|
Artisan Tradition. |
Publication: St. Louis Business Journal
Centuries ago Europeans developed a process for dry-preserving meats. Italians turned it into an art form, and John Volpi brought the practice to St. Louis in 1902.
Now Lorenza Pasetti, his great niece, is running the family company on The Hill. Most St. Louis customers know Volpi Foods as the corner retail store at Daggett and Edwards avenues. That corner is where the business started. But behind the storefront are the curing rooms of building Uno in the Volpi operation, with buildings Due and Tre a few blocks north. The operation, which employs 94 people, covers 160,000 square feet and generates revenue of just under $30 million, shipping to customers around the world.
Lorenza Pasetti, 47, learned the business from her father, Armando, who put her in charge in 2003. She and her husband, Donald Depke, live in Clayton with their three teenage children.
Volpi Foods is steeped in history. How much of that keeps you going?
We hold on to traditional values. We take care of employees. Quality of the product is at the forefront. We try to have the business live up to the values the family holds. I can’t think of a time (the history) held us back, but it kept us more focused. Over time people would suggest we try making pasta or Spanish-style sausages. We go back and look at our Italian heritage. That’s what we know the best. Why take our focus away from Italian dry-cured meat products? I wouldn’t call that holding us back. When you’re small, you can’t afford to get off focus.
How would you define your business?
We have our own little niche, but there are not a lot of people that want to be in this business. We ferment and dehydrate meat products. It’s a very old world process. Maybe because there’s not a lot of money in it, it doesn’t attract a lot of competition. If you’re not already in this business, it would require a huge investment. The prosciutto alone you have to keep it for 10 months before it’s finished.
So every time you expand your sales, you have to expand your curing space?
That’s the way this business grew. Mr. Volpi started selling retail, and as business grew, he added on one room at a time, as a lot of small businesses do. With this kind of product there’s a lot of inventory because of the drying process.
You sell worldwide. Do you have customers in Italy?
No. We know of another Volpi salumeiri in northern Italy. It’s a different business. I’m not sure if the families are related or not. We don’t sell back to Europe. They have enough of us (salumieri) there. Most of our competition comes from European companies that have built plants in the United States. They have deeper pockets than we do.
Are they a threat?
By being small, we can react to customer requests faster. Being family owned, profit is important to us, but it’s not always the main criteria on a decision, because it’s our family’s name out there. That’s an advantage we have because the competition is driven by the dollar.
Tell me about salumieri?
It’s a place where dry-cured sausages and meat products are made, all different kinds. Unfortunately, in America this is in its infancy still, even after 100 years. A lot of people still don’t know “pancetta,” (rolled bacon) “coppa” (pork shoulder) or “bresaola” (beef). They know “prosciutto,” more so in the last 20 years. A lot of it is due to The Food Network, which has exposed and educated people on these products.
What was your first job out of college?
An assistant bookkeeper here. I grew up in the business, though I didn’t always have my hands in the production side of it. I didn’t work any where else, and that was probably a mistake. Having outside experience would have been helpful. But I learned how to do all the jobs in the company.
Was your schooling here?
For college I went to the University of Michigan in Ann Arbor, then to Washington University where I got my MBA.
What influenced you growing up?
Seeing my Dad come home every night still passionate about his work really shaped me. We learned the value of hard work and of putting time and energy into a project. We saw how committed he was. He still comes in every day. He’s active more in the retail store than in the plants.
Where’s your most distant customer?
We have a customer in Japan.
What’s your best selling product?
The prosciutto, then the salami, and then rotola — a mozzarella and prosciutto roll.
Biggest customers?
Supermarket chains and food distributors. Schnuck’s was our first grocery chain customer in the 1980s. We followed that up with Dominick’s in Chicago.
How did you get the business to this generation?
I have two sisters who are not working in the company. We’ve gone through a lot of family discussions. It’s the succession planning that’s the most difficult. I see other family businesses that are going through a lot of turmoil. It requires everyone to take a back seat to the business and not identify so closely with the business.
What’s your plan for getting Volpi to the next generation?
I have three children, 18, 16 and 13. My oldest is working here for the summer. I’m still working on a plan. I have some ideas, but it’s too early to talk about them. I want to recognize the mistakes I think we made and make sure my kids don’t make them.
What’s your biggest business challenge?
We’re a USDA (United States Department of Agriculture) site, required for all meat processing businesses. Our method is a very old form of preservation, and the USDA is geared toward refrigeration of everything. So there’s a lot of education that has to occur.
What do you do when you’re not running the business?
I cook, but I would get to do that as a mom. I garden. I like to read. I’m a multibook reader. I just finished “Blink: The Power of Thinking without Thinking.” (Malcolm Gladwell). I’m reading “Empires of the Mind” (Dennis Waitley) and “Customer Centered Growth” (Richard Whiteley and Diane Hessan). These are all business books. I’m mostly a nonfiction person. I gave up murder mysteries a few years ago.
What do you see yourself doing in five years?
I want to see that the business has not quite doubled in revenue. I would like to see us incorporate more automation, reducing the tedious hand labor. I do have a sense of urgency about these things. But when you have a product that you have to wait 10 months for it to be ready, it teaches you patience.
“She gets excited about the product, and everyone is excited to see Lorenza. There is nothing that she wouldn’t ask an employee that she wouldn’t do herself. I’ve seen her take out trash and I’ve seen her push (our) production staff.”
Steve Taaffe, vice president of operations, Volpi Foods
“One of the things about Lorenza is she had made her mind up that we could take Volpi to the next level, to reach bigger accounts, beyond the ethnic food markets. Now that strategy is working, and our biggest accounts are in the California markets.”
Christine Illuminato, national sales manager for Volpi based in Laguna Beach, Calif.
“She’s shown a passion for this work, ever since she was young. She convinced me over the years she could run (the company), and a few years ago I put her in charge. Now I’m 82 and I’m still around — but not because she needs me.”
Armando Pasetti, Lorenza’s father and Volpi’s former president