Spanx Case Study

Spanx Case Study

Can you imagine turning your business into a $150 million dollar a year company based on a simple idea?

From Bright Idea to Reality.

Sara Blakely had originally hoped to be a trial attorney, before failing the LSAT. She then went on to selling fax machines and office copiers door-to-door for seven years — before she had an idea for a clothing line that would transform her life story from a failure at becoming an attorney, to a sales representative, to a successful entrepreneur.

Starting with $5,000, Sara Blakely, ultimately became a multi-millionaire, with a figure-slimming product called Spanx. The idea for Spanx came from her own dissatisfaction for how her "back side" looked in white pants. Interestingly, she cut the feet off of some control-top pantyhose and discovered that she had solved a real undergarment issue — eliminating "visible panty-lines," and slimming her figure at the same time.

Not the first to think of cutting the feet off of pantyhose, there was one difference, however, between Sara and all the other women who had done this before. For years, Sarah had been looking for a way to work for herself. With a desire to create a business on her own, she saw her new "invention" as an opportunity to make her dream come true. She turned the solution to her personal problem into a business solution for many other women.

For months, Sarah researched hosiery manufacturers on the internet and made several calls. Taking a week off of work, she drove around North Carolina begging mill owners to help with her idea. They always asked the same three questions: "And you are?" "And you are representing?" "And you are financially backed by?" When she answered all three questions, most of them sent her away, not to mention they thought the idea "made no sense, and would never sell."

Two weeks later, she received a call from a mill owner who "decided to help me with my crazy idea." When asked why he had the change of heart, he said, "I have two daughters." Turns out they didn't think the idea was crazy at all.

Working on a tight budget, Sarah did everything herself at first. She patented the idea, came up with the business name and trademarked it with nothing more than her credit card.

Even with a promotional boost from Oprah, who recommended Spanx to her audience, the first two years of business were filled with self-doubt and discouragement for Sarah. At that time, Sarah was running a typical small business enterprise by performing all the duties of promotion, selling, organizing, packing and shipping out of her little apartment.

Fortunately, Spanx was profitable since the first month in business. This allowed Sarah to never take any outside money, and religiously invested all of her profits back into the company. Now, Blakely owns and runs an undergarment empire that now employees over 100 employees. The Spanx brand now offers more than 200 products in 20 countries.

Sara has said in an interview after her success became public knowledge through Oprah, that failure was a huge part of her success. She explains it this way: "Because I failed the LSAT, I found an opportunity to do something different... that became something better. Basically, if I had not failed, I'd have become a lawyer and there would be no Spanx today. I think failure is nothing more than life's way of nudging you that you are off course. So in essence, I did not really fail. I just figured out a different way to succeed! My attitude to failure is not attached to outcome, but in not trying. It is liberating. Most people attach failure to something not working out or how people perceive them. This way, it is about answering to yourself."

All you wanna-be entrepreneurs out there who think it is too hard, take heart! If Sara Blakely can do it, you can too!

Solid Gold Performance...

It means Playing To WIN at every stage of the game. Sara has an unfailing Attitude and Belief that she will succeed. She has the Determination to master every skill necessary to prove she can succeed — no matter how many times she has to try.

How Did Whole Foods Become a Gold Mine? By Superior:

Financial...     Marketing...     Business Cycle Management...

Click on Function... Insert a Do It in your Strategic Plan... then Just DO IT!

Your Thoughts and Observations...

 
 
 
 
 
"I am not going to NOT do something because of fear. I am NOT going to let fear limit me." ~ Sara Blakely.