Hansen Fundraising turns pizza into profits

Story by John R. Ingrisano

Creating a good pizza takes just the right combination of quality ingredients to get a winning result. The same goes for a well-run, profitable business like Hansen Fundraising Services, Inc., of Green Bay. The three owners, with more than 90 years total of food industry experience, know just how to serve up frozen pizza and other items to help nonprofit groups in Wisconsin and 22 other states meet their fundraising goals.

Hansen Fundraising is a long way from the original business – a small dairy operation started in 1912, when a farmer started delivering milk to homes in Green Bay. In the late 1940s, the family-run business opened a series of dairy stores and, in the 1970s, cashing in on the new demand for pizza, the Hansen family started taking the ingredients to school gymnasiums to assemble pizzas for fundraising activities. This, according to Chuck Martin, current president, grew significantly and eventually was formed into a separate pizza business.

Martin and several other principals bought the business in 1995 and began streamlining the operation, eventually closing the dairy outlets and focusing almost exclusively on the fundraising. Though pizza continues to be the mainstay, they also offer chocolates, cheese, sausage and some hard goods such as candles, gift-wrap and other gift items. 

It has been a steady growth business. “Since 1995,” says Vice President of Sales & Operations Sue Chenault, “our fundraising business increased by 400 percent … and our pizza production is up 73 percent in the last five years.”

At that time, when the company was sold by the Hansen family, it was strictly a Wisconsin business. Today, says Chenault, they do business in 22 states, including Montana, Texas, New York and Florida, working through a series of independent contractors.

Even though expanding nationwide, the Hansen name remains strong locally. “Our market is all non-profit organizations,” explains Chenault, with schools and booster clubs being their biggest customers. “We work with 60 schools in the Green Bay and Fox Valley area alone.” These include such organizations as Neenah Music Parents, Manitowoc County Youth Sports, Fond du Lac High School Music, Chilton High School Band, New Holstein Football, Slinger High School Band and the Sturgeon Bay softball team. “Some of our customers have been with us more than 20 years,” says Chenault.

Even through several economic downturns, including the current recession, the business has continued to grow. Says Chenault, “Even in tough economic times, families are supporting fundraising efforts” for their schools and other programs. “Families are willing to support” the causes that are important to them. In this respect, she concludes, “we are in a nice niche business.”

The owners are not just business people; they are experienced food professionals. Martin, who is the majority shareholder, has an accounting and finance degree, which he has employed in the food business for 35 years. Chenault has a degree in food science and business and has worked in the food industry for 26 years. Vice President John Graycarek, whose primary responsibility is managing the daily operations, started with Hansen’s Foods when he was 16 and now has 30 years of hands-on experience with the company. Graycarek was not available for the interview with New North B2B magazine because, in the words of Martin, “somebody has to work today.”

The secret ingredient of their success

Why has Hansen Fundraising continued to do so well year after year? Part of it has to do with customer service, says Chenault. This is especially important in a business in which credibility is crucial and in which families and their neighbors (the end consumers in fundraising campaigns) can be skeptical and demanding. If Hansen expects to do business with the same organizations and their booster families year after year, they must provide a quality, reliable product.

That’s why, explains Chenault, “We put a lot of pressure on ourselves to make sure everything is right the first time. We promise 100 percent satisfaction and we follow through.” That is also why many organizations have turned to Hansen Fundraising year after year, for decades.

Martin agrees: “Anyone can supply chocolates and gift wraps and frozen pizza. But it takes good service” to keep customers.

In addition to their decades of food business experience, they also have a solid business plan that focuses on planned growth and controlling costs.

This is one reason they are building an addition this year. “We are able to consolidate some of our operations that are outside of our building,” says Martin. “This gives us room for expanding capacity. Also, we’re hoping to improve our efficiencies and reduce costs.”

Mostly, says Martin, they have great employees, and they treat them well, with benefits that include profit sharing. “We have good, solid, long-term employees who solve problems and get things done.” Expanding on this, Chenault adds that “we have a strong team and we promote from within. We all work as a really strong team.”

Hansen Fundraising operates with a cost-conscious, stripped down marketing strategy. They attend 15 fundraising conventions each year, each targeted to a different group. They also do Web-based advertising, Internet and mass mailings. “Our strongest marketing, however, is through our testimonials,” says Chenault, which builds credibility.

And that’s where Hansen Fundraising seems to excel: in reputation. Martin points out that their biggest challenge is getting sales. “Once we have a sale, we’re good at processing it and keeping the business.” That’s where their customer service pays off.

The best part about being in business

Some business owners seem overwhelmed by the challenges. The owners of Hansen Fundraising thrive on it. What’s the best part about being in business for President Chuck Martin? In addition to there being “no heavy lifting,” he jokes, he adds, “it’s the variety of life experiences you would not get if you weren’t in business. Your rewards are 100 percent based on how efficient you have been.” For Vice President Sue Chenault, the best part about being in business is that “you’re more in control of your time.”

When asked how many hours he puts in a week, Martin seemed a bit perplexed at first by the question. Finally he said, “If you love what you are doing, how do you know when you are working and when you’re not? When you’re home, you’re thinking about business, jotting down notes. In the shower, ideas come to you.”

When not working, Chenault says, her hobbies are “fishing and golf; golf and fishing” with her husband.

It also makes sense that the owners are involved with a number of local nonprofit foundations. Martin is on the board of Big Brothers and Big Sisters in Green Bay, as well as the Chamber of Commerce and the Community Shelter. “Striking a balance between work and personal time is not a big deal,” adds Martin, “if you enjoy what you do.”

What motivates them to get out of bed each morning? For Chenault, who sees her biggest responsibility as supporting the people who work with her, it’s “the people, our team.” For Martin, “I’m always interested in seeing what the next challenge of the day will bring. It’s the adventure of what the next day will bring.”

What’s next?

Martin, Chenault and Graycarek have maintained steady growth over the last 15 years. The plan for the future is more of the same. With the investment in their new facility, Martin’s focus is on consolidating the operation for greater efficiencies. Chenault adds that “I can foresee doubling the business in the next five years.”

That forecast seems like a reasonable prediction for the owners of Hansen Fundraising, who have a good feel for the combination of ingredients that make not just a winning pizza, but also a profitable company. As Chenault points out, referring to the company’s motto -- Great People. Great Products. Great Service. -- “That’s not just a phrase. We stand behind it every day.”

John Ingrisano is a Wisconsin-based business journalist, marketing strategist and public speaker. If you would like John to review your company’s needs or do a presentation for your business group, contact him at his Web site: www.thefreestyleentrepreneur.com or call 920.559.3722