Transcript of How AI Is Rewiring Your Customers (And Why Most Businesses Aren't Ready)

The Vault Unlocked
47:50 41 views Published 17 days ago
Transcribed from audio to text by
00:00:00

Most people think AI is just another tool. It's not. It's quietly becoming the layer that decides what your customers see, trust, and buy. And if you don't understand that, you're not competing anymore. You're being filtered out. In this episode, I sit down with Mark Schaefer to break down what's actually happening beneath the surface, how AI is rewiring human behavior, shifting decision-making, and forcing a complete reset on how businesses grow. This isn't about tactics. This is about what happens when the customer stops thinking and starts delegating that to machines. Let's unlock it.

00:00:47

Well, Mark, welcome to the show. I'm actually truly excited to jump into this because I mean, this week alone, what I've learned about AI, human connection, where that's going, humans, the fact that a lot of humans will be being replaced, I think, with AI. And I know you wrote a book on that. I know you're known as a marketing branding expert. I want to jump in all of that if we can, because I know myself, I'm excited to learn. So I'm going to give you the floor here. Tell us about the last book, the latest book you just wrote, and the impact it's having right now on marketing and humans themselves.

00:01:27

Yeah, first of all, thanks so much for having me. I'm really— I feel a sense of urgency about getting these ideas out into the world. You know, that's why you write books. So I did something really crazy last year. So I wrote actually 2 books in 1 year, and that was not a plan. But I, I wrote this book called Audacious: How Humans Win in an AI World because this is what I see the world is really struggling with now as we go increasingly toward AI. Where do we fit? What do we do? And so I had this like kind of 2-year project to interview some of the greatest marketers, greatest creatives in the world to see how they're breaking through the noise. Okay, great, Great book. Everybody loves it. Selling great. And then I was asked to participate in a research study. They gathered 300 futurists from around the world, psychologists, philosophers, academics, scientists from Silicon Valley. And they said, we want you to answer this question. How will AI change humanity by 2035. So I was part of this report. When I saw this report came on, it was so stunning. And some— and they came up with— they had consensus.

00:02:53

Nobody really knows what's going to happen with AI. But these 300 futurists said, yeah, we see some places where it's going to go. I thought, well, look, if it's changing humanity, it's changing our customers. And nobody's talking about this. AI is literally rewiring our customers. And we've gotta get on top of that, right? So I went to the sponsors of the research. I said, this is such a great report. Can I turn this into a book? They said, not only yes, we're jealous we didn't have that idea. And so I just had to— that's how I spent my summer vacation last year. 'Cause I just, I've gotta get this out into the world. It's such a big idea.

00:03:37

I mean, let's please, let's jump right into it. I think it's so important. So, you said there was a consensus. What was that consensus? Like, how did all these different people from all walks of lives, and I love what you said, we don't know what the future is, but we've seen what the past is. We see where we're going. We can, you know, look into the mirror a little bit and then see out the window, I should say. What was the consensus? I really want to know that in 20, you know, in 2035. And then I would love to know, like, you know, everything else that came in that book?

00:04:07

Well, there were a couple of big buckets. I think they came up with about 10 ideas that were, were kind of big ideas. I picked about 6 of those because I thought those were most relevant to business and marketing, and I didn't want to turn it into a gigantic book. I mean, this is a small book. It's 150 pages. You can, you read it in 2 hours maybe. So some of the things I focused on, the first one would be cognitive offloading. So let me give you an example of kind of how this is showing up. I was talking to this young woman at a neighborhood party. She's a junior in college. She said, I use AI every hour of the day. I use AI for everything. Said, you know, I would like to have this Gen Z perspective of how you're using AI. I wanna interview you for my book. So I called her on the phone the next week, and she said, something really weird is taking over me. When you told me you wanted to interview me for your book, my first reaction was, I have to get the answer from ChatGPT.

00:05:28

I am using AI to represent me on every email, on every message, on every text. And it made me— when my first reaction was, I can't answer you without ChatGPT, it made me think, where am I? I am making myself dumber. So this is going to be really a powerful, powerful trend because we're trusting AI more. We're offloading more responsibility to AI. And what happened when we're seeing this in the universities, right? We're seeing this. Look, if you're trying to hire people, do you really know who you're getting out of a university right now? Are they learning anything? Or are they just using AI to get the quick answers? Humans tend to want the shortcut. They don't wanna do the hard work. But, but here's what happens. I could have used AI to write my book. Lots of people are doing that. But if you, if I used AI to write the book, I would not be able to have the conversation I'm having with you today. Because when you do the hard work, this process called phronesis occurs. Phronesis means you're internalizing this work, you're gaining wisdom. And when I did the hard work, now I can consult about this topic, I can give a speech about this topic, I can have a knowledgeable conversation with a guy like you.

00:07:12

About this topic, right? So some of these experts, some of these futurists are saying AI is the equivalent of self-imposed dementia.

00:07:27

Self-imposed dementia.

00:07:30

Ooh.

00:07:30

Oh, interesting.

00:07:32

And we're starting to see this now because people aren't able to think for themselves. So this was a big one. Now, Related to that is human agency. When AI can do everything for you and it can do everything better than you— and I mean, this is starting to bubble up in the public conversations now, right? If AI could do everything better than me, like, then what's left for me? You know, am I really in control? Anymore? What's my meaning? What's my purpose? How do you know? What do I do when I, you know, get up every morning if AI's taken over all of this? I'll tell you, probably the most pressing moment of my professional career, uh, was I had just finished writing a book. I guess it was what, when ChatGPT came out? I think it was November 2023. I had just finished writing this book or maybe it was 2022, finished this manuscript. I had spent 2 years working on this book called Belonging to the Brand, about belonging to the brand, about brand communities. The first time I ever tried ChatGPT, I said, okay, write an essay that would fit in this book in the voice of Mark Schaefer.

00:08:55

I've got a lot of content out there, so I was able to do that. And in 3 seconds, it wrote a perfect essay. Now you start to think, holy crap, like, what do I do? I mean, part of my purpose is the struggle. Part of my purpose is working on a book for 2 years that's so bold, so beautiful, it's gonna help people in so many ways. And you're telling me AI can do that? That existential question is going to be creeping into many people's lives right now. You know, how does this impact human agency? How does this impact meaning and purpose? And look, start looking at this from a sales and marketing perspective. This is going to be changing our customers. This cognitive offloading, this agency, this the need for meaning and purpose, right? And we're starting to even see this creep into Sales and marketing strategies. You know, we could talk a little bit more about that, you know, in at the end. So, uh, another one I'll mention briefly is human relationships where, you know, I— oh my gosh, there was a story in The Atlantic last month, what it means to marry a bot, right?

00:10:14

And so we're creating more trusting human more trusting relationships. There is this, I think it's something like 32% of Gen Z have a meaningful trusting relationship with an AI agent, with a non-human entity. 8% would characterize it as a romantic relationship. Wow. Human entity. So think that through.

00:10:41

Yeah.

00:10:41

What happens when your your most trusted friend is AI. Who are you going to ask for recommendations on the best shoes to buy? Your most trusted friend. And what happens when this trust increases in AI? And AI never gets bored with you. Never. It's like a—

00:11:11

Constant.

00:11:12

—frictionless relationship. AI never falls asleep in the middle of the night when you need somebody to talk to. And so this idea that we are trusting AI— and look, here's the number one use for AI right now. This just came out in a research report like 2 weeks ago. It's not planning your trip. It's not searching for information. Here's the number one use for AI. By far, therapy.

00:11:46

I would not be surprised to hear that, to be honest with you.

00:11:49

Number one. Number one.

00:11:51

So the question is this. So let me just ask, I know there's a lot here, but I've got so many pressing questions. And that's a good one. Say, so we know the number one reason people are using, is what I'm hearing from you, the number one reason people are using AI or the conversations they're having within AI are for therapy. Why is that necessarily a good or bad thing?

00:12:20

Well, one of the things I state in my book is, so one of the best pieces of advice I ever got was from a mentor of mine. And he said, you know, there's really no such thing as a weakness. Just overdone strengths. So there's a, there's kind of a good and bad to everything, right? If you are a reliable, self-reliant person, that's good. But if you, you're afraid to ask anybody for help, that becomes a weakness. If you're confident, that's good. If you're overconfident, it becomes arrogance. It's the same with AI. Look, We know we live in a world where many, many people, and especially young people, are lonely and isolated and depressed. It's hard to find a therapist. It's expensive to have a therapist. Yeah. So AI absolutely can play a positive role. Now, even the therapists say, you know what? AI does a pretty good job. I have to say, I'm impressed because what are therapists best at? Recognizing patterns and responding to those patterns with ideas to improve your life or alter those patterns in some way. AI is excellent at that. So there's definitely a positive role. Now, what's the overdone strength?

00:13:52

You know, what's the weakness? Well, it's when You can't separate AI from reality. If you depend on AI, that you're not turning to humans when you turn to humans, that can be the weakness and not recognizing when you need real human help.

00:14:16

Real human connection. It's interesting because I, I'm not even afraid to say I use AI for therapy. Not only that, I'm using it in the therapy sessions. Yeah, why not? Therapists— and the therapist is going, damn. But I play them. I actually play them against each other. Not, not, not to out my therapist.

00:14:42

How does your therapist respond to that?

00:14:45

She— two of them love it. They, they just kind of— at first they're kind of like you can see there's this energy where it's like, oh, here we go. And then I go, okay, just give me a second here. Because what— so I'll say, what I'm hearing you say is this, is this correct? So I go, hey, this is what I'm hearing. I'm not quite understanding this. Tell me more. And then it tells me, and then I go, so what you're saying is this? And they're like, I couldn't have said it best, you know? You know? And then that's good. I'm— and then, and then if it gets it wrong The therapist was like, well, it's a little bit off. Oh, great. What's off about it? What am I doing? I'm actually training the bot to think better, to be it better and getting that expertise, right? It's so interesting you say this because that is the fear I have. I personally have is some of that fear is like, especially people who, I don't want to say this, maybe have illness, let's say mental illness, right? And they are already feeling isolated. You said they're already feeling alone.

00:15:46

And the only relationship they're getting attached to is a relationship. Here's, here's the thing. They can control. That's the challenge.

00:15:56

The real danger is it's an illusion of compassion. Right? Look, it's math. It's an algorithm. It's, yeah, zero to the next.

00:16:08

They don't really give a crap about you.

00:16:11

Right? Yeah. But it gives the illusion of compassion. And as you said, it can learn to do a better job the more it talks to you. And up to a certain point, that can really be helpful. I had the same experience. I was kind of struggling with a, you know, I'm sort of in this career transition where I'm trying to slow down a little bit, trying to get off the road a little bit. I turn to AI for some advice on some things. And it gave me such a good answer that was like so thought-provoking, so profound. I ran and showed my wife. I said, listen, I just got this. I think it's right. So if you put all this stuff together, Kevon, it leads to this last sort of big bucket. And that is this. And I think this is what what would be so vitally interesting to you and your audience is that AI has become the decision maker for us in many ways. I wrote in the book that in many ways, if you're in sales and marketing today, you are in the diaper business. What I mean by that, so the joy of my life right now, I have my first grandson and he is a wonderful, bright, strong boy, and he is an expert pooper.

00:17:36

He goes through a lot of diapers. Now, he is the end user. If you want to sell diapers to him, he's the end user, but he is not the decision maker. You have got to sell to mom and dad. Now, I last year, I went on a trip to, I went on a trip to Europe. I said, you know what? I wanna hang out in Paris for 5 days just to hang out, have a little fun. I went to ChatGPT. I said, I love art, I love music, I love history. Plan a 5-day trip for me. Tell me where to go, how to get there, what times to go. And also I have to eat gluten-free. Every location, find me a gluten-free restaurant near that location. I followed that path exactly. I didn't see any ads. I didn't see any branded content. So AI made the decision. It didn't consult with anything. So AI is representing these locations, these museums, these restaurants, and sending me there. AI is the decision maker. I'm just wearing the diapers.

00:18:53

I hear that. Okay. So, man, there's so many places we can go here. So in that decision, I've done that before too. And you know what? I didn't like the responses. And then, but I think it's about understanding how AI works. So that information that you got from AI is all from people's blogs and blogs on the internet. It's not necessarily the correct information. It's just what it feels is maybe the best information for you. So in that case, you also have to understand that about AI when it comes to that type of decision-making. And I think there, there, for humans who, who've lost all sense of that and they're just going 100% on their, that decision, I think that's a problem for sure. I would say that that's a problem.

00:19:35

I think you bring up a key point that first of all, we do have to have human discernment, and especially when it's high risk. And the other point is, look, Millions and millions of people go to Paris. They know the inside tricks, right? So I mean, one of the things on this itinerary even said, oh, when you go to the Louver, don't go to this entrance, go to this entrance by the metro station 'cause there's no crowds. And it was right. Yeah. So I mean, in this case, it was low risk. Yeah. There's lots of data out there. Now, Let me add one more thing, because this is very, very important. There were two parts of this itinerary that I did not follow AI, and it was this. Number one, I said, okay, create this itinerary, but I want to fly this airline. I want to stay in these hotels. Now, the brand is the override for AI. That's why branding is more important than ever. Creating that meaning, creating that loyalty with your customers is more important than ever. So you don't have to depend on AI. You don't have to depend on an algorithm.

00:20:56

They're gonna recommend you because they love you. They know you do good work, right? That's point number 1. The second place I didn't follow AI is I have a friend in my marketing brand community and she said, oh, I see you're going to Paris. I know you're gluten-free. There is this bakery in Paris you have got to try. It is the best gluten-free bakery in the world. Did I go there? You bet. In fact, it was so good I went there twice. So you're exactly right that when you get a recommendation from AI, You're gonna consider it and you're gonna use human discernment and figure out if, if it's true. When you get a recommendation from a friend you trust, you're gonna act. Word of mouth marketing, that is another override for AI. Creating a product, an idea, a service that's so cool, that's so conversational, that's so worthy and unmissable, people can't wait to talk about it. That bakery, they don't have the marketing firepower to end up on an AI recommendation, but it's so good, people talk about it and recommend it to their friends all the time. And that is unadulterated, pure, the best marketing, the best advertising you can ever get when a friend tells you to go there.

00:22:24

So let's jump into that if that's okay, because I want to understand, because you brought up a good point. So branding and AI is more important than ever again. Ever before. So what does that mean, branding and AI? How does a company be able to take that sentence and actually implement that into their business tomorrow? Yeah, so there's a couple of—

00:22:48

I mean, this is emerging, right? Everybody's trying to figure out how do we get in, how do we get recommended on AI. So there's like a cottage industry emerging of people and businesses trying to figure this out. But the number one sort of conclusion that I can make right now is that the, the standard marketing and sales best practices still work, right? You're, you're creating a good product at a good price. You're getting good reviews. You've got people talking about you. You've got people reviewing you online, maybe talking about you in a positive way on Reddit. So if you're taking care of your company, your marketing, your, and, and, and your sales function, all those good things still work. Product still works. Price still works. Promotion still works. The 4 Ps of marketing. You pay attention to that stuff. Creating great content, having, you know, an authoritative presence on the web, having good customer service. That is gonna show up in the AI, all right? So don't, everybody shouldn't be overwhelmed and freak out because what we've been doing all along is still gonna work. Okay. There are a few, there are a few things that are a little bit different and I'll just name one 'cause I think it's pretty significant.

00:24:16

Whenever you're working on SEO, one of the big factors is backlinks, right? So if you've worked at SEO at all, as— and by the way, Google Search, you know, a lot of people are moving toward AI, but Google Search is still growing, right? So it's not like Google's going away. Google Search is still growing. So don't dismiss, uh, Google with AI. AI recommendations pay no attention to backlinks. What AI really loves is data. So Google wants to see great content, helpful content, lots of backlinks. AI doesn't care. It's a robot. It's a machine. It just wants lots of information, lots of data, FAQs, and it wants to see you mentioned in other places. Not necessarily backlinks, but someone talking about you in a positive way on Reddit. Or someone featuring you in an article somewhere or showing up on a podcast, you know, like, like this. So, you know, you know, AI might say, oh my gosh, you know, look, Kevon is doing such a good job on his podcast. He had Shafer on his podcast. Hmm. That's a vote for Shafer. So that's sort of, I think in some ways, one of the subtle differences is that backlinks made a big difference for SEO.

00:25:45

For AI, this is the golden age of public relations, of PR, of showing up, showing up in media, on, on people's blogs, reviews, testimonies, podcasts, video interviews. Uh, that's an important difference. But other than that, look, stick to your marketing, treat people well, build your brand, it's more important than ever. You know, I think a focus on word of mouth marketing is super important right now because that's one of the overrides of AI.

00:26:21

So when it comes to the marketing and it's interesting, SEO, 'cause what goes through my head when you're saying that is how do you compete with the, I know how to do it, but how do you compete with the businesses that know how to use AI where the bot is literally working 24/7 building and posting SEO written specific H1, H2, all that stuff written properly blogs at a speed that no human can ever keep up with. How does the small pop even keep up with that type of thing? That's the scary part about AI is the advancement and understanding like what it is and then understanding how to use it, and then the deeper one is really understanding how to build it so that it's working 24/7.

00:27:17

I actually disagree with you in a way. I think this is the best opportunity for small businesses. Look, I work with some of the biggest companies and some of the biggest brands in the world. They are struggling. They are really, really struggling. So just, just think about this. Think, think about this. So look, basically I'm a one-man show. Basically. I mean, I've got, you know, 1099 employees kind of scattered around the world, but I don't have a— I'm not a big company. I'm not a big agency. I don't have resources creating AI content 24 hours a day. But this is what I do. I create content that matters. On every one of my blog posts, I have a badge that says 100% human content. So bring on the AI slop. You're just creating a pandemic of dull. But I'm gonna give you something special, and you are too, right? You are, you are looking at your guests. You are curating your content very carefully. People can count on you. They can turn to you. That's gonna be rewarded by by AI.

00:28:31

Humans. Oh, by AI.

00:28:32

Okay. It's going to be rewarded by AI. It's going to be rewarded by humans, of course. But, you know, why am I here with you? Why aren't you interviewing, you know, somebody from, you know, Procter Gamble? You're interviewing me because I did the work, right? I wrote the books that got your interest. I've blogged every single week with maybe an ex— I took a little break around COVID. 3 or 4 weeks, but basically I've blogged more than 1,000 weeks in a row. I had a podcast for 13 years. I never missed a single episode. I've written 12 books that are— they're all bestsellers. They're books that people love and, and they're helping. So I did the work. I have a personal brand that means something to people. And so I'm gonna show up in all these places, and, and eventually AI will, will notice. I got a new customer came on, and, I said, well, you know, how did you find me? And, this person said, well, I went to ChatGPT, and I said, who are the top 10 digital marketing authorities in the world? Nice. And you were on the list. And then I went to your website, and I said, oh, look at this.

00:29:49

You know, I like what he— I'm gonna hire him. Now, let me tell you a little secret. I am not one of the top 10 digital marketing authorities in the world. I can name 10 of my friends who are smarter than me. I'm not joking, but I show up. And again, I'm not a big company, you know, with millions of dollars. I don't have an advertising agency.

00:30:15

But here, here's something you're not saying that I think that you've said it indirectly, but it needs to be said because I can tell you I'm showing up on AI for certain things and I'll tell you exactly where it's from. It wasn't from this year of writing blogs and trying to outwork the algorithm. It was actually from 3 years ago when we put a full-on business plan in place for SEO, knowing it was going to be a 3-year plan. And now that's coming to fruition. So if you're telling me you have thousands of podcasts and, you know, thousand weeks of, of, uh, SEO blog writing, then yeah, you will be showing up. Absolutely. Uh, and that, that makes sense.

00:31:01

Um, and it's, it's, it's no hockey stick, right? I mean, there's no shortcut. You did, you do the work every week, every week, every week.

00:31:10

That's the one thing I think a lot of, and I have no problem saying it, I, because I speak to too many business owners not respecting and understanding the power of SEO, number one, but not realizing it's not like paid ads. You don't win right away. Like you got to invest, invest, invest, invest time, money, energy, invest time, money, and energy in a year, two years, it starts to come to fruition, but it doesn't happen overnight. And I think a lot of business owners, they want, what's the ROI on it? And you can't look at it. I don't believe you can look at it like that on SEO unless you're writing out a five-year plan. Than you can. So again, I just want to make sure everyone's even thinking about doing SEO, understand that because it's not, there's no overnight success with SEO. And if someone's telling you that, they're lying, you're being duped. Don't listen. I want to go with something I think is super important. Looking at the time, I want to make sure we touch this because I was excited to get into it. You said, you indirectly said, Who is the new decision maker?

00:32:11

It is not even the human. So when you're writing, like what I was thinking about, okay, when I write out my avatar, I think about my, the person who's in the seat, who's, you know, going through the problem, they're going through the pains, what are they thinking? How are they operating? What's going through their head? Now you're saying that there's actually a deeper level here is what are they typing into AI? What is AI saying back to them? This is next level psychology. I want you to please tell me where, like what is going on with that?

00:32:42

Yeah, well, I think, and a lot of people, it's like, okay, once you think it through and you say, oh yeah, sales really is changing. I'm using AI to make decisions. I mean, I use AI to help me make decisions every single day. And I'm not talking to a salesperson. I'm not even going to a website. I've just said, okay, this is the best. Here's a rating. I don't have to look at 10 websites. This is the answer. You know, maybe it's 80% correct. That's okay. You know, it's saving me so much work. Ah, maybe it's not the perfect answer, but look, I'll just buy that. It's good enough. So again, it depends on the risk. So I, and One of the things we're seeing, which is so interesting, is look, if it's a low-risk decision, and I actually consider a trip to Paris kind of a low-risk decision because I kind of know where I want to go. I know what I like. And it introduced me to some new places I didn't know before, but they're highly rated. Ah, go for it. Let's, you know, let's do it. But here's something that's so interesting.

00:33:59

More and more people are turning to AI for high-risk decisions. They're turning to AI— where should I go to college? They're turning to AI, you know, what are the best companies to work for? Where is— where should I live? You know, I like this, I like this, I like this, I like this. Give me the best city to live. I'm trying to make big life decisions. Who should I marry? So as AI gets better and better and better and gets more tuned into you, we are handing over even big ticket item decisions. Yeah, agency over to—

00:34:44

So I think what I was hearing you say is, so it's more important than ever to make sure, and this is what you were saying, to brand yourself in a certain way to do the content, to get yourself out there, to get yourself on the PR, on the blogs, all of that. Because more than ever now, people are not going to www.yourname.com. They're going right to AI. And if AI's not picking this up, you're getting left in the dust is what I'm hearing.

00:35:15

I think we're sort of at a transition point because you know, when I started in marketing many, many years ago, most of it was brand marketing and it was really hard to measure. Then when we got into the internet age, you can measure almost everything, right? You can measure your SEO, you can measure your Facebook ads, you can measure your Google ads, and that's called performance marketing. And it's great. And you, you know, dollars in, dollars out. Yeah. Brand marketing is a little harder to measure, right? And I give the example, I don't know, if you have international listeners, they may not know this tradition we have in America, that when you, in America, if you win a big football game, the football, American football, the football players sneak up behind the coach at the end of the game and they dump a bucket of Gatorade over their head. It seems silly, but the TV cameras always go there. Last year in the college football playoffs, one of the games was sponsored by Powerade, Gatorade's competitor. So here it is on TV. The players are sneaking up with the blue bucket, and here's what the TV announcer said: Here comes the Gatorade bath.

00:36:34

Oh. Gatorade's brand is so powerful and they have an 80% share of an $8 billion sports drink market. Their brand is so powerful. Even when the thing said Powerade, they couldn't say those words. They said Gatorade. Now, what's the ROI of the Gatorade bath? Does that sell more Gatorade? Of course it does. Right? Of course it does. Can we measure it? No. But branding is more important than ever. When you talk to athletes, you know, I've studied Gatorade and Powerade a lot. I wrote it up as a case study in one of my books. When you talk to athletes, they don't even consider Powerade. They're saying, no way. I would— it's Gatorade. I always use Gatorade. It's the only thing I drink. So, and it's— and, and they charge 25% more at the store. So their branding is dominant, their branding is working. But you can't say what's, you know, what's the ROI of sponsoring that football game? What's the ROI of putting our name over here? What's the ROI of connecting with these influencers that are dominant athletes? It's really, really hard to, to create attribution of a lot of these branding ideas to specific dollars.

00:38:06

But you've got to do it. You have to do it. It's more important than ever in this, in this world of AI because again, it, it's, it's, I don't know how you win at AI, but you can win at branding. You can win it branded. And so— I couldn't agree more.

00:38:25

I like telling people like brand is more important than ever now. The brand, especially if we're going to live in this world with AI, like you're saying, and people are going to lose their relationships with things and they're going to be more listening to AI, then when they actually get connected to the real world, they get connected into what is going on. I think that relationship for them to brand to something that they can connect to, feel good about, trust, know, like will be more important than ever before.

00:38:55

Yeah. There's a case study. So there's a case study in my— in the new book, in the Audacious book. Here's the fastest growing brand and beverage brand in America. Liquid Death. Liquid Death is this crazy product. You know, look, I, the only thing I can remember from my first college marketing class was never associate your brand with death, right? I mean, these people, they're just, they're disrupting the whole thing. And here's what the founder of the company said. They created this water brand in cans, put a skull on it. Their mascot is Murder Man. You know, it's just, it's insane. He said, you know what? Coca-Cola and Pepsi can copy everything we do. They can copy every flavor. They can copy every ingredient. If you, if you say it gives you energy, they can copy that. They can copy our colors. They can copy our logo. The only thing they can't copy is our brand. The brand is everything. It's the only thing that means something. To people. And their sales have quadrupled in the last 2 years.

00:40:15

So, how do people, I mean, we don't have the time now, but like, it goes to the question then, how do you create such a powerful brand? What makes a brand that goes, that you think is going to be great and you put it out there and nobody likes it versus a brand, like you just said, you'd never think would even, you know, find 2 days of business of is now the fastest growing drink company, you know, in North America. So how do you win the brand game? Like, what are the keys to winning a brand in today's market?

00:40:48

Well, when I work with companies, I mean, I go through a couple different processes, but I think the one that really helps the most that I think would be actionable for your listeners right away is How do you finish this sentence? Only I, or if you're a company, only we. Now, sometimes I'll go into a company and the executives will be around the table. I'll say, get out a piece of paper, finish this sentence, only we. And chances are that there are 5 people in the room, they have 5 different answers.

00:41:25

Mm-hmm.

00:41:26

What that means, they don't have a marketing strategy. Because if you can finish that sentence, you know what makes you different. They, you know why customers love you. You know who your customers are and why they keep coming back to you and why your competitors fear you. And if you can finish that sentence, you know what to say. You know where to say it. You know how to say it. So that's a big first step. Now, the other piece is you have to think about how are you relevant? So now you kind of say, all right, I can finish that sentence. I know what my special sauce is. And if, and by the way, if you can't answer that question, go ask your customers. They'll probably tell you how to finish that sentence. So once you have an idea of your special sauce, Now, think about what's keeping people up at night, the customers that I serve, like, what are they struggling with? That's how I write books, right? I'm not the LinkedIn guy. I'm not the Facebook guy. I look at the world. I get to meet with companies all over the world and I see them struggling with these things.

00:42:44

I'll say, you know what? If I could figure that out, that would be a really helpful book. So think about what, what's keeping your customers up at night. Then think about, here's my special sauce. How do I solve that problem for them? How am I relevant in this world? You know, are people afraid of AI? Are they worried about the environment? Are they struggling with, you know, remote workers? Are they, are they struggling with healthcare costs? Like, we are in a world of so many megatrends and so many crises. And every megatrend and every crisis is an opportunity that creates underserved and, and, and completely unserved customers. It's creating new needs and new worries. And you have to think about, all right, here I am. This is what we do. How do we uniquely solve this problem for these people? And that creates a brand.

00:43:45

I mean, I hope people are writing this down because that's the answer right there. I know there's more nuance there, but that was the, that's a 30K. Yeah. If you actually be able to answer all those questions, you'll get to your brand. As we come to an end, I want to ask this one last question here. Going back to the study at the beginning, you know, that you were asked to, you were part of a big study and you read the book. As you're going through, I think you said there was like 10 things that were like the common denominator or the consensus. As you're going through that whole study, what was the one thing you saw or read that stood out the most for you and that scared you?

00:44:28

It's the one about relationships. You know, it's like I'm, I, I'm a father, I'm a grandfather, I'm a mentor to young people. And when you, when, when you, when you really look that this data, it's really happening, that people are falling in love with non-human entities, that really worries me. It just, it just, it's— there's so such deep societal issues attached with that. Everything else is kind of business. It might be sales. It might be how do we make people feel better about themselves because they're losing human agency. But when people start to abdicate human relationships because talking to an AI is frictionless and it'll always tell us what we want to hear, and then you lose contact with the world and you lose contact with your friends. It's happening. It's really happening. That was hard for me to write. It really was hard for me to write.

00:45:35

So I'm going to add this because I think it's important if people don't realize this is not only is that absolutely sad and devastating that that's happening, but on the other side of that AI, that's— I'm not going to say who, but that's people controlling that as well. Yes. I didn't want to say it, and I'm not going to— you're right. And I talk about that select few people controlling all of the AI. I know. Now they're controlling how you think, how you walk, how you talk, where you spend your time, and now where you are intimately. Yeah, that is the scariest. I mean, I address that.

00:46:14

I take some— make some pretty bold statements in this book, and when you, when you go to a bot and you feel seen and heard and compassion, there's a business case behind that. Absolutely. There's a business case behind that, right? They want you to be there and they are going to be selling you things. Maybe it's a subscription, maybe it's whatever. But anytime you feel compassion from AI, there's a business case behind it. We can't— it's an illusion. We can't lose sight of that.

00:46:50

Just as we end here, where can people find you, Mark?

00:46:53

Well, it's really, really easy. You don't have to remember how to— my name or how to spell my name. Nobody can. But if you can remember, Businesses Grow, you know, Businesses Grow, that's my website. It's easy to remember. You can find my blog. You know, we talked about a couple different books today. We talked about Audacious: How Humans Win in an AI Marketing World. We talked about How AI Changes Your Customers. And I've written 12 books. There's even a thing on my site you can, like, put in where you are in your career and find the right book for you. All my social media connections are on there. So businessesgrow.com.

00:47:35

Awesome. Mark, I just wanna say thanks so much for having— for being here.

00:47:39

Thank you. It's been a lot of fun.

Episode description

Most businesses still think they're selling to people. They're not. They're selling to an algorithm that's already decided what their customer believes, buys, and trusts. If you don't understand that shift, you're already invisible. This conversation with Mark Schaefer goes straight at the real problem: AI isn't just changing marketing tactics. It's rewiring how humans think, decide, and relate to the world. He breaks down what happens when customers stop researching, stop comparing, and start defaulting to AI for answers. Not just for low-risk decisions, but for where to live, who to trust, and what to buy. The conversation moves from surface-level AI hype into the real consequences: Cognitive offloading, loss of human agency, AI becoming the primary decision-maker, and what that actually means for businesses trying to grow. Because when AI becomes the filter between you and your customer, traditional marketing doesn't just weaken, it becomes irrelevant. At the same time, this isn't a doomsday conversation, it's a recalibration. Brand, trust, and human signals are no longer "nice to have." They are the only leverage left when machines are making recommendations at scale. This episode is for founders, operators, and leaders who are already building or scaling businesses and can feel the shift happening underneath them. Not beginners.Not people looking for tactics. This is for people responsible for growth who need to understand where decision-making is actually moving. The discussion touches the real intersection of AI, business growth, and customer psychology. How decision-making authority is shifting from humans to systems. Why branding is becoming more important than performance marketing. How trust, authority, and reputation now determine whether AI recommends you at all, and why most companies focusing only on content volume, automation, or SEO shortcuts are setting themselves up to be ignored. This is not about tools, it's about power, influence, and control in a system where visibility is no longer earned the old way. Topics covered: • Cognitive offloading and the decline of independent thinking • Why AI is becoming the primary decision-maker in sales • The difference between low-risk and high-risk AI decisions • How branding overrides algorithmic recommendations • Why word-of-mouth is becoming more valuable than paid marketing • The hidden business model behind AI "trust" and "therapy" • How to position your brand to be chosen by AI Looking to dive deeper into these conversations and connect with our host and guest? Follow Mark Schaefer  Instagram Facebook LinkedIn X Website Follow Kayvon: Instagram Facebook LinkedIn TikTok     Want to go deeper with Kayvon? Subscribe to the newsletter Book a discovery call Get your Revenue Engine Scorecard™️ Hire the right salespeople