Knix founder Joanna Griffiths shares her journey of transitioning from a wholesale model to a successful DTC brand, driven by a commitment to size inclusivity. She discusses the challenges of cutting revenue to build a direct relationship with customers and how this foresight positioned Knix for significant growth, especially during the pandemic. This episode offers valuable lessons on brand building, strategic pivots, and the creation of "legacy brands" in the modern retail landscape.
Key takeaways
Prioritize brand values (like size inclusivity) even if it means short-term revenue loss; Knix's pivot to DTC for this reason ultimately led to greater success and brand integrity.
Be prepared to make "scary decisions" like significantly cutting revenue to fundamentally change your business model if it aligns with long-term vision and market shifts.
Recognize that early adoption of DTC, even if painful, can create a strong foundation that pays off immensely during market disruptions (e.g., pandemic-driven e-commerce boom).
Focus on product categories that align with evolving consumer needs; Knix's success with wireless bras and loungewear during social distancing highlights this strategy.
Understand that "the next legacy brands are being created in real time" by prioritizing authenticity, customer-centricity, and adaptability over traditional retail models.
Womenswear brand Knix has already gone through the painful transition to DTC that other clothing companies are being forced into during the pandemic.
"I feel for those brands," Knix CEO Joanna Griffiths said on the Glossy Podcast. "But I also know that it's possible."
Griffiths founded the company in 2013 to make and market leakproof underwear. At the time, the business model was entirely about wholesale. "I did trunk shows at every Equinox location in the United States, I think," Griffiths said.
But in the 2016, she decided to pull out of more than 700 retail locations across North America and shift to direct-to-consumer, out of a concern for size inclusivity. "A lot of the traditional retailers wouldn’t carry our size assortment," Griffiths has previously told Glossy. On the podcast, she described it as a "really scary decision" to "basically cut our revenue in more than half and start over," she said.
That decision is panning out. This past May, sales were up 135% year-over-year, in part thanks to Knix's categories -- wireless bras and loungewear -- being in high demand in an age of social distancing.
Prioritize brand values (like size inclusivity) even if it means short-term revenue loss; Knix's pivot to DTC for this reason ultimately led to greater success and brand integrity.
What does this episode say about brand & content?
Be prepared to make "scary decisions" like significantly cutting revenue to fundamentally change your business model if it aligns with long-term vision and market shifts.
What does this episode say about founder & leadership?
Recognize that early adoption of DTC, even if painful, can create a strong foundation that pays off immensely during market disruptions (e.g., pandemic-driven e-commerce boom).
What does this episode say about retail & omnichannel?
Focus on product categories that align with evolving consumer needs; Knix's success with wireless bras and loungewear during social distancing highlights this strategy.
What does this episode say about dtc strategy?
Understand that "the next legacy brands are being created in real time" by prioritizing authenticity, customer-centricity, and adaptability over traditional retail models.
