On A Comeback
Method Sports and Wave Rave Snowboarding Clothing.
By John Stouffer

In the last year, one of the oldest and most recognizable snowboard apparel brands has gone through a major management change. It certainly isn’t the only snowboard company looking for new direction and brand identity in this increasingly competitive market. But this is Wave Rave, the ten-year-old company once synonymous with snowboarding apparel that has been pushed aside as larger apparel manufacturers have gobbled up market share.

How has the four-million-dollar-a-year company reorganized itself to bring back its status as a major snowboard-apparel player? SNOWboarding Business recently visited Wave Rave’s headquarters (the same crew handles runs Wave Rave, Minx, and Magnus under the Method Sports corporate name) in Boulder, Colorado to discuss its plans for the future.

Bring In The New Crew

With the departure of President Trey Cook, Designer Jeff Ingrahm, and General Manager Amy Rob, the company found itself in a void. Key marketing and sales decisions were up in the air as the three people the industry identified Wave Rave with were gone. Owner Philip Chang sat down with his remaining staff and sorted through the reorganization.

Mark Wilson explains how things got started: "Philip and I got together and started looking at who was handling which job duties, and at people’s strong points and weaknesses." The two worked with the company’s production manager and CPA to quickly move people around internally while also bringing in some new blood.

Wilson, who had been at the company longest besides Designer Natalie Murphy, was made general manager. Larry Hart, who had also been with the company for a while, was put in charge of marketing. Next, Josh Vert was hired as the team manager and given the task of building a strong team.

The next piece of the puzzle was hiring a new sales manager. "We needed someone who could evaluate the market and our accounts, create programs, work with the reps, and really look at what we need to do to increase our sales," says Wilson. "By midsummer we were confident Johan [Malkoski] was who we wanted to bring in." He had previously worked for the Powder Tools snowboard chain and with Hart in the past.

Karen Price took over customer service, Joey Cho was moved into accounting, and Vince Stinson was hired to be in-house art designer. Product designs would continue to come from Natalie Murphy—although she wasn’t based in the Boulder office.

The company then started short- and long-term moves to reinvigorate itself. The old Wave Rave sun-and-mountain logo was brought back, and appeared in the company’s ten-year anniversary ad campaign. Next the company focused on its home turf. "We moved out and became a strong brand, but we kind of forgot our own area," says Malkoski. "We’re now supporting contests, and saying hello to the shops in Colorado, Utah, Wyoming, and New Mexico."

While things still have a ways to go, with the strong backing from its factories (which are owned by Philip Chang), and plans for increased business from all the lines (current breakdown is 60 percent between Wave Rave and Minx, and 40 percent Magnus), things are looking up. For the last four years, Wave Rave has been one of the only snowboard apparel lines to make Gore-Tex outerwear. Next year, Minx will offer it as well.

And don’t forget the owner, Philip Chang. "He’s out on the mountain every weekend, riding and showing his support for the people out there wearing Wave Rave," says Wilson.

"He’s just like a little kid on Saturday at a contest," adds Hart. "He’s on the top of jumps, standing there talking to people and to our riders."

To further discuss long-term plans for the company, SNOWboarding Business sat down with the core managers, Johan Malkoski, Mark Wilson, and Larry Hart, to hear what they had to say:

How are your management changes going to affect retailers in the next year?

Malkoski: There’s a retailer in-house now. I’ve been a retailer for the last seven years. All the programs I’ve designed are with the retailer in mind and what they’re looking for. Retailers these days want more margins. To sell a snowboard in a shop today, you have to give it away at a discount. Same thing with clothing.

So, we’re trying to incorporate more margin and better buying programs for shops. We’re working with the retailers around us, asking them what their best-case buying plan would be, what they’d want on paper, and making that work.

We offer the best materials available, cover all bases, support the retailer with our advertising and team, and then back it all up with our positive-vibe guarantee.

What’s the five-year plan?

Wilson: We want to make sure that our product stays out there and that our customer base increases throughout the United States. We also want to stay on top of the market, with technical features and functional product. We want a diverse line that meets the needs of all snowboarders, from the person who needs pricepoint pieces to the guy who wants to go into the backcountry wearing the high-technical gear.

When it comes to the Minx line, we hope that stays on top of the women’s market. We’ll probably increase the pieces and see what the demand is.

As far as Magnus, we’re hoping that takes off. It’s looking very positive with this year’s program. We really look for that to be the line that can go to anyone.

Where does Method Sports fit into the market today?

Hart: We want to produce high-quality, innovative gear. We want to educate retailers on our products, and why we’re producing this gear. We want to offer customers apparel choices right for any climate—the Northwest, Northeast, Colorado, or wherever. We’re providing more information with each garment, and why this garment is the best waterproof/breathable jacket or why it rates at this level.

This will be in the form of hangtags?

Hart: It will be in the form of education through our ads showing the actual pant and jacket that the rider’s wearing and describing it. On the bottom of our ads, there’s now a number for you to call and get a catalog or to locate a shop.

Customers are looking closely at how products are going to treat them in their area, how they are going to wear, and what they’ll cost. We’re trying to provide all that information through product education.

The apparel business has gotten tougher for shops. Big companies like Columbia and Quiksilver, with deep pockets, have entered the market. How does Wave Rave compete against companies like those?

Malkoski: We’re not trying to compete with crossovers. We’re a niche market, and our niche is technical, quality, functional clothing. We don’t want to do fashion clothing. We want to build stuff that works.

Does that limit your ability to grow in the marketplace?

Malkoski: You can grow within that niche because more and more people are going to realize that a 70-dollar pant isn’t going to work for 40 days on the hill. They’re going to have to spend a little more money to get the features that are going to keep them warm and dry. That’s basically what people are looking for in clothing. We provide the clothing that’s going to keep them warm and dry.

What kind of distribution are you looking at with shops?

Malkoski: Wave Rave and Minx will stay true to snowboarding. We want to stay in snowboard shops. In areas where there aren’t true snowboard shops, they’ll go into ski shops that have a snowboard section and a staff that can sell snowboards.

Magnus is for wide distribution. It’s not going to be sold on image. It’ll be sold on making the dealer money and selling itself.

What makes Wave Rave a strong brand?

Hart: The consecutive years of shipping on time. Order with us in Vegas, and you’re going to see your product in August.

Wilson: It has to do with the fact that our factory is in Denver—everything is made there—and we can get it when we need it.

Larry: We put it in motion after Vegas. Orders come back, they’re approved, they’re checked in, they’re in the computer, and then those cut tickets are issued. We had a one, two, and three issues of cut tickets.

So basically all those people who are preordered or prebooked before Vegas, they’re automatically on that first cut. They have no problem with getting their stuff in August, or maybe even July if we can push it, and we have in the past. People who get their order in with the discount by Vegas will see the same results. People who straggle in after Vegas are the ones in jeopardy of seeing stuff in September.

The message we have to get out is that kids will be able to see product on the shelves early in the season.

There’s a lot of extra product out there available to retailers at big discounts. What other benefits are there for retailers who order by Vegas?

Malkoski: Give them more margin, better buying programs, and guaranteed delivery. They can pick what they want, make money with it, and they get it in their stores—fully supported by us.

Hart: In the past, the support was there, but the programs weren’t. Now we have three things. Order with us because of the quality. Order with us because of the program we have, and we’ll guarantee that with the third thing, we’ll ship it on time.

What are the biggest challenges facing the snowboard-apparel industry?

Malkoski: There are so many people out there—how can retailers pick and choose, and not to get lost within the confusion? How do you separate yourself from what everyone else is doing?

Hart: Don’t get lost in just a company’s slogan or a perception of why this piece is better than the other piece. Look for yourself. With our education program, we’ll help customers do just that.

Tell me why people work at Wave Rave.

Malkoski: It’s something we all believe in. I started out riding in Wave Rave clothes. It’s more than a job, it’s personal. You can see it with all three of us. It’s not a job.

Hart: It’s a family.

Malkoski: It’s something we want to see succeed, and we’re going to make it succeed.

Hart: We’re all here together, and we all know what we want to do. We’re all committed to the whole program and committed to working together, relying on the person sitting next to us.

Wilson: In the past that became lost. It got to the point where it really wasn’t a family atmosphere around the office. It was kind of like, you have one group of people and you have another group; it was a little more divided. Not having that atmosphere is going to make a really big difference within the next year and within the future of Method Sports.

Hart: We’ll incorporate that family feel into the team as well. We’re going to support them more. You’re going to see them in more videos, ads, and contests. Now these guys are stoked to ride for the company; not only can we give them clothing and a paycheck, we’re inviting them in. They’re involved in sales meetings and design meetings. They come out for the weekend or to the trade show with us to just hang out and be part of it.

We’re going to be synonymous with the snowboarders on our team. Those names are going to be [Dave] Sypniewski, [Spencer] Tamblyn, [Rocket] Reaves, and [Justin] Allison, down the list. The ladies: [Natalie] Murphy, [Amy] Wakefield, [Michelle] Sheller, and [Autumn] Rose. People are going to know those people ride for Minx and Wave Rave—and [Dan] Sullivan for Magnus—because they’re going to be out there interjecting what we’ve put into them now. We should see that; real soon.