This is a Q&A with Amy Small, the visionary behind Knit Collage and a star in my Product Launch Formula® (PLF) Community.
Amy's journey from a fashion designer at Free People to an entrepreneur in the unique niche of hand-spun yarn is nothing short of inspiring.
In this Q&A, she shares her story, the challenges she faced, and the strategies that transformed her passion into a successful business.
The Genesis of Knit Collage
Question: Amy, can you start by telling me about your first big launch using Product Launch Formula?
Answer: Absolutely. I design hand-spun yarn, which is definitely one of the more unique niches in the PLF world. I had the idea to teach something and create a community around knitting. When I launched using the PLF process, I made $12,000 on the first day. This success helped bridge my Instagram following to my mailing list, making a significant impact on my business. Joining Launch Club was life-changing, and my subsequent launches were even more successful.
From Fashion Design to Yarn Creation
Question: Before diving into your current business, what were you doing, and how did you transition into this space?
Answer: I was designing sweaters for Free People, part of Urban Outfitters, which was an amazing dream job but very demanding. The constant pressure to create new designs was exhausting. On the side, I started designing and spinning yarns. I reached out to yarn store owners, and when one responded, I realized this could be a business. I left my job and focused on this new venture, moving from Hong Kong to my parents’ basement to manage the initial phase.
Building the Foundation of Knit Collage
Question: How did you manage the early stages of your business, and what challenges did you face?
Answer: Initially, I spun all the yarn myself and sold them wholesale. The business grew, and I realized I couldn’t keep up with the demand alone. I collaborated with a former colleague to recruit women in India to spin the yarns. The initial products were far from perfect, but we learned and improved. Living in my parents’ basement, I handled all quality control and shipping. The margins were slim, and dealing with various yarn stores was challenging, especially since each store had different aesthetic preferences. This made it hard to stay true to my creative vision.
The Struggles of Wholesale
Question: What was the wholesale business like, and how did you overcome the challenges?
Answer: The wholesale business was tough. Margins were slim, and I spent a lot of time chasing down payments from stores. While selling to 200 stores worldwide seemed impressive, it wasn't sustainable. Each region had different tastes, and I tailored my designs to meet these varied demands, which wasn't fulfilling. The business had orders, but the financial model wasn't viable, leading me into debt. It was a learning experience that highlighted the need for better business strategies.
Transitioning to Direct Sales and Community Building
Question: How did you pivot from wholesale to a more sustainable business model?
Answer: Realizing that wholesale wasn't working, I started focusing on direct sales and building a community around Knit Collage. I utilized social media, particularly Instagram, to connect with my audience and promote my products. This direct connection allowed me to understand my customers' needs better and create products that resonated with them. I also incorporated educational content, teaching knitting and crochet patterns, which helped build a loyal following and increased sales.
The Passion Behind Hand-Spun Yarn
Question: Your entire business revolves around unique, hand-spun yarns. Could you tell me more about how passionate people are about yarn and what makes your yarns so distinctive?
Answer: Our yarns are incredibly unique, I don't know of any company doing it on our scale. There are artists who create small batches, but we incorporate all sorts of ribbons, trims, and textures, making each yarn unique. One yard doesn’t have to repeat – it can be entirely different from the next. This creative freedom lets us make truly special products. We also focus on providing patterns that encourage creativity, inviting people to get wildly free and add their own spin to our designs.
Shifting from Wholesale to Direct Connection
Question: How did you transition from the wholesale business to engaging directly with passionate end-users?
Answer: I knew the wholesale model wasn't working, but I didn't know what to do next. Then I got a call from another business owner who invited me to be part of her Knit Stars event. This introduction to your work was pivotal. After learning more about your methods, I decided to give it a try. My first launch, despite having cringe-worthy videos, was a massive success, making $12,000 on the first day. This opened my eyes to the potential of direct engagement and building a community.
Experience with PLF Live and Launch Club
Question: How did joining PLF Live® and Launch Club further impact your business?
Answer: Attending PLF Live in 2019 was a game-changer. I went there alone, eager to learn, and came back transformed. The stories and strategies you shared were inspiring. After that event, my launches grew significantly. I remember re-filming my pre-launch videos in my budget hotel room, which led to $57,000 on the first day of my next launch. Joining Launch Club took everything to another level, offering more resources and community support.
A Journey of Shared Creativity
Question: You mentioned your first launch was a knit-along. For those unfamiliar, what exactly is a knit-along and how does it generate revenue?
Answer: A knit-along is a community event where everyone works on the same design together. Participants purchase a yarn kit and access an online course, along with group coaching and community support. The launch revolves around this event, and we see significant engagement and sales. We've done 14 or 15 knit-alongs now, and each one continues to grow and evolve.
Building and Sustaining a Community
Question: The community aspect of your business seems crucial. What advice would you give to someone looking to build a vibrant and engaged community?
Answer: Building a community is about fostering connections and offering genuine value. Our community thrives because we create opportunities for members to express their creativity and connect with others who share their passion. Consistent engagement, listening to your audience, and providing exclusive experiences are key. Our members are like our VIPs, and we continually find ways to keep them excited and involved.
Fostering a Supportive and Inclusive Community
Question: It's clear that creating a supportive atmosphere is essential for your community. How do you foster this kind of environment?
Answer: We emphasize a no-judgment zone. Knitting can be intimidating with its lingo and acronyms, especially for beginners. We stress that no question is too dumb and encourage all levels of knitters to participate. Our experienced members help beginners in a friendly and supportive way, fostering a community where everyone feels welcome and valued.
Encouraging Creative Freedom
Question: How do you encourage such a diverse and creative community to thrive together?
Answer: We focus on freedom of self-expression. Our community includes a wide range of styles, from sophisticated to colorful. We celebrate this diversity and encourage members to express themselves through their projects. This variety enriches our community and inspires creativity.
Engaging Community Dynamics
Question: What specific strategies do you use to keep your community engaged and motivated?
Answer: Our knit-alongs and challenges are structured as sprints with a clear start and end date. This creates a sense of excitement and urgency. We hold regular Zoom calls, events, and daily interactions in our Facebook group to maintain momentum. We also offer prizes for community cheerleaders and completion, which motivates participation and fosters a supportive atmosphere.
Recognizing and Celebrating Contributions
Question: How do you recognize and celebrate contributions within your community?
Answer: We highlight members' achievements during our Zoom calls, sharing screenshots of their progress and celebrating their successes. This recognition encourages others and reinforces our community values. We also address common challenges, like starting late, to ensure everyone feels included and motivated.
Managing Community Platforms
Question: What platforms do you use to host your community, and how do you manage them?
Answer: We currently use a private Facebook group for community interactions, Teachable for hosting our classes, and Zoom for live sessions. While managing multiple platforms can be challenging, it works well for now. We’re considering consolidating everything into one place to streamline the experience for our team and participants.
Focusing on What Matters
Question: Are there any lessons you’ve learned about what doesn’t work in community building?
Answer: Yes, one key lesson is that more isn’t always better. I used to add more features and extend our knit-alongs, but this overwhelmed both our team and participants. Simplifying our offerings and focusing on what truly helps our customers succeed has been more effective. Keeping it simple ensures better outcomes and a more enjoyable experience for everyone involved.
Building Community Consistency and Culture
Question: Consistency is so important when building your community. Are there any other key culture builders you find essential in a community?
Answer: One simple thing we implemented in January of 2024 is having every team member share what they're making once a month in our membership Facebook group. This helps the community get to know our team better and prompts more discussion. We've also appointed two community mentors who are longtime members and cheerlead nonstop. These small tweaks have significantly increased energy and engagement in our group.
Authenticity in Community Engagement
Question: Finding those leaders within your community must be so important. How do you encourage them to show whatever they're working on, whether it's perfect or not?
Answer: We emphasize authenticity. Team members share photos that range from perfect to chaotic, showing their true personalities. This variety helps members relate and feel inspired by both types of posts. We tell everyone to do their own thing and not overthink it.
Team and Business Growth
Question: Could you share a little about your team and how your business has grown?
Answer: There are eight of us, four full-time and four part-time. The part-time people are coaches and customer service help, and one person runs Zooms. The full-time team includes our membership manager, operations director, customer service director, and myself. We also have a team of 16 in India making the yarn. It can feel like a lot, especially during big launches, but we manage.
Managing Physical Products and Community
Question: You take care of every part of the process. Are there any keys to success when working with a physical product and building a community?
Answer: Be unique and stay true to yourself. Create something you're excited about, and it will show. Physical products with Product Launch Formula work well because of built-in scarcity. Train your audience that products will sell out, so they need to order on the first day. Simple and scrappy product drops work well for us.
Remarkable Sales Success
Question: What was your best first day?
Answer: After PLF Live in April 2019, we had a launch day with $57,000 in sales. The next launch in April 2020, we did $100,000 in the first hour and $164,000 by the end of the day. That launch made over $400,000. It was life-changing.
Prioritizing Self-Care for Productivity
Question: With your busy schedule, how do you manage to take care of yourself and stay productive?
Answer: I've realized that prioritizing my physical and mental health is essential. I make time for daily activities like running, walking, or yoga. It’s not a lot of time, but it significantly improves my work quality and overall well-being. I also try to be present with my kids and take breaks during work, which keeps me balanced and productive.
Balancing Family and Entrepreneurship
Question: You're also setting an example for your kids by creating a life you love. How does that impact you?
Answer: It helps on hard days to know that my kids see me working on something I love. Knowing they see me pursuing my passion and creating something meaningful keeps me motivated. Even trips for the mastermind are beneficial, as they see me engaging with the world and growing professionally.
Encouraging Aspiring Entrepreneurs
Question: For those considering a similar path, what advice would you give them?
Answer: Definitely take the first step. Stay true to yourself and your vision. It’s crucial to avoid comparing yourself to others and focus on what you want to create. Authenticity and passion will resonate with people and drive your success.
Understanding the Transformation
Question: How did you discover the transformative impact of knitting on your community?
Answer: It started with reflecting on how knitting impacted my life. I focused on the benefits like confidence, creativity, and non-reaction. Seeing these transformations in our community reinforced their importance. We emphasize these aspects in our knit-alongs, encouraging people to experience the profound benefits of knitting.
Beyond the Basics
Question: Can you elaborate on how you use knitting to transform lives?
Answer: It’s not just about teaching knitting. We aim to reach the emotional core of why people want to knit. It’s about creativity, confidence, and the meditative benefits of the craft. We help people rediscover their creativity and achieve a sense of accomplishment, impacting their lives positively.
Unique Business Model
Question: Your business model combines physical products, training, and community. What makes it unique?
Answer: We handle everything from raw materials to community engagement. This comprehensive approach sets us apart. Being part of your community and mastermind has been invaluable, providing inspiration and support from like-minded entrepreneurs.
The Power of Community Connections
Question: It’s amazing how interconnected our community is. Could you share more about this?
Answer: Yes, the connections are incredible. For example, someone invited me to Knit Stars, and she came into the PLF world through her tennis background and watching Will Hamilton’s marketing. These connections create a tapestry of inspiration and support, which is truly powerful.
Building Authentic Connections and Business Success on Instagram
Question: You've built a significant following on Instagram. How did you do that, and what tips can you share for building a business presence on Instagram?
Answer: Consistency and authenticity are key. I stay true to myself, sharing both polished and messy moments. Recently, I focused on promoting specific events, like our bag challenge, which worked well. Use Instagram to tell the story behind your products, and be transparent about the process. This builds value and connection with your audience.
Engaging Followers with ManyChat
Question: Can you explain how ManyChat works and how it has impacted your Instagram strategy?
Answer: ManyChat automates interactions by prompting followers to comment on posts for more information. It then sends them a direct message with the relevant link. This has helped me convert Instagram followers into email subscribers, bridging the gap between social media and my mailing list effectively.
Utilizing Reels, Stories, and Posts
Question: How do you use different Instagram features like reels, stories, and posts for your business?
Answer: Reels are great for behind-the-scenes content and storytelling. I use text on reels for call-to-actions. Stories allow for interactive engagement through polls and questions, showing authenticity. Static posts often feature professional photos of our designs. Each format has its unique strengths for engaging with the audience.
The Importance of Hashtags and Trending Music
Question: What role do hashtags and trending music play in your Instagram strategy?
Answer: Hashtags help with discoverability and community engagement. I use niche-specific hashtags and my brand’s hashtag to create social proof. Trending music on reels boosts visibility and engagement. Consistency and leveraging these tools help in reaching a broader audience.
Embracing Direct Sales for Enhanced Business Viability and Fulfillment
Question: Can you share more about the transition from selling wholesale to launching directly to consumers and the impact on your business?
Answer: Moving from wholesale to direct sales allowed me to connect directly with my customers and understand their needs better. It has made the business more viable and fulfilling. We can create what we love and share that passion with our community, leading to greater success and personal satisfaction.
Jeff Walker: Thank you Amy for sharing your incredible journey and insights! It’s been a pleasure to discuss the evolution of your business and community.
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As you've seen in this Q&A, fostering a vibrant community and shifting to direct sales can transform your business. By staying authentic & connected with your audience, you can create a passionate and loyal following.
So If you’re launching or growing a business, the secret to success lies in a proven Launch Formula.
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