The host Pioneer Woman Ree Drummond has an empire that seems to be getting bigger by the day. The Food Network star recently announced its collaboration with Kraft Heinz on a range of sauces. A few days later, she announced that she was opening an ice cream shop. In addition to these companies, Ree Drummond has a hotel, a cooking show, a food blog, its own magazine and countless other business ventures.
Does Ree Drummond do too much? Does she run her business too much and too quickly? The Cheat Sheet has engaged business experts to get advice about the disadvantages of a fast-growing company.
One-size-fits-all doesn’t always work when it comes to business
Ree Drummond appears to be opening businesses in various unrelated areas. She has a dog food line, an ice cream parlor, a pizzeria, a hotel and more. However, when you grow your business, you cannot be all things to all people. Jonathan Prichard, the CEO and founder of MattressInsider.com, says that a mistake that some business owners are trying to be is a one-stop shop.
The current market is not in favor of the “one size fits all” or “one-stop-shop” mentality. Wal-Mart and Amazon are exceptions to the rule, but they only got as far as they did because they lost their spreadsheets for decades, which is a strategy that most entrepreneurs cannot afford. Trying to do everything or go beyond your initial reach can result in you losing your territory and losing focus on what you do best and what sets you apart from your competitors.
You’re growing too fast if quality starts to suffer and cash becomes an issue
How do you know if your company is evolving so quickly that it is about to start? Two things you’ll notice are quality loss and cash flow issues, says David Bakke, a business and financial expert at Money Crashers. Food Network viewers have complained that Ree Drummond’s recipes have become ‘lazy’. We do not know if this is a direct correlation with her business that is growing too fast and too much, but some fans have not been happy with her recipes lately. This is what Bakke had to say:
You know that your business will become too large if you cannot keep track of your finances. It is also time to scale back if cash flow is a problem. Looking for an increase in customer complaints? That is another reason to get your foot off the gas. And if you notice that you are making a panic request in which you do not follow your favorite skills and talents, that is certainly a sign that you are growing too fast.
Brand confusion could result from doing too much
As Ree Drummond expands its activities to many different areas (pet care, hotels, food, etc.), some consumers may become confused about what its brand really has to offer. Thalia Toha, a strategic advisor on positioning and business productivity, warns that if you end up in too many different companies, your brand will be watered down. “The market will not remember you as the leading authority in a certain domain. Imagine that The Pioneer Woman also owns a collection agency, a mining company and a guitar lesson company. It creates brand confusion,” said Toha.