Recommended Resources

Okay, I’ve only ever listened to one podcast, but this is my favorite: NPR’s How I Built This.

First of all, I didn’t know how to play podcasts on my phone or which app to download. (I’m a little behind the times.) Turns out you can play this one for free from the Google Play Music app. Here’s the link.

In this podcast, entrepreneurs talk about how they built their companies and the movements that catapulted them into a well-known brand today. Guy Raz is an excellent host – practically reads my mind and asks nitty gritty questions about how they got from one point to the next.

The founders all started off as “normal” relatable people (sometimes just out of college or dropping out of college). But at some point, they unexpectedly stumbled upon a belief that people should have a certain product or service in their life. None of the founders realized how big their idea would get, which perhaps makes their stories more charming.

IN THE BEGINNING

They saw a small niche in the market and went after it with as much hustle as possible.

Kendra Scott started her jewelry business by taking some wire-wrapping classes at a local bead shop. She used $500 to buy initial supplies and created some jewelry pieces in the spare bedroom of her house. She went store-to-store in Austin trying to sell them, while carrying her son in a baby carrier. Eventually one of the stores agreed to place an order. She wasn’t sure if it was because they felt sorry for her and the baby!

Meanwhile, Alli Webb started DryBar after getting antsy with being a stay-at-home mom for 5 years. She asked the mom community in her neighborhood if anyone wanted a blowout. She would go to their house to do their hair. It was $40 because it was an easy amount – two $20 bills.

Kate Spade wanted to create a line of structured handbags that had clean, simple architectural shapes. In the beginning, she and her husband had a hard time buying materials to make the prototypes because fabric houses only sold in large bulk quantities of 100 yards. Hence, their first bag was made of burlap from a POTATO SACK company!

For her first meeting with a big buyer Neiman Marcus, Sara Blakely flew out to Dallas for a 10 minute meeting. When she realized that the woman was losing interest, she desperately asked, “Will you come with me to the bathroom? I want to show you something.” Sara ended up showing her the outfit without Spanx (shapewear to keep you slim), went into the stall to put Spanx on, and then came out. The buyer was shocked at the difference it made and was sold on the idea, right in the bathroom. I guess a business deal can happen anywhere.

WHAT TO CALL IT?

There are also funny tidbits like how they came up with the names of their companies.

Nolan Bushnell wanted start a family-friendly arcade place called Coyote Pizza. He thought he had bought a coyote costume, but it was actually a rat. (I guess they look somewhat similar?) That was a problem, so he suggested to change the name to Rick Rat’s Pizza. The marketing team thought that was a terrible idea, so they came up with a three-smile name: Chuck E. Cheese’s. 😀

Sara Blakely from Spanx wrote potential names on scrap pieces of paper, even on the back of rental car agreements because she was traveling so much. She wanted a name with a strong “k” sound because she heard from comedian friends that the “k” sound makes people laugh. (Does it?) Eventually, Sara chose the name Spanx because the word is both a little naughty and funny. The name also fits because her product is about making your butt look good. 😉

In Austin, John Mackey and his girlfriend Renee Lawson opened a natural food store called SaferWay (a pun on Safeway), which would go on to become Whole Foods Market.

THE ROLLERCOASTER

From the stories, I realized that running a business never gets easier. Even if the founders achieved a certain level of success (i.e. getting an item into a department store), new challenges kept cropping up.

In the beginning, Sara Blakely literally stood in the Neiman Marcus hosiery section every day to explain how to use Spanx to potential customers. She also gave money to friends of friends (even someone she hadn’t talked to since elementary school) to buy her products in the 7 initial cities where Neiman Marcus sold her product.

Kendra Scott fulfilled her first big order to Harold’s stores ($75k of jewelry) out of her home. It was finished on the dining table and UPS picked it up from her front doorstep.

John Mackey’s first Whole Foods store was doing well, but then the city got hit with the worst flood in 70 years. All the inventory and equipment were damaged. They had to borrow even more money to rebuild the store again.

Every day, they be hustlin’.

LEARNING

All the founders drew on their past experience – whether it was from working in a different business (Kendra Scott once owned a hat store) or at a big company as a little minion (Kate Spade was an accessories editor at Mademoiselle magazine). They were getting an education when they didn’t even know it. Hence, when they started their businesses, they had expertise but also a fresh perspective on the problem they were solving.

Most of them admit that they had no freaking idea what they were doing along the way. (I can relate to that!) They had to ramp up on business skills. Angie Hicks from Angie’s List (which maintains a list of recommended contractors in your neighborhood) even took a hiatus from her company to go back to business school.Others gained work experience from apprenticing under someone they really admired. All of them found someone to join forces with – like a husband, brother, mentor, or even the competitors down the street. And they all learned through sheer trial and error, some nearly going bankrupt in difficult times.

One story I especially liked was about celebrity chef José Andrés, who made the small plate (tapas) dining concept popular in the U.S. This guy had a crazy mentor whose way of teaching him on the fly included throwing a hot pan towards his head. If a hot pan was thrown at me, I would freeze and watch it hit the floor in slow motion. 😮

José found another invaluable mentor in Ferran Adrià who taught him some important life lessons. Those words also stuck with me that I decided to go back and transcribe it for you guys: “Don’t be afraid of trying and don’t take things for granted. You have to experience and discover things on your own. If you follow the teachings before you, you are only following what somebody else has done before you. You need not only to read and learn the theory, you need to discover on your own. That’s the moment of true learning.” SO DEEP! 

WRAP UP

All in all, it was fun to hear the stories of the brands that I know and love. Which brands? Well, let’s just say on my 22nd birthday, I went with friends to Chuck E. Cheese to celebrate. I loved it. Arcade games are the best. My friends were sure to squirt lots of hand sanitizer on their hands upon leaving the place.

Me having a blast

I also got my first Kate Spade bag as a birthday gift two years ago and was thrilled (see below). I have since been hooked, adding wallets and crossbody bags to my collection. Sigh, they’re too cute to resist.

Me being smitten with my bag

I have yet to wear Spanx, but as I look down at my love handles overflowing my jeans, it’s something I’m considering buying. 😉

Alright, so check out the NPR podcast if you’re interested. Enjoy!