How to Deliver 27 Years of Profitable Growth | Jackie Reid, Deli Lites

What are the secrets of delivering consistently profitable growth, and how do you do it in a super challenging sector over the course of 27 years? Jacqui Reid is the co-founder of Delilights. She's definitely someone who sees an opportunity where other people see challenges. In this conversation, Jacqui shares her experiences of starting and growing and what matters to her as we explore the fundamentals of the Delilights business. I'm Karen Green, and this is the Friday Accelerator. Let's introduce everyone to Delilights.

So tell me, what's, what's the elevator pitch?

Well, there's many, but today it is Delilights is an award-winning food-to-go manufacturer in the island of Ireland. But in recent years, we have exported throughout the UK and Europe within an extended range of, you know, heat-to-eat products for a lot of customers and wholesale in the travel sector. Back to our roots is we're very much a gourmet-led sandwich company with a lot of innovation within chef-led team and, you know, our technical abilities with— within Deli Lights. What we do is different is we, we take a very personal approach to food solutions within our retailers and our wholesales and the travel sector, and we come up with just great ideas to, to help grow their business and, and develop the category.

What made you start the business? Tell us the story, because I love the story of your business.

I suppose it started, I believe it or not, 27 years ago. Just a young student, 16 years of age, was working in my family's coffee shop in Newry, County Down. It was a real family affair, along with my 4 sisters and my mum. The original idea came from a summer in New York, working in the New York delibars, you know, seeing for, you know, these big doorstep sandwiches and freshly cooked ham and chicken and, you know, continental cheeses, and putting that all together and having an amazing sandwich. Because back 27 years ago in Ireland, same with the UK, sandwiches were more or less unheard of, you know, apart from making your lunch at home and bringing it to work. So, my family, my sisters took the idea back. I worked in the coffee shop along with my family, and I loved, I suppose, the fast-pacedness of the food industry.

Mm-hmm.

You know, what was happening there with the customers' reaction, loving what we were doing, you know, the flavor profiles, the bread, you know, the freshly cooked chicken coming out of the oven. And very quickly after they opened, there was a queue down the street. So, there was no Instagram in those days, and there was no viral, but I bet you if there was, it would've went viral. So, I loved that, and I definitely knew I wanted to get more of the action. So, I went traveling, met my husband, Brian, who I'm in business with today. We're co-founders. Met him in the shop. He was at the local college studying food and hospitality. We went off on a trip, a road trip around Europe, with an idea of getting a wee bit of inspiration as in what we could do when we come back to Ireland. So, we looked around, and we seen very sort of, you know, we seen an opportunity in the petrol forecourt sector where there was sandwiches and lots of different options, but they weren't great. And we thought, goodness me, if we could take something like this back to Ireland, because with the knowledge now of the fantastic sandwiches in our family business, could we bring that out to the rest of the country? So, that was the sort of idea. So, we come back to Ireland, and both me and Brian worked in the shop just to get a wee bit more of a feel for what was happening in that environment, and done a little research out and about, and looked at the miserable-looking sandwiches in the local petrol forecourts and shops, and went, these definitely need a revamp. So, we decided to elevate the offering and bring those really sort of, like, amazing New York-style pork-type sandwiches and fillings to that market. We done it. We done it very easily. You know, we, we went in at night, at 12 o'clock at night, opened up the shutters of my sister's shop into the back kitchen, and we literally made the sandwiches, Karen, there and then. I was very bossy to Brian. I was telling him, no, this needs to be filled to the corners. I was a bit of a perfectionist. But yeah, it was, it was one of those relationships that it was either going to make us or break us. So, you could see it made us. Brian delivered the sandwiches out around all the local shops. And the next day, then, like, our first order was 30 sandwiches, and by the end of the week, we were making 300. So, the phone was hopping during the day in my sister's coffee shop. They were actually getting a wee bit vexed because they were saying that the line was being used up by customer inquiring about, can I get those amazing sandwiches that are in the local shop? We had schools ringing us, hospitals ringing us, factories saying, can we get a delivery? of, like, 50 sandwiches a day for all our staff. So, before we knew it, we were like, oh, my goodness, the demand for this is crazy, which was brilliant. But it was also a wee bit of a challenge and a problem because there was only the two of us, and we were working throughout the night. So, we had to quickly then bring in different people to help us. We just put out a local advertisement in the newspaper at that time, and we had lots of young students willing to help. We just really grew the business from very, very humble beginnings. And we didn't take a loan out. We didn't have anything fancy schmancy. All we had was a little van with a fridge in it and the two of us, and that's what we'd done. And, you know, it was exciting and it was scary and it was challenging, but we were just full of, suppose, naivety.

One of the things that struck me actually, which I haven't thought about before about that, that business starting, is that sandwiches are highly profitable within the supermarkets. Not necessarily supermarkets, but certainly for the producers. But if you were producing Deep-filled, like you were saying, filling right to the edge. Did you ever have a problem with being more expensive than, than other sandwiches? Did you get pushback in those early days?

Yeah, that's a good question. Like, I think, you know, we'd scanned the market, right? And we had the confidence of going in there and disrupting it with something bigger, better, and new, because there was nothing like it. So you would have seen the, the local sandwiches in the stores, and there was a slither of ham and a little bit of cheese. Very sad, boring-looking sandwiches that It was so uninspiring. And chicken back then, I remember seeing the Thai meat, you know, the dark chicken in the sandwiches, and I'm going, oh my goodness, you don't go there. So, we were doing things very different from what was on the shelf. But to me, it was easy because you were going in there, it was tried and tested. People knew the shop in the local town as well, because I suppose with there being no Instagram or TikTok, people talk, and that's how your reputation grows. grew very quickly. And people associated then, seeing the label on the sandwiches, we used Deli Lights, and straight away, people was going, they're amazing, they're in the local shop. And we wanted to give that same experience, or as close to that experience, of queuing up and getting your deli-made sandwich in a pre-packed sandwich. We didn't want to disappoint, so it was breast of chicken, it was freshly shredded every morning, it was Jarlsberg cheese, it was, you know, homemade chutneys. It was just like was elevating the boring sandwich to another level. So listen, the problem we had then wasn't the price, because we were getting listings everywhere. Customers were ringing us up, the phone was hopping. It was we couldn't make enough. What had happened then was everybody knew we were in the local shops, so they used to go in in the morning when we just delivered, buy their lunch, so there's no sandwiches at lunchtime. And we weren't able to make sandwiches then till that night.

Yeah.

Because we were doing the night shift and delivered to the next morning. So, we knew quickly then we needed to get proper premises, and this was actually a proper business, because we were only turning 19, and we only read each other like a year. So, it was like, you know, go big or go home. And that's what we done. We went and we looked for a unit, drove around, and we found a unit. We were very, very lucky. We drove around Urie, couldn't find one in Urie, but in the next town was Warrenpoint, and I'm not not from there, or Brian isn't either. And we came across a redundant little prawn shelling factory, and it literally all fell into place because the guy who owned the factory knew my family, knew my dad, and he was very, very helpful in getting us set up. There was already a walk-in fridge, there was paneling all around the walls, so there was very little to be done. And it was literally set up within, I think, about 2 months because we had friends and family. All chipping in, helping us. So again, we had no startup costs. We had no, literally no money, no loans or no finance. It was just, I suppose, friends and family and whatever bit of money we were making from selling the sandwiches, you know.

Now, sometimes we've become a little bit disconnected from, from our local community. And I think it's a really good example of how that's really pushed you forward and, and, and gave you a really good foundation. So you weren't starting with big loans, which meant you're, you were constantly running to keep up with, with payments, which makes quite a difference for a, for a business. So fast forward now, 27 years, what's the split? Deli Lights and, and associated brands and, and own label or private label or co-manufacture or?

Well, we've grown our brand really, really strongly over the last, I suppose, 27 years. We probably would be the strongest brand in Ireland within the food co sector because we've invested heavily in those core values that we had at the beginning, which was quality, consistency, and you know taste. Being different in the market and pushing the boundaries, and using Deli Lights as you know that test kitchen as well of what potentially we can bring to our customers in own label. So it's very easy. It's very easy to test within you know. You know, because my sisters still own the sandwich bars, the cafes, and test new products. What's working? What's the customers looking for? And having that connection with the end customer, which is brilliant, you know, and that's really helped us over the years. So I would say the, the mix is 60/40, 40% being brand and 60% being, you know, own label and working with customers and developing their own range of sandwiches under their own brand. So it's quite strong and it's growing because it's grown most recently outside the island Ireland in the travel sector. We've got our brand in airlines in Germany and obviously our linguists and, you know, within wholesale as well in Europe. So, it's something we're putting our name to because it is associated with quality and innovation and taste. We're excited about the future. We have lots of different plans and opportunities, and it's like, you know, it's never-ending. The food industry, especially the sector we're in, it's so exciting. Like, you know, what's, what's happening at the minute with, with the whole health and functionality is another area that, you know, we're really working hard in and developing. And so it's, it's never-ending.

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What do you think the next big thing is going to be?

Well, I think, you know, protein's there to stay, and then obviously you've got your whole— the fibre intake as well, which is very hot at the minute. We have developed a range, Deli Plus, within the Deli Lights range. So it's a sister brand from the Deli Lights because I wanted to make it very clear to the consumer this was really focused on health and functionality of food, and those callouts being you know, high protein, high fiber, brain boosting, good for the gut, you know, all those callouts, which is very relevant at the minute. And we're seeing that because, you know, our functional brand is growing, doubled it month on month, and it's getting a lot of traction. So we can see that is set to continue. But obviously, without giving too much away, there's lots of new things that we're launching now over the next 4 to 6 months within that sector. And it hasn't been been launched. I don't think I've seen anything like it within Ireland and the UK. So, you know, there's a lot of development and a lot of focus in that space. That is, you know, that aligns so much with myself because I would say, like, I'm vegetarian. I was vegan. I'm more vegetarian now. But I'm so much into my food and my nutrition. You know, I'm training at the minute to hike Kilimanjaro in January. So it's all about the diet and you're, you know, building up your protein intake in different ways without it actually having to be meat. So, and then obviously your fiber and your health. So I have to really build up my own health and wellbeing to be able to, to be fit to hike Kilimanjaro in January. So, you know, this is aligning with everything that we're doing in the, in the functional range that we're developing. So So, I'm really excited about that, you know, because for so long, it was all about flavors and flavors of the world and taste and new breads, which is good. But now, you know, it's looking at different, different ways of building a sandwich or different ways of, you know, bringing snack into life rather than it just being a sandwich. Yeah, it's a really exciting, fast-paced industry and space we're in at the minute, and it's about owning it.

It's an interesting industry because certainly in mainland UK, you've got domination by 2 main players in terms of manufacturing. You've got some smaller brands who are owning some of the niches, which is quite interesting. And then you've obviously got meal deal. And the exciting thing over the last couple of years has been the premium meal deal, which has allowed a little bit more innovation, a little bit more cost to be put into the product. In terms of your, your customer, your audience, because we, we like to go through our 4-step framework. So we've talked about product, but audience, who's your target customer? Because normally when I work with brands, we design 1 or 2 customer avatars, but yours, because of your customer base, feels broader.

How do you What we've seen, and this is the beauty of being, you know, a business that's very responsive to the market and agile, I find that, you know, we have a very sort of spread out customer base. You know, we know that obviously there's a lot of people who are on the go working that are stopping off buying our sandwiches, 30s, 40s, 50s, you know. But recently what we've seen in the launch of our Deli Plus range in the last 18 months is a lot of younger people and students, you know, are starting to really buy into our products because they're very much clearly designed to tell the consumer straight away, this is your protein intake, this is your fiber intake, this is 2 of your 5 a day. So, clearer messaging now has brought a new customer, we believe, to the category that was always there, but maybe never thought that pre-pack food had a solution to their snacking or their lunchtime habits. Whereas, I would've seen, like, within our own business, a lot of the younger people used to come in with their lunchboxes, with their green salads and their bread separate and their fruit. But now, you know what I mean, they're not doing that so much because we have something within our range that ticks that box. And that's exactly what we wanted to attract within Deli Plus, because within the range that we have in food to go, what we've seen is When we put Deli Plus beside Deli Light's core range and your premium, you weren't eating into those sales. You're actually bringing in a new customer and new sales within the Deli Plus.

Yeah, which is the holy grail, isn't it? We want to grow the category. We don't just want to, you know, keep innovating within that space. And how do you know who these customers are and what they want? I mean, you talked about the coffee shop, which is an interesting live interaction, but do you do other research?

Oh yes, we've worked with various companies and finding out who is our customers. Like, we were surprised to see that, you know, it's women. Women buy our products, they trust our products, they love our products. I think it's very much based on the fact that I'm a woman, I design, and I work with our innovation team on what I believe people want, but also having our people out on the ground and asking customers questions and, you know, doing tasting panels and going on site in stores and asking our customers, what would you like to see on the shelf? What would you like to see? What do you think about this? And that is so important. You have to take the time out to do that because it's— you can't have a guessing game. You need to exactly know who your customer customer is and, you know, what's changing in their lifestyle, or what do they want to see. And I think with a combination of all those different methods, you, you're able to then develop your range and give your customer what they want. Because ultimately, it's about growing the category, yes, but growing sales and keeping that whole food-to-go space fresh and inviting and invigorating.

So, I think we do that really, really well by listening and getting out on the ground and actually talking to our Now, as we're coming into a really tough time of inflation, availability, shipping costs, the whole piece, how do you address the challenge of increasing sales but actually profitably? Because you are profitable.

Yes, we are and always have been, which is great. Throughout the last 27 years, I've been very grounded and very not, not spending above our means. You know, we want to grow, but we want to grow profitably. We want to make sure that we have security for all the people we employ, because you never know what's around the corner. We've seen COVID. We bounced back very, very strongly after that. And then, you know, you had the Ukraine war, and you have the Iran war, and things is changing all the time. And you have to just keep your feet on the ground, just be aware of costs all the time, and don't get carried away. At the end of the day, you have to keep in sight what you're doing and what you're spending your money on. So, it's being savvy about that, spending it in the right areas. I think innovation and research and development, that is an area that we do put a lot of resource in. And we don't knee-jerk, but I think everything is a challenge, and it's coming at us all the time. The cost of living is increasing. But I think, you know, you have to work on the efficiencies as well of your factory and what you're doing on your lines and your people. So, it's a balancing act, Karen. There's no right or wrong answer to this. And it's about having the right people in the right places and them all working together. And that's what Deli-Lite has. We are such a strong team. We're all aligned. We know what we're doing. We know where we're going. And I think when you're clear and you're passionate about that, people are on the journey with you, and they will help you as much as they can to get there. And that goes beyond the people you employ. It includes your customers. So, our customers mean so much to us. They are our partners, and I'm very proud to say that we've worked with customers 27 years, same customers we've worked with, and we've developed their category and their space over that space of time. We haven't lost a customer over tender or any sort of other issues, and I'm proud to say that because business to me is more than just a It means a lot, you know.

In business, has there been a commercial decision that you made that went, actually, wow, that's stepped us up? Or has it just been a gentle trajectory?

No, I think it has been gentle. It's been very measured over the last 27 years. Obviously, with us taking the business outside of Ireland has stepped us up, but that was always my passion and my plan, because I think when you're creating something really good within your own market and you see the potential or the opening in other markets, it's like you want to share it, I suppose. With, you know, stepping out of your comfort zone is, is good as well. And we've done that, what, 8, 9 years ago when we went to our first lunch show. We exhibited in London, and that was really cool because it was like, wow, you know, we're here now. Dally Lights has landed, you know. That was really exciting, and we got so much much attention back then. It was like, wow, who are these guys? And, you know, it made us believe in ourselves more that we, we were doing something special, we were doing something different, we were bringing different bread carriers and flavor profiles to the customer. And we got our very first export customer, which we're still supplying today, from that show. Those sort of decisions you make, sometimes they pay off, sometimes they don't, but it did back then. And I'm so glad we'd done that because we just pushed through the fear of the unknown, and it's really paid off because since then we've been growing gradually, year on year, very considered.

You're off to lunch again this year?

Absolutely.

Any exciting announcements? Because I think this will go out just before the lunch show. Anything you're going to be taking that people need to go and have a look at?

Well, I would say absolutely, without giving too much away, come see us at the lunch stand. We will be there, Deli Lights Black and White. We always have a new launch or something different, so We actually have more than just something we have arranged. So we would welcome anybody who's listening that would like to come and say hello, see what, what we've got to offer. Come along and speak to myself or some of the team. It's all about making connection— connections and networking. But yeah, come over for a chat.

So the 4th element is execution. And you obviously, you know, as a food-to-go business, you execute well and it's on a daily basis. How do you stay focused? Because you've got, you know, you're out meeting your customers, you're looking at the consumers, you're on the shop floor, you're doing your, I presume it's charity going up Kilimanjaro.

Yeah, of course.

We'll put that link in at the end. So how do you focus and make time for the strategic part of the business?

When I'm doing all that?

While you're doing all that. And, and, and let's remind ourselves you are a mother and, and, and so on and so forth.

3 teenagers.

With 3 teenagers, exactly. So, uh, yeah, it's just tiring thinking about it, to be honest.

It is tiring, but it's fun as well. And I think it's a balance act. I think because my role is very much strategic and, you know, I'm sort of looking at the big picture, you know, what's happening in each market, what we need to be doing next, and advising and helping our teams come up with those decisions. But it is pure really a team effort, you know. And within the innovation department, who Gary McDowell heads up, and he's constantly doing food safaris, and he was in Sri Lanka there. He's only home, and he's come back with lots of new ideas. I have to travel quite a lot, which I love. So, when I travel to see customers, or if I'm doing presentations to different customers in different countries, I'm there also when I'm visiting, you know, stores and food safaris and seeing what's happening. And I make it very much a really productive visit. So it's not just go and have a meeting. I, I go and I suss out the market and I, I network and I see who I can meet up with. And, you know, when you're doing that, you're constantly thinking and you're developing. And, and then I just come back and it's like, pity you couldn't put a chip in my head and download everything. That would be so much easier because I'll be honest, my strengths isn't Great in you know putting pen to paper. I'm a very sort of everything's in my head, and I am a people person, and I like telling people what I'm doing and you know what I've seen. But I have to work on that. I have to work on taking all that information and putting it in a proper process that everybody understands what we're doing and where we're going. But I'm getting better at that because you know I've done L for G Lady Lady. Leadership for Growth through Enterprise Ireland and Invest NI last year. You know, it was a 9-month course which helped me then challenge myself and how I conduct myself in that leadership role, where and how I need to develop myself. So that's been really, really good. And I've put together a strategic growth plan within that period for the business. Now everybody's on board, they know what's happening, where we're going, and it's really, really productive. I think it's things like that you have to when you have the time and develop yourself. Because for 27 years, since I went into business at the early age of 18, I've never stopped really, you know, and went back to uni or— I never went to uni, but I never even went and done courses or anything like that. So I'm doing that now as I've got older because I've seen the real benefit in it. And I then have to mentor the people around me in the commercial team and obviously in the innovation team. But it's exciting, and I always find a way. I always find time. And I think also within having the B Corp accreditation, which we're very proud of, and having those key pillars of people, planet, and profit, that brings me back all the time of, you know, where am I splitting my time? It has to go 3 ways: people, planet, profit. And just keeping grounded and keeping fit, keeping healthy. You know, which is very important. And, and eating well helps you then be able to, to fit in a manic lifestyle of growing a business and running a family.

It's exciting. And it's interesting that you talk about everything being inside of your head, because I'm kind of guessing, you know, one of the things we always ask on, on the podcast is favorite hack, tool, ritual. And your ritual seems to be actually the mantra, those 3 Yeah, absolutely. Do you have any sort of productivity tools or things that you use?

I don't do anything extraordinary apart from in the morning I meditate, which is very important, getting prepared for the day ahead. And it just grounds me as well. And, you know, I think journaling, I journal as and when I can. I write things down. Just, I think, especially at nighttime, whenever, you know, so much has happens on a day, in a day in Dally Lights, that sometimes you have to down— you just have to write it down before you go to sleep so that it's there. And then in the morning, I can go tackle it if it needs to be sorted. But my mantra is just look after your mind and body, you know, meditate, get out into the open air. We have the beautiful Mourne Mountains in County Down where we have the business, and I hike regularly. I walk, I get in fresh air, I sea swim, and I think it's doing things with your team as well, you know.

So are there any books, podcasts when you're walking? Do you listen to podcasts, audiobooks, or—

Absolutely do. Like, you know, there's lots. I, I, you know, I love listening to Diary of a CEO, put it on because I want to hear about other people's stories. It's not like I've, I've listened to all the leadership podcasts and everything, but sometimes then you want to hear other people's stories and, you know, what's happening in their life. And I love The Diary of a CEO because, you know, it's not just about business, it's all about health as well and different challenges. And, you know, it covers huge amount of topics. So I love it because, you know, you put it on for an hour and you go up the mountain and you're back. And, and then sometimes also it's nice to go without the headphones And walk in nature, you know, because sometimes actually that's when the thinking comes yourself, you know. If you're up the mountain and you're looking out in the loch and, and then all of a sudden you get a bit of inspiration. This is what we should do. Yeah, I wish I had more time to read books. Like, I was on holidays there a couple of weeks ago and I took a book with me, but I didn't even get to open on the first page. So I will keep trying to do that and, and develop and, and, but it's, it's just getting the time, isn't it? Because when you're off on holidays, you want to do things. want to also spend it with your family.

Exactly. Yeah, absolutely. It's, it's not just, it's not just about rest. Okay, so let's do some quickfire either-ors. Perfect or done? Are you a perfectionist?

Well, I'm certainly not perfect, but I am a perfectionist.

You are a perfectionist. Yeah. Okay, cool. Work early or work late?

Work late.

Okay. Specialist or generalist?

Specialist.

Okay. And finally, Mary Berry or Prue Leith?

Mary Berry.

Yeah.

Yeah.

I think I prefer Mary Berry as well.

Absolutely.

Fantastic. Thank you so much. It's been such an interesting conversation. I've really enjoyed it. And who are you doing Kilimanjaro for?

Yeah, well, I'm doing it for Women's Aid.

Okay, cool. Yeah, we'll have to put those in the show notes as well.

That would be great because, um, yeah, it's fantastic and yeah, really good charity.

Thank you, thank you so much.

Thank you.

Thanks again to Jacqui for lifting the lid on the Delilites business. You can find out more at delilites.com. That's D-E-L-I-L-I-T-E-S. And you can also see their new launches at the Lunch Show in London on September 16th and 17th. Need to unlock profitable growth in your food business? That's what I do. Start by using my diagnostic to get a personalized action plan that shows you where to focus. 10 quick questions at fridayaccelerator.scoreapp.com. That's fridayaccelerator.scoreapp.com.