How a Teddy Bear Company Outpaced Tech Giants | Sharon Price John | TED

Overview

Sharon Price John, CEO of Build-A-Bear Workshop, shares how she led the company from near-bankruptcy to global profitability by embracing a purpose-driven approach. She highlights the importance of aligning business strategies with an organization’s true purpose, demonstrating how starting with heart can transform not only companies but also individual lives.

Notable Quotes

- Does it matter if Build-A-Bear exists? – Sharon Price John, on challenging her team to rediscover the company’s purpose.

- Nobody cares how much you know until they know how much you care. – Sharon Price John, quoting Theodore Roosevelt to emphasize the power of leading with heart.

- A heart-centric approach to life can unlock remarkable power, immense joy, and provide clarity and resilience. – Sharon Price John, on the personal and professional impact of purpose-driven leadership.

🧸 Rediscovering Purpose at Build-A-Bear

- Sharon Price John took over Build-A-Bear in 2013 during its worst financial crisis, with $50 million in losses and declining mall traffic threatening its survival.

- The company’s experiential retail model, centered around creating personalized stuffed animals, was more than a business—it was a source of emotional connection and cherished memories for millions.

- By asking her team, “Does it matter if Build-A-Bear exists?”, she uncovered their deep emotional investment in the brand’s purpose.

💡 The Power of Purpose-Driven Leadership

- John shifted the company’s focus to its true purpose, encapsulated in the new mission statement: “We add a little more heart to life.”

- This purpose-driven approach inspired the team to embrace operational changes, including cost-cutting and store closures, without losing sight of the company’s emotional core.

- Aligning strategy with purpose allowed Build-A-Bear to unlock new opportunities and navigate challenges with resilience.

🌍 Expanding Beyond the Mall

- Recognizing the limitations of mall-based retail, Build-A-Bear diversified into tourist destinations, cruise ships, amusement parks, and resorts, expanding to over 30 countries.

- The company embraced e-commerce, growing its web business from 5% to 15-20% of total sales by targeting new categories like gifting and collectibles.

- By tapping into the “kidulting” trend, Build-A-Bear doubled its teen and adult business, which now accounts for 40% of sales.

❤️ Leading with Heart in Business and Life

- John emphasizes that success starts with heart, arguing that emotional connection is as critical as financial acumen in driving organizational change.

- She credits a heart-centric approach with fostering clarity, resilience, and joy, enabling her team to overcome challenges like activist investors, Brexit, and the global pandemic.

- The company’s turnaround resulted in four years of record results and a 2,000% stock price increase, outperforming tech giants like Nvidia and Microsoft.

🧭 Finding Your True Purpose

- John challenges individuals and organizations to look inward and rediscover their true purpose, asserting that courage and heart are essential for transformative growth.

- She concludes by encouraging others to embrace a heart-driven approach, which she believes can unlock extraordinary outcomes in both business and life.