cookandkitchen.com.au has been closed since the 28th of November. I am devastated. Our team’s efforts to reengineer and rationalise the ecommerce offering that we launched in April last year have failed. The site simply wasn’t doing enough money transactions and the underlying costs were too high.

We were let down by a number of partners; deadlines were missed, creative and copy failed to deliver returns and ultimately promises were not kept, but none of that explains why the business model didn’t work.

Some six figures worth of investment has been written off and after an incredibly traumatic month of returning goods to suppliers, selling off abandoned stock and shutting down systems I feel ready to do some personal reflection.

It’s been more stressful shutting down a business and more difficult than it was setting one up. There is a part of me that wants to involve the lawyers and start going after logistics partners, web developers and marketing agencies for breach of contract, poor workmanship and lack of integrity. On reflection the emotional energy and cash flow I would need to find to make that happen versus the $30-40k that we might eventually be able to claw back simply isn’t worth it.

Over 100,000 unique visitors, 469 different products (at our peak), 13,000+ paid for clicks and seven interns later I am looking to understand why things didn’t work in the way that we expected them to.

Maybe we tried too much at once, too much too quickly, maybe the research was misplaced, was the website badly designed, the marketing missing the mark, or the product set the wrong mix? Or maybe Australian foodies just aren’t out there and ready to share and spend money online in the volumes that we needed to make our business model work.

This week I am back in Byron. Where I came over 18 months ago to write the business plan and design briefs. Walking through the farmers’ market stalls yesterday and sampling organic coffees, stuffed figs and locally produced sweet sausages I enjoyed myself around food again for the first time in months.

We will have another crack at a foodie business at some point in the future, but for the next wee while you’re just going to get me, going back to basics, where Eatwright started; recipes, reviews and ramblings about food.

The entrepreneur in me hasn’t died, he just needs a rest.

Having sacked our original development agency, web marketing agency and exhausted almost all the options on the table we a now in a very challenging position.

But as I said to Caitlin, our intern, today on the way back from an eye opening meeting with our warehouse partners; if it was easy to create a profitable business everyone would be doing it and heck we are having fun and learning a lot in the process.

The business model, systems and processes and market assumptions that we have attempted to realise are not working.

We are currently changing much of what we are doing and in the process we are uncovering cracks in systems and relationships that are unacceptable.

The question is whether there is enough money on the meter to have all the changes happen, bear fruit and get us back to somewhere we can grow from. I wouldn’t be continuing unless I thought we had at least 2:1 odds.

That is against a backdrop that over 30 percent of web development teams deliver projects late or over-budget, according to a survey commissioned by Ruby development in 2008. These findings are consistent with studies of larger IT initiatives showing failure rates of 30%-70%. WOW what a fantastic world we live in!

Sometimes selling up from Sydney, quitting the e-rat race and opening a sandwich and juice shop somewhere on the far north coast of Queensland looks seriously attractive.

Over the next 5 days we will have shrunk our warehouse footprint and product range by around 30%, completed a ‘new voice’ project and have 5 new offers out in the market place that talk to customers in a different way, reconfigured the website (both look and feel and technically), our product catalogue will be improved making it even easier for customers to find amazing and delicious products in time to serve up for the Christmas entertaining season and we will have made ourselves as lean as possible (in the last three months I have stripped out around 40% from our fixed costs and we really are running on vapour right now).

I don’t what what to do next.

The cookandkitchen website is currently down as the new men in white coats tinker under the hood, we are helpless. It’s like when you go to the dentist and they have a bright light in your eyes and a couple of steel instruments in your mouth – oooh Sir you should really get a root canal while we are polishing…. what are you meant to say to that?

There’s a team of people in India being managed by Skype by a team of people over here telling me that everything will be alright in the morning, well maybe Thursday or Friday morning….

We are almost ready with the new voice project and as of tomorrow evening everything will be ready to push live as soon as the website works again.

Australia, brace yourself we will be relentless – unsubscribe or buy. We have no choice but to play that game for the next ten weeks.

Right now I am going have a another $5 schooner and keep my fingers and toes crossed that there is an earthquake somewhere near Eastern Creek that sucks up the warehouse with no casualties and we get to the claim the whole thing on business insurance next week (joke – almost).

The one thing that I do know is that we have our integrity intact – all our supplier payments are up to date, we owe no one of our partners any cash and we have delivered our brand promise 100% for every customer we have served and have had some awesome reviews to prove it. We’ve done exactly what we said we were going to do.

I think I might buy a timer on the way home. Australia day is judgement day.

Pressed Sandwich

With pesto, chicken, and balsamic marinaded tomatoes, it is a gourmet cafe-inspired creation that is easily made at home. What I love to do is create several in advance of few hours, and then make them all at once when all my flatmates are home. That way, you can make one for every member in your household!

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Cookandkitchen supplies used in this recipe (click image for more information and to order):

Bitton Coriander Pesto

Star Anis Aged Balsamic

Certified Organic Basil

Fresh & Mild Extra Virgin Olive Oil

Yum!

Sliders are a perfect casual appetizer for spring and summer time parties and BBQs. Not only are they easy to make, but even easier to eat! Both kid and adult-friendly, these little bites will tide people over until the main course is ready!  Or you can have just a couple more and make it a full meal.

I remember the first time I made slider with my mum back in Canada. The slider patties were “mini” sized, so my mini hands were just the right size to form the patties. My mum grilled the patties, and then we all picked out an assortment of greens to add to the sliders. Being part of the cooking experience gave me a greater appreciation of food that continues with this day. This will be a perfect meal to cook with the kids, and by choosing extra lean minced beef and wholemeal slider buns will make it a much more guilt-less meal!

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What’s your favourite meal to make with the kids?

Cookandkitchen products featured in this recipe (click on picture to see details):

Certified Organic Cracked Black Pepper

Traditional Tomato Sauce

Smooth Dill Mayonaisse

This LLM recipe only requires a few ingredients, and very few steps. After all, we all know how fried our brains are after a long work week!

To go along with your pizza, try tossing together this quick Italian salad. Not only is it delicious, but you can create your own dressing when you use our Organic Italian Herb Mix (which is under $4.00!) Healthy AND cheap, what more could you ask for!

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CAK Products Used in this Recipe:

Gourmet Organic Herbs Italian Mix ($3.90)

Cherries are loved for their delicious flavour and ruby red colour and are versatile in the kitchen, making a great addition to desserts and a sweet counterpoint to savoury dishes.

They are also a smart choice when it comes to summer snacking as they contain no fat or cholesterol and are jam-packed with antioxidants.

As cherries are only available for around 100 days in each state, make sure you ‘cherish the moment’ and enjoy the short but sweet season!

Here is a gorgeous festive dessert idea that is simple but a definite party pleaser!

White Chocolate Cherry Panna Cotta

Preparation Time: 20 minutes
Cooking Time: 5 minutes plus minimum 3 hours refrigeration time
Serves: 6

Ingredients:
4 sheets leaf gelatine or 3 teaspoons powdered gelatine
1/2 cup milk
2 cups cream
1/2 cup caster sugar
100g good quality white chocolate
200g pitted cherries
100g whole cherries with stems on

Method:
1. If using leaf gelatine, soak the gelatine in the milk. If using powdered gelatine, sprinkle the gelatine over the milk, stir, then microwave on high for 30 seconds.
2. Place the cream, sugar and chocolate in a saucepan and stir over a medium heat until the chocolate has melted.
3. Add the gelatine and milk and stir until the gelatine has dissolved.
4. Place pitted cherries in the base of six moulds then pour over the panna cotta mixture. Refrigerate for three to six hours or overnight.
5. When ready to serve, dip the panna cotta moulds in boiling water then unmould onto serving plates and top with whole cherries.

White Chocolate Cherry Panna Cotta.jpg (404 KB)

Ahem…envelope please!  The winners of the Royal Hobart Fine Food Awards and the Sydney Royal Fine Food Show have been announced, and we are thrilled to congratulate our good friends at Nicholson Fine Foods for picking up two awards at each!

Their Euro Style Spiced Beetroot Finishing Vinegar    picked up a Gold Medal at the Royal Hobart Fine Food Award! AND a Gold Medal (for the second year in a row!) at the Sydney Royal Fine Food Show.

Their Italian Style Blood Plum Finishing Vinegar also picked up two awards, with a Bronze from each award show.

Here at CookAndKitchen, we are BIG fans of  Nicholson Fine Foods. We use these dressings for deglazing, pouring over seasoning for meats. They also go great with fresh goat cheese, berries, yoghurt and ice creams.

Head over to our store to pick up your very own award-winning Nicholson Fine Foods products, each for only $11.95!

On 27/10/2011, at 11:16 PM, Sandy wrote:

Hi James, I placed the third order (as in confirmation slip) on Oct 13,which is the order no 10000202.(this order has been paid for by Visa)

The last thing I want is to discontinue my contact with Cook & Kitchen, I live 285 kms from Melbourne and can’t get anything like you offer up here. As I am disabled and can’t drive I am unable to go shopping in the larger towns. I also teach cookery to school kids and some of your products are new to the kids.
Sorry to have had these difficulties.

Sandy

This morning I replied:

Hi Sandy

I cried when I read your email.

Can I thank you first of all for taking the time to write to me and not demanding a refund. Which of course you are more than welcome to.

Cookandkitchen is a side business to my day job. I am obsessed with food and dreamt up this business to transform the way that foodies connect. Things have not been going according to plan and we are only achieving about 20% of our sales targets at the moment. As such we have had to cut back on the operations and have been struggling to get everything done in the timeframe we would like with the resources that we have. I have been in a bit of a dark place over the last couple of weeks.

I am sorry that your order has somehow gotten trapped in the system. Your order is showing as sent from our end but there is clearly something not working. Please rest assured that you will be sent your goods early next week.

Your email has given me the injection of energy that I needed. With customers like you we really are delivering on our mission of transforming the way that foodies connect.

Are you friends with us on Facebook? The Lip Licking Moments community could do with your participation. I just did a search and think I found you so requested you as a friend.

Did you know about the blog on the cookandkitchen website. I would love for you and the kids to contribute to it and tell us about what you are getting up to in the kitchen.

They say that every cloud has a silver lining. In the error with our fulfilment of your order I have found out just what impact we are having on the community we are serving and it’s given me back my enthusiasm for making the business work.

I hope you don’t mind but I am going to share our story on the blog today, I think it will really help demonstrate what we are doing.

Next time I am in Melbourne with some time to spare I would love to come out and meet you, perhaps we could do a cookery school session together for the blog?

I look forward to hearing from soon

Enjoy your weekend

James

This last few weeks have been a bit of a nightmare for us at cookandkitchen all the things that could go wrong have and it’s been getting me down.

Before we launched cookandkitchen I sat down with two friends and our first two interns Clint and Julien and we wrote a list of reasons why the business might not work as we expected.

Not on the list were

1. The marketing function and a key partner would want to take a back seat six weeks after we launched.

2. None of the traditional online marketing strategies working for us first, second or third time to generate sales – we get lots of likes and fans and hundreds of positive comments on our communications but not enough revenue from the activity. Yet.

3. Our choice of suppliers not working out in terms of shared vision, service expectations and integrity – not once, not twice but three times! We have parted company with our original web development agency and two marketing support businesses.

4. Our warehousing (the biggest single fixed cost in our business) costing about twice what we had budgeted for.

If I am honest there have been moments in the last couple of months when I have just wanted to hit of the off switch and go on holiday.

Two weeks ago I offered my fellow Directors and Investors 22.5 cents for every dollar that they stumped up if they wanted to get out. Their response was a resounding no and that they had every confidence in me and the business that it would work. My business coach, Oliver, claimed that I had had a defining moment. I wasn’t totally convinced but decided to suck it up and see where we went.

Then yesterday I read this email from Sandy, a regular customer in Victoria, whose recent order is trapped somewhere in cyberspace. This was my defining moment.

On 27/10/2011, at 11:16 PM, Sandy wrote:

Hi James, I placed the third order (as in confirmation slip) on Oct 13,which is the order no 10000202.(this order has been paid for by Visa)

The last thing I want is to discontinue my contact with Cook & Kitchen, I live 285 kms from Melbourne and can’t get anything like you offer up here. As I am disabled and can’t drive I am unable to go shopping in the larger towns. I also teach cookery to school kids and some of your products are new to the kids.
Sorry to have had these difficulties.

Sandy

This morning I replied:

Hi Sandy

I cried when I read your email.

Can I thank you first of all for taking the time to write to me and not demanding a refund. Which of course you are more than welcome to.

Cookandkitchen is a side business to my day job. I am obsessed with food and dreamt up this business to transform the way that foodies connect. Things have not been going according to plan and we are only achieving about 20% of our sales targets at the moment. As such we have had to cut back on the operations and have been struggling to get everything done in the timeframe we would like with the resources that we have. I have been in a bit of a dark place over the last couple of weeks.

I am sorry that your order has somehow gotten trapped in the system. Your order is showing as sent from our end but there is clearly something not working. Please rest assured that you will be sent your goods early next week.

Your email has given me the injection of energy that I needed. With customers like you we really are delivering on our mission of transforming the way that foodies connect.

Are you friends with us on Facebook? The Lip Licking Moments community could do with your participation. I just did a search and think I found you so requested you as a friend.

Did you know about the blog on the cookandkitchen website. I would love for you and the kids to contribute to it and tell us about what you are getting up to in the kitchen.

They say that every cloud has a silver lining. In the error with our fulfilment of your order I have found out just what impact we are having on the community we are serving and it’s given me back my enthusiasm for making the business work.

I hope you don’t mind but I am going to share our story on the blog today, I think it will really help demonstrate what we are doing.

Next time I am in Melbourne with some time to spare I would love to come out and meet you, perhaps we could do a cookery school session together for the blog?

I look forward to hearing from soon

Enjoy your weekend

James

Thanks so much Sandy – I am going to get cracking with the weekend’s to do list now.

This recipe serves about 8 people, perfect a costume party or ghoulish get-together!

Short some ingredients? We have plenty of organic ground ginger and organic ground cinnamon (both only $3.90) to meet your baking and dietary needs.

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CAK Products Used In This Recipe

Gourmet Organic Herbs Cinnamon ($3.90)

Gourmet Organic Herbs Ground Ginger ($3.90)