Episode 143: A Lift for Us All with Dena Hirschberg of HHPLIFT, Growing Through Adversity Series

Welcome to Skucast, the podcast for entrepreneurs in the promotional products industry. Skucast shines a light on our industry's best work, features maverick personalities, and discusses what's really involved in running a modern promotional products business. Skucast is the official podcast of Common Skew.

And even now, when it seems like business has ended for many who perceive it that way, you can create opportunities, test it, and then go to market with it. And it doesn't have to be a product, right? It can be a campaign, be a service, whatever.

So what I love about that, what seemed like the last page in the last chapter of the book was actually just the beginning of part 2. It's a moment many of us are familiar with where it seems like hope is lost and what looked like the end is a new beginning. We started this series a few weeks ago called Growing Through Adversity. We're bringing together the voices of those reluctant heroes we know that have overcome serious setbacks. Today, Our guest is Dina Hershberg, president of HHP Lift, a Chicago-based nonprofit and social enterprise with a mission to spark change and uplift underserved communities locally and globally by creating business for social impact companies whose eco-friendly, retail-quality social impact products transform the lives of their artisans and makers overcoming barriers to employment. HHP Lift is also a direct provider of jobs and career paths to people from underserved communities in Chicago through its 111 program and has been deemed an essential business. This episode also serves multiple purposes. Not only will we hear Dina's story about how they turned a roadblock into an opportunity, HHP Lift is also someone I wanted to talk to because of what they do. Right now, what the world needs is more comfort and support, and our industry needs solutions to a complex problem. Some of you might remember that at SKUCon this year, Vicki Ostrom, futurist and trend analyst with Sandmarc, led a session on Trendspotting: 4 Macro Trends Driving Innovation Today. One key trend she highlighted was how the world was craving security and comfort, a trend she noticed even before the coronavirus and economic crisis hit. Here's a clip from the SKUcast conversation we had with Vicki earlier.

It's just a lot coming at us, and now we have all these different ways that we're getting our information. So there's this barrage between you know, television and social media apps that are bringing this news to us. So there's this business concept right now called kindness is your new KPI. It's your new key performance indicator. And this is being written up in business journals. So what that means is this concept of a small happiness.

Her presentation was incredibly prescient. One statement she shared from the Future Innovations Report, quote, "The concept of home as a space for self-improvement, self-care, and community will be a growing market as 2021 nears, driven by the need for calm and comfort." Who knew we would be here today? The reason I'm excited to talk with Dena and her team at HHP Lift is the possibilities. What if you could develop a campaign that comforted the end user, the recipient, inspired your client through a supply chain partner, who is deemed an essential business and whose employee base is comprised of at-risk workers, some of the most vulnerable in our society right now. Today, I talk with Dina about this plus other insights, including where we went wrong with the attitude, stay in your lane, how the quiet of this moment makes us more open to unique opportunities, and more. By the way, we have several webinars we're hosting right now to answer the demand of the moment. One of those is our weekly community social hour every Wednesday at 4:00 PM Eastern. We gather together as a community to talk about the current challenges in our business. But it's not actually a webinar, but a community conversation where we join as one group and then break into smaller groups via video. The discussions have been relevant for the moment, rich in encouragement and insight. It's free and open to everyone. You can sign up to join us and check out all our webinars at commonscue.com/webinars. That's plural webinars, commonscue.com/webinars. /webinars. And this episode is brought to you by Commenscue, the work-from-anywhere platform that powers your connected workflow, enabling you to process more orders and dramatically grow your sales. To learn more or to begin your free trial now, visit commenscue.com. Now here's my conversation with Dina, where you're joining us in the middle of our discussion about what her and her team are doing right now to respond to the current crisis.

You're right, you can hunker down and put the sheets over your head and be discouraged, or you can see this as, well, we just have to pivot a little bit. And how do we make this work? And I think so many companies— I know we have our morning, we have a morning Zoom meeting, we have happy hour on Friday, we're just, we're going to have a virtual lunch. And it's just really nice to still connect visually. I think that's really important, even if we're talking all the time or texting or emailing. I think that visual connection is still important.

Very important. What challenges has this meant for you or business right now with your just normal production with employees shipping? There are obvious challenges we can all get with employees having to, you know, keeping a— we're assuming a skeletal crew shipping production. What are you seeing right now?

Our biggest challenge is that our customers are more challenged than we are. So, you know, we operate in 5 different channels of distribution, but even on the promo side, it's really communicating to our promo distributor customers that now is actually a great opportunity. And let me just back up for a moment. I don't in any way— I just want to preface this, I know it's a given, but I don't in any way want to make it seem that I'm looking at this horrible time as a great opportunity. These are horrible times and a lot of people are suffering. And so I don't want to minimize that in any way.

Right. Well, I want to interject for our listening audience too, for the community. We didn't have you on here. We are very sensitive to not allowing people to use the Commons Key platform and community as an opportunistic moment. And you're not doing that at all. In our preview interview, you were not— that was not your heart at all. Our intention really is to bring some solid solutions to distributors who are looking for some great solutions. So that's why we're talking. And plus, you have a little meta story here about getting through challenges that I wanted to open up and explore with you. But go ahead about the challenges.

I was even just kind of talking for not even from a specific point, but just, you know, from an opportunistic point. I don't want it to look like here you are, great opportunities in this horrible time. But it, but it is an opportunity because of what everyone is going through now for promotional distributors to reach out to their corporate clients, because now more than ever, those corporate clients are making an even greater effort to stay connected and to show concern for their employees that are working remotely. You know, they've had to stop hiring at the moment. So maybe there was this big campaign for new hires or a summer program that's halted. All kinds of things from an employer side that promotional distributors could be reaching out to those companies, to those clients, and saying now is a great time to send something to your employees, show them that you care, a care kit, something to stay connected so that brand stays top of mind, so that whatever that company's core brand message is stays and is emphasized and boosted. There's opportunity now to do that for sure.

Yeah, tell us about the solutions you have right now that our distributors can, can utilize to help their customers with.

Well, so I mentioned that we are a manufacturer, we make soap and also hand sanitizer. Our raw supplies are low on hand sanitizer, but soap is better than hand sanitizer.

And that's what I heard. What do you— what opportunities are you seeing come through right now with orders for soap?

So again, I think the care package has really been the preeminent one. We also have a campaign, Be a Hero. So really just showing that your customers are caring about their employee, they're being a hero, they're helping to help keep them safe by using a bar soap. There's benefits to bar soap over liquid soap. The friction that's caused by a bar soap, it can get right under your nails, you know. So there's lots of benefits to the bar soap. And we also put that into a larger care kit that contains some food and some maybe bath salts, some other things.

Yeah. Can you give me— can you give me an example of a real-time, real project that you've worked on that you really love?

So we're working on one right now, and it's going to be— I don't want to mention names, but it's a care kit, and it will be going out to a corporation in the financial institute. That is going to be soaps and, and a variety of soaps and bath salts and probably a candle too for their employees trying to keep connected a specific branch and department, and it's a significant number. We are also looking to do and finalize— so there was some pivoting with our customers who may have purchased or getting ready to purchase something for a meeting, right? And they wanted to have a really nice giveaway at a meeting, and there's been a pivot. The meeting will be canceled, but here's a little something in the meantime, right? This is a little something while you wait for that meeting to happen. So a little— a bar of soap, even the miniature little hotel bars of soap with a message on it, stay tuned. Those have been kind of the things that we—

some of our community might not be aware that a percentage of your proceeds benefit— well, the fact that your company is a social good company. Can you tell us about that?

Sure. So we are a 501(c)(3) nonprofit, which means we're a public charity, and our mission really is to eradicate poverty, and we do it through job creation. And so we are looking to create, support, and extend job employment opportunities for people with life barriers to employment. So we do that directly.

What does that mean, life barriers to employment? Sorry to interrupt you.

No, that's fine. People who have physical disabilities, people who have developmental challenges, and people who have opportunity barriers to employment. And opportunity barriers really is the poverty issue primarily. People born in the wrong zip code or the wrong country, countries where your daughters wouldn't be allowed to go to school, a variety of things. You don't have running water, you don't have a roof over your head, really abject, horrible conditions of poverty. And so our belief is that while donations are wonderful for an immediate concern, really it's dignified jobs, continual sustained jobs that will help create lasting transformations. And we, we practice this mission directly through our own, what I call a social enterprise within a social enterprise, which is the production of our bath and spa and personal care products. And we get to hire people from underserved and overlooked communities right in our backyard in Chicago. To start, the port of entry is producing and manufacturing these products, but our real core mission is not just to hire someone to do a low skill set job, but to ultimately put them on a career path. Because let me just go back for a moment. When I say people who have life barriers to employment, just giving someone with a life barrier to employment a job does not dissolve those life barriers. You're still physically challenged, you still have a developmental or cognitive difference, and you still probably have other opportunity barriers. Based on your situation. So we believe that one-on-one mentorship, educational opportunities, an incredible nurturing community that we call HHP Lift, and ultimately being put on a career path that's viable and portable in the marketplace is really what will help create lasting transformation. So that's our program in a nutshell. And we do it through the production of our products. And globally, we do it by importing products made by artisan collectives. And we have an in-house designer who really brings the quality of the workmanship up and extends and expands markets for those global artisans.

What a beautiful opportunity for a distributor to go to a corporate client right now, being able to make such an impact. Not only are you able to emotionally inspire the end recipient of this care kit, this package, this soap, and all the things that you're putting in this, as well as utilizing folks who would without a doubt be sidelined at this time So it's just a great story. It's a great opportunity for distributors to go to their clients with this kind of project.

It's also really wonderful at this time, kind of hearkening back to what we first said in the beginning. You know, it's so easy to be depressed. It's so easy to only see the dark. And this is such a great story of hope and positivity that I think people want and want to feel a part of being able to make an impact themselves, even when they feel so out of control because everybody's locked in their house, you know? Yeah.

Yeah. To multiple addresses from there, we can drop ship through you.

Yep, yep. And it's interesting because we've also expanded and grown new revenue streams, which include kitting and assembly. So maybe a promotional products distributor wouldn't buy a product from us, but at least maybe we can put it all together for you and drop ship for you so that your client now can say that this was put together by an at-risk workforce.

Let me ask one last question on these kits and the soaps and things like that. It's a made-in-USA product. It's in stock, something you can get now. What other items are going in these kits that you're producing?

So we have a whole array of that, that personal care, take care of yourself. That's really what the message is. It's time to take care of yourself. So bath salts and candles, and everything's natural. It's all natural. We also have a really nice lip and face scrub. Unfortunately, our food purveyor just had to close down, but we were doing wonderful little food products in there. We do have coffee that's wonderful, fair trade, and provides job opportunities for people all over the globe. A nice journal that's made in Sri Lanka by people with physical disabilities. So we can really kind of tailor-make it to whatever your price point is. We have a whole bunch of ideas for you.

I love that. What would be a beautiful way to introduce this campaign is for distributor owner or principal to partner with you to do this with their team. Maybe you're a distributor that has 30 employees and you want to expand this to your team if you suddenly had a kit that deliver to each of your team members, think of the exponential reach that you would have with that product line out to suddenly out to their clients, and they would feel the whole experience.

So I will say that some distributors are using this as kind of a self-promo.

Yep.

And, and it really is a great entree because we can do something at a very low price point to achieve that and still communicate that message. I'm thinking of you and your safety and your health at this time while introducing using this idea that perhaps now your client could be doing the same thing for them.

I love it, I love it, I love it. To switch gears a little bit, you have been through— you know, we've started this series of how people have overcome setbacks and overcome crisis in their life, and you've been through some significant challenge before. Um, what was that most harrowing or challenging moment in business for you?

Well, from a business perspective, the company was founded in 2007. I like to say you can't really a business until you can actually bill and collect funds. So that didn't really happen until 2012 when we actually had an accounting system. So from 2012 to about 2016, we had as part of our producing partners, we work with our global social enterprise partners. One of our social enterprise partners produced candles and bath salts. And at one point we were about 30, 35% of their sales, which is significant. And they represented for us in one of our channels of distribution, a significant portion of sales for us. Don't forget, we have 5 different channels of distribution in addition to promo. These products were very big in the incentive reward recognition channel. And now the lines are blurring. Promo companies are moving into incentives, incentives are now going into promotional products. So everybody, it's not such a siloed channel anymore, but they did very well in the incentive channel. And in 2016, in the fall of 2016, they indicated to us that they no longer wanted to partner with us in these channels of distribution. And I will say that there were people in the office at that time who got very despondent, very upset, very animated, very scared, you know, because what were we going to do? But I remember looking at the founder and the president at the time, Mike, and both of us had a glint in our eye. Because for us, what seemed like an insurmountable, maybe channel-ending situation for us looked completely like this glorious, wonderful opportunity. And we decided that we were going to pivot and start making our own. And it's funny because I think, you know, some people are oriented a certain way. Some people are naturally introverted or naturally extroverted. Likewise, I think entrepreneurship is an essence that's inherent to one's personality. Now, that doesn't mean you can't learn those skills, right? So sometimes people think that just because you own a business and you started a business, that makes you an entrepreneur, but it doesn't because it's a mindset. And in that moment when Mike and I looked at each other, that was entrepreneurship. We pivoted, we made adjustments, we leveraged limited resources and adapted them. Them to a new and unique way. And we started going into production and how that changed our business was tremendously. I mean, now we were buying raw materials, now we were buying equipment, we were bringing out a whole new workforce. But there were challenges that we didn't foresee. I talk to students in classrooms often and what I call the topic that I teach is failing into success. Because when we pivoted and moved into this, we failed ultimately.

What do you mean you failed?

Out ultimately until we succeeded. We didn't have a fully articulated reason why we were doing this other than we had an opportunity to do it. And so, we were hiring the workforce that we wanted to hire, but there was— there were no parameters as to why we should be hiring this workforce. What did we have in place? What were the reasons? We were so siloed at the time too, so the production was a completely siloed independent department, if you will. And that was a complete failure. We cycled through so many workforce people. The branding was not successful. The message was great, the message we carry through today. And then couple that with that the production facility was offsite and—

How long was this time period where you're talking about?

It was in the span of life, it wasn't that long. It was maybe, well, we launched January of 2017. When I became president in April or May of 2018, I just shut it down. And we really hadn't been operating much in 2018. So let's say a year. And I shut it down and I said, let's retool, let's pivot, let's beta test, let's really look at what we didn't do right. And I brought on a terrific crew, a wonderful— my business partner in the business that I have finally agreed to come on board. I love her tremendously. Ava Barry is a tremendous asset to HHP Lift. And we really thought through what is the reason, what is the program part of this? And we have such a fully flushed, well-articulated program now. We have not cycled through any employees. Now, 100% of people have stayed over a year. We did not have that at all.

How was the revenue impacted when this change happened?

I will tell you that in one year, our first year really, so when we relaunched in 2019, we did about 1.5 times the best year ever that we had done with a partner that we were so worried about losing.

Huh. Why? Why do you think that was?

Well, again, some entrepreneurial skill sets were involved. So we started the lab, the workshop, and really started thinking through what is the product range, what does the brand look like, and we started doing that in August or September. And then we beta tested. We didn't just go and produce a mask and go to market, which is what we did the first time. We tested it and we learned and adapted to what our stakeholders had to say. And where we are now is just— it's fantastic and it's just done wonderfully. So, you know, you can take on challenges, you can start a new division, start a company, and you can utilize these. And even now, when it seems like business has ended, for many who perceive it that way, you can create opportunities, test it, and then go to market with it. And it doesn't have to be a product, right? It can be a campaign, be a service, whatever.

So what I love about that, what seemed like the last page in the last chapter of the book was actually just the beginning of part 2. What a great story to share with us at a time when we all know there is opportunity on the horizon for us as well, for us to pivot and for us to make changes. What did you learn the most about that experience with the benefit of hindsight? What impact do you think it has on your mindset today and on your success in the future?

Well, the things that really came to mind during that period was trust. Trust in a tremendous team that you have, you know, put together the best team that you can and trust their abilities and don't get in their way. And they really did fantastic work. Also, resilience. I think HHP Lift, by and large, is a team of entrepreneurs. And that's a, you know, you need an anchor too because sometimes we can just float those ideas up there and you need an anchor to not go crazy. And so, it's this wonderful mix of that. We're incredibly, wonderfully creative and creative problem solvers, and there's a difference there between being creative and being a creative problem solver. And we do that exceedingly well, and that's what I learned, and to trust my team, and I do.

What do you think, Dina, as we're looking at this situation now where it looks like the federal government at this moment is going to have about a 30-day more furlough, for lack of a better word,— and it seems like, you know, there are a lot of folks that are drifting between despair and hope. And most people I know that I've talked to personally are developing a hold-tight plan and with an optimistic outlook. How would you advise folks, knowing that you've been through a couple of these harrowing moments where you thought we'd lose a big chunk of revenue and you had to change and pivot, and there were probably scarier times than we can recall?

What would you advise to folks now in the situation that we're If I could maybe tell— it's not even an anecdote— kind of something that's going on with us as maybe a preface to what I would say. So interestingly, things kind of happen, I think. So we have an opportunity that I never in a million years would have thought we would have had. And I don't have to go into specifics. It's just that opportunity befell us, right? And I don't think we would have been receptive to it or even recognized it if we didn't have this quiet right now.

Right. Yes.

Good point. And because I think when you're on go, you just kind of stay in your lane a little bit and you're— Yeah.

That's a great point.

And so we're really seeing some interesting opportunities. And while maybe you can't act on them right now, this is a great time to get your game plan intact. I have some of my team is I've asked them to immerse themselves in research and education this is a great time for them to do that and to see where other opportunities lie. So I don't see this. And actually, I'll tell you something interesting too. They say that the globe, the Earth, is kind of in repair during this time. I don't know if you've heard that, like the pollution has gone down significantly. And I was thinking, wouldn't this be kind of a nice thing every year, maybe a week, if maybe everybody just shut down for a week and kind of reframed and take a moment to rethink what you're doing, how you're doing it, and what else you could be doing.

Yeah, it's a beautiful concept. It's, it's hearkening back to days when people took sabbaticals as not just religious people, but other folks took sabbatical and let the land— the land, as we worked the land so hard, farmers would take a sabbatical rest, and for the sake of the soil, uh, nutrients. And what a beautiful concept, Dina. What a great way to end on such a positive note too. I think reframing a lot of what we're experiencing right now is a big part of it. And I don't mean blindly ignoring the harsh realities of it, but just reframing it, seeing it right, seeing it in a different light. I think that's a beautiful way of looking at it.

Yeah.

Well, Dena, thank you. I really enjoyed visiting with you. I always say that with our guests, but I just love this casual conversation we could have about your business. I think your business has a lot of great solutions for folks that are needing solutions right now. Moreover, your story is inspiring, and we can help a lot of folks with what you guys do. We can help our customers. We can help— we inspire recipients, and we can help your employees. It's just a beautiful holistic picture, and I'm so thankful you joined us for this episode today.

Well, Bobby, thank you so much. I love chatting with you, and I loved when I visited your offices with Maud up in Toronto, which seems like 3 years ago, but it was just last month. It was lovely, and I loved being in Toronto. So maybe we can do that again when all this is over.

Sounds great. You know, thank you so much. All right, take care and be well in Chicago.

Chicago. Thanks, Bobby. You too.

Bye-bye. Thanks so much for tuning in to this episode of SkuCast. Be sure to keep up with our latest content by subscribing to SkuCast on iTunes or to our blog at community.commsku.com. Until next time, friends, thanks so much for listening.