These guys turned eggs, dates, and almonds into a $600M payday.
And they did it in 5 years.
Peter Rahal and Jared Smith created RXBAR. This is the protein snack that went from obscurity to ubiquity in 17 minutes. Or at least it felt like that.
But it was actually a grind. And there’s a serious lesson from how they did it.
Here’s what happened.
1. Early Days
It’s 2012. Peter’s an athlete — playing Rugby and doing CrossFit. He’s also following a Paleo lifestyle. No grain, no sugar, no dairy.
And he notices something weird.
There are tons of products serving the Paleo crowd. But no protein bars.
Nothing.
It’s kinda crazy. Especially because in the CrossFit community, Paleo is the dominant diet. And these are die-hard dieters.
He decides this bar needs to exist. And he’s going to make it.
2. Creating The Product
Peter teams up with his buddy Jared.
To get their protein bar off the ground, the guys need 3 ingredients:
→ First they need flavors. They choose almonds and cacao.
→ Next they need binders. They go with figs and dates.
→ Of course they need protein. They go with egg whites.
They scour the country for premium suppliers. Then they grab a Cuisinart, hit blend, and whip up their prototype.
It’s good. But it can be better.
Peter shares the concoction with his CrossFit buddies. Tweaking and toning based on their feedback.
Finally the recipe is just right.
They call it RXBAR. And now it’s time to sell.
3. Launch Time
Instead of a wide launch, our boys go super narrow. They have just one target customer:
CrossFit gyms.
They dial gym owners from coast to coast. Convincing them to stock RXBAR. They hustle on manufacturing and packaging to bring this bar to life.
It works.
In the first 9 months, sales hit $600K.
In year 2, it’s $2M.
By 2016, they land in Trader Joe’s. Sales explode to $36M.
Fast forward to November 2017. Kellogg’s buys RXBAR for a wild $600 million.
4. My Take
Peter and Jared ran the community playbook like all-stars.
Rather than duking it out with Clif and Lara bars, they wedged into one tiny segment: CrossFit gyms. They bear-hugged this community and ignored everyone else.
That’s the power of a customer community. It’s not the endpoint. It’s the starting point. And if you do it right, it’s the whole point.
Build a foundation, recruit your tribe, and dominate the category.
In 2024, the top seller on the protein shelf is RXBAR.
And it’s barely been a decade.
Contributed to Branding Strategy Insider by Jon Davids, Founder & CEO of Influicity. You can enroll in Jon’s complete marketing course here.
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