The Billion Dollar Business of Lying to Children

Santa is fake… but parents still spend billions pretending he’s not.

And that single fact creates an entire annual economy that’s equal parts hilarious, uncomfortable, and wildly profitable.

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Show Notes

This episode starts as a Christmas rant (the kind that’ll get you uninvited from family dinner) and accidentally turns into a masterclass in how markets form, how people pay for emotion, and how you can build a business by selling convenience + belief reinforcement.

Below are the most actionable business takeaways and founder-level lessons pulled straight from the transcript:

The “Lie” Isn’t the Point. The Emotion Is.

Here’s the core truth hiding underneath all the Santa insanity:

People don’t pay for Santa.

They pay for:

  • Magic (for the kids)

  • Relief (for themselves)

  • Convenience (because they’re exhausted)

  • A tradition they feel judged for breaking

  • A way to outsource authority (“Santa says you’re naughty, not me”)

Customers rarely buy the product. They buy the feeling the product creates.

If you build businesses, this should snap your brain into place because it applies to everything:

  • fitness offers (identity + hope)

  • business coaching (certainty + status)

  • home products (control + comfort)

  • parenting products (peace + validation)

Santa just makes it obvious because it’s so absurd.

 

Don’t Build for Logic. Build for Human Behavior.

The episode nails something most founders ignore:

Parents will pay strangers to lie to their kids.

Read that again, slowly…

They’ll pay:

  • a mall Santa

  • an app

  • an AI video

  • fake evidence kits

  • “reindeer food” (oats + glitter)

  • a key for a chimney that doesn’t exist

So if you’re building a business and your biggest question is “but does this make sense?”…

you’re pointed in the wrong direction.

The market doesn’t care if it makes sense. The market cares if it works.
(In this case, “It works” means: makes parenting easier, reduces stress, creates a cute photo, maintains tradition.)

Seasonality + High Urgency + High Emotion = Massive Profits

These ideas cluster around a specific business profile:

  • Short season (4–8 weeks)

  • High urgency (“Christmas is coming”)

  • High emotional spending

  • Low buyer rationality

  • Repeat purchase every year

  • Social sharing built in (photos, videos, certificates)

If you’re looking for business opportunities, this episode is basically yelling:

“Build something that rides emotion + tradition.”

Because Amazon can ship a toaster.

Amazon can’t ship Christmas magic.

Here’s a killer business idea just waiting for someone to action it…

“Text Santa All Year” App 

Kids text Santa year-round. AI responds. Remembers context. Then parents get a report on December 1. Instant shopping list and maintains the magic for kids.

Monetization stacks instantly:

  • subscription ($10–$20/mo or $100/yr)

  • affiliate links (“Here’s the shopping list”)

  • upsells (personalized video, certificates)

  • data insights (what kids ask for)

Founder caveat: if you go anywhere near kids + data, you need to treat privacy, consent, and compliance as non-negotiable. This isn’t optional.

But as a pure business concept?

Yeah, this is the most scalable thing in the whole episode.

The Actual Playbook This Episode Accidentally Teaches

If you want to build a business from ideas like this, here’s the formula:

  1. Find a lie people already want to believe

  2. Build a product that makes it easier to believe

  3. Add convenience so the parent does less work

  4. Add personalization so it feels “real”

  5. Add shareability so customers market it for you

  6. Add recurring revenue or annual repeat loops

  7. Expand beyond the season once you own distribution

That’s it. That’s the blueprint.

Timestamps

00:12 — Christmas rant

03:01 — Thanksgiving and Christmas in America compared to Australia

08:12 — The “Santa Industrial Complex”

12:44 — Christmas photos with Santa

18:52 — Digital Santa manipulation

26:26 — Reindeer rentals are real?

34:50 — New business ideas for Christmas?

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