Xenia Chen left her investment banking job and started subscription hosiery startup Threads in 2018. In 2020, she was able to increase her revenue tenfold by focusing on growing her subscription model. She did it by building trust, trying new content, and involving subscribers in the creation process. See more stories on Insider’s business page.
Xenia Chen founded direct-to-consumer subscription hosiery startup Threads in late 2018 after having left her job in investment banking and private equity with a $230,000 yearly salary.
The company, which employs two full-time and two part-time staffers, made $50,000 in its first year in business, Chen told Insider. But when COVID-19 hit, she integrated some new strategies that led Threads to close out last year with $500,000 in revenue. About a third of the company’s total revenue is from subscription sales, while the rest is from one-time purchases, Chen said.
The Threads factory.
She estimated that the subscription side of her business tripled in 2020, as the number of subscribers ballooned from 665 at the start of the pandemic in March to 1,840 at