Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News.
Speaker 2: Welcome back to the Deal.
Speaker 3: I'm Jason Kelly alongside my partner Alex Rodriguez. All Right,
Speaker 3: so we're here in New York City at Bloomberg Invests.
Speaker 3: We're literally minutes away from taping a live interview in
Speaker 3: front of an audience with Melodie Hobson, one of the
Speaker 3: most influential sports investors these days. So much get into
Speaker 3: You're to hear that later on in the season. But
Speaker 3: one of her most interesting investments to me, and I
Speaker 3: think to you is League One Volleyball.
Speaker 2: This is a startup league. They're going youth to pro.
Speaker 3: We got a chance to sit down a couple of
Speaker 3: weeks ago with their CEO and co founder, Caitlin Goo,
Speaker 3: and I know one of the things that really jumped
Speaker 3: out to you was this vast experience she had in
Speaker 3: the consumer.
Speaker 4: World exactly, Jason. I was so impressed with her background.
Speaker 4: When you look at lou Lemon, Sophora Bain, I mean,
Speaker 4: that's as good as it gets. I was really interested
Speaker 4: and curious to see how she was going to take
Speaker 4: call that great experience and weave it into building on
Speaker 4: this great league that she.
Speaker 2: Wants it to be global.
Speaker 3: Yeah, and it's interesting and we talked about this in
Speaker 3: the episode. I had gotten a chance go down to
Speaker 3: Atlanta see their first serve. They called it the very
Speaker 3: first match they played as pros. It was electric in
Speaker 3: this arena, same arena that the Atlanta Dream play in.
Speaker 2: And you know, it.
Speaker 3: Speaks to a lot of things we talk about on
Speaker 3: this show. This moment that's more than a moment. It's
Speaker 3: a movement for women's sports. All this enthusiasm, you know,
Speaker 3: you see it with the links, you see it with
Speaker 3: other investments that you have so much emphasis and so
Speaker 3: much money going toward women's sports right now.
Speaker 4: I think our listeners are going to be as impressed
Speaker 4: as you and I were. And after this interview, I'm
Speaker 4: very bullish in her vision for this league.
Speaker 3: All right, coming up Kaitlyn Gal. So we're really really
Speaker 3: excited to have with us Kaitlyn Gal. He's the CEO,
Speaker 3: co founder of League one Volleyball. We know it as Love.
Speaker 3: I was there Alex for the first serve in the
Speaker 3: atl They're in the midst of their inaugural season. It's
Speaker 3: super exciting. How's it going so far?
Speaker 1: I think you're seeing me with all of the excitement
Speaker 1: and adrenaline pumping up the lack of sleep.
Speaker 5: So that's how I'm doing.
Speaker 2: Yeah.
Speaker 4: A seminole moment for me, Caitlin was it was a
Speaker 4: few years back and I was watching on Sports Center
Speaker 4: and I was watching University of Nebraska and they played
Speaker 4: volleyball outdoors and I read ninety one thousand people, and
Speaker 4: I thought it was a type or something. And you
Speaker 4: selected six obsessed markets with volleyball, Atlanta, Austin, Houston, Madison, Omaha,
Speaker 4: and Salt Lake. Why those markets and where do you
Speaker 4: see this expanding to other cities?
Speaker 1: Great question because this being the number one team sport
Speaker 1: for girls across the US in terms of size of participation,
Speaker 1: and the sky's the limit in terms of how far
Speaker 1: this can go, how many teams we can have ultimately
Speaker 1: as we build the NBA Volleyball To start with those six,
Speaker 1: it was really important for us to really look at
Speaker 1: a lot of different factors, whether it's the collegiate programs
Speaker 1: like you mentioned. Obviously Nebraska was a no brainer given
Speaker 1: how many people showed up was record breaking for any
Speaker 1: women's sports event, and for us to also look at
Speaker 1: what are the other dynamics of youth participation, of venue availability,
Speaker 1: of the types of venues we felt very strongly about,
Speaker 1: as well as also looking at who are the top
Speaker 1: players in the world that are from the US, and
Speaker 1: for us to see where do they come from, what
Speaker 1: communities have they already resonated with while they were playing
Speaker 1: college or while they're playing at the junior club level,
Speaker 1: And because we have now seventy one junior club locations
Speaker 1: across twenty seven states, it was also for us to
Speaker 1: see how can we have a built in foundation and
Speaker 1: that connection, you know, at our own junior clubs, so
Speaker 1: that we could even physically house them together in terms
Speaker 1: of where they're training, so that that premier league type
Speaker 1: of youth to pro connection can be super authentic, very
Speaker 1: grassroots and natural.
Speaker 3: All right, let's talk about the youth to pro because
Speaker 3: that is it's a huge differentiator. And really this inaugural
Speaker 3: season has been about the Pro League. It's the inaugural
Speaker 3: season the Pro League. You've been in the in the
Speaker 3: youth business. That is no small feat. It was the
Speaker 3: idea from the beginning, how much risk was there in
Speaker 3: your estimation as you sort of built this out, you
Speaker 3: built out the business case of sort of taking on
Speaker 3: an entire sport vertically.
Speaker 1: Interestingly, for us, we really just focused on the size
Speaker 1: of what the sport already is, the unique nature of
Speaker 1: it being the sport that kind of was naturally women
Speaker 1: led both participation as well as how well known it
Speaker 1: is in terms of consumption, and while we really evaluated
Speaker 1: what the space could be, it felt extremely underserved. So
Speaker 1: you have this dichotomy of the participation level being so
Speaker 1: high and not having necessarily sort of the NBA of
Speaker 1: volleyball at the pro level, and at the youth level
Speaker 1: it was extremely fragmented. There are about five thousand plus
Speaker 1: of these junior clubs that exist in the US, and
Speaker 1: they're all sort of separated. There's not really a ton
Speaker 1: of scale, if you will, and what that comes with
Speaker 1: is lack of investment and sometimes consistency.
Speaker 5: And so it was.
Speaker 1: Really very early on before we probably even came up
Speaker 1: with the name Love that we felt very strongly that
Speaker 1: the entire sport was undercommercialized and the fans were underserved.
Speaker 1: And so for us to start with youth was actually
Speaker 1: quite natural because that's where we're the most vibrant.
Speaker 5: Participation.
Speaker 1: Consumption already existed, and we felt very strongly that that
Speaker 1: could also present in this opportunity to build an entire
Speaker 1: brand for the entire ecosystem that creates as I mentioned,
Speaker 1: this journey of belonging from youth to pro and to
Speaker 1: purposely say no, we're not starting with pro. I mean,
Speaker 1: you guys come across so many different startup leagues, right,
Speaker 1: and a lot of times that rushing into something at
Speaker 1: the pro level without having had the luxury or the
Speaker 1: benefit of building it layer by layer, step by stet
Speaker 1: brick by brick, that does sometimes lead into an unsustainability.
Speaker 1: And for us to really kind of corral this foundation
Speaker 1: of a network of clubs that have this day and
Speaker 1: day out consumption at the youth level just created this
Speaker 1: huge opportunity for us to drive lifetime consumption of volleyball
Speaker 1: as opposed to just one part of it.
Speaker 4: Yeah, so, Kaylene, One of the things with my background,
Speaker 4: I spent the first half of my life with Major
Speaker 4: League Baseball that's been around for over one hundred years.
Speaker 4: I think the back nine hopefully would be a lot
Speaker 4: of NBA that's been around for over set twenty five years.
Speaker 2: Now.
Speaker 4: These are two blue chip companies. You're the epitome a
Speaker 4: blue chip with your background Northwestern undergrad, Harvard Business School,
Speaker 4: then you go to Sophora Bain lou Lemon. How do
Speaker 4: you think about blue chip companies that we just mentioned
Speaker 4: compared to a starter and what do you have to
Speaker 4: do a little bit different to grab people's attentions, investors, etc.
Speaker 5: Well, first off, thank you.
Speaker 1: I think that we have this intentionality of building Love
Speaker 1: as a legacy leak, and the characteristics of legacy leagues
Speaker 1: are they're here to stay, they weather the storm, they
Speaker 1: weather the up and downs, and I think that has to.
Speaker 5: Be built off of a really strong foundation. And that was.
Speaker 1: Exactly the justification, if you will, or the inspiration to say,
Speaker 1: we have an opportunity to do this in a way
Speaker 1: that felt very grounded, very disciplined, because we have a
Speaker 1: very clear vision of this being a legacy leak.
Speaker 5: Success would be that this outlasts all of us.
Speaker 1: Right, this isn't just one person's league or here the
Speaker 1: co founding team. No, this this is about each of
Speaker 1: us are here and the time that we're here, we're
Speaker 1: creating it to be even stronger so that it outlasts
Speaker 1: for generations. So there are kids' kids get to experience
Speaker 1: it the way that they get to experience the Bulls.
Speaker 1: I mean, I grew up in Chicago and my identity
Speaker 1: is deeply rooted in the nineties Chicago Bulls.
Speaker 5: And so, however, you know, the success or.
Speaker 1: Lack of success or has been I could be in
Speaker 1: London and I see somebody in a Bulls jersey and
Speaker 1: I want to go up and talk to them because
Speaker 1: we share something that is emotional, that's about a sense
Speaker 1: of belonging and identity. And so I think that all
Speaker 1: startup leagues should be thinking about what is the legacy
Speaker 1: you're creating and how do you create that legacy in
Speaker 1: a sustainable way. And I think that intentionality is really
Speaker 1: coming through both in terms of what we have done
Speaker 1: in five and a half years of building this youth
Speaker 1: and junior club foundation, as well as having the patients
Speaker 1: and the luxury if you well, of being in discussion
Speaker 1: with our founding athletes starting when they were still in
Speaker 1: Tokyo or getting prep for Tokyo Games, to say we're
Speaker 1: building a league together. We're going about this differently. Would
Speaker 1: you like to come along for this ride and how
Speaker 1: would you like to give us the input to say,
Speaker 1: if you were building league with that used to pro mindset,
Speaker 1: this whole journey of belong in consumption, how would you
Speaker 1: do it? And many of them were already situated in
Speaker 1: Europe where they see that used to pro connection already
Speaker 1: playing out in front of their eyes.
Speaker 2: Yeah, you know, Caitlyn, you mentioned something and I saw this.
Speaker 3: When I went to First SERF in Atlanta, sort of
Speaker 3: the emotional reaction that these athletes have had to a
Speaker 3: league being built where there wasn't one before. And it's
Speaker 3: almost like a thought exercise for you, Alex to a
Speaker 3: staid to be like, so you're playing baseball, but there
Speaker 3: is no MLB, you know, and so like you have
Speaker 3: to go abroad to make your living, and then all
Speaker 3: this sudden someone says, you know what, We're going to
Speaker 3: create major League Baseball. You can play in Miami. Like
Speaker 3: it's a little mind bending to think about. But that
Speaker 3: I mean, Caitlin and my right, I mean that was
Speaker 3: essentially what was happening with these athletes who would go
Speaker 3: and they'd play in Nebraska in front of ninety one
Speaker 3: thousand people, but then to be a pro they'd have
Speaker 3: to go live in Russia.
Speaker 5: Right, Yes, that was.
Speaker 1: Mind boggling to me, even you know, five and a
Speaker 1: half years ago. Because Team USA women's indoor team has
Speaker 1: meddled twenty years in a row. They're the best in
Speaker 1: the world. And so you go from Nebraska in these
Speaker 1: incredible collegiate settings.
Speaker 5: And then boom, you're gone.
Speaker 1: You're off to Turkyer, Italy, Russia, Korea, Japan, Brazil. But
Speaker 1: you're not here, certainly, not at the level where you know,
Speaker 1: we have ninety percent of our athletes represent their own countries, right,
Speaker 1: So that's national leveled right in the Olympics exactly, so
Speaker 1: as well as the equivalent of World Cups, right, that
Speaker 1: happened every year. And so when you think about that level,
Speaker 1: and especially for the predominantly US players that are in
Speaker 1: our league, that's like you're playing at the NBA level,
Speaker 1: but there isn't an NBA. So you play abroad in
Speaker 1: other leagues for other countries, and then every year for
Speaker 1: the World Cup equivalent or every four years, you're coming
Speaker 1: back during your breaks to say, I want to represent
Speaker 1: my country, but we don't have an opportunity for all
Speaker 1: these athletes to be playing together in their home soil.
Speaker 1: So Dream Team goes and wins medals coming back and
Speaker 1: there's no NBA level. Now there are other leagues, obviously
Speaker 1: since we started this at the youth level, that have
Speaker 1: entered the space, but certainly not at the same level
Speaker 1: of play as these Olympians, where ninety percent of them
Speaker 1: are representing their home country and now they're coming and
Speaker 1: playing the NBA volleyball here in the US.
Speaker 4: Yeah, I guess my next question is part statement, part question.
Speaker 4: But do you think that part of what has you
Speaker 4: so excited is the tailwinds? I mean, think about where
Speaker 4: we are today in twenty twenty five versus even thirty
Speaker 4: years ago. My parents would never take my sister to
Speaker 4: a ballgame, right, it was just me and my buddies.
Speaker 4: And today I couldn't imagine any of my friends just
Speaker 4: taking their boys to Miami Heat game or Miami Dolphin.
Speaker 4: Is always the boys and the girls, they all go together.
Speaker 4: Do you think that the fan base, the consumer, the tailwinds,
Speaker 4: the WNBA, all of this is in your favor as
Speaker 4: far as storytelling, capital raising, etc.
Speaker 1: Absolutely true that this has been an amazing tailwind. Also
Speaker 1: true that five and a half years ago this wasn't
Speaker 1: exactly what you see today, so we really have benefited
Speaker 1: from that since then. But the idea the vision the
Speaker 1: start of our execution of building the strong foundation that
Speaker 1: came from us just looking around and saying, Wow, we
Speaker 1: have this incredibly popular sport that is completely under served.
Speaker 1: What can we do about it with the purpose and
Speaker 1: profit approach in mind of helping drive better life outcomes
Speaker 1: through the commercial success that we can create.
Speaker 5: So this is an.
Speaker 1: Added bonus and one that's really I think overdue and
Speaker 1: so exciting. I think a lot of it is driven
Speaker 1: from a lot of the levers that you guys talk
Speaker 1: about on this show, disaggregation of media, new patterns of consumption,
Speaker 1: the recognition from brands that women's sports in particular represents
Speaker 1: a really creative and very uniquely compelling way for brands
Speaker 1: to come in and build that affinity with audience that
Speaker 1: are watching women's sports, so that that partnership really becomes
Speaker 1: less of just eyeballs and broad based recognition, but a
Speaker 1: lot of depth and building that relationship with the fans
Speaker 1: for the sponsors slash partners of these incredible leaks.
Speaker 3: All right, so let's get into the deal of it
Speaker 3: all as it were, and talk about, you know, putting
Speaker 3: this together as a business, and then you know, you
Speaker 3: and your partners and I think especially Peter Hirshman going
Speaker 3: out on the road and raising money for this, Like,
Speaker 3: how do you even, you know, start that process of
Speaker 3: knowing who you're going to talk to, knowing how you're
Speaker 3: going to approach, what the pitch is going to be.
Speaker 2: Take us inside those early days.
Speaker 1: Yes, it seems like forever ago, but really it's just
Speaker 1: been five and a half years of three rounds of
Speaker 1: fundraising with some.
Speaker 3: Really well five and a half years, I mean, that's
Speaker 3: that's not a short amount of time.
Speaker 5: You know, it's not.
Speaker 1: And it's been really an incredible experience of meeting folks
Speaker 1: along the way that even if it's initially not the
Speaker 1: right timing for what their investment thesis is that over time,
Speaker 1: as they watch us execute up what we have laid
Speaker 1: out years ago, I do believe that that creates a
Speaker 1: sense of trust, It creates a sense of confidence and
Speaker 1: your ability to set a really strong.
Speaker 5: And ambitious vision.
Speaker 1: As you mentioned, Jason, not everyone decides to take on
Speaker 1: two really robust areas of opportunity here, both at the
Speaker 1: junior level as well as at the pro level, and
Speaker 1: all the other things that can come of it. Once
Speaker 1: you have those two very important cornerstone set, which we
Speaker 1: now do five and a half years later. So I'd
Speaker 1: say that we've never wavered around our sequencing of Foundation first,
Speaker 1: then the halo of the brand next, which is at
Speaker 1: the pro level, and that journey has been one that
Speaker 1: has been very purposely laid out in very sort of
Speaker 1: structured fashion of what are all the milestones we want
Speaker 1: to hit and so for having that laid out very
Speaker 1: clearly and not deviating from it, and it kind of
Speaker 1: just makes sense when you're thinking about driving lifetime consumption
Speaker 1: and you start with youth and you go into pro
Speaker 1: next with the best possible quality of play on the court,
Speaker 1: all of that and thing made a lot of sense,
Speaker 1: especially for folks that really look at it not just
Speaker 1: as a pure sports opportunity, but one that's really driving
Speaker 1: a holistic consumption opportunity. So you know, it's as much
Speaker 1: of an entertainment product as it is a competition product,
Speaker 1: a training product. And now merchandising has become a big
Speaker 1: component of how we're engaging with our fans because we've
Speaker 1: taken a very lifestyle as well as competitive approach on
Speaker 1: what we're offering in our sort of budding program of
Speaker 1: merchandising where you're actually wearing the league name in addition
Speaker 1: to having the team names. Opportunities you don't really see
Speaker 1: that in NWSL or the NFL or the MBA. That
Speaker 1: comes sort of next, well below, kind of where you
Speaker 1: your fan base typically engage at, which is at the
Speaker 1: team level, and we think that there's an opportunity for
Speaker 1: us to create it where it can be at each level.
Speaker 4: So, Caitlin, I'm fascinated by this question. I'm going to
Speaker 4: ask you, and I think our listeners will be two.
Speaker 4: If you think about you've raised, as I understand, one
Speaker 4: hundred and sixty million dollars over three rounds of raising capital,
Speaker 4: let's just divide them into three silos, three buckets. You
Speaker 4: have institutional capital, you have family offices, and then you
Speaker 4: have celebrities slash athletes. I guess my question to you
Speaker 4: is what's the contrast or is it better yet like
Speaker 4: one size fits all? Or is it more of a
Speaker 4: tailor made approach the way you contrast institutional versus family
Speaker 4: offices versus celebrities athletes.
Speaker 1: It's a really good question because we've experienced different indexing
Speaker 1: of those three categories depending on the rounds, Right, earlier rounds.
Speaker 1: In terms of the capital that you need, it doesn't
Speaker 1: really hit the radar some of the larger growth equity
Speaker 1: or even above that in terms of kind of middle
Speaker 1: of the road if you will, you know, private equity firms,
Speaker 1: And that's really more of a mechanical differentiation. But I
Speaker 1: think in terms of, you know, what folks are looking
Speaker 1: for in their investment, both from celebrities, individuals, family offices
Speaker 1: to institutional capital. Interestingly, I actually don't think there's a
Speaker 1: huge difference. I think it's an appetite for risk in
Speaker 1: the stage, but in terms of what they're actually looking for,
Speaker 1: they're typically all looking for a really sizable market, right
Speaker 1: it's the size of the addressable market, and we have
Speaker 1: a huge one. They're also looking for what is your
Speaker 1: business model, what is the talent on the team? You
Speaker 1: know you mentioned Peter Hirshman. You know, he and I
Speaker 1: met at Bay many years ago. We also have Kevin
Speaker 1: Wong who has lived and breathed for decades. He himself
Speaker 1: is an Olympian on the beach side, but started with indoor.
Speaker 1: And also you know broadcasts on NBC for the Beach Olympics,
Speaker 1: and that's just symbolic of all of the people that
Speaker 1: we've corralled, both on the working team as well as
Speaker 1: added benefit of these incredible youth club directors and owners
Speaker 1: who have come into Love and helping us build all
Speaker 1: of this, and all of that is information networks and
Speaker 1: access to capital conversations, and so for us, it was
Speaker 1: actually more so that we are being really clear about
Speaker 1: what our envision is, but the fact that you can't
Speaker 1: actually get there overnight.
Speaker 5: Nothing breaksthrough happens overnight.
Speaker 1: But it's really this methodical approach of what are we
Speaker 1: doing this year, how we're thinking about the launch in
Speaker 1: four years, and having a ton of those conversations with
Speaker 1: the athletes, with the club directors, with the national team
Speaker 1: coaches to really get the benefit of all of that
Speaker 1: brain trust. And I think that's what was reflected in
Speaker 1: all of our pitches, is a diversity of connections in
Speaker 1: and outside of volleyball, in and outside of sports, and
Speaker 1: the fact that we're very intentional about the Love brand.
Speaker 4: And a quick follow up there, I see some of
Speaker 4: your noteworthy investors, Lindsay Vaughan, the great Candas Parker that
Speaker 4: was on the deal, Amy Schumer. These are as big
Speaker 4: as names as you can find. Are you pitching usually
Speaker 4: to the business manager or do they actually make an appearance,
Speaker 4: And if they do make an appearance, do they ask questions?
Speaker 1: They ask incredibly insightful questions because they have the lived
Speaker 1: experience of being in highly pressurized environments. They've seen a
Speaker 1: ton of these pitches come across their desks, and the
Speaker 1: celebrities themselves, the high profile folks themselves as well as
Speaker 1: their business teams, and we welcome that because they all have,
Speaker 1: you know, collectively, really great insights. When you take Candas
Speaker 1: Parker or even Jason Tatum for example, they all have
Speaker 1: real personal connections to the sport. Canada's Parker had played
Speaker 1: volleyball very competitively until she was a sophomore, and I
Speaker 1: think some sort of negotiation or conversation happened with her
Speaker 1: and her dad is like, you gotta pig one because
Speaker 1: you're going to be playing at the highest level. And
Speaker 1: it's too bad that love was and around. We didn't
Speaker 1: have the NBA or the WNBA of volleyball for her
Speaker 1: to play in. And Jason Tatum's mom actually was already
Speaker 1: on her way to a D one scholarship and she
Speaker 1: has a really kind of deep connection with the sport,
Speaker 1: and she was really really competitive in that sport. So
Speaker 1: there's family connections to the sport. In Jason's case, so
Speaker 1: Amy Schumer played volleyball, and I think actually in her
Speaker 1: show she has a character that plays volleyball. So there
Speaker 1: is so much incredibly sort of genuine connection to the sport.
Speaker 1: So that there is sort of this I'm going to
Speaker 1: zoom out and hear what this unique opportunity is not
Speaker 1: just an investment, but what you're trying to create in
Speaker 1: the impact for the sport that is both for purpose
Speaker 1: and for profit. So we're very fortunate to have that
Speaker 1: level of connection to our investors in general.
Speaker 3: Yeah, wow, Alex, I mean that's like it's a sliding do.
Speaker 3: I mean, just think the entire Candace Parker episode of
Speaker 3: The Deal could have been about her being, you know,
Speaker 3: this generational talent and volleyball.
Speaker 2: I mean, like unbelievable exact, it is amazing.
Speaker 3: I mean, as we were going through this, I did
Speaker 3: note to Alex that you have a lot of members
Speaker 3: of what we call the Deal cinematic universe, and you're
Speaker 3: on your cap table. You have kandas Parker, you have
Speaker 3: Billy Jean King, and Alana. You have I believe Carolyn
Speaker 3: Tish Blodgett and next three as part of your investor
Speaker 3: group as well, all who have appeared.
Speaker 2: On the deal.
Speaker 3: Just to be clear, so clearly we're doing the right
Speaker 3: thing because we're talking to very smart investors and athletes
Speaker 3: turned investors. I wonder how we got to that. I mean, oh, yeah, right, Alex,
Speaker 3: I forgot about it. I forgot, I forgot we have
Speaker 3: the og is one of the hosts of Filly Mate,
Speaker 3: Luck and Talent. Yeah, yes, exactly exactly, But it is
Speaker 3: interesting to think about, you know, sort of how they
Speaker 3: got there. But you know, one thing that I wanted
Speaker 3: to make sure we talked about a little bit, Caitlin,
Speaker 3: is sort of how you got here.
Speaker 2: You know, we touched on it a little bit.
Speaker 3: And I do wonder as you reflect on this, you know,
Speaker 3: almost six years into this journey. You know, Alex mentioned
Speaker 3: your educational pedigree of the highest level, but also working
Speaker 3: in consumer brands like Sephora and Lululemon, consulting with Bain, Like,
Speaker 3: what are your reflections on sort of this moment in
Speaker 3: your career. Because I think about a lot of our
Speaker 3: listeners who they dream of doing something like this. You know,
Speaker 3: they're working for big companies they may admire, but you know,
Speaker 3: to go out and start something new in sports, there's
Speaker 3: this you know, movement afoot of understanding the role that
Speaker 3: sports plays in the broader culture, Like have you even
Speaker 3: had a minute to sort of reflect on that for yourself?
Speaker 1: Only recently, I would say, having had the opportunity to
Speaker 1: reflect on it.
Speaker 5: And it really kind of comes down.
Speaker 1: To this not necessarily being one of the kids say
Speaker 1: these days, this was not in my bingo card. Yeah,
Speaker 1: this was not in my bingo card. I have not
Speaker 1: Alex Rodriguez level, not even close. Wasn't d one bound
Speaker 1: for any sport. But maybe I'll come back to this
Speaker 1: idea of I really think of sports as a business
Speaker 1: of belonging. You know, I came to the States at
Speaker 1: age twelve. You know, my mother being the reason that
Speaker 1: we moved to the Stays. She was a physicist and
Speaker 1: her job has you know, taken us a very very
Speaker 1: drastic turn from a life that I would have lived
Speaker 1: and my brother and myself would have lived if we
Speaker 1: stayed in China. So her role, her profession really changed
Speaker 1: the trajectory of our families lives and you know, to
Speaker 1: this day, I think that has been a very strong
Speaker 1: impact on how I think about what that purpose with
Speaker 1: the capital P would be still thinking about what I
Speaker 1: do when I grow up and along the way, you know,
Speaker 1: having had the great opportunities that I've had in both
Speaker 1: educational as well as professional settings, you just meet incredible
Speaker 1: people and those relationships. Once you start to get into
Speaker 1: a certain stage in your career, you're starting to connect
Speaker 1: the dots and then also being a little bit more
Speaker 1: clear about what are the things that motivate you. And
Speaker 1: to me, this idea of being involved in a business
Speaker 1: that is really about a business of belonging and that's
Speaker 1: brought me so much joy just being a fan of
Speaker 1: basketball growing up in Chicago in the nineties. Again not
Speaker 1: a great athlete myself, but felt like, despite the language barrier,
Speaker 1: I was able to feel a sense of belonging by
Speaker 1: trying out different sports because you actually didn't even need
Speaker 1: the verbal communication to feel belonging with your teammates. And
Speaker 1: that's the sense of purpose that we think about in
Speaker 1: driving and building love. And I'm just really grateful that
Speaker 1: relationships got you know, this group of great founders coming
Speaker 1: together and that you know, I've been part of really
Speaker 1: driving a legacy creation that will hopefully outlast all of us.
Speaker 4: So sticking with you, Caitlin, as you think about your
Speaker 4: great career that you've had going back to Harvard Business School,
Speaker 4: bands for lul Lemon, which of those four do you
Speaker 4: think you drew the most experience to help create love.
Speaker 1: I've actually never thought of it that way because so
Speaker 1: much of it is really the culmination of all of it.
Speaker 1: But perhaps one that stuck out at the time that
Speaker 1: we were deciding what is the business model, because it's
Speaker 1: very easy to just say, well, all these startup leagues
Speaker 1: start with pro and then you go back and you
Speaker 1: made the connection for fan base or for other reasons
Speaker 1: into the youth and starting with youth. This idea of
Speaker 1: grassroots up first really came from the most recent exposure
Speaker 1: that I had by running globally commerce at Lululemon, where
Speaker 1: I was maybe even shocked to find that there wasn't
Speaker 1: a marketing department per se.
Speaker 5: It was really labeled community. It was all about getting
Speaker 5: the community to corral around.
Speaker 1: This brand, and so it was a lot more about
Speaker 1: depth than it was about breath, and that was very
Speaker 1: different than a lot of other certain athletic brands or
Speaker 1: other megabrands that have done a lot more emphasis on
Speaker 1: tops down marketing as opposed to grass roots up marketing.
Speaker 1: You know, the example I would give is that in
Speaker 1: many cases, especially in the early years, Lululemon started with
Speaker 1: really a pilate studio. For example, it might be even
Speaker 1: a makeshift one that was only a six month short
Speaker 1: term rental. And that's how they developed new markets or
Speaker 1: new neighborhoods where they would bring in influencers from those
Speaker 1: particular neighborhoods just so that they could yes, be doing
Speaker 1: yoga together pilates, but then there's a rack of clothes
Speaker 1: from lul Lemon where you're getting input. You're getting to
Speaker 1: know their life stories and what functions do they care about,
Speaker 1: down to by the time that they do open the
Speaker 1: permanent space, what do you see on the wall. You
Speaker 1: see actually local influencers. You see local heroes in you know,
Speaker 1: various walks of the sporting life and the run clubs
Speaker 1: still meet there at six am in the morning.
Speaker 5: You know.
Speaker 1: Regionally, they also had people who engaged with the community
Speaker 1: specifically so that they're drawing into the grassroots influence as
Speaker 1: opposed to tops down in pure digital marketing. So we felt
Speaker 1: very strongly, especially sort of digging a little bit deeper
Speaker 1: into what are the relevant learnings there that you know,
Speaker 1: I think that helped us to double down on this
Speaker 1: grassroots up approach.
Speaker 2: That's so interesting.
Speaker 3: You know, one thing that strikes me as you talk about,
Speaker 3: you know, the business of belonging. And you know, the
Speaker 3: other thing that I really do feel like I witnessed
Speaker 3: there in Atlanta. I mean one and Alex you'll drive
Speaker 3: with this, you know, one was the sort of the
Speaker 3: support from the broader Atlanta sports community. You know, It's
Speaker 3: like the president of the Atlanta Dream is there and
Speaker 3: Derek Schiller, the CEO of the Atlanta Braves, like they're
Speaker 3: there sort of showing support, which was interesting to sort
Speaker 3: of see.
Speaker 2: The sports ecosystem.
Speaker 3: But also, and I think this goes all the way
Speaker 3: back to the question of like why these certain markets
Speaker 3: there was such a sense of sort of joy and
Speaker 3: anticipation and excitement in the arena that evening from the fans.
Speaker 3: And I do wonder, you know, Caitlin, as we start
Speaker 3: to wrap up the conversation, like what are you taking
Speaker 3: from the fans? You have developed this community and sort
Speaker 3: of plugged into it in a way from the club
Speaker 3: and the youth level. But what do you take away
Speaker 3: from the fans and how does that inform where you
Speaker 3: take the league from here? What have you learned so
Speaker 3: far from the people who are in the seats.
Speaker 1: The most important lesson we're learning is that if you
Speaker 1: are true to your intentionality of building a community, anything
Speaker 1: as possible, and that community is a community of youth
Speaker 1: clubs and their families. I mean, we had close to
Speaker 1: nineteen thousand athletes and their families in our junior clubs
Speaker 1: and that's expected to double probably in the next year
Speaker 1: year and a half and goes from there as well
Speaker 1: as us having had this intentionality of engaging with the
Speaker 1: collegiate program and their athletes and their coaches engaging with
Speaker 1: other sports. I mean, ultimately, the power really is in
Speaker 1: the community. Why, Because relationships built, that's connected, fans activated,
Speaker 1: all of those pieces, I think validate the fact that
Speaker 1: starting with the community up was absolutely the right choice.
Speaker 1: Even if it wasn't a choice that many others have
Speaker 1: or anyone else has ever made, it felt right For
Speaker 1: volleyball in particular, I mean, this is a sport where
Speaker 1: your opponents are on the other side of the net.
Speaker 1: You've got six starters on one side of the net
Speaker 1: choreographing the most beautiful plays, right, And it's really a
Speaker 1: special sport where it's deeply rooted in that sense of
Speaker 1: belonging and coming together. I mean, win or lose, they
Speaker 1: come together for each point to encourage each other. So
Speaker 1: it's being true to who we are. It's always been
Speaker 1: about community. That's what I think the power will continue
Speaker 1: to be as we continue to grow.
Speaker 2: All right, so should we hit the lightning round? Alex? Yes,
Speaker 2: let's do it. You're reading, okay? I am five questions.
Speaker 3: The only thing we say is keep it tight and
Speaker 3: we'll bounce it back and forth.
Speaker 2: I'll start and then Alex will pick it up. Are
Speaker 2: you reading?
Speaker 5: Let's go?
Speaker 2: No pressure?
Speaker 5: All right, no pressure.
Speaker 3: What's the best piece of advice you've ever received on
Speaker 3: deal making or business?
Speaker 1: Being authentic, being true to who you are and tune
Speaker 1: out the noise.
Speaker 4: Who's your dream deal making partner?
Speaker 3: Oh?
Speaker 5: I already have it my co founding team.
Speaker 3: So maybe someone you haven't worked with yet, but you
Speaker 3: sort of imagine working with.
Speaker 5: Oh Man, that is an interesting Beyonce.
Speaker 3: Oh, that's a good one, right, ants that could be
Speaker 3: the best answer we've gotten to that that question.
Speaker 1: Thanks all right, I'm also manifesting if you can't tell.
Speaker 4: Yeah, that's what we do with the deal.
Speaker 3: I love it exactly. We love deals that Lets start
Speaker 3: on the deal. What's the most nervous you've ever been.
Speaker 5: Caitlin the weekend before first surf?
Speaker 4: What's your hype song before you go into a big
Speaker 4: meeting or a negotiation?
Speaker 1: Not a very cool one, but I want to dance
Speaker 1: with somebody by Whitney Houston.
Speaker 2: Oh well, that's good. That's a good one.
Speaker 3: And what's your advice for someone who might be listening
Speaker 3: who wants to do what you've done?
Speaker 1: Take care of the relationships you have, be intentional about
Speaker 1: developing those with people you admire, and connect the dots.
Speaker 3: All right, really good? I think that could be the
Speaker 3: best lightning round we've ever done. Sorry, everyone else who's
Speaker 3: been on the shack, Kaitlyn, good, this.
Speaker 2: Is a treat. I'd been really looking forward.
Speaker 3: To this, especially since we got to spend some time
Speaker 3: together at the First Serve. Really really fun, Excited for
Speaker 3: what you're building and can't wait to see where it
Speaker 3: goes from here.
Speaker 2: Thank you for joining us.
Speaker 5: Thank you both. Great to be here.
Speaker 4: Thank you. And I can't wait to go to a match.
Speaker 4: I'm excited.
Speaker 2: Yeah, you got to go. It's such a vibe. It's
Speaker 2: such a vibe. It's so fun.
Speaker 1: Alex, we're trying to get you guys to our finals
Speaker 1: in Kentucky. So Louisville on April thirteenth is our finals.
Speaker 5: Okay, so that'll be just as exciting, if not more
Speaker 5: sale than our first serve.
Speaker 4: You got it.
Speaker 3: The Deal is hosted by Alex Rodriguez and me Jason Kelly.
Speaker 3: This episode was made by Anna Maazarakus, Stacey Wong, and
Speaker 3: Lizzie Phillip. Amy Keene is our editor. Our theme music
Speaker 3: is made by Blake Maples. Our executive producers are Kelly Leferrier,
Speaker 3: Ashley Honig, and Brenda Neonham. Sage Bauman is the head
Speaker 3: of Bloomberg Podcasts. Additional support from Rachel Carnivali and Elena
Speaker 3: sos Angeles. Thanks so much for listening to the Deal.
Speaker 3: If you have a minute, subscribe, rate and review our show.
Speaker 3: It'll help other listeners find us. I'm Jason Kelly. See
Speaker 3: you next week.