Ep 501: How Mid-Day Squares Scaled to $36M with Careful Costco, Costly Cocao, and a Bitcoin Supply Chain Makeover with Nick Saltarelli
DTC Podcast · with Nick Saltarelli · April 21, 2025 · 37 min
Summary
Mid-Day Squares scaled to $36M by disrupting the CPG space with innovative strategies in retail, supply chain, and operations. This episode reveals how they broke Costco sales records by building a new refrigerated snack category and leveraged Bitcoin and WhatsApp for a 35% cost reduction in cocoa sourcing during a global crisis. Operators will learn how to integrate AI like ChatGPT into core operations and scale manufacturing for mass retail.
Key takeaways
Instead of traditional sales pitches, create viral brand moments at retailers through 'community-powered roadshows' to break sales records, as Mid-Day Squares did at Costco.
Implement a 'Bitcoin supply chain makeover' by using Bitcoin for global sourcing and WhatsApp for direct communication to reduce costs by up to 35% on commodities like cocoa and combat margin collapse.
Integrate AI, specifically ChatGPT, as a core operational layer for tasks like content generation, data analysis, and workflow automation to improve efficiency across the business.
To succeed in mass retail, focus on creating and owning a new product category within a retailer like Costco, requiring significant consumer education and demonstration.
Scale manufacturing operations strategically to meet the demands of major retailers, emphasizing vertical integration and robust supply chain management to maintain quality and control costs.
Subscribe to DTC Newsletter - https://dtcnews.link/signupIn this episode, we sit down with Nick Saltarelli, co-founder of Mid-Day Squares — one of the most disruptive brands in functional CPG. Nick dives deep into how they broke a Costco sales record, built a new refrigerated snack category in mass retail, and fought margin collapse during a global cocoa crisis.🔑 In this episode, you'll learn:How Mid-Day Squares turned 13-day roadshows into viral brand momentsThe radical way they use Bitcoin and WhatsApp to source cocoa and slash costs by 35%Why ChatGPT is now a core operational layer in their businessThe book that changed Nick’s thinking about retention and customer acquisition foreverWhat it really takes to scale a manufacturing operation to serve Costco and the U.S. marketThis is a tactical, no-BS episode for operators who want to break molds, not just grow linearly.Timestamps00:00 - How Bitcoin Supercharged Mid-Day Squares’ Supply Chain02:00 - Breaking Costco Records With Community-Powered Roadshows06:00 - Creating a New Product Category in Costco's Refrigerated Section08:00 - Cocoa Crisis and Vertical Supply Chain Innovation12:00 - Using WhatsApp and Bitcoin to Revolutionize Global Sourcing16:00 - Why Mid-Day Squares Doesn’t Hold Bitcoin — But Trades With It20:00 - Scaling Production to Meet Massive Costco Demand24:00 - Understanding the Global Cocoa Price Surge28:00 - How AI and ChatGPT Are Embedded Into Daily Operations32:00 - Breaking DTC Marketing Myths With “How Brands Grow”Hashtags#middaySquares #DTCmarketing #CostcoLaunch #BitcoinSupplyChain #CPGfounders #CocoaCrisis #VerticalIntegration #ChatGPTforBusiness #ByronSharp #HowBrandsGrow #DirectToConsumer #AIi
Instead of traditional sales pitches, create viral brand moments at retailers through 'community-powered roadshows' to break sales records, as Mid-Day Squares did at Costco.
What does this episode say about retail & omnichannel?
Implement a 'Bitcoin supply chain makeover' by using Bitcoin for global sourcing and WhatsApp for direct communication to reduce costs by up to 35% on commodities like cocoa and combat margin collapse.
What does this episode say about supply chain & operations?
Integrate AI, specifically ChatGPT, as a core operational layer for tasks like content generation, data analysis, and workflow automation to improve efficiency across the business.
What does this episode say about ai & automation?
To succeed in mass retail, focus on creating and owning a new product category within a retailer like Costco, requiring significant consumer education and demonstration.
What does this episode say about dtc strategy?
Scale manufacturing operations strategically to meet the demands of major retailers, emphasizing vertical integration and robust supply chain management to maintain quality and control costs.