What are the pros and cons of starting an athletic clothing line?
An athletic clothing line has a few pros and cons, which you should be aware of before getting started.
Here are the high level benefits and drawbacks of an athletic clothing line:
|• Ability to start your business from home||• Crowded Space|
|• Little startup costs required||• Finding The Right Supplier|
|• Traffic to your website||• Motivation of employees|
|• Quick build time||• High employee turnover|
|• Rewarding work||• High overhead expenses|
|• Scalable||• You may need to charge sales tax|
|• Easy to encourage "impulse buy"||• Time commitment|
|• You are your own boss!||• Difficult to build trust with your customer|
|• Local Community||• Work can be repetitive|
|• You can sell your product in various places!|
|• Simple business model|
• Ability to start your business from home
It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
• Little startup costs required
The cost to start a athletic clothing line costs significantly less money than most businesses, ranging anywhere from 1,517 to 45,419.
• Traffic to your website
A athletic clothing line gives people a reason to visit your website and to keep coming back to you!
• Quick build time
The average time it takes to build your product is quick - typically around 10 months. This will allow you to bring your product to market faster.
• Rewarding work
Starting a athletic clothing line can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
With businesses and processes changing daily, there will always be demand for new features, products and services within your athletic clothing line. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
• Easy to encourage "impulse buy"
In the athletic clothing line, you have a much higher chance of encouraging your customers to buy on impulse - you can easily alter the price, placement, packaging, and promotional value to influence the decision of your buyer.
• You are your own boss!
With starting a athletic clothing line, you are the one to make decisions for almost all of the operations. Calling the shots can be empowering and liberating!
• Local Community
One of the best parts of starting a athletic clothing line is that you can develop a local following by selling your products at craft shows, farmers' markets, or even local storefront businesses! This gives you access to additional revenue streams and loyal customers.
• You can sell your product in various places!
There are various different markets to sell your product, which will help you reach different audiences and revenue streams.
• Simple business model
A athletic clothing line has the advantage of a simple business model, which makes launching and building the business more seamless.
• Crowded Space
Competition is high when it comes to your athletic clothing line, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.
• Finding The Right Supplier
Most businesses in this space go the supplier/manufacturer route, which isn't a bad thing! However, finding the right supplier can take a lot of time, energy and trial/error. If done properly, this process can save you months (if not years) of time and energy. More on this below in the "finding a supplier" section.
• Motivation of employees
If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.
• High employee turnover
In the athletic clothing line, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.
• High overhead expenses
With starting a athletic clothing line, there are overhead expenses that come with selling a physical product. You will want to make sure you strategically budget for these overhead costs. We discuss this more in the startup costs section below.
• You may need to charge sales tax
If you are selling your products in various states, you may be required to charge sales tax. Although this may not impact your financials specifically, it can be a headache to create a process and procedure for this. To learn more about sales tax, check out this article
• Time commitment
With starting a athletic clothing line, all responsibilities and duties will be in your hands. Although this is not necessarily a negative thing, it's important to understand that your work-life balance may be a bit unbalanced at times. This can place a strain on friends and family and add to the pressure of launching a new business.
• Difficult to build trust with your customer
With a athletic clothing line and any online business, there is little physical interaction, which means it can be a lot more difficult to establish trust and clout with your customers. You'll need to go the extra mile with your customer to grab their attention as soon as they reach your site + assure them that your brand is legit and trustworthy.
• Work can be repetitive
You may find creating the same product over and over repetitive and tiresome. One way of avoiding this is to diversify product lines and revenue streams - this will keep things interesting!