A Better Lemonade Stand #323

💛 Sponsor

Omnisend analyzed 23+ billion emails to uncover the following:

• Top 10 most-used emojis (Time for a refresh?)

• Most-mentioned artists (Taylor, Drake, or Beyoncé?)

• Cats vs. dogs vs. chickens: inbox animal showdown

• Pop culture: TV, movies, and sports in emails

• Overused phrases and “oops” moments

Discover 2024’s trends and what’s next for 2025!

📈 Trends

🚩 Lean, Mean, and Disrupting the AI Scene

China has been responsible for significant AI disruption plays over the past week.

While OpenAI spends hundreds of millions building its models, DeepSeek is creating GPT-4-level models for just $5.6 million. 

And they aren’t stopping there. ByteDance(TikTok’s parent company) just dropped Trae IDE, an AI-powered IDE (AI Coder) offering GPT-4 for free.

China’s approach shows that efficiency beats extravagance—proving you don’t need deep pockets to outpace industry giants. Sometimes, lean and clever wins the race.

Let’s dive into how these tools are changing the game—and why they’re essential for you as an entrepreneur.

DeepSeek: AI That Redefines Affordability

This tool has been making waves the past week for all the right reasons.

While OpenAI and Google are burning through billions to stay on top, DeepSeek quietly dropped a model that’s just as good as GPT-4—but with one key difference:

It’s 96.4% cheaper.

They streamlined Everything. Instead of running trillions of parameters, DeepSeek’s system “wakes up” only the ones it needs.

• Affordable Usage: DeepSeek processes data for just $2.19 per million tokens, compared to $60 with OpenAI.

• Open-Source Accessibility: DeepSeek’s models are open to anyone, allowing startups and small businesses to customize and deploy AI without restrictions.

Entrepreneurs are already leveraging DeepSeek to help with coding tasks, too:

• Build Search Engines in Hours: One user created a Perplexity-style search engine using DeepSeek’s Reasoner in just two hours. (Watch the demo: YouTube)

• Create Dynamic 3D Games: Built full 3D games that generate assets on the fly, pushing the boundaries of real-time AI applications. (See it here: Reddit)

Imagine using DeepSeek to create AI-driven features like personalized customer support or automated sales analysis for your business—at a fraction of the cost.

With open-source and affordable tools like these, you no longer need a big budget to access world-class AI.

The Rise of Trae: TikTok’s Gift to Developers

Trae is not just another coding tool. It’s a free coding assistant that builds, fixes and improves your projects on a Mac in real time.

Imagine Cursor or VS Code, but free, powered by AI, and weirdly… good.

Here’s What Makes It a Standout:

• Free Access to Claude 3.5 Sonet and GPT-4: Competitors charge $0.30+ per request. These guys integrate these models at no cost, without a catch (yet), to help you build more intelligently and faster. 

• Agent-Based Collaboration: Forget fumbling around with which AI model to use. Trae automatically selects the best one for your project, letting you focus on building rather than micromanaging.

• Simplify Complex Tasks: Create interfaces or generate backend logic in minutes (some technical skills needed).

Coders are already raving about its capabilities:

• Creative Understanding: When tested on a project to extract the most common edge pixel color from an image and auto-generate a background, Trae nailed it on the first try—a task where other AI editors consistently struggled

• Screenshot to App: It whipped up a functional Twitter-style clone with mock data and accurate design elements.

Yes, it’s free—for now. But just like TikTok, ByteDance knows how to capture the market before turning on monetization.

Their strategy isn’t just about launching tools—it’s about building entire ecosystems.

Final Thought:

The age of billion-dollar models is coming to an end.

DeepSeek symbolizes a future where intelligence and reasoning become almost free, making high-level AI accessible to everyone.

DeepSeek’s open-source approach challenges the closed ecosystems of US tech giants.

And the rise of affordable AI tools means one thing: excuses are running out.

• Want to build an app? You can now train a model for $5M with global usage, not $500M.

• Think AI tools are too expensive? These tools just gave you free access to AI.

• Tired of the Silicon Valley gatekeepers? Open-source models are leveling the playing field.

But where will our world be when everyone can access these powerful tools for free?

💡 Insights

📉 HubSpot's SEO Crash: Lessons for Entrepreneurs

HubSpot’s blog (long served as the B2B content marketing gold standard) saw its organic traffic nosedive by 36% in December 2024, dropping from 13.5M to 8.6M visitors.

Here’s what went wrong—and what it teaches us about adapting.

What Happened?

1. Overreliance on "SEO-First" Content: HubSpot filled its blog with high-traffic but low-relevance content, like “Shrug Emoji” and “Famous Quotes.” These drew readers but lacked depth or alignment with HubSpot’s business focus, making them targets for Google’s updated "helpful content" algorithm.

2. Algorithm Updates: Google’s December 2024 core and spam updates cracked down on content aimed at gaming rankings rather than serving real user needs. HubSpot’s high-level informational content without strong topical authority took the most brutal hit.

3. Shift in Competitors: Relevant, authoritative sources like Microsoft, Adobe, and Zapier then captured the queries HubSpot lost, proving the value of staying in your lane and showcasing true subject matter expertise.

👉 Get the Full Case Study Here

📬 How Naptown Scoop Grew to 21k Subscribers

Building a local newsletter? Take notes from Naptown Scoop’s strategy from this in-depth case study of their journey to 21k subscribers:

• Facebook Ads: The MVP. With precise geographic targeting, Facebook ads were their primary growth engine—costing roughly $1.50/subscriber. The secret? Target middle-aged women who resonated with the newsletter’s “locally-owned” personal branding.

• Organic Strategies Matter: Sharing in local Facebook groups and subreddits brought 600+ subscribers in a weekend. However, these online communities quickly burnt out on self-promotion.

• Instagram as a Revenue Stream: Beyond growth, Instagram attracted local advertisers, doubling as an audience-engagement tool and monetization platform.

👉 Read the Full Case Study Here

🎯 $250K in One Year: Ben’s Playbook for AI Influencer Success

Ben turned two AI-powered Instagram influencers, Emma and Jade Laui, into a six-figure business using Fooocus and RunDiffusion.

Here’s How:

• Narrative-Driven Growth: By creating a family dynamic (Emma and her "mother," Jade), Ben added a layer of storytelling that captivated audiences and kept them engaged.

• Monetization Strategies: Ben funneled followers to subscription platforms like Patreon and Fanvue, offering exclusive, tiered content that built a loyal paying audience.

• Staying Organic: No spam tactics or shortcuts. Ben focused on consistent, high-quality posts to drive genuine engagement and hit Instagram’s Explore page.

👉 Explore Ben’s Insights Here

🖌️ Hacking MidJourney to Create Facebook Ads

Rory Flynn cracked how AI scales creativity, showing how MidJourney can make ad creatives that don’t look like AI gimmicks.

• AI as Your Creative Partner: By combining MidJourney for visuals, ChatGPT for copy, and Figma’s CopyDoc for templates, Rory’s team generates 1,000 ads in under an hour.

• Efficiency Meets Innovation: His workflow slashes production time by 65%, turning single assets into scalable ad sets for localization and testing.

• Stand Out, Stop the Scroll: Tools like Magnific (AI Upscaler) and Runway (motion effects) ensure your creatives grab attention without compromising quality.

👉 Watch the Full Session Here

🧰 Apps & Tools

 🐈 CopyCat: Turns your browser tasks into hands-free workflows using prompts and screen recordings. ( A free ChatGPT Operator alternative)

🎙️ Artlist: Find your best AI voices for your videos in multiple languages and accents.

✍️ WePost: All-in-one AI content manager where you can type to generate visuals, repurpose content, and schedule content.

📊 GraphThem: A perplexity AI search alternative that gives you a news brief with visuals instead.

🤳 MakeReels: Automate Instagram visuals and voiceovers by just describing the post.

Check out these custom GPTs (if you have the paid ChatGPT) that’ll elevate your content creatives:

🖍️ Sketchy: Turn your words into black-and-white sketches that bring your ideas to life. Perfect for giving your newsletter a minimalist, hand-drawn vibe.

🌀 Whimsical: Build visual explainers like flowcharts and mind maps your readers will get.

🤖 Product Updates

👷‍♂️ Meet the New Website Builder

Beehiiv just leveled up. Their new website builder is a sleek mix of flexibility, power, and creativity. It’s only available for Max and Enterprise plan Users, and the Max plan can get pricey as your subscribers grow.

• Build Without Limits: Drag and drop sections, widgets, and animations using Typedream’s abilities. From custom landing pages to welcome flows, the builder puts you in control of your entire site’s vibe.

• Beta Access Only: Currently, The tool is exclusive, so only power users are testing it. Consider it the VIP lounge—worth the price if you’re all-in on growing your brand.

• Quick Start, No Fuss: Pick a template, choose a theme, adjust fonts, and go. Websites are built in minutes, not weeks.

👉 Here’s How to Use the Builder

🌐 Your AI Assistant That Gets Things Done

OpenAI’s Operator redefines what AI can do. This agent doesn’t just generate ideas—it takes action and handles unexpected challenges with ‘a human touch.’

Need an Airbnb booked? Is a table reserved? The Operator navigates websites, types, clicks, and scrolls like humans without APIs or manual effort.

Curious? Check out nine examples of Operator in action.

Currently in beta and exclusive to ChatGPT Pro users ($200/month) in the US, it’s not flawless yet—it struggles with complex tasks like managing calendars—but early benchmarks show it’s pretty far ahead of competitors.

These AI advancements are just a glimpse into what I highlighted in a previous trend report.

👉 Watch the Demo Here

🎥 Major AI Video Updates You Need to Know

1. Cing’s Image Fusion: Combine up to 4 images (characters, objects, or places) into a single video. I noticed that results still struggle with character consistency. Currently in beta for Creative Partner users.

2. Runway’s Cinematic Generator: This tool creates cinematic images with presets and converts them into videos. It is perfect for quick concepts or b-rolls but lacks consistent character in painting.

3. Korea’s Real-Time 3D Tool: Turn flat images into 3D models, adjust compositions, and build scenes in real-time, a game changer for advertising pitches.

👉 Get All AI Video Updates Here

🖇️ Everything Else

📉 Drastic SEO Changes: Google’s Core Updates and AI overviews signal a significant shift in SEO, with HubSpot’s traffic drop as a clear example that no one is safe. (🔗 See Hubspot's Traffic Drop)

🤖 AI Coder Rankings: For non-tech users, Bolt and Lovable are simple. Cursor and Windsurf give devs complete control. Replit and Tempo Labs excel in collaboration. (🔗 Find Your Perfect Match)

📉 The Rise and Fall of RedNote: Following the TikTok ban announcement, RedNote gained 32.5M daily users but lost 54% in a single day after officials paused the ban—highlighting the volatility of social media trends. (🔗 Get the Full Breakdown Here)