Zoe’s Chocolate Co.
This week, Marcus Lemonis travels to Waynesboro, Pennsylvania to help Zoe’s Chocolate Co., an artisan chocolate company. According to CNBC, the “family-owned chocolate shop is resistant to change. If Lemonis is unable to help the three siblings and chocolatiers better market their sweet treats, the business is doomed to crumble.
Visiting their chocolate shop, Lemonis praises the “unusual” taste of their Greek-inspired chocolates. He is concerned, however, that they only offer 18 options, which he calls “unimpressive.” He then meets the whole family—including owners Zoe, Pantelis and Petros Tsoukatos, and their parents. Zoe reveals that the siblings are supporting their family through the business.
Hungry yet?! #TheProfit pic.twitter.com/alwL2GbiE0
— CNBC’s The Profit (@TheProfitCNBC) July 26, 2017
Lemonis questions why the business is not offerings products, such as chocolate-covered pretzels. They explain that they don’t want to be like everybody else but Lemonis says they need to be more relatable. He is also concerned that the shop is very unorganized and that they lack brand identity. He adds that they have a good story, they just haven’t told it yet.
After learning that they are $162,000 in debt, but having gained some insight into their family story, he offers $250,000 for 50 percent equity. They counter 40 percent, which Lemonis accepts with an updated offer of $200,000. He hopes to expand the business both in-store and online and develop strategic partnerships with his investment. He also wants to tell their family story, including the sacrifices that have been made, which Zoe initially seemed reluctant to do.
Safe to say @marcuslemonis enjoyed this taste test! #TheProfit pic.twitter.com/tkfi3E4m4k
— CNBC’s The Profit (@TheProfitCNBC) July 26, 2017
He starts off by doing a Facebook Live video and encourages his followers to order their products in order to “prove a point.” In 15 minutes, there were 8,000 views and 150 orders—far surpassing their average daily order of one or two orders. The lack of process, however, creates issues on their end. He puts Pantelis in charge of organizing the shipping area and moves on to renovating the shop. They also work on creating more menu options, which include more Mediterranean flavors.
Next, they visit Flex Watches, where they get fresh ideas for storytelling. The watch company’s owners call their family story very powerful, but Zoe reiterates that their dad feels embarrassed about it since the story involves him losing his job. They move on, however, and work on branding their company differently. Lemonis becomes frustrated when Zoe seems closed off to the new logos and imagery that Flex Watches developed, which she says simply tell the story that they’re Greek.
All I want her to do is be open minded and find solutions not objections #TheProfit
— Marcus Lemonis (@marcuslemonis) July 26, 2017
Zoe then brings her concerns about storytelling to her parents and her mother says that they should not be embarrassed about telling their family story. She adds that it shows how much the siblings care for them. Lemonis and the siblings also review new colors, logos and designs, which he says should still contain a sense of history.
Lemonis then quickly becomes frustrated when he visits the shop and sees that it is not organized. No process was created and the space is still filled with trash. He questions whether the trio really wants their help and says that the mess makes him “crazy.” They assure him that they’ll “get it together,” but he wants to know when. He proceeds to help them clean up while explaining that he’s “pissed.” He tells Pantelis that it needs to be organized by his next visit.
The face you make when you know you’re right but can’t say it. #TheProfit pic.twitter.com/8FEndv26zW
— CNBC’s The Profit (@TheProfitCNBC) July 26, 2017
Lemonis and the siblings then work on finalizing the branding, which tells their family story. He also visits their store, which has effectively implemented a new process with better organization and efficient labels. Lemonis and the trio then visit Miami to meet with Norwegian Cruise Line, which needs 50 pieces, 18 bars and 12 novelty pieces of chocolates for their cruises. They present brand new options but they are concerned that the company’s largest order has only been 7,000 pieces, which may not be a great fit on a global scale. They agree to develop a program that will utilize their family heritage and get their chocolate on their cruise line.
Ultimately, Lemonis is very impressed with the new branding, flavors and redesign of the shop. Their father says he is very proud of the siblings and officially flips the sign from “Closed” to “Open.” Lemonis says he is proud too and calls it “a true family business.” He adds that Zoe’s transformation was key to the success of the updated process.
Family. ❤️ #TheProfit pic.twitter.com/F0BPWiGiIu
— CNBC’s The Profit (@TheProfitCNBC) July 26, 2017
See how social media reacted to Zoe’s Chocolate Co.’s appearance on “The Profit” below:
Social Media Reacts to Zoe’s Chocolate Co.’s Appearance on “The Profit”
Smell-a-vision and a replicator would really be nice about now. The chocolate looks really good. #TheProfit
— Theodore (@theodoreterry) July 26, 2017
Love a family business!! #TheProfit
— Sara Guerard (@SaraGuerard) July 26, 2017
Zoe already has her guard up! Hmmm? Possibly resistant to change? #theprofit .@marcuslemonis @TheProfitCNBC
— Susanne DeMottie (@SusanneDeMottie) July 26, 2017
Lack of Research & development is a huge hole financially Zoe’s chocolate is messing #TheProfit
— Jeremy Martinez (@jeremyRmartinez) July 26, 2017
This place is so disorganized and Zoe seems so defensive! #branding doesn’t stand alone. What’s the story? #TheProfit
— Tammy Motola (@tmotola) July 26, 2017
Taking a bite out of #TheProfit. We love chocolate this much… pic.twitter.com/vsiqheRcZr
— Shop Runway (@shopatrunway) July 26, 2017
This sounds like a pretty sweet deal to me @marcuslemonis #TheProfit
— Thomas Winslow (@thomas_winslow) July 26, 2017
Now we know what 100% in charge really means. Meet the new Willy Wonka.#TheProfit
— Andy Kunzmann (@andykunzmann) July 26, 2017
#TheProfit Good team, bad floor plan. If they can come together and fix that, this business will be a multimillion dollar juggernaut.
— Thomas Harkins (@TomHarkins5) July 26, 2017
They may not be “proud” of their atory, but there’s a way to share their message & nobody will have egg on their face #theprofit #getitdone
— Heather L. M. Maver (@HMaver14) July 26, 2017
I feel like she is ashamed of her heritage. Is it just me? #theprofit
— Dorian McKinney (@doriankmckinney) July 26, 2017
#TheProfit Uh-oh, @marcuslemonis isn’t pleased. They really failed to meet his expectations.
— Thomas Harkins (@TomHarkins5) July 26, 2017
I loved every word Zoe’s mother uttered. She’s the MVP @zoeschocolate #TheProfit
— RJ (@rj1975) July 26, 2017
This is a beautiful story of family love. Not all families would do what they did!Embrace it. @marcuslemonis @TheProfitCNBC #TheProfit
— Marja Ricci (@marjamoo) July 26, 2017
@TheProfitCNBC it’s amazing the team of people and all the amazing businesses that @marcuslemonis has brought together. #TheProfit
— Fred Greil (@fredgreil) July 26, 2017
“The Profit” airs every Tuesday at 10 p.m. on CNBC.
What are your thoughts on Zoe’s Chocolate Co.’s initial reluctance to tell their family story? How do you feel about the way they improved their business overall? Sound off in the comments section below!
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