Licensing As A Superpower: Kathy Ireland’s Roadmap For Brand Growth

Transitioning from a supermodel to a business mogul, you’ve built a billion-dollar business. Could you share some of the challenges faced in the transition? And what are some of the key factors for your success?

Kathy Ireland: The transition involved numerous challenges. However, success, for us, lies not just in what we do, but how we do it. Licensing our brand essentially means forming partnerships with other businesses, and I consider that a significant achievement.

Moreover, finding the right people is crucial; it’s all about people. I’m privileged to work with Marcus Lemonis, who al- ways emphasizes putting people before profits—a principle we strongly believe in.

One major benefit is the ability to reach a broader audience, contributing significantly to our growth and success. Collaborating with others provides instant access to mutual relationships, fostering loyalty, instant recognition, and a shared customer base.

These elements have been instrumental in our success. You asked about challenges. Anytime you embark on something new, facing opposition is inevitable. Reflecting on my modeling career, one of its greatest gifts was the resilience developed through numerous rejections.

Though unappreciated at the time, doors slammed in our faces and negative comments only fueled my determination. A ‘no’ became an opportunity to engage—a chance to return the next day and continue the conversation.

“Anytime you embark on something new, facing opposition is inevitable. Reflecting on my modeling career, one of its greatest gifts was the resilience developed through numerous rejections.”

How has your mindset evolved from the early days of your entrepreneurial journey to now, contributing to the growth of kathy ireland® Worldwide? Moreover, what are some of the greatest lessons you’ve learned that our readers might benefit from?

Kathy Ireland: Some of the most profound lessons I’ve learned revolve around not letting someone else’s opinion define or destroy you. It’s crucial not to limit yourself.

Additionally, I often observe people placing unnecessary restrictions on who they are based on others’ opinions. Having a specific goal, understanding what you want to achieve, and knowing the audience you aim to serve are key.

Furthermore, recognizing your value and what you bring to the table is paramount. This process is ongoing, filled with numerous lessons learned along the way.

Many may not realize this, but one of your business superpowers is licensing. Could you explain how licensing became a cornerstone for growing your brand of business?

Kathy Ireland: Absolutely. It’s really about adopting a model that works for us. While different perceptions exist about what licensing is and how it operates, for us, establishing strong relationships with potential partners is crucial. We encourage them to “kick the tires” with us, and we reciprocate. This approach is powerful, unlocking tremendous potential when the right relationships are established.

Licensing offers wonderful benefits, aiding in the attainment of loyal recognition. To illustrate, we started our brand with a single pair of socks when I was a pregnant, aging model at our kitchen table. Our partnership with John and Marilyn Moretz, cherished partners for 34 years, has been instrumental in our success. Together, we recognized the immense possibilities, expanding from socks to outerwear.

We have diversified our distribution channels, and our brand, acknowledged by Women’s Wear Daily as the most successful woman-owned licensing business in American history, continues to find new arenas. The success is attributed to our customers, who guide us with their preferences.

We have explored potential collaborations with HSN for over 25 years. Previous opportunities were declined because finding the right fit with the right partners was paramount. Stressing the importance of making the correct choice cannot be overstated. Now, with Bagatelle International, we’ve found that perfect match.

Our multi-million dollar best-selling collection with Bagatelle International at HSN has proven to be immensely successful, serving as a cornerstone for our partnership. In pursuing new relationships, we aim for a win-win situation. Contrary to intuition, we prioritize understanding what the new venture will do for the other party, how it will enhance their bottom line.

This approach has worked beautifully for us. Forbes, in a major story prior to our launch, predicted our success, and their foresight was proven correct. Our collaboration with Bagatelle International and HSN not only enhanced their authen- ticity and credibility but also reduced in-house costs and provided access to new distribution channels. Bagatelle International had prior dealings with HSN but not with the more expensive products of our kathy ireland® Fashion 360.

This allowed us to enter new regions and bring kathy ireland® Fashion 360, and consequently Bagatelle International, anywhere in the world, adding significant value. As we enter new regions, we gain strategic knowledge for those territories, offering licenses for additional products like handbags, scarves, and jewelry. Our focus is always on adding value to the business.

In the early stages, during the first transition, what was the initial licensing deal you undertook, and what insights did you gain from that experience?

Kathy Ireland: Well, the initial licensing deal was for socks, and it was with John and Marilyn Moretz. What we gleaned from that experience was the importance of careful consideration when entering such partnerships. Drawing from our upbringing, where our father, an iconic labor relations leader, emphasized the significance of how people are treated, we approached the relationship with a keen sense of responsibility.

Growing up involved trips to Tijuana, witnessing the living conditions, and observing our dad’s work in the agricultural environment alongside Cesar Chavez. He instilled in us the value of ensuring dignity for everyone, pointing out the lack of facilities in the fields for those contributing to our tables.

Choosing to bring quality socks to the market stemmed from our love for the product’s simplicity and practicality. Testing them during backpacking trips with my husband, we recognized their excellence. Our vision was to assemble a team with a passion for sports and the idea of diverse individuals uniting for a common goal.

We aimed to bring fashion and superior textiles to the market, delivering real value and quality. Recognizing the importance of transparency and fair treatment, we initiated surprise factory inspections, realizing that unexpected visits reveal the true conditions.

This approach became integral to our brand’s inception, emphasizing the significance of the “how.” We acknowledged that anyone can tidy up if they anticipate an inspection, and we learned some lessons the hard way, particularly in subcontracting.

In our collaboration with John and Marilyn, we were delighted to find a beautiful factory with proud and skilled workers. This positive experience affirmed the value of entering relationships with partners who share our commitment to quality and integrity.

You did some stuff early on with other brands. And you’ve had a lot of licensed deals. How did you mitigate risk to ensure the integrity and reputation of your brand remain intact? And I may even add, like even after other companies that represented you may have gone out of business or had other issues, how did you maintain that through your licensing?

Kathy Ireland: Mitigating risk is a deeply personal journey for us. It goes beyond mere paperwork; it’s about safeguarding the soul of our brand. We start by meticulously evaluating our strengths, weaknesses, opportunities, and threats—our SWOT analysis.

It’s part of a broader strategy, ensuring that every potential risk is anticipated and addressed. It’s a commitment to confidence, no matter what challenges come our way. Financial circumstances are never an excuse to overlook risk management.

In the world of licensing, just because we can doesn’t mean we should. We’ve turned away from significant deals, walking away from millions, all because the direction didn’t align with our values, both personally and as a company. While the brand is bigger than me, my personal involvement sets certain non-negotiable standards.

There are things that simply don’t belong in our brand—like adult entertainment. CBD, with its health and wellness benefits, is a yes for us. But THC, even though it might have its merits for some, doesn’t fit into our brand family at this time.

We want to tread carefully, especially when it comes to the safety of those who trust us with their purchases. We hes- itate to say never, as we’re always learning, but we won’t compromise, especially when it involves people’s safety.

Prescribed drugs could be part of our future with Ireland Pharmaceuticals, a dream that involves connecting with big pharma to make vital changes. The goal is to make prescribed drugs more affordable, a cause we’re passionate about.

But we won’t rush into this tremendous responsibility without careful consideration, especially while offering recovery services through our kathy ireland® Recovery Centers. Every decision must make sense, not just from a business standpoint but also comprehensively serve our customers.

Is there any segment of the market that you’re passionate about today that you spend the majority of your time working in?

Kathy Ireland:Oh, that’s such a great question. We’re involved in various sectors, each with its own excitement. Fashion holds a special place for me, harking back to my modeling career. Revisiting fashion now is exhilarating, especially being able to make it accessible—offering great fashion at great value, making it tangible for people. I find joy in simplifying, providing solutions.

Another exciting arena is the home, not just in terms of design but also real estate, where our partners at Zoom Casa play a crucial role. Additionally, FinTech is a dynamic area we delve into, with ireland Pay covering credit card processing and insurance. Entertainment, music, film productions—these are areas that ignite our passion.

But to answer your question about what I’m most passionate about, it’s the privilege of being exposed to needs and opportunities much bigger than us. This is where licensing becomes truly exciting.

We present Millennium Development Goals to each partner, allowing them to choose the one most fitting for their company. It’s not about demanding a monetary contribution; it can be as simple as volunteer days. The idea is that, in our success, we make a difference. These goals span from eradicating extreme poverty and hunger to promoting education, equality, and empowerment for women worldwide.

Addressing child mortality, improving maternal health, combating dis- eases like HIV/AIDS and malaria, ensuring environmental sustainability, and fostering global partnerships for development are all part of our commitment. We’re also dedicated to creating opportunities for stability and healthcare for American veterans and their families.

Stopping human trafficking is a cause close to our hearts, especially considering my past in the modeling industry. Maintaining what we believe to be the world’s most stringent licensing agreements regarding human rights, fairness, safety, and dignity is non-negotiable.

Our commitment aligns with my father’s principles, a man who revolutionized agriculture in California with Cesar Chavez. We were raised with the understanding that fruits and vegetables had to be grown with integrity, or they were off our family table.

Similarly, products made under inappropriate conditions are off the kathy ireland® Worldwide table. It’s not just about business; it’s the right thing to do, in line with my faith and a tribute to my father. In an industry plagued by the dirty secret of child and slave labor, we stand against it. Human trafficking is a sinister business, often starting with sex trafficking and extending to product manufacturing.

Some may advise against speaking out, citing risks, but we believe in shouting it from the rooftops. If someone is doing something they shouldn’t, we want to know, we need to know.

You’ve shared a lot about your dad, your husband, and family. Are they actively engaged in kathy ireland® Worldwide? Additionally, considering your journey from the early days in the beauty industry to now representing brands where you play an integral role, how does it feel to have your face as the brand?

Kathy Ireland: Well, our family isn’t directly involved in our work and the company. Everyone has their own pursuits and commitments, though they do contribute at times. Our kids, each with their own lives and businesses, including our youngest in college, often lend their talents and insights when we need them. Our team, ranging from teenagers to seasoned individuals, continues to contribute powerfully.

The inspiration I draw from our family is immense. My mom, in particular, is the ultimate entrepreneur. She engaged in various roles, from a babysitter and Avon lady to a house cleaner, sewing clothes, and even crafting jewelry and handbags for art fairs.

Her versatility knew no bounds, and she went back to school to become a nurse, leaving me with invaluable life lessons. She instilled in me the belief that if things didn’t work out, there was always another avenue to explore.

Compromise should never stem from desperation; that’s a key principle we uphold. Regarding being the face of our brand, it’s quite a journey—from the cover of Sports Illustrated and a supermodel to now representing kathy ireland® Worldwide.

The brand has evolved beyond modeling to encompass a diverse range of products and ventures.

The company bears your name. What went into making that decision 34 years ago?

Kathy Ireland: I’m incredibly proud of our team at kathy ireland® Worldwide. Many of us have been together for 34 years, and our dynamic includes both seasoned members and younger talents, fostering a culture of mentor- ship and growth. Through thick and thin, including hard lessons and failures that I see as valuable education, our team has proven its resilience.

Enduring challenging times together reveals the true strength of people; they either run for the hills or stand by your side through the fire. I’m immensely proud that our team has consistently chosen the latter. While it wasn’t initially my idea to have my name on the company, I’ve come to appreciate the gratitude it rep- resents.

I’m thankful that our customers have allowed me to break free from any preconceived notions based on my previous career. We’ve had to earn our success, and that’s something I’ve always expected. The strong work ethic instilled in me since childhood, from selling painted rocks at the age of four to having a paper route, has been foundational.

Dad’s advice is to give 110%, delivering the paper not just on the driveway but on the front porch, taught me to under promise and over-deliver—a principle we embed in everything we do. A special acknowledgment goes to our creative director, John Carrasco, whose talents have been alongside me for decades.

He sets style guides, analyzes each partner’s needs, and ensures our approach aligns with the latest trends. We collaborate with various experts, subscribe to color and fashion services, and evaluate international shows to stay innovative without compromising on originality. Maintaining ethical practices is vital; we never steal concepts but draw inspiration from couture to infuse innovation into our products, spanning fashion to home.

“As I share experiences with women aspiring to start their own businesses, I emphasize the importance of protecting intellectual property.”

The diverse verticals we engage in, from insurance to recovery centers, all demand effective branding and advertising materials that cut through the clutter and engage the audience. The ability to pivot in times of change, not merely react to it, is a skill our team excels in. Our enduring relationships with partners like John and Marilyn Moretz, Lamps Plus, and Berkshire Hathaway’s Nebraska Furniture Mart are a testament to the value we place on relationships.

I’m especially excited to mention that we are entering our 20th year of partnership with Lamps Plus, America’s largest lighting company. This long-standing collaboration, along with others, reflects our commitment to building enduring connections.

It’s the people, the connections, and understanding our customers that I love about our work. Serving men and women of all ages, I particularly appreciate the directness of women who share their preferences, contributing to our success.

As I share experiences with women aspiring to start their own businesses, I emphasize the importance of protecting intellectual property. Too often, individuals, regardless of gender, unknowingly give away the brand they’ve developed, only to see it resold by others.

Drawing inspiration from examples like Ralph Lauren, who still owns his company, I encourage individuals to safeguard their creations in the competitive business landscape.

What advice would you give brand owners who are hesitant to license their brand or join licensing opportunities? Especially when it comes to their first step of doing that.

Kathy Ireland: If brand owners are hesitant about licensing, my advice is, respectfully, to get over it. Licensing is a reality for brand expansion, and if growth or scaling isn’t the goal, then licensing may not be the right fit.

If it is, it’s challenging to envision brand expansion without exploring licensing opportunities. I encourage people, particularly women, not to limit themselves to traditional sectors like fashion, cosmetics, food, and home.

There’s potential in unconventional areas such as fintech, healthcare, and automotive. Breaking through barriers, challenging norms, and venturing into uncharted territories can yield remarkable results. Just because something hasn’t been done before doesn’t mean it can’t be done.

The key is not to accept limitations and find innovative solutions. We, as a brand, aim to provide solutions for families at every stage of life, from pregnancy to the needs of our most mature team member at 101. Each stage of life is different but equally valuable, and we want to serve people across various age groups.

Women often find themselves responsible for their families at different life stages, and by building our own opportunities, we can have a more significant impact.

From the first pair of socks that you did as an entrepreneur to all the incredible brands and verticals you’re involved in now, what’s the next step or next phase for Kathy Ireland?

Kathy Ireland: Oh, there is a big future ahead. Even though we’re celebrating our 34th year, I see our brand as a baby just getting started. The world is constantly changing, and so are people’s needs. Our focus is on being of service, with no limits.

We are expanding into different verticals and sec- tors of business to make a meaningful difference in people’s lives. That’s our goal, that’s what we aspire to achieve.

We initiated our brand with a single pair of socks and a mission rooted in my experience as a pregnant woman at my kitchen table. Our mission statement is aimed at finding solutions for families, particularly busy moms. We delved into every aspect, from sock design and manufacturing to the retail experience.

Being a new mom myself, I quickly realized the challenges of making a trip to the store with a little one – the car seat struggles, temper tantrums, diapers – it’s a significant ordeal. Our goal is to continue growing, always striving to do better.

We remain grateful to our customers for their honesty, guiding us on what they want and what they don’t want. As we navigate this dynamic landscape, our commitment is to be a brand that not only meets but exceeds the evolving needs of our diverse and discerning customer base.

This interview was originally published on ValiantCEO.