The Startup CPG Podcast · 21 Nov 2020 · 40m · Episode 11
John Schiaroli, President and Founder of Armatura Company, explains how his firm provides outsourced operational frameworks for young CPG brands, drawing on his experience at Coke, Pepsi, RUNA, WTRMLN WTR, and Milk Bar. He emphasizes that operations encompass more than manufacturing, including strategic sourcing, inventory control, and financial visibility into gross margins and cost of goods. Schiaroli advises founders to admit what they don't know, surround themselves with advisors, and focus on unit economics before scaling, warning against the 'shiny object' trap of premature geographic expansion.
early-stage companies and companies scaling up
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Sir Kensington's co-founder Mark Ramadan joins Guy Raz to advise three early-stage founders on business challenges. He helps Pat of Dripsy LLC navigate the complexities of getting a single-product sink strainer into major retail chains, Lucas of Taco Shop on how to differentiate from an impending Chipotle competitor, and Beth Benneke of Busy Baby on managing cash flow and operational costs while scaling from DTC to mass retail.
Guy Raz hosts a special Advice Line episode with former guests Travis Boersma of Dutch Bros. Coffee, Michael Preysman of Everlane, and Chris Ruder of Spikeball to answer scaling questions from three callers. Andy Atkins of Bad Luck Burger Club asks whether to bootstrap to a brick-and-mortar location or raise capital, with Travis advising on cash flow and overhead. Tiffany Narbonne of T Giselle seeks advice on entering large retailers, receiving guidance from Michael on simplifying her brand story for packaging and retail displays. Finally, Peter Hauk of Rink Rabbit evaluates expanding his figure skating accessories brand internationally, with Chris and Guy advising him to focus on his rapid US growth before tackling complex logistics.
Serial entrepreneur Marc Lore, founder of Diapers.com, Jet.com, and Wonder, joins Guy Raz to answer questions from early-stage founders. Lore discusses Wonder's strategic pivot from mobile food trucks to brick-and-mortar commissary kitchens to improve unit economics and scalability. He advises Ben Bailey of Chomp Chocolate to double down on its customizable 'Build-A-Bar' model to differentiate from commodity competitors, and suggests Baby a GoGo use returnable inventory to overcome retailer hesitation. For Ryan Thompson of 10th Mountain Whiskey, Lore recommends focusing on deepening regional market share in Colorado rather than pursuing costly national expansion.
Katlin Smith, founder and CEO of Simple Mills, joins Guy Raz to answer questions from three founders about scaling physical product businesses. She advises Scott of Upcycle Foods on adapting recipes for contract manufacturers, Tim of Grumpy Dad Sauce Company on the financial risks of going 'all-in,' and Marissa of Sweet Paws on focused marketing strategies for their silicone pet products. Smith shares her own journey from kitchen experiments to a brand sold in nearly 30,000 stores, recently acquired by Flowers Foods for nearly $800 million.
Harry's co-founder Jeff Raider joins Guy Raz on the Advice Line to help three founders with strategic challenges. He advises Uli of Uli's Gelato on balancing catering and wholesale revenue streams and securing receivables financing. He guides Travis of Bundle on delegating service quality and building operational standards as he scales his package delivery business. Finally, he counsels Carly of Full Moon Ferry on leveraging community, referral loops, and social missions for customer acquisition.
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