#476 Joe Zentmyer - Aquatics

The Next 100 Days Podcast

Joe runs an Aquatics business. He is a serial entrepreneur with more than 20 years of experience. Joe builds businesses by developing business managers along with systems that support those managers. He’s very proud of the many young professionals he has mentored during his career. Joe’s diverse business experience from food manufacturing to rock climbing gyms, gives him a unique perspective and ability to creatively assess every opportunity. He loves the process of creating a business and turning a concept into a profitable reality.

Summary of the Podcast

Key Takeaways

• Joe transitioned from corporate (Kraft Foods) to entrepreneurship, starting with rock climbing gyms and now an aquarium store
• Niche retail faces challenges from inflation, supply chain issues, and changing consumer behavior
• Adapting business models (e.g. focusing on premium offerings) is key for small businesses to survive economic pressures
• Global manufacturing shifts and tariffs are impacting small businesses, requiring strategic pivots

Topics

Joe's Entrepreneurial Journey

• Worked at Kraft Foods for 13-14 years, changing roles every 18 months
• Started First Ascent rock climbing gyms while still at Kraft, keeping it secret until resignation
• Sold First Ascent 3 years ago, now owns/operates an aquarium store
• Offers business consulting through Snaggletooth Goby (named after a fish that climbs waterfalls)

Niche Retail Challenges

• Inflation reducing consumer spending on hobby/luxury items
• 80% of aquarium products come from China, causing supply chain and pricing issues
• Real estate market slowdown impacting new home aquarium installations
• Shift from "superstore" concept with many SKUs to curated, premium offerings
• Focus on high-end systems and service to replace volume of lower-value transactions

Economic and Political Factors

• US unemployment low (2-3%) but other economic issues persist (e.g. medical costs, student debt)
• Debate over reshoring manufacturing vs. economic realities of global production
• Tariffs and trade tensions creating uncertainty for businesses reliant on imports
• Short-term corporate thinking vs. long-term strategic planning discussed

Business Adaptation Strategies

• Improving staff training and sales techniques
• Curating product offerings to focus on higher-margin items
• Targeting affluent customers less impacted by economic pressures
• Developing expertise to justify premium pricing and services

The Next 100 Days Podcast Co-Hosts

Graham Arrowsmith

Graham founded Finely Fettled ten years ago to help business owners and marketers market to affluent and high-net-worth customers. Graham founder of MicroYES, a Partner for MeclabsAI, which combines the world's biggest source of 10,000 marketing experiments with AI. Find Graham on LinkedIn.

Kevin Appleby

Kevin specialises in finance transformation and implementing business change. He's the COO of GrowCFO, which provides both community and CPD-accredited training designed to grow the next generation of finance leaders. You can find Kevin on LinkedIn and at kevinappleby.com