Lily’s Sweets: Cynthia Tice

Key takeaways

Age is not a barrier to entrepreneurship; starting later in life can lead to significant success.
Understanding your market and consumer needs is essential for brand development.
Persistent sampling and marketing strategies can effectively introduce a new product.
Navigating partnerships and conflicts is a common part of entrepreneurial endeavors.
Securing the right partnerships can drive rapid growth and expansion.
It's important for founders to articulate their desires and adapt roles in partnerships.

Summary

Cynthia Tice's Late Start

Cynthia Tice, the founder of Lily’s Sweets, embarked on her entrepreneurial journey at nearly 60 years old. With a passion for chocolate but a desire for healthier options, Cynthia experimented with sugar-free chocolate sweetened with stevia. Despite her initial challenges and some disastrous recipes, she remained committed to creating a product that would cater to health-conscious consumers.

Navigating Early Challenges

After launching her product, Cynthia faced setbacks in taste and partnerships early in the journey. Working with her first partner proved to be difficult, leading to a split as they had differing visions. However, Cynthia persevered, utilizing her experience and relationships cultivated through her consulting career to secure a national launch at Whole Foods.

Scaling the Brand

Upon launching at Whole Foods in 2012, Cynthia employed extensive sampling and promotional strategies to gain traction, making Lily’s a beloved choice amongst health-conscious consumers. The brand’s focus on low-sugar, high-quality chocolate resonated with a market increasingly aware of the health implications of sugar.

Challenges of Growth and Legal Battles

As Lily’s expanded quickly, Cynthia faced legal challenges from her former partner who claimed involvement in the brand’s development. The lawsuit added stress but ultimately, Cynthia prevailed, allowing her to focus on growing the business and addressing new challenges.

Partnership with VMG

In 2018, movement toward further scaling Lily’s came with the partnership of VMG, an equity firm specializing in consumer goods. This relationship offered the brand capital and expertise needed to scale effectively while allowing Cynthia to engage in a less operational role.

Successful Acquisition by Hershey's

After achieving significant growth, Lily’s attracted the attention of major industry players, culminating in its acquisition by Hershey's for $425 million in June 2021. This event marked a successful end to Cynthia's journey as a first-time founder, emphasizing the potential of pursuing entrepreneurial dreams regardless of age.

Show notes

When it comes to launching a multi-million dollar brand, Cynthia Tice was a late bloomer. Nearly 60 and looking for a healthy way to satisfy her love of chocolate, she set out to make an indulgent, sugar-free version, sweetened with stevia. After some disastrous early recipes, Lily’s Sweets launched nationally in Whole Foods, with just four employees. Cynthia correctly predicted that a growing number of shoppers would willingly pay for healthier treats, and just ten years after launch, Lily’s Sweets caught the eye of Hershey’s, which acquired it for $425 million.

This episode was produced by Sam Paulson with music composed by Ramtin Arablouei. It was edited by Neva Grant, with research by Katherine Sypher. Our engineers were Robert Rodriguez and Kwesi Lee.

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