Henry John Heinz said the great phrase: "Seeing is believing." 10 years after the birth of his son, Henry's father moved to the neighboring town of Sharpsburg, where he also moved his small brick factory.
Henry grew up in a large house, next to which was a garden and a large plot of land. The boy spent all his free time in the garden. There he grew flowers, herbs, fruits and vegetables, and even tried to develop new varieties. And from the age of 12, Henry tries himself in business - he begins to actively sell the products he grows. Young Heinz became more and more interested in the food trade. At first, he simply offered his neighbors to buy surplus of his fruits and vegetables, and then he became a significant supplier for several stores at once. To improve the supply process, Henry even hired several assistants to help him grow and then deliver the crop to the shops. In those years, Henry formed the principles of doing business for himself - honesty, ambition and quality goods.
In 1869, Heinz & Noble was incorporated, which Henry Heinz founded with his partner, friend and neighbor Clarence Noble. The first product released by the young company was grated horseradish in a transparent bottle. In those days, all manufacturers preferred to issue such a product with dark flags. One could only guess what was inside. Young businessmen chose a different path, deciding to turn directly to the psychology of the buyer. They packed the horseradish in transparent and elegant jars whose contents were clearly visible. Buyers took this marketing move positively, horseradish became the company's first hit of sales.
I must say that luck accompanied Heinz. He very conveniently opened his own company, which allowed it to develop rapidly. Those years were marked by several technological revolutions at once, which changed agronomy, processing, packaging and transportation of food products. It was then that refrigerators and pasteurization appeared. As a result, the company's revenues grew steadily. In the very first year of its operation, the company had a very solid turnover of several thousand dollars.
The next step of the young entrepreneur became very significant, and this is what determined the further fate of the famous brand. Henry Heinz realized that the success of foods depends mainly on how and in what they are packaged. And labeling goods with their packaging is a real science. Henry Heinz drew up the first standards to describe and indicate these rules.
The company reasonably decided that it should not stop at the production of one product, albeit a successful one - horseradish. A really new and massive hit was needed. It was ketchup. At that time, American cuisine had rather bland and few dishes in its assortment. It was based on bread, potatoes, vegetables and meat - smoked or dried. In winter, pickled cucumbers were added to all this. Tomatoes were generally considered a kind of Mexican exotic. And ketchup was born thanks to distant China. There was a similar seasoning called ke-tsiap. Henry decided to create a new product on the basis of it, after a change in taste, ketchup was born.
Mass production and aggressive advertising have made ketchup an integral part of American cuisine. After that, the company launched new products: mustard, chili sauce, pepper sauces, apple gravies, apple cider vinegar, olives, pickled onions, pickles and more. Heinz has essentially taken over the frozen breakfasts and canned tuna sectors. The most important thing that underlies the company's success is a proven scheme. First, the most successful product was selected from several options, then its taste was corrected, beautiful and unusual packaging was selected, an active advertising campaign was carried out, and mass production was established.
The Americans were so pleased with the new products that Heinz's company was making space profits. Henry managed to become the largest food manufacturer in the country. The company's turnover has already exceeded $ 1.5 million. In addition, Henry also focused on the quality of his goods.
The first production was located in a two-story farmhouse in the north of Sharpsburg. But after 5 years it had to expand. Heinz and Noble acquired a hundred acres of gardens, 24 horses, several wagons, and an entire factory in St. Louis. The move took place in 1875, when a banking crisis occurred in the country. Panic gripped the industry. The Heinz and Noble company also went bankrupt. Henry then registered a new company, H.J. Heinz, his brother and cousin became a co-founder, and Clarence Noble retired.
Henry learned from his failures and his business is taking off again, with products spreading throughout the country. The businessman understands that just a well-established production will not be enough, starting to invest more and more money in bright and even aggressive advertising. He was one of the first to realize that in addition to production, it is necessary to deal with brand development. Henry Heinz wanted his company to become a true symbol of quality, which was the focus of the efforts of all employees. In addition to the fact that the owner was efficient and enterprising, he also turned out to be an excellent marketer. He was the first to think about the production of environmentally friendly products. In 1900, Heinz was the first to use neon advertising. A huge billboard with the company logo advertised the main products: ketchup, marinades and sauces.
And in 1886, the first subsidiary company outside the country appeared - in England. To do this, Henry and his family traveled to the United Kingdom with a selection of his best products. The British received it with delight. In 1888, Henry bought the company from his relatives, renaming it "H.J. Heinz", and 10 years later opened an office in London. In 1905, a factory was built in the British city of Peckham. By 1919, Heinz had acquired a couple of plantations in England. His company became the official supplier to the royal court. Many at that time generally considered it truly British. At that time, the company owned 25 factories, which employed more than 6 thousand employees.
On May 14, 1919, the founder of the company died, his son Howard continued his business. He was a young and energetic man who paid special attention to laboratory research. He further strengthened control over product quality. The company continued its unbridled growth and penetrated into the most remote corners of the planet.
In 1941, Howard was replaced by Henry John Heinz II. He became the first head to acquire a finished production in the Netherlands. Prior to this, Heinz preferred to build the process cycle from the very beginning. Soon, new productions in Mexico, Italy, Portugal and the United States were bought in a similar way. Since Bart Gookin took over as CEO in 1966, the pace of acquisitions has increased even further. In 1972, the company's turnover exceeded one billion dollars. The head of Heinz made a decision to restructure the company, and new top managers joined it.
In 1979, 35-year-old Anthony O'Reilly took over the company. His policy was to actively expand into new markets. Heinz products appeared in South Africa, New Zealand, Czechoslovakia, South Korea, India, China, Egypt, Zimbabwe ... And in the early 1990s, Russia was included in this list. In 1996, William R. Johnson became the new head of the company. He continued the set course of active offensive into new markets, purchasing production even in exotic Singapore, the Netherlands, Indonesia and the Philippines. But the priorities of the company changed, it began to produce new products - semi-finished products and food for pets.
In 1998, H.J. Heinz ”held an unusual campaign, which was supposed to return the brand's attractiveness and dynamics. It was planned to turn ordinary goods into a symbol of pleasure and entertainment. Today, top managers of the company keep repeating that the only way to develop their business is through innovation and quality. Thanks to this, the products are environmentally friendly and safe.
Until 1966, the company was run by representatives of the Heinz family, today they own the majority of the shares. Today, H.J. Heinz is a multinational corporation with branches on all inhabited continents. The main profile of the business is the cultivation, production and further sale of exclusive food products. The Heinz brand has combined thousands of products - from sauces with mayonnaise to fish. But the consumer associates the company's name with its main product, ketchup. It is no coincidence that it accounts for 30% of all sales of the concern. The brand itself is number one in recognition among food companies. In 2006, the turnover of H.J. Heinz was $ 8.7 billion. It produces over 5700 different products. The company owns 200 factories in 50 countries around the world. Its enterprises employ about 50 thousand employees.