0:12 gold and exuding Elegance the coveted
0:15 Ferrero Rocher holds inside it one of
0:17 the most guarded secrets in the food
0:19 industry the recipe began more than a
0:21 century ago and has remained in the
0:24 hands of one family for four generations
0:27 all thanks to one Italian who turned his
0:29 father's local bakery into a
0:32 multi-billion dollar company and one of
0:34 the most distinctive chocolate brands in
0:37 history this is the story of Michaela Ferrero
0:48 [Music]
0:51 was born in 1989 in Piedmont Northwest
0:54 Italy the area is known for its border
0:56 with Switzerland with the Alps forming a
0:59 cinematic background Michaela grew up in
1:01 the small town of Alba in between Turin
1:04 in Genoa on the southern part of
1:06 Piedmont it's home to some of the
1:08 country's most prestigious Vineyards in
1:11 the country a rich Roman history an
1:13 architectural site stating as far back
1:16 as the 12th century it was in this town
1:19 that Michaela's father Pietro began a
1:22 humble Bakery with a Grand Vision Pietro
1:24 had been trained as a pastry chef and
1:26 developed an obsession with finding the
1:28 right balance of cocoa and hazelnuts
1:31 which were easy to Source locally this
1:33 Quest led to Pietro's own version of
1:36 zhanduya a thick dark chocolatey paste
1:39 which was created in the region helping
1:41 to make Piedmont famous for chocolate
1:43 with Pietro's recipe though which he
1:46 marketed as pasta zanduya this creamy
1:49 spread would go from a regional Delight
1:52 to a Nationwide best seller pasta
1:55 genduya quickly became a hit it was
1:57 packaged in aluminum foil in small
1:59 loaves that needed to be cut with a
2:02 knife in 1946 together with his brother
2:05 Giovanni Pietro formed the company
2:08 Ferrero to grow the business from a
2:11 pastry shop and small chocolatier into a
2:13 large company strangely Pietro's best
2:16 business decision wasn't in his shop at
2:19 all it was when his wife Pietra gave
2:22 birth to their only child Michele in
2:26 1925 Michele grew up in Alba which at
2:29 the time was a small rural town with
2:31 little activity by the time his career
2:34 was over Michele would have turned this
2:35 town into not only a regional
2:38 destination but the engine room of a
2:40 global Powerhouse
2:43 McKelly learned the trade by following
2:45 his father closely but he was marred by
2:48 tragedy when his father died young at
2:50 just 51 years old leaving the business
2:53 in the hands of his brother Giovanni and
2:55 mckelley less than a decade later
2:58 Giovanni died too leaving McKelly
3:00 heartbroken and in charge of a growing business
3:05 mckelley's father's products were unique
3:07 and the ingredients he used as his
3:10 signature were largely out of necessity
3:12 hazelnuts offered a cheaper substitute
3:14 for chocolate which was difficult to
3:17 import especially during wartime when
3:19 the rest of Europe cut Italy off but
3:21 Pietro's Ingenuity led to him
3:24 establishing a company a workshop and
3:26 acquiring a factory to ramp up
3:29 production Pietro Ferrero could never
3:31 have imagined how his prostagandula
3:34 would be again transformed after his son
3:37 took over the company mckelley started
3:39 his leadership with a bold move instead
3:42 of a chocolate bar or used as a filling
3:44 his genius move was to create a
3:47 chocolate spread super Crema as launched
3:51 in 1949 two years after Michele took the
3:53 reins and it was an instant hit the
3:55 spread was affordable to the average
3:57 Italian it turned chocolate from a
3:59 luxury product into an everyday one
4:02 super Crema was kept in a jar joining
4:05 the the Shelf next to other spreads used
4:07 on bread and immediately mckilley proved
4:10 himself to be a Visionary he sent a
4:12 truck painted in the company's colors
4:14 traveling around Italy and giving out
4:16 chocolate to Children mckilley
4:18 understood what very few of his
4:20 competitors did at the time that
4:22 advertising and marketing could create
4:25 demand within a decade of michelley's
4:27 leadership Ferrero had opened up three
4:30 new factories two of them outside Italy
4:33 the key to his success was moving into
4:36 the German Market where he converted old
4:37 missile factories into candy
4:40 manufacturers mckelley took advantage of
4:42 the post-war infrastructure and an
4:44 increased appetite for confectionary
4:46 bars which had developed during the war
4:54 in 1964 mckelley made another defining
4:57 move he changed the name of super Crema
5:00 to Nutella which combined the English
5:02 word nut with an Italian diminutive
5:04 associated with other food like
5:07 mozzarella portabella and citronella but
5:10 it wasn't a simple rebranding mckilley
5:12 had inherited his father's obsession
5:14 with finding the right balance of
5:16 ingredients and when he did Nutella was
5:18 launched with a different recipe to
5:21 Super Crema one that remains top secret
5:24 to this day it is so guarded that there
5:26 are no media tours allowed of factories
5:29 and the original recipe was reportedly
5:32 once translated into Arabic and locked
5:34 in an Egyptian Vault this was a product
5:36 that was widely marketed to all
5:39 consumers quickly becoming a favorite of
5:42 European children in mckille's masterful
5:43 stroke of giving the name worldwide
5:47 appeal opened up new markets in 1983 he
5:49 exported the product to the United
5:51 States which launched it it into a
5:54 global sensation mckelley saw the
5:56 success of Nutella but had no intentions
6:00 of slowing down in 1968 he created a
6:02 product marketed exclusively to Children
6:05 calling it Kinder which means children
6:08 in German Michele had already expanded
6:10 production to Germany and had confidence
6:12 that he could appeal to the Market's
6:15 tastes he was right Kinder was a more
6:17 traditional confectionary than Nutella
6:20 or Ferrero Rocher but the specific
6:22 combination of milk chocolate sugar milk
6:25 powder and cocoa put it A Step Above the
6:27 Rest the brand has gone on to release a
6:29 range of different products including
6:31 Kinder Surprise egg shaped chocolate
6:34 encasing a small toy Kinder Bueno wafer
6:38 sticks Kinder Maxi King ice creams and
6:40 dozens more the Target demographic
6:43 continues to be children mckelley's
6:45 genius was in his marketing he was able
6:47 to keep a squeaky clean luxury image for
6:49 the company all the while launching
6:50 different products for different
6:53 different markets segmenting each with
6:55 its own brand and just over three
6:58 decades after inheriting his father's
7:01 business he was ready to unveil his masterpiece
7:03 masterpiece
7:07 in 1979 mckelley introduced the world to
7:09 a chocolate that has become one of the
7:12 most sought after in the world its
7:15 Inception was semi-religious McKelly
7:18 took the name Roche from The Grotto
7:20 where a saint once reported a vision of
7:22 the Virgin Mary mckelley traveled to
7:25 Roche de mesopiel in Lord in southern
7:27 France as a pilgrimage he was so
7:30 inspired that he coined the name Ferrero
7:32 Rocher for his new chocolate and
7:34 continued to visit Lord for the rest of
7:37 his life the profound meaning behind the
7:40 chocolate is matched by its ingenious
7:43 composition Ferrero Rocher is made up of
7:45 three layers a full crunchy hazelnut
7:48 which is dipped in Nutella and then
7:50 wrapped in a wafer shell topped with
7:52 chocolate and roasted hazelnut pieces
7:54 but the candy has also become famous for
7:57 its fourth layer the packaging each
8:00 piece is wrapped in gold foil glued to a
8:02 paper cup and stamped with the brand
8:04 name this aesthetic makes set a pseudo
8:07 high-end product loosely associated with
8:10 wealth and decadence the packaging has
8:12 become so distinctive that plastic boxes
8:15 or displays are always made as clear as
8:17 possible to emphasize the gold wrapping
8:19 they have become Staples of Celebration
8:22 more than half of Ferrero Rocher's sales
8:24 occur in the last three months of the
8:26 year in the lead-up to Christmas and New
8:29 Year's Eve and there are now a variety
8:31 of different flavors too McKelly
8:33 continued to aggressively globalize both
8:36 sales and production spreading ferrero's
8:38 products spread to the rest of the world
8:40 he Diversified the sourcing of raw
8:43 materials and built up eight factories
8:46 across five continents along with sales offices
8:51 McKelly Ferrero stared his father's
8:54 Chocolate Company into worldwide success
8:56 by fiercely protecting the company's
8:59 image he did this by segmenting the
9:01 company into distinct Brands Ferrero
9:03 Rocher was a product of decadence and
9:06 prosperity Kinder was marketed for
9:09 children and Nutella was an all-purpose
9:11 General product the company has remained
9:13 politically neutral and rarely offers
9:15 sponsorship deals mckelley's connection
9:18 to his roots never wavered either he
9:20 funded the expansion of bus lines to
9:22 draw workers in from further in the
9:24 countryside and funded a variety of
9:26 social programs keeping a local
9:28 population of workers who were embedded
9:30 in the community as much as mckilley
9:32 himself is why there has never been a
9:35 strike at the Ferrero Factory in just a
9:37 few years after releasing Ferrero Rocher
9:40 he established the Ferrero foundation in
9:43 his hometown of Alba which features a
9:46 kindergarten a school a bar workshops
9:48 Fitness rooms and even medical
9:51 facilities the building is available to
9:52 employees who have spent more than 25
9:58 the Ferrero company remains in the
10:01 family to this day after mckelley's
10:03 passing his son's Giovanni and Pietro
10:06 named after his father and uncle took
10:09 over the company in 2019 the Ferrero
10:11 group had over 11 billion dollars in
10:15 annual revenue and in 2018 purchased 2.8
10:17 billion dollars worth of businesses from
10:20 Nestle its largest competitor to deeper
10:22 entrench its hold on the global Food
10:25 Market Ferrero is the largest buyer of
10:27 hazelnuts in the world as a staple of
10:29 their major products Ferrero consumes
10:32 around 25 percent of the entire Global
10:34 Production of hazelnuts McKelly
10:37 ferrero's lasting impact is felt best in
10:39 his hometown of Alba which was once a
10:42 barn cultural Community now one-fifth of
10:44 the population is now employed by
10:46 Ferrero while the headquarters of the
10:49 global Empire remains in nearby Turin
10:52 when mikeli Ferrero died in 2015. he was
10:55 the richest man in Italy with a net
10:58 worth of around 20 55 billion dollars
11:00 his obituary in Forbes Magazine
11:02 attributed his wealth simply to
11:05 chocolates and there was a statue of him
11:08 in Alba cementing his place as the king
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