How I Built This with Guy Raz: Advice Line with Gary Erickson of Clif Bar (May 2024)
Release Date: December 5, 2024
In this insightful episode of How I Built This with Guy Raz, host Guy Raz reconnects with Gary Erickson, the visionary founder of Clif Bar. Originally featured in 2016, Gary returns to share his journey from grassroots beginnings to building one of America's most renowned energy bar brands. Through engaging conversations and listener calls, Gary imparts valuable lessons on entrepreneurship, community building, and navigating fierce competition.
Reconnecting with Gary Erickson
[04:47] Guy Raz: "Gary Erickson, welcome back to the show. It's so awesome to have you back."
Gary reflects on a pivotal moment in 2022 when he decided to sell Clif Bar after 30 years of passionate ownership. He recounts the emotional and financial challenges faced during acquisition offers, emphasizing the importance of staying true to his vision.
[05:28] Gary Erickson: "Yeah, I still have now and then nightmares of what if I would have sold the company in 2000. Yeah, that was after only eight years in business, which is a long time. But I can't even describe the exponential growth and good things we were able to pull off over the next... what, 22 years?"
Building Clif Bar from the Ground Up
Gary delves into the origins of Clif Bar, highlighting the initial focus on a niche community of cyclists, triathletes, and climbers. This targeted approach laid a strong foundation for the brand's eventual mass-market success.
[06:56] Gary Erickson: "It was the path to success for sure... I'd just pass out bars. And their reaction sold it to me. And then from there on, it was just, we never did not grow for 30 years."
He underscores the significance of starting with a dedicated community, which not only provided initial sales but also fostered loyal brand advocates.
Transitioning to a Mass Market
The conversation shifts to how Clif Bar expanded beyond its initial audience to appeal to a broader consumer base, including moms, kids, gym-goers, and busy individuals seeking energy boosts.
[07:50] Guy Raz: "What started out with a small group of people... eventually became a mass consumer product..."
Gary emphasizes the importance of maintaining a strong foundation before attempting to scale, cautioning against rushing into mass markets without solid grassroots support.
Listener Calls: Navigating Competition and Market Penetration
The episode features interactive segments where entrepreneurs seek Gary's advice on overcoming business challenges.
Call from James (Stoked Plastics and Opolis Optics)
James, representing Stoked Plastics and Opolis Optics, seeks guidance on differentiating his sustainable plastic products in a competitive market.
[14:10] James: "How do we educate the marketplace on the difference between what we're putting in our sunglasses and goggles and what others are not?"
Gary responds by sharing Clif Bar's aggressive marketing tactics, including direct competition with PowerBar through print ads and proactive customer engagement.
[15:36] Gary Erickson: "You've got to show the difference between what everybody's doing and you're not doing and that you can't be bashful or shy about it."
He advises targeting specific competitors and launching bold campaigns to capture market attention, even if it means facing legal challenges.
Call from Valerie Franklin (Artisans Cooperative)
Valerie, representing Artisans Cooperative, seeks strategies to break into a market dominated by giants like Etsy and Amazon with limited funds.
[27:09] Valerie Franklin: "How do we break into a market space that is filled with giants like Etsy and Amazon?"
Gary suggests embracing competition transparently and targeting a niche segment of artisans seeking ethical and cooperatively owned platforms.
[30:43] Gary Erickson: "You're just don't want to say it... target that. Don't be shy about that."
He emphasizes building a strong, loyal customer base through grassroots marketing, similar to Clif Bar's initial growth strategy.
Scaling Strategies and Community Engagement
Gary shares Clif Bar's success in scaling through grassroots efforts, such as distributing free bars at marathons and hiring dedicated teams nationwide to foster local connections.
[25:41] Gary Erickson: "We were built through grassroots marketing... we just built a lot of loyal customers."
He highlights the importance of community engagement and creating genuine connections with consumers to drive brand loyalty and word-of-mouth referrals.
Insights on Product Differentiation and Marketing
Throughout the episode, Gary offers actionable advice on product differentiation, marketing strategies, and leveraging community support to outperform competitors.
[37:05] Gary Erickson: "You can say you may not find this on Etsy. That would give them, like, well, there. Maybe there's other stuff on here I won't find on Etsy."
He encourages businesses to clearly communicate their unique selling propositions and leverage storytelling to resonate with their target audience.
Final Thoughts and Encouragement
As the episode concludes, Gary provides heartfelt encouragement to struggling entrepreneurs, emphasizing perseverance and the importance of having a clear, differentiated product.
[61:54] Gary Erickson: "We're just starting to roll, so just keep this momentum going with other people and keep this conversation going with other people that can support what we've talked about and take you, help you take it up a notch or two or more."
Notable Quotes
- Gary Erickson [05:28]: "I still have now and then nightmares of what if I would have sold the company in 2000."
- Gary Erickson [15:36]: "You've got to show the difference between what everybody's doing and you're not doing and that you can't be bashful or shy about it."
- Gary Erickson [37:05]: "You can say you may not find this on Etsy. That would give them, like, well, there."
Conclusion
This episode of How I Built This offers a treasure trove of entrepreneurial wisdom from Gary Erickson. His journey with Clif Bar exemplifies the power of community-driven growth, relentless innovation, and strategic competition. Aspiring entrepreneurs and seasoned business owners alike will find Gary's experiences and insights invaluable as they navigate their own business challenges.
For those inspired by Gary's story and seeking further guidance, consider applying the strategies discussed to build resilient, community-focused brands that stand out in competitive markets.
Produced by Sam Paulson
Music Composed by Ramtin Arablouei
Edited by John Isabella
Audio Engineer: James Willits
*If you're an entrepreneur looking to share your story, send a one-minute message to voice memo@hibtid.wondery.com or call 1-800-433-1298. Your business could be the next feature on How I Built This.
