Podcast
Questions and Answers
What was the main product sold by Jibbitz?
What was the main product sold by Jibbitz?
What was the initial purpose behind the creation of Jibbitz?
What was the initial purpose behind the creation of Jibbitz?
How much did Crocs Inc. agree to pay for Jibbitz initially?
How much did Crocs Inc. agree to pay for Jibbitz initially?
What is a distinguishing feature of Crocs footwear?
What is a distinguishing feature of Crocs footwear?
Signup and view all the answers
What concern was raised about the future of Crocs footwear?
What concern was raised about the future of Crocs footwear?
Signup and view all the answers
What age group did Michael Atmore suggest the charms by Jibbitz appealed to?
What age group did Michael Atmore suggest the charms by Jibbitz appealed to?
Signup and view all the answers
What was Sheri Schmelzer's age when Jibbitz was launched?
What was Sheri Schmelzer's age when Jibbitz was launched?
Signup and view all the answers
What did Sheri Schmelzer say the name 'Jibbitz' referred to?
What did Sheri Schmelzer say the name 'Jibbitz' referred to?
Signup and view all the answers
Study Notes
Jibbitz Acquisition by Crocs
- The Schmelzer family business, Jibbitz, sells accessories for Crocs.
- Crocs acquired Jibbitz for $10 million, with a potential $10 million bonus based on future performance.
- Jibbitz started as a small-scale project for the family to entertain their children.
- Jibbitz's success led to increased revenue, growing to $2 million per month between February and August.
- Jibbitz and Crocs are seen as a perfect fit by Sheri Schmelzer.
Jibbitz Business Model and Strategy
- Jibbitz started by selling mini faux flowers, buttons, and accessories to decorate Crocs.
- The business flourished with high demand, ultimately moving to a larger office and warehouse space in Boulder.
- Jibbitz expanded manufacturing in China to meet the growing demand.
- The business currently has 42 employees and plans for more warehouse space.
Jibbitz's Impact and Future Growth
- The acquisition provides access to Crocs' extensive distribution and retail network for Jibbitz.
- Jibbitz's chief design officer (Sheri Schmelzer) and president (Rich Schmelzer) will retain their positions.
- The acquisition will enable Jibbitz to expand its product line.
- Crocs will also benefit by controlling a business popular with children and controlling a portion of the market popular with children.
- Crocs will continue to advertise and introduce Jibbitz products.
Crocs Background
- Founded in Niwot, Colorado in 2002.
- Crocs sell comfortable and colourful shoes made from closed-cell resin.
- Crocs are popular with particular groups like nurses and chefs.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Explore the journey of Jibbitz from a family project to its acquisition by Crocs for $10 million. Learn about their innovative business model, rapid growth, and future expansion plans. Discover how this partnership positions Jibbitz for greater access to distribution and retail networks.
