In Memoriam: Dale Kamibayashi, May 4, 1951 – Nov. 4, 2023
This article first appeared in Presence Marketing’s November 2023 newsletter.
By Steven Hoffman
Longtime natural products industry veteran and former Presence Marketing team member Dale Kenji Kamibayashi passed away on Nov. 4, 2023, at age 72. A beloved husband, father and family man, Dale was a valued community member, a friend to all, and a highly respected and admired colleague to many in the natural and organic products industry. Dale was an important member of our community and will be deeply missed.
From his roots in the late 1970s as the co-owner with his wife, Lisa, of a small natural foods retail store in the mountain town of Nederland, just west of Boulder, to serving as manager and purchasing director for the iconic Alfalfa’s Market, plus leadership roles in Cascadian Farm, Ceres, Rapunzel Organics and other leading companies, Dale was a strong advocate for healthy lifestyles. In 2019, Naturally Boulder honored Dale with the “Industry Leader/Community Champion” award for his vast contributions to the natural products industry and Boulder community.
Steven Hoffman (left) and Dale Kamibayashi.
Read on, below, for some shared memories of Dale Kamibayashi from some industry members and colleagues who knew and loved him best. To read more tributes and to share your memories of Dale, visit Dale’s memorial web page here, and please consider donating to his family’s GoFundMe page.
Lani Kamibayashi (Dale’s daughter, on behalf of the Kamibayashi family)
Our father was the hardest worker I knew, and our family grew up and lived for my dad’s passion. My brother Kenji and I grew up in Alfalfa’s Market; we ran around that store like we owned it. I loved it — I have so many great childhood memories of that store and the people who worked with my parents. Dad instilled our love of food and healthier eating styles that remain with us today. I am so proud of what he did and accomplished within the industry and am so fortunate to be his daughter. My family is overwhelmed with the support and generosity from all. Dale (Dad) was a remarkable leader, husband, and father for us and it’s just not going to be the same without him. We would be forever grateful if you ever had the chance to meet or know our father to keep a memory in your heart, thank you.
Chris Lobo, EVP, Presence Marketing
I worked at Alfalfa’s in the early ‘90s, mostly while I was completing grad school at the University of Colorado. During my time at Alfalfa’s, I worked in the Grocery Department and Dale K. was the Store Manager. For a time, I worked the opening shift, which meant assuring shelves were stocked and faced, and topping off the bulk bins – all before the doors opened.
That is also the period I met Michelle, my wife, who started as a cashier and also was on the opening shift. During the days Michelle and I dated, I would be in the back of the store trying to sweep up about a hundred different beans and grains that had spilled, before the “opening bell.” Michelle would often sneak back and we would quickly make out (I have no idea how dated that term is, but that is how we started a handful of mornings).
One particular morning the GM at that time, who was an uptight sort, caught us and threatened a write up. Well…that write up never came my way. I have no paper trail of who intervened, but it had to have been Dale, who was on site that day and who smilingly turned a blind eye many times to our very human practice.
I honored, respected, and cared a great deal for Dale K. as a colleague…but much more as a warm and wonderful human. RIP Dale.
Mark Retzloff, Co-Founder and Former CEO and Chair, Alfalfa’s Market and Horizon Organic Dairy, and Co-Founder of Greenmont Capital Partners
Like so many, I am shocked and grieving Dale’s passing. Dale was a brother, best friend, confidant, partner, and an example to me. I am heartbroken, as is my wife, Terry. However, I want to ensure we honor Dale appropriately. We must all remember and appreciate Dale’s legacy of treating everyone with respect, kindness, and always giving his full attention. His style of leadership should continue to be an inspiration to us all.
I have been fortunate to have known Dale for 43 years. I hired Dale in 1982 to manage our first Alfalfa’s Market store in Boulder. Dale was quickly beloved by all Alfalfa’s employees and hundreds in the community. A hallmark of Dale’s was how well-liked he was in the natural and organic movement and industry as well as on a local, state and national level.
In 2019 when Dale received Naturally Boulder’s “Industry Leader/Community Champion” award, Joan Boykin had this to say about her old friend and coworker: “Dale is a prince among men, a person of inestimable value to the community. He is known for his fair, diplomatic, understated, and generous leadership style and admired by all who know him.”
The last two times I saw Dale was at my 75th birthday in September and at our Naturally Boulder Legacy gathering. He was so Dale – that generous smile, that immediate warmth, and that always caring communication. Dale was a gem and his many life lessons will now shine through the hundreds he has touched.
I write this tribute from Kauai where I am grieving big time. I took a long walk on the beach to consider what is really important in life. Ultimately, we are all just grains of sand, and we each count ourselves tremendously grateful for friends like Dale in our lives. Too briefly, but beautifully gracing our lives.
While many of us will be absorbing this profound loss to our community, I implore each of us to send love and support to Dale’s wife, Lisa, and his children Lani and Kenji. Please consider supporting Dale’s family through their GoFundMe.
Joan Boykin, President, Boykin Consulting, Former Executive Director, The Organic Center, and Former Director of Marketing for Alfalfa’s Market, Celestial Seasonings, New Hope Network and Fresh Produce Sportswear
Dale was a consummate professional, an expert in retail operations and merchandising, and with a keen eye and mind for marketing, too. Yet, as I reflect on Dale’s contributions to the industry, it wasn’t so much about all he did, but about the manner in which he did it. He was calm and unruffled in every imaginable situation — always finding solutions to vexing problems — and I never heard a harsh word from him. I’ll remember him always for his kindness and warmth and will miss him dearly, as will countless others in our community.
Lyle Davis and Sylvia Tawse, Veterans of Alfalfa’s Market and Founders of the Fresh Ideas Group and Pastures of Plenty
When asked to describe Dale K. (everyone called him that!), Lyle Davis, who worked with Dale for nearly 18 years, said, “Sweet and steady – that was Dale I never once saw him angry or agitated.” Sylvia R. Tawse, who also worked with Dale at Alfalfa’s Markets and remained friends beyond the Alfalfa’s era, remembered working as a Marketing Manager at the Boulder store and being overwhelmed with local nonprofit requests for donations. She went to Dale to seek solutions to a tidal wave of requests. “I’ll always remember Dale’s calm and wise response. He said, ‘We just always find a way to say yes to our community.’ This lesson in generosity and inclusion has inspired and guided my decisions for three+ decades.”
Sylvia also remembers working on a ‘Healthy Choices’ newsletter story with Dale to share his family’s New Year’s recipes and traditions. Dale teared up respectfully when unveiling his grandparents’ story – a challenging time when they were interned up near Fort Collins. The recipe? A most generous New Year’s Eve soup with generous and warming ingredients. Just like Dale.
The last time Sylvia saw Dale K. was at a Naturally Boulder gathering in early October. She is forever thankful to have seen him with his iconic warm smile, and to have a big bear hug with him. All of the Alfalfa’s family and our natural and organic products industry benefitted from Dale K., and we still do. His legacy of managing through calm kindness lives on.
John Hay, Co-Founder, Celestial Seasonings
Having worked with Dale on and off over the past 40 years, I can truly say he was a very special human being. He knew all about the natural and organic food industry and had key relationships with most all of the folks in that world. Dale was a people person, and his positive and gracious personality was his greatest strength. He genuinely cared about your product, your business, but most of all about you, and that is why he was so successful throughout his long career.
Blair Kellison, Former CEO, Traditional Medicinals*
The natural foods industry’s culture of kindness and respect was set early in its inception by exceptional individuals like Dale. He embodies everything about the culture that makes our industry so special. He had a way of making each of us feel we were his favorite. I am lucky to be one of those people. The enduring nature of the HNF industry’s culture is the greatest testament to Dale’s memory. Godspeed Dale.
Bill Capsalis, Natural Products Industry Veteran and Former Executive Director, Naturally Boulder
Dale K. was a friend of mine … actually he was a friend to everyone he met. I had the pleasure of knowing him for more than 20 years as a member of the Naturally Boulder community. He would always make time for me or any of the new brands I was helping (including one I was running) to review the products and provide feedback and support. He never turned anyone away from his door while at Alfalfa’s and later at Presence Marketing. He was always kind and positive every time we saw each other. A few years back we recognized Dale with Naturally Boulder’s Community Hero Award, which was well deserved. He will be missed by so many people here and across the industry.
Debbie Wildrick, President, Frey Farms, Former Strategic Advisor, Beyond Brands, and Former CEO, BAZI Inc.*
To Dale’s family, I was deeply saddened to read today about Dale’s passing. My deepest condolences. Dale worked for me for several months when we were building a source water from Brazil. I was just speaking to my business partner the other day (just a couple of weeks ago). And, he said, “Do you remember when we all in Naples for a meeting and went to have sushi and Dale taught us how to properly eat with chopsticks?” I later moved to Denver and saw Dale often at events, especially Naturally Boulder. A very wonderful man.
JJ Rademaekers, Founder, Cocomels*
Dale was such an amazing introduction to this industry for me. When I started Cocomels at the Farmers Market, Dale was the first local buyer to express interest. Not only did he bring Cocomels into the store but he offered his time and insights so that I could understand what I was getting into and how to do it. After that, we’d meet occasionally and I’d ask a barrage of questions and he’d always give me his attention and time. He became a friend and ally in the industry and I always enjoyed bumping into him at events or shows. I’m so sorry to hear of his passing. He was a great guy who really showed interest and support for me and my journey. I will always be appreciative. Much love to his family and friends.
Steve Ehli, Natural Products Industry Veteran and Former Team Member, Presence Marketing
I met Dale in the late ‘70s and we stayed in touch through the decades. I was so pleased we got to spend several years working for the same company at Presence Marketing until I retired at the end of 2021. A kind soul and a consummate professional who dedicated his life’s work in service to grow our industry. Dale will be missed by many. The world needs more like him! My thoughts and prayers are with his family.
Kelly Shea, CEO, Shea & Associates, Former SVP of Government & Corporate Affairs, Charlotte’s Web and White Wave Foods, and Former VP of Sustainability, Sales & Trade Relations for Danone
I often saw Dale outside of his day job. His passion for “giving back” was legendary. His decade-plus volunteering on the Organic Trade Association’s annual campaign, and his passion for Boulder’s Community Food share showed Dale’s big-hearted spirit of charity. What a man! The world was better for Dale Kamibayashi in it. I went to university in Japan and spoke a little Japanese. I shared with Dale that I thought his last name must mean “bridge of God.” I imagine him walking that now.
Steve Terre, Natural Industry Veteran and Former VP of Sales, Traditional Medicinals
Sayonara Dale-San
We mourn the premature departure of a beautiful human being
His countenance
Was calmness
His bearing beneficent
His mode passionate and considerate
His smile luminous
His greeting warm and generous of spirit
Godspeed my brother on your next journey
You will be sorely missed
Too soon gone!!!
* Source: Dignity Memorial. Read more shared memories of Dale Kamibayashi by his family, colleagues, friends and community at Dignity Memorial.
‘Where’s the Money?’ – Focus on the Farmer Educational Series to Cover Financial Assistance for Farmers Transitioning to Organic
BOULDER, Colo. (Sept. 15, 2023) – As part of USDA’s Transition to Organic Partnership Program (TOPP), Compass Natural’s Focus on the Farmer educational series will offer a free webinar on Sept. 28 to support farmers transitioning to organic.
The webinar, the second in a series of four events hosted by Compass Natural in 2023, will gather top experts in organic agriculture, investment and finance to discuss investment, loan and funding opportunities for transitional and organic farmers, including government and grant programs to help cover the costs of transition and obtaining organic certification.
Webinar: WHERE’S THE MONEY?
Date: Thursday, Sept. 28, 2023, 10:30 am-12 pm MDT
Register: Register for free here. All registrants will receive a copy of the speaker presentations and a link to the Zoom video recording.
Panelists include:
Jayce Hafner, Co-Founder and CEO, FarmRaise
Co-founder and CEO of FarmRaise, Jayce Hafner grew up on a small livestock farm. She created FarmRaise to provide “farmer-friendly financial tools” and to help find funding and grants to support the transition to organic agriculture and more. Tracking tax and carbon credits, USDA grants and other programs, FarmRaise keeps farmers apprised of funding opportunities and helps them manage their business and finances.
Brandon Welch, Co-Founder and CEO, Mad Capital
Brandon Welch is co-founder and CEO of Mad Capital, providing customized loans and financing created for transitioning, organic and regenerative farmers. Replacing traditional loans and farm debt with capital that enables the transition to organic, Brandon is working to regenerate land at scale by providing long-term and tailor-fit credit to help farmers navigate the challenges of transitioning. He has experience in underwriting, credit, raising private funds, portfolio management and business building.
Emma Fuller, Co-Founder, Fractal Ag
Dr. Emma Fuller helped co-found Fractal Ag, which invests alongside farmers by taking passive, minority stakes in land that farmers already own. Farmers receive needed capital to invest in their operations, while investors access high-quality farmland that remains in the hands of the farmer. Farmers decide how to use the capital to best grow their business. Fractal discounts the cost of capital for farmers who have introduced regenerative practices, regardless of when they adopted them. Emma received her Ph.D. in Ecology and Evolutionary Biology from Princeton.
Claire Mesesan, Chief of Staff, Iroquois Valley Farmland REIT
Claire Mesesan is chief of staff at Iroquois Valley Farmland REIT, a public benefit corporation. Iroquois Valley provides land security to organic farmers through long-term leases, mortgages and operating lines of credit. Iroquois Valley supports the organic transition through its products, offering a discounted lease rate during the organic transition and interest-only mortgages for the first five years, and supports soil health and conservation projects through its in-house grant program.
Mark Retzloff, former president of the Organic Trade Association and co-founder of Horizon Organic Dairy, Greenmont Capital Partners and Alfalfa’s Market, and Steven Hoffman, founder of Compass Natural and a former Peace Corps volunteer and USDA agriculture extension agent, will serve as co-moderators.
“Our ultimate goal is to support and educate farmers during their journey to organic certification,” says Steven Hoffman, founder of Compass Natural. ”Financing is inevitably a top concern and we are thrilled to have such seasoned leaders sharing information with farmers and producers to help them navigate the process.”
About Compass Natural
Based in Boulder, Colo., Compass Natural is a communications agency serving the market for organic food and agriculture, as well as businesses and brands providing natural, socially responsible, eco-friendly and other healthy lifestyles products and services. Founded in 2001 and driven by a commitment to create a better world through business, Compass Natural is a leader in the Lifestyles of Health and Sustainability (LOHAS) market.
The “Focus on the Farmer” educational series is produced by Compass Natural in partnership with USDA’s Transition to Organic Partnership Program (TOPP) in the Plains States region. TOPP is designed to foster organic agriculture and make much-needed technical assistance available to transitioning and existing organic farmers.
About TOPP
The Transition to Organic Partnership Program (TOPP) is a program of the USDA Organic Transition Initiative and is administered by the USDA Agricultural Marketing Service (AMS) National Organic Program (NOP).
Media Contact
Steven Hoffman, Compass Natural, steve@compassnatural.com, 303.807.1042
Compass Natural Marketing Partners With USDA in Major Organic Farming Initiative
Leading natural and organic marketing communications agency selected to manage a series of key events to support farmers transitioning to organic
BOULDER, Colo. (Aug. 11, 2023) — Compass Natural, a Boulder, Colo.-based PR and communications agency with a deep commitment to organic and regenerative food, agriculture and the environment, has entered into a cooperative agreement to support the USDA’s Transition to Organic Partnership Program (TOPP). This $100 million, five-year program is a critical part of the USDA’s Organic Transition Initiative — the largest single investment in organic agriculture ever made by the USDA.
TOPP is designed to foster organic agriculture and make much-needed technical assistance available to transitioning and existing organic farmers. TOPP is building partnership networks in six regions across the U.S., working with trusted organizations like Compass Natural to create and administer farmer mentorship, education and community-building programs.
“We are thrilled to partner with Compass Natural on the Transition to Organic Partnership Program,” says Brandon Hill, OCIA International’s program director for the Plains Region TOPP. “As the agency has a deep connection to organic markets, it is a great fit to help make the connections producers will need to successfully transition to organic.”
Compass Natural is one of 16 select organizations partnering with OCIA International in TOPP’s Plains Region, encompassing Colorado, North Dakota, South Dakota, Nebraska, Kansas and Oklahoma. Compass Natural will manage a series of key events for farmers throughout the Plains Region during the second half of 2023. Using a contact list of more than 25,000 industry leaders, decision-makers, producers and major media members involved in organic food and agriculture, Compass Natural will bring together key experts and farmers to support the mission of the TOPP program.
‘Focus on the Farmer’ Fall Series Kicks Off With Aug. 29 Webinar
Compass Natural will kick off a Fall “Focus on the Farmer” education program on Aug. 29, 2023, with the first of a series of monthly webinars. Registration is now open. Farmers can sign up here.
August panelists will include:
· Dr. Gene Kelly, professor of pedology, deputy director of the Colorado Agricultural Experiment Station and the associate director for research in the School of Global Environmental Sustainability at Colorado State University (CSU).
· Tina Owens, senior fellow of Regenerative Agriculture, leading the Nutrient Density Alliance, a program within the Soil & Climate Alliance at Green America. Tina has been working as a sustainability leader within the organic sector since 2008 for several of the largest organic brands in the world, including enabling on-farm transition to organic and regenerative practices.
· Mark Retzloff, a pioneer in the organic and natural foods industry with a 47-year career including co-founder of Alfalfa’s Markets, co-founder of Aurora Organic Dairy, co-founder of Horizon Organic Dairy and former chairman of the Organic Food Alliance.
Live Symposium Planned for November 2023
The Fall Series will conclude with a live, one-day networking and education event in November. It will bring together world-class experts and farmers to discuss subjects related to transitioning to organic. Topics will include key organic resources, the regeneration of soil and carbon sequestration, best practices in pest control, organic farming and ranching production, and handling, financing alternatives, value-added product development and more.
Upcoming events will also highlight community-building initiatives like TOPP for Indigenous Producers; Linking Organic Consumer Packaged Goods Brands With Organic Producers in Transition; and Financing, Grant and Funding Options for Organic Producers. Technical assistance and training initiatives include TOPP for Hemp/Grain Farmers in the Plains Region, TOPP for Specialty and Produce Growers, and TOPP for Western Slope Fruit and Specialty Crop Producers.
“Compass Natural is honored, grateful and excited to be partnering with TOPP on such an important program focusing on supporting farmers as they transition to organic,” says Steven Hoffman, founder of Compass Natural. A former agricultural extension agent and graduate of Penn State University, a land grant college, Hoffman adds, “We look forward to educating farmers about the true value of organic in building resiliency in their farm operations.”
About Compass Natural
Based in Boulder, Colo., the “Epicenter of the Natural Products Industry,” Compass Natural is a boutique communications agency serving the rapidly growing market for natural, organic, socially responsible, eco-friendly and other healthy lifestyles products. Founded in 2001 and driven by a commitment to create a better world through business, Compass Natural is a leader in the Lifestyles of Health and Sustainability (LOHAS) market.
About TOPP
Transition to Organic Partnership Program (TOPP) is a program of the USDA Organic Transition Initiative and is administered by the USDA Agricultural Marketing Service (AMS) National Organic Program (NOP).
Media Contact
Steven Hoffman, Compass Natural, steve@compassnatural.com, tel 303.807.1042
Creating the Silicon Valley of Natural Food: Q&A With Entrepreneur Steve Hughes
In 1997, Steve Hughes was named CEO of Boulder, Colo.-based Celestial Seasonings tea company. Although he came from a conventional food background, Hughes quickly saw the potential of the natural foods movement—and he realized that Boulder was one of its epicenters. Along with local first-generation natural products company founders like Steve Demos and Mark Retzloff, Hughes was instrumental in turning Boulder into what he calls “the Silicon Valley of natural and organic food.”
For more than 25 years, Hughes has helped build some of the natural products industry’s iconic brands. After leaving Celestial Seasonings, Hughes moved on to serve as CEO of Frontier Natural Products. He then built Boulder Brands, which launched EVOL Foods, Udi’s, Smart Balance, Earth Balance and other brands. Seven years ago, Hughes founded Sunrise Strategic Partners, which is now one of the leading investment firms in the natural channel.
Steve Hughes, CEO & co-founder of Sunrise Strategic Partners.
At Sunrise, Hughes identifies and invests in brands in trending categories that are transforming the healthy, active and sustainable-living space. Sunrise recently merged two companies in its portfolio—Teton Waters Ranch and Sun Fed Ranch—to create the industry’s leading grass-fed/finished-beef platform dedicated to regenerative agriculture. Other Sunrise investments include Maple Hill Creamery, which produces 100% grass-fed, organic dairy products, and Kodiak Cakes, which produces whole-grain, high-protein pancake and waffle mixes.
Hughes recently reminisced about his experience in the natural products industry and shared his predictions about the future on the podcast Compass Coffee Talk, co-hosted by industry veterans Bill Capsalis and Steven Hoffman and sponsored by PRESENCE Marketing, Naturally Boulder, Naturally San Diego and Naturally New York.
Read on to learn more about Hughes’ perspectives on brand building, hot investments in the natural products space, regenerative agriculture, the top components of a good business model and more.
Q: Over the years, you’ve really kept your eye on how to build brands, how to consolidate and scale, and how investments and economics affect the natural products marketplace. How is all of that going so far in 2023?
For 25 years, there was nothing but capital, increasing almost every year. If you had a good idea, you could probably get some funding to get started. But what happened last spring was that the pendulum kind of swung back the other way. People were less prepared to invest in companies that maybe had a great idea but not a great business model.
There are a couple of reasons why this happened. First of all, the Fed started making money more expensive. And then there was a lineup of natural brands that went public, like Beyond Meat, Oatly, Tattooed Chef. They came out of the box trading well above their IPO price, but they were businesses that had great top lines without very good business models. They were losing money, and they’re now trading 95%, 90% below their IPO price. That has really cooled off investors looking to take the big swing at high-growth, not-great-business-model kind of companies.
Before, this capital was pretty patient. They’d invest in a company, and if that company was losing money but the business was growing, they’d keep funding the business. But that changed pretty dramatically pretty quickly. I think there’s a little bit of retrenchment now, and I think it’s going to be with us for a while because interest rates are not going down anytime soon. They’re probably going up.
Q: What does that mean for natural products companies looking for investors currently or in the near future?
I think when you look at the lineup of companies that went public in 2020 and 2021 and how they’ve performed in the public space, it’s given investors a real pause about, OK, what are the rules? What has to happen for a company to be successful today? I think the answer is a bit different than it was a year or two or three years ago.
If you’re a company that’s got some scale and making money, I would just be really prudent now and be patient and grow and protect your bottom line. But if you’re a smaller company that isn’t cash-flow positive, you’ve got to get cash-flow positive. You’re not going to get funded, or if you do get funded, you’re not going to like the terms of that funding.
I think what we did with Teton and SunFed Ranch is a good example. These are two pretty good-sized companies, at about $60 million each. They had just turned profitable, but we figured if we put the two of them together and created Grass Fed Foods, we’d end up with a $120 million business growing 30% plus, making good money.
That’s one model. The other model I call “safety in numbers.” If you're a smaller company that’s underfunded, is losing money and can’t get funding, think about other brands in your category that are complementary and are facing the exact same issue. Could they or should they be trying to merge? I think that’s going to be the theme over the next 18 months—call it the mini-merger, where you get two or three small companies in the same category that together are profitable.
Q: Grass Fed Foods just recently launched. Can you tell us more about how it came about?
We invested in Teton Waters Ranch, which was grass-fed hot dogs and dinner sausages, six years ago. They were sourcing most of their raw material out of Tasmania, which is the ideal place in the world to get grass-fed meat. We built that business, got it to $60 million. But there was nobody to scale in the grass-fed space.
One of the challenges for regenerative agriculture companies like Teton is for the company to get the scale, so the retailers and food-service operators can really have confidence they can lean into it and get the product supplied properly and professionally. My partner, Vince, kept knocking on doors, saying, “If we could get two of these companies together, we could clear the field and be the largest.”
Then, I met Chris and Matt from SunFed five years ago at Expo. They’re sixth-generation ranchers in Northern California that do fresh grass-fed meat—what goes in the butcher case, what goes on the table at the restaurant. They had gotten SunFed to $60, $70 million at that time.
So, we had these two beautifully complementary companies—one doing prepared meat with an international source, one doing fresh meat with a domestic source. The big challenge was this was going to require somebody who really knew what they were doing to put these two together. We brought in Jeff Tripician, who had spent 15 years in premium protein with Niman Ranch and Coleman Natural Foods and had successful exits on both. So now we’ve got a scaled business with a guy who’s been there, done that—a guy with a playbook.
We invested in Teton when it was a $3 million business and today, it’s part of a $120 million platform. This is the largest grass-fed beef platform in the space, and I think it’s going to ramp and grow very quickly. This is really going to be a rocket ship. This could be the biggest outcome in Sunrise history.
Q: Can you talk a little bit more about the regenerative agriculture you’re promoting with Grass Fed Foods and other companies?
At Sunrise, we really felt six years ago that regen agriculture is going to be perhaps the biggest fundamental mega trend of the next 20 years—because, basically, it’s back to the future. It’s how we did it 100 years ago before we industrialized our meat supply and dairy industry. It’s better for the earth. So, we’ve put about probably 40% of our capital into this space.
One of the companies we invested in is Maple Hill Creamery, which is America’s first and only 100% grass-fed organic dairy milkshed, with over 150 farms. There are so many great positives to their regen agriculture business model.
First of all, they rotate the cows around the milkshed every three days. This makes the grass look like you haven’t cut it in three years—like how it used to be on dairy farms. The cows are also productive until they’re 14 years old, whereas an organic cow might be productive only until age 4.
A calf never gets an ounce of the mother’s milk on an organic farm. They get their own formula. But we incentivize Maple Hill farmers to wean, to have the calves on the mom for eight months. That makes the chemistry of the milk different, and better for the consumer. Cows are naturally wired to eat grass—they have four stomachs for that reason—and their grass-fed milk is a different chemistry than the milk from cows fed grain.
We launched Maple Hill Milk into Whole Foods. Our best item at Boulder Brands, Earth Balance margarine, sold $85 a week per store at Whole Foods. But after just 90 days, half gallons of whole milk from Maple Hill were going $600 a week per store. So, the consumer gets it. A challenge for us is to get the products there in an economical way that they can afford.
We were smaller, later-term investors in Vital Farms, which produces eggs, butter and ghee in the regen agriculture space, and it’s really exciting to see what’s happened with that business. It’s one of those that came out in the class of 2020 IPOs that traded way up, but is now normalized back to a pretty good place. It’s $15-a-share stock, and I think they've got nothing but white space in front of them.
Q: Speaking about brand development, we have a question from a listener: “What are the basic three to five general components of a great business model?”
Well, the first ideal is a highly differentiated, meaningful point of difference, ideally attaching an untapped consumer need. You’re looking for something the consumer’s ready for but isn’t on the market yet, like Maple Hill milk.
The second thing is margin. If you're a 50% gross-margin business, your ability to get the cash flow to break even quickly is there. But if you’re a 20% gross-margin business, you’ve got a long road to go and a lot of wood to chop.
The third is talent. To get to a business of $10, $15 million, you’ve got to almost be manic, right? You’re spending your own money. You’re spending nickels like manhole covers. You make every decision, because you’re on the line. But when your business starts to scale, you need to have the ability to bring in the “been-there, done-that” talent and be able to manage that talent. And that’s a challenge, because people that have been successful, that have been with bigger businesses and then come to smaller businesses, have a different business-management model.
Once we get the right CEO in place, the folks across our businesses see that, really, almost overnight, they start making the kind of progress and traction they need to get to scale the business.
Q: Can you give us an example, like how that applies to Kodiak Cakes? We know this is a story you’re really proud of personally, and there’s even a “How I Built This” podcast on NPR about Kodiak.
Kodiak is probably my favorite business experience. I got a call from my partner Jamie Manges at Trilantic Capital Partners, and he said he knew somebody who knew Kodiak co-founder Joel Clark, and Joel was getting ready to take in capital. So, I went on the internet, and they had the hokiest video of a trailer, which is their office, and a bear breaking into it, right? I thought, “This is something. OK, I’m just doing Jamie a favor. OK, I'm that kind of guy.”
Kodiak’s point of difference was a whole-wheat, high-protein alternative to white refined flour, which meant it could play in any category white refined flour is in. When Joel came to see me, Kodiak was at $15 million. It was at Costco and Target.
Joel showed me his deck, and when I got to the second page, I went, “Holy smokes, Joel, this is a billion-dollar brand.” He went, “What are you talking about?” I said, “Joel, you have got a 20 share of pancake-mix business at Target, and the category's up 20%. The category nationally is up 2%. You’re bringing millennial moms with money to Target to buy pancake mixes.”
So, we partnered up with Joel, and it was fascinating. It was just a great collaboration. Joel has got such great business and brand instincts. His business IQ is off the charts.
We came up with what we call the Kodiak Cabin. The foundation of the cabin is pancake mixes in 25,000 doors. The first floor is baking mixes in 25,000 doors. The second floor is all of that in a cup you can microwave in a minute. Then, the third floor is frozen waffles.
Kodiak went from $20 million to $200 million when we sold the majority of the control to Catterton 18 months ago. When I spoke to Joel recently, he was at $350 million.
Two years before he met us, Joel and Cam, his partner, were on “Shark Tank.” They were told all the reasons they weren’t going to be successful. I think they offered Joel $500,000 for half of the company. And, he said no, wisely.
I’m kind of a brand junkie and a trend junkie. I’ve been on some of the great rides in this industry. But working with Joel on this one was so special because it was so personal. All of his family had equity in the business, and he got to an extraordinary outcome. To have a small part in helping him do that is so great.
Q: Finally, what’s on the horizon for you personally? What kind of work is exciting for you right now?
I love looking for the next new thing. As I said earlier, I think products that revert us back to the basics are an untapped consumer need, whether it’s grass-fed meat and dairy or heirloom grains.
I’ve been talking with one company that’s doing stone-ground milling the old way. This company has just gotten started. They’re in the Northeast in Whole Foods, and they’re outselling Dave’s Killer Bagels by 50%, 75%. So, the consumer gets it, right? But one of the big challenges companies like this have is capital.
I also like resolving the disconnect between what a company founder says their unique point of difference is and what their product package says. One of the things we learned at Sunrise over the years is that you have your story, your concept statement. You want that to be 40%, 50% top-box resonating with your target consumer. But you want to make sure your package reflects that concept too. Because the reality is that for these small, emerging companies, 99.9% of their marketing budgets are package.
This industry is so dynamic, and while it’s going to go through different peaks and cycles, I think it’s just fascinating to see how many brilliant and caring people are in this industry. I think a young founder can reach out to anybody in this town and get a cup of coffee. I think that’s something we need to continue to nurture and build on, because there are tougher days ahead.
I've gotten a lot of great things out of this industry, a lot of great friends, a lot of great experiences. I’ve done well. It’s been great for my family, and I want to give back a little bit, and not necessarily with a price tag to it—just to help out where I can.
Compass Natural Adds Talent to Boutique PR, Brand Marketing Agency Serving Natural, Organic, Regenerative and Hemp Products Businesses
Compass Natural Adds Talent to Boutique PR, Brand Marketing Agency Serving Natural, Organic, Regenerative and Hemp Products Businesses
November 9, 2022
Compass Natural, a boutique public relations & brand marketing agency serving businesses in the market for natural and organic foods and related products, is pleased to announce the addition of seasoned talent to its team.
Compass Natural, a Boulder, CO-based boutique public relations and brand marketing agency serving businesses in the market for natural and organic foods, industrial hemp and cannabis-related products, regenerative agriculture, and sustainable and eco-friendly products and services, is pleased to announce the addition of seasoned new talent to its team.
“Going into the new year, we are excited to offer our clientele a diverse, talented team with expertise in brand marketing, public relations, social media influencer marketing, digital communications, content development, business development, and trade show, conference and event planning — all focused on serving businesses and brands in the natural, organic, and healthy lifestyles market," said Steven Hoffman, Founder and Managing Director of Compass Natural.
“When Compass Natural’s longtime associate Evan Tompros moved on in September to further career opportunities after seven years of service to our clients in the natural and organic channel, it provided an opportunity for us to reorganize our agency. As such, we’ve been fortunate and successful in attracting an incredible lineup of professionals to serve our client companies into the future,” Hoffman added.
Joining the Compass Natural PR, Communications and Brand Marketing Team
Allison Salvati (top left) — Natural products brand marketing veteran Allison Salvati joins Compass Natural as “Creator of Opportunities.” Having worked with such leading natural and organic brands including Bhakti Chai, noosa yoghurt, Honey Smoked Fish Co., and others, Allison will help lead brand strategy and marketing, social media influencer marketing, media outreach, and client services. Allison proudly claims her superpower is building and nurturing relationships. Human connection is her core value and she is passionate about curating meaningful experiences for clients and brands.
Hope Keller (lower left) — Hope Keller joins Compass Natural to assist with digital marketing and communications, production, editorial and web, blog and related content. A veteran journalist, Hope has worked at the Baltimore Sun, the Philadelphia Inquirer and the International Herald Tribune, among other newspapers. She also served as director of communications for the University of Baltimore School of Law. In addition to her work with Compass Natural, she works as a writing tutor at Mitchell College in New London, CT, and as a freelance reporter for The Daily Record in Baltimore.
Elizabeth Lunt (top right) — Co-founder of Spark Events, Elizabeth Lunt joins Compass Natural as a contributing writer and to assist with trade show and conference planning, educational programming, booking speakers and other related services. Spark Events produces business networking and educational events for the cannabis industry in Maryland, where Elizabeth also has been active as a dispensary agent and cannabis advocate. She is fascinated by the development of the industrial hemp industry and has been a volunteer with the US Hemp Building Association as well as a writer for HempBuild Magazine.
Rachael Carlevale (lower right) — Rachael Carlevale joins the Compass Natural Marketing team with more than 10 years of experience directing sales and marketing in the natural products industry. The co-founder of Suelo Vivo, a certified regenerative hemp farm and brand, and founder of Ganjasana Plant Medicine School, Rachael develops and teaches cannabis and hemp courses. Rachael is a certified Mindfulness Educator, yoga instructor and DEM Pure Educator who contributes to Skunk Magazine with her “Cannabis + Wellness Column.”
Advisory Board — In addition to new team members, Compass Natural’s distinguished Advisory Board includes the following members: Mark Retzloff, co-founder of Alfalfa’s Market and Horizon Organic Dairy; Michael Schall, former VP of Global Business Development for Whole Foods Market; Ari Adams, CEO of ShiftCon, the nation’s largest community of eco-wellness social media influencers; and marketing and branding veteran and current director of Naturally Boulder, Bill Capsalis.
New Clients in 2022-2023
In addition to working with longtime clients -- including We Are for Better Alternatives, producer of NoCo Hemp Expo and Southern Hemp Expo and publisher of Let’s Talk Hemp; Presence Marketing, the nation’s leading independent natural products brokerage; BeyondBrands, a leading collective of branding experts serving the natural, organic, and healthy lifestyles market; and others -- Compass Natural welcomed a number of new clients in 2022. Such new brands include JAMBAR®, a certified organic, artisan-made energy bar created by Jennifer Maxwell, the inventor of the original PowerBar®; the Glyphosate Residue Free certification program, administered by the Detox Project; Bay State Milling, provider of certified organic grain ingredients; Franny’s Farmacy, an Asheville, NC-based producer of hemp-derived CBD consumer products and operator of a chain of dispensaries in the Eastern U.S.; and more. In addition, Compass Natural founder Steven Hoffman serves on the Advisory Board of ShiftCon Media, the country’s largest community of “eco-wellness” social media influencers.
About Compass Natural — Connecting Media & Markets in Natural, Organic Products
Based in Boulder, CO, and founded in 2002 by natural products industry veteran Steven Hoffman, Compass Natural is a boutique agency serving the public relations, brand marketing, social media, and business development needs of companies and organizations in the $500 billion market for natural, organic, regenerative, socially responsible, and eco-friendly products and services. Compass Natural also is the producer of the popular business podcast Compass Coffee Talk, which in November 2022 featured Colorado Governor Jared Polis talking about sustainability and the growth of natural and organic products, as well as the hemp and cannabis industries in the state and the nation. Visit Compass Natural’s fully illustrated client deck here. Also, learn more at www.CompassNatural.com and on Facebook and LinkedIn.
Contact
Steven Hoffman, info@compassnaturalmarketing.com, tel 303.807.1042
Compass Coffee Talk Episode 25 — Mark Retzloff: A Lifetime of Service to the Planet and Its People
Compass Coffee Talk Episode 25 — Mark Retzloff: A Lifetime of Service to the Planet and Its People
Leading Podcast Compass Coffee Talk Welcomes Mark Retzloff, an Original Founder and Pioneer of the Modern Day Organic Food Industry, June 15, 2022, 11:30am EST.
Wednesday, June 15, 11:30am – 12:00pm EST
Zoom, Admission is Free
Mark Retzloff, CEO, Climate Foods
Compass Coffee Talk™, now in its 25th episode, continues exploring the industry landscape of natural, organic and sustainable products with guest Mark Retzloff. With a wide ranging impact throughout the natural products industry in his five decades of service, Mark continues to push the envelope in the role that food, agriculture and climate change play in our society and environment.
As Co-Founder of Alfalfa’s Market, Mark Retzloff was influential in the inception of natural foods retail in the United States, and helped set the standard for the modern day full service retail environment we know today. From there, Retzloff became Co-Founder of Horizon Organic Dairy, and was instrumental in leading one of the first organic milk brands to nationwide success and becoming a household name. Mark is also a Co-Founder of Greenmont Capital Partners and former Chairman of Organic Food Alliance where he was instrumental in Washington D.C., leading passage of the Organic Food Production Act in 1990. Today, Mark is CEO of Climate Foods, furthering his mission to promote soil health, make delicious regenerative organic food products and absorb tons of carbon out of the atmosphere to minimize the impacts of climate change.
About Mark Retzloff
Mr. Retzloff is a pioneer in the natural organic and sustainable food and agriculture industry with a 51-year career starting and managing a number of successful companies. He is co-founder and former chairman and CEO of Alfalfa’s Markets and also co-founded Aurora Organic Dairy in 2003. He was the University of Michigan’s School for the Environment and Sustainability, (SEAS), Practitioner in Residence for 2014/2015 and 2015/2016, and serves on the Colorado State University School of Agriculture Dean’s Advisory Board. He is past Chairman of the Board of Natural Habitats Group, a Rotterdam, NL and Boulder-based, fully integrated leader in worldwide organic sustainable palm oil production, processing, and distribution. Mark currently mentors, counsels, consults and advises numerous leaders and companies in the Natural, Organic, Local and Sustainable food and agriculture sector. In 2019, Mark co-founded Flock LLC which is a dynamic movement aimed at fast-tracking regenerative agriculture for the preservation of the planet and people.
In 1990, Mr. Retzloff was chairman of the Organic Food Alliance which was instrumental in passing the federal 1990 Organic Food Production Act in Washington D.C, and went on to become the co-founder of Broomfield, CO.-based, Horizon Organic Dairy. He then became Chairman of Rudi’s Organic Bakery, a leading Colorado-based national organic brand, where he helped execute a successful turn-around. He lends his knowledge as a board member and advisor to emerging companies, which have included Blue Horizon Organic Seafood, BlueSun BioDiesel, Boulder Ice Cream, Crocs Footwear, Evol Burritos, Goddess Garden, Haystack Mtn. Goat Cheese, Sambazon Acai, Traditional Medicinals, Tempt Hemp Milk, and Uncle Matt’s Organic Juice. Mr. Retzloff is a founding partner at Greenmont Capital Partners, and founder and former Chairman of The Organic Center and he is a past 11-year board member of RSF Social Finance.
About Compass Coffee Talk™
Take a 30-minute virtual coffee break with Compass Coffee Talk™. Hosted by natural industry veterans Bill Capsalis and Steve Hoffman, Coffee Talk features lively interactive conversations with industry leaders and experts designed to help guide entrepreneurs and businesses of any size succeed in the market for natural, organic, regenerative, hemp-derived and other eco-friendly products.
Compass Coffee Talk™ is produced by Compass Natural Marketing, a leading PR, branding and business development agency serving the natural and organic products industry. Learn more.
