#304: Building a Wholesale Brand that Caters to Small Businesses

Hey, you. It's time for episode number 304 with my girl Gentry, the founder of Crazy Train. If you've been around the boutique game or the western side of the boutique industry for any period of time, this is a name that's definitely going to resonate and a story that you have to hear. Let's talk about your business strategy and the juicy details of what actually works, from mainstream fashion to fashion on Main street and the entire ecosystem behind it. How do we scale your company and do it with the balance and the happiness that we all seek? Let's hear from those insiders, experts, and strategists that actually make it happen. I'm your host, Ashley Alderson from the Boutique Hub, and I can't wait to chat. All right, guys, welcome back to the show this week. I'm, I'm pretty pumped about this one because our guest today, Ms. Gentry, I. I have wanted to tell your story for such a long time. I feel like I've kind of like, stalkerish watched your business grow and watched you grow and evolve and go through ups and downs and like out of this crazy journey that you're on. Like, fittingly crazy journey for Crazy Train. So we're going to get into all the nitty gritty, but just to kind of lay the groundwork in case anyone doesn't know who you are quite yet. Real quick, tell me, when did you start in business? Where is it located? Obviously your wholesale and not retail and your wholesale like type. What products you particularly sell.

Right. So we got our start in 2013, fresh out of college. We were initially located in Amarillo, Texas, but it's since been moved to Stephenville, Texas. And wholesale. Yes, western niche, but definitely follow mainstream, mainstream trends. So that's Crazy Train, I guess, in a really short nutshell.

How many employees today? And then where's your showrooms? Or where do people typically find you.

When they want to shop?

Wholesale.

I've got 12 girls that are part of my extremely valuable team. Couldn't do it without them. And showrooms, we had one in Denver, but since WESA moved, we've since shut that one down and just focus all of our attention in Dallas. We've got one on the 14th floor on the western floor. Specific showroom number. I'd have to look it up for you, but we're. We're over by Gina T's and Weston Co down that back hallway. I love it.

So when I think about, I think about Crazy Train and I just, you know, your brand is vibrant and loud and New and you came into, you know, a pretty, I would, I would say, like set in their way type industry. And you came in fresh out of college, you blew some stuff up and just like made this a huge name for yourself. Take me back to what it was like to start this business and how you were called to this business and how you came and approached it so differently.

Honestly, there was a huge gap in the market and I think we saw that. I worked in a boutique in college and I definitely enjoyed that. I got a lot out of it while I was studying interior design and some different things. Obviously not clothing. The boutique world was extremely interesting to me. But like I said, there was a huge gap in the market. There was either really, really great expensive items or there was things from overseas that were lower quality. So bridging the gap between that first was kind of why Crazy Train was born. So we needed more Western influencing teas. We needed some things that, you know, your middle class woman was able to purchase and be able to afford. And then on top of that, I feel like when we entered the market, I do think maybe we shook the boat quite a bit. We broke open pre packs. We set a lower minimum for, you know, for owners to be able to buy our product. There's a lot of different things we played around with. While we might have made some, some people a little angry at us, we definitely stayed true to being, I guess, small business, more small business geared, like, geared towards that person. And so we based a lot of our decisions on that particular customer or that customer niche. And I think that's why we, we took off. So bridging the gap and, and changing some, some ways that things were kind of going, you know, really just made us who we are, I guess. So while it maybe came with some backlash, it also came with, you know, success and, and rock the world a little bit. So yeah, you know, what's so cool.

About that is change is hard, right. And great things don't happen when you're comfortable. And so I feel like there's always industry disruptors. Right. But when you look back at it, you really paved the way for a lot of people to change, you know, some terms or change their focus. And I think as a great example, just since we're speaking western, like I think about Ariat coming out with a boutique line, you know, like that's something unheard of. But boutiques have become so big, small business focus has become so big and, and you definitely had a hand in that. I want to break down specifically some of the Terms that you attacked right out of the gate. Because I think there's a lot of wholesalers that would love insight on this. So let's talk about pre packs because that's a big boutiques need, you know, more variety in choosing their pre packs because boutiques are so different, women's sizes are so different. How'd you come to land at the decision you're at and the results been when you give more flexibility and how do you deal with any inventory, like issues that might result from that?

So many things to cover in that one packed or several packed. Questions there. Yeah, it wasn't easy to blow open the pre pack. Obviously, you know, when you're manufacturing goods and you're pre packing, as long as you get rid of all your pre packs, you don't have any 3x on your shelf or smalls on your shelf, which may be, you know, the least sought after size for particular, you know, clients. Right. So learning to manufacture the right amount of inventory when your packs are open is extremely challenging. But it's taken us, you know, it probably took us a year, two years to kind of level out and see which one sold out first. So if we're out of mediums, that means that I needed to bump those up in production scale back on my smalls, adjust my extra larges. It's a learning curve for sure. But as you get a larger customer base, you're able to kind of scale it and make sure that it's, I guess, viable, but it's not impossible. So, you know, we're able to now kind of manufacture the correct quantities in order to make sure that we sell out of everything too. But yeah, there's still some products that'll, you know, leave us with 20, 20 smalls, but out of, you know, 1500. 1500, you know, run a 1500 that's not that big of a, you know. Oh, I guess in my mind. So definitely hard. But it's brought a lot of opportunities as far as success goes because you're able to, you're able to allow your customer to come back to you. So if they, you know, sell out of the one run that they bought from you and they learned that, heck, there's 10 more people that want mediums from me. I'm going to get 10 more mediums. So the rate at which they come back to visit you is great. Now they learn their own customers also. So if they've got older women or they do cater to a smaller preteen, they're not stuck with half a pack that didn't work for them. And so I think that brought a lot of people back to us in that sense. Also was, hey, I'm not gonna waste money on inventory in a pre pack. And I know for sure that I can make a, you know, valuable decision based on, you know, my own customer base. So it's almost like custom. It's like a custom custom pack that fits them. And I think. I think that's. It's really awesome. But it's. It's something that, you know, obviously took us time to. To get the learning curve figured out, too.

So, yeah, yeah, you're helping them definitely cut down on inventory waste. And like you said, you're building a strong repeat customer base.

I.

Part of my mind wants to, like, dive in and talk. Right. About inventory management in your systems. We'll come back to that in a minute. But I want to stay on the topic of terms because you also lowered minimums and kind of took a fresh approach to minimums. What was that strategy like for you?

Right. That came with a lot of pros and cons, I think. But as we kind of, you know, saw the sway change and saw the customers that were brought to us, obviously, you know, we adjusted. But the low minimum was really meant to take the gamble out of, you know, the initial shock of the first purchase. So I want the customer to be able to buy my product and be able to say, hey, this is quality. This is going to fit. This is, you know, worth the wholesale price that we're paying for it. Instead of saying, hey, you've got to spend, you know, 3,000 with me, and if it doesn't work out for you, that's. That's 3,000. Like, that's a. That's a big chunk to most small businesses. And so taking the gamble out of it was important. But then again, going back to that small customer, I mean, there's. There's people out there that got their start, I think, on crazy train. And we were able to make it possible for people not to, you know, go into extreme debt in order to start a small business. And in my opinion, you know, the small business is the backbone of this, this entire country. And so encouraging people to be able to do that without really going so far into debt that they're now just swimming in inventory that maybe didn't work out. The minimum was a good thing. Now, that came with cons, too. So, you know, being able to manage whether or not these people, you know, might have had taxi ID numbers yet were they personally buying. So we set Up a inside of our internal system where our website will basically flag an order if there's too many, say, mediums purchased from this one particular customer. Now then when the system flags you, we're able to go back and re. Verify, make sure that there's invoices, you know, are you sending this to your customer, et cetera, et cetera. So yeah, it does come with cons, but at the same time, you know, if you're able to combat those, then I think the low minimum still stands strong and still is able to help those small customers. So.

Yeah, how do you. I'm curious, as you flag them on that. What, what is your inventory management system?

So we use a. So a lot of people use like Shopify or you know, a website host of like that. We've used 3D cart since the beginning. And they're. It's similar, I guess, because it's. It's easy to kind of get started on it, but they're able to also program for you. So they have like, I guess a tech team that's able to come in and say, okay, you want a specific thing done, let's just have somebody code that for you and integrate it on top of your system, which I'm sure, you know, maybe somebody like Shopify or Square has that also. But yeah, as far as inventory management goes, it's all done through that same system. So we'll put in our inventory once we receive it, and then, you know, when we're out, we're out. We do like to have a cushion because in my mind since the beginning, there's always room for error. Sometimes we'll have hundreds of people on the website because there was a new release. So we have what we call a cushion. My manager, Shauna, will basically hold back some inventory for safekeeping once we release the product. After we've pulled all those orders, we'll go back in and put that cushion, I guess, so to speak, back online and a few lucky retailers will be able to snag it. But yeah, as far as inventory goes, all done by computer under our, our main website there. So.

Gotcha. All right. One, I would say hot topic in the industry is buy in groups. I could say buy in groups. I could say knockoffs, all of that. And I know that you, you've put your foot down with like MSRP and trying to manage and combat some of that. Um, give me your no holds bar opinion on that happening in our industry today.

Opinion. Yeah. So it's frustrating. It can be extremely frustrating. However, I do think that's, you know, something that we just have to adapt to. You know, like you said, we, we integrated our MSRP and that while some people might say that's crazy, how do you, how do you keep up with that? How do you police that? Our retailers police it for us and they, you know, have to turn people in if they see it because in turn, it's protecting them, it's protecting us, it's protecting the brand. And so, yeah, it's been difficult, but I think it's been successful. And so, yeah, we just, so our msrp, we just require that you double wholesale. We definitely encourage you to charge more, but in order to keep things a little simple, whatever you pay wholesale, we're going to require that you just double that. And it's for 30 days. So after that we kind of just say you're on your own. And, you know, we can't MSRP or make different rules for each product. So 30 days is kind of where we're comfortable with and that's where our policing, I guess, I guess ends. So anywho. Yeah, I definitely think that that particular buy in group, all that, it's, it's something that, you know, maybe as a community we can just keep continuing to, to adapt and come up with different ways to, you know, make sure that that doesn't hurt business and, and see what else there is. But as of now, that's the only thing I can come up with. So I'm open to, I'm open to hearing anybody else's suggestions also, because I know it can be extremely angering. So.

Yes, well, I think that's helpful. You know, I like that you said that your customers police it for you because really, I mean, we see the same thing in the hub. Everyone's trying to combat that same thing. And a lot can be done when we choose to work together to accomplish that goal. What about pre orders? I know you had mentioned, you know, that's just another thing that can be so touchy for wholesalers and so touchy for retailers. What's your thoughts on retailers taking pre orders with your product?

I. I don't like it. I think it's a gamble in itself. Sometimes we'll sell out of something within two hours. Sometimes it'll take 48 hours. Some things will, you know, stay and you take a couple of weeks. So pre orders, while we don't say that you can't, we highly frown upon it. And that's what I've told my customers from the get. You know, the minimum order is $50. In my mind, a $50 gamble is like having a $10 lunch bill for a week, right? So if, if you're not able to kind of gamble and get $50 worth of product, what are you really doing, girlfriend? Because I think on the flip side, as your customer, you know, these customers paying for their pre order, there's pre order nightmares that happen across the board. You know, sometimes product doesn't show up, sometimes product isn't what the picture looked like. Sometimes, sometimes, you know, product sells out, they're not able to get to it, and then in turn, you're making yourself have a bad name. And so customer service wise, from a customer standpoint, looking in, I just think it's a bad idea. I don't, I don't know that there's any benefit to it other than the risk of, you know, the money so not having to spend the money before you, you know, take the order, I guess. So that's really the only, only benefit. And so in my mind I'm like, well, if we took that part out of it, what else, you know, what else are you getting from a pre order? So, yeah, I could probably talk about that one for, for hours. But yeah, pre orders, because that was probably a big failure of ours.

Actually.

We, we took pre orders. We didn't take money for pre order, for the pre order. But back when we had our shoe idea, I want to say it was 14 or 15, 20, 15 maybe we come to come to get our shoes in containers worth, worth of sh. And they got held up at customs and we were, we were a month, two months behind. Well, our customers took pre orders and actually took money and they were mad at us, but there was nothing we could do. And so since then, pre orders have always had a bad taste in my mouth and I don't prefer them and I don't, I definitely don't think it's a good idea any which way. But I guess I understand why.

Maybe I laugh because I remember the shoe thing. And I swear I see that same situation unfold every month. You know, in the industry, I see someone else where it's a similar situation. A vendor does a pre order themselves, maybe they, they do take money. But even if you have the money, it's still a problem if the boutique owner is then taking the reorder because it's just one long line of disappointment. So I totally agree with that. I appreciate you mentioning, like, man, that was a, that was a failure. That was a lesson that we had to learn. What is something else, like, has Been a big lesson that you've had to learn, unfortunately, through the growth that you've had over the past eight years.

That was a huge one. That was. That was when I put my foot down and said I'm never ever taking a pre order, pre order again unless that product is. I don't know. But honestly, I've quit with pre orders myself. So you'll get to see stuff at market from us, but you won't. We'll actually already have it in stock. You're gonna get it pretty quickly. But another failure or another lesson. Shoot. I feel like there's so many little ones every day that you just take. And it's funny because I laugh. You know, we've been doing this for, I guess going on eight years now. Yeah, eight years. And we're still learning lessons. They might be smaller than the pre order one or the headache of that, but we learn lessons every day. Whether it's employees or, you know, adapting to the trends. That's probably the, the one that sticks out the most as you asked me that question is adapting. So not getting so stuck on maybe the serape pattern that's been selling out for you for the last couple months that you do so much serape that now you're stuck with it because they're tired of it. So adjusting and adapting to those trends and constantly learning is super important lesson that I've learned over the years because I have. I've tried to take one pattern and spread it out over almost everything I had. Did it work? Ish. But I. I know I won't do that again. I'll. I'll manipulate patterns and create something fresh because I think you have a better chance when that happens. But adapting. Adapting is a. Is a hard lesson to learn. I think sometimes.

Oh my goodness. Adapting. Tell me about. You know, a couple years ago, speaking of adapting, you were in a terrible, tragic accident that completely changed your life and how you approached your business. Talk about adapting. I mean, after having survived that and coming back to business, what was that time in your life like?

It was a dark place. I hate thinking about it, but it's necessary too, in order to grow. I guess from was tough. I mean, my physical capabilities were taken away from me and so in that in turn affected my mental stability. Thankfully, I still had a good team behind me that was able to keep me motivated to keep pushing. And so while I might have not been the happiest or even the most confident, there was still a drive there to not fail, I guess because when your world comes Crashing down. I think the worst thing you can do is make it worse by throwing in the towel, I guess. So at that point, while it might have been super hard, I had to keep going. Not only because I feel like my retailers were relying on me, but my team, my, my girls that, that work for me. So I think that's where I found my drive again and just buckled up and still made it a good year. I had to, yeah.

During that time, how long were you out and when you came back? I mean, I always use this analogy and I'm going to change it now to the COVID analogy inside of retail boot camp. I used to say the bus rule, right? Like if you just say you're, you're hit by a bus today, you're gone. Who runs your business? Where's everything at? Who knows what to do? And I mean today it could be you get Covid and you're quarantined and you, you can't run your business for you, you had to come back and your business had to operate without you for a period of time. Did that change how you look at systems and processes and what could be done without your hands in all of it?

I learned a lot of lessons there as far as delegating goes and making sure, of course it could be ran, you know, essentially without you. But I'll be the first to tell you, I was, I was out. I was in the hospital for nine days and then they sent me to an inhab or in, in house rehab facility for another month. So for a whole month I wasn't allowed to leave basically a hospital type facility. I was still checking emails and helping put through orders and kind of giving some commands. So in my mind, yeah, that was the point where I learned, hey, you know, at a certain point you've got to start making sure these girls can function without you for sure. But yeah, so, so since then I have definitely let up or at least, you know, allowed for, you know, other people and managers, things like that to take over. But only to a certain extent because that's probably something that I go back and forth on in my mind is if you completely 100% step out, sometimes the brains behind the business suffers and might not do as well. Because in my mind as the evolution of fashion, the trends that everything happens, your business has to evolve too. Anyhow, that's, that's probably another, you know, avenue we could go down and talk about forever. But essentially, yes, yeah, I do think, you know, making sure things are delegated properly etc, and that's still something I work on constantly. I mean, I still have things that I need to give up as I get closer to having the second kid, but it's a struggle, it's not easy. I'm obsessed with my business. Absolutely. And I think that sometimes is why we succeed in a way, but sometimes, you know, It's a catch 22 too. So.

Yeah. Tell me more about that though. I would love to hear what does it mean to lead your business and not just be a boss in your business? Like, are there specific systems or processes that you feel like you've implemented with your team that have really helped with that?

Right. I'm a super hands on kind of person. I've always been that way. And so in my mind, you know, if my, if my team hits a brick wall, I don't necessarily these days want to do it for them, but I do want to be included so that they learn and we learn together and we move forward so that in the future, if something similar was to happen, I think that builds on the fact of, you know, giving them responsibility, but also confidence as to what would Gentry do or how would Gentry have done it so that we're successful in the end in resolving those, you know, those speed bumps? I guess. Yeah, I think that answers that question.

Yeah, I think that's good. What is your normal. What's your normal week look like?

So I, that's something that I've realized lately. I've. I've put myself on a schedule which is sometimes, I don't know, routines to me make me want to throw up. I like, I like things that are, are new, fresh. I like challenges. I love, you know, the boat shaking. I guess I feel like that's where I thrive. But normally on a Monday I'll come in to the warehouse, make sure everything's running smoothly, pick out the, the next day's release. Sometimes I'm ahead a few weeks, but normally my mind's changing because I learned from the week previous kind of what people were hitting on. So I'm gonna pick out, you know, the things that I think will be really hot this week or fit their, you know, fit their demands. And then Tuesday we'll do our release. We'll make sure everything goes smoothly, get with the marketing girls and make sure the emails are going out, etc. Etc. Kind of overseeing Wednesday here. Lately I've, I've taken a personal days so I'm scheduled my doctor's appointments or at least work from home and do, you know, more quiet things. Thursdays and Fridays are always up in the air of. Of what happens then. Are we working on, you know, more. More designs? Are we. Are we learning? Are we efficiency, making sure some of our system processes are working good? Are we, you know, meeting with employees, you know, things of that nature? I really do, though, like, a week schedule is. Is all over the place sometimes for me, and I. I thrive on that. So doing something different each week is. Is important, I think, as far as. As far as I go.

So, you know, it's funny because I feel like in this industry there's. Well, for. For boutique owners anyway, I would say there's an art side of the brain and a science side of the brain. And I think to thrive in the environment that you're in, being a creative, like how your week has to have an element of spontaneity to it, or you would probably be bored to death with that process.

Well, it is funny because I think my retailers have caught on to that. I think sometimes they're like, okay, we never know what she's gonna throw at us or is she gonna drop, you know, something surprise. And I think they get a. You know, they get a kick out of that too. And so it keeps it fresh on both ends sometimes. Yeah.

Thinking about your relationship with your retailers, you're one of the first wholesalers that I remember really engaging your customers the way that you did. You know, now it's. We talk about this every single day. The importance of authenticity and having a personal brand and, you know, such a, you know, personal relationship with your customers via video. That's something I feel like you've done really well all along. How has that evolved for you, that personal relationship with your customers?

I don't know. I feel like. I feel like it's just kind of come natural. I've wanted to know them, you know, since the beginning. I've been to most every market. It's almost here recently where, you know, I was like, okay, I've gotta. I've gotta delegate some stuff out. Margins can be, you know, extremely exhausting, especially when you're pregnant. But so to speak, I think. I think making sure you have relationships with your customers, whether it be retail customers or wholesale customers, is important because there is such thing as loyalty and, I guess, validation in the purchase. So supporting small goes. I think there's a bigger picture there. I think knowing who you're buying from is something that we're hungry for. So I know sometimes I'll get caught up in it, too. Seeing an ad and knowing who built that company or who you know, who started it, was it a child, was it, you know, a single mom, was it a veteran, etc. I think really helps solidify your purchase. So in my mind, I think, you know, allowing myself to have those relationships now, some of these women I've never actually been able to meet in person, and I still feel like we're, you know, essentially friends or at least, you know, but maybe it's because. Maybe it's because we go live. Maybe it's because they're able to see my personality outside of, you know, a strict business like sense. So that's definitely something. I think some of our social media has broken down as far as walls go. And, And I'm thankful for it. I think it's. I think it's awesome. Absolutely.

So two quick questions for you as you think about all the ups and downs and lessons that you've learned, both from your own business perspective, but then also watching all of your customers and seeing them grow with you. Two questions. The first is for anyone that's a wholesaler that's listening. What is the, you know, the best piece of advice you could give them today on, hey, if you want to build a brand that lasts and that customers love and that does maybe rock the boat a little bit, what would you do? What's the piece of advice you'd give them?

Man, just set yourself apart. Don't be afraid to, like you said, shake the boat. Do something different, you know, stretch the limits. I guess in my mind, like, just don't be scared. You. You've gotta. You gotta take the risk, I guess, which I think is. Is important.

All right, from the retailer perspective, as you've watched all these boutiques grow and flourish, what do you feel like is the one thing that the most successful boutiques you work with have in common that you would tell everyone about today?

Oh, there's like 10 that I can count on my fingers. But our boss, boss, women, man. And what's funny is they all run their businesses a little different via social media. While one might heavily use Instagram and one heavily uses her Facebook group, I see another one killing it in the ads, you know, Facebook ads program. Right. Or there's another one that's doing lives. Well, I see, though, that they all have in common is they, they are relentless. They will not give up, and they're confident in themselves. You know, they'll buy a lot of clothing and they'll push it, they'll hustle, and they won't give up. Now, as far as their secrets go, I'M not sure what they are, but I do know the one thing they all have in common is that they're confident and they're hustlers. They're adapting to all the changes in social media and they're running with it. It. They're absolutely running with it. Perfect.

Well, Gentry, I want to just give you thanks for joining me on the podcast today and for sharing some insights and your ups and downs and high flows and thoughts on rocking the boat in your industry. I do have one more question if you're cool with it. I know you're. You're a busy boy. Mom, right? You've got one already. You got one on the way. And I've seen the pictures of this lake house that you have, this renovated and great freaking.

Thank you.

And as I think about you just like continuing to grow and mature in your business, fast forward 30 years, you're at the lake house with your kids and now with your grandkids and you're looking back and you're like telling them the story of crazy train and this crazy thing that you built and the life that you lived. What's the thing that you want them to remember most about you and everything that you built, accomplished, and who you really were?

Don't let your failures be. Be the end of you. Adapt, overcome, and keep hustling. Because I think the people that give up are the ones that obviously aren't going to succeed. So I think just that's what I want my kids to know. Like, you literally can do anything you put your mind to as long as you're willing to be mindful of adapting and changing the ways, breaking the norms to make it work. There's endless opportunities out there and sometimes it just takes change to success.

Perfect. Well, Gentry, thanks again for coming on the show today and for all that you're doing. Best of luck with this new adventure you have in your belly and we can't wait to hear all about it and to see what you do next.

Thank you. Thank you. I appreciate it. Thanks for having me.

So many of you guys have been asking questions on the daily about Instagram. And in the last couple of weeks of the podcast, we've shared Instagram tips and downloads and ideas. And this week I'm so excited to take it one step further because it is finally time in Our Instagram Ignite Masterclass is now live for anyone who is a boutique owner, product maker, creative wholesale brand, or someone who's just ready to grow the gram if you have a product to sell and people who need to see it this week in the Show Notes. Click on the link to learn more about the Instagram Ignite Masterclass, built by retailers for retailers that walks you through everything you need to know about all of the updates that have happened to the platform and how to use it, how to create and manage and batch engaging content that's actually going to drive engagement, traffic, relationships and sales. And finally, how to grow the platform. Everything from the 531 method to the $80 method and what it takes to grow organically in a way your customers hang around for a long period of time, not just someone who's going to jump on with a loop giveaway and jump off tomorrow. It's so much deeper than that, guys. If you're ready to be serious about growing your Instagram, check out this week's Show Notes for a link to the Instagram Ignite Masterclass. Hey guys, thank you so much for listening to this episode. We hope that you loved it. Don't forget to hit subscribe and leave a rating and review down below for a chance to be one of our featured listeners each and every week. For more information on our spirit of community over competition and how to access complete show notes and bonus downloads from our guests, head on over to the boutiquehub.com and join the community. We'll see you next week.