How Oats Overnight Puts Subscribers 'in the Driver's Seat'

The world arguably didn’t need another oatmeal brand. But Brian Tate saw a need for one that would reflect health-conscious oatmeal eaters’ on-the-go lifestyle. So Tate created Oats Overnight, a direct-to-consumer brand that allows users to take their healthy breakfast anywhere by providing a custom container for shaking, refrigerating and drinking oatmeal. When the pandemic forced workers to stay home and skip the commute, Tate noticed sales dropped. The team’s solution was rooted in a founding principle: include customers in the research and development process. So in 2020, Oats Overnight added one free package to each subscription box called Flavor in Development. Customers were asked to try it and report back on taste, consistency and overall satisfaction. Kind Aims to Disrupt Breakfast With Ready-to-Eat Smoothie Bowls It worked. By January 2021, Oats Overnight had 9,800 monthly active subscribers. Nine months later, it has 38,000. Tate attributes the rise directly to the Flavor in Development component. “We created an interactive, fully transparent business that puts consumers in the driver's seat,” Tate told Adweek. “We're very much trying to build a brand that has a real relationship with our customers.” Another benefit is speed to market. Instead of printing labels and creating a production line for new flavors, only to have them fail, Oats Overnight is able to test before going to market at scale. “It was an 'Aha!' moment,” Tate said. “Subscribers win because they try new flavors no one else gets to. And we win because we’re essentially test-driving potential new flavors before they ever see the website.” Odds of success That interactivity and belief that customers should be included in the process has been a guiding principle since Oats Overnight's launch in 2016. At the time, Tate was playing high-stakes poker and commuting between L.A. and Las Vegas. All the while, he was trying to eat healthy and maintain enough energy for workouts. He didn’t enjoy making overnight oats from scratch. And he couldn’t find a healthy packaged version. Tate relied on data and statistics while playing poker, and applied that same focus to developing Oats Overnight, gathering information and scouring Google search trends. Using his poker earnings, he set out to create drinkable oats (the most convenient way to consume them). In addition to the product’s expected promise of high protein and fiber, of course, it had to taste good. He started with classic flavors: chocolate peanut butter banana, blueberry cobbler, strawberries and cream. As the business scaled and moved into a 20,000-square-foot facility in Tempe, Arizona in 2017, Oats Overnight introduced limited flavors such as pumpkin spice (of course), salted toffee and caramel cold brew. Consumers can subscribe to a monthly variety box of eight, 16 or 24 packages, or make a one-time purchase. All first-time orders come with the BlenderBottle to prepare the oats using their liquid of choice (milk or milk alternatives). Social media’s two-way street In the early days, Tate’s advertising strategy was summed up in one word: Facebook. “It was all Facebook at the time, especially since CPMs were so much lower,” Tate said. “It was a little easier to win on Facebook with knowing very little limited information [about social media marketing].” He may have lacked experience in advertising, but he understood customer service. If someone commented on the Facebook ad, Tate always responded. “Up until maybe a year and a half, two years ago, every single comment was coming from me, which got pretty overwhelming,” Tate said. “We put a really big focus on communication.” Social media has been a two-way street between the company and consumers from the start. As a result, Oats Overnight customers are vocal. For years, they’ve sent stories to Tate and the customer service team about the product, such as family members of people in hospice struggling with nutrition who are able to consume Oats Overnight, and moms who discovered the product after years of eating scraps from their kids' breakfast plates before rushing out the door. Old friends with VIP status About two years ago, the team created a platform for these enthusiasts as a place to share their stories, recipe hacks and questions. Now it has 4,000 members who serve as a built-in focus group, alternatively offering cheerleading and, yes, criticism. The brand posts behind-the-scenes content from the warehouse, polls on which flavors should be tested next and answers questions. Tate is frequently tagged by users who refer to him as if they’re old friends. One recent poster: “Brian Tate I’d sell my soul for mixed berries and cream! Soooo good and sad to have finished my pouch!!!” Tate replies to all posts he’s tagged in. To the above, he wrote: “I’m so glad you love it!” They also report what they don’t like. A recent poster wrote: “Made Berries and Cream today. Sadly, this is the 2nd FID [flavor in development] in a row of which I am not a fan.” The poster went on to describe the issues, including an overwhelming raspberry flavor and gritty texture. Tate and company want to hear it all. “What directly led to the VIP group is that immediate feedback,” he said. “They weren't getting copy-and-paste responses. They were getting a real human that's addressing their question. A lot of companies don't do that very well, and it builds a wall around them. "This is my baby. So when someone has a question about it, I'm excited to give them that answer." Thumbtack’s New Head of Marketing Sets Her Sights on Customer Experience