Lessons for retailers on growth by design
Depending on your age and stage of life, whether you are a wellness warrior, the worried well or the well wannabe, you would be living under a rock if you hadn’t felt the excitement around Moodi here in NZ. Moodi has taken social media by storm, constantly filling my Insta, Facebook, and TikTok feeds with its vibrant, functional wellness products.
And as I sit here sipping on my Moodi Functional PM Hot Chocolate (which regularly gets SOLD OUT aka scarcity model)…... and on “good days” my afternoon includes my Moodi Functional Protein Blue Vanilla (it’s so aesthetically pleasing) you cannot but admire this meteoric rise.
In just two years, this New Zealand-born brand has transitioned from a niche startup to a powerhouse in the wellness market, with its most recent explosion in popularity credited to the launch of its Pre + Probiotic Sodas. The secret to Moodi's spectacular growth lies not just in the product itself but in how the brand has masterfully designed its growth. By leveraging customer advocacy, co-creation, and strategic brand alignment, Moodi offers a masterclass in growth by design that every retail and business owner should pay attention to.
Back to the beginning
The idea for Moodi was born out of a deeply personal journey experienced by its founder, Kate Gatfield-Jeffries, during her time at Law School. Juggling the pressures of study, part-time work, and other commitments, Kate found herself mentally burnt out and struggling to prioritise her well-being (sound familiar?).
Frustrated with the conventional approach to mental wellness supplements—often uninspiring capsules that delivered minimal results—she envisioned a new way to support mental health. Inspired by her passion for empowering women to feel their best and a desire to elevate self-care into a daily ritual, Kate set out to create delicious, crave-worthy blends that seamlessly integrate into everyday routines. This vision became the foundation of Moodi, a brand dedicated to enhancing mental well-being through scientifically effective yet enjoyable supplements.
Today, Moodi not only addresses stress, sleep, and energy needs but also pioneers the gut-brain connection, redefining how people approach holistic wellness.
Growth by Design
While I imagine that much of Moodi's meteoric rise is driven by the intuition and passion of its founders, their success is no accident. They have held an unwavering vision and placed their customers at the heart of every decision—a deceptively simple strategy that is often easier said than done. This commitment to customer-centricity has been the cornerstone of their growth, even as they navigate the complexities of scaling a startup. It sounds obvious, yet the balance between commercial viability and maintaining a genuine connection with customers is a delicate tightrope that many growing businesses struggle to walk. Moodi has managed to not only walk this tightrope but to thrive on it, offering valuable lessons for retailers on how to design growth with purpose and intention. So let’s break it down.
Building advocacy through co-creation
Moodi didn’t just build a product—it built a community. The brand's rise is rooted in a deep understanding of its target audience's needs and a willingness to allow customers to shape the brand narrative. This is evident in their recent product extension, the Pre + Probiotic Sodas, which were co-created with customers who influenced everything from flavour selection to distribution strategy.
How did they do it?
💥 First they got their customers involved in developing the products through flavour selection. They already had people hooked on the products you could make at home…..but what if you could also support your gut on the go. As simple as opening a can of goodness.
💥 Then they got the product into customers hands – they gave away 50,000 cans and customers became obsessed – wonderful young things where waxing lyrical all over the web – everywhere.
💥 Then they mobilised their advocate warriors by asking for their help to get the product listed at their local Foodstuffs supermarket. Providing how to lobby their local store - through a simple email and clicking a few links and “asking for the product yourself.” Genius! And even one better….they gamified it. The more you did the more entries you got into winning a month’s supply of the good stuff.
💥 Then the magic happened
And the best part…..customers agreed to limit product so everyone could share the goodness as they ramp up production.
This approach demonstrates the power of brand advocacy—turning customers into evangelists who do the heavy lifting for you. Moodi's community actively contributes to product development and scarcity narratives, a strategy that not only drives demand but also builds brand loyalty.
You could argue that wellness and gut is having a moment but seriously, no one has seen product mobilisation like this since Lewis Road Creamery Chocolate Milk had line ups at supermarket. There are some wonderful retail lessons in this to unpack.
Retail Lesson #1: Customer-Centric Realignment
Retailers can learn from Moodi’s customer-centric strategy by embracing co-creation and feedback loops. Growth by Design means brands must realign their strategies around evolving customer values. By involving customers in the product creation process, retailers can enhance brand loyalty, increase advocacy, and reduce marketing costs.
Takeaway: Leverage user-generated content and advocacy to build trust and credibility. By empowering customers to shape the brand story, you not only create loyalty but also tap into organic growth channels. Talk with them not at them.
Scarcity as a Strategic Growth Lever
Moodi has mastered the art of scarcity, transforming product shortages into marketing gold. The brand's functional hot chocolate and blue vanilla protein are frequently sold out, creating a sense of urgency and exclusivity. By allowing customers to control the narrative around scarcity, Moodi taps into a psychological phenomenon known as FOMO (Fear of Missing Out).
Nick Ward explained this unique approach on his LinkedIn post:
“Our customers voted to implement a purchase limit of 1 can per flavour at checkout to give more people a chance to try them.”
By involving customers in decisions about stock limitations, Moodi created a sense of community ownership and heightened desire, ensuring rapid sell-outs and sustained buzz.
Retail Lesson #2: Purpose-Driven Prioritisation
Scarcity, when executed with purpose, can enhance brand equity and drive growth. In my other piece around Growth by Design, I emphasise the importance of purposeful brand alignment with customer values. Moodi’s scarcity model not only drives sales but also aligns with its brand ethos of authenticity and community.
Takeaway: Use scarcity strategically to create buzz and exclusivity, but align it with your brand purpose to avoid backlash. Make customers feel like insiders, and they will reward you with loyalty and advocacy. PS. There is a chance they are just carefully managing the money and they are seriously running out. But I imagine it’s a combination or both. Clever clogs.
The Power of Emotional Connection and Storytelling
Moodi isn't just selling wellness products; it's selling a lifestyle. The brand's success is rooted in its emotional connection with consumers, particularly women seeking to elevate their mental well-being. The founder’s story resonates with a generation navigating stress, burnout, and wellness challenges.
Kate Gatfield-Jeffries, Founder of Moodi, shared her vision in an article I read online:
“Moodi is the culmination of my lifelong dream to become an entrepreneur and my passion for elevating women to feel their best... I was searching for something that could easily fit into my routine to support my mental wellness.”
This personal narrative creates an emotional bond with consumers, making Moodi more than just a product—it's a trusted companion on the wellness journey.
Retail Lesson #3: Brand Advocacy Through Emotional Connection
Moodi’s approach underscores the importance of moving beyond transactional relationships to emotional connections. Moodi has done this by sharing a relatable story, creating products that address genuine pain points, and positioning itself as a champion for mental wellness.
Takeaway: In an age of social media and digital storytelling, brands must cultivate emotional connections with customers. Craft compelling narratives that resonate with your audience’s values and lifestyles to transform customers into brand advocates.
DESIGNING GROWTH WITH STRATEGIC ALIGNMENT
Moodi's meteoric rise isn’t just about great products; it’s about strategic alignment. From product innovation to community engagement and scarcity narratives, every aspect of Moodi’s strategy is aligned with its brand purpose: to enhance mental well-being through functional wellness products.
The secret to sustainable growth lies in strategic alignment—prioritising initiatives that create the most value for customers and align with the brand’s purpose. Moodi does this by:
Product Innovation Aligned with Customer Needs:
Launching products that solve real pain points, such as stress relief and better sleep.
Continuously innovating with customer feedback to stay relevant.
Community Engagement and Co-Creation:
Building a community-driven brand where customers feel like co-creators.
Encouraging advocacy through user-generated content and authentic storytelling.
Purposeful Scarcity and Exclusivity:
Strategically leveraging scarcity to drive demand and maintain exclusivity.
Aligning scarcity with community values to enhance brand equity.
For retailers and brands navigating the complexities of 2025, the lesson is clear: growth is not just about doing more; it’s about doing the right things better. In this new era of retail, success belongs to those who can strategically align purpose, product, and community to create meaningful connections and sustainable growth.
Well done to the team at Moodi. You guys rock and it’s been a delight watching you and drinking your product
PS. We have never met the Moodi team other than connecting on LinkedIn and following on the socials. All product has been paid with our hard earned cash and this is 100% personal perspective on the lessons to be learned – in case you were wondering.
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