Sweet success

‘We are a quality offering that delivers on taste and experience,’ says its CEO, Michelle Vance FCCA. ‘Affordability is key to our success. We are cognisant that consumers have a certain budget. You either hit that point or you miss your market.’

Adaptability and a clear eye for opportunity have also played a role in the business’s success. Indicative of this approach were events in 2010, when airlines struggled in the wake of volcanic eruptions in Iceland. As part of a cost-cutting drive, British Airways, an early and prestigious client, removed complimentary Lily O’Brien’s chocolates from its menu.

‘Mary Ann asked if there was anywhere else we could add value,’ Vance recalls. ‘They came to the dessert menu, where there was an opportunity to supply a chocolate mousse product. The problem was we had no dessert factory, no equipment and no experience. Plus, it was December and the product needed to be ready by May. But we pulled out all the stops to make it happen. That can-do spirit is at the heart of Lily O’Brien’s.’

Hooked

The determination to innovate played a part in Vance’s own entry into the company. ‘In late 2008, I got a call from the operations manager here, who I had worked with previously,’ she recalls. ‘They asked if I could help out with a grant application for R&D funding. I came in for a few days and basically never left. A few months later I took on my first senior role as management accountant.’

While the confectionery industry was new to Vance, ‘growing into it was an easy journey’, she says. ‘The enthusiasm I saw here was infectious. Mary Ann took a roundtable approach to management where everyone had a voice. You were asked for your opinion and to get involved. That really motivated me to be a part of things.’

ACCA had come into the picture in a previous position, when Vance was promoted from factory floor to payroll and stock reconciliation. ‘Working with numbers interested me but I didn’t have any real qualification. What I did have was a fabulous mentor who said, “Why not look at ACCA?”’

Covid crash

After a number of years as finance director, Vance was appointed CEO in March 2020, a timing that meant any celebration was short-lived. ‘We lost 25% of turnover as soon as the first lockdown was announced,’ she says.

Being a manufacturing company, there was no retreat to working from home. ‘We quickly had to understand what Covid was and how to keep each other safe. It was a time of crisis, but we took it as an opportunity to reset and to find a path forward. Retail proved a great support and we started to come through in late 2021.’

While Brexit may seem an obvious headache for company with such a focus on the UK, Vance says that is not the case. ‘We had been dealing with markets outside the EU for years, so the paperwork wasn’t new to us, even if no one could welcome the extra layer of expense it brings.’

More significant has been the cost of living crisis, likely to be exacerbated by issues far removed from consumers’ everyday lives. Cocoa prices have risen by as much as 300% this year and Vance says crop disease, aging plantations and speculator activity mean there is no quick fix on the horizon.

In 2025, price rises of anything between 10% and 40% can be expected on an industry-wide basis. ‘We are looking at how to mitigate it, but we also know it has to be done carefully. Consumers are very alert to shrinkflation, and we don’t want our customers to feel shortchanged.’

Sustainability and trust

Despite such challenges, Vance remains enthusiastic about the potential for the brand, with Europe and South America among the international markets currently in focus as emerging opportunities. ‘Our success to date has been based on building strong relationships, and sustainability and mutual trust will be key to our future development,’ Vance says.

There is also, of course, an undoubted mystique attached to running a chocolate factory that doesn’t come with every business. ‘When you meet people first, a certain fictional character is often mentioned and you might be asked if you eat chocolate all day,’ Vance says. ‘The truth is you become very particular about it. We all have our favourites but we have a saying: if you can avoid the tasting table until lunchtime, you’ve done well!’

The role of CEO has also brought with it a work-life rebalance, as home now centres around Vance’s two young daughters. ‘Children are a great leveller and I’m spending as much time with them as possible. We have a boat on the Shannon, and getting away there when time allows is one of my great pleasures.’

Vance’s passion for her work and level-headed approach have steered Lily O’Brien’s through steep challenges already and will be key to the next period of growth. ‘If you stay true to your values and what you believe, you can’t go wrong. If I go home and say I’ve made the right decision for the company, that’s a great place to be.’