184 - Brooklyn Dumping Shop - Making It with Jon Davids

Summary

Podcast Summary: Making It with Jon Davids – Episode 184: Brooklyn Dumpling Shop

Release Date: April 11, 2025

In Episode 184 of "Making It with Jon Davids," host Jon Davids (JD) engages in an in-depth conversation with Jeff Gallatly, the CEO of Brooklyn Dumpling Shop, a rapidly expanding restaurant chain known for its innovative dumplings and strategic placements in grocery stores and iconic venues like Yankee Stadium. This episode delves into Jeff’s extensive career journey, the strategic growth of Brooklyn Dumpling Shop, and the challenges and opportunities of scaling a multifaceted business.

1. Jeff Gallatly’s Career Journey

Jeff Gallatly shares his diverse professional background, highlighting his transition from management consulting to corporate strategy, private equity, and eventually entrepreneurship.

From Consulting to Corporate Strategy at PepsiCo

Jeff began his career in management consulting, focusing on consumer packaged goods (CPG). He stated, “[...] I actually really fell in love with consumer as an industry and strategy work in particular” (01:13). This passion led him to join PepsiCo in a corporate strategy and M&A role, where he developed long-term growth plans for the beverage side of the business.
Pivot to Private Equity and Restaurant Brands International (RBI)

After earning an MBA from Wharton, Jeff moved into private equity, but his true aspiration was to become an operator. This drive led him to Restaurant Brands International (RBI), where he held multiple roles, ultimately becoming the head of North American operations for Burger King. Jeff recounts a pivotal moment: “Immediately when you walk out this room, you're now the head of North American operations” (11:17).
Global Leadership at Tim Hortons Asia

Jeff was later tasked with expanding Tim Hortons in Asia, transforming the business from 70 to over 700 locations in five markets. He emphasizes the entrepreneurial culture at RBI, saying, “It's a model where you come in, you work hard, you produce results and great things can happen” (17:14).

2. Transition to Entrepreneurship: Founding Brooklyn Dumpling Shop

Motivated by his entrepreneurial spirit and influenced by Matt Higgins’ book "Burn the Boats," Jeff decided to leave RBI to lead a high-growth business alongside seasoned investors.

Joining Brooklyn Dumpling Shop

Jeff was introduced to Brooklyn Dumpling Shop through Matt Higgins of RSC Ventures, after recognizing the brand’s potential in the fusion cuisine space. He explains, “I really enjoyed meeting Matt in this process... [and] that's where it came together” (22:09).

3. Brooklyn Dumpling Shop’s Growth and Vision

Under Jeff’s leadership, Brooklyn Dumpling Shop has experienced exponential growth, expanding from a single location to multiple outlets and venturing into various sales channels.

Business Overview

Brooklyn Dumpling Shop operates as both a restaurant and a consumer product company, selling dumplings in grocery stores like Walmart, at venues such as Yankee Stadium, and through partnerships with retailers like QVC. Jeff outlines, “we have 14 open locations, we have 13 more that are under construction that'll open in the next five months” (24:36).
Multifaceted Growth Strategy

The company’s growth strategy encompasses franchising, consumer packaged goods (CPG), food service, and catering. Jeff notes the synergy between these channels: “They are not competing against one another. If anything, there are synergies” (31:05).

4. Challenges and Strategies

Jeff discusses the primary challenges of creating a new market category and the strategies employed to overcome them.

Educating Consumers

Introducing a novel product like fusion dumplings requires significant consumer education. Jeff states, “We are competing for occasions... how do I get us into that conversation” (35:05).
Brand Awareness through Sampling

Emphasizing grassroots marketing, Brooklyn Dumpling Shop focuses on local sampling events to build brand awareness. Jeff shares a breakthrough moment: “At the New York wine and food Festival... people voted us best bite at the food festival” (37:42).
Maintaining Focus Amid Growth

Managing a multifaceted business while ensuring each channel operates efficiently is a balancing act. Jeff explains, “Our job is to determine where does it make sense to get pulled, where does it make sense to push” (27:26).

5. Future Outlook

Looking ahead, Jeff outlines ambitious plans for Brooklyn Dumpling Shop’s expansion and continued growth.

Expansion Goals

By the end of the year, the company aims to operate 32 locations, leveraging strategic partnerships and expanding into new retail channels. Jeff anticipates, “We’ve got some really ambitious plans to create a very meaningful business here and we’re well on our way” (49:00).
Maintaining Quality and Profitability

Ensuring each new location maintains high standards is crucial. Jeff emphasizes the importance of operational excellence and franchisee support: “Ensuring that we’re not to the detriment of other parts of our business, particularly our franchisees” (34:24).

Notable Quotes

Jeff Gallatly on Consumer Strategy:

“Here comes the recession and I actually got recruited to join PepsiCo doing corporate strategy and M and A decided to leave consulting and go do into the industry that I'd gotten so passionate about.” (01:13)
On Leadership and Empathy:

“You have to have the plans and the tools and the resources to go drive that performance. And that to me is really where you start becoming an operator.” (08:38)
On Brand Building:

“We have trademarked Everything's better than a Dumpling. You know, we, we believe that that's what we're out there to, to go promote.” (35:05)

Conclusion

In this episode, Jeff Gallatly provides a comprehensive look into the strategic growth and operational excellence required to scale a modern, multifaceted business like Brooklyn Dumpling Shop. His insights into consumer education, brand building, and maintaining focus amidst rapid expansion offer valuable lessons for entrepreneurs and business leaders aiming to replicate similar success.