If you ever travel to Antarctica, as I did earlier this year, you will learn a lot about an explorer named Ernest Shackleton. In December of 1914, a 28-man crew set sail from England on his appropriately named ship, “Endurance.” Their goal was to circumnavigate the entire continent of Antarctica, a feat that had never been achieved before. By September of 1915, the Endurance was crushed by the ice and sank. Ultimately, Shackleton led a group of five on an incredible journey by lifeboat and on foot to South Georgia Island, where he was able to arrange for the rescue of the rest of his men in August 1916.
Many business books, such as “Ernest Shackleton: Exploring Leadership,” by Harvard Business School professor and historian Nancy Koehn, have been written about the explorer, praising his leadership, optimism and courage in the face of despair, starvation and almost certain failure.
After years of searching, the wreckage of the Endurance was found by the Endurance22 team in 2022, led by Menson Bound. When I spoke to Bound in the Falkland Islands in January, he said that he was sure that Shackleton would be proud of the expedition.
Leadership, optimism and courage
Like Shackleton, convenience services operators must exemplify leadership, optimism and courage. Having covered this industry for nearly a decade, following 37 years as an operator, and having interviewed countless operators and suppliers in the convenience services channel, I have seen their determination up close and have been repeatedly impressed by their endurance — their ability to overcome hardship and adversity.
90 years of endurance
“Let’s start with the fact that the industry is 90 years old,” noted Carla Balakgie, president and CEO of NAMA. “That’s pretty enduring, right? Some elements of it are as it always has been, but I don’t think the industry could have endured for 90 years by doing the same thing exactly the same way, which means that there’s an entrepreneurial and innovation spirit that understands that you must evolve to survive.”
Weathering the storms
Industry pioneer Jim Brinton, founder of Avanti Markets, said that endurance is a strong and relational word in this industry.
“Over the years, there have been so many internal and external changes that could have given us a lot of reasons to not necessarily have wherewithal to weather the storms,” he said. “But the fact is, this industry is made up of the type of people who are attracted to the fact that it’s not always going to be a sunny day. And usually, at the end of that cloudy day or rainy day, better things are ahead.”
Multiple challenges in the Big Apple
“I think life is all about endurance, I mean, there are so many challenges that we all face in life. Health problems, financial problems, family problems, friend problems. In business, it’s no different. You’re faced with lots of challenges,” said Judson Kleinman, founder and CEO of Corporate Essentials, who pointed to numerous business challenges that required a healthy amount of endurance. “9-11 obviously, the downturn in the economy, superstorm Sandy — that was scary and of course, the pandemic.”
“What can you do? You just have to keep going forward, and you just have to have the perseverance, the confidence, the determination, the team and the creativity to figure out a way to work through those things,” Kleinman said. “COVID was the worst of the worst, and I definitely don't want to ever live through that again. That was bad. And I reacted very quickly. In that first week, I laid off 115 of my 125 employees. There was no government package available in the beginning. PPP, without a question, saved us. I didn’t pay myself for a year and a half, not a dime. That was rough. But all those things make me who I am as a person and as a business leader, and I know our company can face those challenges,” he added.
Long days and tough breaks along the way
Ryan Harrington, founder and CEO of Oregon-based Royal ReFresh, said that plenty of endurance has been required during his journey as an operator.
“When I started Royal Refresh out of my garage with just two vending machines, I never could have imagined the level of persistence it would take to grow the business to where it is today. You know, there were a lot of long days and tough breaks, and moments where quitting might have seemed like an option, but endurance is what carried me through. The industry itself, I think, demands it,” Harrington observed.
“Operators have to navigate constant changes, shifts in consumer habits, supply chain challenges, labor shortages, and economic ups and downs. In our case, transitioning from vending to micro markets, expanding into new regions, and even dealing with unexpected hurdles like the fire we had at our warehouse last year, required a level of grit that only endurance can provide. More than anything, endurance isn’t just about surviving. It’s about staying committed to your mission — continuously improving and pushing forward when others might stop. That’s what separates operators who last from those who don’t,” he said.
Certain qualities are required
Pete Tullio, my brother, former business partner and a past NAMA chairperson, reflected on our journey in business and the amount of endurance required to succeed.
“Endurance implies the ability to withstand hardship, adversity, and possess certain staying powers to navigate the many issues that have confronted the convenience services industry over the last 30 to 40 years. Issues such as government regulations, maintaining a strong, competent workforce, generating expansion capital, integrating new technologies, dealing with transportation and climate issues, and of course, that once-in-a-lifetime pandemic. To endure these issues, one had to possess qualities of fortitude, tenacity and the ability to pivot — all defining characteristics of people in our industry,” he said.
Enduring relationships
As a supplier, Mark Dieffenbach, director of specialty channels at The Hershey Company, has a slightly different perspective on endurance.
“Endurance is a unique word, and as I think about the industry and nearly 30 years of being a part of it, I think why endurance is important is because the relationships that you create over the years transcend the business,” he said. “The reason that they transcend the business and endure through time is because there’s a mutual trust and respect that’s created between both parties. And I think if you are able to create that trust and respect between both parties, I think it leads to a much more successful and enduring relationship over time. You’re able to have candid conversations. You’re able to get through the struggles and celebrate the successes along the way.”
“This is a unique business, and there’s a lot of legacy from a family perspective. There is an awful lot of heart and soul that the operator community, in particular, has put into these businesses to take care of their families and their communities, so learning to respect that and understanding the values that they create in their communities and the pride they take in creating that value is what makes for an enduring relationship,” he added.
Endurance on multiple levels
“I'm a lifelong endurance runner, so that word resonates with me deeply,” said C.J. Recher, vice president of marketing at Five Star Breaktime Solutions. “With respect to our industry, I would absolutely say endurance is an appropriate word to characterize the people in our industry. The job of a route merchandiser is tough. I think it goes underappreciated a lot of the time, but they are our greatest asset — up and at it before the sun most days, and our best are out in the elements delivering service with a smile. They are working long hours, especially around the holidays.”
Endurance based on three pillars
“Operators and suppliers that are currently in the industry need to have endurance based on what I consider three basic pillars,” said Craig Hesch, now retired after 42 years as a successful operator. ‘First, you have the economic pillar — you have cycles of recessions, cycles of consolidation, and then the innovation aspect and cost of innovation. So, as an operator and a supplier, you have to get through those cycles,” he said.
Putting it all together
“Endurance is super impactful as a characterization of the folks that work and represent our industry. A couple of other words that come to mind would be grit, persistence, perseverance, consistency and reliability,” Recher said. “Those are all kind of similarly related to that concept of endurance, but I think it also adds some additional context to what endurance really means.”
We can also look to Shackleton for insights.
“Difficulties are just things to overcome after all,” he wrote in his diary in December 1908, following the Nimrod Expedition, which he wrote about in the Heart of the Antarctic (1909). During each successive expedition, Shackleton kept a diary.
“Ship and stores have gone — so now we’ll go home,” Shackleton said to his men on the loss of the Endurance in October 1915. This illustrates his optimistic style of leadership, as he made such a statement while his men watched the Endurance sink.
“Superhuman effort isn’t worth a damn unless it achieves results” Shackleton said to his navigator Frank Worsley in 1916, according to Worsley’s account published in 1931. Worsley was one of men — six in all — who accompanied Shackleton on the “against all odds” rescue mission.
To last in this industry, you definitely need endurance, but you also need that discipline, knowledge and awareness to deliver well and to succeed over the long run.
Bob Tullio
Bob Tullio is a content specialist, speaker, sales trainer, consultant and contributing editor of Automatic Merchandiser and VendingMarketWatch.com. He advises entrepreneurs on how to build a successful business from the ground up. He specializes in helping suppliers connect with operators in the convenience services industry — coffee service, vending, micro markets and pantry service specifically. He can be reached at 818-261-1758 and [email protected]. Tullio welcomes your feedback.
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