We are pleased to share a guest post from Katerina Kohlwes, principal designer of Mindful Design Consulting, a leading interior design firm based in San Diego, CA. This post is the first in a series of interviews with Mindful Design Consulting clients.
By Katerina Kohlwes
At Mindful Design Consulting, we have always been interested in how our dessert shop clients do long after our branding and design collaboration has ended. That is why we decided to revisit some of them and run a series of interviews that would take the pulse of their business a few years later.
Since the frozen yogurt industry is a highly competitive one, we found it particularly interesting to learn about the struggles and successes of such businesses through the years – and how our branding and design strategies worked for our clients.
This is the first interview in our series, in which we talk to the owner of PennyLane Sweets & Treats in Campbell, California – Anna Roselli. A few years ago, we designed this space as a destination place meant to wow customers with colors, graphics and memorable characters. We combined fun and refreshing pink, yellow and blue tones with modern wall textures and unique ceiling decor elements. In doing this, we made the clean and modern interior design of the store an important part of a winning branding strategy.
Here is the owner of PennyLane, Anna Roselli, sharing with us the story of her business success and talking about what part Mindful Design Consulting played in it.
When did you start your business?
I started in June of 2016.
What makes your store different from others?
I am not afraid to show my true personality in every aspect of my business. First, I refuse to sell anything that I would not want to purchase myself as a customer. Second, Katerina from Mindful Design Consulting designed my store, which gave it a competitive edge right from the start. She’s a very talented designer who knows how to take your wishes and personal style and spin them into something unique.
The artwork in the store was extremely important to me because it pays homage to my fine arts background. It also sets me apart from others since it is my personal vision, wonderfully interpreted and brought to life by Katerina’s design crew.
Can you share a couple of things that you have learned during the design, remodeling and opening process?
Honestly, I had no prior knowledge of how expensive soft-serve machines were. I did not know how much a simple yogurt shop kitchen would cost. This happened because I did not do my full research before starting, and because I jumped into opening a yogurt shop on a whim. I learned that research is so underrated, yet so important.
However, this lack of knowledge was compensated by the good people that helped me on the way. Katerina took all the design worries off my plate, while my amazing contractor Dave Method did the same when it came to construction. He handled the permitting process and the contractor management part, and turned Katerina’s dream designs into reality. The result was a fully finished, turn-key ready store, which is something that many people can only dream of.
I have heard many horror stories about choosing the wrong contractor and about poor choices that made business owners run out of money even before the construction ended. I was blessed not to have faced those types of issues. Dave and Katerina were wonderful, and I have referred them to many friends and neighbors who needed help for their own businesses.
What was the biggest challenge that you overcame so far and how did you do it?
In business, I’m still overcoming many challenges. I think the most unexpected one was facing a debilitating accident within the first 5 months of my store being open. It resulted in a personal injury that made working while recovering extremely difficult, while I was also facing my first slow winter at my shop. It took a lot of determination to make it through that first year in business, but I overcame it and came to realize that I was a much stronger person than I had ever thought.
Is your business as successful as you thought you would be?
It depends on your values and how you define success. We all wish for more money and more customers, but I am proud of myself for accomplishing my dream and being a positive role model for my daughters. The American dream is called a dream because it isn’t easy, but achieving it is possible. I see my success in the ability to hold my head high and show my daughters that you can accomplish anything with hard work, patience and a good vision.
What are your marketing strategies, and which one is the most successful for you?
In order to have a good marketing strategy, you need to have a clear vision of who your customer is, since the goal is to market your store to that clientele. Whether it’s parents, gourmet foodies, millennials, children or others, you absolutely need to define your audience first, so that you can start walking in the right direction. These days, we all know how influential social media is. Marketing is also a matter of mastering that tool and targeting the right people, or else you’ll miss the mark.
Are you using social media to market your business? Has it helped you to spread the word out? What are some stories about it that you can share?
When I was first ramping up my grand opening, I invested a ton of money in social media. I didn’t think that by doing this, I could also harm my store. However, I learned the hard way that small business owners are always looking online for their next big competition in order to outrank them and to take trending ideas from them.
I blasted all over social media that I would open the store soon, bringing to the Bay Area the first yogurt shop to offer Disney’s beloved Pineapple Dole Whip. I was proud of myself for figuring out how to access that vendor. I did not even think that my announcement would give others the chance to copy the idea. Once I announced my unique trendsetting product, my local competitor swiped it from my social media posts and began offering it in their store, while claiming to be the first to do it.
I was devastated. Not having my store open yet put me at a disadvantage, so there was nothing I could do about it. I realized that I had not understood the cut-throat nature of this business. I assumed I would be part of a unique class of business owners who respect each other’s unique spins in business and support the diversity of their ideas.
Today, I’m a little more guarded when it comes to publicizing every little thing that makes us unique. Most are surprised when they enter the store for the first time and see how diverse our products are. There is something to be said about word-of-mouth marketing as well, but Facebook, Instagram and Yelp play a vital role in a successful marketing plan. I am learning to love social media marketing again; however, it’s a tricky landmine when it comes to deciding what to post.
Do you track your repeat customers? If yes, how?
We are now in the middle of transferring over to a new loyalty rewards program. We are still using the Flok application to track and reward customers, but this was recently acquired by another company and they will be ending their services in mid-March.
Do you think your location played a role in your success?
Absolutely. However, equally important was holding true to my core value of only carrying good quality products in my store. This is the defining attribute of my business and my success.
Did your branding and design help your business?
Without a doubt. People would walk into my store and assume we had multiple locations because of our polished look and Katerina’s beautiful branding and design. They would often be surprised to learn that we were a one-and-only mom-and-pop shop, and that they were not supporting a chain, but a locally owned business.
Going above and beyond to create a brand instead of a typical yogurt store with a rushed and uninspired design went a long way in developing a local following. Having such a clean and beautiful brand gives me a sense of pride in business ownership. When people enter our shop for the first time, their faces light up. This makes me feel wonderful.
Have you expanded your menu beyond your typical product (frozen yogurt)? If so, what did and what didn’t work for you?
Yes, we continue to explore more unique menu items that complement our original vision. I was one of the first to diversify and bring in dairy-free products, as well as sorbets and gelato. In fact, new customers are often surprised to learn that we are not just a frozen yogurt store. To get a full taste of our large selection of treats, you really have to visit the store and have some fun.
How many stores do you have now? Are you planning on opening others in more locations? If not, what is stopping you?
I still currently own the store that I opened back in June of 2016. Even though my goals go well beyond this store, I strongly believe that you can’t run without learning how to walk first. I am still working on so many aspects of my business that I think it’s wise to give it a few more years before exploring the option of expanding into more stores. By then, my daughters are also going to be older.
What are your main concerns right now regarding your industry?
I see a definite change in people seeking out yogurt today. The trend is going in the direction of sugar-free, dairy-free, more naturally derived products. I think that if you don’t evolve with the times, your business freezes in time very much like your products, and your shop becomes obsolete.
One of the things I thought would not affect me very much was the seasonality of frozen desserts. I assumed that, since California was always warm, people would always come flowing into my store. I found out it’s not as easy as I thought. The countless types of frozen dessert these days can make your head spin, and you have to choose wisely what to offer. However, I am confident I can ride out anything that comes my way.
Visit PennyLane at 715 W Hamilton Ave #1130, Campbell, CA 95008
About Mindful Design Consulting
Mindful Design Consulting helps companies develop their brands through interior design. Based in San Diego, California, the company creates unique spaces for small businesses and corporate clients, both nationally and internationally. Its team recognizes that customers “buy with their eyes” and that powerful branding must be embodied in the design from the start. Mindful Design Consulting believes in the power of personable spaces and makes high-end design approachable to all. Some of its work includes branding and interiors for restaurants, bars, offices, hotels, malls, stores and salons.
