PROPOSAL NAME:
Apes 2025: TikTok Shop Takeover: Boosting Apes Health, Revenue, and Community through a new Ape-branded protein product AND a new sales channel (TikTok Shop) - benefitting the ApecoinDAO ($$), MBA community, and offering interested Apes the chance to earn affiliate revenue!
EXECUTIVE SUMMARY:
This proposal outlines an innovative initiative to leverage TikTok Shop as a transformative sales and distribution channel for Made by Apes businesses, unlocking new revenue streams for the Apecoin DAO and fostering community engagement and new users for Apechain.
** The program will also establish a TikTok Shop affiliate program for Apes, empowering community members to earn income by promoting MBA products while driving brand visibility for Bored Ape Yacht Club.
** Project includes a 50% gross revenue rev share model for the ApeCoin DAO, aligning with the mission of supporting and funding the DAO and broader Apechain ecosystem.
TEAM DESCRIPTION:
- âJinxâ - Former head of Legal Operations for Yuga Labs and Legal team lead supporting the MBA program (handled MBA applications review and approvals).
Education: IP Law Expert
- JD - University of Oklahoma College of Law
- Masters in Intellectual Property (MIP) - Franklin Pierce Law Center
Professional Experience: Builder for IP Expansion
- 12+ years experience helping grow and scale startups, including fitness app - Daily Burn and video platform, Vimeo.
- Former Director of IP for Warner Music Group (Atlantic Records, Elektra Records, etc.).
- Senior Director, Business and Legal Affairs for IAC Applications (incubator division of tech conglomerate IAC; annual rev. $3.3B).
Personal: NCSF Certification in Sports Nutrition. Obsessed with how to optimize daily health and nutrition routines to deliver transformative results.
- Kenton Selvey - President, BrandGrenade and BrandGrenade Team: The BrandGrenade Team is a global consulting group made up of proven product and sales experts, each with more than 25 years experience specializing in business development, marketing strategy, licensing, and retail sales for iconic brands in CPG, media, sports and web3. BrandGrenade experts work with leading retailers from Costco to CVS to Target. BrandGrenade has generated over $750M in net revenue for its brands through 200+ partnerships.
- Advisors: Weâve assembled a truly world-class advisory team of experts and top leaders in the health and wellness category, including:
- Founder of a top 10 protein brand in the U.S.; The brand is a top category performer on Amazon and TikTok Shop. Also has strong retail partnerships with Whole Foods, Walgreens, Target, and Vitamin Shoppe.
- Former CEO of the top health store retailer and online vitamin and supplement seller in the U.S.
- Top strategist and creator community manager on TikTok Shop for the Health and Wellness category. Manages 2 of the top creator communities on TikTok Shop.
PROPOSAL DESCRIPTION:
We are on a mission to bring Apes to new audiences via the growing opportunity in Social Commerce (particularly TikTok Shop)! If youâre not too familiar with TikTok Shop - no worriesâŚ. Read background below.
TikTok Shop Background:
Launched in Asia in 2022, TikTok Shop has grown rapidly, becoming a major force in e-commerce, especially in Southeast Asia. TikTokâs short-form videos and social commerce model have helped it capture a large share of the market, challenging traditional e-commerce giants.
TikTok Shop launched in the U.S. in late September 2023. With historically low cost-per-acquisition, It is now the fastest growing platform for small business in the U.S. In August 2024 - TikTok Shop did more than $600M in monthly sales. TikTok is taking significant market share from Amazon and Google on product searches, similar to the change from Google search to Amazon in 2012.
- In 2024 - 74% of GenZ uses TikTok as their first and primary source for product searches.
- Beyond attributable sales on TikTok Shop, product brands are seeing a significant âhalo effectâ for sales that occur on Amazon and Shopify, but start through first search or exposure on TikTok Shop.
- Many small businesses are reporting an increase in sales up to 30% using the TikTok Shop platform (attributable revenue) + unattributed "halo effect"increased sales on Amazon storefront and Shopify from brand visibility gained from TikTok.
- There is a strong interest in health products on TikTok (#2 product category on TikTok Shop) and a strong overlap between the key demographics for TikTok users and Web3.
Proposal Objectives:
Proof of Concept Product: As a proof of concept - We will leverage the strong opportunity that exists in the Health and Wellness space on TikTok Shop for a new premium protein powder product: APE Fuel (Alpha + Protein + Energy)*
A product brand inspired by the Ape Community. A clear protein + all natural adaptagen to boost energy. Product packaging will feature an Ape. And the Brand ethos will reflect the spirit of the Ape Community - bold, strong, high energy, and hell yes, Ape-like audaciousness.
Target demographic: males (and females too!) ages 20-45 (Web3 enthusiasts and normies), fitness-focused individuals (both beginners and gym rats) who are keen on improving their health, energy, and lean muscle mass. The target demographic values high-quality products that deliver actual results. They want a convenient protein powder product that helps them meet their protein needs, to fuel that (healthier, but non-stop) Ape lifestyle.
Launch on TikTok Shop: We will use TikTok and TikTok Shop as our primary sales, marketing, and distribution channel for this brand. For Marketing and Sales - we will leverage TikTok Shopâs incredibly strong creator (affiliate) program that allows for low cost; high reach product marketing and sales conversion. Trained Affiliates create content, but are paid only on actual sales conversion (as opposed to influencer marketing model).
For Fulfillment and Distribution - we will leverage TikTok Shopâs built-in fulfillment and distribution platform. Fulfillment and distribution is often a friction point for MBA businesses, but through TikTokâs platform, our product will ship within 3-5 days.
The TikTok Shop model is infinitely scalable through deeper marketing and building out adjacent product offerings in the health/wellness space. The model and our learnings could be leveraged to help numerous other MBA businesses get onto the TikTok Shop platform.
- Estimated $50-$65 per unit, shipping only available within the United States.
Develop Affiliate Marketing Program for Apes to Earn $$: Leveraging relationships with top TikTok Shop creator trainers - we want to build a community-focused affiliate program that incentivize BAYC members (and non-member creators) to promote the APE Fuel Product (and other MBA products) to earn commissions and drive viral marketing and sales. This could create a nice âside hustleâ revenue stream for interested Apes while helping to expand Ape brands and the Ape ecosystem.
Thank you Program to drive traffic to Apechain: In addition to developing an MBA Creator Community, we would like to create a âThank Youâ Rewards program to drive traffic to Apechain and Apecoin. Here is the idea: We will create a "thank you for supporting Ape Fuel messaging to include in each product package or to be delivered by email (post-sale). This messaging would include a small reward (Spotlight points) with instructions on how to participate in Apechain and claim the reward.
Rev Share to the ApeCoin DAO: To support the DAO, we would dedicate 50% of the gross revenue from TikTok Shop back to the DAO to create a strong revenue stream to help fund future AIP projects.
We are deeply passionate about creating and launching this new product that reflects the best (and healthiest) vibes of the Ape Community - and gives back to Apes and the ApeCoin DAO at the same time. #ApeFuel #ApeTogetherStrong
BENEFITS TO APECOIN ECOSYSTEM:
- New revenue stream for the DAO / 50% rev share.
- Increases visibility for Apes, Apechain and Apecoin within the TikTok Shop/Web2 community â and with larger demographic reach (could help grow younger and different demographic onto Apechain).
- Opens a new low risk, sales, marketing, and distribution channel for MBA businesses to leverage to expand their sales.
- Creates Affiliate Marketing program for Apes. Apes can earn extra $$
- Drives new traffic to Apechain through new rewards program codes.
- Will introduce 3rd party TikTok creators/affiliates (average age 18-30) to the Ape ecosystem creating brand evangelists for Ape/MBA Brands.
DEFINITIONS:
Clear Protein - Clear protein has a juice-like texture and taste, and comes in a variety of flavors. It is made from whey protein isolate, which is easier to digest than whey protein concentrate. It is low in calories, which can help you build lean muscle.
Adaptagen - Adaptagens are a group of naturally occurring plants and herbs that can help improve energy and reduce fatigue.
STEPS TO IMPLEMENT:
Milestone 1
Start Date - start ASAP after DAO approval
- Kickoff product development and packaging development
- Work with Advisory team on market testing
- Finalize product and packaging
- Complete contract with TikTok Shop creator community manager for creating Ape and Creator affiliate program
- Work with ApeCoin DAO to finalize Rewards/Apechain messaging to distribute with all sales
- Coordinate with TikTokShop 3PL for logistics and distribution
Timeline: 12â16 weeks
Milestone 2
Start Date - upon completion of milestone 1
- Work with creator manager to develop marketing narrative
- Kickoff signup for Ape Affiliate community
- Complete 1st wholesale order of product and samples.
- Launch Creator community campaign prep and training for Ape affiliates
- Send creators, Apes, and influencer samples. Begin content creation.
- Coordinate with TikTok Shop for product launch.
- Coordinate with creator community manager for marketing launch for creator community and Ape affiliates.
- Launch sales on TikTok Shop
Timeline: 4-8 weeks
REPORTING EXPECTATIONS:
To promote transparency and to allow the community to see the progression of the project - We will implement the following ongoing reporting:
- Monthly - We will provide monthly status updates to the DAO.
- Quarterly - We will provide detailed quarterly financials for review, per standard business practices.
- Ongoing - Weâre glad to answer questions from the community anytime or appear on Spaces to give additional project updates.
- Quarterly financial reports would be emailed directly to the APE Foundation and would continue for the duration of the project.
OVERALL COST:
Total amount requested from the Apecoin Ecosystem Fund = $248k
Breakdown of Funding and Timing:
Tranche 1 - Upon approval: $96,000
- Product Development and Market Testing $34k
- Market Testing and Product Final $16k
- Packaging and Labeling Development $18k
- TikTok creator community manager/trainer $22k
- Create rewards program (Apechain) $3k
- Contingency for misc. fees $3k
Tranche 2 - Upon completion of Milestone 1: $152,000
- Product Manufacturing and Inventory $67k
- Create Samples for affiliates. Shipping $19k
- Content Creation. Affiliate Marketing
- Promotions for Affiliates/Apes. Cross promotion $44k
- 3PL - Logistics and Distribution. Platform Fees $22k