Independent Clothing Lines...Rick Owens Waffle Irons...Buying The Rolodex...

Marcus, how are you?

Hey, Chris, how's it going?

Welcome to the big show. By the way, everybody, the number is 8337 Whisperer, if you want to call in. So tell me a little bit, Marcus. What is your business and what is your question?

So my question? Well, my business first, I have a clothing line I started in Chicago a few years ago. And I'm basically asking. I'm just trying to figure out, I guess, how to scale my business a little larger. I've been able to, you know, create a good amount of work. I've had a lot of fashion shows. I have my little niche. I definitely have supporters that buy my stuff, but I'm kind of ready to get to that next step, I guess.

Okay, what, where, what are you doing in sales a month right now? Well, are most of your sales direct to consumer or wholesale?

All direct to consumer. And it's basically the way that I usually have. Have been doing the best is when I create stuff, I do an event and I sell the stuff from that event. So it's not. I'm not really generating a ton of money just online every month unless I'm pushing some type of new thing that I'm doing, if that makes sense.

Yeah. And so how much, how much are you doing in revenue right now, a month on average?

It's a little hard to say only because I'm usually doing these events probably more like once a quarter. And so whatever I kind of create for those fashion shows or those pop ups, I'll do it and I'll sell it. But then the rest of the month, I'm not super focused on trying to sell stuff all month long.

Yes.

So in a quarter, how much do you do in revenue then?

I would say just a few grand.

So a couple grand. And how much of that comes from the events and how much is from online?

I would say 80%, probably from the events, and 20% online.

And who's our target with, with these clothes? Is it men, women?

It's unisex.

Unisex. And what's the age demographic? What's the profile of your basic customer at the events that's buying your clothes? What do they do look like?

I definitely have a pretty, pretty wide range in audience, but I would say, you know, 23 to 33, probably an average demographic. If there was industry people, artists, creatives.

If there was a department store or a clothing store that you think would sell your clothes, who would it be or who would they be? Doesn't have to be one.

You know, like the cool local boutique on the probably in Venice or something that, you know, cares about where clothes are coming from.

But no national chains.

I mean, ideally, like, it'd be cool to be in a store like, like Barney's or, you know, an upscale, you know, store like that.

As long as I can do it my way, I'm with it.

What does your way mean?

I just, I source, you know, organic. Organic and sustainable, you know, materials. I make everything in America. It's all made in Chicago.

Okay.

So sometimes it's a little bit hard because you know, where my price points are at. You know, obviously, usually wholesalers get, you know, 50% of whatever your price point is.

Yeah. So where are your price points?

You know, average T shirt, you know, not that much, 30, 35 bucks. Some of my cut and sew items go up to. Probably the most expensive item I have is like 220. And that's like a really dope jacket. So not like, you know, above average or anything. It's not like a super high end brand.

What does it cost you to make the $30T shirt?

The $30T shirt? I mean, not much at all. Maybe seven bucks, eight bucks.

What's the $220 jacket cost to make?

Well, right now that one cost a little bit more, maybe around 65 to 70. Only because I'm getting them done in smaller quantities and I'm getting them made obviously in Chicago by, you know, smaller manufacturers. But I could ultimately get that number down as long as I would, you know, have a higher minimum.

So just on the psychology of the shirt, just walk me through how you came to the price of $30.

That's just kind of comparing, you know, what's going on in the market. Like, I definitely want to be, you know, higher than your normal walk into the mall, buy a t shirt for $20 store, like it should definitely be more than that. But I also don't want to sell $100 T shirts, you know, and try to be this like high end streetwear brand. I don't really, you know, understand $300 T shirts that well. So I would like for the normal everyday person to be able to support it.

Can the normal everyday person support a $40t shirt?

Oh, yeah, I think so.

Can they support a $50t shirt?

I mean, I think once you get into depending on the shirt itself. Right. Once you get into like trying to do above $50 T shirts, you're definitely looking at a little bit more of the hype. You're kind of buying into these brands. For the hype, which not all hype is bad per se, but it's.

I agree with what you're saying, but just to answer my question, 50, not over 50. I said 50.

Got you.

I mean, yeah, it's tough enough people would buy it.

So walk me back through your psychology of $30.

I feel you.

Because here's, here's, here's. The thing is we. This is a grand strategy you're asking me to help you with. Right? So this, the answer to the question you're asking me isn't one thing. And you have to position yourself in order to grow. And so mentally, as an entrepreneur and on paper, you have to position yourself to expand and to grow. And so you're gonna have to. You're gonna have to push the edges a little bit so you have the room to move. And it's. I would much rather wholesale a t shirt for 25 than for 14.

Yeah.

And I can't pay a salesperson at 14, but I can pay a salesperson at 25. And so I really don't. With the story you're telling, if you're telling a good story and it's made in America and it's sustainable and all of those things you're saying are true, people will pay $50 for that t shirt. It's not, you're not. I mean, I don't know, the most I've seen a T shirt for is like a thousand or something. And.

You'Re, you know, you're not, you're not that you're, you're not over a hundred dollars. But fifty bucks, with the story you're telling and having room to expand and grow, that's probably the, the place we need to be. And that jacket's probably closer to 375 or 400, but we need, we need some room to add some layers of expense. You're not going to expand without people. And with the revenue you're doing right now, you could expand really quick. You could grow really quick, but you're going to have to have more of a margin because nobody's going to want to come in and sell for you when their commission is that low. It just isn't going to work. So that makes sense. The first person on the bus, if I was you, is a salesperson. And they're selling, they're selling wholesale. They're going around to boutiques all over the country. These sales people I know here in la, they're everywhere and they sell different brands and they just, they have a Rolodex you're buying their Rolodex, but they have a Rolodex of, you know, boutiques. And they will get you in those boutiques if you're. If your stuff resonates and it's good and you're telling a good story, they'll get it in there. But you have to have the margin because what you're. And this. Just a little business question for you to see if you've thought this far ahead. What. What's your biggest problem when you. When you start selling a lot of clothes?

I don't.

I don't know if there's a big problem if I start selling a lot of clothes.

Oh.

I mean, I guess right now, currently, like, if I were to just start selling a ton of clothes, my biggest problem would just be to make sure I can get more done in time, more made in time. You know what I mean?

Well, are you welcome? Are you really wealthy? Do you have hundreds of thousands of dollars in the bank?

No.

What if Barney's comes to you and says, we want to order. We love your stuff. We want to order half a million dollars worth of clothes?

I mean, I would find somebody to fund me for sure.

Okay, well, that's. It's harder to do than it is to say, so just think that way. You got to have the margins to play. So.

Gotcha.

I would push up to that envelope of right where you're uncomfortable, but you know you're holding yourself back, and go another 10 bucks. So I said 30, and you were like, oh, no. And then 40. No, 50. You started, like, feeling like that was too much. So the price is 50 or 60, but you can start at 50, and you'll see how easy it is. And then I. I would. I would pack in 10 or 15% that you need to. You need to add a salesperson, and then your numbers will go quick. If your stuff resonates and people like it, good salespeople have a Rolodex. And maybe, maybe we don't call them sales people because they're kind of like reps or brokers in a weird way. I know they're all over here in la. Yeah. You know what I'm talking about with.

A couple reps. Yeah, absolutely. Yeah.

So, but you gotta have the margin showrooms downtown.

And, yeah, they'll have a bunch of brands and, you know, people come in and buy the, you know, the whole collection or whatever. So.

Yeah. So that's dope.

Yeah. Yeah, that makes sense. That makes. Yeah, that's good.

That's cool. Do you have a website with your clothes on them that we can go check out?

Yeah, for sure. It's Social Con clothing dot com.

Social Con, that's a good name.

Yeah, thank you. I just did a fashion show last week in Chicago so there's a temporary event page up on the website right now. But the line will be out next week. So definitely check back next week on there and you'll see the new site, the new line and everything.

Oh, that's awesome. Do you make. So you're making shirts, pants I assume, and then jackets?

Yeah, a little bit of pants, but yeah, all types of stuff. Hoodies, sweaters, jackets, just like a range of stuff.

Do you make shoes yet?

Nah, no shoes. Definitely something I'm interested in though, for sure.

Have you ever heard the story of Rick Owens making his shoes with the waffle iron? Because he couldn't afford to do the first batch, he couldn't afford the order, so he made the soles with a waffle iron his place.

That's so dope. I didn't know that, but I definitely know who Rick Owens is. He's dope.

Oh yeah, I wear a lot of Rick Owens. I'm a big fan of his. I just bought a pair of his boots from this season that are insane.

Have you been to the Rick Owens here in la?

No, I haven't.

It's freaky because he has in the dressing rooms, you can see it on my Instagram, I think. But in the dressing rooms he has these life size wax mannequins of him. But he's like got his, his like legs up, like his knees kind of by his ears, like in a very, it's very sexual kind of in a weird way. And then right on top of him is like the stool where you would sit. But it's so freaky because you feel like he's a real person in the dressing room. It's. It's nuts. Like it freaks me out every time I go in there to try something on. But that's cool because it makes you have an emotion.

Yeah, it's nuts. Well, I wish you the best of luck and keep us. Thanks Chris.

I really appreciate it.

Thanks Marcus. Have a great weekend.

I will for sure. Thanks, you too.