Knobby founder talks e-commerce trends and global expansion

Inside Retail’s Top 50 People in E-Commerce is an annual ranking of the most impressive and inspiring leaders in Australia’s online retail industry. Our 2024 report features C-level executives with decades of leadership experience, alongside start-up founders and digital specialists with a wide range of skills, from marketing to logistics. You can download it here.

Over the past few months, we’ve been sharing in-depth profiles of this year’s Top 10, including with the person who ranked #4 – Rob Rand, founder and CEO of subscription underwear brand Knobby.

Here, we speak with Rob about the launch of its new Facebook community, efforts to reduce textile waste and the next wave of e-commerce trends. 

Inside Retail: For those who aren’t familiar with Knobby, can you briefly describe the business and what it looks like today?

Rob Rand: Knobby is a subscription underwear (and sock) brand delivering a new design monthly to men, women and kids. The brand has cemented itself as the longest-running subscription fashion brand in Australia. Knobby is the pioneer for bold and creative underwear, selling more than one pair every minute worldwide.

IR: I know that you’ve been really focused on reinvigorating Knobby’s customer experience over the past year. What are some examples of the initiatives you launched, and the impact they had on the business?

RR: We aim for every interaction to add value and create a positive, lasting experience.

We launched our first experimental retail store to gain insight into how people interact with our product and receive real-time feedback. We’ve used this space to launch activations that strategically drive traffic into our digital ecosystem, which has shown database and revenue growth. For example, our Photo with the Grinch activation [in December 2023] drove over 500 photos in three days, increasing social engagement and brand sentiment.

Customer enquiries have decreased with the launch of our new Facebook community, while our commitment to fulfilling orders super fast has us sending express requests out the door in under five minutes, with all orders cleared by the end of each business day. 

Our product team developed free surprise gifts for members, and we launched our first mobile game in the theme of the team’s underwear design [in September 2023], attracting 10,000 unique players.

IR: You’ve also launched a sub-brand called the Flip Side Project, which is all about keeping used underwear out of landfill. How is that going, and what are the next steps you’re planning to take in this space?

RR: This project is a rare gem where every aspect feels just right. The Flip Side Project revolves around breathing new life into old underwear. Through our send-back program, certain ranges that are not suitable for composting can be exchanged for credit towards fresh, new underwear.

Equipped with an in-house textile shredder, we break down used products to the desired density. These shredded materials are stored in vacuum-sealed bags and will later be combined with resin, and compressed into various shapes and sizes for diverse applications. The entire process has been developed in collaboration with the University of the Sunshine Coast. The send-back program is set to be launched publicly this year.

IR: You’ve consistently been at the forefront of e-commerce trends, from embracing the subscription model back in 2012 to exploring circular design principles more recently. What do you think will be the next big shifts in e-commerce that people should be expecting? 

RR: Social commerce growth will continue, with each platform trying to retain users within its ecosystem; however, one aspect that particularly interests me is the use of AI-generated models to showcase products.

It has many advantages, providing brands with more ownership and control over usage. We’ve already started using this to complement our real-life models, displaying how product styles appear on the body. For a single photo shoot, our costs were reduced by approximately 60 per cent. Whilst I believe there will always be a need for real-life models and creators, this will be of benefit for quick turnarounds or small product releases.

IR: What are your plans for Knobby in 2024?

RR: Our key focus is on global expansion, alongside establishing additional retail stores centred on the unique Knobby experience. Our new app will provide customers with a whole new brand experience, reducing friction and providing fun ways to engage with the community and brand. We’re launching a whole new underwear range for subscription that is created from sustainably grown wood using a unique closed-loop system. 

IR: I know that making Knobby a great place to work is really important to you. What are some of the changes you’re making to keep your team happy, inspired and fulfilled?

RR: Celebrating big wins and little victories with genuine passion. Boredom is rare here because we’re constantly taking risks and dreaming big. I guess the secret sauce is that we get to launch brand-new designs every month, which keeps us zipping along at pace.

Sure, we’ve got all the perks, but that’s not our main driver. We really want to make our workplace feel like a second home for everyone. We’ve got this fantastic culture of doing things a bit differently. Open communication, transparency and growth plans – but in the end, we’re all working toward one big, common goal.

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