Cult of Personality

Generally I've avoided the limelight when it comes to the company. I want our publicity to be about the products, not the boss. However, I made an exception when the LFM folks wanted to write an article about the business. The article is much more focused on the two LFM grads, rather than just the products.

It's also probably the only time I'm going to be referred to as an emperor.

	The LFM Emperors of Ice Cream By Amy MacMillan, LFM-SDM Communications Assistant May 1, 2006
		He didn't know it when he graduated from Leaders for Manufacturing in 1997, but Keith Jackson had a frosty future ahead of him. Steve Llorente (L) and Keith Jackson, both members of the LFM Class of 1995, on their factory floor with one of their most popular products, the Play & Freeze Ice Cream Maker. Jackson already had an S.B. in Aero-Astro from MIT when he entered the LFM program in 1995. His friend and fellow LFM classmate Steve Llorente had a similar background and ambitions. Llorente possessed both an S.B. and an S.M. in Aero-Astro, and had experience working for Boeing's Helicopter Division in Philadelphia. Armed with their newly-minted LFM dual degrees in engineering and management, the two set off for careers at the world's largest airplane manufacturer in Seattle . Only they gave it all up in 2004 and 2005. For an Ice Cream Ball. The Play & Freeze Ice Cream Maker can generate a pint of soft serve ice cream – or margaritas! Jackson left Boeing first. He loved building airplanes, but he knew he wanted to go into business for himself. He just wasn't sure what he wanted to do. He spent six months researching companies until he found Industrial Revolution, a small company formerly known as UCO. UCO had been making top quality outdoor products since 1973. It was most famous for its candle lantern, a lightweight lantern that had been used by campers and outdoor enthusiasts for a natural, safe, and long-lasting light. Three million candle lanterns had been sold since 1982, and the company's annual sales were a healthy but stagnant $1.2 million. Jackson was attracted to the manufacturing and distribution company's small size, stability, and proximity to his home in Redmond, Wash. It took him six months to close the deal and become owner and president of Industrial Revolution. Llorente followed him a month later, becoming the company's Sales & Marketing Director. Llorente also thrived at Boeing, but he had always been intrigued by small manufacturing firms and wanted to work for a smaller company where he could make more of a difference. He drew on his LFM background for marketing information such as the 4 Ps of marketing (product, price, place, promotion) and now he "is the marketing department" at this small company of just 10 employees. Jackson says Industrial Revolution has estimated annual sales to be $5 million this year. Much of it is attributed to the celebrated ice cream ball, an Industrial Revolution product that's been on the market since the spring of 2004, a year before Jackson purchased the company. However, some of the sales boost can be attributed to increasing sales of candle lanterns and finding new and innovative camping products to add to the company's growing product line. Within a few months of taking over at Industrial Revolution, Jackson and Llorente signed an agreement with a Swedish company “Light My Fire” to bring their innovative camping kitchen products to the United States. Coffee can ice cream In order to understand the phenomenal success of this ice cream creation, one must go back in time and give credit to those ingenious entrepreneurs – the Camp Fire Girls. For years, Camp Fire Girls have made their own ice cream using two coffee cans, some rock salt, ice and cream. They added the mix in one small coffee can, and then sealed it in a larger coffee can, which they would kick around until the ice cream formed about 15 or 20 minutes later. Shortly before Jackson acquired Industrial Revolution, outdoor gear supplier REI approached the company, and asked it to design the ice cream ball. The creators came up with the Play & Freeze Ice Cream Maker, an 8-inch lightweight Lexan™ plastic ball with a metal cylinder where you add ice, cream, and rock salt. Seal the ball, and then shake, rattle, and roll it for about 20 minutes, until it's "done" and there's a pint of delicious soft-serve ice cream to eat. L.L. Bean then put the Play & Freeze Ice Cream Maker in its catalog in five vibrant colors, and sales took off in the spring of 2004. Jackson says the company initially hoped to sell 6,000 of the product, but has now sold more than 100,000, mostly in the United States. Its sales now account for more than half of Industrial Revolution's sales, according to Jackson, who bought the company on April 1, 2005. "REI didn't think it would sell too many, but they vastly underestimated it," Jackson said. The product has sold almost solely through intensive media coverage, rather than advertising, Llorente says. Consumer Reports ran a favorable article last July, and again in its December holiday gift list issue. The Play & Freeze has been on featured ABC's Good Morning America, and in other media outlets, including Parade magazine, Time magazine, The Washington Post and The New York Post. It helps that the ice cream ball now comes in seven colors (from Tangerine to Cranberry) and has the right price point (it retails for between $29 and $34.95), Jackson says. Some of ice cream ball phenomenon can be attributed to serendipity, but it's also a great product. "It's just so different from other products," says Llorente. "Typical ice cream makers are a lot of work, or they are boring. This product keeps people engaged in making a treat," he says. It's also not just pigeon-holed as a "camping" product, he adds. The family-friendly ice cream ball is also sold at hundreds of toy stores, high-end kitchen gadget retailers, large retailers, and of course, REI and L.L. Bean. Adults can also enjoy frozen margaritas and other concoctions using the Play & Freeze, Jackson says. Industrial Revolution's web site features nearly two-dozen recipes for ice cream, frozen yogurt, and slushies. The Play & Freeze has almost exclusively been sold in the United States and Canada, but Industrial Revolution just shipped the product to Great Britain, where Jackson expects it will sell briskly. Llorente says the only "negative" feedback from customers has been that a pint isn't enough ice cream. But, the company has just remedied that with its 9-inch "Mega Ball" which yields a quart of ice cream in about 30 minutes, and is now available through L.L. Bean for $39. Rapid growth Before Jackson purchased Industrial Revolution, he spent many, many hours with the company's previous owner, whom he credits with running a solid business. His LFM degree has also assisted with the learning curve in becoming an entrepreneur. He cites reading a balance sheet and understanding a profit-and-loss statement as two pivotal skills he learned through LFM. Additionally, Mary Rowe's negotiations class proved invaluable when he ran into a stumbling block while trying to purchase the company. The previous owner suddenly backed out of the deal during negotiations, but Jackson persisted, using a Perceived Injurious Experience (PIE) letter (a skill he learned in Rowe's class) to help resuscitate the deal. While Industrial Revolution has enjoyed tremendous growth with the ice cream ball, Jackson faces all the usual challenges of any small business owner. "Cash, cash, and cash," he answers when asked what the greatest concern is. "The company is very profitable, but growth eats cash. Profit is not the same thing as cash, and I remember learning this in LFM. It's been very challenging to keep the finances growing fast enough to support the growth of the business," he says. Inventory is another issue. The Play & Freeze took off so rapidly that the two businessmen were unsure of how much inventory to stock. It's a delicate balance, Jackson says. But, he's not complaining. "I love this. This is just want I wanted…a good challenge," he says. Jackson puts in his time in the office, but also works at home and on the weekends. He recently took four vacation days, but worked through most of them. "I'm excited and interested in this, and it's not like working for someone else," he says. Jackson still misses making airplanes and the strong LFM network at Boeing, but he's in the right place right now. Llorente agrees. "Boeing was hard to give up, and now the large company safety net is not there, but it's easier to make a difference here." Jackson's route from LFM to becoming a small-business owner may be a tad atypical, but he has no regrets. He emphasizes that his years at Boeing were critical to his success. "It gave me work experience that I can still call on, and it gave me money, too. I couldn't have come straight out of LFM and done this! I didn't have the money to invest," he says. He's also careful to note that he purchased an existing company with growth potential. "This was a great way to go, because I didn't have to start from scratch," he says. The Play & Freeze has been enormously profitable, but Industrial Revolution has many other products that it is promoting, including the Grilliput, a portable grill which is billed as "the smallest mobile kitchen in the world." Llorente and Jackson, however, are still focusing on the "Mega Ball," before worrying about further diversifying. Other products will take time to bring to market. "The only emperor is the emperor of ice-cream," said American poet Wallace Stevens, and these LFM alumni are certainly the emperors of a growing enterprise which will be around for many years to come.