Do Not Quit - The Story of Kodiak Cakes
The only way to truly fail in business, is to quit.
I just looked up Joel Clark , the founder of Kodiak Cakes , one of the U.S.'s fastest growing and largest baking mix company which sold to private equity for $800 million, and just signed Zac Efron as their Chief Brand Officer.
But since they were founded in 1995, they almost went out of business many times before 2000, again in 2004, 2008 and many times in between.
Running a small business is awesome, until you run out of money.
Kodiak Cakes was founded in 1995, when Penny Clark shared her family's heirloom pancake recipe with her son, Joel, who decided to turn this family recipe into a business.
He started small, handpacking the mix into brown paper lunch sacks and selling them door-to-door.
The early years were challenging, with Joel balancing various jobs to support his entrepreneurial venture.For nearly a decade, Kodiak Cakes faced an uphill battle.
They struggled to gain traction in a market dominated by established brands like Aunt Jemima and Bisquick.
The company barely broke even, and there were moments when it seemed like it might fold.
However, Joel's passion and belief in his product kept him going.
He continuously refined the recipe and packaging, focusing on the health-conscious consumer by highlighting the whole grain, non-GMO ingredients.
In 2013, Kodiak Cakes appeared on Shark Tank, seeking an investment to expand their reach.
Although they did not secure a deal, the exposure from the show led to a surge in sales.
领英推荐
This was a critical turning point for the company.
They expanded their product line to include not just pancake mixes but also waffles, oatmeal, and baking mixes.
Post-Shark Tank, Kodiak Cakes' growth was explosive.
They tapped into the health and wellness trend, emphasizing the protein content of their products.
Their innovative approach to traditional breakfast foods resonated with consumers, leading to a significant increase in distribution and sales.
By 2016, Kodiak Cakes had become a leading brand in the pancake mix market.
In 2019, Kodiak Cakes took a significant step by selling a majority stake to a private equity firm, L Catterton.
This partnership provided the financial backing and expertise needed to fuel further growth.
The company expanded internationally and continued to innovate, introducing new products like frozen waffles and toaster flapjacks.
Today, Kodiak Cakes stands as a testament to perseverance and the power of a good product and entreprenuerial fortitude.
Lesson here?
If you really want it, just don't quit.
Partner at Crystal Clear Financial Group, LLC
11 个月Not only not quit, but that willingness to adapt to changing conditions and the challenges along the journey is a big contributing reason to success, at least in this story, John Timmerman ??