Comfortable Club Centralizes Operations to Plan for the Future
Comfortable Club is an Austin, Texas-based clothing company specializing in underwear and lounge apparel. Founded on the belief that underwear should be insanely comfortable and cost-effective, Mike Madrid started Comfortable Club in June 2015 as a Kickstarter campaign with a single product. In the first month alone, Mike managed to sell over 15,000 pair of men’s boxer briefs. From color to style to shipping times, the team continues to incorporate customer feedback and iterate on new prototypes and processes – all in the effort of creating the most comfortable underwear on earth.
After selling 15 variations of boxers with their first Kickstarter campaign, Comfortable Club launched a second campaign, raising $219,000 while offering 180 product variations. With such rapid growth, Mike knew there was high demand for Comfortable Club’s products. In addition to the company’s eCommerce platform, Mike decided to try selling on a marketplace.
“Next, I tried adding other sales platforms, like eBay and Amazon. That just turned out to be a nightmare because I didn’t have a centralized inventory management. It was very manual,” Mike said.
In addition to needing streamlined inventory management, the process of shipping and order fulfillment looked daunting and expensive.
“I made a quick budget on what it would take to open up my own fulfillment. First off, you would need to sign an expensive lease requiring an insanely huge net worth and exposing yourself to liability. Second came employees: it’s better to have someone else deal with them. Additionally, my lack of experience in warehouse operations with picking and packing would require a warehouse manager. Being a lean startup, that goes against everything we stand for. I would have to invest a huge amount of cash and time into this, as well as risk many mistakes.”
Comfortable Club turned to Stitch’s inventory management capabilities as well as their new partnership with DCL Logistics, a third party logistics (3PL) company in California. With a desire to keep headcount low, Mike wanted a centralized platform that would perform many business operations.
“It couldn’t be more perfect; all my eCommerce platforms land into one platform and then Stitch pushes it out to the 3PL. How much better could it get?”
A few Stitch features that Comfortable Club uses most:
• Supplier associations CSV
• Purchase orders transferring over to the accounting platform
• Partial receiving of purchase orders
• Warehouse transfers with multi-warehousing
• Weekly summary report indicating top sold variants
Mike knows that as Comfortable Club scales, he can trust Stitch and its partners to help foster that growth. Taking advantage of Stitch’s partnership with Quickbooks Online, as well as serving as an initial beta tester of Stitch’s integration with DCL Logistics, are just some of the ways Comfortable Club benefits from implementing Stitch.
“A quick connection to QBO pushes out order information, sales, and inventory value into my inventory count. Then, at the end of the month, I see cost of goods sold reduction based on shipments. So if Stitch didn’t do that, I would need an accountant. Then with DCL, I tell them how I want to work, and they design a process and work around that.”
By using Stitch, Comfortable Club is able to integrate with 3PLs and other platforms to save time and money. Because of the increased bandwidth due to Comfortable Club’s online success and operational efficiencies by using Stitch, Comfortable Club is excited to open a line of brick-and-mortar retail stores in the coming months.
“Time-wise, it’s saving me from making mistakes on Excel by running huge sheets with thousands of orders. But it’s not only time saving, it helps establish a professional business plan in that it doesn’t react, it actually plans for the future. Stitch Labs is beautiful.”
Want to see how Stitch can streamline your inventory and operations? Get a free custom demo today!