Unreal Snacks’ Growth to 35,000 Stores Shows the Value of Scaling with Discipline
Unreal Snacks’ growth story starts with a reset
The useful lesson in Unreal Snacks’ rise isn’t simply that a young executive without food industry experience can build a major brand. It’s that growth only helps when a company can learn fast enough to support it.
Kevin McCarthy joined the candy company in 2014, at 22, after working on a congressional campaign. He had no food experience and was one of just three employees. Unreal had launched in 2011 and expanded quickly; McCarthy says it once reached 34,000 stores. But when he arrived, the business relaunched in only 38. The company had tried to do too much too soon, he said, and wasn’t learning at the right pace. Its response was to master a smaller operation before expanding again.
Today, Unreal describes itself as America’s largest better-for-you chocolate brand, with products in 35,000 stores across the U.S. and Canada. That trajectory makes the earlier retreat more significant than it might look: scaling back can be a way to build the operating discipline needed for the next stage.
Make the first bite do the selling
For a healthier candy, the promise only works if the product tastes good. McCarthy calls the first bite “the moment of truth” and says a brand with a name like Unreal has to deliver on flavor. He credits repeat purchases with turning loyal customers into the company’s “best marketing engine of anything.” The point is straightforward: advertising can attract a trial, but the product has to earn the next purchase.
McCarthy discussed these ideas with Dan Bova on How Success Happens. Bova says he sampled a notably large number of peanut butter cups during the interview. The conversation produced five lessons for founders and business leaders.
Turn a perk into market research
Unreal lets employees buy as much chocolate as they want, including products from competitors, then report on taste and shelf presence. McCarthy expects the team to consume close to a ton of chocolate over the year. That policy gives staff a practical reason to study the category, and it can spark detailed product debates. The team tested thousands of samples while deciding whether a peanut butter center should be gritty, crunchy or smooth. Everyone can weigh in; then, as McCarthy puts it, the company chooses a direction and moves ahead.
Here’s the business case: an employee perk can also sharpen the team’s understanding of what customers see and taste. The value depends on turning all that sampling into useful feedback and clear decisions.
Stay steady when the stakes change
McCarthy’s management advice is to avoid emotional extremes: “You can never get too excited. You can never get too down.” He says even pleasant surprises can expose a company that isn’t prepared. Winning a large retailer such as Costco is a milestone, but it also creates a new obligation to deliver. A big account is a beginning, not proof that the work is finished.
His advice to aspiring founders follows the same logic. Start by defining the customer and explaining what makes the product different. Keep the ambition large, but expect the progress to come through ordinary steps and near-failures. “You’re gonna take step one, but there’s gonna be step two million someday down the road.”
Listen and learn more
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Unreal candy is available at unrealsnacks.com and major retailers including Costco, Target and Whole Foods. The brand is also on Instagram at @unreal.snacks.
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- She Built a $100 Million Business in 7 Years. Here’s How She Scaled From Scrappy Startup to Costco and Whole Foods.
- 6 Hidden Costs of Scaling Your Business Too Quickly
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How Success Happens features the unexpected paths taken by leaders in business, the arts and sports, including the self-doubt, setbacks and persistence behind their success.