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Episode 36: From Cleveland to Pompano Beach with John Bibbo image

Episode 36: From Cleveland to Pompano Beach with John Bibbo

Under The Vinyl with Nate And Kyle
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135 Plays1 month ago

We're finally releasing our conversation with John Bibbo with you! He is our last installment from the Safe Tenting Standard launch in Charlotte. John gives us a masterclass in expansion, logistics, branding, and professionalism. This is a must-listen episode for everyone in the industry!

 This episode is brought to you by Anchor Industries. Learn more about Anchor at www.anchorinc.com.

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Transcript

Introduction of Industry Legend

00:00:00
Speaker
not knocking your knees over there. Oh, you're good. Good to go? All right. Well, we're back again with another episode of Under the Vinyl here live on location at Party Reflections. We've got another great guest here today. An industry legend, I would say. Absolutely industry legend. An ARA, just in the industry as a whole.
00:00:19
Speaker
Lots of questions asked, lots of different areas of expertise. So we'll jump right into it. John Vibo, how you doing, sir? Great. I don't know. I don't know John. You're good.
00:00:30
Speaker
You're a legend in your own right? I feel like there's you're in that crowd where there's a bunch of legends in there, but you're one of those guys. Yeah. Thanks. So John, just tell us tell us first how you got started and where events

Early Business Ventures

00:00:42
Speaker
were starting. So my mom and dad opened up a Taylor rental franchise 46 years ago. They were store number and old.
00:00:52
Speaker
i was eight years old Loved it. couldn't get up on Saturday morning and my dad left without me, I'd call him on the CB radio and say, pick me up. I would be tears. I wanted to go to work. And just really love interacting with business and things like that. You know, fast forward about 10 years into the business, Taylor Reynolds went through an identity brand, rebrand, and and divided the the party section from the tool section with the wall rather than a wrought iron fence. Back in those days, if
00:01:26
Speaker
remember those days but and that's when I had turned 16 right around that time and it was an opportunity for us to venture into the party business further than just tables and chairs.
00:01:38
Speaker
And it was always in Ohio first?

Growth and Independence

00:01:40
Speaker
Cleveland, yeah cleveland right in Parma, Ohio was our first location and it was 15,000 square foot facility and we o occupied probably about 5,000 with party at that time.
00:01:55
Speaker
Went to the first convention and bought the opening package for a party rental company. It $100,000. went back to the room That night at the convention, those were our family vacations, and I told my dad that we bought a popcorn machine and a cotton candy machine and he scratched his head. He goes, been in business 10 years and never had a call for any that stuff. So, you know, it's kind of like, we've got to something about that. How do we start marketing? Hired a salesperson, right out of college, hospitality a management background. and
00:02:27
Speaker
And there it's all, it's all. History. Yeah. So with Taylor rental, it was, that was equipment with a little bit of party at that time, right? Yep. Okay. When we left, we were the largest Taylor rental. And that would have been like 96, 97.
00:02:42
Speaker
out of At that time it was 300. We just had some different road plans and different objectives. And Taylor rental sold to Stanley works right around that time. And so things changed and, uh,
00:02:55
Speaker
We were large enough that we didn't need that help. yeah And most Taylor Rentals never really stuck around that long anyways. I mean, you still have few that have been around forever, but they get you started in and then you move on and do your own thing.
00:03:06
Speaker
And at one point did you feel like you started making an impact in the business and what role was that that you came into? So right at 16, believe it or not. Are you the one who pulled the trigger on the party package? Oh yeah.
00:03:17
Speaker
That was your decision. We would always go to the show and Taylor Rental had these forms and you know you go and buy rototillers and it was just basically put a number one or two, how many you wanted and you signed it. again We were buying it from them rather than through the vendor because they they're buying the thing.
00:03:34
Speaker
And so it was really easy. I mean, I just did the same thing. And and and so I knew the process, obviously. Went through the party thing and Joel Nevins which was one of my first vendors at Joe Marr he goes went to the guy Dean at the purchasing oh shit like should I take this this is like the kids 16 years old yeah take it he's fine he he's been around
00:03:58
Speaker
And yeah, that was that was really where it started. Okay, so 16, doing that. And then so you worked your way up and then what year did you take over? So my dad was really two, of didn't want to have anything to do with party. they they They would answer the phone and they would say, get a call for a canopy. Oh, no, sorry, we don't have any of those. And you know and I'm like,
00:04:18
Speaker
Hell yeah, with you like we want to touch that. So that was where I fit in. And then at 16, I was 10th grade and had a pickup truck and I came to work every day and you know we hired ah a driver and a salesperson and I kind of coordinated the whole thing. So they really have never been involved. submit submit It's always me. I was the driving force behind it. and
00:04:44
Speaker
So what what year did you create the hostile takeover then? Get out of yeah well get

Expansion Challenges

00:04:50
Speaker
out of that side? ah So everyone knows of United Rentals. I think we were the first one in Ohio that they purchased. got So maybe and They gave my dad a contract for one year as we were negotiating the deal.
00:05:08
Speaker
So my dad, if you asked us 60 days before that, there was no chance we were selling. was never going to happen. and It was here's the offer. Take it. Well, got to think about it. No, it expires at five o'clock tonight. So and if not, we'll open up down the street. Right. exactly Yeah. Well, that happened when nations went to that's why we ended up with United. Yeah. But, you know, so they they on the closing day, they wrote the check for a one year salary and said, don't come to work on Monday. day Yeah. So he picked up his desk and put it in front of mine. So the first time we actually worked in a 10 by 10 office together for, i don't know, four or five years.
00:05:45
Speaker
You know, he's obviously very supportive of what we were doing. really yeah I mean, new rental, but he was the guy that helped us, you know whether it was cleaning grills or working in the back. So, I've really been on my own the whole time. Okay, so United took it. in United, you did sell to United? Yeah, we did. so The equipment side, yeah. The equipment side, and then so you ventured off on your own side. Yeah. Okay, and then so what was your vision at that point? ah so And how old were you? Well, that point, about 18. Okay, so 18, and now you had to be the visionary for what this side of the business is. Yeah, so at that time, my two younger brothers worked for United. So one was there for about 18 months, the other one was there for about five years.
00:06:25
Speaker
So you know at that point, we had been invested into a new facility, which is now 25 years later. you know that was And we basically, we we overbuilt it. I'm little bit big, but I had planned to do something like that for a long time. So finally made it all come true. And then the 9-11 happened and we tanked. big new building, no revenue. And just it was it was a tough time.
00:06:50
Speaker
And we just kind of felt in Cleveland, we we had maxed out the market. We were never going to get everything. Our price point was a little bit different than what was in the market there. So we said, well, let's try it.
00:07:01
Speaker
And we had a lead down for Columbus, which is two hours south of us. and started dealing with a couple customers down there and you know well that's that's where we you know kind of expand and then we took that model to Detroit and Pittsburgh as well and it works great So at that point, are you doing full service tables, chairs, china, tents, everything? So in in the early days up until about 2002, we did tenting as well.
00:07:29
Speaker
Kind of made that transition. You know, we were going into, at that time, we probably had 20 people on our tent crew. We were coming into the April, March or April, and we had three.
00:07:41
Speaker
And it was like, we're going to really have a problem. So made a deal with a competitor that rented tents, tables, and chairs. We swapped our tents for their tables and chairs, and we kind of worked together for a couple seasons. And it was great for us. You know, we...
00:07:59
Speaker
focused on tabletop at that point. You know, that time we had maybe two patterns of China, you know, and then shortly after, you know, five or six, and now, you know, probably 18 is the number right now So you just focus on ah different lines.
00:08:13
Speaker
<unk> you found your niche. You figured out where you were making money. and yeah Yeah. And now you're this powerhouse of supertops. So how did you, when did you decide to take the leap and just go buy more and more? Yeah. So, uh, my father, always had the mentality of yes, always say yes. You if you didn't have it, yeah,
00:08:35
Speaker
You didn't have it, go out and buy it. Our philosophy was a little different. We didn't really hold onto to equipment very long, so it was always new, reselling things. and i think And I carried that on, obviously. I learned from him. and So never say no.
00:08:51
Speaker
Having new equipment always meant better equipment than everybody else. So again, it sets us apart. But you know I always wanted to charge more because we're providing hopefully better service, better product. and really set yourself apart. Yeah. Yeah.
00:09:06
Speaker
Okay. Yeah. So now fast forward, you decided to buy another location. Yeah. So that next location in and did you always want to be widespread? Well, everything. So, um, you know, I would look at,
00:09:22
Speaker
our operation and I always kind of felt that before we made move to like Columbus or Pittsburgh or Detroit we had to have our stuff in line we had to be ready for it you know everyone else that's attempted that around us really didn't have their stuff set in their own backyard and try to expand.

Navigating Market Opportunities

00:09:43
Speaker
And it just doesn't work. so So we were sitting at the time, it would have been 2016, guess.
00:09:51
Speaker
sixteen i ago
00:09:54
Speaker
Things were going great, we're crushing milestones, revenue milestones, and it's like, bring it on, bring more, bring more. And I've always had, in our bag group, we always talk about lots of different things and how to grow your business. And you know we flirted with a tier two level of of rental options. you know We'll take all the older stuff, send it down there. We talked about off season,
00:10:20
Speaker
opportunities. Florida always has been on call was on my mind about moving into that market. Love to go there obviously. and And the classic party rental blow up sort of helped us out and gave us that opportunity to go in and buy it and start over really. So it kind happened naturally you'd say? Yeah I think so. Again you know all of these things that it's in your head to do it, but like everything's got a line, right? I mean, yeah if I didn't get that call in June 2016, that would be like, it would have not happened. And you eventually ask someday we'll do it, but you know, when that's in front of you, you've got to take advantage of it.
00:11:08
Speaker
And talk to us about how many locations you have now. ah So we're seven right now. Okay. And city wise? So it's Cleveland, Columbus, Pittsburgh, Detroit, and then Pompano Beach and West Palm Beach.
00:11:18
Speaker
So you have some good vacation spots in the winter. Yep. Absolutely. I was like, I want to spend time in Florida. So yeah that's oh last year I only was in Florida for fort four trips and it's not enough. Yeah. You know, so it's, we're going to change that this year. Yeah. yeah Well, and I've noticed you're big on branding.
00:11:37
Speaker
You're big on branding and just the colors, the bright colors. Like what you're wearing right now and colored shirt that purple what made you go to that? What why did why did you go so big and bright like that? So it goes back to my Taylor rental days When they kind of broke the company up I had worked with their marketing person on staff and help them I wouldn't say develop that you know coach them along the way what we needed and and And we worked really well together and he came up and said, hey, let's rebrand this thing. We know you're leaving. and
00:12:09
Speaker
And you know purple was the royalty color. And yeah we always were like the step ahead of quality. And and we just felt that was the it was purple and gold. So you like at the time, and it was like,
00:12:22
Speaker
body today but you know those were royalty colors and and that's what we kind of felt we re positioned ourselves in. okay and i mean They got that big tractor trailer. yeah I love that picture. Yeah, you see that purple tractor trailer, that purple truck going down the road, you know who it is.
00:12:38
Speaker
Yeah, it's it's all about that. It's brain recognition. So with seven locations, how does sharing or transferring look for you? Yeah, inventory. So our hub is in Fort Lauderdale and our hub is in Cleveland. So everything is done into those two hubs um and then everything is shipped out from there. So if you're Going to Detroit every day we have five six seven truck whatever you need to go to Detroit make the stops and then come back. So, Griecom is based in Cleveland.
00:13:07
Speaker
And then the same thing in Florida. So, it's you have your your two hubs and then occasionally it started out at first which were seasonal transfers between the two hubs because in the summer in Florida it's nothing. Yeah. Up north it's everything.
00:13:24
Speaker
So, it's alternating seasons and It's probably more than it should be, but that was just because we're still playing catch up from behind from COVID with not investing anything for a while. was question. Are you forecasting out and are you purchasing or are you still just making more transfers?
00:13:40
Speaker
No, trying we're definitely we're in year three of of really a a major expansion with equipment. so So we're not transferring forks, knives and spoons on you know on yeah right on a seasonal basis. yeah You know, and then you'll get the, you'll get, we'll do, um,
00:13:56
Speaker
I don't know, an event for six or seven thousand place settings. then Then you have to make a transfer at some point, but hopefully you've got it figured out. So do you how many how many times a week or month do you see a truck going from Cleveland to Lauderdale? So right now it's once a week, um you know but it sometimes it's twice. It it all really depends.
00:14:18
Speaker
oh Towards November, you know it's several trucks obviously and then and we try to keep a routine of it going up so we can keep everyone employed.

Impact of COVID-19

00:14:30
Speaker
Because that is a difficult position to find somebody to do that, least in our in our case. i mean It's not the really the long term plan, we definitely need to kind of scale that back a little bit. But yeah our belief is if it's sitting, you've got to move it. It's got to pay it through. Yeah. so So we probably do more than we probably than we do when we should. but
00:14:50
Speaker
Is that usually like one Semi truck that goes down? Okay, one semi truck that can get to locations. Okay, that makes sense. So we're able to just to take, you know, take more orders. Again, it's all about filling orders. So there is a cost to it, obviously. But we also don't have to have, you know, 100,000 square feet in Florida. Right. Because we can transfer stuff back. And real estate in South Florida is out of control.
00:15:14
Speaker
So we like the size that we're at for the most part. Right. And if it's not moving down there, we move it up. So that helps us. Talk to us a little bit, everything I've heard about your operation, I haven't had the chance to be there yet. Everyone talks about how efficient you are and the trucks are set up that I believe one guy can make the deliveries out of a full 26 foot box truck. Yeah, so we palletize everything, first of all. and Our tailgates can, I guess I used to use the the terminology that they were like $5,000 for a tailgate and ours were $12,000 because you can take a whole 8-foot pallet off the truck at one time. So we use long pallet jacks and everything's on a pallet, shrink-wrapped and that's how we you know at least get it to the site. Whether or not you can unload it that way, that's a whole other story. but
00:16:03
Speaker
little dollies and just we we're now putting motorized pallet jacks on the trucks. Finally found one that's packed and it's got a good battery life. and So we we try to do that.
00:16:15
Speaker
That was a change we made, gosh, I'm going to say probably right during one of the downturns, so probably 2001, I'm sure. guy didn't Couldn't afford to put all these people in trucks. And you probably couldn't find them either. Right, right, right. Well, that was going to my next question was all these multiple locations focusing so heavy on tabletop.
00:16:36
Speaker
You're not as diversified on what you do. So how did COVID go for you guys? So devastating. I mean, you know, you can't you can't ignore that. Right.
00:16:48
Speaker
No more in Ohio, I don't how it was everywhere else, but no more than 10 people could gather. And we were shut down for nine months. So did you think then maybe, okay, maybe I'm thinking about going back in the tents. Yeah, well, it was already too late. Everyone ended up in the air. yeah you know But someone told me you know at the time that Yeah, you had 20 years of no tenting headaches and problems like that.
00:17:13
Speaker
so even though you missed the boat on this one, you had a good run. So yeah don't complain. You just settled. Settled in. But you guys figured it out because you're still a powerhouse and you're still doing

Operational Strategies

00:17:23
Speaker
what you're doing. so um crew wise i got one yeah how many what's the staff look like uh total company total company is about 225 i think it is now 250 somewhere in that range okay during the season uh it'll go down to 180 don't know normal so like each location doesn't technically have a ton of people. It's three or four people in each office. yeah office
00:17:50
Speaker
And then the transportation delivery service reps, you know, go up there every every every day. Is your biggest, most profitable office Cleveland then? Anything you can do and you know in your backyard is yeah definitely more advantageous. But you know for us to get to the volume that we're at,
00:18:08
Speaker
You really need to expand because you're never going to get that volume out of Cleveland. And what's the biggest differences in the multiple different locations? The biggest difference? You know, I would have to say the customer bases differ. So like Cleveland, we're heavily, you know, worka aroundund off from his catering yep we know, we do a lot of, in Detroit, it's more, call it commercial, it's more like a golf tournament. know, not many of up there, but golf tournaments and different races and things like that. So more the,
00:18:49
Speaker
ah festival higher in higher yeah I more of like a corporate style. yeah Yeah, so it's just different. And then and South Florida is definitely golf tournaments and wild food service. Do you notice different trends with every location? So this one might like, i don't know, tabletop to even talk about it. But you talk about it but So everyone says you need to have that Florida flair. Yeah.
00:19:15
Speaker
So we bought third company. So cool events. Had a lot of light up furniture and It went well, obviously, but we introduced it to Cleveland market and it goes crazy.
00:19:28
Speaker
So really, we we had some custom linens printed with palm leaves on it. were going to make this big splash in Florida with it. Yeah. It rented more in Cleveland while in the in the north. Yeah. did him up So. Wow. um So, and you know, and I always have said that it is more about having something new or different.
00:19:51
Speaker
Because if you're a caterer doing parties with us every weekend, you know, you just you're tired of using the old white plate. Right. You know, or that same linen and maybe ah it may be a velvet today, but like how many times can you use a velvet linen without know getting tired of it? So I think any time you can show something new, it's great for the customer.
00:20:13
Speaker
Yeah, absolutely. That's where that sharing in the inventory is going help Yeah, totally understand that. So where do you fit in the day to day business now as a whole with all these different locations and things like

Vision for Future Growth

00:20:22
Speaker
that? I'm sure you've got a good team in place.
00:20:24
Speaker
So where where do you feel like you fit best in your business? We were dabbling with the EOS system a little bit. So the visionary yeah have made some changes in the last 18 months. You know, they teach you about having the right people in in the right seat on the right bus and and no glad we went through the process and it's changed us really for a future growth right so you're more of the visionary kind of this step back to you're not so involved in the day-to-day really um you know we we have
00:20:57
Speaker
you know really competent leadership that can really, some of it, you know it's all newer to us, but you know they've been around the block and have a ton of experience, not in our industry, room but I think all in my whole career, we've always looked outside the industry for packaging machines and technology and things like that. So now it's the time for management to do that. And it's really changed a lot of things in the book for the better.
00:21:24
Speaker
Do you miss not do you miss the day to day side of it? Well, you know, I don't know. During COVID, we were involved. I mean, everybody was involved. Everybody had to be. And so I wash dishes for 12 hours straight, you know, seven days a week. also'll where I also got your mind off of what was going on with COVID. Yeah, yeah, yeah.
00:21:43
Speaker
um So do I miss it? I like to tinker with it. you know I mean, the new wrapping machine for the dishes was my kind of push, and it was like, Yeah, so to see if the fruition is going. Now you get to pick and choose when you want to go back and do things versus having to do it all the time. Not very much. Yeah, yeah. But you still get to network and come and do that kind of stuff. Well, do you still feel like you need to grow more? Do you see yourself growing more? How do you... For sure. We think that there's still... I still have a lot of energy left, so I think, you know, and making some of the changes we made is really to take it another level step up. Right. you know, we'll see how that...
00:22:23
Speaker
goes you know Any specific target areas? Or just wherever pops up that looks good? Yeah, um you know again, the right opportunity. Yeah.
00:22:35
Speaker
During COVID, the phone calls came in fast and furious. Everyone wanted to sell. We had deep pockets and we were doing the same thing you guys were doing. We were all hurt. I think there's a big transition going our industry right now. You get people that are in their late 60s, 70s still hanging on.
00:22:57
Speaker
Those businesses need to go somewhere. yeah And you know if you have a great management team underneath you in those small businesses, great. You'll do well, you'll sell it. But if you don't, need you need somebody to come in and pick up the pieces. And I have a situation with two of those. It's kind of what you Yeah. yeah What's the I know you have kids. Are they involved in the business at all?
00:23:20
Speaker
is

Family Involvement and Advice

00:23:21
Speaker
there a future with that? I won this year. i finally got all four of them to get in in the loop. And so they all have worked for me at one point or another. And why that was a mission for me, but it it was. And the last one, my daughter told me she's never going to work there.
00:23:36
Speaker
About two weeks later, she needed a job, so I said, apply, yeah see what it's like. and And she ended up sticking around. I thought she'd be done with you know after school, so she's, I want to come in after school. So it's like, okay, so maybe, you know who knows. but That's good, though. Yeah, so but the one that's the most eager is my 13-year-old.
00:23:54
Speaker
He knows all of the people's names, but first name in the back, and he unloads trucks, and that's awesome he's he's really into it. so That's good, that's fun. to say There might be a future there then. Yeah, well, I have a nephew that's also there. And yeah, so who knows? we'll We'll see how that goes. Well, if you can expand this down to the Key West, keep moving down closer down to the south so we can come visit you and we can talk to you and hang out. Let's do that. Okay, perfect. Or even the Caribbean, you know, if you want to. Wherever you want to go, just make it warm that we can hang out at the beach drink some beers. You've got to come down to Miami and in February and March. Yeah. Well, Kyle, I'll let you ask our last question here.
00:24:29
Speaker
So you've been in the industry a really long time. There's a lot of smaller, newer people entering the industry, buying other people. What's the best piece of advice you could give them? you know The old cliche of getting involved. I mean, I i hung around Charlie Neffley, Frank Wilson, Johnny Crabb, all of those guys.
00:24:54
Speaker
were actually my age now when I was in my early 20s and maybe 30s. And you know I got involved with committees. Those guys were all in my bag group.
00:25:05
Speaker
I think we have now seven presidents in our bag group, former presidents. So that was my my entrance into knowing about ARA and knowing what ARA So, you know, now I kind of feel I'm their age when I met them and it's time to give back. So that's why i became president for for ARA. And, you know, I just think you've got to get involved. i mean, you know, we go to all the association meetings of, you know, different groups and in our hometown. and
00:25:37
Speaker
You can go, that's nothing. You have to be on a board, you got be in a position, you got to, or it's just a waste of time. and So get involved is really my best piece of advice.
00:25:48
Speaker
And again, When they call and they ask, you got to go because may not get that call again. Right. So that's really about the best piece. All right. Well, we appreciate you coming on today. I know that we can deep dive into a ton more.
00:26:02
Speaker
I think we had some good stuff here. All right. Good. And we'll keep watching you to see what's next and all right where you buy next. so Sounds good. Hopefully it's someplace warm. We'll be there. yeah All right. but Always welcome. Yeah. This has been another episode of Under the Vinyl.
00:26:13
Speaker
Thank you. Thank you. Thanks. Thanks, buddy. Yep. Thank you. Thanks, John. Yep.