My sister just bought a hoodie for $190, which I thought was crazy expensive.
Turns out the company behind that hoodie makes $110M+ / yr with 70% margins.
This was wild to me so I had to dig in.
Here’s what I learned 🧵
Turns out the company behind that hoodie makes $110M+ / yr with 70% margins.
This was wild to me so I had to dig in.
Here’s what I learned 🧵
The company is called Aviator Nation and it was founded by Paige Mycoskie 14 years ago.
She built a 9-figure business without raising a dollar of outside capital.
Today she's worth somewhere between $350M - $600M.
Here’s how she did it:
She built a 9-figure business without raising a dollar of outside capital.
Today she's worth somewhere between $350M - $600M.
Here’s how she did it:
1/ BE YOUR OWN FIRST CUSTOMER
Like many entrepreneurs, Paige was first interested in solving a problem for herself.
She wanted to make her own clothes. So she bought a sewing machine and started taking apart thrift store shirts.
Like many entrepreneurs, Paige was first interested in solving a problem for herself.
She wanted to make her own clothes. So she bought a sewing machine and started taking apart thrift store shirts.
She then reassembled them with her own hand-stitched designs.
Paige wasn’t formally trained in sewing, so she stuck to simple designs, like individual stripes and sunbeams. She would just sew them onto the fabric.
Paige wasn’t formally trained in sewing, so she stuck to simple designs, like individual stripes and sunbeams. She would just sew them onto the fabric.
That aesthetic is still essentially what the brand looks like today.
While it’s not the fanciest look, people would stop and compliment her. They wanted to know where she got her clothes from.
That’s when she realized she should be selling this stuff.
While it’s not the fanciest look, people would stop and compliment her. They wanted to know where she got her clothes from.
That’s when she realized she should be selling this stuff.
2/ START SCRAPPY
In 2006, Paige rented a booth at a Venice Beach street fair.
She racked up $8,000 on that first day.
Now she had proof of concept. She decided to go all in.
She spent the next few years selling at local stores and trade shows.
In 2006, Paige rented a booth at a Venice Beach street fair.
She racked up $8,000 on that first day.
Now she had proof of concept. She decided to go all in.
She spent the next few years selling at local stores and trade shows.
In 2009, she scraped together enough money to open her first store in a building on Venice Beach.
Spoiler alert: she has since bought the building.
Spoiler alert: she has since bought the building.
3/ BUILD A CULT FOLLOWING
Aviator Nation is definitely not for everyone. Clothing is premium priced and the designs have a well-defined look.
You either love it or you hate it.
This worked to the company’s advantage.
Aviator Nation is definitely not for everyone. Clothing is premium priced and the designs have a well-defined look.
You either love it or you hate it.
This worked to the company’s advantage.
Between 2006 and 2020, Aviator Nation experienced strong growth and made Paige millions.
Then came covid-19.
Then came covid-19.
4/ TURN PROBLEMS INTO OPPORTUNITIES
Like most businesses, Aviator Nation was caught off guard in March 2020.
In a flash, all her stores had to shut down, putting her 300 employees in jeopardy.
Like most businesses, Aviator Nation was caught off guard in March 2020.
In a flash, all her stores had to shut down, putting her 300 employees in jeopardy.
Her next move was decisive: She called her head of e-commerce and told them to sell as much as possible immediately.
That day, Aviator Nation did $1.4M in online sales.
That was about 46X more than a typical day.
What happened next is legendary.
That day, Aviator Nation did $1.4M in online sales.
That was about 46X more than a typical day.
What happened next is legendary.
5/ FLOOD SOCIAL MEDIA WITH YOUR PRODUCT
With so much product going out the door at once and everyone stuck at home, Aviator Nation started to flood social media.
Instagram, TikTok, Snapchat.
They were everywhere.
With so much product going out the door at once and everyone stuck at home, Aviator Nation started to flood social media.
Instagram, TikTok, Snapchat.
They were everywhere.
That word-of-mouth amplified the brand like never before, catapulting them to a whole new level.
Today, Aviator Nation is bigger than ever.
Paige recently paid out her first shareholder dividend: $47.5M. As the only shareholder, she pocketed every dollar.
Today, Aviator Nation is bigger than ever.
Paige recently paid out her first shareholder dividend: $47.5M. As the only shareholder, she pocketed every dollar.
Not bad for a $500 investment.
If you enjoyed this, give me a follow!
I talk about #business #entrepreneurship and #growth.
And RT the tweet below to share this thread with your audience.
If you enjoyed this, give me a follow!
I talk about #business #entrepreneurship and #growth.
And RT the tweet below to share this thread with your audience.
https://twitter.com/61954599/status/1564252574798209024
If you enjoyed this, check out my podcast where I speak to interesting people about entrepreneurship, investing, and more.
podcasts.apple.com/ca/podcast/mak…
podcasts.apple.com/ca/podcast/mak…
• • •
Missing some Tweet in this thread? You can try to
force a refresh
