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|Wednesday, October 21, 2009|
John Hanna visits the YoCream International yogurt shop on Cascades Parkway on weekends to get a cup of Original Tart, banter with the manager, introduce himself to customers as YoCream’s CEO and ask if they’re having a good time. The 69-year-old self-identified “Portland boy” is as delighted by his customers as they are by his yogurt; he marvels that jocks and military servicemen line up for the stuff along with high school girls and moms on the way back from the gym. “When we first started this frozen yogurt thing, the slogan was ‘real men don’t eat yogurt,’” he says. “Now you go into our YoCream showroom here and there are men of all ages! The guys are enjoying it!”
In the yogurt shop, Hanna is buoyant and gregarious; in the conference room, he’s deliberate and prone to long pauses. He’s an accountant by training; YoCream was a “side investment” that took over his life in 1976 after the company's first yogurt shop in Seattle broke even in five weeks. The frozen yogurt craze that inspired Hanna and his two brothers to found YoCream inspired competitors, but most went bankrupt or shifted their attention to other products after the trend died. Hanna stuck with frozen yogurt — true frozen yogurt, which has live cultures of beneficial bacteria called probiotics — and pushed for more flavors. When cheerfully decorated fro-yo shops boomed again in the 2000s, YoCream was the only manufacturer ready to respond to the sudden demand, he says.
YoCream is now a $42 million company with clients as large as Sysco, Costco and Jack in the Box. It just completed a $4 million expansion — on the heels of a $7.5 million expansion completed in 2007 — that doubled capacity at its plant in Portland. Hanna expects the interest in frozen yogurt to keep building as more people learn about it, and YoCream is already considering a second plant on the East Coast. Demand is rising internationally, too; Hanna went to Japan last month to discuss the Japanese and Chinese markets with a prospective distributor. YoCream, which is traded on the Pink Sheets, just posted its 13th consecutive quarter of sales growth in August.
The 32-year-old company had its awkward growth stages: an early transition from franchisor to manufacturer, an IPO in 1987, delisting after Sarbanes-Oxley in 2006, and diversification into frozen beverages after a year-long internal debate. But it’s flourished rapidly with the yogurt resurgence. “We’re responding to this growth without really a hiccup,” Hanna says, referring to the trusted management team he consults on every matter, an echo of the days when he and his brothers ruled the company by consensus.
Outside advisers and the board of directors were leery of the new structure. “They said, ‘That can’t work, you need a pyramid, blah blah blah,’” Hanna says. But the structure proved effective and refreshing. “The right team was on the bus,” he says. The six senior managers have non-hierarchical titles, roughly the same compensation, and get equal bonuses based on communal goals. The sales department also adopted communal bonuses.
The company is so democratic that Hanna can’t remember who had the idea for its latest innovation, High Culture Frozen Yogurt. Released in June, it contains a strain of bacteria proven to aid digestion. High Culture has 1 billion Lactobacillus acidophilus NCFM cultures per serving, 100 times what is needed to earn the Live & Active Cultures seal from the National Yogurt Association. Hanna is banking on the increasing public awareness of probiotics, which pop up more and more in his conversations with customers in yogurt shops.
To Hanna, High Culture Frozen Yogurt is a smart investment and a social good: Yogurt is healthy, yogurt shops are happy places and all this is profitable. He prefers Original Tart, no toppings, because it reminds him of the yogurt his mom cooked on the stove when he was a kid. He has no plans to retire. “I’m having fun,” he says. “My health is good. I eat a lot of yogurt.”
Thursday, May 29, 2014
BY KIM MOORE
A conversation about credit unions with the CEOs of Advantis Credit Union and OSU Federal Credit Union, followed by June's Powerlist.
Friday, June 27, 2014
BY JASON NORRIS | OB BLOGGER
Over the last several months we have seen a wave of cross-border acquisitions, primarily U.S.-based companies looking to purchase non-U.S.-based companies. There are a few reasons for this, but the main culprit is the U.S. corporate tax system. The United States has one of the highest corporate tax rates in the world.
Thursday, July 03, 2014
BY TED AUSTIN & MIKE BAELE | GUEST CONTRIBUTORS
The Office of Economic Analysis announced that Oregon is currently enjoying the strongest job growth since 2006. While this resurgence has been welcome, the lingering effects of the 2008 “Great Recession” continues to affect Oregon businesses, especially with regard to estate planning and business succession.
Thursday, May 29, 2014
The CEO of Axiom EPM, Peri Pierone, and the co-founder of McMenamins, Mike McMenamin, share their recent reads.
Monday, July 14, 2014
BY VIVIAN MCINERNY | OB BLOGGER
Some people think Amazon’s winking eye logo is starting to look like a hoodwink.
Thursday, June 12, 2014
BY ANDREA DURBIN | OB GUEST BLOGGER
Last week, the Obama administration took an important and welcomed step in the effort to protect the health and well-being of all Oregonians by limiting carbon pollution from existing power plants.
Thursday, May 29, 2014
I was in a rut. A few months ago, I was at my desk trying to come up with cover story ideas for our June “green” issue. But I was stuck on a concept that is a bit too tried and true in the magazine business.
|The Private 150: Bigger But Leaner|
|The Perfect Food|
|Powerlist: Staffing Firms|
|Taxis Uber Alles?|
|GM profit declines 80%|
|Study: Dogs can feel jealousy|
|Boeing profit surges 52%|
|Apple: iPhone sales jump|
|Comcast profit rises 15%|
|American fast food chains snagged by food safety scandal in China|
|Washington volcanoes receive more scientific scrutiny|
Vigilant enters a New Year with a new president.
How George Fox has become one of Oregon's largest private universities.
Forest Grove sees growth in the burgeoning food and beverage scene.
Geffen Mesher is saddened to announce the passing of long-time shareholder, Tom “Mike” Anderson, who died on July 10, 2014, from liver disease diagnosed after recent heart surgery. He was 55 years old.
Fifteen Lane Powell attorneys have been named 2014 “Oregon Super Lawyers,” and another five attorneys have been named as “Oregon Rising Stars” by Super Lawyers magazine.
From its first-ever member forum, to upcoming Board elections, the Oregon-based, non-profit health organization is focused on letting members control their healthcare destiny.