The Best One Yet - 🧜‍♂️ “Bro-tox” — Botox for guys. Apple’s drivers license. Whoop’s free unicorn.

Episode Date: September 7, 2021

While we were on our August vacation, Botox has been thriving — Botox for guys (Brotox). Apple had its worst month in years, but we think the real story is Apple’s new thing: Apple Drivers License. And Whoop just became the biggest fitness tech startup on Earth by selling its fitness trackers… for free.$ABBV $AAPL $YOUGot a SnackFact? Tweet it @RobinhoodSnacks @JackKramer @NickOfNewYorkWant a shoutout on the pod? Fill out this form:https://forms.gle/KhUAo31xmkSdeynD9Got a SnackFact for the pod? We got a form for that too:https://docs.google.com/forms/d/e/1FAIpQLSe64VKtvMNDPGSncHDRF07W34cPMDO3N8Y4DpmNP_kweC58tw/viewformLearn more about your ad choices. Visit podcastchoices.com/adchoices Hosted on Acast. See acast.com/privacy for more information.

This is Nick. This is Jack. And this is Snacks Daily. It is Tuesday. Tea Boy Tuesday, September 7th. Oh, shoot. My mic's on backwards. Oh, my God.

I forgot how we do this thing. How do we do this thing? I don't know, but this is the best one yet, Nick. Honestly, it's a TBI-O-Y. Jack, what do we got for our first story back? Guess what resting Zoom face has led to in this country? Why don't you tell us?

ROTox. ROTox. Botox for dudes is a booming business for AbV. For our second story, Apple's Com's team canceled their summer vacations to put out about a dozen dozen PR fires last week. Yeah, but Jack, no one's talking or paying attention to their biggest new thing. Apple driver's license. For our third and final story, while we were on vacation, yeah, we were. Whoop became the biggest fitness tech startup honor. Ah, you got to love this. Jack,

here's the secret. Give away your fitness trackers for free. Wooop. But Snackers, before we hit those three wonderful stories. Wonderful mix to come back to, Jack. I love this mix. It is Horters Almanac week 76. Yeah, Snackers, we're keeping track of things we run out of. And Jack and I noticed, we ran out of Snacks daily episodes. Yeah. A lot of you listen to back episodes during our break, and we saw a ton of love on social media wishing Nick and me, happy vacation. Also, a lot of sadness out there. People couldn't H, Y, HY, H, Y, SD, if you know, you know. Yeah, it's like H, HY, H, Y, Y, SD? No, I didn't. Snackers, thank you for being there for us while we took our much needed breaks. Nick, the Snackers are dying to know. What happened on your

vacation? Yeah, so we did some leisure travel and Sicily, Jack. And then we did some Belizeor travel in Rome, putting the takeaways to the test. Yes. I heard you started whipping up this podcast about six canals away from the pantheon. It's not like that. Honestly, though, Sicily, Homeland of the Godfather, leave the microphones. And according to your Instagram, we know that each meal consisted of tomatoes, eggplant, and aggressive seafood. It did. I like the way you put it before, Jack. There's cooked seafood. There's raw seafood. And then Sicily, they do live seasuit. food. The tentacles were twitching. Great training ground for the podfather. Just want to point that out. That's where you learned to be a podfather. But Jack, on the other side of the Atlantic,

can you tell us what you were doing for this daycation? I'm dying enough. Paul Rudd, yes. Do less. That's what we did. We did less. Okay. A little more details. What we got going on here? Hung with a family, hung with Wilder, ate some pizza. I don't want to be that guy, Jack, but like, I heard there may have been a paddleboarding incident. You're being that guy right now. I am. I am being that guy. That's true. I had some unauthorized stand-up paddleboarding. Yeah, the long arm of the Vermont State Landlock Water Police. I'd rather not talk about it, but let's just say I was going way over the speed limit.

Vermont Water Police, we do freshwater, we don't do salt water. Snackers, that is our last holiday until the actual holidays this December. Yeah, thank you for waiting for us like a patient Ryan Gosling soaked in the rain. The notebook. If you're a bird, I'm a bird? Let's in our three stories. Let's in our three stores. We're back, man.

It's actually about to hear rain food. It's in candy. reflect the views of the robberhood family. It's all informational just so. We're not recommending any securities. It's not a research report or investment advice. Not an offer or sale of a security. Snacks is digestible.

Business news for you. Robberhood Financial, LLC, member FINRA slash SIPC. For our first story, resting Zoom face, it's resulted in a surprising new trend. That trend is called Brootox. Brotox. It's Botox. It's Botox. for men, and it's a boon for one specific pharmaceutical company. Let me jump over to the chemical periodic table of the elements.

Well, he has whipped that one up from wherever you, I don't know where you're getting these things. Snackers, have you heard of botulinium toxin? Yeah, Jack, it sounds like, I don't know, like a Soviet nuclear plant. It's actually a common protein on the Upper East Side. It sounds like something we should call the Avengers to save us from. Honestly, I feel threatened that we've said it this many times. It's kind of scary. Now, the commercial name for this scary sounding chemical compound is Botox, and it was approved by the FDA for cosmetic purposes in 2002.

So here's how this goes down. Jack and I jumped in. Actually, we didn't jump in snacks out of this one. You inject, or a doctor injects a tiny amount of toxin into your skin and it reduces the wrinkles in said skin. These are small targeted doses of the toxin. So it's not harmful to the body, even though the word toxin is in the name of this toxin. Jack, you got to love the balance here. Just enough to eliminate lines nowhere near the toxicity threshold, though. That part's a key.

And a big pharma company named AbbVy, which has a publicly traded stock, is the present owner and distributor of Botox globally. Okay, so Snackers, here's where we did dive in snack style. Over the last three years, Botox revenue, it's been growing, you know, a nice, steady 10% a year. Very, very nice and steady. But then Botox's revenues doubled last quarter for AbVie. And that is what Jack and I find fascinating about this story. It's thanks to a trend that's called by Fortune magazine, Brotox. Snackers, historically, about 90% of all Botox sales have gone to women. But get this, now, Botox is the most popular cosmetic treatment for men. Correction. It's called Brotox, Nick. And Brotox was already happening pre-pandemic. It was. It was, Jack. You're right. There were like

470,000 injections to men back in 2019 before the pandemic. Pretty much every act. actor with a beautiful face named Ryan has been doing Botox. You know you are and you may be listening. But the key snackers for the pharmaceutical company, AbV, is that Brotox for men is a more profitable treatment than Botox for women has been. Because men have thicker skin. Yeah, literally not figure. Not figure.

Yeah, exactly. Literally. So they must pay for more injections of Botox to get the desired wrinkling, reducing effect. Okay. So, Jack, can you whip out the whiteboard, put away the periodic table and tell us the numbers over at Botox. Okay. In the last three years, Botox Cosmetic Sales grew 12%, 9% and 12%. Nice. But Snackers, sales grew more than 100% last quarter. Sounds like a lead into the takeaway.

Jack, what's the takeaway for our buddies over at Botox? Look at Char. Brootox is a piggybacking trend happening right now. Yes. And it's piggybacking off multiple pandemic subtrends. Snackers, first of all, you got the work from home trend going on. You're not in the office. So it's easy. It's easy. to schedule a Botox appointment. Yeah, why not? Oh, and then you got stimulus checks and a stock market boom leading with more money. For white-collar workers, incomes rose during the pandemic. And cost probably fell because you're not going on vacation.

And then, Jack, you got to love the third and final one here. Screen time on screen time on screen time. Your face is the most important surface area there is right now. I mean, Snackers, everyone's seeing your face online, not in person, from Tinder to TikTok to Zoom these days. It used to be your whole look that mattered. Now it's your mugshot that matters. So here's what we're thinking. Ab V acquired Botox at the perfect time in 2019.

Because Protox was about to take off, piggybacking off three pandemic trends. For our second story, Apple, it's continuing to kill the physical wallet. And this time, it's going for your driver's license. This is Tim Cook and Tim Cook. Classic Timmy, right? I mean, this is Tim Jack. This is Tim. He's a snacker, right?

He's a snacker, hopefully. But first, Snackers, we should let you know. In the two weeks while we were on vacation, Apple tried to do a lot of good things ended up having its worst month in years. Two weeks ago, Apple announced a new feature that was intended to protect children from abuse. Fantastic. Apple would alert authorities if someone's I-Cloud account had images of child porn.

Sounds like a great thing. Totally on board. Does sound like a great thing. Problem though, that means Apple scanning all the pictures I have in my I cloud account. Tim, what's going on here? Come on. What else could Apple be scanning and looking for and what other authorities could be the reporting to? Yeah, Jack, it seemed like people weren't happy about this.

And then on top of that, Apple's still dealing with all the drama over its App Store tax, which is brutal. The FTC, the DOJ, the EU, Fortnite. Yeah, a lot of acronyms. None are fans of the App Store right now. But Snackers, the good news that didn't get much attention that Jack and I think is fascinating, your driver's license in your iPhone. The files are in the computer. Yeah, baby.

Last week, Apple partnered shockingly with eight U.S. States to put your driver's license into your iPhone and into your Apple Watch. We know what you're thinking. Neither my state nor next date, unfortunately. Come on, Tim. What's going on? Here's how it works out. You scan your driver's license with your iPhone's camera. Step one.

And then you scan your own face using Apple's face ID feature. Step two. And then you send both of those to Apple. It can only be step three. And then, voila. Apple wallet now includes payment cards, your credit cards, and proof that you're an organ donor. There you go, Jack. Now, with the launch, which was announced two weeks ago, there's only one use case, and that is

TSA security checkpoints in airports. Okay, but here's why this is key snackers. It's not just a mobile ID that you'd have now. This is a touchless ID. Right. After waiting in line to get through TSA pre-check, brutal. You're not going to have to pull out your ID. Yeah.

You're just going to take your phone, which you're probably scrolling through anyway. while waiting in line. And you hold it close to the TSA sensor like Apple Pay. There you go. Which then vibrates and transmits the identification info to the TSA agent's screen. It's just TSA right now. But soon, like, picture this. You could probably show a police officer or a bartender this thing if you get pulled over or trying to get into a club.

Then you wouldn't even need to carry your ID. You could just have your phone to get out of a speeding ticket. There you go. Or to order a PBR. Oh, Jack and I, um, can I tell you a little secret by the way? What? The day we got back from Italy. I got a speeding ticket. First speeding ticket at seven years.

Well, you're used to the auto bottle. I don't know what the speeding limit was in Italy. And no one seemed to be paying attention, by the way. But I was definitely fumbling to find my driver's license during that pullover. Did you use the kilometers to miles per hour excuse? I did. And it's not a number that I'm proud of or comfortable sharing on this podcast. They're like, oh, I have sympathy for this guy.

He just got back from an Italian vacation. Snackers, eight states are on board so far. Arizona and Georgia. They're big fans of this. If you're Nick and you own stock of Apple, you're probably a big fan of this. Not too shabby. If you're me and you own stock of Clear Secure, you're less thrilled. So, Jack, what's the takeaway for our buddies over at Apple?

And I love this takeaway, by the way. Steve Jobs did product launches. Yes. Tim Cook does profit launches. Snackers. Apple CEO, Tim Cook just hit his 10-year anniversary as Apple CEO. And he got paid a nice $750 million anniversary bonus for it. But here's the thing.

Cook's predecessor, Steve Jobs, the legend, is famous for visionary new products, namely the iPhone. Tim Cook is best known for taking that visionary product, the iPhone, and profitizing it. Yeah, services and AirPods, those are great examples of profit-boasting iPhone Adams. Classic Tim Cook. Now, they haven't announced this, but we could imagine Apple charging like three bucks a month for this Apple wallet feature, which has the I driver's license. Maybe your I passport baked into it. Okay, so Jack, we add all this up.

It kind of helps us understand how Apple's market value has grown by a whopping seven times in those 10 years. It was worth $330 billion when Tim Cook took over and now it's worth $2.5 trillion. Snackers, it's not thanks to product launches. It's thanks to profit launches. For our third and final story. Sorry, Jack, I'm just picturing like the Vermont State Troopers in a giant canoe chasing after you on that paddleboard. It was pretty embarrassing. I didn't have my idea on me.

Sir, sir, pull over. Pull over. He's already on the bank, sir. He's already on the bank. I already pulled over. Snackers, whoop. It just became the most valuable fitness tech startup on planet earth while we were gone.

Because whoop has resurrected a dying business model. Boston-based whoop. Founded by a Harvard squash guy. The news last week, Woop raised $200 million in venture capital funding, mainly from SoftBank, which pegs this startup at $3.6 billion. All right. So, Jack, in the spectrum of fitness tech, you know, you got Apple Watch and you got Fitbit, pretty much. Right.

They're both targeting casual Chris Strolling Susan. Yeah, Chris and Susan, they're not running a marathon. They're just speedwalking on the weekends, getting back in time for a long breakfast. Whoop is targeting about three spots higher on the depth chart. Yeah, they are. They're targeting athletes. And to prove it, they partnered with the NFL, the Department of Defense, the LPGA tour and a couple other leagues.

Now, Snackers, the other differentiator here for Whoop, which seems to be named after the sound you make mid-squat thrust, is they focus on sleep, the miracle drug. Yes. Whoop focuses on sleep because if you get enough sleep, you'll just perform better. This is a fitness strap. It's a fitness band. It's got no screen on it. So, like, it looks like an Apple Watch, except it's just the strap part.

And it's going to send the insights to your phone every morning after you slept with it on. Right. And for example, what kind of insights? They're going to notice that you drank an apparel spritz at 10 o'clock last night. Yeah. Which caused you to get up three times in the middle of the night. Whoop. Nose. They'll also notice that you put both your legs up on the wall to get the blood flowing.

And that helped your muscles relax during your sleep. Whoop knows. Whoop claims that they're members, thanks to these sleeping insights, get 40, extra minutes of sleep by avoiding that nightcap and putting those legs up the wall. Here's what Jack and I think is wild about whoop. It's pretty old for a startup. Yeah, it was founded in 2012. But they made a fascinating, unprecedented pivot back in 2019. They made their product free. Free. They gave away their fitness tracker, their main product away. They used to sell their fitness tracker for 500 bucks each, which is a lot of money. Now they're

giving it away for free. I mean, they're dishing these things out like a mother Teresa of working out. Here's the catch. After giving it to you for free, it only provides any value if you become a member and pay a monthly subscription for as low as 18 bucks a month. Okay, so the hardware is free, but the software that you still kind of need for the insights, that is not free. But making the strap free, making that tracker free. It reduces the financial friction of trying it out. Yeah, you're going to pay like 200 bucks for a Fitbit or just 30 bucks the first. month for a whoop. Seems pretty clear. And if you like it, Woop will win because you're going to spend about 200 or 300 bucks annually for those monthly subscriptions to get the insights which come to your

phones out. And Jack, you can't optimize your circadian rhythms without all the data. So what's the takeaway for our buddies over at Woop? Woop has resurrected the Razor, Razor Blade business model. Snackers, classic business school, textbook, business strategy 101, class, number. Number one, Uno. Your study group knows this one. Yeah, they do. Razor, razor blades. The study group knows. Yeah. Gillette pioneered this business model by selling razor handles for like nothing. They're probably losing money on the sales of razors. But then here's the key. They charge a higher amount for all the replacement blades that you need for the lifetime of the razor.

It's really frustrating. Printers used to do the same thing. Yeah, they did. They'd give you a printer for free with your Dell. Dude, you're getting a Dell and a free printer. but then they're charging you like $200 for an ink cartridge. Well, Woop is taking that model and resurrecting it and extremifying it. Yeah, they're losing money for sure when they give away these pretty high-tech fitness gadgets for free. But then they make up for it with the long-term subscription to all of those sleeping insights.

The Razor Razor-Raser Blade model, it's totally out of fashion these days. Yeah, Dollar Shave Club, they kind of killed the Jack. And the PDF killed it for printers. Well, Woop is trying to bring it back. Jack, can you whip up the takeaway? for us while you apparently put your legs up before bed to relax your muscles. I'm very curious about that. We should talk about that later. You've never done that? Oh, it's wonderful. It sounds delightful. Gets the juices flowing. Okay, first takeaway, what do we got?

Adby is the proud owner of Botax, which is enjoying a Brotox movement. Yeah, Brotox. It's piggybacking on work from home, stimulus checks, and screen time. For our second story, Apple just baked driver's licenses into the Apple Wallet. Steve Jobs did product launches. Tim Cook does profit launches. Whoop is so confident you'll love their fitness tracker. They're giving them away for free. Yeah, we think they're resurrecting the Razor Razor Blade business model. Now, time for our snack fact of the day.

This one sent in by Jack Leonard from lovely Trumbull, Connecticut. We have to phrase this in the form of a trivia question. Yeah, we did, we do. This one's good. We've alluded to it before. What company makes more tires annually than any other company? Okay, here's the hint. It's not Bridgestone.

It's not Firestone. It's not Michelin. Legos. The Danish toy icon makes more Lego tires than any company makes any kind of tie. But here's the thing Snackers. It's not just tires. Lego also makes more human-like figures than any company on Earth. Four billion of them. That is more humans made per year than the Romney family.

We're talking four billion Lego many figures, the largest population of non-human humans on planet Earth. Legos. Snackers, you look fantastic today. Jack, it is so good to be. back with you. You look fantastic as well. You look even more olive skinned than normal neck. And it's a great, it's a great luck. Full disclosure, I do have olive oil on my body. Snackers, H. Y, H. Y, Y, Y, St. Have you had your snacks dip? If you know, you know. And before we go, happy everything to anybody who got a year older or married or promoted or an

anniversary while we were on vacation the last couple weeks. More anything? More everything. Olivia, Kelsey and Anna. They're moving. in for their first apartment together after graduation in the home of logistics in Chicago. This snacks tripod used to listen separately to snacks daily. Now they listen together in the same apartment on one big smart speaker. And happy birthday to Kevin May down in Austin. And Rachel B. in New York City. And happy birthday, Kean O'Fuelan in Dublin, Ireland. And Hudson in Miami. And Tyler Raymaker in Kansas City. Congrats to Jordan and Cassandra for having their first baby, Jude, who's seven pounds in Seattle, Washington.

Navy and Mabelian Slack. Happy four-year wedding anniversary down in Virginia. Happy six years together to Tracy and Danny in San Francisco. Will Lyme, good luck on starting the Cornell Masters program. Congrats to Stefan Cumberbatch, who just passed the Series 7 and 66 in Charlotte. Not easy. John S.E. Congrats on six years at Amazon. Congrats on leaving to go to chewy.com. And big shout out to Adam Macias, the one, the only editor of this podcast. He got some vacation time in while we were on vacation, but he's,

Simply the best editor yet. Congrats Adam on getting that sunburn in Hawaii. This is Jack. I own stock of Amazon and Clear and Nick own stock of Apple. Robin Hood Snacks, newsletters, and podcasts reflect the opinions of only the authors who are associated persons of Robin Hood Financial LLC and do not reflect the views of Robin Hood Markets, Inc, or any of its subsidiaries or affiliates. They are meant for informational purposes only and are not a recommendation to buy or sell

any security, cryptocurrency, or investment strategy in any account. This is not an offer or sale of a security, not a research report, and is not intended to serve on the basis for any investment decision. Any third-party information provided therein does not reflect the views of Robin Hood Markets, Inc., Robin Hood Financial LLC, or any of their subsidiaries or affiliates. All investments involve risk, including loss of principal and past performance, does not guarantee future results. Robin Hood Financial LLC, member FINRA, SIPC. People are like, so how you do the pod? We're like, well, it's a 15-minute pot. We record it for four hours, and Jack is chewing for three hours of them.

No, I'm just kidding. Honestly, I don't know.