How I Built This with Guy Raz

Advice Line with Danny Meyer of Shake Shack

· Summarized

Share this episode
Anyone with this link can open it.
Share Link
Start at 0:00

Key takeaways

  • Building company culture starts with specific expected behaviors that everyone understands and embodies.
  • Hospitality is best demonstrated by staff who are both focused and enjoying their work, which translates directly into customer experience.
  • Maintaining a 'day one mentality' helps restaurants stay fresh, innovative, and continually improve over decades.
  • Branding and storytelling—whether through packaging or community events—are critical when building hospitality into packaged products.
  • Start small when exploring new distribution channels like DTC to validate demand and operational readiness before scaling.
  • Platforms like Goldbelly can help small producers distribute perishables nationally with proven logistics and low shipping costs.
  • Introducing innovative, health-focused ingredients into foodservice requires proving their viability and building relationships with early adopters.
  • Operational capacity, supply chain robustness, and clear goals are essential before scaling a food product’s distribution.

Summary

Introduction to the episode and guest

The episode begins with a sponsor message from JustWorks, highlighting their platform's ability to simplify payroll, benefits, and global hiring for small businesses. Host Guy Raz introduces the format of the show, where he and a guest, in this case, Danny Meyer, discuss and give advice to callers with business questions. Guy notes that Danny is a legendary restaurateur, known for his work in New York City, including Shake Shack, Union Square Cafe, and Gramercy Tavern. They discuss that Danny stepped down as CEO to become executive chairman, focusing more on company culture, culinary excellence, and new business opportunities. Danny briefly shares that his new book, *What Could Possibly Go Right?*, emphasizes building enduring culture through expected behaviors rather than vague values.

Danny Meyer on building and sustaining company culture

Danny explains his perspective on culture as the collective way of doing things within an organization, likening it to habits or behaviors that everyone understands and embodies. He reflects on the evolution from using family values to define culture—an approach he found problematic because it conflated a business with a family—towards defining culture through specific expected behaviors. According to Danny, culture is essentially all the desirable behaviors that a company celebrates, minus the behaviors it accepts or tolerates. He emphasizes that management bears responsibility for hospitality experiences, citing that genuine hospitality is visible in staff that are both focused on their work and having fun. This energy creates a human element that elevates the experience, whether in a restaurant or on an airplane. Danny advocates for maintaining a 'day one mentality'—approaching each day as if it were opening night—to keep a restaurant vibrant and constantly improving.

Call with Janelle from Kentucky about building hospitality into her brand

Janelle Bass calls from Louisville to discuss her bourbon-based canned cocktail, Pony Boy Slings, which is sweet, easy to drink, and targeted at older millennials and Gen X consumers. She asks how to build a sense of hospitality into her packaged product when she cannot be physically present to engage with customers. Danny congratulates her and asks whether her brand has a personification, such as a celebrity or story, to connect with consumers. Janelle describes her efforts to curate experiences through pop-up tastings and branding that evoke a retro 70s vibe, emphasizing community and belonging. Danny suggests using the product packaging itself as an ambassador, encouraging playfulness and creating a connection, similar to how Liquid Death brand uses bold messaging. He also points to Ramona, a canned wine that successfully fosters a community feel through branding and storytelling. The conversation ends with encouragement for Janelle to focus on building a brand that makes consumers feel like they belong and are taken care of even when the founders are not present.

Call with Jade from South Carolina about shipping smoked salmon directly to consumers

Jade from Angel Oak Smokehouse, a premium smoked salmon brand, queries Danny and Guy about the risks and logistics of expanding into direct-to-consumer (DTC) shipping, beyond their current retail presence in Whole Foods and Harris Teeter. She is concerned about the quality control and potential spoilage during shipping, as well as maintaining their high-end brand experience. Danny expresses enthusiasm about her product, recalling that he disliked salmon until trying smoked versions, and advises her to start small if exploring DTC—testing limited regional markets first. He highlights the value of platforms like Goldbelly, which specialize in logistics for perishable products, and suggests that building scarcity and exclusivity—focusing on a few select retail or food service partners—could create a brand allure. Danny recommends that Jade carefully consider her capacity and readiness for rapid growth before scaling up her distribution, emphasizing the importance of aligning her goals with her operational capabilities.

Call with Bar from Colorado about expanding couscous into quick-service restaurants

Bar, based in Colorado, asks about how to best introduce his innovative high-protein, gluten-free couscous, Boostcous, into fast-casual restaurant chains like Kava and Sweetgreen. He explains that his product, made from chickpea, lentil, and pea flours, was inspired by his family’s history and has already achieved notable success via direct consumer sales and retail channels, projecting a $2 million annual run rate. Danny responds positively, praising the health trend toward protein and fiber-rich foods. He advises Bar to start pilot programs with existing chefs or small restaurants rather than immediately approaching large chains, to gather proof points and refine the product's restaurant compatibility. Danny notes that gaining credibility through early adopters and small wins could facilitate broader adoption. The discussion emphasizes that ingredient scalability, operational capacity, and cultural alignment are critical for successful expansion into food service.

Sponsors

  • JustWorks · One platform that handles the complicated stuff. Payroll benefits global hiring and makes running a small business 1 million percent smoother. Stick around. I'll tell you more later in the show.

Show notes

Today’s callers: Janell from Kentucky wonders how to build a sense of hospitality into her canned bourbon cocktail brand. Jade from South Carolina considers the upsides and risks of shipping her smoked salmon directly to customers. And Bar from Colorado considers strategies for bringing his protein-packed cous cous to quick service restaurants.

Plus Danny talks about the elements of a strong company culture as described in his new book, What Could Possibly Go Right?

Thank you to the founders of Ponyboy Slings, Angel Oak Smokehouse, and Boostcous for being a part of our show.

If you’d like to be featured on a future Advice Line episode—where Guy and former show guests take questions from early-stage founders—leave us a one-minute message that tells us about your business and a specific question you’d like answered. Send a voice memo to hibt@id.wondery.com or call 1-800-433-1298. 

And be sure to listen to Shake Shack’s founding story as told by Danny on the show in 2020.

This episode was produced by Chris Maccini with music by Ramtin Arablouei. It was edited by John Isabella. Our audio engineer was Jimmy Keeley.

You can follow HIBT on X & Instagram and sign up for Guy's free newsletter at guyraz.com and on Substack.

Learn more about your ad choices. Visit podcastchoices.com/adchoices

Follow this show on AudioBrevity and new episodes get summarized for you. Create a free account

Couldn't load the audio. A blocker may be stopping the show's tracking links. Open the file