Sunday Service: Underserved Markets and Distribution Lessons from Rapman
A Netflix superhero show set in South London, not far from where I live, has seized the imagination of audiences and revitalised a tired genre.
Filled by a primarily black cast, Supacell follows the journey of five characters whose parents either had sickle cell disease or its dormant form, known as sickle cell trait. However, what appears to be a health disadvantage mutates into superpowers1, thrusting the lead characters through a classic hero’s journey but with a South London twist.
Supacell became a number one show in the Netflix global top 10 within weeks, and I thoroughly enjoyed it despite my initial scepticism. Just as impressive is the show’s creator, Rapman, who started his directing career with short films on YouTube.
Rapman appeared on the Breakfast Club show a few weeks ago, so I tuned in to learn more about his story. With my VC hat on, I couldn’t resist picking up lessons relevant to early-stage investors. Here are some of the gems.
The power of underserved markets.
How many superhero shows are set in South London with black lead actors? Until Netflix funded Supacell, there was nothing like it. And even though the show is set in a black community, it still has global appeal and has already racked up 30m+ viewing hours.
It’s worth highlighting that Supacell was commissioned by Anne Mensah, a black executive who previously held leading content roles at the BBC and Sky before joining Netflix. Her contribution to greenlighting Supacell is a testament to the value of having key decision-makers from all parts of society.
Investors can draw lessons from this. Although the venture industry isn’t as diverse as it could be, many firms and organisations are trying to change that. In addition, there are many examples of startups creating significant value across underserved segments, including unicorns like CityBlock Health, led by co-founder Toyin Ayaji; Marshmallow Insurance, led by twin brothers Oliver and Alexander Kent-Braham; and Zipline, led by co-founder Keller Rinaudo Cliffton.
Unlocking and amplifying distribution power.
“I was just like every other guy in South London trying to rap,” says Rapman. “I started doing these short films; they were like musically narrated short videos. I was doing it for years for fun, for people in my neighbourhood. And it just started growing and growing until I done one called Shiro Story that went viral.”
Years of work established a YouTube following and audience for Rapman’s content that eventually “opened every door,” as he recalls in this interview. So, as it turns out, Supacell’s viewing figures are not an overnight success. Rapman’s existing fanbase amplified Netflix’s distribution power, surpassing what’s possible with a YouTube show.
Timing is everything.
Netflix shows like Top Boy paved the way for Supacell. UK black culture has also spread across the Atlantic, with more black actors and musicians doing well in the US. This means that UK content can more easily have cross-cultural appeal.
Rapman recognises his luck. “I believe everything’s timing in life, and I feel like this was the perfect time,” he says of his latest venture into the American market.
The lesson for investors here is already well-trodden. For instance, YouTube launched just as broadband internet started to replace its slower “dial-up” alternative. The platform succeeded where others failed because the infrastructure timing for faster video uploads and downloads was just right. Other startups like Pseudo, which launched a decade earlier with $30m+ in VC funding, never made it.
Investors must also consider why “now” is the perfect time to invest in something new. Although it’s impossible to engineer the perfect conditions for an investment, knowing when to set sail determines how likely you are to reach your destination.
Sickle cell trait does have a real superpower of sorts. Scientists have found that people with the sickle cell trait have a roughly 40% lower chance of contracting mild clinical malaria compared to people without the trait.