The Best One Yet - 📷 “Would you pay $17 for Instagram?” — Insta’s ad-free subscription. Estée Lauder’s airport surprise. Six Flags’ fun-cquisition.

Episode Date: November 3, 2023

Meta just launched ad-free Instagram in Europe — But we think Zuck doesn’t want it to work because price ($17/mo) is a signal.Estée Lauder’s beauty stock just plummeted to its lowest level in 6 years — Because it turns out nearly ⅓ of its sales come from airports.And Six Flags just merged with Cedar Fair in an $8B theme park deal — But the real story isn’t the roller coasters, it’s the characters.$FUN $SIX $EL $METASubscribe to our newsletter: tboypod.com/newsletterWant merch, a shoutout, or got TheBestFactYet? Go to: www.tboypod.comFollow The Best One Yet on Instagram, Twitter, and Tiktok: @tboypodAnd now watch us on Youtube Hosted on Acast. See acast.com/privacy for more information.

This is Nick. This is Jack. It's Friday, the real Friday, November 3rd. And today's pod, today's pod, it is the best one yet. It's a T-boy, Jack. Nick, before we hear our stories, we want to give a quick shout out to Amanda Whittem. Amanda Whittem, and why is that, Jack? She's the winner for the best business-themed Halloween costume of 2023.

The Fee Ferry. Amanda, when is the Fee Ferry? And everyone voted for it. At the end of everyone's night, she took 30% of everyone's campaign. Amanda, congrats on winning our T-Boy Halloween costume. Jack, first story for today's pod, what do we got? For our first story, Yetis, would you pay $17 a month for Instagram?

Would you pay $17 bucks a month for Instagram? Because the newest product for META is ad-free subscription Instagram in Europe. That's happening. For our second story, Estée Lauder had its worst stock day ever because of airports. Great pronunciation. Este Lauder has turned the airport into a department store. And our third and final story, Nick, we just got the biggest theme park deal of the year. Six Flags is merging with Cedar Point.

But Yeties, this deal is not about roller coasters. This deal is about Batman. And Daffy Duck. And Snoopy. And Roadrunner. And Wonder Woman. But Yeties, before we hit that fantastic mix of three business stories. This is how you go into a weekend.

Perfect Mix Jack. Yeties, are you traveling this weekend? Or are you going to a vacay home, a hotel, a campsite maybe? How about you stay this weekend on a private island? A private island. Besties, get this. According to the Wall Street Journal, it has never been cheaper to have a private island experience. Private islands are officially affordable. Now we know what you're thinking yet.

It's when you hear private island, you're thinking one thing, and you're thinking about the B word billionaires. Yeah, because a private island usually requires a private jet. Yeah, it's like a second home for your third yacht. But it turns out these days you can rent and live on a private island as if it was a holiday inn room. Like a hotel motel holiday inn. The Wallster Journal found a private island off of Norway that's bookable on Airbnb for 250 bucks a night. That is cheaper than the airfare to get there, ydies. And you basically have your own island. It's just you.

Although we should point out it's B.YO everything except for the roof and the bed. But it's still your private island and it's just 250 bucks. All right. How about this one? There's a private island off of Scotland that costs just 2,000. $1,000 a week, and the whole island is yours. Not too shabby. Jack and I jumped in T-boy style. This thing comes fully loaded with wine, cheese, haggis, and a horse ranch.

Yeah, this one's not B.Y.O. everything. It's a private island with a whole lot of haggis. But this one, this next one, sounds really nice name. Oh, we really were into this one. There's a private island in the British Virgin Islands with a villa that you can rent for $25,000 a night. A private island in the Caribbean. We're talking personal spa, fully staff. and even a pen full of pet zebras.

Now, it's your own island, so the staff leaves at night. But the zebras don't. No, the zebras are roaming outside of your dirt. Now, Jack, we should sprinkle on a little more context here, shouldn't we? Yeah, $25,000 for that Caribbean villa on your own island. That sounds like a lot of money. But how about we do a little guy math, Jack? Yeah, if you invite 50 friends for this day and split it 50 ways,

that's only 500 bucks a night for a private island with a whole bunch of zebras. You can be queen of your own castle. You can be king of your own queendom. So, Yetis, when you drop 100 bucks on an expensive boozy brunch this weekend. Nice, geez, if you splurge 200 bucks on that cute top this weekend. Instead, you could have been the ruler of your own island nation for a night. Dibbs on the island Tom Hanks got stranded on and castaway. Dibbs on Dr. Evil's secret volcano lair.

Jack, grab the lightboats, Yiddies. Let's maroon on three stories. met in the dorm, they had an idea that caused a cultural storm. It's the best one yet, but the best is an norm. That's it. I don't even think they need to practice. 50%, that's a fat tip. Tea Boy City on your at list.

If you know, you know, because we're ready to go. We can't wait no more, so just start the show. Start the show. For our first story, Yeties, would you pay $17 bucks a month for Instagram without ads? Because Meta is officially offering Europeans an ad-free version. of both Facebook and Instagram. Jack, let's go back to 2012. Remember when we were covering the Facebook IPO?

I remember your hair actually parted on a different side, right? True. And I hadn't grown my magic beard yet. No, I love that magic beard. It was magical. Well, back then, as is still the case today, Facebook made all its money through ads. Facebook, it's really an ad company, best,

is the first advertising company that could offer truly targeted ads. With Facebook, for the first time, if a skincare company wanted to advertise to men between the ages of 35 and 45 who happened to have hypoallergenic dogs in their apartment? Cha-ching, cha-ching, Facebook could make that happen, couldn't they, Jack? Facebook probably has 300,000 people in the greater New York area that fit that criteria. Because Facebook has an incredibly large trove of data on the swiping and the posting

and the pictures of 3 billion humans. And that is how they're able to do truly targeted ads. That's why the ads you see on Instagram are always so extremely relevant to the things you're thinking about buying. And that's why when Jack and I say mattress, mattress, mattress, you are, you're probably going to see a mattress ad in your Instagram feed, aren't you? Did I tell you what happened to Alex and me? Okay, tell me, what happened, Jack? When Alex was pregnant with Wilder, we had barely told anyone about it, and we were getting Canada Goose ads for pregnancy parkas. You're kidding. Alex must have searched for a bassinet, and Facebook knew that she

was pregnant. It's like Zuck wanted to be your doula. But you know what the Europeans think about these targeted ads? What do they think, Jack should say co? They find him creepy and more than a little intrusive. And that is why the Europeans want out of Facebook's fundamental business model. So the European Union passed laws and regulations requiring Facebook to offer an alternative, an alternative to this targeted ad situation. And guess what? Zuck finally caved, which leads to the news Facebook's newest product.

What is it, Jack? For $17 in Europe, you can get Instagram and Facebook without ads. 17 bucks gets your Instagram with zero ads. 17 bucks a month we should add. You're still going to scroll and see those pictures of your buddy Timmy, but you're not going to see the ads for the t-shirt that he's wearing because you DM'd him about the t-shirt because you really liked it on Instagram. It's just going to be posts that Facebook's algorithm thinks will get you liking

and clicking and staying in the app. So yes, Zuck is going to keep hoarding onto your data, but he's not going to use it to sell you ads. And that means Facebook is finally joining the ranks of Spotify, of YouTube, of Hulu, of Netflix, companies that will let you pay more to not see ads. But Yeti's Jack and I jumped in T-Boystall, and we noticed this is the big question in tech right now. Will anyone pay $17 bucks a month for ad-free Instagram? Will anyone drop $17 bucks a month 12 times a year for this particular version of Insta?

We don't think they will. No, we don't. And we think it's because Facebook doesn't even want them to. And the reason is our takeaway. So Jack, what's the takeaway for our buddies? over at ad-free Instagram. A price is a signal. Zuck wants this ad-free Instagram to fail.

Look, Yeti's $17 a month. That's actually kind of a lot of money. Like, that's more than just about every subscription you would have except for Netflix. Now, Facebook says they respect the European regulations and they want to comply with them. But Jack and I respectfully disagree. Because if they did, they would have priced this product at $8 a month, not $17. Why do we choose eight bucks a month yetis? It's because that's how much money Meta makes, on average, through ads to each European user.

Yeah, so if Meta had priced this ad-free Instagram at $8 a month, then that would be honoring the true intent of this law. It'd be equivalent for Facebook. You can see ads and we'll make $8 off of you, or you can pay for the subscription and we'll still make $8 off of you. But Zuck priced this new Instagram at more than double that amount. Why would he do that? we think it's because he doesn't even want people to subscribe to it. Maybe Zucks afraid that seeing Instagram on your credit card statement for the first time would make you quit the app.

Yeah, every month is going to be a decision. Is Instagram worth this 17 bucks a month? Maybe this is going to be the reason you finally quit using Instagram. So Yeti's Jack and I have always said, a price is a signal. And this very high price for ad-free Instagram is a signal that Facebook wants it to fail. For our second story, Estée, Lader, the cosmetic stock just plummeted to a six-year low. And we found one shocking stat about makeup and airports.

Yet is Estée Lutter. Yes, there is an accent there. Second biggest beauty company on earth, isn't it, Jack? It's based in New York City, but it speaks with a French accent. Like Ralph Lauren. Yeah, it's like your friend who studied abroad in Paris and came back with an accent and like only eat the croissants. Yeties, this company, Estee Lutter, it's got a $40 billion with a B dollar valuation. That means it's worth 10 lifts.

Yeah, Esté Lauder basically owns the whole cosmetics counter. They own Mac, they own Klinique, they own Bobby Brown, they own all of those makeup brands. But the stock fell 20% in one day this week, which was the worst day since it IPOed many years ago. It's down 55% this year to a six-year low. The heirs of Estée and Lodder, they lost a family fortune of $3 billion because of that stock drop. Yeah, he's Jack and I jumped and T-Boiced out. The Estee Lauder stock chart, it looks like a smudged lipstick. This is the worst thing to happen to toner since bronzer.

Yet these sales are falling, basically because Chinese luxury buyers and tourists are just slowing down. It's not like it used to be. But as Nick and I researched this story, we found one shocking number we didn't believe at first. Sit down, stand up, and put on the eyeliner again. Jack, what is the hero stat? 29% of Estee Lauder sales happen at airports. Yeties, according to Business of Fashion Magazine, nearly one out of three Estee Lauder nail polishes

is being sold at an airport near Gate 34B. They're selling lip bombs at LAX. They're selling highlighter at Heathrow. Hair spray at Chicago O'Hare. JFK, don't even get escorted. Yeah, we'll take a little more skin cream right there. The reason we were so shocked, Nick and I, we personally try to get through the airport as quickly as possible.

When Jack and I are in business trips together, like Jack's already, Jack, where are you? He's already at luggage. He's out luggage. We just got off the plane. We schedule outrageously quick connections. But many travelers are particularly abroad. They spend time in airports. And frankly, they like splurging in those airports like it's part of a vacation. They consider the connection leisure time.

They bask in that retail opportunity. And that's why Esté Lauder made sure it was in duty-free shops with a clinic counter and two makeover specialists. And that's why the vending machines in Terminal 6, they have glam glow hand cream you can buy for $99.99. Estee Lauder used exclusive deals to make sure that its brands were the only makeup counters in that terminal. Which means Estee Lauder has basically turned the airport into their own department store. Estee Lauder turned the airport into a mall. So Jack, what's the takeaway for all our buddies over at Estee Lauder? Estee Lauder found the perfect captive audience.

Yet he's in a traditional department store or traditional buying experience. There's one huge risk. And that risk is that you leave. Yeah, you're free to walk out of the store. You could go to another store. You could comparison shop. But at an airport, it's a retail trap. You have no choice.

You got no alternative. And there is nowhere literally to go. So not only does Estee Lauder have a captive audience at airports, that captive audience is on vacation. So Estée Lauder's potential airport customers can't leave. And they are feeling those vacation vibes. S. S.A. Lader has put their product where consumers have three hours to burn.

and they have money in their pockets that they budgeted to spend on this vacation. And they are not allowed to leave because TSA will not let you leave, Jack. That helps explain how Estee Lauder has 29% of their sales happening at airports. Because Estee Lauder's airport retail is the perfect captive audience. For our third and final story before the weekend, Six Flags and Cedar Fair are combining their roller coasters in a $8 billion theme park merger. But this story is not about the rides. This story is about the Batman.

Ah, Yeti's amusement parks. You must be this tall to ride the roller coaster and throw up. No greater feeling. It's blursing 18 bucks on some popcorn and then throwing up that popcorn. Just comes right out of the parking lot, doesn't it, Jack? Well, Yeties, the taste of that memory flooded back to Jack and me as we researched this theme park story. Because six flags is merging with Cedar Fair for an $8 billion deal. Yeah, the number four and number five largest theme parks in America are combining.

Six Flags controls the South and Cedar Fair controls like the Midwest and the West of America. Although I should point out that six flags had a Massachusetts location, it was my closest amusement park. The New Jersey one, fantastic. But the King de Kha, I wouldn't come anywhere close to that thing. Oh, I did? And I still don't talk about it, Jack. Yeti's 27 total theme parks, 15 water parks, and a whole lot of cotton candy. Now, this merged theme park company is going to keep this. six flags name. But funnily enough, they're going to keep Cedar Fairs stock ticker symbol,

aren't they, Jack? Because their stock ticker symbol was so much fun. Oh, it was good. It was literally fun. So like if you want to buy this stock now, Yates, this theme park stock? You have to type in FUN to your brokerage. Yiddies, it's the biggest deal in amusement park since they first fried a funnel cake. But the real story here, Yeties, it isn't roller coasters rides or that $18 popcorn vomit. No, no, no, no. Yeties, the real story here is the character. The surprising theme of this deal is the people in the costumes that are walking around. Jack and I jumped in T-boy style. We noticed they weren't talking about the synergies or the cost savings by these two big theme parks merging together.

No, the executives were talking about Elmer Fudd. Because Yeties, if you go to Six Flags, you're going to notice a lot of Looney Tunes. There's a Bugs Bunny carousel and a Daffy Duck bucket blaster ride. And Bessies, if you also go to Six Flags, you're going to notice a lot of DC superheroes. Biggest roller coaster I've ever been on, the Superman Ride of Steel. How about Wonder Woman's Drop a Doom ever considered that one? This is all because Six Flags has a licensing deal with Warner Brothers to use those superheroes and use those Looney Tunes. But Yetis, it's not just Six Flags. If you go to a Cedar Fair theme park, you're going to notice a lot of Charlie Brown and Snoopy characters.

Because Cedar Fair licensed those characters from Peanuts, the empire behind Charlie Brown. Jack and I are looking at the situation here, and Batman, the Joker and Pepperman Patty, those were the key assets to this $8 billion merger. It wasn't the land, the rides, the equipment, or the popcorn. And it wasn't the vomited up popcorn either. So Jack, what's the takeaway for all our buddies on? Fuller Coaster. Whoa! The P and IP, it should stand for power.

Yet he's IP, IP. It stands for intellectual property. You know, creative works and character. that a company owns. That is IP. Disney is number one when it comes to IP. They created Mickey. They created Buzz, Tinkerbell. They even own Yoda and all of Star Wars, too. Universal Studios is number two in the IP category. They own Harry Potter and Jurassic Park. Not too shabby. But Cedar Fair and Six Flags, they didn't create any IP that we all love, so they had to license IP from other companies. So, Jack, why is it important to have adorable

mascots and fluffy suits? Why is IP so key to a theme park? Because kids prefer those characters to the rides. And kids bring families. And families spend more. So, Yeti's, the most important asset at a theme park isn't the ride. It's the character on the ride. Because the character on the ride brings the kids. IP, it stands for intellectual property, but it's really intellectual power.

Jack, can you whip up the stories for us while you're wearing the matching sweatshirt as I am? Yeah, we're twinning today. Yeti's ad-free Instagram is live in Europe, but it was priced double as high as it needs to be. As Jack and I have told you, price is a signal, and this high price is a signal that Zuck wants it to fail. For our second story, Estee Lauder, the second biggest beauty company in the world, gets 29% of their sales in airports. Because flyers are the perfect captive audience. And our third and final story is six flags. It's merging with Cedar Fair to compete with Disney and Universal.

The P and IP should stand for power. Yes, it should. Definitely. Where is Rachel? But yet, this pod's not over yet. Here's what else you need to know today. First, Moderna's stock fell 7% because demand for the latest COVID shots. It's weaker than expected.

Only 5% of Americans have gotten boosted so far this round. And second, Toyota is giving its non-unionized workers at U.S. factories a 9% pay raise. Why are they being so generous? They're just trying to match what Detroit's unionized auto workers got. And finally, the big earnings report of the week was Apple. Apple stock dipped on word that it's expecting a weaker December than expected. Right now, everyone's trying to figure out what are holiday sales going to look like this year. Okay, Jack, you want to know what they should do to boost these holiday sales?

I think it's pretty clear. Bring back the iPod. True. Yeah, yeties, listen to our story from yesterday. Now, time for the best fact yet. This one is a correction sent in by Anna Balan Vogelsang from lovely Los Angeles. Yesterday, Yetis, we covered a guilty verdict that was handed down by a jury to the National Association of Realtors. The news was that the National Association of Realtors who helped you sell real estate brokers were guilty of conspiring to inflate commissions. We explained on the pod yesterday the 6% standard commission.

Yeah, if you're selling a home, you pay a 6% commission to the real estate brokers. who helped you make the same. We said yesterday that was a non-negotiable commission. Well, Anna is a real estate agent in California, and she pointed out it's actually negotiable. That non-negotiable is actually a negotiable thing. It says so on the standard purchasing documents. But it is rare that the fee is actually negotiated when a home is sold.

Right. The data shows that the overwhelming majority of real estate transactions include a broker commission between 5% and 6%. So Jack and I were wrong when we said non-negotiable. Those fees, they are negotiable, but in practice, not really. Anna, thanks for sending us a correction and keep crushing on the sales out there. Yeties, you look fantastic today. And Jack, I know what you are doing this weekend.

When you're celebrating the winds, you're also getting a little more sleep, my friend. Yeah, you've got to set your clocks back on Saturday night. Or is it forward on Sunday morning? I think if it gets dark at six, it's going to start getting dark at five. Right. And in the morning, if it gets light at seven, it's going to start getting light at six. Because you spring forward and you fall back, but you fall back after you spring forward. I'm still totally confused, but the clocks are going to change this weekend.

That's what we're trying to tell yet. Yetis, we do fall back this weekend. You are getting an extra hour. So enjoy that sleep. And Jack and I will see you Monday. Thanks for clarifying. And before we go, a shout-out, a congratulations, and a good luck to everyone running the New York City Marathon,

including our buddy, Carrie Riley, you got this. Run, Panther, run. And a happy birthday to Yeti, Frank Nala, who's celebrating in Long Beach, New York, his second straight shoutout on the best one yet. And happy birthday to Tatiana Barber in Betmender Lebanon. And Omari Henry is celebrating the birthday down in Arlington, Texas. And a big happy birthday to Christopher Ang,

who packed just one backpack for his birthday in Highland Park, California. And Kushi Perek, happy 23rd birthday, celebrate that win up in Toronto Maple Leaf Canada. Happy birthday to Dennis Hatch, who's celebrating his birthday with 100 monarch butterflies in Pennsylvania. And Crystal Weiss is celebrating the birthday, down in Austin. Apparently, a story on this pot about surveys inspired Crystal to create her own survey about the Taylor Swift Airs Tour. And that survey that Crystal did took off and went viral,

and now she's celebrating it on her birthday. And we're celebrating it too. And a congratulations to Mike Cowderon, who just got married and got a new job in the natural gas industry, of course, down in Texas. Not too shabby. And congratulations to Ricky Lee and May Wong, who are celebrating 10 years together in Orlando. And David, and Mary Wong are celebrating a 17th wedding anniversary at a dinner tonight, together, without the kids. Yes, I will have a glass of champagne. And Jesse Bernstein and Sidney Goodman have a three-year anniversary down to Chicago after they first said, H-Y-H-T-B-O-I to each other.

And to anyone else, celebrating something today. Make it a T-boy. Celebrate the wins. This is Jack. I own stock of Disney and Netflix, and Nick and I both on stock of Spotify and Apple. You and the microphone awkwardly assaulted Jack, my co-host. Great pronunciation. Estey Lauder has turned...

It punched me in the face like Muhammad Ali. Microphone's like, I'm right here. You don't need to yell so much. I'm a black eye because of this thing. You're like, is it something I said? It's like, as a matter of fact, yes. Jack's like going on. He's like barely breathing.

He's like, four thirds to him.