Secret to Building One of the Greatest LA Workplaces | Leveling Up With Andy Mackensen (EP 3.1)

TL;DR

Snack Nation shares secrets on building a great workplace culture.

Transcript

• Today we are visiting Snack Nation. I'm gonna talk to the CMO and the funny thing about this place is, I started out as an intern when this company was doing $0 in revenue in Sean's apartment, who is the CEO. You're gonna learn a lot about how to build a great culture. How to be intentional about it. You're gonna learn what customer advocacy is. ... Read More

Key Insights

• Snack Nation pivoted from a healthy vending business to a direct delivery model to better align with their core purpose and market needs, leading to a more scalable and efficient business model.
• The company emphasizes the importance of a strong workplace culture, defined by what employees say about the company when the leadership isn't present, and strives to create a positive, engaging environment.
• Off-sites and team-building activities are crucial for fostering camaraderie and friendships among employees, which in turn enhances job satisfaction and retention rates.
• Culture at Snack Nation is intentionally cultivated from the top down, with leadership setting examples and organizing events to maintain a vibrant and cohesive work environment.
• The company's pivot was driven by a realization that businesses preferred direct snack delivery over vending machines, allowing for a more streamlined operation without the need for franchisees or equipment maintenance.
• Snack Nation's growth strategy involves a focus on core mission alignment with market demands, leading to a successful transition from a $9.2 million vending business to a larger, more profitable direct delivery service.
• The company has grown to 140 employees, leveraging a strong culture and strategic pivots to become one of the greatest places to work in Los Angeles.
• Intentional culture-building includes hiring for cultural fit, planning engaging off-sites, and maintaining an environment where employees feel like part of a community, not just a workforce.

Questions & Answers

Q: What was Snack Nation's business model before the pivot?

Before the pivot, Snack Nation operated as a healthy vending machine company. They focused on distributing healthy snacks through vending machines in various locations like schools, hospitals, and health clubs. This model involved franchisees and required maintaining vending equipment, which presented challenges that led to the eventual pivot.

Q: Why did Snack Nation decide to pivot their business model?

Snack Nation decided to pivot their business model after realizing that businesses preferred direct snack delivery over vending machines. This shift allowed them to align better with their core purpose of distributing healthy snacks more conveniently and efficiently, eliminating the need for franchisees and equipment maintenance, and ultimately leading to a more scalable operation.

Q: How does Snack Nation define workplace culture?

Snack Nation defines workplace culture as what employees say about the company when leadership isn't present. It's about the feelings and enthusiasm employees have when discussing their work environment with others. A positive culture is reflected in employees' pride and excitement about their workplace, indicating a strong, engaging company environment.

Q: What role do off-sites play in Snack Nation's culture?

Off-sites are crucial for Snack Nation's culture as they foster camaraderie and friendships among employees. These events take employees out of the regular work environment, allowing them to bond and build relationships. This sense of community enhances job satisfaction and retention, making the workplace more enjoyable and cohesive.

Q: How does Snack Nation ensure a good cultural fit during hiring?

Snack Nation ensures a good cultural fit during hiring by having leadership set an example of the desired culture and actively seeking candidates who align with these values. They look for individuals who will contribute positively to the workplace environment and who resonate with the company's mission and cultural ethos.

Q: What challenges did Snack Nation face with their initial business model?

The initial business model of Snack Nation involved challenges such as managing franchisees and maintaining vending equipment. These complexities made scaling difficult and did not align well with their mission to provide healthy snacks conveniently. The need for a more streamlined and scalable approach led to their eventual pivot to a direct delivery model.

Q: What benefits does Snack Nation see from having a strong workplace culture?

Snack Nation benefits from a strong workplace culture through increased employee satisfaction, retention, and productivity. When employees feel like part of a community and enjoy their work environment, they are more likely to be engaged, stay longer with the company, and contribute positively to its success, creating a vibrant and successful workplace.

Q: How has Snack Nation grown since its pivot?

Since its pivot, Snack Nation has grown significantly, expanding to 140 employees and surpassing the revenue of its previous vending business. The direct delivery model has allowed for more efficient operations and a broader market reach, contributing to its reputation as one of the best places to work in Los Angeles and a successful business model.

Summary & Key Takeaways

• Snack Nation evolved from a healthy vending machine business to a direct delivery model, aligning with their mission to provide convenient healthy snacks to businesses. This pivot allowed for more efficient operations and a larger market reach, resulting in a successful business model with recurring revenue.

• The company places a high value on workplace culture, defining it by the positive sentiments employees express when discussing the company. Leadership actively cultivates this culture through team-building activities and off-sites, which foster friendships and increase employee retention.

• Snack Nation's strategic growth is attributed to aligning their core mission with market needs and creating a vibrant workplace culture. The company has expanded to 140 employees, becoming a leading example of a great place to work in Los Angeles through intentional culture-building and strategic business pivots.