The Pizza Wars

February 16, 2012

Bumping into the formidable Tom Potter over the years has given us an insight into the man behind the Eagle Boys pizza behemoth. None more so than reading his book "The Eagle Boys Pizza Story".  It's not so much about pizza as the personal development of a man driven to do better with a head full of ideas.

Tom has exited a business of over 200 stores and in excess of over $100 million turnover. I've read countless business books some great and some not. Tom's book is closer to home. It's Australian, it's raw, it's real and it's loud. A bit like the author. He's not trying to impress you - that's not his style.

You will read about a man's passion and learning in business and the frustrations along the way. If you've ever heard Tom speak, you'll appreciate his dry wit and forthright nature - that's how this book is written - in "Tom speak". It's a gutsy story of rags to riches.  I think the juiciest bits have been politely omitted to protect the innocent or perhaps for legal restraint.

He calls himself 'The country kid with a good idea'. A 15 year old boy who didn't fit with school and found himself up to his armpits in work and sweat in the Sunicrust Bakery Factory. Grabbing a bakery apprenticeship was the foundation of Tom's foodie fascination and launching pad of opportunities which he had the good sense to seize with both hands. Don't be mislead. This wasn't an easy ride. Rolling with the proverbial punches and giving a few back would have broken a lesser man.

Both fearless and a risk taker, Tom had a vision. To bring the vision to fruition is where the story unfolds. This now famous brand was originally called 'Beagle Boys' because Tom loved and resonated with the fiendish comic book characters as a kid. After a few months he thought it would upset Walt Disney so he dropped the 'B' and Eagle Boys was born.

Tom won the 1993 Australian Young Business Person Of The Year award when Eagle Boys had enjoyed wildfire growth and was suffering severe internal issues.

Extract from page 86: "The irony was damn near palpable: Eagle Boys was clawing its way out of a deep, dark corner, and a well respected publication like The Review was saying, "Here's a young bloke, doing a hell of a good job. Let's make and example of him." So I did what every self-respecting entrepreneur in that situation should do - I laughed to myself and booked a trip to Sydney (for the awards night)...Beyond the pride of such recognition was the real reward, a scholarship to attend Harvard Business School in Cambridge, Massachusetts for successful entrepreneurs."

Studying at Harvard was when Tom's ideas and vision became aligned with the mechanics of business on a grand scale.  And yes there were Pizza wars with all the players; Dominos, Pizza Hut, Pizza Haven and anyone else that got in the way. Most battles were won in an Eagle suit, a backwards glance and a grin.

Each chapter of the book has a lesson in overcoming challenges;
cashflow, human resources, team culture, banking and finance, expansion, price wars, franchisee discord, marketing, work life balance (or lack of), competitors, new technology, loyalties and legalities. Sound familiar?

Tom summarises his lessons learnt throughout the book. Here are a few extracted lessons and quips:

• Change and do it quickly for future success or die
• Have a price positioning policy
• When you employ senior people....do extensive reference checks... If it smells like shit it usually is.
• Sometimes settlement is not an option when precedent is at stake - don't be bullied. (Lawyers)
• A fish rots from the head
• When entering new markets, keep your debts and leveraging low to conserve cash flow during growth and market creation.
• When a big player wants to bully you, don't see it as a threat. Look for the opportunity to be the speed boat zipping around the ocean liner.
• The fast eat the slow.
• Employ to culture.
• Life is about doing things, not having things.
• Always try new things. Even if it fails. Failure is a lesson learnt.

 

Success; like beauty, is in the eye of the beholder. I think Tom feels successful but somehow he's not finished yet. The brain behind Tom Potter doesn't simply switch off after the sale of an international franchise chain he built from the ground up. I asked Tom, "Do you miss Eagle Boys". He shot back a rapid fire answer, "Not a bit".

What's next for Tom? A few 'Crusty Devil' bakeries are on the go and more ideas hatching. Lots of golf and treading the speaking circuit. ( www.tompotterspeaker.com.) But you'll have to wait for Tom's next book to read about those.

PS: Hey Tom - can you send commission for this article to me at Food Strategy. Cash preferred. Cheers. Chris.