Hero’s Journey: Gary Erickson, CEO, Clif Bar
The rising number of health food products and protein bars in America has come about, in large part, due to the purchasing of smaller food companies by major players. However, there are still plenty of visionaries in the natural food industry who are sticking it out by building a niche. Gary Erickson, the CEO of natural food company Clif Bar, is one of those visionaries. Erickson graduated from California Polytechnic State University in 1986 with a BS in Business. From there, he went on to co-found Kali’s Bakery, which sold calzones and other home-made foods. However, Erickson found his true calling when he introduced the first Clif Bar at Kali’s in 1992. From there, he helped co-found Clif Bar Inc. in 1997 and turn it into a player in the natural food industry.
However, Clif Bar Inc. encountered a problem within a few years of its inception. Gary Erickson was the CEO of the company but shared ownership of Clif Bar with his partner, who came in with him on Kali’s Bakery. Companies like Nestle and Kraft were buying out natural and exercise food companies in an effort to corner the market on this hot trend. A major food company approached the Clif Bar brain trust in 2000 with an offer to buy out the company, giving the co-founders plenty of money to live on. Gary Erickson considered selling his portion of the company, both as an obligation to his business partner and as a way of pursuing other interests while avoiding the stresses of a highly competitive field. However, Erickson reconsidered, incurred a big debt to buy out his partner, and took over the reigns of Clif Bar on his own.
Gary Erickson used a number of approaches to turn Clif Bar Inc. from a company deep in the red into one that is strong within its market. First, Erickson made a commitment to keep overhead costs low while maintaining a green environment in the workplace. Clif Bar had (and still has) a stripped down advertising budget, relying instead on word of mouth and the quality of product to sell bars to their particular niche (what a novel idea). As well, Erickson had the company’s office space assessed for environmental and ergonomic issues. In the Clif Bar Inc. headquarters, there is plenty of recycling, high efficiency light bulbs, and 100% post-consumer product paper to be found.
Erickson also saw a necessity to maintain a strong commitment to the community that purchased a lion’s share of the company’s goods. The CEO, a lifelong biker and outdoor adventurer, has encouraged employees to get out of the office once and awhile to enjoy nature and connect with the people who they are creating products for. Clif Bar Inc. provides sponsorship for a number of climbing and outdoor organizations in California, building credibility among outdoor adventurers with plenty of options in the natural foods market. As well, they focus their product placement in outdoors stores and other locations where high traffic allows Clif Bar to keep advertising costs low.
Clif Bar Inc. has also been able to overcome the competition by committing itself to green causes and other community issues. Many people who use Clif Bar products are concerned about the environment around them and Gary Erickson recognized the importance of the company’s involvement in these issues. Clif Bar Inc. helps sponsor a local wind farm, which offsets the carbon footprint used in the corporate offices. As well, Clif Bar Inc. only uses organic ingredients and supports local farmers by purchasing products in the community. Gary Erickson has also been active in the fight against breast cancer and has utilized the power of Clif Bar Inc. in order to donate thousands each year to the cause. In all, Erickson has put all of his activist energy and business acumen into turning Clif Bar products into a recognizable commodity in the local community. Erickson has recognized the ability of the Internet and the increased amount of travel by the average person as a critical tool in getting the word out about Clif Bars for free.
The company’s commitment to community service, green living, and employee satisfaction has meant an increased profile for Gary Erickson and Clif Bar Inc. From 1997 to 2000, Inc. Magazine named Clif Bar Inc. on its list of the fastest growing companies in America. Gary Erickson has been honored with a number of awards by environmental and community groups, including Fortune Small Business’ 2003 award as one of the best bosses in America. Employees have also benefited greatly from Erickson’s leadership, earning Health magazine’s 2003 award for Healthiest Workplace for Women and the Reader’s Digest 2004 award for Best Mom and Pop Biz. Gary Erickson has been the driving force behind the rise of Clif Bar products from the inception of his idea in 1992 to present. Through his socially conscious leadership, he has been able to turn his dream into a success.
Friday, June 22, 2007
!["[We went through a] kind of crisis or crucial moment, and that got [us] where [we] wanted to be — not just growing for the sake of growth, but creating greatness no matter what the size." - Gary Erickson](F91B52E5-C539-42EC-B8A6-79134CC8E7B8_files/shapeimage_6.png)
