He Went From Buyer to CEO of 16 Handles

[ad_1] Opinions expressed by Entrepreneur contributors are their very own.

Recent out of an unfulfilling finance profession, Neil Hershman was in search of one thing totally different — one thing he may construct along with his personal fingers. 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 facet challenge shortly spiraled into one thing greater. "Open and shut, each single shift I used to be working," Hershman says. "I used to be in a position to 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 had been retreating, Hershman expanded. He began constructing new shops throughout New York Metropolis throughout Covid-19, when retail leases had been low cost and rivals had been shuttering. "As a substitute of getting scared, I used to be the one coming in and constructing," he says.

Associated: He Began a Enterprise and Ended Up on the Brink of Chapter. He Fastened His Errors – and Now Teaches Entrepreneurs What He Needs He Knew When Beginning Out.

Quickly, he wasn't simply working places. He was main the complete firm.

Since buying the model from founder Solomon Choi in 2022, Hershman has led a nationwide growth of the froyo chain from 30 to 150-plus places. His surprising journey from buyer to franchisee to CEO provides him a novel edge in right this moment'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 steadily damaged ice cream machines). "I'm a part of the shopper base," he says. "My household, my mates, everyone seems to be a part of the shopper base. So it is simply concepts that we have now."

The outcomes converse for themselves. "Our gross sales development has been phenomenal, like once 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 clients, however from the staff. 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 person who's acquired 13 years of working a retailer open to shut and is aware of buyer interactions and [what] clients need, the best way to make one of the best bang to your buck on this enterprise."

Associated: Her Present Was Canceled – However the Setback Taught Busy Philipps a Highly effective Lesson for Creators and Entrepreneurs

This technique helps the model keep constant, that are the callouts Hershman appreciates most in buyer opinions.

"We used to have one woman who ordered each single day, and it could all the time come by means of across the identical time, to the purpose the place whenever you heard the printer printing at the moment, we knew it was her order and what to do," he says.

Sooner or later, she left a five-star overview with an image of her froyo on her espresso desk. "Love this place, nice chocolate," she wrote.

For Hershman, these few phrases had 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 trying ahead to this second of opening up this bag," he says.

Hershman careworn the significance of paying shut consideration to opinions, whether or not optimistic or essential.

"[Loyal customers] know what to search for greatest," he says. "These are actually necessary for us as a franchisor to know what is going on on with our places, and for retailer operators to know what is going on on within the buyer's thoughts."

Associated: This Native Bakery Has Traces Out the Door. Right here Are the Secrets and techniques to Its Success.

Hershman and his staff preserve a detailed eye on overview platforms like Yelp to assist refine operations and construct belief whereas preserving in thoughts that not each critique is a name to motion.

For instance, one of many challenges Hershman recognized shouldn't be getting the total image of a buyer's expertise based mostly on their overview. "You simply get the perimeters, so it makes it a bit of arduous to make use of these opinions as a long-term choice maker," he says.

Nonetheless, essential opinions can present readability, and good opinions can construct credibility. Each are alternatives to develop as a enterprise.

Hershman's story is about seeing potential the place others see plateaus and making actually particular moments for purchasers, who will return for the constant expertise time and again.

After taking on as CEO and reimagining 16 Handles for a brand new technology, Hershman's recommendation to entrepreneurs is straightforward however highly effective:

Obsess over the shopper expertise. From staple merchandise to add-on companies, every thing might be improved to construct belief and domesticate repeat enterprise.Construct buyer loyalty at each flip. Studying and responding to buyer suggestions lets clients know their voices are heard.Innovate with objective. Not each enterprise thought will see the sunshine of day, however specializing in fixed enchancment will preserve your online business aggressive.See your online business by means of the eyes of a buyer. Spending time on the entrance strains can provide you a recent perspective on what's working and what must be improved. Hearken to the episode to listen to straight from Neil Hershman, and subscribe to Behind the Evaluation for extra from new enterprise homeowners and reviewers each Tuesday.