It’s Girl Scout Week! As millions happily munch on their just-delivered Girl Scout cookies, what better time to examine—and celebrate—the business side of the Girl Scout cookie phenomenon.
From a bake sale roughly 100 years ago, the Girl Scouts have built an incredible $700 million cookie empire—growth that MSNBC calls a model for non-profit and for-profit companies. The Girl Scouts, it says, built their booming business on “decades of smart organizational choices, good products and an unbeatable brand image.”
On an individual level, the cookie business teaches the Girl Scouts invaluable entrepreneurial lessons, from business planning to sales and marketing techniques to money management. But looking at the enterprise as a whole, Girl Scout cookies have some serious business lessons to teach us all.
A great idea, a shared commitment. A simple bake sale fundraiser in 1917 produced the nugget of the idea for bigger and better cookie sales. In just a few years, all 2,000 Girl Scout troops in the U.S. had access to a common recipe for “the” cookie at the time. Cookie sales soon became more organized, and spread across the country, thanks to sales and marketing by members. Think about it: Girl Scout troops could have competed for the best cookie; instead, they recognized the wisdom of uniting behind a common product and approach.
Knowing when to access professional resources. By the mid-1930s, it was obvious that Girl Scout cookies were big—and here to stay. The national organization wisely recognized that commercial bakers could speed up and expand production.
Adaptability to external conditions. When World War II broke out, the Girl Scouts made changes so they could help in the war effort. They continued selling cookies but growth took a back seat to the demands of war. They collected and distributed other things: flour, eggs, animal fat and even war bonds.
Decades later, the Girl Scouts would again respond to changing market conditions, making healthier products and publishing nutritional information in response to concerns about trans fats.
Recognizing (and seizing) opportunities to expand. The organization knew it had a good thing going with Girl Scout cookies and took the leap to expand its product line. By the mid-50s, there were six different kinds of cookies, including the wildly popular Thin Mints.
Tight focus and quality control. The Girl Scouts have stayed focused on their core strengths: a few very popular products. They’re not expanding into other foods or snacks and license production to very few companies. The recipes are not shared, despite many requests.
Exclusivity and uniqueness. By being available only during a limited time frame every year and only through their own distribution channels, Girl Scout cookies have managed to maintain an air of ‘special-ness.’ Consumers tend to stock up, fill their freezers, make them last throughout the year, and even give them as gifts— significantly different from more typical cookie-consuming behavior!
Building and preserving the brand. As times have changed, the core values of the Girl Scouts have not. They’ve modernized but have never tried to be hip or edgy. And rightly so. The Girl Scouts have always known their brand, as well as that it is inextricably linked with the success of the cookies.
Changing with the times. At the same time, the Girl Scouts are very much a part of the digital age. Cookies can be ordered and shipped online and are also now sold during “cookie season” at pop-up stores. In fact, technology is playing an increasing role in the sales process. There’s even The Cookie Finder for iPhones to help hungry consumers find the nearest cookies—which they’ve been doing to the tune of a million visits!
Image courtesy of SheKnows.com