Joe Kudla, Founder of Vuori, built a 4-billion-dollar company on the risky idea that men cared about the clothes they worked out in. He shares the challenges and rejection in raising capital, a life-changing encounter that inspired him, creating a men's lifestyle brand, and building a successful online business.
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Quick takeaways
Vuori started as a men's athleisure brand to fill a market gap and focused on versatile activewear rather than athletic performance.
Vuori's powerful ad campaign showcasing the versatility of their athletic shorts led to a significant increase in sales and resonated with customers looking for premium multi-purpose activewear.
Despite facing challenges and skepticism, Vuori's persistence, adaptability, and disciplined approach to marketing enabled them to achieve profitability within two years of launch and secure a $400 million investment from SoftBank.
Deep dives
Starting Viori and the Challenges of Wholesale
Joe Kudla and his friend Chris Miller saw a gap in the market for men's activewear that focused on versatility rather than athletic performance. They launched Viori and initially tried to sell through yoga studios and specialty shops, but struggled to get traction. They faced self-doubt and concerns about competing with brands that had more funding. Eventually, they pivoted to selling direct-to-consumer (DTC) online, using digital advertising to drive sales. The strategy started to show results, and they found success by targeting ads to their ideal customers. They also decided to reintroduce wholesale partnerships, demonstrating their growing momentum to retailers.
The Power of Versatile Activewear
One of Viori's core differentiators was their versatile athletic short, designed for activities like running, surfing, hiking, and more. They created a powerful ad campaign showcasing the product's versatility and saw a significant increase in sales. Customers resonated with the brand's focus on adaptability and found value in a premium activewear option that could serve multiple purposes. As Viori gained momentum and positive customer feedback, they successfully expanded their wholesale partnerships, demonstrating to retailers the demand and appeal of their versatile activewear.
Navigating Challenges and Building the Brand
Viori faced various challenges, including self-doubt, limited funding, and skepticism from retailers. However, their persistence, adaptability, and strong belief in their product powered them through these obstacles. They made adjustments to their strategies, embraced DTC sales, and leveraged digital advertising to build a community of loyal customers. By showcasing the unique versatility and quality of their products, Viori was able to establish a strong brand presence in the marketplace. They continued to innovate, collaborate with retailers, and focus on creating premium activewear that resonated with consumers.
Building the Foundation: Overcoming Rejection and Focusing on Community
In this episode, Joe Kudla, the founder and CEO of Viori, shares his journey of starting an activewear brand for men. Despite facing rejection and skepticism from investors who questioned their lack of e-commerce experience, Joe and his team saw an opportunity to create a community-oriented brand that resonated with men. They focused on designing casual yet functional activewear that differentiated them from traditional technical brands. Their first product, the core short, was a hit, even though some buyers initially doubted its appeal. With a relentless focus on profitability and a disciplined approach to marketing, Viori achieved profitability within two years of launch.
Navigating Challenges: Growth, Pandemic, and Partnership with SoftBank
After establishing a strong online presence and earning the trust of customers, Viori faced the challenge of the COVID-19 pandemic. Initially, wholesale partners canceled orders and the future seemed uncertain. However, as people adapted to their new lifestyles, online sales picked up and Viori's inventory became in high demand. Eventually, the brand's success caught the attention of SoftBank, leading to a significant $400 million investment that valued Viori at $4 billion. This investment not only provided financial support but also validated Viori's unique position in the market. Through a combination of hard work, strategic decision-making, and a bit of luck, Viori has emerged as a successful and highly sought-after activewear brand.
Vuori founder Joe Kudla built a 4-billion-dollar company on a risky idea: that men actually cared about the clothes they worked out in. When Joe launched Vuori in 2015, women’s athleisure brands like Lululemon were exploding, but there wasn’t a similar brand that catered to men. So Joe set out to sell men’s workout clothes that didn’t scream “hey, these are workout clothes!” and tried to place them into yoga studios and other small stores. At first Vuori didn’t get much traction – so Joe made a quick pivot to DTC, soon learning that men were more likely to buy activewear if it worked for everything: yoga, running, hiking, or just hanging out. After risking its dwindling cash on a major marketing campaign, Vuori hit its stride, becoming profitable within two years after launch.
This episode was produced by Rommel Wood, with music by Ramtin Arablouei.
Edited by Neva Grant, with research help from Alex Cheng.