“If it doesn’t scare you, you’re not dreaming big enough.” - Sarah Williams

Most of us launch our subscription box businesses from a spare bedroom, the garage, or even the kitchen table. But when do you make the decision to move out of the house and into your own commercial space? 

In this episode, we’re talking with Cheryl Ham of Hypnotic Yarn. She’s been on the show in the past talking about challenges she faced at different stages of growth in her subscription box business. 

While still managing a full-time career in high-pressure sales, Cheryl started selling hand-dyed wool via an e-commerce store. She added a subscription box, Yarnable, and grew that side of her business slowly and steadily until she reached 300 subscribers. 

Cheryl discovered Launch Your Box, joined, and jumped right in. When she launched again – following the launch plan I teach inside the group – something amazing happened. Cheryl more than doubled her subscribers, gaining 400 in less than 24 hours! 

By this point, Cheryl’s subscription box had taken over her house. She moved into a new commercial space and hired some team members. Her subscription box business continued to grow, reaching 1600 subscribers through increased retention and quarterly launches. 

In less than two years, Cheryl had outgrown that commercial space. Again, she needed more space. The problem? Cheryl couldn’t find a commercial space to meet her needs. 

Cheryl finally found a new space. A space so big it scared her. She knew she needed a lot more space, but 8,000 square feet? She found herself terrified to make that jump until she had a realization. Scary doesn’t always mean bad. 

Cheryl talked about how every move has meant learning new processes. Inventory management and fulfillment look different in the new, bigger space than in the smaller commercial space or in her home. 

Hiring has also been a challenge this year. Cheryl lost 3 team members this past spring and struggled to backfill those positions until after summer. Once she sought out new avenues for hiring, she was able to hire 2 new team members. 

What’s next for Hypnotic Yarn, Yarnable, and Cheryl? They’re focused on growing the non-subscription side of the business using lessons learned from Yarnable. Cheryl knows the importance of creating an experience for her subscribers and uses that knowledge to create experiences for customers who purchase one-off kits. 

Focusing on non-subscription sales allows Cheryl to maximize off-hours and weeks when she and her team are not as busy with subscriptions. It is also a great way to convert non-subscribers! 

Episode 16 - Afraid of Having 700 Subscribers?

Episode 105 - Scaling Your Subscription Box Business

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