Fair Harbor Vice President of Sales Derek Miller spent several years of his career at Quiksilver, Roxy and DC Shoes at a time when surf and swim were interchangeable.
The market’s been changing and brands such as Fair Harbor – that meticulously walk the lines across a diverse set of wholesale channels – are gaining steam among retailers selling the casual, coastal lifestyle.
“More broadly is this bifurcation between surf and swim,” said Miller, who came to Fair Harbor last June from Wolverine Worldwide where he was director of apparel and footwear sales. “I worked for Quiksilver for years and men’s swimwear was defined by heritage surf brands. They were one in the same, and now we realize this separation between surf and swim. So, we talk to retailers now that are not surf retailers in the traditional sense. They’re not in coastal surf markets, but they sell surf brands. So, it’s this more generalist consumer that is really adopting Fair Harbor.”
As a result, under Miller’s lead, the company’s added sales reps for the West Coast, Pacific Northwest, Rockies, south central U.S., and Florida. That’s 11 additional outside salespeople in total as the company sees wholesale’s continued growth in the U.S. over the next three to five years.
Catering to that is a line that’s grown beyond men’s swim trunks to include lifestyle pieces, kids, and women’s. More recently, Fair Harbor has become a top men’s swim brand at Nordstrom, according to Miller.
The line, which was founded in 2014 by siblings Jake Danehy and Caroline Danehy, counts about 400 retail partners.
Internally, the company bolstered its board this year with the appointments of three heavy hitters in the apparel and retail space. Those additions were Tracy Gardener, who led J.Crew as president when it went public and is currently a Gap Inc. board member; Silvia Mazzucchelli, Boston Consulting Group senior advisor and former member of the C-suite at companies such as Guess Inc., Toms Shoes, American Apparel, and ModCloth; and Jennifer Olsen, CMO of Caleres and former CMO of UNTUCKit and Crate & Barrel.
Photo courtesy of Fair Harbor.
Retail Diversity
Miller and the rest of the sales team have their work cut out for them.
According to Miller, Fair Harbor is gaining traction at surf specialty stores, has been outperforming heritage brands in the outdoor channel, and is seeing “explosive” growth from resort retailers.
“I’ve never really worked for a brand in such a broad array of distribution channels,” Miller said.
Fair Harbor, by way of example, is sold at Quiet Storm and Tyler’s within the surf channel; the Montage, Terranea, and Four Seasons in resort; Alabama Outdoor, Mountain High Outfitters, and Base Camp among outdoor retailers; Nordstrom and Saks Fifth Avenue in department stores; and in boutique and contemporary it’s at Jaxon Grey, Darien’s, Sault, and Saint Bernard.
Within surf more specifically, efforts to grow the channel may finally be gaining traction.
“This brand has only been at wholesale for three years and, quite frankly, a lot of surf retailers – more specifically on the West Coast – have been somewhat slower to come to Fair Harbor,” Miller said.
East Coast industry retailer Quiet Storm was an early adopter, he said, and market changes may be pushing more in the surf industry to come around.
“What we’ve started to notice is a warming up this last summer and a lot more surf shops coming into the (trade show) booth as they see the shifting dynamic in what’s happening with the traditional boardshort companies and how the customer’s evolving,” Miller said. “The customer that does not surf, specifically, can be going in a bit of a different direction.”
That’s not to say one can’t surf in Fair Harbor, Miller said. In fact, both owners grew up surfing and Fair Harbor boardshorts are made with that functionality in mind.
However, features such as the company’s trademarked BreezeKnit liner made from recycled plastic bottles, a replacement for traditional mesh lining, help the label appeal to a broader consumer base.
“They may not be the traditional point of view on surf that some of the other, iconic heritage surf brands might be taking to the table, so we definitely stand out,” Miller said.
Fair Harbor’s product lineup has expanded over the years into kids and women’s. Photo courtesy of Fair Harbor.
Year-Round Brand
Growing U.S. wholesale will be the focus over the next few years. While international will eventually come, Miller said there’s plenty of “wood to chop” Stateside before taking Fair Harbor overseas.
“Wholesale is the growth vehicle for the brand without a doubt,” Miller said. “Longer term we definitely see its percentage of share growing significantly over the next three to five years, but we also continue to be ambitious with our direct-to-consumer business. So, we are not taking our foot off the gas from a digital perspective.”
Internally, the philosophy is fewer, better things. In sales, the mentality is reflected in a cautious approach to who sells Fair Harbor.
Fair Harbor VP of Sales Derek Miller. Photo courtesy of Fair Harbor.
“We would rather go as big as we can with somebody like (Nordstrom), instead of sticking 12 to 24 men’s swim trunks in every store in America,” Miller said.
Nordstrom is a good example of how far Fair Harbor has come. The brand entered the department store retailer three years ago with a test of 25 doors and online. Today, Fair Harbor men’s is in all Nordstrom stores, with plans to launch tests with kids online for Spring 2024.
When it comes to product, “fewer, better things,” has been about making products that last and don’t require overconsumption from consumers. It’s an edited assortment even as it grows.
Last year the market saw the first full fall lineup from Fair Harbor. Flannels, in particular the men’s Dunewood, were a hit and account for a large part of the business. The Neptune sweater made from oyster shells and recycled plastic bottles also proved popular.
Even with men’s the largest part of the business, women’s is likely to grow the fastest next year and beyond, Miller said.
The company’s women’s Corliss short is a workhorse, made for swimming, running, high-intensity training, and yoga. The popularity of the short shows the brand’s inroads in women’s active. Now, it’s time to leverage the following from Corliss into additional products, such as Ultraviolet Protection Factor (UPF) tops and in Spring 2025 a women’s lifestyle collection.
“Our goal is to be that 365-day resource for our retail partners,” Miller said.
Buyers can expect to see the efforts of that at the upcoming Surf Expo show in January.
“Come fall, we’re looking to really leverage and expand our knitwear business,” Miller said. “We’re broadening the line quite a bit.”
