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Cross Border News  + Retail  | 

Knix Refuses to Nix U.S. Expansion Plans

Canadian underwear and apparel retailer Knix has opened its first store in New York’s Soho neighbourhood, marking a renewed push into the U.S. market after an earlier California foray fell short.

Founder and President Joanna Griffiths told The Globe and Mail that Knix is operating the Soho location on a short-term lease and is seeking a “perfect spot” in the area for long-term use.

The company plans to open two additional New York locations, likely in Manhattan and Brooklyn, before expanding farther across the country, she told the Globe.

“We have a recipe that’s working for us in Canada, that’s a combination of retail stores, online, and select wholesale partners,” Griffiths said in the interview with the Globe. “And, we’re looking to take that to the United States.”

Knix is pushing ahead despite trade headwinds. U.S. tariffs on Chinese-made products have forced the company to hike prices for American shoppers and rethink its manufacturing strategy, according to the Globe. Once almost entirely reliant on China, Knix now spreads production across Sri Lanka, Vietnam and other markets to reduce tariff exposure.

A key cost-saving move has been the opening of a U.S. fulfillment centre in Columbus, Ohio, which now ships about 40% of products directly to American customers to avoid paying additional duties on items that are shipped to Canada before they cross the border, the Globe reported.

“That’s a big unlock for us,” Griffiths told her interviewer.

The expansion comes as Toronto-based Knix continues to build awareness in the U.S. through advertising and partnerships.

“We’ve been working at building the brand in the United States for the past 10 years, and we’ve been spending a lot on advertising and working with different partners,” Griffiths told the Globe. “So, it didn’t make sense for us to walk away from it.

“If anything, we see this as, potentially, an opportunity to double down.”

Griffiths indicated that she learned from Knix’s unsuccessful move into California.

“I would say in hindsight, we bit off more than we could chew, to be honest,” she told the Globe.

Photo: CNW Group/Knix

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Inside The Story

KnixJoanna Griffiths

About Monte Stewart

Monte Stewart serves as Content Director - Canada for Connect Commercial Real Estate. Based in Vancouver, British Columbia, Monte provides daily news coverage of major Canadian commercial real estate markets, including Vancouver, Toronto, Montreal and Calgary. He has written about the real estate sector for various media outlets and Avison Young since the early 2000s. In addition, he has covered sports, general news and business for several leading wire services and publications, including The Canadian Press, The Associated Press, The Calgary Herald, The Globe and Mail, Research Money, The Daily Oil Bulletin, Natural Gas World and The Toronto Star. Monte is active in his community as a youth basketball coach and raises funds for such charitable causes as Movember.

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