- On this episode, I talk top line, bottom line,
my dad's shoes, and Pareto's Law.
(deep beat music)
Everybody, this is Gary Vay-ner-chuk
and you're watching episode 15 of the #AskGaryVee Show.
Fun fact of the number 15,
that's roughly about the amount of hours
I've been working today.
It's actually closer to 16.
- [Voiceover] Iwona asks,
"What would you do if you were in your dad's shoes
"and you didn't come to the US until you were 23?"
- You know, Iwona,
I want to believe that if I came to the US
in the way that my dad did,
which was not only at 23 years old,
but also with a child and another one on the way,
that I would do the same thing that he did,
which was completely work his face off to allow
the next generation to kind of build on top of that,
and so, you know,
I don't think I would've done anything different.
I think a lot of it's circumstance.
My dad had a great uncle who had a liquor store
that he got to work in.
That great uncle passed away
and it was just all these kind of different variables.
I think circumstance has a lot to do with
what I would've done,
but the one thing I know I would've done is
work every hour of every day.
- [Voiceover] Tommy asks,
"In 13 thoughts of being an entrepreneur,
"you say you focus on top line versus bottom line. Why?"
- Tommy, you know,
one thing I think a lot of entrepreneurs do,
especially ones that are just starting companies,
since I invest in so many of them,
that completely blows me away
is they start looking to drive margin,
profit very early on.
The reason I always focus on top line revenue,
and it was something I did in my dad's business
and something that AJ felt when I started going full time
on the Vayner front was you can always drive
your profits higher eventually,
but when you cut a moment in time,
and when I run businesses, I tend to innovate,
and I tend to be slightly ahead of the market,
and the market eventually catches up to me,
and then that's the good thing.
That's the moment when it gets exciting.
People start believing in social media marketing
or believing in internet e-commerce wine businesses
or believing in Australian, New Zealand, South African wine,
I have to really run fast and grab as many customers
because I'm slightly ahead.
Then three, four, five, six,
seven, eight years down the line,
I can start driving profit.
You can always start cutting costs
and raising prices at any time,
but land grabbing more customers
gives you leverage of the scale
that you ultimately need to convert them,
and so I think people go in for the right hook,
the big right hook a lot of times way too early,
sometimes to appease investors,
sometimes because they just want to start buying boats
and Rolexes,
and I'm just kind of pushing and building leverage
for the long term.
- Hey, Gary. John Lee Dumas,
Entrepreneur on Fire here,
and I have a #AskGaryVee question.
Pareto's Law states that 80 percent of our desired outcomes
come from just 20 percent of our activities.
Do you agree with this?
If so, what's your 20?
- That's a great question.
I think a lot of people have brought that up.
I know a lot of people in our organization believe in that.
I've heard a lot of people believe in that.
You know, do I believe in that and what is my 20?
John, first of all, congrats on your podcast.
I probably think weirdly enough
that it might even be more extreme.
There's a big part of me that thinks
it's probably closer to 98 and two.
Then there's another part of me
that believes it's two and 98.
I am the kind of person that doesn't give a crap
about other people's laws or principles.
What feels right for me is execution.
I think when people start knowing...
This is kind of what I talk about,
my naivety or lack of knowledge helps me.
I think if I knew about this law
prior to you bringing it up...
I mean, I've heard about the 80/20 rule,
but I didn't know the official name.
If I knew about this law,
it would actually make we want to play within that law,
and then that would probably take away from the strength
that I create every day.
People asked me what the ROI of the #AskGaryVee show is
a couple episodes ago.
You hardcore watchers know,
and I say, "Well, this is selling my fourth book."
Here's what I think.
I think human beings overthink shit, right?
And try to buy into some sort of thesis,
read a book that makes them feel good,
whether it's Crush It! or Pareto's Law,
or whatever it's called,
and I think that is a fundamental problem.
I think when we start coming from what's authentic
and what feels more natural...
You know, the law I believe in
is that my mom and dad had sex at a moment,
created me, and I'm taking this DNA to the finish line.
That law.
That's the law I believe in.
- [Voiceover] Robert asks,
"I know viewers get a lot out of your new show,
"but what is the most significant experience
"that you get out of it?"
- Robert, that's a tremendous question.
I appreciate it.
You know, for me, it's kind of weird, right?
I have this whole chapter of doing video blogging
on an everyday basis that I enjoyed so much
I did it for five and a half years.
I think the best thing I have is being back in the game,
a game that I love.
I mean, I love running businesses,
but doing this video blogging thing,
it's just a lot of fun for me.
The other thing that really I get a lot out of it,
a lot of you hardcore old schoolers will remember Mott
and those kind of things.
I mean, DRock, show this.
Show Andy, and there's Zack and Joe Stunwin,
and here we are in...
By the way, DRock, he loves it like all clean.
Show the table, DRock.
He was scared that you guys would be like...
He's a little polished for me at times,
but the biggest thing I get is
that here I am in Atlantic City...
By the way,
little fun fact real quick.
Preshow to this Sunday night's Miss America
from eight to nine, I think I'm getting a lot of action
so make sure you DVR that and check that out,
but here I am in Atlantic City.
What would be going on right now?
I would be sleeping or doing e-mail,
but here I'm jamming.
There's kind of like team,
like family thing.
I love that so much.
I'm creating something.
Creating something is special,
and so I appreciate you guys caring enough at enough scale
to make me want to continue to do this,
and build something.
There's no substitute for the
feeling of accomplishing something,
and that's what I feel is happening here.
Thanks so much.
Thanks for watching this episode.
Question of the day.
This is very simple.
I'm keeping it basic.
Keeping it very basic.
What state do you live in?
You keep asking questions,
and I will keep trying to answer them.
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