Gymshark is a fitness clothing company, which focuses on creating clothing for the everyday gym goer. The website in which he first started his business “shopify.com” released an article talking about the story of how when they had their website server shutdown, Ben Francis (the owners), showed how he thinks companies should be run today.
Gymshark is a company which operates in the private sector, and is also a private limited company. It was created by a 19 year old pizza deliverer, while driving one day he came up with the solution. He was living in his mom's house and after every shift of working he would save the tips made and use it to investing into his little company. His business idea for his product was that “this wasn't the big baggy type of clothing bodybuilders wear”,”It was handmade fitted clothing that younger people wanted to wear to the gym.” The company was slow to grow but it grew slowly and steady.
Ben Francis, knew that he would be competing against the big dogs like Nike and Under Armour and therefore knew that for his company to grow he would need to do what neither of these companies did. He started contacting many famous people, not hollywood famous but the famous and inspirational youtubers who had a crowd, some examples being Marc Fitt, Lex Griffin, Christian Guzman, Matt Ogus as well as Nikki Blackketter. This caused the company to explode in change in profit. What started out as making a bit of small money after a year lead to the company making 300£ a day but then after he started sponsoring these famous people, the company started making around 30,000£ daily.
The company kept growing and growing overpassing the websites they had been using for their e-commerce. They then had a big sale on Black Friday, as most companies do which led to an overcrowded server which then resulted the site to crash. Not being able to send out nor take in orders during this day. This crash caused the company around 100,000£ but the problem that they really felt was the biggest, was that they lost the trust from the customers that they had built for several years. Francis recalls. “It didn’t matter that it was Magento’s fault, it’s our brand and customers blamed us which really hurt.” As a way to build back the trust from consumers he hand wrote over 2500 apologies to customers, and also go out and visit customers who had been affected by the Black Friday crash.
As a way to give back to the community he has built around his brand, he also hosts many meet ups so that everyday fans of his sponsors can get chances to meet their heroes. This has become a big thing which people love about the company and something which Ben values greatly as one of his key goals for the company is, “We have the same morals and values as we did when we were a small company,” Francis says proudly of the cramp-causing handwritten notes. “Each of these customers is a human being and deserves to be treated the way I’d wanted to be treated if a brand let me down.” This is something which companies like Nike and Under Armour do not do or which can be seen as visible, are these meet ups. You almost never see anything about any football players traveling around the world for meeting their fans for example China lets say.
The article is mentions business concepts used by Gymshark. Which can clearly be seen through the quotes from the owner himself but also through the actions he takes. An example being ethics, he want the best for his customers so he writes over 2500 hand written apologies to give back. Another being strategy, where he used his knowledge of the fans of famous youtubers to help his company get to the stage of where it is today.