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Rita Katona, Chief Innovation Officer and Co-Founder of So Good So You, is full of insights any business leader can learn from. The conversation kicks off talking about their recent capital investment of $14.5 million from Prelude Growth Capital and how they’ve grown 380% in the past 3 months. Rita speaks to how their growth trajectory has not been straight up, but one that zigzags, making their recent success even sweeter.
“Our community is a group of health optimizers. They’re proactively interested in managing their health and it's something the pandemic has accelerated for the larger consumer group, which has resulted in our current stellar results.”, said Katona.
Conquer the Noise is a podcast dedicated to telling stories of outstanding ideas and people who have found their way amongst the chatter.
Series: Cultivating Purpose & Passion in Business
In an environment of cultural change and demanding consumer expectations, engage with fellow marketing leaders and hear how they navigate brand relevance, impact and authenticity. In this series, we will explore how to create a greater impact on your business and community by cultivating purpose and passion into actionable items. During this session we’ll discuss ways brands and businesses can better connect with the environment and their community. Learn from 1% leaders on how they bring values in sustainability through all aspects of their brand and business.
Unconquered presents this series in partnership with 1% For The Planet's Be 1% Better Campaign. Unconquered is an independent creative agency challenging brand perspective through redefined content. We founded the agency to create work with a sense of purpose beyond itself, using commerce to change the world. We believe the unconquered spirit is at the heart of every great brand.
Credits:
Thank you to all of our guests, without you this wouldn't exist.
Art - Mike McNeive, Partner @ Drexler https://drxlr.com/
Audio - Harry Glaser
Speaker 1: Conquer the noise is a podcast produced by Unconquered, an independent agency. This podcast is dedicated to telling stories of outstanding ideas and people who have found their way amongst the chatter.
Speaker 1: I'm Jonathan Hanson, chief creative officer at Unconquered And I'm your host of cultivating purpose and passion in business. Today, we're speaking with Rita Katoona, chief brand and innovation officer at So good So you. All right, Rita, [00:00:30] thank you so much for coming on the show today. Really appreciate you taking the time. Before we dig in, I wanna first say thank you for sending the juice packs to us and let us sample. Usually guests don't don't do that for us. It was just a really nice treat I will say they were fantastic. And then on top of that, I also wanna send you a big congratulations on the recent investment you've had. I think it's one of those big moments in any business lifespan when the idea of one is validated in some ways is you see, you [00:01:00] see other people interested, they've wanna really wanna, help support it. And then too, I think it there's always those, I don't know if, I don't know if you were in this particular case, but sometimes you hit those plateaus in business where, growth just needs like a cash injection.
Speaker 2: Absolutely. We've been at the, well, first of all, I'll say you're, you're very, very welcome for the samples. Um, I come from a, a family where, uh, we showed the people that we loved, that we loved them, but with food. So I, I love that about, um, [00:01:30] having founded a, a food and beverage company and, and when that is nourishing and good for you because of like it's doubly rewarding to, um, gift and, and share, uh, our products with people. So, so I'm, um, I'm thankful for that, that feedback and glad that at that, uh, it was well received and, um, yes, we are thrilled about the new partnership with our, um, investment partners, prelude growth capital. They're also based in, in New York. And [00:02:00] to answer your question, we we've been at this for six and a years and, um, it would be, uh, a complete miracle if it was all an upward trajectory.
Speaker 2: The reality is that it's never, um, you know, that, that straight line up into the right, it's more of a, a, a zigzag, um, line and, and plateaus, and sometimes, um, different sizes of short term setbacks. But, uh, it's important that, [00:02:30] that when you take a step back over the long term, it's, uh, it's a, a really nice growth trajectory and we've in the last 18 months, we've grown over 380%. So, um, incredible. It's a, it's a really awesome time and, and we're thrilled to, um, have the new partners on board to help accelerate our growth.
Speaker 1: Before we dig into that, you, you, you kind of provided me with a great entry, uh, for where I wanted to start with this conversation by mentioning family. You know, I too grew up in a family where, [00:03:00] uh, food was like a big central. We always ate every meal together. Um, Sunday dinners were meant for all the family to get together like relatives, everyone came over. My mom cooked, actually my mom and I cooked. Um, my grandmother always had her certain seat in the kitchen where she would sip her diet Coke and, and, and talk to us. Um, and I'm always had fascinated with the, the back stories of entrepreneurs, people who invent things to see how they got to those big pivotal points. And it already sounds like family, um, is a big influence for [00:03:30] you and, and the choices you've made. And I'm, I'm really curious, you know, you, you're a born and hungry and, you know, yeah. Later came to the, to the United States. I would love to hear how those early years in Hungary with your family, um, put you in the position or set you up for the values that sort of set forth. Um, so good. So you,
Speaker 2: Yeah, it's, um, it's really interesting cuz look looking back, I guess after you, you reach a, a, a certain age and I'm not super old yet, but [00:04:00] I can certainly see how, um, E everything from my early upbringing has, uh, led me to where I am right now and, and shaped, uh, what I'm doing. So we grew up eating fresh food, mostly plants, uh, that we grew ourselves, my GRA grandmother, and, and we lived, we didn't live like out in the country. Um, we had a decent sized property on the outskirts of a city, but we had a massive garden. [00:04:30] And, um, my, my grandmother worked in the garden and that was her, her pride and joy, and kept her very active into her eighties. And so most of our, our meals were based on what was in season and what was growing in the garden.
Speaker 2: And I have really fond memories of going out to the garden, um, in late summer, early fall and, uh, just eating myself full of raspberries and ruining my appetite for, for dinner. Um, and, and that was just really lovely. [00:05:00] And then for when I came to the, the states and then really it was during college when, um, I started being on my own and living in a living in a dorm where there wasn't a kitchen. And, um, there was more people around me were eating out a lot and convenience foods that I started to realize that not only the quality, but the quantity in terms of portion sizes in the, in the us was, um, [00:05:30] really inappropriate for lack of a better word for, for what, um, humans really need from a scientific perspective to consume. And that the standard American diet is calorically, um, excessive, but nutritionally and solvent. So we ate eat way too many calories, but those calories are devoid of the nutrients that our, our bodies actually need.
Speaker 1: Yeah, I think, um, one [00:06:00] just to be as be someone who's always, who's lived here growing up here, um, I would say that maybe part of our portion is also linked to what we perceive as value mm-hmm , you know, the more you get the better value you're getting for your,
Speaker 2: You wanna a deal
Speaker 1: Yeah. You want a deal or want to feel full or, um, you know, so good. So you strikes me as a very value based company. Um, just all from the efforts that you're taking, whether it's environmental, um, or nutritional. Yeah. Uh, [00:06:30] and, and I'm, I'm really curious to, um, you know, you had a previous career at target at brand, which I would love to touch on later. Cause I think that was just such a fascinating company in itself. Mm-hmm um, and then, then got to, um, you know, your, your, where you are now, how has your values sort of, have they always been there? Have they evolved? Have they, you know, as you've gone through different companies, have you figured out this works, this doesn't, um, how are you sort of injecting that into what you're doing now?
Speaker 2: My values have honestly, always [00:07:00] been there, but they've crystallized over time and mm-hmm as I've gotten older and, and more confident in myself and my, my career. Um, I think I'm more unabashed about speaking out on about my values and, and, uh, and as, as brand, as well, mm-hmm so, um, even prior to target, I was a health and nutrition buyer at home shopping network HSN, and, uh, really loved that. And then, um, [00:07:30] target recruited me and I had a, a fantastic career at target was there for seven years. And it was in various different merchandising and, and sourcing roles there. Um, but I wasn't working on product categories that I was super, super passionate about. Um, and I, I missed the, the health and nutrition world. I always loved, um, I left fitness and exercise and, and anything having to do with feeling good and like being healthy and feeling mm-hmm .
Speaker 2: [00:08:00] And, uh, and so I got that part of satisfaction that I was seeking from other parts of my life. I went through yoga teacher training and started a, a vegetarian recipe blog. And, and so that was balancing out my, my corporate career mm-hmm . Um, and so I was really excited to, to be able to take that step away and leap off the cliff and, and, uh, take on entrepreneurship, um, along with my, my husband [00:08:30] and start a company from scratch that really, um, leveraged both my corporate experience and also, uh, was really true to our, our collective passions of supporting planet health and health of people.
Speaker 1: Mm-hmm , um, you know, I have a quote from you that I'm gonna read where you said, we believe that every decision we make matters and collectively we can make a POS positive impact on the health of our community and planet. Um, and I, and I'm curious to how has [00:09:00] this viewpoint, that, you know, every decision you make matters, um, become integrated into a bus, into business planning, you know, you're six years in. Yeah. Um, you know, every, you know, every thing you do has a reaction as a consequence mm-hmm , um, which I think can make things feel really daunting and unrealistic. So I'm, I'm, I'm really curious about how you made all that happen.
Speaker 2: Yeah. And I, I think, um, big problems like climate change, social justice can see are, are all very [00:09:30] daunting. And oftentimes, um, people, myself included end up, uh, in a paralysis of not actually doing anything, because it seems like the problem is so big. Yeah. And you feel like one little person and what can you do? Mm-hmm um, so, but the reality is that all the all decisions and when EV like thousands and millions of people are making those small decisions in a very intentional and thoughtful way, [00:10:00] do make a difference, they do add up. And so everything that we do and, and our, how we communicate with our, our community, um, is to reinforce that fact from the early stages of our company, going right back to, you know, seven years ago when we were sourcing our first bottle, and we started making large 16 ounce, uh, juices at that point, the absolute, um, most sustainable, uh, single [00:10:30] use package that was available for juice was a hundred percent recycled plastic.
Speaker 2: And that was what we've used from day one. And, and I was, I was surprised to learn only a couple of years ago that, um, other beverage companies weren't doing the same thing that they were using Virgin plastic, which mm-hmm is, is a little bit cheaper, but obviously exponentially, um, different impact on, on the environment. And so, um, that was a, uh, something big that, that we did from the beginning and then our, our [00:11:00] biggest innovation for the planet to date was something that we launched earlier this year, which is an, a new, um, bottle that we called the better bottle, which is, uh, an additive that gets added to the plastic at the time of extrusion and creates a bottle that will biodegrade at an accelerated rate in landfills. Mm-hmm knowing that even if a bottle is recycled 90% of the time, the us recycling system doesn't work [00:11:30] and plastic ends up in a landfill nine out of 10 times, mm-hmm , um, which is like a, a fact that we should like pause and consider because it was a really, it's pretty wild, daunting, daunting fact when I learned it.
Speaker 2: Um, and that's when we started to explore what can we do? And obviously, um, there's a lot of great work being done on new plant-based plastic materials that will eventually be ocean biodegradable. And I'm so excited for that. Mm-hmm , but that's a couple of years out from being commercially [00:12:00] viable. And we did not want to just sit back and wait for that to happen. We wanted to continue to push the envelope, and even if it was an incremental change, it was something that would be meaningfully better. And so we, we transitioned all of our packaging to be this new, better bottle. So regardless of whether our consumer recycles it or throws it in the trash, regardless of what happens, um, it's an infinitely better end of life result for, for that package. And that's [00:12:30] one example, a meaningful example that we are super proud of.
Speaker 2: Um, but another fact is that our manufacturing facility, um, which we run and we own our own manufacturing, um, is powered by a hundred percent renewable energy. So we also produce our product in mm-hmm , uh, a very sustainable way. And so just a big things like that, all the way down to little things of, um, when we order print materials or business cards, because we used to go to trade [00:13:00] shows prior to COVID mm-hmm and, uh, like finding printers that use recycled and FSC certified paper, and they print with, um, more environmentally friendly and, and things like that. Every decision we look at what is, uh, a more environmentally or the most envir environmentally friendly alternative, and many times that alternative has a cost to it. [00:13:30] It's not the cheapest alternative mm-hmm , but it is something that, um, most, most, um, um, if, unless it's exponentially more expensive and, and makes it, uh, not viable or would increase our, our ultimate cost to the consumer.
Speaker 2: But most of the time we, we built that into our business model to be able to make those environmentally friendly decisions. And we used to have a couple of, um, retail cafes in Minneapolis, which we've moved to a, a completely wholesale [00:14:00] business. But one example there is, um, straws, compostable straws cost four times as much as regular plastic straws. And thankfully, um, the, the city has past regulations now that require that to, to be compostable to biodegradable. But when we opened our cafes, that wasn't the case, and we were, um, one of the few businesses that still made that choice and paid four times as much for that material.
Speaker 1: Mm-hmm . Um, [00:14:30] so do you, do you have like a checklist? Did you create an internal manifesto? Have you created like rubric? Um, you know, the reason why I ask is for people who are at home start, who have their own businesses, or who are, you know, uh, leaders in larger corporations, um, just trying to find some insight to help them get the tools that they need, uh, yeah. That they can, so they can make these IM implement the thinking and changes in their own, uh, businesses.
Speaker 2: Yeah, it's, it's not necessarily [00:15:00] an official checklist, but we do have a, a mission statement and, and manifesto and part of anybody who's making, making decisions, which is basically everybody at the company is mm-hmm is trained and, and it's instilled in them, but ultimately it starts at the recruiting stage. And, uh, as much as possible, we are expanding our team with team members that are already, um, living and breathing this and are, [00:15:30] are passion and embracing the fact that, uh, we can all make decisions that are going to have a positive impact on the environment. And so, um, we don't have a situation, uh, where anybody has to police. Like you threw that in the trash and it should have been recycled .
Speaker 1: Yeah. That's, um, that's a great, it's also great insight in the hiring. I think in really making sure that, um, you know, the checklist may be shorter if you, um, make [00:16:00] sure you're hiring the right people who share absolutely those, those values. I think that's a really great insight there. Um, you know, last week I talked with MROs Cohen from final straw, she was one of the co-founders, um, final straw, which they make, um, basically aluminum, aluminum straws that, um, can be like break down and be held in a little tiny case and take 'em everywhere to sort of address mm-hmm the, the, um, the, the straw issue. Um, and she [00:16:30] came, had, she said, basically along the lines that companies are responsible from their product from the moment they basically, the moment they've created all the way through after its life cycle and the consumer gets rid of it. Yeah. Um, which I think is, uh, really interesting. And I think your better bottle idea really fits into taking on that responsibility. Um, is this something the better bottle technology? Is this something you're trying to make industry wide? Is this something you're keeping in house? [00:17:00] Uh,
Speaker 2: Yeah, so we're, we're not a packaging company, but we did a lot of that legwork to find the manufacturer of the bottle, uh, that, and connected them with the, the company that, um, makes this spec specific additive mm-hmm . So, um, we don't own the technology and, uh, as people who are passionate about supporting the planet, I would love nothing more than for everybody to follow [00:17:30] suit mm-hmm and, and adopt similar technology mm-hmm
Speaker 1: and know, just as, so I co-founded on Concord three, three years ago, four years ago, ish, uh, in that, in that ballpark. Um, and we did the same thing. We started out with trying to come out with a really clear set of many manifesto, uh, set of values. Um, and it has guided us in a lot of our decision making, uh, whether it's hiring, which clients are gonna take on, um, [00:18:00] you know, which ones are not, and, you know, the decisions we're making, you know, we started out really as a production company and we've really grown into, to a full service agency. Um, but you know, when we're doing sets, you know, we have 30 or 40 people instead, how can we reduce single-use plastics? Um, and it's just, I think it's really requires, uh, a mental shift and, and like an education. I feel like I'm learning and trying to learn more every day, as far as like the little impacts that, that we're doing that cause [00:18:30] or little actions that we're doing that have greater impacts, um, whether it's negative or positive.
Speaker 2: Absolutely. And there's certain things that are just easy, like have a water bottle yeah. Um, you know, um, uh, I, I hope I never have to buy another bottle of water ever again because that's just something that should be a basic human right to have clean drinking water. And mm-hmm, in some way, some way to, to get it into your body mm-hmm um, [00:19:00] and, and other things that are, are more difficult, right. We live in a society where everybody is busy, busy, and just getting busier , um, by of the day, week and, and year. And so, uh, convenience products are, uh, are important. We're getting more and more products or, uh, shipped because e-commerce is, is booming even more and accelerated from people, um, staying in and kind of limiting, um, exposure with the pandemic happening. [00:19:30] Mm-hmm . And so, so, uh, it's important to know the businesses that you're supporting, um, and, and make even those decisions.
Speaker 2: If you're, if you're ordering DoorDash, um, who are you ordering DoorDash from and how are they packaging the products? Are they sending you 37 ketchup packets that you don't need every time you order from them? And, and is there, um, are they using the most sustainable packaging that, that they can for [00:20:00] that? Um, yeah. O other things can be really hard. Like I love hummus. And one of the commitments that I made earlier this year with work from home and the pandemic, uh, and to try to be more sustainable was I would not buy hummus anymore, and I am making hummus from scratch. And I even took it to the level of making them from dry garbanzo beans, which is a whole
Speaker 1: Process [00:20:30] that's dedication.
Speaker 2: Yeah. Uh, um, and, and that is just not gonna be accessible to a lot of people. And I realize that, um, but, but there are other things that are totally doable. And I think, uh, first and foremost, researching the brands that you're supporting and understanding do they have an authentic mission and mm-hmm, a true, um, sustainability policy. Um, and not something that was just slapped on after [00:21:00] the fact, because somebody told them that you need to be doing something for sustainability and like, let's come up with some angle that checks that box mm-hmm
Speaker 1: , um, well, you bring up research, which, um, I'm always fascinated with like developing business insights and how people shop and why they're buying the things that they do and the way that they do it, whether it's online or in store or on their phone. Um, I'm curious to how, uh, consumer research has played a role in your marketing and decision [00:21:30] making, uh, over the last six years.
Speaker 2: Yeah. Um, to, to be honest, I, I wish that it played a bigger role. We've been bootstrapping and, uh, a small, nimble startup for so long. However, at the same time, I can say that we've absolutely always had our finger on the pulse of the consumer and it, through our community, just not in the traditional way that a big [00:22:00] CPG company might conduct consumer research. Mm-hmm , um, we, we pull our community on a very frequent basis just on, um, sentiment on, on how, how they're feeling about things, which then helps provide insight into how we communicate with them and what sort of content, um, and engagement plan we, we create. Um, and of course that also, uh, goes for product development. So when [00:22:30] we're thinking about, um, how do we expand the line, um, and create new products for them, we wanna understand what needs can we meet that, that we're not meeting right now, or, or, um, uh, how, how can we help them and add value to their lives, uh, in a way that they may not even realize yet? Mm-hmm
Speaker 1: um, so what kinda, what, what are some of these things that you have learned though, as far as like content, uh, what are your, what are your [00:23:00] fans, followers, uh, users, where they were, they really gravitating towards in this, in the type of content you're creating?
Speaker 2: So our, our community, um, is a, a group of health optimizers. They are, um, proactively interested in managing their health mm-hmm . Um, and this is something that, uh, the pandemic has accelerated for [00:23:30] the much broader consumer group than just the so good. So U uh, community mm-hmm , which has resulted in, uh, the, the stellar results that we've had. And even though our we're not adding store count at the pace that we thought, um, that we were forecasting at the beginning of 20, 20 mm-hmm , we are, um, going to absolutely hit, um, and potentially exceed our 20, 20, uh, revenue goals. And that's just because this idea of [00:24:00] pro proactively managing one's health has gone mainstream mm-hmm
Speaker 1: . And so, um, it sounds like COVID has definitely helped sort of usher in, or, or speed up some of that pro that process as far as growth, or, or at least a collective, um, I guess, observation of the importance of health.
Speaker 2: Yeah. I think it's placed a, you know, placed a, a magnifying glass on, uh, on the idea that, um, your immune [00:24:30] system is something that you can, you can have an impact on controlling mm-hmm . And again, it goes back to decisions like every decision that you make in terms of what you drink and what you eat. Um, very few things are neutral, either have a positive impact or a negative impact on your health mm-hmm and on your immune system. Um, and with people being more, uh, more conscious and, and their immunity, uh, and health being more top of mind, it has accelerated [00:25:00] this movement. Uh, we really feel that this is not a fad or a, a trend, but it's a, a movement that is here to stay
Speaker 1: Mm-hmm . And so, um, as your community grows, you know, are you looking for interesting ways to keep connecting with them? Um,
Speaker 2: Always
Speaker 1: . Yeah. And, and so, and I know that's sort of an obvious yes question, um, but really what I'm getting, what I'm getting is I'm really curious to, um, you know, what, what that is, you know, before COVID people [00:25:30] would have activations of different events, um, get people to come together in physical spaces. Yeah. And, you know, that's obviously not happening right now. So I'm just curious to how that has morphed and changed, um, over the last, I guess, almost a year now.
Speaker 2: Yeah. I mean, it's, it's, it's been a big challenge and of course, course we, as everybody else have, have focused on how do we create, um, engaged, online and engaged digital communities. Mm-hmm and we're, we're looking at what spaces and platforms [00:26:00] to, to do that on. Um, there's certainly is, um, we're something that we're seeing in terms of a, a com consumer, uh, or group of consumers that is actively shifting away from traditional social media platforms. I think the, the year of the election and everything that brought with it in terms of, of noise on social channels, specifically face, um, is something that [00:26:30] we're keeping a, a close eye on and, uh, very much have been in this testing mode.
Speaker 1: Yeah. Um, and when you say testing, do you mean like you're testing different creative, or just different ways we're
Speaker 2: Testing it, we're always testing different creative, but testing different platforms on gotcha. And, and where, um, where our community is more likely to engage with us. Yeah. Um, how, how even subsets of the community may be on one platform versus [00:27:00] another. Um, so yeah, we have, uh, uh, my, my awesome social social community, um, manager is, uh, is also very analytical. So she is, she is all over this in her spreadsheets.
Speaker 1: Yeah. You have to be, you know, it's funny you say we, um, do social media, um, community management as well. That's one of our services. Um, and, uh, it's so analytical, the type of person that you need to, to do that work is one also, [00:27:30] it's like, you need someone who can wear multiple hats mm-hmm , but has that ability to really, um, look at big groups of, of data and, and figure out what that actually means to actual, to human beings and to be human behavior. So it's almost like that sociological side of it. I think it's super fascinating, um, to learn about. Yeah. Agreed. Um, you know, in the beginning of 2020, uh, you kicked off a tree planting initiative, um, and you've planted [00:28:00] around 3000 trees so far, um, at least at the time of, or when I read that, I'm not sure that that numbers has grown or not. Um, you know, how did you come up with this idea to, for like a tree initiative and, and how did that sort of take off
Speaker 2: So interesting. You brought that up because at the beginning of the year, that was going to be our big push for the year, and then the pandemic happened, and we had to pivot a little bit, um, because you can [00:28:30] only communicate so many messages at once. And so, um, in prioritizing, uh, what was important to the community and what they were looking for from us, uh, that felt away a little bit mm-hmm . And when we, uh, came back with strong sustainability messaging, we obviously had the huge story to tell about the better bottle, uh, launch mm-hmm . So it was fo focused, um, around that, but, um, you [00:29:00] very well, um, or very, very likely to see, um, some resurfacing of the trees campaign, because that is something that we saw. Uh, we're very excited about when the study came out, that planting 1 trillion trees, um, I think it was in the next 30 years by 20, 20 50 would address the carbon emission issues and actually [00:29:30] like help offset or mm-hmm , or, um, not, not only like stop, but start to reverse the, the really alarming climate change, uh, and trends that we're seeing.
Speaker 2: And, uh, it was one of the first signs of like truly optimistic news that there is a, a solution and it is, uh, doable. Uh, and if you think about the cost of, and that's not [00:30:00] exit Qian, but the, the cost of how much planting a trillion trees are like a handful of the world's billionaires could literally fund all of this. I know. So
Speaker 1: , I, that's a whole nother topic that I, I could go down is, is the, the amount of good, I feel like just one billionaire could, could, um, in, you know, could do with, with a couple large invest that would probably maybe dent, maybe dent their, their bottom, their bottom line and wealth and, and the amount of good that would come out of it. Um, [00:30:30] yeah, it's a whole, that's a sore topic for me, for
Speaker 2: Sure. I know for, for me too. And, and, uh, yeah, I'm, I know that there are many that are focusing on that. I just, I, I like to hear about the them as opposed to, uh, the, those individuals that are looking at going to Marge and moon and exploring other planets, because like, Hey, let's, let's take care of this one that we're on.
Speaker 1: Yeah, I agree. Um, and I think you, you use that word pivot, and I think that's was like one of the key words of like 2020 [00:31:00] for a lot of businesses is how are you able, able to pivot, um, keep your business afloat, cuz economically everyone was affected. Um, you know, there's a handful of businesses, um, that weren't, um, and actually, you know, excelled. Um, but the bulk of, I think smaller, um, small businesses were definitely hit hard. Um, know what do you, what have you done? That's that fits in line with your BR with the brand values that keeps your team motivated, feeling happy, [00:31:30] healthy, um, and, and inspired and continuing to wanna come to work and, and, and do a good job.
Speaker 2: Um, so I think E everybody was hit hard in some way though. I , we are in that very small group of, uh, very fortunate businesses that from a demand perspective, um, and, and which drives top line revenue and, and overall health of the business, um, mm-hmm, , we actually have been positive, have seen a positive, uh, impact [00:32:00] mm-hmm however, um, massive challenges when it comes to operating a manufacturing facility, um, versus if we were one of the many, many brands that doesn't actually make anything and they use contract manufacturers, mm-hmm , um, we have a responsibility to take care of, of fr like literally they're considered as central workers because we mm-hmm we make a food product. And so very early on, [00:32:30] um, we, we set up our, our coronavirus, uh, kind of philosophy and procedures and are, are continuing to update that.
Speaker 2: But our first and foremost priority is to, to safety mm-hmm , um, and their health and, uh, the health of their families and, and friends. And then that obviously has a reciprocal effect on mm-hmm health of, of each other. Because when we have healthy team members, then [00:33:00] they're not getting their, their coworkers, um, sick and creating additional exposure. So from the very get go, even before government guidelines, um, and regulations came out, we set a policy that our hourly production floor team members could take up to four weeks of fully paid time off mm-hmm . Um, if, if they were sick, if they had a family member, anybody in the household that was sick mm-hmm , or if they just had an [00:33:30] exposure. And we, we kind of hammered that in, into them that that was put in place so that they could be safe.
Speaker 2: And that has worked extremely well though. Granted, everybody is going through a second wave right now. And so we've, we've all had, um, friends, colleagues, et cetera, um, in, including at, in our company who, um, have had coronavirus. And I'm very grateful to say [00:34:00] the, at everybody has come out fine and that's great and healthy mm-hmm , but, uh, everything from, uh, separating out shifts and groups of workers that are working in the plant to, um, relaying out how the production flow is going so that we can practice, uh, social distancing more effectively and, uh, kind of staggering breaks so that people have more room to spread out when they're eating their lunch [00:34:30] and snacks and things like that. Um, to anybody who can do their core responsibilities, not in the office is working from home and that that's been mandatory and that's to protect the team members that don't have a choice and have to be at the production facility. And, uh, you know, I'm proud to say that we have such a phenomenal team that really, um, is like a, an extended extended family to each other, [00:35:00] that when there are disruptions or potential disruptions, because there are team members that are out out sick, whether it's coronavirus or, or just a potential exposure, it's everybody is available and willing to jump in and help one another out.
Speaker 1: Yeah. I was really impressed reading through, um, the benefit you offered your employees, the pay you give your factory workers, um, the, just in general, it's, it really seemed [00:35:30] like you have done a great job of connecting those, uh, core again, going back to values and corporate and values of connecting that with, um, who and how you're hiring and, and, and how you're treating your employees, um, for people who Aren familiar. Yeah. For people who aren't at home, do you mind talking through some of some of that?
Speaker 2: Yeah. So our, our tagline is for the love of body and planet, and then like internally, we even reword that a little bit to be about people and planet first [00:36:00] mm-hmm mm-hmm . Um, and sometimes that is people on planet ahead of profits. Um, because ultimately we feel very strongly that in the long run, having a philosophy and a view of people on planet first is the right decision for long term longevity, uh, and profitability of a business that, that mm-hmm that will come second if you're making the right decisions.
Speaker 1: Mm-hmm yeah. People plan profits. I think there's, that's a great there's, [00:36:30] there's something in there. I think that you could really work into, um, something that, you know, connect sustainability against all, all of those, because I think often sustainability is something we've talked a bit about on the show is really aimed towards environmental sustainability. Yes. Um, but you know, how do you, there's much more to it that, how do you keep a sustainable workforce? That's ha like you said, happy and healthy. Um, you know, how do you keep, um, your, you have to keep your margins in the business, or also you're not gonna be able be in business and be able to support your [00:37:00] team. Um, so I think it's, it's a really interesting and important, um, topic for people to be like as, as leaders or business owners to really be tuned into,
Speaker 2: We are super proud of, um, our production. So our, our production line workers that are actually making the, the, the juice, um, at our production facility, our average tenure is 2.2 years, which mm-hmm , um, typically that the turnover in that industry is like a service [00:37:30] industry where you're TA turning your, your workforce over a hundred percent in a year. And that's very different from Tough's from our reality tough mm-hmm .
Speaker 1: Yeah. That's, I, I couldn't imagine having to consistently hire and, and, and find new people, um, every, you know, a whole workforce every year.
Speaker 2: Um, and, and it's so taxing on the managers. Yeah. So I think, uh, it's, it's really, um, goes to show what a, a, a great management team that we have that support [00:38:00] the, the, um, there are employees that, uh, we have that type of, of tenure, and it really is, uh, something that's essential when you have a product that is a premium quality product. Mm-hmm . And we want everybody, every single person who works for the company to be empower, to, um, make decisions. If they see something that doesn't feel like it's right, or it should be done that way to, to speak [00:38:30] up and feel that sense of ownership and being vested in, in the outcome. Um, and we, and we have that team, which is, which is why they love coming to work. And, uh, they have dance parties in the kitchen and, uh, yeah, it's, um, it's really wonderful
Speaker 1: Before, you know, we're getting close on time here, but as we, as we, uh, wind down the conversation, um, I would love just to hear, if you have, if you do any sort of incentivizing programs for [00:39:00] your employees, or if you really are, um, investing in the training, you know, how are you getting such success, um, outside of, you know, providing great benefits and great pay and, and making sure that people are he healthy. Um, you know, I'm, I'm curious, what's your training process like for that?
Speaker 2: So we, we haven't really put anything formal, um, in place for the company, um, overall in general, or, or for production, [00:39:30] it's really about, uh, a core focus and investment in leadership team to embrace their role of being stewards of the, the development and wellness of their teams. Mm-hmm and, uh, an example of how we've, um, invested in, again, I'll, I'll give the production team as an example this year, we completely upgraded [00:40:00] our manufacturing, uh, process by mm-hmm installing a fully automated custom, um, multimillion dollar line. And up until that point, we were producing in a way that was way more, um, labor intensive and, and our to, if you will, uh, um, so a completely different skillset required. And normally what happens in, in when this type of change, uh, happens at a manufacturing facility is you [00:40:30] end up turning over your entire workforce and hiring new people that are, have different qualifications.
Speaker 2: And we did not do that, even though our, our actual labor needs went down significantly. We said, let's lean in to the team members that we have, let's take the time to train them. And in a lot of cases, um, it's a bilingual training, uh, that is needed because most of our, our team members in production, um, are not [00:41:00] native English speakers mm-hmm . Um, and so we, we invested in training them in getting them to a point where it allowed significant pay increases, because they've now developed new skillsets. Um, and they are, are now vested in continuing to grow in this way with the company.
Speaker 1: Yeah. That's, that's amazing. That's awesome. I wish a lot of more companies would sort of take that similar investment into their employees and teams, um, going back to the conversation [00:41:30] of billionaires and how, uh, how they could treat and, you know, make, make things a little bit better for people.
Speaker 2: Um, it's definitely, you have to have a, a, a longer term view and yeah.
Speaker 1: Um, for sure. Yeah. So, um, last question as before we wrap, and it's kind of open, and I'm just wanna give you the opportunity if you'd like to sh maybe share any of the advice you would have for, um, an entrepreneur or, or someone starting a business or someone maybe who's midway through their career and, and [00:42:00] or through their ownership of their business and, and thinking, you know, this quite, isn't quite doing it for me, what can I, what can I do to be make this better?
Speaker 2: Well, I think that probably different advice for, for those different scenarios for, for somebody who's in a corporate career and thinking of making the change mm-hmm, , um, it, it is every bit as hard as they say. Um, and it's harder than you think it's going to be, uh, [00:42:30] but like anything that's hard, it's also incredibly rewarding. The hard mm-hmm I think the harder something is the more rewarding it is. Like mm-hmm, having a pet or being a parent mm-hmm , um, writing a book. Uh, so, and, and the, the advice there would be, if it's something that you are so passionate about, and it can't be making money, it has to be something you're so passionate about that even if you don't make any money, um, you would [00:43:00] still want to do it, or you will walk away saying, even though I didn't make any money, I feel really good about doing that.
Speaker 2: Then you should do it. If you have a good idea, as scary and hard as it is, take the leap, the longer that you wait, uh, those golden handcuffs get heavier and heavier. Um, mm-hmm , and, and, and it's harder to leave, um, a career where, um, your pay and benefits are at, uh, [00:43:30] you know, a rate and maybe you have family independence, um, later on in, in life, it just gets harder. So mm-hmm, , don't wait, if you have a good idea, talk to people, talk to as many people about it, as you can, um, talk to other entrepreneurs, uh, even entrepreneurs that have failed, because oftentimes you can learn more from people that fail.
Speaker 1: I agree on percent. Yeah.
Speaker 2: so that, that's what my advice would be there. And for, um, [00:44:00] for somebody who's kind of like mid business, that feels like it's not quite happening, that's a tough one, because you might just be at that plateau part. Right. Yeah. And so, um, you don't know if you stick with it, if you may reach that, that tipping point where all of a sudden your, you know, your growth is up into the right again, um, on the growth scale. [00:44:30] And so again, talking to advisors and mentors, and really having, um, a good, a good feeling for the health and viability and the runway for your business mm-hmm , and then the other piece of it is also how, where, where is your sense of commitment and energy towards continuing that? Because starting a business is, [00:45:00] um, can be really draining and at times, soul crushing at other times, again, extremely fulfilling and rewarding.
Speaker 2: Yeah. But the longer you're at it, it in the more ups and downs that you experience, um, can really be, be tough. Um, and so you constantly have to be checking in with yourself and evaluating, like how much gas is left in your, your engine mm-hmm . Um, and this is where comes to [00:45:30] I'll get on my little soapbox because I've, I've experienced it, but if you don't take care of yourself, you will burn out. And it's a real thing. Um, and it's a lot harder to come back from burnout and get re-energized and reengaged than, uh, than to just like, take care of yourself and, and spend that time and investing in yourself and making sure that you can stay on top of your game and, and give your all to your business and your employees and the community [00:46:00] mm-hmm
Speaker 1: . Well, I think that was great advice. Um, so thank you for all the knowledge and, um, inspiration you've shared with our listeners today, Rita, I really appreciate the time and, um, I hope to speak with you soon.
Speaker 2: You so much my absolute pleasure.
Speaker 1: All right. Bye-bye
Speaker 2: Take care.
Speaker 1: Thank you so much for listening today with our conversation with Rita, uh, I really enjoyed it and found her super insightful and intelligent, uh, personally her information on hiring and [00:46:30] keeping your employees happy and engaged. What is super helpful. And I think any business could, could learn from that. Uh, I do wanna know a correction. Uh, I referenced final straw in, in our conversation. The, the name of the brand is actually final. For some reason, I just have final straw just etched in my brain. Uh, if you have any questions, comments, or wanna be on the show, you can email me personally@theletterjthatweareinconcord.co.