Inspiring Conversations with Andrew Gauthier of Groovy Donuts

Today we’d like to introduce you to Andrew Gauthier

Alright, so thank you so much for sharing your story and insight with our readers. To kick things off, can you tell us a bit about how you got started?
I founded Groovy Donuts in March of 2015. In June of that year, Monica Lucas (now Monica Gauthier – wife) joined the team to help prepare for a September Grand Opening.

Groovy Donuts has been an award winning donut shop since Spring 2016, earning its first Top 5 ranking in Lansing City Pulse’s “Top of the Town” competition (Groovy Donuts has earned a Top 3 spot in the Best Doughnuts category every year since). By September of 2016, Groovy Donuts had expanded to a second location in East Lansing, nearly tripling revenues and staff.

In June 2017, I was named “Rising Micro Entrepreneur” at the Entrepreneur Institute of Mid Michigan’s Annual Luncheon. Since, Groovy Donuts has received many commendations, including: 2018 Donut and Beer Fest 2nd Place (People’s Choice), 2018 & 2019 Holes and Hops Best Pairing, 2019 Donut and Beer Fest 2nd Place (Judge’s Choice), 2022 Donut and Beer Fest Best 1st Place (People’s Choice), 2023 Donut and Beer Fest 2nd Place (People’s Choice). Groovy Donuts was voted “Best Doughnuts in the Lansing Area” and named “One of the Best Doughnut Shops in Michigan” and “Most Inclusive” in mlive.com’s 2020 Best Doughnut Competition. Groovy Donuts is also listed on numerous publications’ “Best Donuts in Michigan” Top-5 and Top-10 lists.

Most recently, Groovy Donuts has enjoyed 4 straight years of profitability and was named SBDC Capital Region Best Small Business at the 2023 Michigan Celebrates Small Business Gala. I was also recognized as a rising business leader winning one of Lansing’s “10 Over the Next Ten” Award. Finally, Groovy Donuts Co-Owners, Andrew and Monica Gauthier, were named Entrepreneurs of the Year at the 2023 Greater Lansing Entrepreneurial Awards.

Monica and I currently sit on the Leadership Council of the Small Business Association of Michigan. This summer, I joined the Leadership Council Advisory Committee and Monica (co-owner) has joined the SBAM Board of Directors.

Alright, so let’s dig a little deeper into the story – has it been an easy path overall and if not, what were the challenges you’ve had to overcome?
I think it’s fair to say it’s been a bumpy road from the very start. Understanding how business works, drawing up plans and securing financing is one thing…operating a foodservice business can be quite another. The first bump in the road for us was navigating the challenges of relying on family help – my father and step mom were on the team during our Grand Opening and first couple weeks. They decided to quit a mere 3 weeks in, leaving myself and my girlfriend (now wife and co-owner) to figure it out on our own – working days starting at 2am and ending close to 6pm or later.

The next major challenge was opening a 2nd location. This nearly tripled the staff, customer base and our workload. I don’t think we totally realized how much of the business’s daily functions we just did ourselves at the original location. The tricky part when you add a location is you can’t be in both places all the time. Learning to hire, train and delegate effectively was a tough process, but we’ve done every single job in the business and can train just about anyone to do them now!

Finally, COVID and the resulting difficult economic challenges (inflation, supply chain issues, etc) and job market have been a struggle for all small businesses over the past 3+ years. We’ve had to raise our prices more over the past 3 years the the prior 6 just to keep pace with economic conditions. That isn’t to mention the health and safety aspect of things which came at a financial to the business and emotional cost to us and many of our staff. We did our best to remain in compliance with State and Federal Laws and regulations – many of which lots of our customers disagreed with, creating tension in some cases and threats of never returning in others. We are still dealing with supply chain issues with many of our ingredients, along with the financial impact of COVID on the economy and people’s buying habits.

Thanks for sharing that. So, maybe next you can tell us a bit more about your business?
We serve award winning, hand crafted donuts and locally roasted coffee at locations in East Lansing in Williamston Michigan.

What sets up apart and makes our donuts Groovy, is that we put a massive emphasis on freshness and quality ingredients. That means our donuts are baked during the midnight shift, so they’ll be fresh when you come in first thing in the morning. Many donut shops and chains bake the afternoon or evening before. It may not seem like much, but that 8-12 hour difference, can really affect the flavor and texture of the donut. It may be tougher for us to hire, train and retain staff for those shifts, but it’s worth the extra effort and expense to serve a donut that is truly fresh!

We’re also very proud of our brand and company values. We view donut shops as a retro concept and married that with our love of the music and attitude of the 60’s and 70’s. We always have our radios tuned to old school jams, while serving up fresh, delicious donuts in a fun, inviting atmosphere. And, we support our community through delivering Free Donuts to Teachers in East Lansing and Williamston Schools (districts our businesses reside in) during Teacher Appreciation Week, weekly donations to Child and Family Charities, Saturday Morning Breakfast Outreach, Punks with Lunch and many others.

Groovy Donuts has also donated donuts, gift certificates, merchandise and more to countless fundraisers for local non-profits, like: Capital Area Humane Society, East Lansing and Williamston School Districts, Local Boy and Girl Scout Troops and others.

In addition to donations and fundraisers, Groovy Donuts co-owners have personally given their time to the community by participating in events like Monica’s participation in Friends of Williamston Parks clean up and playset building events. Andrew has volunteered his time as a guest speaker for several MSU Broad College of Business Courses, along with acting as a mentor for the Broad Wisdom Project.

Groovy Donuts has participated in many local events aimed at raising the profile of the Lansing Area (food, in particular). This includes spearheading and sitting on the Board of Directors for the Holes and Hops Donut and Beer Festival in 2018 and 2019, hosted by the Lansing Lugnuts. This event was developed by Andrew as an effort to raise awareness for local bakeries and breweries. Groovy Donuts’ co-owners spent hundreds of hours in 2018 and 2019 to organize and recruit participants for these events.

We are constantly striving to live up to our Core Values of: Spreading Joy, Building Community and Feeling Groovy!

What do you like best about our city? What do you like least?
The Lansing Area is a great place to live and run a business. In recent years, the food and local events scene has improved substantially. There is pretty much always something you can do. You’re a 20-30 minute drive from anything you could ever want. And, you’re 2.5 hours from Lake Michigan, 3-4 hours from “up north” and less than 2 hours from Detroit.

Contact Info:

• Website: https://groovydonuts.com
• Instagram: https://www.instagram.com/groovydonuts
• Facebook: https://www.facebook.com/groovydonuts
• Twitter: https://x.com/groovy_donuts
• Yelp: https://www.yelp.com/biz/groovy-donuts-east-lansing
• Other: https://www.yelp.com/biz/groovy-donuts