Thread by @moizali

I started Native Deodorant by actually buying deodorant sold on Etsy and then white-labeling it.

I don’t talk about this story often, but I think it is a good example of how scrappy entrepreneurs can be, and so wanted to share it.

Here’s the story:
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1. A lot of people ask me how we made the first bar of Native Deodorant. The truth is I went on Etsy and bought a bunch of natural deodorants that were for sale there. Some were great, and some were terrible.

2. I contacted the makers of the good ones and asked them to white-label their product for me, meaning I asked them to make their product but put the Native label on it. Most said no, but one woman said yes.

3. At the time, she was selling her own deodorant on Etsy and in farmer’s markets. She made deodorant in the hobby room of her home with an assistant. For the first five months we existed, she made every bar of Native Deodorant.

4.1 Why did I use Etsy to find a manufacturer?

First, MOQs or minimum order quantities. Manufacturers of personal care products will make a product for you, but they won’t make less than 5K or 10K because it’s not economically viable. On Etsy, my MOQ was 100, instead of 10K.

4.2 Why Etsy?

Lower MOQs means a much cheaper upfront investment. I only had to buy 100 units to test my idea, rather than 10K. The downside is you pay a higher cost per unit, but I was willing to make that tradeoff.

5. Why Etsy?

Second, speed. A professional manufacturer will take 4-6 months to get your first order produced. They have machines reserved for other clients, and a work list of things to do before you. On Etsy, you can order today and have your product made next week.

6.1 Why Etsy?

Third, credibility. I can basically talk to any manufacturer now, because I’ve got the credibility of someone who can start a business and scale it. In 2015, I didn't have that. Most manufacturers wouldn't waste their time with me.

6.2 Why Etsy?

On Etsy though, that isn't the case. While some sellers still didn't get back to me, some did because even a $1K order for them was meaningful.

7.1 What were the downsides of Etsy?

First, scale. We had to switch to a larger manufacturer pretty quickly because the woman in her hobby room couldn't keep up.

PS. If you're making deodorant at scale, DM me and I can help you.

7.2 What were the downsides of Etsy?

Second, science. The formula we made with her wasn’t great, and we changed our formula pretty quickly once we had better chemists working with us.

7.3 What were the downsides of Etsy?

Third, costs. The costs were crazy. We paid $5.00 per bar of deodorant, and that doesn’t even include the plastic housing for the deo or the label. Our initial costs for each stick were over $6, which meant I could buy Old Spice for cheaper.

8. We launched Native on Product Hunt in July 2015, and while we had lined up the manufacturer, we actually didn’t have any product in hand. Once we sold 60 units, we placed our first order for 100 and the rest is history!

9. If you enjoyed this tweet, please:

A. Follow me @moizali. I talk about eCommerce + deodorant a lot

B. Retweet the first tweet in this thread!

C. Let me know if I can answer any questions about this :)

10. Since a bunch of people are upset, let me add some more context lest you judge without facts:

The Etsy seller wanted out. She said she didn't want to make product for us long term, but would sell us her formula and work for a few more months until we found a new supplier.

11. We took her up on that offer. We purchased her formula from her + found someone else to make deodorant for us + then changed the formula within a few months.

She sent me a gift basket to thank me for our relationship when it ended.

12. I last spoke with her about a year ago, and she's since scaled up manufacturing for third parties rather than running a consumer facing business.

She's a wonderful person, and I wish her a ton of luck. I think she'd wish me the same!