Unconventional Underwear Design Firm Joe Boxer's
Nicholas Graham Reigns as the Prince of Power-Packed Promotions
From the moment you lay eyes on Joe Boxer's zany undershorts, you
know you're dealing with a company that doesn't take itself too
seriously. Discover how founder and funnyman Nicholas Graham has
used humor to build brand name awareness.
The voice mail message is the first clue you're not dealing with
your "average Joe" company: "Thank you for calling
Joe Boxer. If you
know your lord or lady's extension, please dial it now. For a manor
directory, dial 411 to reach the court jester. Above all, please
remember to change your underwear." The greeting inspires giggles.
Leave it to Joe Boxer to always leave you laughing. The company
mascot after all, is Mr. Licky, the smiley-face with the giant tongue.
These days, Joe Boxer founder Nicholas Graham's side-splitting jokes and marketing stunts have him chuckling all the way to the bank, as the company he started in 1985 has become wildly successful. The San Francisco-based multi-million-dollar company is now a thriving wholly owned subsidiary of Iconix Brand Group.
It's not surprising that the 40-plus Graham, whose former title
was Chief Underpants Officer, would reign over such an unconventional
kingdom. After all, he's always been a bit like a salmon swimming
against the tide. The Calgary, Canada, native was kicked out of
high school. ("I was too damned smart,'' he says in jest.)
He ventured around Greece and Sweden for several years "simply
having a good time" until he decided he wanted to be a rock-and-roll
icon and ventured to San Francisco, where he sang in a local band
called Scream of Dreams. Though it was a cool lifestyle, by 1985,
Graham realized he had to make a real living. Ever the entrepreneur,
he started a small business, Summ, making men's novelty ties. Later
that year when someone suggested wacky underwear might be a good
follow-up act to his whimsical ties, he went for it. He drew upon
his self-taught graphic design background and created a line of
boxer shorts with unexpected designs, typified by the "Imperial
Hoser," the now-infamous red tartan-plaid boxer that came with
a detachable raccoon tail.
Graham's first wife helped to put together the original samples,
sewing them herself. They were unique enough to get the attention
of a buyer from Macy's California, who was so hyped that he purchased
the entire line. The order was more than the duo could handle alone,
so they called in a manufacturing firm. Thus was the humble beginning
of Joe Boxer, which began with a mere $1,000 investment.
Building a Brand
How Graham built Joe Boxer into a brand is a story of marketing
genius. First off, he threw out the rulebook, along with its praises
of target marketing. "We're broadly niched. We target anyone
with a dollar in their pocket. We never said, 'Let's focus on one
segment,'" says Graham of the company's mass-marketing approach.
Graham's also not big on demographics, though he pays some attention
to them for specific products. But as far as the brand is concerned,
he's not into stereotyping. Turning away from tradition once again,
Graham hasn't spent a penny to hire an outside agency to do marketing.
"I'm cheap," he laughs. "There are brilliant agencies,
but I think of us as a marketing and advertising agency." And
although Graham has never taken so much as a single marketing class,
he obviously knows how to grab the attention of his customers.
"So much of the 'wow' comes from Nick. I don't know how to
explain how his brain works; he's just creative," says Lou
Ann Calvert, the firm's marketing director for the last 18 months.
"We have these informal meetings and ideas happen."
Another cornerstone of Joe Boxer's successful marketing strategy
is doing good while doing well because Graham realizes that being
a responsible corporate citizen helps build brand equity. He has,
for example, helped to raise millions for AIDS charities, and Joe
Boxer is the official underwear of Comic Relief, donating over $100,000
worth of boxer shorts to charity. The company also teamed up with
General Mills to entice cereal eaters to enter Joe Boxer contests
on the back of Frosted Cheerios boxes. Free boxers were offered,
and for each of the 250,000 entries, Joe Boxer made a contribution
to Literacy Partners, Inc. Graham also signed on to General Motors'
Concept: Cure, a project developed in 1997 in conjunction with the
Council of Fashion Designers of America. GM chose four top fashion
designers to work with the company to create one-of-a-kind vehicles
that were sold to benefit breast cancer research.
Joining Forces
Co-branding has also worked like magic. Joe Boxer tapped Warner
Bros. to create a new line of cartoon-emblazoned sleepwear and underwear.
The 26-piece collection includes boxers, T-shirts and nightshirts
featuring the classic characters - with a twist, of course. On the
laughable loungewear, Bugs Bunny cavorts with the Joe Boxer logo
and Scooby Doo takes a bite out of Licky. A "Cartoon Couture"
fashion show at Warner Bros.' flagship Studio Store on Fifth Avenue
in New York City this summer kicked off the collection.
The company also partnered with Motorola on the Joe Boxer Cyberscooter,
a rebuilt Vespa scooter that came fully equipped for fast cruising
that was featured in the Neiman-Marcus' Christmas catalog. Twelve
of the 15 scooters made sold at a handsome $10,000 each.
And, as part of the Virgin Atlantic fashion show, folks who bought
five pairs of Joe Boxers received a companion ticket to London on
Virgin Atlantic Airways. The response was huge, enough to fill at
least five jumbo jets with those ready to see Big Ben.
Graham has also called on comedians time and time again to help
boost brand awareness, sponsoring comedy nights at the Punchline
in San Francisco and Caroline's Comedy Club in New York, where the
first 50 guests walked away with free underwear.
"We've had a lot of success with our partnerships. While we're
open to many kinds of arrangements, we have to ask how we can add
value to their brand and what they can do for ours, as well as how
the consumer wins in the deal too," says Graham.
Don't think, however, that Graham is so publicity-hungry that anything
goes. "While we'll pretty much try anything, we won't do anything
that insults people or align ourselves with alcohol or tobacco companies,"
he says, in a rare moment of seriousness. While there are limits,
Graham is mostly fearless, and he believes that even promos that
have a low level of success are good for his bottom line.
Winning With Humor
You might ask, why use humor to build brand awareness? "'Cause
I like it, and I'm the boss," is Graham's explanation. "Really
though, humor is fresh, it's not used every day, particularly in
our industry." Humor is also a potent weapon in the battle
with competitors. Humor makes Joe Boxer shine among those vying
for the industry spotlight.
"Staying innovative and having that continue to translate into
revenues and brand recognition," Graham says, is a tall order,
for him and his marketing pros.
Five years from now, Graham jokes, Joe Boxer will be running the
government - at least we think he's kidding. With Nicholas Graham,
you just never can tell.