MANILA, Philippines -- "I am not a big-surf kind of guy, I got to be honest, I wouldn't want to die," Sanuk founder Jeff Kelley was overheard saying, tongue-in-cheek, as he judged surfers in costumes during his brand's "Opening Act" event in San Juan Surf Resort, San Juan, La Union. Kelley was in town to grace the first of, perhaps, many upcoming activities Sanuk has in store for the thriving surfing scene. Surfer/musician and Sanuk's mustached brand ambassador Donavon Frankenreiter also came along with his surfing knack and feel-good music.
While straightforward with his "average" surfing flair, Kelley is audacious at taking things up a notch as he shares with Manila Bulletin how he built the company as a CEO whose usual day at the office is another man's ultimate weekend getaway.
Manila Bulletin: Why did you make 'having fun' the cornerstone of your brand?
Jeff Kelley: Doesn't everybody want their brand to be fun? (laughs) When I started Sanuk, I was looking for a very positive company, something that could be very inclusive. I encountered the word "sanuk" which is a Thai word for fun and then came up with the tag line "smile... pass it on" and that has been my goal from the very beginning. To create something that everybody can be a part of and have fun.
MB: How does Sanuk fair in the Philippines?
Amazing. You guys have year-round summer here, so the brand really fits the culture. And it's at an interesting time because the surfing culture, which is the reach of my brand, is currently starting to take hold here. You can see it with all the people getting into surfing today. Even those who are getting pushed into the waves, though they never caught waves before, are all smiles. Unbelievable. They will definitely be back out here, so basically we're seeing a boom of local surf culture.
MB: You are known for your innovations such as getting first-hand experience of mimicking barefoot walking, even before athletic labs did, thus, giving birth to the Sanuk Sidewalk Surfers. Is it important to make a key product succeed to eventually carry the entire brand up?
Yes, absolutely. In fact, the brand took off after I created the Sidewalk Surfers. It happened as I was running the stairs in my then office, in the morning wearing New Balance running shoes. Living in Cardiff, we have a lot of stairs there, and on that afternoon coming back after running and surfing, I felt the range of motion was more effective as I climbed the stairs barefoot. So I thought, if shoes sort of restricted or even isolated the movement of my foot and toes, then sandals which do not have stitched-on soles would get me closer to that bare foot, more efficient motion.
I then literally took my bestselling sandal at that time, which was the Lazy Boy, and sewed up a deconstructed upper, stuck it on top of one of my sandal foot beds. I wore them around and I knew right there and then without any question whatsoever that it's going to be a super popular thing. That was before Nike Free, Vibram Five Fingers, before any of those pairs now talking about barefoot research, Sanuk was already promoting how simple barefoot walking can get.
MB: How did you realize the possibility of penetrating even the most saturated retail market?
I think we didn't even think of having to do that. We are just doing what we do and at the same time, having fun doing it. And because we are having so much fun doing it, I think people gravitate to it just because the product is fun and so inclusive, and comfortable, too.
MB: How did you realize that footwear sales are anchored on impulse buys?
We knew for sure that 60-something percent of people walking to our stores are not actually thinking of buying shoes. So, in order to take advantage of that I created the "hanging footwear" category. By putting our shoes, because they are made like sandals, on a rack, we really did increase the impulse buy because when people walk into the store they see the whole selection. They don't have to wait for the stock person to go and get a pair from the backroom and find something for them. They can try out pairs immediately by themselves.
MB: Have you ever viewed that your way of supporting the lifestyles attached with your brand is more of a promotion rather than actually giving support?
Not at all. The people that we choose to be associated with the brand are people (Kelley points at esteemed Sanuk Philippines rider Luke Landrigan) who are passionate about what they are doing. We are not going to sign an athlete just because the guy is popular. If he does not actually live the lifestyle that we aim to convey, then he is deemed unfit for our brand.
MB: You mentioned in an interview that you won't see your brand doing a clothing line and would rather keep doing well at making footwear. But with your Sanuk Swag Line, are you now considering putting up a complete clothing line?
We don't actually do clothing. I don't define clothing as shirts, and hats and beanies and things like that. Those are just accessories. Clothing is when you start to cut and sew, when you make a complete line of board shorts and denim and jackets and things similar to that. So with the growth that the brand is having, it will only be a diversion for us to start doing clothing.
MB: How would you like to see your brand and your market going farther?
I see it continuing to expand as more people realize the simple pleasures of unrestrained walking; with it I believe more people would opt to wear Sanuks.
MB: How do you deal with fakes and how would you want other entrepreneurs emulate the success you have?
Of course, it bums you out when Crocs and Sketchers and all those guys that don't have any significant innovation actually try to knock off smaller yet totally innovative brands. But we are rather fortunate that we have patents on our designs, they can't copy the designs only the looks. And we are grateful that the customer that buys Sanuk or does know Sanuk, wouldn't want to buy knock-offs or wear a knock-off brand anyway. On the business side of things, I would encourage anybody with an idea, to do everything they can to at least go for the idea. Because, it's worse not to do an idea and always wonder "what if," than to just go for it and fail. You should at least know you tried.
