October 18, 2011

Patagonia: Building A Strong Brand Out Of Old Clothes

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PatagoniaEvery once in a while, a completely counterintuitive idea comes along, shakes up our assumptions, and becomes the new normal.

I believe Patagonia Clothing’s Common Threads initiative is an idea like that.

If you follow green business news, you’ll recall Common Threads making headlines a few weeks ago.

In the words of founder Yvon Chouinard, “This program first asks customers to not buy something if they don’t need it. If they do need it, we ask that they buy what will last a long time – and to repair what breaks, reuse, or resell whatever they don’t wear anymore. And finally, recycle whatever’s truly worn out.”

The twist? Patagonia is playing an active part in keeping used clothing in circulation. Send them your worn togs, and they’ll refurbish and help resell them. Or, if the clothing is beyond repair, they’ll recycle as much of it as humanly possible.

As a business idea, it may seem like a good way to reduce sales. But that’s only if you don’t understand the power of the brand.

Hard times, higher sales.

I spoke with Rick Ridgeway, Patagonia’s VP of Environmental Programs and Communications, about Common Threads. He took me through the history of the program, and the extremely powerful insight behind it.

“The idea was germinated in the 2008 economic meltdown. We noticed the stronger the recession got, the stronger our sales got. This seemed counterintuitive – why would someone spend more on Patagonia clothing, and not buy something cheaper?”

Although Patagonia isn’t market-research driven (Chouinard’s philosophy is to make clothing he and his team would want to wear) the company began to sense a shift in consumer priorities. Ridgeway relates “People kept telling us that in tough times, the thing to do is reconsider stuff. Even if you have to pay more, it’s smart to buy things that last a little longer.”

This insight lined up beautifully with Patagonia’s environmental commitment. And after some brainstorming, Common Threads was born.

Common Threads powerfully reinforces Patagonia’s ethos and brand. If anything, it will turn loyal followers into proselytizing zealots, and newbies into diehards.

And for anyone who believes more old Patagonia clothing in circulation will translate into less new Patagonia sales, consider brands like Porsche. Old Porsches are coveted and loved forever. Their durability and timeless attraction drive new car sales, providing a fantastic rationalization for spending the extra cash on German craftsmanship.

Read entire article…

Source: Sustainable Life Media
By Marc Stoiber