Latest / The Inspired Stories Podcast / Clean Labels and Clear Vision: Brian Fox on Responsible Food Manufacturing | Manufacturing Series
Transcript
- 0:04Welcome to another edition of Inspired Stories, where leaders
- 0:07share their experiences so we can learn from their successes,
- 0:10how they've overcome adversity, and explore current challenges
- 0:13they're facing. Welcome to another edition of
- 0:18the Inspired Stories podcast where leaders share their
- 0:21experiences so we can learn from their successes and be inspired
- 0:24by how they've overcome adversity.
- 0:26My name is Anthony Kotaspodi and today's guest is Brian Fox, CEO
- 0:31of Richelieu Foods, a private brand and contract packing food
- 0:35company that was founded all the way back in 1862.
- 0:39It has a rich history in producing retail frozen and deli
- 0:43pizza. They are widely known in the
- 0:45food and supermarket industry for their superior array of
- 0:48private brand products. Headquartered in Illinois with
- 0:52three manufacturing facilities across the Midwest, they are an
- 0:55equal opportunity employer who does not discriminate.
- 0:59They also provide reasonable accommodations to disabled
- 1:02individuals. Brian himself has a long and
- 1:05storied career in the food business.
- 1:07He's been involved in providing nourishing food at a variety of
- 1:10companies going all the way back to the early 90s.
- 1:13He has proven himself as a skilled operator and someone who
- 1:16can turn around a struggling business.
- 1:18But what really gets him excited is being able to introduce
- 1:21helpful innovations and improvements to the food
- 1:24industry. And we'll get to hear some
- 1:26examples of that. Now before we get into all the
- 1:28good stuff, today's episode is brought to you by my company,
- 1:32Add Back Benefits Agency, where we offer very specific and
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- 1:41One recent client was able to add over $900 per employee per
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- 1:47programs. Results vary for each company
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- 1:52To find out if your company qualifies, contact us today at
- 1:54AD back benefitsagency.com. Now back to our guest today, the
- 1:59CEO of Rishaloof Foods, Brian Fox.
- 2:01I appreciate you making the time to Share your story today.
- 2:05Well, thank you for having me, Anthony.
- 2:07I'm I'm looking forward to, to talking a little bit about our,
- 2:11our company and, and the things that we've been able to achieve
- 2:14and, and frankly my passion for the food business.
- 2:16I love it. It's just it's so much fun.
- 2:19It is so dynamic. I don't know anybody that has
- 2:25been in the food business, which some people kind of go, that
- 2:28sounds a little boring. It's not as sexy as developing a
- 2:31new app or, or something else. But to me it, it touches people
- 2:36every single day in every single household in in the US and
- 2:42that's kind of hard to be. So that's part of what makes it
- 2:45fun for me. That's really cool.
- 2:49Yeah. You've had already a long and
- 2:51storied career in the food manufacturing space going back
- 2:56all the way to 1990. So we're looking at 34 years.
- 2:59So I want to break this first question into two parts.
- 3:03First of all, what drew you into the food industry in the 1st
- 3:07place? And then second part is what led
- 3:11you to Richelieu in particular. Great.
- 3:15Great question. Thanks.
- 3:17Look, I will tell you what grew me into the food business in the
- 3:201st place is really, really simple.
- 3:22I needed a job and as, as I was graduating, you know, I, I grew
- 3:29up in North Carolina, you know, to, to hard working parents and,
- 3:35and they kind of put the, the standard for me said, OK, when
- 3:39college was over, you know, the, the nest is, the nest is empty.
- 3:43So you need to make sure that you're working hard to get, get
- 3:46something in place for you. And the, the thought of it was,
- 3:50was kind of a crazy story. And I'll tell you that.
- 3:53And I was, I went to UNC Charlotte, a great school in
- 3:58part of the UNC school system in Charlotte, NC.
- 4:03And I got the job through an on campus interview and I was sick
- 4:08as a dog. I was just, I felt terrible.
- 4:12I called up the job placement. I had signed up.
- 4:16I signed up for as many interviews as people would talk
- 4:20to me. So I kind of was like, OK, the
- 4:22more I do interviews, the better I will be at it.
- 4:25So I will talk to as many people that will talk to me.
- 4:28And that was kind of my mindset because I thought I can learn in
- 4:32the process and and hopefully improve.
- 4:36And you kind of, you know, you reflect on an interview and you
- 4:38kind of go, well, we could have done that differently.
- 4:40But anyway, that was kind of the mindset.
- 4:42So I was terribly, terribly sick.
- 4:45I called the campus interview office up and I said, look, I
- 4:47cannot make the interview today. I could barely get out of bed.
- 4:51And they were like, OK, well, here's the deal.
- 4:53You're going to have to write a letter to the Dean.
- 4:55You're going to have to apologize to the company you.
- 4:58And by the way, we may pick you out of the process to where you
- 5:02can't do anymore on campus interview.
- 5:05And I was like, Oh my God, you have to be kidding me.
- 5:08So I was like, I, I struggled, you know, to pull myself
- 5:12together, put, put on a suit, went to the went to the
- 5:16interview and, and, and did the interview and literally went
- 5:20back to the, my apartment and went right back to bed.
- 5:24And I think I ended up and missed about a week of school
- 5:26because I was just, I was terribly sick.
- 5:30And lo and behold, the next day they called me up and said, Hey,
- 5:33we're, we're still in town. We'd like to spend another, you
- 5:37know, hour or two with you. And so again, I still feel
- 5:39horrible. Got up, went to the interview
- 5:42and, and, and that was the start of being in the food business.
- 5:46You know, it, it was a company that I'd never heard of in, in
- 5:50North Carolina called Great Lakes, please.
- 5:52And I kind of thought, OK, food companies, you know, as, as you
- 5:56interview with them, you, you learn a little bit and just kind
- 5:59of go, OK, I think, I think I can do this.
- 6:01I think it can be interesting. And lo and behold, went through
- 6:05the process, got a job and, and, and found out that I really
- 6:09enjoy it. And, you know, I would say I was
- 6:13lucky to land there and, and find something that I, you know,
- 6:22you know, that clicked with my personality and, and who I am.
- 6:27And So what were you really drawn to?
- 6:29Was it the sales aspect of it? Was it something in particular
- 6:33about food? Yeah, I would think, I think it
- 6:38was the sales aspect of it. I think it was the fact that it
- 6:41was a smaller company at that point in time.
- 6:44And, and I kind of my point of view on a small company versus a
- 6:49really large company was, hey, with a smaller company, I may
- 6:52have more opportunities to do things outside of just a sales
- 6:58role. And that absolutely played
- 7:01itself out. So I, you know, I'm a
- 7:02salesperson in the Southeast and, you know, back in 1990, we
- 7:08didn't have YouTube and all those good things.
- 7:10And so we said, Hey, we need, we need a video to kind of, you
- 7:15know, film a video on who our company is, because we still
- 7:18weren't, you know, widely known. And I kind of raised my hand and
- 7:23I said, I can, I couldn't do this.
- 7:26So I, I hired a, a video production company and, and we
- 7:30got a scope, a scriptwriter from Coke.
- 7:34We, we got a cameraman from CNN and, and a video production
- 7:39company and, and for $100,000 we drove around the country for,
- 7:45for two weeks filming at all of our production sites.
- 7:48And we came back and after about a month and created a 8 or 9
- 7:53minute video out of 100 hours of film.
- 7:57And, and we took that around to customers.
- 8:01We would walk in, you know, plug it into the VCR at the customers
- 8:06and in eight or 9 minutes people would kind of go, oh, OK, I
- 8:09don't know who you are to oh, I kind of like what you guys
- 8:13represent. And it really opened the door
- 8:16and I've got a chance to do that because it was a small company.
- 8:20I probably wouldn't have gotten a chance to do that in a really
- 8:22large company. Nothing gets really large
- 8:25companies, but you know, they tend to be more structured and
- 8:29rigid in how the roles work and in the small company.
- 8:33That's just fun to me because I was like, not only do I get to
- 8:38kind of do my job that I like, but I kind of get the stress and
- 8:41do these other things. And, and frankly, Anthony, that
- 8:45was a little bit of how I built my career to get to where I am
- 8:50today was raise your hand, be willing to do a little more, be
- 8:55willing to stress myself into areas that I wasn't comfortable
- 9:00to do and learn through that process.
- 9:03And so I, you know, kind of raised my hand for a lot of
- 9:07things throughout my career that allowed me to learn more and,
- 9:11and be broader in, in knowledge base and not just deep in one
- 9:16area. So, yeah, there's, there's a, a
- 9:19theme here that I think is really fun to dive into a little
- 9:23bit because, you know, I'm, I'm hearing you say, hey, you know,
- 9:26I was just graduating college. I didn't know how this whole job
- 9:30interview thing was going to go. I, I just, I signed up for as
- 9:33many interviews as I could, figuring I'll learn from this.
- 9:37Like you went in with this curiosity that says, I'm not
- 9:41going to get a job offer from everybody, but how many of these
- 9:44can I do so that I can learn so that I can refine my skills so I
- 9:48can get better? And then what's interesting is
- 9:50you got a job offer from one that, you know, you went into
- 9:54just on the verge of death, so sick and still you put on it,
- 9:58you know, a good enough appearance that you know, they
- 10:01hey, the next day, hey, we, we want to meet with you again.
- 10:04And then, you know, this is a theme that carries on into after
- 10:07you, you know, got your first job.
- 10:09It's like, you know, you didn't have any experience in video
- 10:12production. You'd never made a commercial.
- 10:15You know, this was long before the days of everybody carrying
- 10:18a, you know, a camera in their pocket.
- 10:20Like what you were doing required, you know, hiring a
- 10:22team of professionals, coordinating everything,
- 10:24traveling around the country, whittling 100 hours of content
- 10:28down into the most, you know, useful 8 or 9 minutes.
- 10:31You had no background in any of that.
- 10:34She's like, that sounds fun. That's different.
- 10:35That's interesting. Let me try call on me, put me in
- 10:39coach. And so I'm curious, is this
- 10:43something that you think you were just born with, or do you
- 10:45think that people can develop this quest for learning, this
- 10:50deep sense of curiosity? Yeah.
- 10:54Look, I, I absolutely think you can develop it.
- 10:57I believe it is developed by anybody.
- 11:01I do. I think some people are more
- 11:03naturally inclined to do that, sure.
- 11:05But I think it's developed by anybody.
- 11:07I am a big believer in intellectual curiosity.
- 11:11You know, we're hiring for some roles right now in the company.
- 11:17And I like to say there are three characteristics that I try
- 11:22to hire for. Humble, hungry and smart and
- 11:26smart. What I mean by smart is
- 11:28intellectually curious. I'm not saying that you have to
- 11:32have a Mensa level IQ. No, I want you to be
- 11:35intellectually curious and intellectually curious is you
- 11:39kind of being willing to think differently about whatever is
- 11:42there. You're being willing to open to
- 11:45a new experience, your willingness to kind of, you
- 11:49know, I don't know about that, but I'm going to try to learn
- 11:53something here. Can I, can I go to, you know,
- 11:56something online and learn about X or can I read a book and learn
- 12:01about Y? I think intellectual curiosity
- 12:07is one of the most powerful personal characteristics that
- 12:14person can have to help them be broader and not just deep in one
- 12:19area. And that's absolutely one of the
- 12:22things that I've learned is to, to, to get to the level that
- 12:26I've been fortunate enough to get to.
- 12:28It requires breadth and not just death.
- 12:32So I, I, I feel like I understand the sales processing
- 12:36cycle exceptionally well because I did that for many, many years
- 12:40and, and had success doing that. But I also knew that this was my
- 12:45goal was to be ACEO someday. And I knew that I had to have
- 12:50more breadth, that my depth in one area was not going to be
- 12:55enough to get me to where I wanted to go.
- 12:57It would open the door for me because they would say, look,
- 13:00this person has done this job and they've succeeded at it.
- 13:03So they probably have some aptitude and or willingness to
- 13:08do things. But now a intellectual
- 13:12curiosity, it's just, it's a huge, huge win.
- 13:16And I think I went back and got my master's at age 40.
- 13:23And what I learned going back by getting my master's, you know,
- 13:28age 40 with three young kids, a new job, and I broke my leg in
- 13:35the middle of it, was AI really enjoyed learning even more as a,
- 13:44you know, more mature person who has experience than I did in
- 13:48college. In college, you know, I was kind
- 13:49of like, hey, let's have fun. Let's do all these things.
- 13:52But when I came back to it at 40I, I kind of had this, I I'm
- 13:57learning things here and this is really, really fun.
- 14:01And I've talked to a lot of other people that, you know,
- 14:05have gone back after, you know, getting some years of experience
- 14:10and then going back and getting their masters and going.
- 14:12Yeah, I, I enjoyed learning so much more now that I've had some
- 14:18separation. I had, you know, some career
- 14:21that happened and, you know, I, I, I recommend it if it's
- 14:26something, you know, you want to do.
- 14:28It doesn't have to be a masters, it can be a course.
- 14:31I think there's lots of way to continue that learning, continue
- 14:34that intellectual curiosity. And I'm again strong believer in
- 14:38the value it delivers. Yeah, I agree with you 100%.
- 14:42Every day when I drop my kids off at school, I tell them, hey,
- 14:45guys, choose kindness and curiosity today.
- 14:48Ask lots of good questions. Be open to learning.
- 14:51I, I think that's really important.
- 14:53And I, I suspect that it's that same level of that, that same,
- 14:57you know, intellectual curiosity that you have that gets you so
- 15:02excited about some of the different food innovations that
- 15:05you've been a part of along the way.
- 15:07I'd love to hear about some of those.
- 15:10Yeah. It is.
- 15:11It's, I like to say in the food business, we're trying to figure
- 15:16out how do we solve a problem for the consumer.
- 15:21So the consumer has a potential problem.
- 15:24And by the way, it doesn't have to be a huge problem.
- 15:26It can be a really small problem, but you're going, how
- 15:29do I make life a little bit easier for the consumer in this
- 15:32area? And I'll give you an example of
- 15:34one. It was, it was kind of a really
- 15:40super simple innovation, but spaghetti.
- 15:43So to not offend the Italians in in your podcast, but there are a
- 15:50lot of people in the United States who don't want to put 11
- 15:53inches of spaghetti in a pot and watch it kind of absorb the
- 15:57water and, and, and, and, and move down in the pot and stir.
- 16:00Hey, what's the matter with that, huh?
- 16:04That's the way we've always done it.
- 16:06Exactly, Exactly. Yeah, the the real Italians
- 16:08don't don't like this. They couldn't know.
- 16:10Why would you do that? But but we looked at that, we
- 16:13said, OK, how many people break their pasta before they put it
- 16:18in the pot? And we probably looked around
- 16:22the office and just kind of did an informal survey and, you
- 16:25know, probably half the people broke the pasta before they put
- 16:28it in the pot. And we were like, well, what
- 16:30happens when you break pasta? Well, if you take a 11 inch
- 16:32thing of pasta, hold it with your hands and break it, little
- 16:36pieces of pasta shatter and go everywhere.
- 16:39And it's, and it's a bit of a mess because now you got to
- 16:41track it down. And we said, what if we made pot
- 16:46ready spaghetti, something that would fit right into the pot
- 16:50that you, you, you don't have to break it.
- 16:53You drop it in and because it's now, you know, 5 to 5 1/2 inches
- 16:57in in length, fit in almost any pot without kind of having to
- 17:01stand there and watch it and stir it.
- 17:05So that was, that was the idea. So we went out and we tested it
- 17:08with people and, and again, I, I'm from the southeast, I would
- 17:12say we're not, we don't have the density of Italian population in
- 17:18the southeast that we do in the Northeast.
- 17:21And a lot of people in the Southeast are like, Oh my God,
- 17:25this is great. Who wants to stand by the pot
- 17:28when it's hot in the summer already and, and stand there
- 17:32when it's doing that because you got steam coming off the pot.
- 17:34And of course, you know, the little dent fan never gets the,
- 17:38the heat out of there as well as you would like.
- 17:41So that was the idea. And, and, and we came up with a
- 17:44way of, of cutting that on, on our production line, packaging
- 17:48it in a smaller box. And then on the side of the box.
- 17:51The other problem that people would have in pasta is how much
- 17:55is enough. You know, how much of a handful
- 18:00of pasta is enough for tea or is enough for four.
- 18:05And so we put like a little measuring gauge on the side of
- 18:08the box that you could go, hey, this much of the box equals a
- 18:13serving for two. This much of the box equals a
- 18:15serving for four. This much of A box equals a
- 18:18serving for 8:00. And that solved another problem
- 18:22because pasta kind of like rice, you often have either too much
- 18:28or not enough. And nobody likes to throw it
- 18:31away at the end. And everybody hates it when you
- 18:34don't make enough and, and people go, I need some more rice
- 18:38or I need some more pasta. So we figured out a way, how do
- 18:40we get the serving sizes in a way that makes it really nice
- 18:44and convenient for people to look at this and go, OK, this is
- 18:47the right size. And so those two little
- 18:49innovations together, you know, not a world shattering
- 18:54innovation by by any means, but it, it worked really, really
- 18:59well and consumers truly thought that that was a problem solved.
- 19:04Yeah. And sometimes the best
- 19:05innovations are, you know, don't require a, a big head, big heavy
- 19:09lift or, you know, some fancy technology.
- 19:11It's just tweaking things a little bit.
- 19:14And I think what's what's just as cool as the idea is the name
- 19:18Pot Ready Spaghetti. Like you like you, you kind of
- 19:22quickly know what it is. And there's, you know, a little
- 19:24bit of rhyming that goes on there too.
- 19:26And I was just Googling Pot Ready Spaghetti and it looks
- 19:29like it's still a thing. I see lots of different brands
- 19:32using that on their packaging today.
- 19:37We were, we were the first to do it, you know, many years ago.
- 19:40I've been out of the positive business for a while, but I
- 19:42can't say that I, I keep up with if it's still there or not for,
- 19:48you know, lots of different reasons.
- 19:50But you know, glad, glad to see it's still there.
- 19:53And, and look, it's like we said, it doesn't have to be a
- 19:56revolution. It can be an evolution.
- 20:00Do you have another example for us?
- 20:02You've been in the food industry a long time.
- 20:03Yeah, I, I'll have another example for you that we did in
- 20:07in the pasta industry too. And as we were talking to moms,
- 20:14you know, moms want to get vegetables into their kids diet.
- 20:18I mean, you know how many little kids love to eat vegetables?
- 20:21Not a whole lot of them. They kind of go, Oh yeah, you
- 20:25know what? I don't want to eat green beans
- 20:27or, or whatever it is. And so as we thought about that,
- 20:32we said, how do we get a serving of vegetables into every serving
- 20:37of pasta? Because kids love pasta.
- 20:40Let's face it, they, it's hard to find a kid that doesn't like
- 20:45a, an elbow macaroni or some other fun stave or a spaghetti.
- 20:49They, they all generally like it.
- 20:51So we thought and, and there are vegetable pastas out there
- 20:54today. You'll see them as, you know,
- 20:56the tricolor pastas, 1 is spinach and one is tomato.
- 20:59The kids generally look at those orange and green colors and they
- 21:02kind of go, yeah, look, I don't want that.
- 21:04They're used to seeing the color of pasta that they've always
- 21:08gotten in their acting fees. So we started investigating how
- 21:12to do that. And the way that we did it was
- 21:15we, we work with ingredient companies that come up with,
- 21:19with a vegetable blend, mix the lighter colored vegetables and
- 21:25we could put it inside the pasta in enough to give them a serving
- 21:30of vegetables with every serving of pasta.
- 21:33And it's called it a hidden veggie.
- 21:35And again, it appealed to mom because now I can get, you know,
- 21:40some vegetables from my kids. And the kids loved it because
- 21:45they just saw plain old, you know, white pasta without one of
- 21:52these, you know, colors that that could have been off putting
- 21:55to them. And, you know, that was another
- 21:59success I like to think of. Sometimes innovation is not
- 22:04about home run. It's about a single.
- 22:07So if I can continue to deliver singles for my brand or my
- 22:12product or my category, those singles eventually add up to
- 22:16home runs. You know, you get you get a
- 22:19number of singles in a row, you still score a run just like
- 22:23scoring a home run. And this is another one that you
- 22:26know, was another single kind of like pot ready spaghetti.
- 22:31And frankly, it's, you see it in all kinds of pasta products
- 22:36today with protein enhanced and Omega oil enhanced and all these
- 22:42other things that still keep that color and look of regular
- 22:45spaghetti. But I'm delivering on an
- 22:48enhanced nutritional benefit for for families and, and that was
- 22:54kind of a, a way to do that. And I'm curious, what does a
- 22:59single look like from a financial perspective in the
- 23:02food industry? Is it like a few percentage
- 23:05points boost in sales? Is it more than that?
- 23:08Can you frame it for us? Yeah, I would say, you know the
- 23:13way that we try to think about singles in our business is we
- 23:16try to make a margin accretive. So let's just say if your if
- 23:20your base margin today is 10%, if I can come out with a with a,
- 23:26a product that is going to be accretive to the margin of the
- 23:32category. So I can bring these out at 12
- 23:34or 14% and help pull the margin of the business up over time as
- 23:39those singles get out into the market, then that's good for the
- 23:43business. So that's the way that, you
- 23:46know, a lot of us try to think about that is I don't need that
- 23:51to make 30%. And if I put it out there at
- 23:5430%, it's probably going to create a price barrier or trial
- 23:58barrier that somebody's going to go, no, I don't like that.
- 24:02But if I can go, hey, I'm at 10 and I could sell this at 14, I
- 24:07can get it at the right price point that a family feels like,
- 24:11Yeah, I haven't tried that before.
- 24:13But it's only, you know, $0.20 a package more than what I already
- 24:18buy. That barrier to file is lower
- 24:21than if it were a dollar a package more than what you
- 24:25already buy. But some of that is about that.
- 24:28Some of that accretiveness is about what do you think the the
- 24:33consumer is willing to try and invest without feeling bad about
- 24:39the investment. And if it was a regular pasta at
- 24:41a dollar and this new pasta at $2.00 and they don't like it at
- 24:46$2.00, they're going to go that dollar.
- 24:49I, I felt like I lost that dollar.
- 24:52But if they do, if it's $0.20 more, $0.30 more, that's kind of
- 24:56within this realm of, yeah, that's, that's in the zone of
- 25:00being very reasonable. So I'm more willing to take a
- 25:04chance on something new and, and try it and, and bring it home.
- 25:11Brian, tell me if I'm thinking about this correctly.
- 25:13It would seem like you've got a two-part challenge when you're
- 25:16releasing a new product. The 1st is how do we get them to
- 25:19try it the first time? How do we get them to pull it
- 25:21off the shelf, put it in their cart that first time, take it
- 25:24home and try it. And then the second one is how
- 25:27do we get them to buy again? And it would seem like the
- 25:30second challenge is all about the quality and the taste of the
- 25:34product, right? If, if you can, if you can get
- 25:37get them to try it and they like it, they're going to come back
- 25:39for it. Is that sort of how you guys
- 25:42think about it internally, sort of this two-part thing?
- 25:45Yeah, one, 100% we, we like to think that getting trial isn't,
- 25:51isn't exceptionally hard if the consumer feels like it's close
- 25:57into what they would be comfortable doing.
- 26:00So the the pot ready spaghetti, well, there's really no barrier
- 26:03to trial on that because it's the same spaghetti that you've
- 26:07already bought. The hidden veggie, hey, it looks
- 26:09the same in the box. It's got vegetables in there.
- 26:12It's only $0.20 more that problem.
- 26:16It doesn't have the same barrier as if I'd come out something
- 26:21totally revolutionary. So for new products isn't as
- 26:28hard as repeat, repeat is you have to deliver on the flavor,
- 26:34you have to deliver on the eating experience in a way that
- 26:39the customer feels satisfied. It's it's one of the things that
- 26:43I've seen in my 34 years in, in, in the food business.
- 26:47And I'll give you a couple examples.
- 26:49So I was in the food business when, when people were coming
- 26:54out with reduced fat fees. Well, the first reduced fat,
- 26:57reduced fat fees was pretty horrible.
- 27:00It was not good. It was gummy and grainy rubbery.
- 27:04I mean, it was, it was, it was bad.
- 27:07And guess what? You've got a lot of people that
- 27:10would try it because they're like reduce fat.
- 27:11I need to cut fat. I'll, I'll try that.
- 27:13But when it didn't deliver on the flavor experience, they're
- 27:17not coming back. And, and the same thing with low
- 27:20cloud and, and the same thing with, you know, some other, you
- 27:25know, nutritional fads that have come and gone over the last 30
- 27:29years. Sometimes first to the market is
- 27:33an advantage in, in creating a brand name.
- 27:36You know, and I'll, I'll, I'll say this about, you know,
- 27:39vegetable based meat product or, you know, created meat products.
- 27:44Maybe that's the better way to say it is if you, if you could
- 27:48go back in time 18 months, it was a huge trend everywhere.
- 27:53Everybody was putting them on the menus, everybody was trying
- 27:57it. Here you are 18 months later and
- 28:00I would say both of those businesses are struggling
- 28:04because they did not deliver on the meal experience that the,
- 28:09that, that the consumer believed that they were going to get.
- 28:14And so they don't, they don't repeat.
- 28:17And, and, and so I like to say trial is easy, repeat is hard.
- 28:22You've got to design your product for.
- 28:24Repeat if it doesn't taste great.
- 28:27Do you guys do some kind of testing before rolling out a new
- 28:31product? Yeah, we'd think that that would
- 28:33be helpful in getting a better idea of it.
- 28:36You know, are we likely to get repeats on this?
- 28:38Yeah. Exactly.
- 28:39You know, look, the food business is big on both
- 28:43qualitative and quantitative, you know, testing.
- 28:47And that is kind of around quantitative testing.
- 28:49Let's put it out in the hands of users and get their real life
- 28:53feedback. Does it taste good?
- 28:56Would you buy it again? Did it deliver on your
- 28:58experience? And that's kind of a, you know,
- 29:01a well known marketing pathway to, to, to helping determine if
- 29:06your, if your product is, is acceptable.
- 29:10And, and, and frankly, it, it's as simple, it can be as simple
- 29:14as, you know, when you're, when you're bootstrapping new ideas
- 29:19as an organization that you're literally just kind of giving it
- 29:22to 10 friends. And if your 10 friends go and
- 29:27you have to go, look, be honest with me.
- 29:29Don't tell me what you think I want to hear.
- 29:32Would you buy this? And would you try it again?
- 29:35And you got to go, Hey, if, if it's, if it's bad, tell me it's
- 29:39bad. That's going to be better for me
- 29:41than telling me it's good and you not buy it again.
- 29:44So, you know, you can do it the, the, the full blown marketing
- 29:47pathway, or you can do it the, the bootstrap pathway.
- 29:51And I think, I think both of them can give you pretty, pretty
- 29:55solid feedback if you're if you have consumers or people willing
- 29:59to tell you what they really think as opposed to what you
- 30:01want to hear. Now, what's interesting to me is
- 30:04you said that the trial part is actually pretty easy if it's if
- 30:07the product is similar enough to what exists and similar enough
- 30:11in price that that surprises me. But maybe just the fact that
- 30:16you've already got the shelf space there and you're doing
- 30:19something colorful or creative on the packaging is enough to
- 30:22get somebody to, you know, go from what they usually buy to,
- 30:26oh, this one's got veggies hidden in it.
- 30:28Is that kind of how it works? Yeah.
- 30:31I, I, I like to say that consumers have a consideration
- 30:35set of products that they like. So if I'm a, if I'm a pasta
- 30:41eater and I walk down the pasta aisle, chances are I've probably
- 30:46had something from a number of different brands in that aisle.
- 30:51Or you're familiar enough with the product that you go, there's
- 30:54not a whole lot of differentiation in pasta.
- 30:56Frankly, you know, I'm a pasta snob because I worked in that
- 31:00business for 14 years. I can probably tell you more
- 31:04than the average bear, but 90% of the people are not going to
- 31:08be able to tell you a a difference.
- 31:11In dry pot. Other categories, it's more
- 31:13dramatic. Pizza, it's more dramatic.
- 31:17So crust can be different. How you make those crust, how
- 31:20you make your sauce, how you top it and all those other things,
- 31:24but can have difference. So they're kind of high
- 31:27differentiation categories and low differentiation categories.
- 31:30There are a lot of foods that are kind of in the low
- 31:33differentiation category space, but in in those in, in those
- 31:37foods, you say there's a consideration set of items that
- 31:40I'm comfortable trying or brands that I'm comfortable trying.
- 31:44And, and that's how you get a lot of trial it.
- 31:48It may be that you've been a Barilla, you know, user for
- 31:52many, many years. And so when Barrella comes out
- 31:55with a new product, you kind of go, Oh yeah, I like that brand,
- 31:58I'll try that. Or you may be a great value user
- 32:02and you've like, hey, I like, I like great value.
- 32:05It saves me money, It delivers quality that is in line with my
- 32:10expectations. So when they come out with
- 32:12something new, I'm willing to try it.
- 32:15So I think that consideration set definitely works better in
- 32:20in low differentiation versus high differences.
- 32:25I'm curious to know how quickly a new idea can go from idea to
- 32:31being on the shelf. And obviously it's a it depends,
- 32:34right? Because some are relatively
- 32:36simple, some take a lot more testing.
- 32:38But maybe give me a range from the short end to the the longest
- 32:42end that you've seen. About the shortest I've ever
- 32:46seen it done is about four months.
- 32:49That is. Short and that was because it
- 32:51was a very, very close in idea and you know, we we kind of had
- 32:59the retailer customer buying in of we like this, let's launch it
- 33:04ASAP in our in our private brand.
- 33:07And so we were able to do that very, very quickly.
- 33:10I would say a much more normal process is going to be, you
- 33:16know, in the nine months to two year range, it kind of depends.
- 33:22So if you're, if you're a really big well established brand,
- 33:27you're probably going to want to take more steps to be more
- 33:32certain about what you think the outcome will be.
- 33:35And therefore more steps and more certainty to lower your
- 33:40perceived risk on a new product launch is going to take longer
- 33:44to accomplish. Then if you're a startup brand
- 33:47and you know, you're you're developing something and you
- 33:50kind of want to run it by your friends and they kind of go,
- 33:53yeah, like this, but I don't like that.
- 33:55OK. Well can go back and stall for
- 33:57that. So I, I, I would say nine months
- 34:01is, is is quick on the, on the on one end and and two years is,
- 34:09you know, somewhat typical from a branded perspective on the
- 34:12higher end. I think it makes sense.
- 34:15I mean, not only are you testing the food and the ingredients and
- 34:18getting the texture and the flavour right, but you've got,
- 34:20you know, new packaging and how do you tell the story and the,
- 34:24the copy around it and, you know, the, the go to market.
- 34:27So and, and everybody knows like, you know, larger
- 34:32companies, sometimes it takes a little bit longer to, you know,
- 34:35turn the ship in a different direction.
- 34:36So, and if you're talking nine months, that that feels like a a
- 34:40pretty reasonable time frame to me.
- 34:41Still pretty pretty quick to make happen.
- 34:43Yeah. It also depends on what
- 34:46innovation you're developing there.
- 34:48I worked for a period of time for for and they developed a
- 34:53product called seamers in their frozen in their frozen entrees
- 34:57aisle. And basically what it was was a
- 35:00a microwave with the sauce at the plastic dish with the sauce
- 35:06at the bottom and then a kind of another tray that sits on top of
- 35:10that with the vegetables and meats on the top.
- 35:13Well, it, it took a long time for them to develop, you know,
- 35:17do I have the how do I make this packaging work?
- 35:19Can I cooking these two things separately, does that deliver on
- 35:24the flavor profile? So think that they worked on
- 35:27that for more than two years, probably in the in the
- 35:30three-year range. And then you have to go in and
- 35:33say, hey, now I've got to develop and a piece of equipment
- 35:36that can do this. Well, they were previously
- 35:40mixing all those things together and you deposit it in one disc.
- 35:44Now they're going, hey, I have to have two separate streams.
- 35:47I've got to put one disc in here, fill the portion in the
- 35:50bottom, then I got to put another disc on top of that,
- 35:53fill that portion and then top it and then package it.
- 35:56So some of that is just related around Brad, the definition of
- 36:02your innovation is if it's a packaging innovation, it 12
- 36:07months is fast on a packaging innovation because equipment
- 36:10lead time, depending on what you're trying to do is 16 weeks
- 36:16on the short end to 24 months on the on the high end, depending
- 36:20on again, the amount of complexity, the amount of how
- 36:24you're having to change things. So it it, it can vary pretty
- 36:28widely on, on that standpoint, flavor innovations where you
- 36:32don't have to really do it in a whole new way or.
- 36:37Yeah. So we went through a period and
- 36:41to some extent are still going through a period of you talked
- 36:44about the different sort of nutrition fads.
- 36:47You know, low fat was big for a long time.
- 36:51You know, now low carb is also big and some people still into
- 36:55the low fat. But now I see some foods that,
- 36:58you know, talk about, you know, heart healthy fats and, you
- 37:01know, I, I don't know if that means that they're adding, you
- 37:04know, they're actually going to the step of trying to add more
- 37:06fats to their product. And this, the answer to this may
- 37:08be different in the pizza industry versus others.
- 37:11But are you seeing any kind of a discussion going on at Richelieu
- 37:15about, Hey, people want like good fats in products Now maybe
- 37:19we should figure out a way to to come out with that innovation in
- 37:23pizza? Yeah, here's what I will tell
- 37:26you in, in our category right now, it is about how do we clean
- 37:32up the labels? How do we, you know, get the
- 37:35things off the labels that may be a perception of, of not, you
- 37:43know, being on trend from a, from a clean label perspective.
- 37:46So that's that's what we're working on.
- 37:48So I would say, you know, our our product is, is you know,
- 37:54it's somewhat simple. It's not unlike if you were
- 37:58making pizza at home in your own kitchen, you're going to make a
- 38:02dough, you need flour, any yeast, you need water, you might
- 38:06need a oil in there to have to help protect your and different
- 38:11things like that. You need a pepperoni, you need
- 38:14fees, you need, you know, vegetables.
- 38:17So trying to get those other, you know, preservatives and
- 38:25because we do frozen pizza, we don't really use preservatives
- 38:29like happening in other foods. I'm not going to say that, you
- 38:34know, there isn't a preservative or something in in an ingredient
- 38:39that goes into our into our products, but by and large it's
- 38:43free from preservatives as compared to a self stable
- 38:49product. So a self stable product
- 38:51generally has preservatives because our product is frozen.
- 38:54I mean, again, it's like making it in your kitchen.
- 38:57We just run it through a freezer to freeze it that holds it in
- 39:00stasis until you're ready to cook it.
- 39:03So we kind of don't need them those preservatives in the same
- 39:06way. But there's still a number of
- 39:09retailers and consumers are going, hey, we don't like these
- 39:14kind of fats. OK, well, let's work to get
- 39:16those fats out. Maybe we don't like an
- 39:21ingredient that ends up in in a lot of pepperoni.
- 39:24So how do we get nitrates out of pepperoni?
- 39:26OK, well that's, that's fair. We can work to get nitrates out
- 39:30of pepperoni. So our business is, is maybe
- 39:34different than some others in that area, but that that's what
- 39:38kind of goes the big push now. And of course, our, our parent
- 39:41company is in Germany and what is acceptable in ingredients in
- 39:48Europe is different than what is acceptable in ingredients in the
- 39:50US. You know, as an example there,
- 39:56there can sometimes be what's called a dough conditioner that
- 40:00may not be allowed in, in Europe, but is generally
- 40:04recognized as safe in the US. So then you have to start going,
- 40:08well, do our consumers understand what this ingredient
- 40:12is? Do we need to take this
- 40:14ingredient out there? Or our retailer partner saying
- 40:17that they don't want this ingredient in because of what
- 40:20they're trying to achieve with their own brand and can we get,
- 40:23get some of those things out. So I would say in general, we're
- 40:27working and continually finding ways to clean up that label to
- 40:32make it as as additive free as we can be.
- 40:37And that's kind of the big focus in in the frozen category right
- 40:42now. I think in other categories, yes
- 40:45they may be more intention around healthy fat or Omega
- 40:50threes and and things like that then there is in pizza.
- 40:53But your primary focus, like you said, is to try to clean up the
- 40:56labels. Customers are saying we don't
- 40:58want nitrates, we don't maybe want this dough conditioner.
- 41:01And so you're responding to what that consumer demand is, which
- 41:04is interesting to me because. Yeah, something I want I want to
- 41:09talk about with you and get your perspective on this, You know,
- 41:1130-4 years in the food industry, you know, big food
- 41:15manufacturers, they sometimes they get a bad rap in the media,
- 41:19right? They they talk about like, oh,
- 41:21they're just, you know, they're these, you know, greedy guys
- 41:24sitting, you know, behind the curtain, you know, trying to
- 41:26figure out ways to put more garbage into the food.
- 41:30They're trying to make it more addictive for us.
- 41:32You know, they don't care about us.
- 41:34They're just, you know, you know, guys on Wall Street just
- 41:38pulling levers, hoping everybody, you know, gets
- 41:41addicted to this stuff. And the way I'm hearing you
- 41:43talk, it's, it's a, it's a very different energy, a very
- 41:47different vibe. So I'm, I'm curious to hear
- 41:50about how you respond to that kind of negative attention,
- 41:54whether it's warranted or not. Yeah, look, I, I think the, the
- 42:00misconception people have about food manufacturing production is
- 42:04we're just you're kitchen writ large.
- 42:08So we're trying to make things as close to the way that you do
- 42:12it at home. That scale.
- 42:14You know, people like to pay $4.00 for Kuka for us to, you
- 42:22know, be able to sell you a, a product that retails at $4.00.
- 42:27I've got to be able to make it at scale.
- 42:29I've got to be able to make it quickly, but I want to do it as
- 42:33as cleanly and as, as efficiently as possible.
- 42:37So we're just your kitchen, like I said, in, in a large, large
- 42:42scale version. Again, you know, we want to, we
- 42:47want to deliver what the consumer wants.
- 42:51If the consumer is OK, I don't like, you know, the, the
- 42:57technical name for vitamin E, You know, there is a technical
- 43:00name for vitamin EI think it's picopperols.
- 43:03It's picopperols. Mix the copper oil sounds
- 43:05terrible when you read that and you go, well, what is that?
- 43:08Well, it's vitamin E, but that's the scientific thing for it.
- 43:11But when consumers read mix the copper oils, they kind of go,
- 43:14what's that? That sounds awful.
- 43:17Well, that's the technical name for vitamin E.
- 43:20So is that a good thing or a bad thing?
- 43:22Well, consumers have generally decided, oh, we don't like the
- 43:26name mix the copper oils because they don't understand what it
- 43:29really is. And, and some of those things
- 43:32are required by law to be in there.
- 43:33Guess what? Enrich flour.
- 43:36That's a regulation, you know, enrich flour means you add
- 43:40niacin. Guess what is niacin?
- 43:44Yeah, exactly. So it's, it's not a it's not a
- 43:48pretty sounding name, but it's one of those things that's
- 43:51required. And, and so there can sometimes
- 43:55be a, a disconnect in, in what is required to be in there and
- 44:00the clarity of what it is on the label that make people go, oh,
- 44:05that doesn't make any sense. That sounds awful When you go,
- 44:09I've got to put it in there because it's the regulation.
- 44:12So, yeah, I, I think our industry and, and frankly,
- 44:19government can do a better job of working together to explain
- 44:24what those things are and why they're in there.
- 44:26Well, you know, why is, why is a lot of wheat fortified or pasta
- 44:31fortified? Well, it's because, you know, 80
- 44:35years ago there was a deficiency in certain vitamins in, in the
- 44:41American diet. So they said, OK, well, the way
- 44:44that we're going to solve that is we're going to tell you got
- 44:46to put iron in there, you got to put niacin in there, you got to
- 44:48put, you know, vitamin E in there, mix the copper oils, and
- 44:52that's going to help with whatever that deficiency was.
- 44:55And, and here we are eight years later and, and clearly we don't
- 44:59have the same deficiencies in our diet, but the rules and, and
- 45:03regulations haven't changed to say, oh, you can do it without
- 45:07fortification. So some of that legacy
- 45:14regulation was actually really, really good for where the
- 45:19American diet was at that point in time.
- 45:22But may not be needed today because our diet has changed
- 45:27significantly. So, you know, if we could work
- 45:30together as a society and say we don't need these things anymore,
- 45:34take them out of there, we would rather have a cleaner label.
- 45:38I I can go to the FDA as long as I want and say, let's take this
- 45:42out of there. And they kind of go, yeah, but
- 45:45we're not here. We got clamor for consumers to
- 45:47take that out of there. So it, it doesn't, you know, it
- 45:51doesn't get passed and, and those rules don't get changed
- 45:54and, and some of those legacy things continue to carry on.
- 45:58But you know, at like I said, we're kitchen.
- 46:01We're just trying to make it a scale and, and deliver it to you
- 46:04as efficiently as possible. The, the American consumer
- 46:07spends a lower percentage of their disposable income on food
- 46:13than any other nation in the world.
- 46:16Wow. And, and, and why is that?
- 46:19It's because we have a highly efficient food system that has
- 46:24been developed in this business over, you know, the last 100
- 46:28years. And, you know, frankly, it's
- 46:33been a stimulator to the economy when you're only spending around
- 46:3711 percent of your food, 11% of your disposable income on food
- 46:41dollars versus countries where you're spending 18 to 20% of
- 46:45your disposable income on $2.00. Well, what happens to that?
- 46:48It turns into other, it turns into the other, other
- 46:51consumption, whether that's clothes or vacations or you
- 46:55know, house payments or car payments or you know, anything,
- 47:02you know. So our, our industry has been
- 47:05designed extremely effectively. If if the consumer needs are
- 47:12changed, this industry will change to meet the consumer
- 47:16needs up until the point that it runs into some regulatory,
- 47:20regulatory hurdles that have to be addressed.
- 47:23There's several good things that you touched on there that I want
- 47:27to highlight because I, I, I think a lot of these points get
- 47:30missed by people. And this, this first one I'm
- 47:33going to mention was one I never really thought about was the
- 47:35government regulations. You know, you're talking about
- 47:38laws that have been in place for 80 years to address diet
- 47:42deficiencies that used to exist. Those deficiencies aren't the
- 47:46same in most people's diets now as they were then.
- 47:49But the laws haven't changed. And the FDA is like, hey, until
- 47:52consumers start making noise about it, we're going to make
- 47:54you guys keep doing the same thing.
- 47:56And so anybody listening who's like, hey, I don't want mixed
- 48:00tocopherols in my bread, like, OK, go, go tell the FDA that.
- 48:06They're the ones that can change the rules.
- 48:09The other thing that you mentioned here that I think is
- 48:11really important is that consumer education is an
- 48:13important piece of this. And it may be difficult to
- 48:16achieve at times because, right, what's niacin, you know, that
- 48:19sounds chemical and terrible. Well, it's one of the the many B
- 48:23vitamins. It's oh, B Well, vitamins are
- 48:26good, right? Or mixed to copherols.
- 48:28That's vitamin E, you know, But the government requires us to to
- 48:32label it a certain way. And so, yeah, that consumer
- 48:35education piece is important, but the one that I, I think is
- 48:38really the point to drive home with folks here is the
- 48:42incredible efficiency at which you guys are able to do things
- 48:46at scale, right? You're, you're just, you're
- 48:49taking what I do in my kitchen and you're doing it at, at Mass
- 48:54to make these things, to make these pizzas more cost effective
- 48:58than I could make myself in my home.
- 49:00There's no way I could make a pizza for $4.00.
- 49:03Go and buy the, the bread and the cheese and the sauce and the
- 49:06pepperoni. And that's before you even
- 49:09factor in the value of my time. And so, right, rather than sort
- 49:15of being pilloried for some things that largely can be
- 49:19attached to just lack of education, it's more like let's
- 49:22celebrate what some of these, you know, big food manufacturers
- 49:26are able to do a $4.00 pizza. That's a big deal for a lot of
- 49:30families, but especially working families that are, you know,
- 49:33having a hard time making ends meet.
- 49:35So yeah, thanks for for highlighting those things.
- 49:38Yeah. And I, I think there's all, all
- 49:40great points, Anthony and you know, to, to give you a little
- 49:45bit of the concept of Dale there, you know, we have
- 49:48somewhere around 700 employees and we make around 100 million
- 49:51pizzas a year. So.
- 49:54That's that's a lot of pizzas for not many people.
- 49:59You, you have to run those at scale.
- 50:01You have to run them quickly. And again, we wanted, we want to
- 50:06do it in as food safe, in as nutritionally benefit, as clean
- 50:13label as we can possibly do that.
- 50:16And, and we're no different than anybody else in the food space.
- 50:21We all want the same things. You know, unfortunately there's,
- 50:25you know, a particular, you know, meat company that's in
- 50:29the, in the news right now for, you know, not for a, for a food
- 50:34safety issue. I can tell you that's every food
- 50:37manufacturer's nightmare. So we work really, really,
- 50:41really hard to not be in that position and, and deliver as
- 50:48safe a product as you can make in your kitchen, if if not
- 50:51better. You know, our, our people are
- 50:53trained on what food safety looks like.
- 50:56Not all consumers are trained on what food safety looks like.
- 51:00So I, I like to think, you know, I know, I know we have the
- 51:06consumers best interests at heart and, and, and people need
- 51:12to understand that. Brian, I don't often like to put
- 51:16my guests on the spot, but I'm going to ask you a tough
- 51:18question here. I'm, I'm curious to hear 34
- 51:21years in the food industry. How many meetings have you sat
- 51:26in where there's a conversation around, hey, how do we make this
- 51:30more addictive? How do we get people hooked and
- 51:32coming back like they can't just have one?
- 51:37Zero. And I would tell you if, if
- 51:39somebody said that in a meeting, they would probably be fired
- 51:43because that is so antithetical to what we are and what we want
- 51:49to do. Never, never heard it.
- 51:51And that would be, you know, that that would be, that would
- 51:58stand out like such a sore thumb that those people just would not
- 52:02be around. I mean, that would that that
- 52:04goes against every, that goes against every fiber of every
- 52:08food company I have worked for. And I've worked for small ones
- 52:12and I've worked for really, really large.
- 52:15That's yeah, I personally, that's disgusting to hear that.
- 52:21And, and I don't know a single person in the food business that
- 52:25wouldn't feel the same way. Wow, what a perspective to have
- 52:29shared here. I mean, 'cause that's not, you
- 52:32know, the perception that a lot of folks have.
- 52:34And so to hear like I can see you physically like you're,
- 52:37you're kind of riled up at the very suggestion of it.
- 52:41I am. I am, because that's just that
- 52:44that every fiber in my being says that is wrong.
- 52:50And I don't know anybody that I've worked with in 30-4 years
- 52:54that wouldn't see it the same way that I do.
- 52:57And, and Brian Fox is a guy who has worked with a lot of big
- 53:01food manufacturers, worked with thousands of people, been in
- 53:05countless meetings and he's saying not once, not in a single
- 53:11meeting that you've ever attended.
- 53:12Have you ever heard anybody talk about how do we how do we make
- 53:16them, you know, hooked on this? Yeah, that's that, that's a
- 53:19that's a fresh perspective. That's.
- 53:21Great, that makes my skin crawl just to think about.
- 53:24It honestly. OK great.
- 53:26Thanks for shining a flashlight on that.
- 53:29No problem. Brian, I want to shift gears a
- 53:31little bit. You know, people, they look at
- 53:33you, maybe they, you know, they, they understand a little bit
- 53:36about your background. You had a lot of, you know,
- 53:40great positions at different food manufacturers, including,
- 53:43you know, CEO of Richelieu Foods.
- 53:44Now 700 employees makes 100 million pizzas a year.
- 53:49They're like, well, I'm not that guy.
- 53:51Like Brian was just destined for this level of greatness from the
- 53:54beginning. And, you know, this probably
- 53:56came easy to him. He, you know, smooth sailing all
- 53:59the way through life. But I know having talked to lots
- 54:03of folks that everybody has gone through difficult times.
- 54:08And I'm kind of curious to hear about either personally or
- 54:11professionally, maybe a challenge that you've gone
- 54:13through and what you learn coming through the other side of
- 54:16it. Yeah, that's a, that's a great
- 54:20question. And here's what I'll tell you.
- 54:22I, I, I think there are a couple things and, and obviously, well,
- 54:25not obviously, but look, there are people that have overcome
- 54:29much more significant challenges than my own.
- 54:32But yes, I can, I consider a couple small things.
- 54:36So if you haven't noticed it, I'm from North Carolina, so I
- 54:42can have this southern accent that that dribbles out here and
- 54:45there. And, and I, I would say early in
- 54:52my career, I had a much more pronounced accent than I do
- 54:55today. I would say I've lived around
- 54:57the US for, for many years now. And so I've kind of toned it
- 55:02down as I've adapted to my environment.
- 55:05But I, I will never forget I was at A, at a retailer in, in
- 55:09Northeast and I'm fresh out of College in North Carolina and I
- 55:14still have a very, very strong southern accent.
- 55:18And I was at a particular retailer in the New York, New
- 55:23Jersey area. And, and this person at that
- 55:27retailer, and I'm not going to tell you who you or what is all,
- 55:30all this was, but who heard my accident and, and immediately
- 55:35assumed that I was inferior intellectually because this
- 55:43person, you know, had obviously, you know, probably gone to an
- 55:49Ivy League school and, and things like this and kind of
- 55:52looked down her nose at me. And, and that really just
- 55:56irritated me, irritated me to no end to go.
- 55:59Why would you think that I am not smart and capable just
- 56:03because of my accent? And, and she literally said
- 56:06that. I mean, yes, she was, she was
- 56:08very bold and direct about it. And you know, you're from the
- 56:13South. You, you, you don't know
- 56:14anything about what we're doing up here and you're just kind of
- 56:17OK, got it. So that, you know, that's a, a
- 56:21super simple one. But every time that I've run
- 56:26into challenges, I'm a big believer in perseverance.
- 56:33All things, all things will fall, you know, eventually that
- 56:38person wasn't there anymore and, and we were able to continue.
- 56:44I, I continued to call on that retailer for many, many, many
- 56:47years. And frankly, one of the
- 56:50recommendations from that retailer is what get helped me
- 56:54get my second job. So after I left the first
- 56:57company, the second company that I went to work for new people at
- 57:01that retailer and they were like, Oh no, he's great.
- 57:03You, you could hire him. And so I, I like to say, you
- 57:08know, perseverance and, and trying to overcome a, a really
- 57:13stupid simple stereotype and, and, and, and in no way
- 57:17comparing that discrimination to what others would have
- 57:21experienced. But it was just one of those
- 57:24little things just stuck in me. And I'm going to go, you know
- 57:26what? I'm going to prove you wrong.
- 57:28I'm going to prove to you that I can do this.
- 57:31You know, I, I've been, I've kind of been, you know, laughed
- 57:37out of a, a ACEOS office at an, at another retailer in the
- 57:41Southeast who I came in there, this, you know, particular
- 57:45retailer had a very strong point of view on, on data and
- 57:51understanding consumers. And, and, and he was an older
- 57:55gentleman that, you know, believed in, in being in the
- 57:58stores and talking to consumers. And, and by the way, that's not
- 58:01wrong, not wrong, but you know, it was in the early days of
- 58:05category management where we were the, you know, the
- 58:08information revolution was happening.
- 58:10And, and all this data that you could get and understand
- 58:14consumers and how they stop and how they make decisions gave us
- 58:18so much more of a richer understanding than what we had
- 58:22just by, you know, a guy walking around the stores and, and, you
- 58:28know, he basically said, boy, you don't know what you're
- 58:32talking about. And that was with the CEO of the
- 58:35company. Guess what?
- 58:38Two years later, I still got the business, still became their
- 58:40supplier. And it's because I persevered
- 58:44and I just kept, I was not going to let the first know Get Me Out
- 58:49of there. And so I had to continually work
- 58:53to bring myself back to that person and, and show that that
- 58:57we really did know what we were talking about and that a new
- 59:01approach would work. And, and it, and it did.
- 59:07Another example, as I, I mentioned earlier, you know, I
- 59:10was getting my master's. I had three kids, had a new job,
- 59:15and I broke my leg all at the same time, you know, so I'm, I'm
- 59:20trying to figure out how to make all these things work.
- 59:23And I did, you know, and by the way, I give an enormous amount
- 59:29of credit to my my wife and my family who were the support
- 59:36system through each one of those things.
- 59:38When you come home and you go, Oh my gosh, you're not going to
- 59:41believe what happened today. Just to kind of swear and and
- 59:45vent a little bit and, and, and maybe change my perspective on
- 59:49a, on a situation was all incredibly helpful.
- 59:53And like I said, I don't, I don't have, I, I had the fortune
- 59:56last night of being at the Chicago economic hub and listen
- 1:00:01to Kevin Warren, the president of the Chicago Bears, tell a
- 1:00:04really impressive story of overcoming a significant
- 1:00:10obstacle. And I got to look, I haven't
- 1:00:12overcome that kind of an obstacle in, in my, in, in my
- 1:00:15life and in my career. But I've, I've had my fair
- 1:00:18share. And, and to me, it's, it's
- 1:00:21perseverance. You just, you just keep pushing
- 1:00:24forward and you just. Continue to follow up and so how
- 1:00:30you can add value and you know, eventually you will win the
- 1:00:34trust of of people over and they will see that you can do the
- 1:00:39things that you say that you're going to do.
- 1:00:42Never give up, you know, go back to Winston Churchill.
- 1:00:46Never, ever, ever give up. I love that because I think, you
- 1:00:50know, at different levels, we have all felt judged, ridiculed,
- 1:00:55discounted. That's some, you know, even if
- 1:00:58we haven't dealt with some of the more powerful and negative
- 1:01:01stereotypes that other folks have, like we know what that's
- 1:01:04like to be sort of marginalized unfairly.
- 1:01:08And so your story of persevering through that and not taking, you
- 1:01:12know, no for an answer on that first time, I think is, is
- 1:01:15pretty powerful. Brian, I've just got one more
- 1:01:17question for you before I ask that I want to do 2 things folks
- 1:01:21listening today. If you like today's content,
- 1:01:23please hit the like, subscribe or share button on your favorite
- 1:01:25podcast app. Brian, I also want to let people
- 1:01:28know the best way to get in touch with you or your company.
- 1:01:31What? What is that?
- 1:01:34Yeah. So look, our website
- 1:01:36isrichelieufoods.com. So it's RICHEL i.e.
- 1:01:41Ufoods.com and you know, you can get me there.
- 1:01:45So my e-mail, you can, you can get it at, at it's really simple
- 1:01:50beatbox at richloopfoods.com. I'm, I'm pretty open.
- 1:01:54I, I talk to people, I'm, I'm willing to listen to good ideas
- 1:01:59and, and help other people because I love seeing other
- 1:02:02people succeed. I've been, you know, fortunate
- 1:02:06enough in, in my career that I've been able to help put other
- 1:02:10people in, in connect with other in, in other things and, and see
- 1:02:15them go on to do, to do great things.
- 1:02:18And, and I love to see people win.
- 1:02:20I love to, you know, if, if somebody has a question or, or
- 1:02:26wants something, I'm, I'm more than willing to help.
- 1:02:28We're all smarter together. That's terrific.
- 1:02:31I love that message. So last question for you, Brian,
- 1:02:34what do you maybe just pick one? What do you see?
- 1:02:36That is a big innovation that's coming in the food space in the
- 1:02:39next year. Oh, that's a really great
- 1:02:44question. Really.
- 1:02:45Really great. Or five years if that happens.
- 1:02:49Well, I I think, yeah, so good point.
- 1:02:53I think the the next revolution is going to be in reducing
- 1:02:57packaging. A number of states ahead of the
- 1:03:02federal government are putting in place, you know, enhanced
- 1:03:07producer responsibility laws, which are basically laws that
- 1:03:11are, you know, being passed state by state that require us
- 1:03:14as manufacturers to figure out how we own and reduce product
- 1:03:21waste throughout the supply chain, which is kind of a
- 1:03:24revolutionary approach. And you know, I'll give you an
- 1:03:29example. So our payment company in
- 1:03:31Germany doesn't use cases on pallets.
- 1:03:37They literally prank wrap the individual packages themselves
- 1:03:41and stack them on the pallets so they can get rid of all that
- 1:03:44cardboard. I would say the distribution
- 1:03:47system in Europe is significantly different than the
- 1:03:50distribution system in the US We're clipping stuff a lot
- 1:03:54further in general and in a much more varied climate than than
- 1:04:02they have in Europe. But I think that that's going to
- 1:04:07be something that comes comes to fruits and over the next 2-3
- 1:04:11years is these laws are going to force us to go, OK, how do you
- 1:04:14get rid of all that cardboard? That cardboard provides no value
- 1:04:18after it hits the retailer and they unpack it and put it on the
- 1:04:21shelf. So how do I get this out of
- 1:04:24supply chain? And yeah.
- 1:04:26And that's going to be an interesting set of trade-offs to
- 1:04:29to make that work because you may have to actually increase
- 1:04:33the size of the cartoons and stuff.
- 1:04:35So the cartoons to give them more strength to offset getting
- 1:04:39rid of cardboard as an example. But I think there's a lot to be
- 1:04:44done in that area. You know, one of the things I'm,
- 1:04:49I'm a part of the board of the American Frozen Foods Institute.
- 1:04:52And one of the things that we're looking at is why do we freeze
- 1:04:56products to the temperature that we do?
- 1:04:59You know, can we still have it frozen but be 3° higher than how
- 1:05:06we're having it frozen today? Meaning, you know, does it need
- 1:05:10to be at 0 or can it be at three?
- 1:05:15And the difference between 0 and three could be much as 10%
- 1:05:21greenhouse gas savings across the across the supply chain.
- 1:05:27So, you know, that's something that the that AFY as an
- 1:05:31organization is starting studies on.
- 1:05:35We're partnering with a company in the UK that's actually done
- 1:05:39this study in the UK supply chain and they figured out they
- 1:05:42can save 10 to 15%. It's it's much more difficult to
- 1:05:48do that in Europe because they're very strictly regulated
- 1:05:52on temperatures and things like that.
- 1:05:54Again, somewhat legacy, somewhat legacy oriented, meaning, hey,
- 1:05:58back, you know, 50 years ago there was, we didn't have the
- 1:06:03technology in, in refrigerated trailers and trucks and, and you
- 1:06:07were going to get more variability than you get today.
- 1:06:10So let's over freeze it to make sure that it arrived safely.
- 1:06:15OK, Well, you know, we're much better at that.
- 1:06:17I mean, you can GPS monitor a soft and A and a trailer and the
- 1:06:22temperature all the way through supply state if you want to.
- 1:06:25Well, I can normal have an ability to know oh, trailer A
- 1:06:31out in Phoenix, AZ has it kind of exceeded its limit.
- 1:06:34We're not going to put that into distribution.
- 1:06:36Whereas you know, 80 years ago when the laws were written for
- 1:06:40that, you didn't know that you kind of had to design A fail
- 1:06:44safe in the system and that was kind of by freezing it even more
- 1:06:47deeply. So is that a way to look at
- 1:06:51greenhouse gas reduction, energy usage reduction and still have
- 1:06:56the same quality, still have the same level of food safety, still
- 1:07:01deliver the same consumer end user experience and, and be
- 1:07:06smarter about how we do it. So I think the accommodation of
- 1:07:08packaging and and energy savings in, in, in the grocery industry
- 1:07:13it, it's something I think they'll be a lot of progress
- 1:07:16made on in the next 5 years. Super interesting, Brian.
- 1:07:20I want to be the first to thank you for sharing both your time
- 1:07:23and your story with us today. I really appreciate it.
- 1:07:26Well, thank you. I, I, I've enjoyed it.
- 1:07:28Hopefully I I've given some information and perspectives
- 1:07:32that that your listeners will will like and appreciate.
- 1:07:36Absolutely, folks. That's a wrap on another episode
- 1:07:39of the Inspired Stories podcast. Thanks for learning with us
- 1:07:42today.