When Jesse Wolf started O’DANG in 2013, making hummus was the plan. Fast forward six years, however, and O’DANG Hummus Salad Dressing has successfully pivoted to be one of the fastest growing new brands in the salad dressing industry, available in nearly 10,000 Walmarts, Kroger- and Albertsons-brand stores.
Humble Beginnings in Hummus
It all started with Jesse’s wisdom teeth. After their removal, he quickly became sick of soup, Jell-O, and milkshakes, and he craved a healthy alternative. Noticing the lack of innovative hummus flavors, along with an increasing demand for hummus products, he created several new hummus options—including his original buffalo-flavored recipe—and began selling his creations at Florida farmers markets.
The early years in hummus production were difficult, especially around getting retailer distribution opportunities and creating “buzz.” A chance to appear on Shark Tank, however, proved a pivotal—though complex—experience.
“I had been obsessed with Shark Tank ever since its first season. So when I learned the show was hosting open auditions in Miami. I went for it,” said Jesse. “Unfortunately, the episode, which created huge demand, aired just after securing a distribution deal with Publix. Our existing production capacity limitations then meant the Publix launch had to be put on hold.”
Beyond this success, O’DANG continued to face challenges with getting product into other major retailers. Jesse suspected that the primary competitor (which owned well over 75% of the hummus market) was keeping him and others out.
“In a way, we’re thankful to those major brands, since they put hummus on the map in the United States. But that being said, it was always very difficult to break through such well-funded and influential competitors. An additional challenge was that by 2017 retailers were recognizing the demand trend, and the relative ease of manufacturing the product, and were entering the market with their own private label hummuses and creating a price war.”
Pivoting to Salad Dressings
“One thing I’ve always put a lot of value in is listening to the customer: What do they like and dislike? How are they using the product? Etc.” Jesse said. “As a result of some of this feedback we started to develop some hummus-based dressings on the side. What we quickly noticed, however, was that every time we made a sales call for the hummus, the buyers would light up when I mentioned the dressing.”
O’DANG’s research into this alternative market was also intriguing. Dressings, particularly the shelf-stable (unrefrigerated) options were a surprisingly dormant category. The only innovations were health-related—low-fat, but still loaded with preservatives and artificial ingredients—or limited flavor options. Dressings, which are typically made of oils, fats, and sugars, are very empty calories and often undermine the health benefits derived from the leafy greens they coat. O’DANG then, could become the first truly plant-based, shelf-stable salad dressing on the market.
“In 2018 I made the very difficult decision to put almost all our focus on the dressing—in fact, we stopped making hummus last year altogether.”
Dramatic Growth
At the end of 2017, the dressing were in 400+/- retailers. But by the close of 2018, the year O’DANG pivoted to focus on dressings, they were on shelves in just shy of 4,000 grocery stores. The exposure in Walmart made other retailers take a more serious look at their products. In January 2019, O’DANG expanded to Costco (a long time target) and in February 2019 it expanded to Publix. This year, the company has already surpassed its original 8,000 store goal.
This dramatic two year growth, along with the additional potential the company and its investors saw, led the company to move its manufacturing and expand to a new, state-of-the-art, 400,000 facility in the Midwest, facilitating easy delivery to both coasts—and anywhere in between.
LaunchPad’s Impact
Jesse’s involvement in LaunchPad at UCF began just when the program opened in 2013. He wrote about a hummus company in his business plan class.
“I owe so much of my success to the LaunchPad. I wouldn’t be here today without the LaunchPad. I lived at the LaunchPad. I had mentor meetings and follow-ups that made sure I stayed on course. Knocking down little milestones. Got 3rd place in the UCF Joust Business competition.” Jesse participated in the 2014-2015 Blackstone cohort competition. “People in that room were brilliant. Executives, economists, etc. and the fact that we took second place in a competition full of technology companies rocked me. Gave me so much validation that we were on to something big.”
According to Jesse, just after the LaunchPad opening, “One of my professors said to me, ‘I hope I see you in the Launchpad. The biggest heartbreak for me is going to be when I see your idea at a grocery store, made by someone else. I know you can do this.’ That rocked me.”
Future of O’DANG?
O’DANG’s mission now is to develop everything but hummus. Jesse and his team believe there are endless opportunities for tasty food that can also be made healthier, just by being plant-based. To stay informed of exciting new product releases in the O’DANG family, follow the company on Twitter, Facebook, and Instagram.
Jesse’s Advice for Other Student Entrepreneurs: Don’t be afraid to pivot. Lots of people get hung up on an initial idea. If you really step back, however, listen to your customers, and look at the situation from a high level you’ll see what is and is not working. Follow what is working, and understand why the other parts are not working. Remember, the pivot has been instrumental in countless startups—including O’DANG!