Do you think your small business could turn into a Fortune 500 corporation? Just because your business is currently local doesn’t mean you can’t think globally and expand your business horizons. A good example is a success story about Fairytale Brownies, which was started in 1992.
Fairytale Brownies was formed by long-time schoolmates, David Kravetz and Eileen Spitalny in 1992. They began baking his mother’s 50-year old brownie recipes using the back of a friend’s catering kitchen. Their brownies were a hit with the local community, and they decided to make it a full-time venture and gave up lucrative jobs in the corporate world at Proctor & Gamble and television.
Creative Promotion
Fairytale Brownies found a 1,000 square foot facility in Scottsdale, Arizona, where they could make their delicious delicacies, and they soon had to double their space a year later due to their popularity.
To help get the word out about their product, they gave samples and sold their products at street fairs and farmer’s markets. Still, they continue to promote Fairytale Brownies by partnering with local and national non-profits, such as the national playground developer, KaBOOM.
Strategic (And Lucky) Domain
David and Eileen had the vision in the early 1990s to notice that the internet was becoming a great place to promote a business given the growing numbers of internet users. They bought the domain, brownies.com, and have not looked back since. Now about half of their business sales are via their internet site, and 35% of all revenue comes from internet sales.
Expansion
Fairytale Brownies sales volume steadily expanded year after year, finally reaching $1 million in sales in 1997. David and Eileen have used three separate small business loans backed by the SBA, culminating in the development of their 26,000 square foot baking facility in 2006, which now serves as both their main production facility and corporate headquarters. They employ about 30 regular year-round employees and an additional 50 during the busy holiday season. Each employee is empowered to make decisions that will help keep customers happy.
By 2007, Fairytale Brownies reached $10 million in gross sales.
Take an example from David and Eileen – they took a delicious family recipe and created a bonanza of a brownie empire with strategic promotions, partnerships, and marketing. Will your little venture be the next $10 million small business company?
