In the meantime, he's working as an engineer for the future founder of the aerospace company,
McDonnell Douglas.
This guy is obsessed with
flying.
Obsessed.
So while most people in that airfield are dazzled by the aviation demo, Raquelis is
noticing something that might only be obvious to an engineer.
The stunt plane's propellers aren't very efficient. For their size, they're not giving the plane
the lift off that they should. And Raquelis thinks, I can do better than that. And you know what?
He does.
Because Rikele invents the toothpick propeller.
It's made of wood, but it's narrower, it's straighter, kind of looks like a toothpick.
They're stronger than a toothpick though.
Oh yeah, yeah, yeah, they are.
And the improved aerodynamics of this jacuzzi propeller packs a punch while being lighter
than most existing propellers.
It's a huge advancement in aviation. To manufacture his new propeller,
Rachele opens a machine shop in Berkeley, California,
and calls it Jacuzzi Brothers Incorporated.
Because besties, this guy has so many brothers,
he could cast an entire episode of the Jersey Shore.
Now, interesting, Jack.
Back in the old country, Rachele and his family
had been known as the
Iakutsis. But in 1907, Papa Iakutsi relocated the entire family to avoid the coming war.
That coming war wasn't World War I, but a forerunner called the Italo-Turkish War.
Papa Iakutsi had seven sons in danger of being drafted into the war, and six daughters to
protect as well.
So they arrived at Ellis Island in waves,
where their name was misspelled from Yakuzy to Jakuzy.
I mean, Jack, the same thing happened
with my family at Ellis Island.
We lost the O on Martello, and I kind of missed it.
Can we bring that back?
You got robbed.
We got robbed.
I can feel for these Jakuzy boys.
And Jack, by the time Raquelie starts his machine shop, most of his brothers have joined with him in America.
So they're manufacturing enough toothpick propellers
to impress everyone from celebrity pilot Charles Lindbergh
to a feisty new division of the U.S. Armed Forces known as the Air Force.
When America enters World War I, Raquelis' toothpick propellers help win it,
allowing American dogfighters to dominate the airspace.
And less than 18 months later, the war is over.
Great news for society, bad news for the defense industry.
No more war means no more military contracts
for the Jekuzi brothers.
So the Jekuzi brothers, they need to pivot.
Pivot!
Now, Nick, as far as pivots go, this first one from Jacuzzi, it's pretty logical.
Okay.
Raquelé loves flying.
And back then, anyone could fly.
Like, there was no regulation,
no FAA to drag you back down to Earth.
Oh, fantastic. It's like riding a bike.
So what does Raquelé do? He starts to fly.
And then these Jacuzzi brothers,
they decide to build their own airplane.
They throw all their money into building an aircraft called the jacuzzi J7.
It's a monoplane with a fully enclosed cockpit.
Both of these were new innovations at the time because back then most planes were bi
planes with open cockpits, which meant the pilots were held in by just a seatbelt holding
on for dear life.
You'd be dodging geese.
You'd like be picking bugs out of your teeth.
And so we're galley,
he's feeling like a roof and a windshield.
Yeah, that'd be a good addition to the plane.
Especially since they're thinking ahead
to accommodate passengers as well as cargo.
It's a big undertaking and the whole family pitches in.
The brothers wives even sew the canvas covers of the wing.
It's like the Olive Garden.
When you're here and you're working on the plane,
you're family.
And the Jacuzzi J7 makes history as the first fully enclosed
monoplane to be built and flown in the United States.
It works beautifully for months.
And the Jacuzzi start thinking about how
to make their money back, like carrying mail for the US mail
service.
Which looks and seems like a very sustainable,
consistent business model.
Makes a lot of sense.
FedEx before FedEx.
But on the morning of July 14th, 1921,
something awful happens.
On a test flight from Yosemite,
a wing of the J7 snaps off.
The plane crashes over Modesto, California,
killing all four men on board, including Jacuzzi
brother number six, Geocondo Jacuzzi.
Mom and dad Jacuzzi, they are devastated.
And so the parents announce a major personal decision that changes the entire business.
They forbid their remaining children from having anything to do with flying ever, ever
again.
The Jacuzzi children are literally grounded.
But yet there is a silver lining of having to pivot out of necessity because pivoting
out of necessity forces you to get creative.
Like think about Netflix, how it began as a DVD company only to pivot to online streaming
once the technology
evolved and people started moving away from DVDs.
DVDs becoming obsolete was the best thing to happen to Netflix.
Exactly.
Because it forced them to evolve.
So Jack, what's Raquel I. Jacuzzi thinking as this news hits him and his family?
He has exactly the kind of creative mind built for this tough moment.
One day, he's staring out into the lush orchards
of the San Joaquin Valley,
which is in the midst of a renaissance.
20th century engineering has made it much easier
for farmers to access groundwater for irrigation.
Suddenly, it smacks him in the face
like the aroma of his mom's bragioli.
Remember, Riquelet, he is an expert in fluid dynamics and these skills can also translate from air
to water.
So Rachele stops looking up into the sky and he starts looking down to the ground.
He takes that airplane instinct and focuses it on farming instead.
Rachele gets an idea for how to improve irrigation pumps.
He invents a new pump that forces water into the ground,
creating a vacuum that draws more groundwater
up from the aquifers below.
And Jack, this new pump really works.
It's wildly effective.
And as soon as the Jacuzzis put this new pump on the market,
it is in high demand.
Soon, the lettuce seedlings, blossoming almond trees and fragrant orange groves feeding America
are being watered by the hot new powerful pump.
Oh baby.
The jacuzzi pump.
The jacuzzi pump.
I'm sorry, Jack.
Pause the pod for a moment.
Time check here.
Um, America is sliding into the Great Depression.
And yet, the big new invention transforming California's economy are these jacuzzi fricking
pumps.
I mean, what's good for California?
It must be excellent for the jacuzzi brothers.
It is.
And even the youngest brother, little Candido jacuzzi, is pitching in for this family business.
Unlike Raquel and his older brothers, Candido had only gotten a little taste of schooling.
As one of the last siblings to arrive in the United States, his English isn't great, but
he's going to school at night and he's selling Jacuzzi water pumps door to door by day.
Despite being the worst brother at English, Candido is a natural born salesman.
He's heading out to the farms demonstrating a new pump.
And it turns out the language of sales isn't about the words you're actually saying.
It's just about making a relationship with people.
It's pretty inspirational.
Soon, the Jacuzzis are handling everything
from deep well injector pumps to swimming pool supplies.
America doesn't run on Duncan.
By the 1930s, it's running on Jacuzzi pumps.
Yeah, it is.
But in 1937, Richele, working feverishly on new inventions from
solar power generators to crop defrosters, he suddenly dies of a heart attack at the
age of 50. Richelle, he's been the family's leader and the primary driver of the company's
entire strategy. Without Richelle, there would be no pumps. He took the company from the
air to the ground. So now everyone is wondering
who will leave the Jacuzzis next. This Jacuzzi family isn't just a company. It's a culture.
It's an institution. It's a little society. They get together and decide it's time for one of the
remaining brothers to step up and leadership passes to the youngest, the family salesman, Candido Jacuzzi.
So Jack, it's 1943.
Candido is married, he's got four kids.
Now, unfortunately, the Jacuzzi's,
they are no strangers to tragedy.
And while Candido is in his office one day,
he receives awful news.
His youngest son, two-year-old Kenneth,
has been diagnosed with rheumatoid arthritis,
and doctors are saying that he won't even make it to age eight.
So Candido and his wife Inez are determined to save their two-year-old son.
They put Ken into a full body cast for a full year.
Wow!
And inject him with gold salts.
Nothing is working.
Well, we should point out, Jack, that almost nothing is working.
Because one of Kenneth's doctors tries a new technology, a little something that hasn't
actually been applied yet to kids.
It's called hydrotherapy, and it uses a big oval-shaped metal tub that's called a Hubbard
tank.
The Hubbard tank basically looks like a giant metal sink.
Yes.
It has motors that heat and stir the water, and the patient sits on
a bench in the tub and lets the hot water massage their pain away.
I'll tell you though, it looks like something that belongs to a barn.
Yeah, I know what you mean Jack. They're not selling this thing at Sharp for image.
So does this creepy looking new metallic structure work?
Oh, it works.
It's relaxing, it's calming, and most of all it helps ease little Ken's
swollen joints and stiff muscles. His parents are thrilled. It's a big ugly
sink but it's a miracle. His mother Inez takes little Kenneth in for treatments
twice a week. An hour drive away from their house. He's basically living in
this thing just to stay alive. His fingers are like pruned up 24-7. But the
long drive is super painful for little Ken.
So Inez begs Candido to take a look at the Hubbard.
Here's what she's thinking.
Uh, hey, Candido, your whole family works with water, right?
Like, could you build something like this tub for our boy
maybe even better? better. Okay, so at this point, we have little Kenneth Jacuzzi, a boy with a chronic, debilitating
condition.
His family has found a hydrotherapy treatment that works, but traveling to and from those
treatments is wreaking havoc on his body.
But there is one silver lining.
Ken is a jacuzzi.
He's from a family of brilliant engineers and inventors, perfectly poised to create
something new.
Because Candido Jacuzzi now knows that this freaky metal hamacher-schlemmer of a water
tub machine may save his son.
And his family business is water pumps,
so he's got to whip up one of these for their home.
But turns out it ain't as easy as filling a tub.
Because remember Yetis, Candido's the salesman.
He's not the engineer.
But he's also proof that you shouldn't put people in a box.
He's determined to find a way.
So he starts taking a Jacuzzi Brothers sump pump,
the kind you'd use to get water out of the basement,
and he begins adapting it for use in a bathtub.
We have a picture here.
Nick, can you describe what we're looking at?
Yeah, I'll describe this, Jack.
This initial water pump bathtub thing,
it's kind of like a speedboat motor
crossed with a Vitamix, you know?
Yeah, but you put it in a bathtub.
So it basically takes a big pool of water in your bathtub.
Yes.
And turns it into like a bubbly adventure.
It makes you feel like a smoothie is what we're saying.
Looks a little dangerous.
I'm actually kind of scared as we describe it.
This little contraption, it is churning bathtub water
just like that ginormous Hubbard tank.
But here's the question, man.
Is it working?
Absolutely it's working.
Ken is on his hydrotherapy treatments every day
in the comfort of his own home now,
with no brutal commute to and from that Hubbard tank.
Thank God.
And when they show Ken's doctor
their contraption they built,
his response is instantaneous.
He doesn't just say, it works.
He implores them,
you gotta make more of these things.
Okay, so this is basically the same pump that the Jacuzzi family used for food on farms,
but they've now applied it to tubs for people.
It's another pivot.
They didn't just pivot the product,
they pivoted the purpose.
Totally.
And the whole hydrotherapy unit
was literally just meant to be a device for Ken.
But once the idea is in Candido's mind,
it all makes sense.
Yeah, it does.
Look, not everyone has a farm they need to irrigate,
but everyone gets sore muscles and sore joints,
and everyone loves a bubbly frenzy of a hot tub situation.
So Candido wants to pursue the relaxation market.
But Jack, this is like the Jacuzzi family.
I feel like you can't get anything done with this crew
unless you bring it up at dinner
and like half the table tables voting on this. So how do his brothers
react to this new application of their legendary famous family farm pumps? They're not into
this latest pivot up until now. Jacuzzi has mostly been on a B2B model working business
to business. Now, Jack becoming a consumer facing business, a B to C business,
that's a totally different strategy. And it carries a whole bunch of new business risks.
Yeah, yeah, it does. Because the other Jacuzzi brothers know there are already big players
in the consumer appliance market, which is what Candido is thinking about moving into.
They would have to face companies like General Electric, Goliaths of the industry, and Jacuzzi, they're just the little David.
If GE decides they want to make hydrotherapy bathtubs, Jacuzzi would be done for.
If they poke the bear, they're gonna get eaten.
I mean, Jack, it's sort of like when you're a startup
and Google takes an interest in your technology.
Just ask Sonos about that.
That's a story for another pod.
Well, Jacuzzi's current pump and irrigation business,
it's doing great right now, Jack.
Like, they just built a two and a half million dollar
facility in Richmond, California.
Why would you ever change a business that is thriving?
Plus, it's a family affair.
The Jacuzzi's determine their own destiny
and the company is providing jobs to many
Jacuzzi cousins, among others. I mean, basically, if you got two Z's in your name, you're hired.
So why fix a business that's successfully pumping on all cylinders to the tune of $35 million a year
in today's money? Well, Candido, remember, is the family salesman, and eventually he just wears them
down.
They don't pivot the entire business,
but they agree to establish a new division of the company,
Jacuzzi Research Inc.
And they start production of their very first
Whirlpool back device, the J300.
The J300.
Now that, Jack, that sounds like a sharper image device.
And after testing, pumping,
gallons and gallons of spilled water, and a whole lot of bubbles,
five years later, it's approved.
On December 16th, 1952, it finally comes through.
A Jacuzzi branded hydrotherapy pump for your tub.
You place one of these pumps into any full bathtub,
you plug it into the wall and your bathtub, boom,
it is a water pumping cyclone of sensation.
Jack, I'm listening to everything you just said.
And honestly, it's kind of crazy to think about how close this
was to not happening.
Right?
Because if Ken hadn't gotten sick,
or if Candido had listened to the skeptics in his family,
somebody else would have probably invented this.
And we might have a totally different name for hot tubs
today with a totally not as good product.
Or we might not even have hot tubs.
It's no guarantee somebody would have invented this.
And the impact on ludicrous lyrics alone, Nick.
Be devastating.
Don't even get me started, Jack.
It reveals something inspiring about this jacuzzi family.
For every tragedy they faced, they turned it into an opportunity.
They learned from it, they pivoted. And they succeeded.
Postwar America is a marketer's dream.
Every GI family is settling down in the suburbs
with a new office job ready to spend.
Optimism is in the air.
And people want to buy, maybe buy.
Honey, I just brought home a new microwave.
That's inside a new toaster.
It is a splurge fest on home goods and comfort.
I mean, Jack, if you're not smoking a cigarette on your new back patio furniture,
then how else are you going to make your neighbors jealous?
So right at the perfect moment, the first Jacuzzi finally hits the market in 1953.
Their first sales are via special orders to other paint shoppers like Ken.
But by 1955, they decide to expand to
a broader category of buyers. They send an army of salesmen to drugstores, to bath shops,
and even take this portable bathtub unit door to door.
I mean, Jack, the door to door salesman, truly a lost art.
Nick, would you mind reading this quote from an advertisement from that time?
Yes.
And feel free to put your best Shelley Levine spin on it.
Shout out to Glengarry if you know, you know.
Here we go, Jack.
For the tired businessmen and the harried housewife, for the golfer with sore muscles,
for the aches and pains of senior citizens, for frolicking youngsters and for those who
just want to relax and pamper themselves with a hydro massage band.
I'm sold, man.
I mean, Jack, grab me a cola and meet me at the Jukebox, buddy. We're good to go salt man. I mean Jack grab me a cola and meet me at the jukebox buddy.
We're good to go man.
You see the jacuzzi device may have started as a medical product, but that was before
the jacuzzi brothers realized how much spending power the new American middle class was about
to have.
Besties, those who do benefit now have more disposable income, more savings, and more
buying power for products besides the essentials. They have money for their starter home and
money for their lawnmower and a stand mixer and a coffee maker, all of that to
boot. And Jack, this consumerist environment, that's exactly where
Jacuzzi finds themselves as they launch a new product. Their pitch for their J300
Whirlpool machine is this. It's not just a medical device for the disabled. It's for Ozzie and Harriet, dads and housewives,
golfers and gardeners, and even the frolicking youngsters. The Jacuzzi is for everyone.
So let's talk about the TAM here, the Total Addressable Market, because the Total Addressable
Market of everyone is a whole lot bigger than the addressable market of people with disabilities.
Yes, Nick. The opportunity is huge. But Candido knows they're on borrowed time. Remember,
if this product is successful, it won't be long before General Electric or another behemoth swoops
in and overwhelms them with pure name recognition alone. Classic. Someone is going to zuck his idea.
Yeah. If Jacuzzi is going to compete, they'll need to make sure their name gets out there first.
And this job falls to a man with a much more boring name, Ray Schwartz.
Ray Schwartz.
Now Ray, he's an ex-sports writer from Oakland, California, and he's the in-law of Jocondo
Jacuzzi.
So Ray joins the gang as the head of Jacuzzi Research Publicity.
And when it comes to seeking out product placements, he takes big swings. And he's got his eye
on a new game show that's just debuted. Lights, camera, bubbles.
On stage, host Jack Bailey sails through his opening lines. His mustache is trimmed, his salt and pepper hair slicked back to reveal a perfect widow's
peak, and his posture totally relaxed, as if the studio audience is sitting in his kitchen.
It's 1956 and the lights in the TV studio are searing.
Backstage, four women are getting their hair and their makeup touched up for their big
moment.
Because we're on the set of a new game show where housewives dealing with terrible hardships
tell their stories on air.
The audience then votes by applause for the woman with the saddest story.
And then she wins prizes and a very particular title.
You know something that just isn't any better way to put it than would you like to be Queen
for a Day?
Jack, I remember my dad telling me about this when I was little.
I didn't even believe it was a thing.
Queen for a Day is more than just a game show.
It's a killer opportunity for brand names to get in front of potential customers.
Companies ranging from Colgate to Exlax to the California Egg Council, they
all sponsor the show. Why? Because Queen for a Day reaches up to 20 million viewers per
episode.
Jack, I feel like we got to sprinkle on some modern media context here. Can you put the
Queen of the Day viewer numbers in, let's talk streaming numbers.
20 million viewers per episode is 6 million more than those who watched the Game of Thrones
finale.
Not too shabby.
Now of course, game shows don't just need sponsors.
They need prizes.
Yes.
Products that become part of the contestants winnings.
They can see their sales skyrocket.
Just watch Legends of the Hidden Temple and you'll know what I mean.
And the way you're describing the show, Jack, it's kind of like a 1950s version of Oprah's favorite thing. You get a car, you get a car, you get
a car. And guess what? Whatever that car is, it probably sees itself boost right afterwards.
Oh yeah. Because although he wouldn't understand what you mean by Oprah, Ray Schwartz, he recognizes
this too. The Jacuzzi's healing properties are a perfect match for the show's downtrodden and ailing
contestants.
So if you'll join me back under the studio lights, Jack, I'm with you.
Our contestants have shared their tales of well, and they're now sitting nervously together
on stage.
Jack calls out each one's number, and the applausometer comes to life as the audience
claps.
They seem to love contestant number three.
The arrow spikes!
That full plaza meter's about to bust.
Contestant number three is queen for a day.
Jack starts to call out the prizes that she's won.
The perfect way to relax,
it's with a Jacuzzi Whirlpool bath.
So Ray Schwartz, he's sitting at home
miles away from that TV set.
But as he's watching it, he's starting to smile because this is the start of something
big.
Apparently, all those 20 million Americans watching Queen for a Day, they needed a good
massage.
It checks out.
Because after its first appearance on the country's big new TV show, Jacuzzi saw it
sales hockey stick.
They could barely keep up with production.
They're shipping tubs from Toledo to Tallahassee.
But Ray Schwartz isn't finished with his quest
for universal name recognition of Jacuzzi.
As an ex-sports reporter, Ray has connections
to major league baseball players like Joe DiMaggio,
and by extension, the glitzy world of Hollywood.
Ooh, and that is when he pulls off
one of the most high profile celebrity endorsing strategies
in the history of fame.
He persuades the likes of silver screen legends,
Rita Hayworth, Jane Mansfield,
and Marilyn frickin' Monroe to strip down,
loosen up, and pose with a Jacuzzi bathtub.
Pose in a Jacuzzi bathtub.
Oh, and not just posing in, Jack, talk about that there Jacuzzi bathtub,
because they're giving testimonials too.
I mean, Jack, if you think about it, this is really one of the first
influencer campaigns in America.
Mm hmm.
Like nothing sold the tub quite like a mid century Kim Kardashian hashtag
promoted post. But you know what, Nick? Jacuzzi is jealous of those actors to partner with because jacuzzi wants their own fame
Interesting so just a few years later the company pursues an early product placement jacuzzi goes full Hollywood
With its own big screen debut their tub has a supporting role in the fortune cookie
Which is a film at the time by Billy Wilder.
And it should have gotten Oscar.
Jacuzzi got snubbed.
The main characters in this movie play scammers
trying to get a personal injury settlement
from an insurance company.
And they use a J300 Jacuzzi to try to trick the PIs
who are trying to bust their scheme.
But just exactly how does it work?
Well, first you gotta run some water in the tub. All righty. who are trying to bust their scheme. But just exactly how does it work?
Well, first you gotta run some water in the tub.
All righty.
Say, where's the switch on this jacuzzi thing?
No switch, just plug it in the wall.
I mean, come on, Nick.
That is product placement at its finest.
But there is another feature,
which we heard Jack Lemmon mention,
that will become the source of another major pivot.
Remember when he said,
you're just plugging into the wall?
Yeah, yeah, yeah, he said that 30 seconds ago.
Well, what's the first thing that you learn about
when it comes to electrical appliances and bathtubs?
Well, Jack, the first thing you learn is that you do not use them together.
So many people naturally are nervous about that scary looking wire.
Salesmen find themselves having to assure customers that, you know,
you won't get electrocuted in the bathtubs.
So if Jacuzzi really wants to be in every home in America,
they're going to have to pivot.
Again.
Pivot!
wants to be in every home in America, they're gonna have to pivot. Again.
PIVOT!
But this next pivot only happens with the help of another jacuzzi we haven't even mentioned
yet.
Roy Jacuzzi has entered the chat, and he's gonna take Jacuzzi in a new, exciting, and
dare we say, Jack, sexy direction.
Time to toss on that speedo.
So, we've talked about Raquelé, the engineering genius who invented the Jacuzzi pumps for farmers.
We've talked about Candido, the salesman who invented their home hydrotherapy product.
Now we're going to talk about Roy Jacuzzi.
Roy is Candido's grand nephew.
He's born just a couple years after Candido's son, Kennan.
I mean, Jack, who's next? Cousin Greg?
How many of them are there?
Enough for a 10th season of The Jersey Shore.
Well, Roy, he's a true believer,
and he's all in on the Jacuzzi family business
even before he graduates from college.
But Roy is not crazy about the design
of their hero product, the J300. Remember best, he's the J300. even before he graduates from college. But Roy is not crazy about the design
of their hero product, the J300.
Remember besties, the J300, great product,
but it looks like an all metal Vitamix slash boat motor
that you stick into your bathtub.
Yeah.
Even if you're not worried about electrocution,
this thing takes up a lot of space in the tub.
I mean, Jack, do you put it behind you?
Do you put it in front of you?
Like, do you scrunch forward?
Roy calls it a bird bath, because the tub is I mean, Jack, do you put it behind you? Do you put it in front of you? Like, do you scrunch forward? Roy calls it a bird bath,
because the tub is tiny when that thing's in there.
And he vows to make something better.
He's dreaming about the old country
and the great Roman baths,
those marble-filled, hand-tiled masterpieces
of meditative indulgence.
Lovely.
He envisions a deep tub
where you can submerge your entire body up to your neck.
His design features hidden wiring and jets which transforms the jacuzzi from a medical
device to a true luxury item.
So Jack Roy is onto something here and he develops the new self-contained model of the
jacuzzi and he calls it the Roman.
He patents this design in 1968 and honestly it's not that different from the jacuzzi and he calls it the Roman. He patents this design in 1968 and honestly, it's not that different from the jacuzzi we see today.
Yeah, it looks good, Jack.
The price tag is about 800 bucks in 1968 or around $7,000 today.
This change, it's more than just pivoting your marketing from like home health products to recreation.
Going from the J300 to Roy's Roman model, it's more like going from a $20 Mr. Coffee
Machine to a $2,000 barista grade espresso maker.
This isn't just a marketing pivot.
It's a pivot in product and strategy.
Honestly, Roy's Roman bath is so different from the J300.
This changes the entire company.
And Jack, Roy then does something really smart
to actually get these Romans off the show floor
and into the homes around the world.
He takes the latest model to home builder
and plumbing trade shows,
and he gives the home builders a great deal.
For every $700 Whirlpool tub they bought,
contractors got to keep $350.
He's sweetening the incentives in a major way.
Roy's idea turns homebuilders into his
salespeople. Essentially. Yeah, that's what it does. You're right. And in the very first trade
show, he takes home 50 to 60 orders. Not bad. Yetis, Jacuzzis, they are officially on their way to
becoming a luxury product and a status symbol. Affordable to the well-to-do, envied by the up-and-comer, and soon,
an influential Hollywood makeover. In the 1970s, the Jacuzzi as we know it really takes shape.
After producing the Roman tub, Jacuzzi also develops fun innovations in fiberglass,
another innovation from the Jacuzzi's, which allows them to create unique shapes and sizes
within the tub itself. Okay, so we're talking bigger tubs and smaller tubs and heart-shaped tubs?
Like in-ground, above-ground, tricked out with lights.
They're going full exhibit on this. Jack, they're pimping out the product.
It's this development that creates the hot tub you probably see in your mind.
Jacuzzi has gotten so big that even President Nixon has a Jacuzzi installed in the White House bathroom.
I mean, the stress of being the most important person in the world.
Actually the stress of the water date scandal.
Yeah, good point.
Well played.
So after he resigns and Gerald Ford becomes president, Ford has an outdoor pool installed
and adds a second Jacuzzi.
Nothing crosses the political divide quite like a Jacuzzi, Jack.
But Jacuzzi knows that sex sells.
So it's time to go from PG to PG-13.
So the company ups its product placement game
to get steamy.
In a 1970s Warren Beatty film,
two beautiful twins try to lure him into the whirlpool
by forgetting their swimsuits.
Or Jack, how about Scarface?
Al Pacino's in a giant round hot tub
smoking a cigar and yelling at Michelle Pfeiffer.
The company is building factories everywhere
from St. Louis to Toronto to Sao Paulo,
and it's still a family business,
employing a whole bunch of Jacuzzis.
And now Jack, we should sprinkle on some context
to the financials here,
because Jacuzzi is hitting sales numbers
that are just surging at this moment.
In 1974, Jacuzzi grossed $67 million in sales.
By 1999, that number has spiked to $650 million in sales.
That's right.
In 20 years, this company's grown 10x.
And this might have been where we wrapped up our tale about Jacuzzi.
It might have been.
But there's a parallel story around this family business that we've held back on the towel rack until now. Jack, keep that speedo on.
So after years of tragedy, the Jacuzzi family is finally prospering. They can relax, hit the tub,
crank up the jets. But there's one problem. The family is also fracturing.
Candido, the devoted dad who created this entire product
category to help his two year old sick son.
He also gets indicted for tax evasion in 1969
and is not so gently encouraged by the jacuzzi board to retire.
Brutal.
He moves abroad until medical issues force him back
to the states where he has to pay a couple hundred Gs in back taxes.
By the late 1970s, are over a hundred grandchildren of Papa and Mama Jacuzzi and
most of them actually work for the Jacuzzi company.
Jacuzzi has over 250 stakeholders.
Board meetings are chaotic.
I mean every meeting is also a high stakes family reunion.
But without the cool custom t-shirts and the trips to Disney World Jack.
Oh, and then there's this different family members have been suing each other for years
over things like selling assets without proper notice.
So the company's reserves are depleted.
They need cash to help fund future growth.
Now this is a key moment because that's when Jacuzzi decides to go public.
They want to have an IPO.
But then as we know from covering IPOs,
the macroeconomic environment can have different plans
for you, right, Jack?
The oil crisis rocks the global economy
and the IPO market freezes.
So word starts to get out
that the company is looking to sell.
Instead of IPOing, they're gonna sell the Jacuzzi company.
But Big Hot Tub is about to get friendly with big finance.
Walter Kitting Company, whose main business
is smoke detectors and fire extinguishers,
they make a bid for Jacuzzi.
$73 million for the whole company.
It would be the biggest deal in water
since H2 merged with O.
But it's still underwhelming for this family diamond.
It is.
With few other options, the Jacuzzi family gets together,
has what we imagine is a big pasta dinner that's probably delicious, and they decide yes, it's time to sell the company.
The family's decision to sell the company when faced with internal conflicts and financial
pressures, it shows the importance of knowing when to exit or when to seek external investment.
For the Jacuzzi's, that time was now.
The company will change hands a few more times across the next 40 years, eventually landing
with the European investment group Invest Industrial.
The brand's estimated global revenue is $877 million as of 2023.
So as prospective yetis, less than a billion dollars for a brand that we all recognize.
Honestly, it's way tinier than I expected at this point, Jack.
It's barely grown since 1999.
So Jacuzzi's revenues are less than the revenue
from Deadpool and Wolverine.
But still, the family got what they needed back in 1979.
They got liquidity, even if not every member feels
like they got what they wanted.
And despite its travels through private equity,
Jacuzzi is still here as a brand.
It is still the most recognized whirlpool brand in the world.
And today you can find a Jacuzzi in most mid-priced hotel chains and in a suburban dentist backyard,
but it's still considered by most economists to be a luxury good.
Lifestyle outlets like Travel and Leisure still run articles today, like 20 hotels around
the world with stunning private hot tubs.
And Jack, we should share the wild stats we discovered
about Airbnbs and Jacuzzis.
Airbnb estimates that a hot tub can increase
a rental's booking rate by 13%.
Okay.
And increase a rental's price by 39 bucks a night.
Although Jack, we forgot to mention
a Jacuzzi's biggest risk of all.
I don't understand how we back in time.
I'm so scared.
Must be some kind of hot tub time machine.
Yeah, you want to check the bubble settings, check the light settings, and check the year,
apparently.
There's nothing worse than getting sent back to the wrong place, to the wrong time, in
the wrong outfit check.
Always pack a second speedo.
So Nick, I've slipped into something a little more formal to wrap up the show with you. I appreciate it. We have tracked the history of jacuzzi from airfields
to farms to Hollywood and to the White House and beyond. Yes. After all those pamettes,
what is your takeaway? Jack, my takeaway on jacuzzi is this, the best minds in business change their minds.
Yetis, Jack and I first covered this concept with Domino's Pizza on our daily podcast show.
For years, Domino's said they would only do their own delivery and would never use a
third party delivery app like Uber Eats.
But then last year, Domino's pivoted.
They did a 180.
They changed their minds and they adjusted to a new reality, selling
their pizza on delivery apps.
And you know what?
Wall Street rewarded the stock.
When new information presents itself, you must consider changing your mind.
Yes!
Respond with the best information you have and treat every pivot as a chance to grow.
Just make sure when you do pivot, you commit.
Yeah!
Because half a pivot, well, like just a flinch.
And Jack, can we pause the pod
and recap the pivots this family took?
Because they pivoted from airplanes to agriculture pumps
to bathtub pumps, and then to full on hot tubs
because the best minds in business change their minds.
But Jack, what's your takeaway on Jacuzzi?
My takeaway is about the end of the story.
We've talked about family businesses a bunch of times on the best idea yet. We had Birkenstocks, Levi's, Sriracha, all family businesses that lasted
for decades under family management. But most of those businesses end up selling at some point.
Well, they're not Sriracha. We see you, Hot Sauce Kings. So why do family businesses ultimately end?
Most often, it's the L word, liquidity.
Because working with your family can be stressful.
It's also hard.
It is.
And if things start to fail,
the fallout can feel really personal
because your name is on the company.
A lot of times, heirs just want cash.
They don't want the stress and pressure
of continuing the family legacy.
It's not necessarily a bad thing.
It's just part of the family business life cycle. I think what you're saying, Jack, is that when you're in a Jacuzzi, you're family.
But Jack, I'm checking the temperature here and it feels like we reached our favorite part of the
show, the best facts, yet all the best little tidbits and factoids that we couldn't fit into
the rest of the show, but we can't leave you without. Whip em up, what do we got man?
Today, Jacuzzi operates multiple brands including Sundance, Thermo Spas, Bath Wraps, and Hydro Pool.
But the best recognized of all is still the original.
Also, Jacuzzi's are still very much part of pop culture. They've got a recurring role
in The Bachelor and Love Island, honestly, like Roy always wanted.
He knew that Hollywood would be the salesman for the Jacuzzi.
They're the Andy Cohen of household appliances.
Actually, literally, I think Andy Cohen has like three of them in his New York pad.
And finally, after all of Jacuzzi's many pivots, they never strayed too far from
this one idea. We all deserve to feel relief. Which brings us to one more lasting
impact of Jacuzzi's legacy. Ken, the two-year-old, who struggles with juvenile rheumatoid arthritis,
inspired the modern hot tub we know and love today, Ken became a tireless advocate for
the disability community. In fact, back when the J300 Jacuzzi was patented, Ken earned
a 1% cut of all the royalties for the use of his likeness in advertisements.
And then Ken went on to start a foundation that lobbies for people with disabilities.
Expanding accessibility and giving dignity to disabled people was a cause that he championed
until his death at the age of 75.
75!
He beat his predicted life expectancy by 67 years.
Yes he did.
He lived what he called, in his own words,
a damn good life.
Just one more pivot that the jacuzzis had up their sleeve.
And another reason the jacuzzi is the best idea yet.
Oh, Jack, I think I know where we gotta go celebrate
finishing recording this episode, man.
Is it a jacuzzi?
No, I'm thinking jacuzzi winery.
You gotta get over here. We gotta hit the road, man. Is it a jacuzzi? No, I'm thinking jacuzzi winery. You gotta get over here.
We gotta hit the road, man.
I bet you they have jacuzzi's never.
I mean, honestly, turn on the jets and pour a little Cabernet.
Although they don't serve it slightly chilled.
I should point out, Jack, the Pinos are piping hot.
What's the dress code?
Oh, it's Pinos or I'm not going.
Coming up on the next episode of The Best idea yet, it's the picture perfect story,
Polaroid.
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The Best Idea Yet is a production of Wondery hosted by me, Nick Martel, and me, Jack Gravichia
Kramer. If you know the best idea yet, leave it here in the comments. We want to hear it.
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Our senior producers are Matt Beagle and Chris Gauthier.
Matt Wise is our producer.
Our senior managing producer is Nick Ryan and Taylor Sniffin is our managing producer.
H. Conley is our associate producer and researcher.
This episode was written and produced by Katie Clark Gray.
We use many sources in our research, including the following.
Ken Jacuzzi's 2005 book, Jacuzzi, a father's invention to ease a son's pain.
And Saskia Solomon's New York Times article, The Frothy Saga of the Jacuzzi Family.
Sound Design and Mixing by Kelly Kramarik.
Fact Checking by Molly Artwick.
Music Supervision by Scott Velasquez and Jolina Garcia for Freesaw N' Sync. Our theme song is Got That Feelin' Again by Molly Artwick. Music supervision by Scott Velasquez and Jolina Garcia for Free Song and Sync.
Our theme song is Got That Feeling Again by Black Lac.
Executive producers for Nick and Jack Studios
are me, Nick Martel.
And me, Jack Ravici-Kramer.
Executive producers are Dave Easton, Jenny Lauer-Beckman,
Erin O'Flaherty, and Marshall Louie for Wondering. for wandering.