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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 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 mission shortly spiraled into one thing larger. “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] herald 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 deal with 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 an alternative 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 all the 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 areas. 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 a few of the model’s wildest flavors, starting from Harry Potter references to “french fry frozen yogurt” (a play on McDonald’s regularly damaged ice cream machines). “I’m a part of the client base,” he says. “My household, my associates, everyone seems to be a part of the client base. So it is simply concepts that we’ve got.”
The outcomes converse for themselves. “Our gross sales progress 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 crew. That is why the primary individual Hershman employed was Lisa Mallon, who co-owned the Fairfield, Connecticut, location along 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, easy methods to make one of the best bang on your buck on this enterprise.”
This technique helps the model keep constant, that are the callouts Hershman appreciates most in buyer evaluations.
“We used to have one lady who ordered each single day, and it might at all times 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 evaluation 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. “Though 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 careworn the significance of paying shut consideration to evaluations, whether or not optimistic or crucial.
“[Loyal customers] know what to search for finest,” he says. “These are actually necessary 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.”
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Hershman and his crew hold a detailed eye on evaluation 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 will not be getting the total image of a buyer’s expertise primarily based on their evaluation. “You simply get the perimeters, so it makes it a little bit laborious to make use of these evaluations as a long-term resolution maker,” he says.
However, crucial evaluations can present readability, and good evaluations 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 patrons, who will return for the constant expertise many times.
After taking on as CEO and reimagining 16 Handles for a brand new technology, Hershman’s recommendation to entrepreneurs is easy however highly effective:
- Obsess over the buyer expertise. From staple merchandise to add-on providers, all the pieces could 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 concept will see the sunshine of day, however specializing in fixed enchancment will hold your corporation aggressive.
- See your corporation via the eyes of a buyer. Spending time on the entrance traces may give you a contemporary perspective on what’s working and what must be improved.
Take heed to the episode to listen to immediately from Neil Hershman, and subscribe to Behind the Assessment for extra from new enterprise homeowners and reviewers each Tuesday.
Editorial contributions by Jiah Choe and Kristi Lindahl
