Online classes have been growing like kudzu for years, but 2020 has given them an extra boost.

Many CPG brands are perfectly positioned to get in on the game, but only a few are taking advantage right now.

Masterclass, which has raised over $240 million in capital and indicated getting around $70m in revenue back in 2018, has classes on a wide array of useful, and not so useful skills.

The platform runs ton of commercials promoting Bobbi Brown's class on makeup, and offers ten different food related classes.

But education isn't the natural inclination of most product brands. It's a whole different kind of product to create, launch, and maintain. Having more in common, in many cases, with the SaaS or B2B space than DTC B2C.

That's ripe for disruption though, and it could be in the future that every online purchase comes with a class on how to use the items.

THE PERSONAL BRAND:

Candace Nelson - Pie Pop-Up

Candace Nelson is bets known as the founder of Sprinkles cupcake, the chain that helped build the early 2000's cupcake craze with press-grabbing innovations like cupcake vending machines.

Her latest quick serve venture is Pizzana in Los Angeles.

Nelson is also a resident judge on Netflix' Sugar Rush, now in its third season.

Throughout quarantine, Nelson leveraged Instagram by hosting live cooking and baking chats with other celebrities like Reese Witherspoon.

She's also been actively building her own personal brand email list, with opt-ins like the "which cookie are you?" personality quiz. (I'm a gingersnap.)

Now, Candace is officially breaking into online education with a pie baking class. Full disclosure: I'm on the waitlist.

THE IN-PERSON CLASS COMPANY:

Zingerman's Bake! - Online Baking Classes

Zingerman's, the family of food businesses in Michigan, has been running Bake!, an in-person baking class business since XX Usually, eager home bakers flock to their Ann Arbor campus for half-day-, full-day, and multiday classes.

This year, the entire co-op took a devastating hit as restaurants, travel, and gatherings were shut down. Only the mail order branch managed to grow.

So, as so many resourceful leaders have, each business unit looked for a new angle - any pivot that would allow team members to stay at work.

One obvious opportunity: virtual baking classes. You can now sign up for classes in everything from bagels to pizza to baking with tahini.

THE LOCAL MARKET:

Caputo's Market - Cheese and Chocolate Classes

Caputo's has been serving imported foods in Salt Lake City for decades. As their brand story states, "Over the years, our purpose has become clear. We have a responsibility to preserve and protect food items of unique provenance. In the face of an increasingly homogenized, mass-produced, and genetically engineered agricultural system, we continue to fight for time-tested culinary traditions, for artisan spirit, and for authentic flavor."

As a local hometown business with a few shop locations, the leadership has always placed an emphasis on personalized service, and a willingness, or rather, priority on chatting about food and answering questions for customers.

Now, for under $100, foodies from anywhere can get the same access to expert advice and a guide to enjoying the fine imported foods. Their cheese and chocolate classes have been especially popular, and work well as a quarantine date night.

THE DTC BEAUTY BRAND:

Olive & June Nail Bootcamp

Olive and June is the brainchild of Sarah Gibson Tuttle, a wall street trader with a love for great manicures. O&J started as a salon and has blossomed into in Instagram and influencer-driven DTC nail polish brand.

Tuttle, or SGT as she's known within the brand, has always been looking for ways to make nail polish easier.

While many women start painting their nails as young girls, many never reach a level of confidence in applying precise coats. So O&J introduced The Poppy - a disc that fits on the lid of polish bottles, making them easier to handle. It's a bit like bumpers on bowling lanes - an extra assist for the polish-challenged among us.

As consumer brands quickly realize, new products are useless if ordinary people can't figure out how to use them. To get repeat customers, you need a good product that's easy, or at least possible, to use well.

So Olive & June has three different options listed under the "Learn to Mani" menu on their site:

- Olive University a neatly organized repository of videos, text answers to FAQs, and photo tutorials for the basics of a good manicure.

- Mani Bootcamp is a live training series that happens on Instagram every few weeks. Customers are urged to purchase a full kit in advance, so they have all the supplies ready for their Insta live lessons.

- Mani Masterclass offers more in-depth live video classes tailored for beginner, intermediate, and advanced nail painters.

THE LEGACY MALL BRAND:

Product-focused classes

Older beauty brands are getting in on online education, too! Skin care lines can be overwhelming for consumers - anything beyond a basic moisturizer and cleanser can feel confusing - which goes on first - toner or eye serum? Acne spot treatment or vitamin mist?

Origins offers an array of live online classes ranging from an intro to the line, to masking.

Some of their descriptions seem more like infomercials, than truly educational classes. But in an era when consumers are less likely to linger in mall cosmetic departments, and samples are less common, customers could be hungry for this kind of sales pitch.

THE TAKEAWAYS

Use the data you already have from chat logs, customer service tickets, and social media comments to choose your topics.
Choose a monetization strategy. Olive & June and Origins' classes are all free. Zingerman's, Caputo's (and likely Candace Nelson) all charge for their classes. Price is a function of supply an demand, but you also need to think about how online education fits into your sales funnel. There may be a great case to write off classes as part of your marketing budget - making it easier for customers to make their first online purchase, or encouraging product use and re-purchase.
Find the format that fits your audience. If all your best customers are used to interacting with brands on Instagram, then it makes sense to host your sessions there. Some types of education benefit from more formal class platforms.
Keep it simple to start. Don't overthink the leap into online education. Test concepts with Instagram lives, or by translating one of your most popular in-store demos or classes to an online format.
Make sure you have the right team in place. There's nothing worse than a dry webinar. Give your team the support and resources they need to create engaging experiences.

Launching a class takes strategy, planning, and resources. Once you’ve invested in creating online education resources, the next step is getting the word out. I’d love to help you create the launch strategy and funnel messaging. “If you build it, they will come” is simply not true - you’ve got make it easy for customers to see the value and make the decision to sign up. That’s really what conversion copywriting is all about! If this sounds interesting, let’s talk more about your project. Click here to get in touch.

5 Food & Beauty Brands Making Money with Online Classes