From Family Heritage to National Growth: How Alexandra Foods Scales Tradition with Rich Berry

0:01John Lee Dumas:Boom! Shake the room, Fire Nation. JLD here and welcome to Entrepreneurs on Fire, brought to you by High Level, the all-in-one sales and marketing platform. And to drop these value bombs, I brought to Rich Berry and the EO Fire Studios. Rich is president and CEO of Alexandra Foods, leading the family-run brands nationwide growth while preserving authentic Eastern European traditions through handcrafted pierogi dumplings and community-centered storytelling. And today we talk about going from deli to nationwide brand, scaling what without losing soul, community at the core, and oh, so much more.

0:33John Lee Dumas:And a big thank you for sponsoring today's episode goes to Rich and our sponsors. Fire Nation, if you have a high ticket offer and need more quality leads, Nexus Install is designed for you. We'll book you eight to 20 qualified calls each month, then train you to run the system yourself. Email my team at john at eofire.com to learn more and see if Nexus is the right fit for you. Stop duct taping your business together. High Level runs your website, your funnels, email, automation, scheduling, payments, and memberships all in one place. And when you sign up at highlevelfire.com, you get a 30-day free trial plus my exclusive bonus stack that includes weekly office hours with me and much more.

1:12John Lee Dumas:Visit highlevelfire.com. Highlevelfire.com. Rich, say what's up to Fire Nation and share something that you believe about becoming successful that most people disagree with? Interesting. Well, I think based on the old saying that nice guys finish last, that many people believe that it's become successful, you need to be callous or ruthless. I think you need to be competitive and aggressive, but I believe you can be very successful by fostering a culture of empowerment, accountability, and teamwork within the organization. I want to talk about going from a deli to a nationwide brand. And I mean, I love that visual of a deli.

1:52John Lee Dumas:We've all walked into that small family-run deli. You're like, I'll take up a stramy on rye. And like, they slap it together, they hand it to you. But then you turned it into a literally global brand that reaches customers across the country. What were the biggest turning points, Rich, that made that happen? Well, it's interesting. You did that picture of the deli because when Mark and Alexandra first came here from Poland, they literally had the deli downstairs and they lived in an apartment above the deli. Oh, I love it. And that apartment now is our current office. So they, really the two big drivers of the business, the main driver was in the early 1990s when Mark and Alexander decided to close the deli and then transform that facility into a pierogi factory, which was a huge step and a huge change.

2:38And then over the next 30 years, they earned USDA certification to produce meat. And then they expanded the product lines outside of just pierogi to Kapitka potato dumplings, as well as Blintzes and mini-progy called Ooshka. At the same time all this was happening, the quality reputation of their products spread through word of mouth and the geographic footprint expanded to over 30 states. So that was probably the first main driver. The second turning point was five years ago in 2021 when I purchased the business from Mark and Alexandra. We're now focused on upgrading our third-party certifications like SQF, which are required by many retailers, as well as strengthening the brand and expanding into gaps and geography where pierogi sales are very strong, but we currently have no presence.

3:24John Lee Dumas:I'll tell you what, Fire Nation, if you haven't had a good pierogi recently, you're missing out. So get on Google Maps, figure it out, find the nearest pierogi or just go and order some from, of course, you know, this great brand that we're talking about here today. And you've done something pretty special, Rich. You've scaled without losing soul. I mean, you're literally working in an office where your parents used to live with a deli below. I mean, as you've expanded, how do you balance growth while protecting the authenticity, the handcrafted feel that made the brand special in the first place?

4:01Well, I think there's three main things. The first one is product quality. You know, our employees watch every move that management makes, especially after an acquisition. So I made sure that we did not reduce the product quality when I took over five years ago. In fact, we've some ingredients like cheddar cheese and meat where we've actually increased product quality. This sends a very clear message to the team that we appreciate the work they do, that they should continue to stay proud of making Alexander pierogies. The second thing is investing in our employees. We're coming up on five years of my ownership, and while we've added a number of new Ukrainian employees because of the war, none of our original core people have left the company.

4:42The people making our pierogi in 2021, when I purchased the business, are still there making them today. Investment here is not just salary. Compensation is part of it, but really just as important is empowering them and making them part of the process to grow the company. And finally, new items are being driven by the people actually making the pierogi. we've helped keep authenticity by having our employees who are almost all first generation Polish or Ukrainian work with us to develop new products. At least half our new products come from their ideas.

5:15John Lee Dumas:There's a lot here at Fire Nation. I want to go back over some of the things that Rich just talked about. Number one, product quality. At the end of the day, we're living in a world now where I feel like every time I go to a store, I'm coming back with a product that's smaller than when I bought it before. Although believe me, it costs at least as much or more. you know the shrinking is happening and and the taste seems to be dissipating and guess what we as consumers will only take so much so i love that focus on product quality and then quality of employees i mean man what a track record to have what rich just shared with all of his employees that have been in the company since the beginning and you know since he's taken over five years ago and then the new items i mean you need to have innovation while you're balancing the authenticity that made the brand what the brand is.

6:00John Lee Dumas:So let's talk, Rich, about community at the core because it seems to me, and this is from an outsider's perspective, so maybe you can dive deeper into this, but community seems central to Alexandra Foods' identity. So how have things like cultural events, I think you've done some heritage sponsorships and immigrant-owned business values, how has that shaped the company? This is definitely an area that we've ramped up in the last four or five years. Alexandros is always supportive of local cultural events, but we've stepped it up and are now key sponsors of many events across the country. We're the official pierogi of the Taste of Polonia here in Chicago.

6:39We also sponsor festivals coast to coast from the annual Polish festival in Phoenix, Arizona, where they actually serve over 30 ,000 of our Alexandros pierogi over three days to the Polish, and then all the way east to the Polish American Arts Festival in Czichtowaga, New York. We also offer special pricing on all of our products to any nonprofit organization, which helps them raise more funds for their organization when they serve Alexandra's.

7:06John Lee Dumas:This is powerful stuff, Fire Nation. I mean, when you're willing to commit and to invest in the community around, you become in the woven fabric of that community. People care about that. When people care, they pay. When people pay, they pay attention. And when they pay attention, it comes back to community. It's that cycle that is so powerful when you're there and invested. Again, that's both time. That's money. That's energy. You know, that's soul. And we're going to talk about tradition versus innovation. We're going to talk about every day versus the holidays. The next chapter, which is pretty interesting, and more when we get back from thinking our sponsors.

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9:34John Lee Dumas:Simple, focused, and built for predictable, long-term, quality lead flow. Rich, we're back and I want to do a deep dive here. I want to do a deep dive on tradition versus innovation, because, I mean, you offer this wide range of pierogi flavors and traditional Eastern European products, of course. So how do you decide when to innovate, like actually do new things versus when to stay true to the classics? Well, while our core products offerings will always be traditional Eastern European recipes, as you know, here in the United States, fusion food is big. Think Tex-Mex, Korean tacos, Hawaiian pizza.

10:14Pierogi are a dumpling, so we can fill them with just about anything. One of the places we test new items is on QVC. I spent a couple years running Old El Paso and Las Palmas Mexican food, so one of the first things we tested on QVC was a Southwest cheddar pierogi with jalapeno and roasted green chilies. We also make amazing blintzes and have tried some new products there. In 2023, we won a gold SoFi Award at the Fancy Food Show in New York City for a chocolate hazelnut blintz that blended Nutella with sweet cheese. We are open to trying almost anything.

10:48John Lee Dumas:All right, I'm going to put you to the test here. What is your favorite traditional piece or product that you guys were offering way back in the day that you still offer today? What if there's one thing that's traditional that you have on the menu? What's your favorite? My favorite is the cabbage. I did not grow Polish, so I did not have a lot of cabbage in my household. The cabbage is a common ingredient in Polish cuisine. And our cabbage pierogi is amazing. I would not have thought that. Interesting. Interesting. What about what's one of your favorite on the innovation side? Something that's a new product that you're like, this crushed it.

11:29John Lee Dumas:It exceeded my expectations. It's here to stay. So one of our Ukrainian employees brought us a pierogi from her native area of Ukraine that was farmer cheese and dill. And so we tried it and we now make it and offer it. And the previous owner, Mark, comes back and it's the one he purchases. So of all the 19 varieties that he came up with, he is now coming back and purchasing this Ukrainian cheese and dill because he had never had it before. And it's a warm cheese with the dill. It's just amazing. Let's be honest with the listeners. What's one new product you've tried in the past couple of years that just fell flat on its face?

12:09John Lee Dumas:It was an utter failure. And maybe you were even shocked by it. We did a raspberry cheese pierogi and it did okay, but not as strong as we thought it would do. Sounds a little bit like a dessert. It is more like a dessert. And then we offer a lot of blintzes, but I think, and we are fruit pierogies do so well, but they have natural fruit in them. I think mixing the fruit with cheese in a pierogi did not work as well as when we put that same type of ingredients inside of a nice crepe. It sells much better. Let's talk about everyday plus the holiday brand. I mean, pierogies, they're both a comfort food, obviously, but they're also a holiday staple.

12:53John Lee Dumas:So how do you position them as modern everyday meals while still honoring tradition? Yes, we definitely have a large volume spike at the holidays when pierogi and the smaller Ooshka are part of the traditional Christmas dinner. But pierogi are convenient all year long. They only take 45 minutes to boil and then some pan sauteing and they're ready in 15 minutes. So they're great as a main meal or as a side. So we're constantly pushing to try to get them into the weekly meal routine, but that's just like every other major food brand out there. So it's a difficult hill to climb. Let's talk about the next chapter.

13:27John Lee Dumas:I mean, what does the next chapter look like for Alexandra Foods? And we're talking in terms of growth, education, and preserving cultural legacy. Let's maybe start with growth. What's the next chapter look like in the growth side of things for Alexandra? So I think we're gonna continue to focus on brand building. In the last two years, we've had national exposure through QVC, as well as articles in USA Today, Reader's Digest, Women's World Magazine. This helps spread the word and educate consumers about pierogi while also positioning Alexander's as a leader in this segment. You know, there's so many people, frankly, that don't even know what a pierogi is, especially out west in California or you go south to Texas.

14:06Secondly, our sales focus is expanding the brand into high indexing pierogi markets. So there's areas across the northeastern part of the U.S. that are very strong in pierogi, but where Alexander's currently has just a minor footprint. And finally, continued support for the Polish and Ukrainian events on the local level. We want to be known as the authentic pierogi.

14:28John Lee Dumas:All right, Fire Nation, this is a perfect example of how you run a brand for the long term. And I want you to close, Rich, by sharing with us, for the family-run food brands that are out there looking to scale right now, what would you say is the one lesson from your journey about growing without losing your identity? Good question. I've got three areas that I want to touch on. First, stay focused on your product. You know, many small family brands started because grandma had a fantastic recipe that everybody loved. If it's really good, consumers will return to buy it again. Then they will tell their friends about it.

15:04Then the friends will buy it. But this only happens if the product quality is great and consistent. Secondly, be patient. Sure, there are brands that explode on TikTok overnight, But I've attended many trade shows, and I can tell you that there are hundreds and hundreds of brands out there all making very similar products. It's very difficult to rise above the crowd quickly. And finally, get your employees excited about your brand. Hand out branded clothing. Give them a discount in the company store. Survey their opinions on new items. The more they feel like part of the team that is driving the business, the more they are watching your back.

15:39Your manufacturing productivity will increase because they will not want to waste raw material. The quality of the products going out the door will be excellent because instead of relying on occasional quality control checks, everyone in the building will be watching every item going out the door. And they will tell all of their friends to buy your products.

15:56John Lee Dumas:Rich, if Fire Nation is listening to this right now and they're like, man, I really am jiving with what Rich is laying down here. I want to learn more. I want to connect with this company. What is your call to action for our listeners today? How can they learn more about what you have going on? Well, they can easily just look at our website and they can look at it that way. If they're in Chicago, they can stop by our store. We have a factory store right here. They can walk in. If they have a question about our products or where to buy them, our phone number's on the website. The office will gladly take their call and help them guide them to a Polish market or retail store where they can find Alexandra's.

16:32And then we're on Amazon, QVC, and Walmart online.

16:36John Lee Dumas:Any stores down here in Puerto Rico? Sadly not. I've had a couple of calls for South America, but we haven't touched Puerto Rico yet. Fire Nation, you're the average of the five people you spend the most time with. You've been hanging out with RB and JLD today, so keep up the heat. And for links to everything we talked about, just visit eofire.com, type Rich in the search bar, and the show notes page will pop right up. And Rich, thank you for sharing your truth, your knowledge, your value with Fire Nation today. For that, we salute you, and we will catch you on the flip side. Thank you very much for having me.

17:36John Lee Dumas:to 20 qualified calls each month, then train you to run the system yourself. Email my team at john at eofire.com to learn more and see if Nexus is the right fit for you. Stop duct taping your business together. High Level runs your website, your funnels, email, automation, scheduling, payments, and memberships all in one place. And when you sign up at highlevelfire.com, you get a 30-day free trial plus my exclusive bonus stack that includes weekly office hours with me and much more. Visit highlevelfire.com, highlevelfire.com.