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Recent out of an unfulfilling finance profession, Neil Hershman was in search of one thing totally different — one thing he might construct along with his personal arms. That search led him to 16 Handles, a New York-based froyo model he frequented as a buyer.
Astrophysics diploma in a single hand, finance resume within the different, Hershman discovered himself behind the counter of his first 16 Handles franchise, sleeves rolled up and working the shop from open to shut.
What began as a side project shortly spiraled into one thing larger. “Open and shut, each single shift I used to be working,” Hershman says. “I used to be capable of advance the enterprise [and] usher in extra income to the purpose the place the revenue was so nice that I made a decision to depart all my different initiatives and simply concentrate on 16 Handles.”
At a time when different entrepreneurs have been retreating, Hershman expanded. He began constructing new shops throughout New York Metropolis throughout Covid-19, when retail leases have been low-cost and opponents have been shuttering. “As a substitute of getting scared, I used to be the one coming in and constructing,” he says.
Quickly, he wasn’t simply working areas. He was main your complete firm.
Since buying the model from founder Solomon Choi in 2022, Hershman has led a nationwide enlargement of the froyo chain from 30 to 150-plus areas. His surprising journey from buyer to franchisee to CEO provides him a singular edge in right now’s crowded dessert market.
Hershman is behind among the model’s wildest flavors, starting from Harry Potter references to “french fry frozen yogurt” (a play on McDonald’s frequently broken ice cream machines). “I’m a part of the client base,” he says. “My household, my buddies, everyone seems to be a part of the client base. So it is simply concepts that now we have.”
The outcomes communicate for themselves. “Our gross sales development has been phenomenal, like after we launched french fry, or the Squid Video games-inspired taste, or the butter beer out of Harry Potter,” he says. “Our gross sales are up like 30-40% the week that we launched in comparison with prior years. So it actually does make a distinction.”
However constructing a thriving model takes greater than taste. It takes belief, consistency and loyalty — not simply from prospects, however from the crew. That is why the primary particular person Hershman employed was Lisa Mallon, who co-owned the Fairfield, Connecticut, location together with her husband for 13 years.
“Who is aware of the model higher and believes within the model greater than individuals who have been profitable with the model?” Hershman says. “Any individual who’s obtained 13 years of working a retailer open to shut and is aware of buyer interactions and [what] prospects need, learn how to make the most effective bang in your buck on this enterprise.”
This technique helps the model keep constant, that are the callouts Hershman appreciates most in customer reviews.
“We used to have one woman who ordered each single day, and it will all the time come via across the identical time, to the purpose the place once you heard the printer printing at the moment, we knew it was her order and what to do,” he says.
In the future, she left a five-star evaluate with an image of her froyo on her espresso desk. “Love this place, nice chocolate,” she wrote.
For Hershman, these few phrases have been a supply of encouragement. “Despite the fact that it feels monotonous that we’re packing the identical order each single day, there’s any person on the different finish who all day might be wanting ahead to this second of opening up this bag,” he says.
Hershman pressured the significance of paying shut consideration to opinions, whether positive or critical.
“[Loyal customers] know what to search for greatest,” he says. “These are actually essential for us as a franchisor to know what is going on on with our areas, and for retailer operators to know what is going on on within the buyer’s thoughts.”
Associated: This Local Bakery Has Lines Out the Door. Here Are the Secrets to Its Success.
Hershman and his crew maintain a detailed eye on review platforms like Yelp to assist refine operations and construct belief whereas maintaining in thoughts that not each critique is a name to motion.
For instance, one of many challenges Hershman recognized isn’t getting the complete image of a buyer’s expertise primarily based on their evaluate. “You simply get the sides, so it makes it a bit of onerous to make use of these opinions as a long-term choice maker,” he says.
Nonetheless, important opinions can present readability, and good opinions can construct credibility. Each are opportunities to grow as a business.
Hershman’s story is about seeing potential the place others see plateaus and making really particular moments for patrons, who will return for the consistent experience repeatedly.
After taking up as CEO and reimagining 16 Handles for a brand new era, Hershman’s recommendation to entrepreneurs is easy however highly effective:
- Obsess over the customer experience. From staple merchandise to add-on providers, every thing will be improved to construct belief and domesticate repeat enterprise.
- Construct buyer loyalty at each flip. Reading and responding to customer feedback lets prospects know their voices are heard.
- Innovate with purpose. Not each enterprise thought will see the sunshine of day, however specializing in fixed enchancment will maintain your online business aggressive.
- See your online business via the eyes of a buyer. Spending time on the entrance traces can provide you a contemporary perspective on what’s working and what must be improved.
Hearken to the episode to listen to instantly from Neil Hershman, and subscribe to Behind the Review for extra from new enterprise house owners and reviewers each Tuesday.
Editorial contributions by Jiah Choe and Kristi Lindahl