The Best One Yet - 🍷 “Hey Alexa, pour Pinot” — Napa’s audio wine. Twitter’s tipping. Oil’s $5 per gallo

Episode Date: October 6, 2021

Duckhorn Vineyards just IPO’d as a pure-play pinot stock, but its latest move isn’t drinking wine, it’s listening to wine. Oil prices just hit record highs worldwide — and that’s really a tax on the entire economy. And while Facebook was down Monday, Twitter wasn’t. But we’re focused on the Bitcoin tipping feature$NAPA $TWTR $BTC $MC $V $PYPL $SQGot 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 Wednesday, October 6th. And this is the Holland Tunnel. I'm kidding. This is the best one yet. Redemption.

T-B-O-Y. Jack, what's our first story? Duckhorn is the new wine stock that just dropped 8% after their earnings had a hint of oak. Lovely. Their latest move in wine isn't drinking Merlot. It's listening to Merlo. For our second story, oil and gas prices are hitting record highs across the earth right now. They are. Five bucks over here in California. It all comes down to the gas versus glass tradeoff.

New thing. For our third and final story, Facebook wasn't working yesterday. No, wasn't. Twitter was it? Twitter was. But we're not focusing on Twitter tweets. We're focusing on Twitter tips. We're talking Bitcoin tip. Great mix. Great mix. Great mix. But before we hit that wonderful mix. It's a wonderful mix. Have you bought a succulent recently? Maybe, Jack. I don't know. You bought 56 succulents lately. Snackers, house plants are gorgeous. They're a millennial. lifestyle. Yeah, we're decked down and I'm wearing one right now. Like Gordon Gecko greed is good. We're talking fig tree green is good. With house plants, you turn your two bedroom into one terrarium. Okay, but here is the wild thing that Jack and I noticed. That pop in plant parenthood during the

pandemic, it's led to an entirely new thing. A new industry, plant insurance. Plant insurance. This like didn't exist before and we traced its origins to one company, a startup called Horty doing plant insurance. Have you been soaking your fiddle leaf fig tree in way too much sun? No SPF. Low light, midlight. Is anyone like keeping track of this? Here's what you do snackers. If it trivels, you send the picture to an expert and they will have a customized plan to resuscitate that fiddle leaf. Or let's say things are getting dire. Those leaves are turning yellow. Maybe you pay more for the resurrection plan. Gotta save that fig. Real insurance plan. If you followed that expert plan, we just described, but it's still drowned to death. Boom. Boom. Boom.

They'll replace it for you. The Monstera. It's back. You're getting a new monstera. Everyone's happy. Don't even get us started on orchids. Are you kidding me, Jack? You can never satisfy an orchids.

High maintenance. They just sit there and they judge you. Is it me? This is my lifestyle orchid and I'm going to live it. Now, honestly, I have never not killed the succulent. We're the only two people, Jack, who cannot keep a succulent alive for more than 60 days. I'm like Tommy Boy. You know when he's trying to sell that little roll?

And he loves it so much. He goes, this is a plant. that requires zero maintenance. Succulents survived the dinosaurs. They couldn't even survive Jack's in my apartments. I love my succulents way too much. So Jack, what's the takeaway for all our buddies who happen to have plants these days?

If some thing can become a thing, then someone will build an insurance empire around that new thing. I'm still waiting for T-boy insurance. Water once a week, let's hit our three stories. You're tuned in the snacks daily. Snacks about the hair ain't food. It's ear candy.

They don't reflect the views of the robberhood family. It's all informational. just so you know. We're not recommending any securities. Nope. It's not a research report or investment advice. Not an offer or sale of a security. Right.

Snacks is digestible. Business news for you. Robberhood Financial LLC. Member Fenbra slash SIPC. For our first story, Duckhorn portfolio, just kicked off wine season with the falling stock. It fell 10%. Duckhorn wants you talking to your wine before you drink it. You sound certifiably.

insane, Jack. By the way, it's been like a year since we had subscribed. We served River the puppy, her first Pino. River's first Pino. How could I forget? We had a picnic. It was lovely. In the meantime, though, we noticed a company just reported earnings. It's called Duckhorn Portfolio, and this is a pure play Pino stock we're talking about. Ticker Cigure Simbles NAPA. No joke, NAPA. Doesn't get any

better than that, Jack. And it's called Duckhorn portfolio. Burtle name. Doesn't sound glamorous, yes? No. But there are pictures of ducks flying in financial charts. These guys really like ducks. We jumped into their IPO paperwork and the financial charts have ducks on them. This company is 18 brands of wine, all loosely connected to ducks by theme. Yeah, you may have seen like the decoy brand wines at your local store, right? You seen this? Or the Mallard Merleau.

Yeah, that one doesn't exist. We made it up. Or Jack, they should do a quack, quack, quack, cabernet. I saw one that's migration. And I think that's a Merleau, actually. That one's deep because it's a mindset. So the inventory on the balance sheet is 1.4 million cases of wine they have in Napa. And last quarter, sales jumped by 36%. Their stock, ticker symbol Napa, is up 13% since they IPOed in March. But the key here, and the whole company is based on this concept of luxury wine. That is their focus. That's the key. Luxury wine is defined as $15 a bottle or more. It's only 10 to 15% of the U.S. wine bottle market. Now, here's why that is key. It is a small portion of the wine market. And yet,

luxury wines over 15 bucks are growing at twice the pace of the rest of the wine market. And the reason is millennials, get this snackers, millennials spend more per bottle of wine than any other demographic. Okay, Jack, the way that Duckhorn described this in their IPO paperwork was, I've never felt more alive reading IPO paperwork. Millennials came of age in a culture where cooking shows, celebrity chefs, farmers markets, and food blogs were all the norm. I mean, we can confirm this.

I feel seen. Three out of those four are like part of my daily routine. And the fourth one, Jack does twice a day. Now, the problem facing duckhorn portfolio is that there are over 10,000 wineries competing in the U.S. wine market. Picture yourself walking through a wine store. That's the problem right there. Labels are like the only differentiation between any of the wines.

Even if duckhorn's duck themed wines are the best, you're not going to notice them at that wall that has a thousand different bottles. So Jack and I notice there is one key way that Duckhorn is differentiating. Duckhorn is now one of the first wineries to connect their vino with virtual assistance. Alexa, enable DeCoin wines. That is going to create a virtual tasting room wherever you are. Then Jack, you do this virtual tasting room. The voice assistant, like Alexa, is going to walk you through a rosé sampler, courtesy of Duckhorn wines.

Boom, double date activity. You have a private tasting experience and you can stop pretending you know wine and let someone who actually knows wine tell you about wine. Okay, then you get to the end of this lovely dating experience. And then you can learn about the wine through the voice assistant too. It's actually not going to be Alexa's voice. It's going to be Decoy Wine's renowned winemaker Dana Epperson. You just need an Alexa or Google Home device. I like your idea here, Jack. You had a good idea for this. I think you should activate Samuel L. Jackson. The notes of bark. Don't forget the notes of bark. The shardinay is oakier this year.

Trying to think of a snake's in the airplane, but I don't know. In the meantime, though, this move by Decoy, this is the most innovative consumer moving wine since the twist off cap. I concur. So, Jack, what's the takeaway for our buddies over at Duckhorn Wines? The dream of V-commerce hasn't played out like we thought. Yeah, Snackers, V-commerce, V-commerce, 128 million U.S. homes have voice assistance at this very moment. Amazon Prime Day is basically forcing voice assistance into your arms.

And the dream was that you would talk to these voice assistants. you would buy stuff with the voice assistance. This was V-commerce. Not e-commerce, V-commerce. But data shows that we're not buying things on our smart assistants. No. So Jack and I think that Duckhorn, they're revealing how Alexa,

it shouldn't be a point of sale in the first place. Instead, Duckhorn uses voice assistance as an experience enabler. So you don't buy their wine with Alexa. You buy their wine because you can enjoy it with Alexa. That separates Duck from the 9,999 other vine growing competitors. Quack, quack, quack. Wabbit season, duck season. For our second story, got hurt by the oil prices over here. It's a punch in the guy. I thought you slipped him foul. I'm sorry, I got smacked in the face by filling up a car with a tank of gas. Oil prices,

Snackers, they're more than doubled in the past year. Hitting a seven-year high. That's awful. I'm angry. Nick's angry. Everyone's angry. Oil companies are not angry. Jack, you know the birds and the bees? Can we talk about the pipes and the pumps? Nick has been lamenting his $5.15 per gallon situation over there in California. It's brutal. But all oil conversations have to begin with the pipes and the pumps. We've got to talk about OPEC. OPEC, the 23 autocrats who luckily sit on countries that are sitting on oceans of underground oil.

A whole bunch of oil. And the 23 country club, it controls all the oil. And they just made a big joint announcement. OPEC could lower the prices of oil. by increasing the supply that they pump out of the air. Spoiler, they're not going to do that. They don't want to do that. No, because high oil prices, they're loving it.

That means high oil revenues for their countries. So in their announcement, they were just like, nope, we're good. We're going to keep pumping the amount we are because we like these prices. The political pressure doesn't matter to us. Instead, we're just going to keep maximizing revenue from oil. Snackers, you'd think OPEC just loves as high oil prices as possible. You'd think the sky is the limit. Why not just keep jacking up prices of oil?

But actually, the OPEC 23 countries plus Russia, which might as well be part of OPEC, they want a fine balance. Yeah, they want oil prices to be high so they can get a lot of revenue, but they don't want them to be too high. No, oil prices can't pass a certain psychological threshold. Yeah, exactly. For example, Saudi Arabia, they love high oil prices, and they would prefer to sell billions of barrels at $80 a barrel versus $60 a barrel.

But consumers and politicians outside of the OPEC countries, they hate high prices just as much as Saudi Arabia loves them. Jack, can we talk about the situation over in Europe where natural gas prices just hit another record high? To fill up your tank in the UK, Germany, Italy, or France, you're paying seven bucks a gallon. Yeah. Here in California, average gas, it's $4.40 a gallon. That's almost one blue bottle latte. The reason, though, that high prices are potentially a problem for oil countries is that persistently. Instantly high oil prices make people angry. Maybe so angry, they'll nudge you to finally buy an electric car. You would pass that psychological threshold, and oil doesn't want you to do that.

OPEC doesn't want that to happen. They want to get as much money out of you as possible, but without pushing you to ditch your oil habit. Like we said, Jack, it is a fine balance. So the next OPEC meeting is in one month, and they'll check to make sure you're angry, how expensive gas is, but you're not too angry. So Jack, what's the takeaway for our buddies over in oil? It's a zero-sum game. Money that we spend on gas, we don't spend on glass.

Snackers, the winners with record oil prices are the oil companies. Exxon, its stock nearly doubled in the past year. And the stocks linked to oil producing land in Texas, North Dakota, New Mexico, Oklahoma, they're up to. Now, the losers here happen to be the rest of the entire economy. Yeah, this is like a 99.9% versus 0.1% situation. It adds up. If businesses have to pay higher fuel bills, that crunches profits and it hurts their stocks.

And if we consumers have to drop 60 bucks instead of 50 bucks at the pump, that's $10 not spent at a shop or at a restaurant or at the app store. Now, do you fill up the tank for your Bronco? Or do you get your kid that ice cream? No one likes that equation. Well, high oil prices, they're basically a giant tax on the entire economy. Because money we spend on gas, we don't spend on glass. for our third and final story for one whole day. Twitter got to be number one for a whole day.

Twitter's like, I've never sat shotgun before. I usually sit in the back. Look at the view. You up here as a crap. So Twitter had fun for a day, but Jack and I are more interested in Twitter's new Bitcoin tipping feature. It's having a big impact. But back to that one day of fun.

Please, Twitter tweeted when Facebook was down. Hello, literally everyone. Kind of an aggressive tweet. This feels, I want to say a little bit mean. I think it was great, actually. It was kind of funny. But Snackers, we expect Facebook users to return to Facebook, despite that reliability issue on Monday and constantly awful PR.

Because Twitter and Facebook are fundamentally different. Twitter is for news and information. Facebook is for people's lives. But we did notice that Twitter is adding a tips feature, and we find it very meaningful. We did because it ended up alarming an entirely different industry. But more on that of the... takeaway. Here's how the tips feature works. Yes. Let's say you're a broke

comedian just getting by in Kansas City. We love you. But you can make people laugh in 280 characters or less. Boom, you can add Twitter's new one-click button to your Venmo or cash app or GoFundMe page. So if you're scrolling Twitter and you like this comedian's tweet, it's a great tweet. You can tip

her by clicking the button and then a little window pops up in your Twitter app for you to complete a Venmo payment, for example. But here's what Jack and I find fascinating about this new feature. Twitter actually added one new smoother option for paying someone. It's native to the Twitter app, which means there's no pop-up window for you to log in to Venmo. In fact, no further login is necessary with this even smoother option.

And that option is if you tip someone in Bitcoin. So the Bitcoin tipping option destroys friction. And tech only destroys friction when they want you to do that thing. Ipsop facto Twitter wants you to tip more Snackers, but they want you to tip more snackers, but they want you to tip in Bitcoin when you do tip. So Twitter announced they're partnering with Strike. Strike with a K, which offers this instant and free Bitcoin tipping feature. Jack, did you say instant and free?

I said instant and free. Not or free. Not or free. Which is key because Cash App and Venmo, the two competitors here, they offer instant or free but not instant and free. Not both. One of the other. So Jack, what's the takeaway for our buddies over Twitter who we're kind of doing? something with the payment space. The age old merchant fee is at risk of disruption.

Snackers, shout out to Seeking Alpha over here, a company that noticed that MasterCard and Visa and PayPal, all their stocks were just down. Just as the strike CEO was highlighting this instant and free Bitcoin tipping feature on Twitter, that's when those stocks started falling. Yeah, Jack, I mean, if I can pay this comedian in Kansas City instantly with no fee, why can't I pay a company for something with no fee? Why can't I pay our buddy Timmy for something with no fee. A big reason is this merchant fee. It's been around for decades. It's when payment processors take two and a half percent as a fee every time you use your card to pay for something. Despite advances in tech, that 2.5 percent annoying transaction fee, it is still there,

even if you pay with Apple Pay. Meanwhile, other fees have disappeared because of tech. They're gone. Stock commission fees. Many bank overdraft fees are gone. The fee economies falling apart. But that merchant fee is still there. And it powers the profits of visas. Mastercard, even square. So one move by Twitter, a social media company, alarmed the entire credit card industry. Because the merchant fee is at risk. Jack, can you whip up the takeaways for us over there?

Duckhorn wines. Snag the ticker symbol Napa. Yeah, and they snagged Alexis, not to sell wine, but to experience wine. Key differentiator. For our second story, oil prices just hit seven-year highs. OPEX, not interested in changing that. No, money we spend on gas, though?

We don't spend on glass. For our third and final story, Twitter's tipping feature is instant and free if you pay in Bitcoin. That fact, that scares the entire credit card industry. Now, time for our snack fact of the day. This one sent in by Will Herbert over in lovely Bremerton, Washington. A couple weeks back, we covered the submarine industry on this pod. Unprecedented. We never covered subs on this pod before.

I think it's Groton, Connecticut. Lovely. No, Newport News. Well, Will happen to serve on a whole bunch of submarines, often spend and get this one-month-one-one-month-one-one-one-one. or more under the water. So, Will can tell us from experience that fresh fruit and vegetables, that goes the quickest. You eat that in three days or also it'll spoil. Fresh eggs.

Those are gone within three weeks. Last just a little bit longer. There are three foods that survive indefinitely and that are crucial when they're underwater for a long period of time. One is peanut butter. One is frozen meat. And Jack, you have the honors on the third. Ice cream.

Ice cream, which on the submarines, they call a hard pack. Hard pack is their ice cream. I think they should call it permafrost. I mean, they should call it ice cream, you scream, we all scream, because we're three miles underwater. Well, thank you for your service. And thanks for this epic follow-up snack fact. Snackers, you look fantastic today.

If you have a snack fact or you want a shout out on this pod, we have got a form for you to fill out in this episode and every episode. There's a link in the episode description. It's a Google Farm, easy to use. We want to get you a shout-out. Nick and I, though, we'll see you tomorrow. Can't wait that. And before we go, congrats to Snobank. Mack or Ty Dinger, who ran a three-minute 57 mile over in Cambridge Mass.

Oh, my God. Okay, Dinger, living in Boston. Is this a socks fan or what? No, ma. Congrats to Holden & Chah, who just got engaged in Texas. We love the pictures, by the way. Great job with the pumpkins around the ring. Fantastic combo.

Happy birthday to Joseph Dorac in Nevada, Colorado. And Pablo in Sunnyvale, California. And Sumeda Gupta in Saratoga, California. And Renee Rust, happy birthday while you're commuting to Jamaica, Queens. Have a great one. This is Jack. Nick owns stock of Apple and Square. I own some Bitcoin and some Amazon. 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,

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 as the basis for any investment decision. Any third-party information provided therein does not reflect the views of Robinood Markets Inc., Robinto Financial LLC, or any of their subsidiaries or affiliates. All investments involve risk, including loss of principle and past performance, does not guarantee future results. Robin Hood Financial LLC, member FINRA SIPC. Adam, you are a magician.

You are a magician. You're an incredible. partner in this pot. I was going to make this the outtake. Every time we compliment Adam, Adam's going to make it the outtick. You should, Adam. That'd be great. Every time they F up a lot,

they always like compliment. The greater the F up, the higher the compliment.