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2015-12-01 Eagan Business NewsEAGAN BUSINESS NEWS | FOURTH QUARTER 2015 1cityofeagan.com EAGAN JOURNAL OF THE EAGAN BUSINESS COMMUNITY BUSINESS NEWS Eagan was named No. 5 among the 50 Best Cities to Live in the U.S. with 65,000 residents and more, according to a 24/7 Wall Street study that looked at property values, schools, education level, employment, safety, crime rates and more. Would you like a bagel with that coffee? Caribou Coffee and Einstein Bros. Bagels debuted their newest coffee-and-bagel store in Eagan at 3405 Promenade Ave. in November. For more information, visit coffeeandbagels.com. WSI Sports is making a big name for itself in the sports world, from baseball and football to hockey and skiing, and more. Joel Wiens, CEO of the Eagan-based company, is experiencing tremendous success, including sales to such professional sports teams as the New York Mets, the Seattle Seahawks and, of course, hometown favorites the Minnesota Twins and the Minnesota Vikings. How did this start-up become an athletic-sportswear powerhouse? Like most winning coaches, he relies on a great team. “It’s about building that team that can really take your vision and fly with it,” he says, listing roughly 12 staff members—from graphic designers to production workers to accountants—plus 20 contract sewers during the busy season, in-house and contract material engineers, and independent sales representatives. Wiens took a break from 2016 product development to talk with Eagan Business News about his merchandise, his business philosophy and his desire to help other entrepreneurs. Could you share the story of your start in business—back in high school? Growing up in a small farm town—Windom, Minnesota—I had a lot of ideas. I always worked on the farm in the summer, bean walking and rock picking, and I had raised $3,000. I was going to buy a four-wheeler, and Mom and Grandma said, “Nope — You’re not going to do that.” “Well,” I said, “I’ve got an idea—you guys start sewing.” So we invested that money in fabrics and got the business started, working out of the house. What was your first product? My first invention was called an “ultrajock,” a compression short- and-cup system for guys. Basically, it holds an athletic cup much more comfortably and in a position much better than an old jock strap. I should have patented that idea, because everyone has copied that now. At one time, we were the number-one sliding short for baseball and the number-one hockey short. In the late 1990s, we were selling over 10,000 hockey jocks a month. We were really rocking and rolling. Eventually, the big guys started to catch on and copied it. For a while you were going to college, playing football and running the business. When did you make the switch to full-time business owner? In 1990, when I started WSI, was really when I put everything into it. Those early days I FOURTH QUARTER 2015 VOLUME 13 NUMBER 4 Q&A: Joel Wiens, WSI Sports CEO MARK YOUR CALENDAR SUBSCRIBE ONLINE City of Eagan 3830 Pilot Knob Road Eagan, Minnesota 55122 To subscribe to Eagan Business News or our online publication, E-Biz, please visit us at cityofeagan.com/EBN. Plenty of entrepreneurial stories begin in a garage. Others start at a kitchen table. Joel Wiens started WSI Sports in a warehouse, but his business acumen began back in high school with the support of family members. His business story is a winning one, thanks to his cottage- industry approach, his made-in-the-U.S.A. philosophy and his ever-sharpening cutting- edge technologies. Don’t miss this Q&A with an Eagan manufacturer who wants to help other businesses succeed. DECEMBER 15, 2015 Meet the Chamber: This monthly meeting offers an opportunity for new and prospective members to learn how to get the most from their chamber membership. Noon to 1:00 p.m. Lunch is provided. Visit dcrchamber.com for more information. JANUARY 15, 2016 Eagan Coffee Break: This casual networking event invites you to share coffee and business cards at Home Federal. 8 to 9 a.m. Visit dcrchamber.com for more information. FROM THE EDITOR On manufacturing locally, competing with the big guys and a winning business philosophy WSI Sports coNtINUEd oN PAGE 2 Joel Wiens EAGAN BUSINESS NEWS | FOURTH QUARTER 20152 cityofeagan.com lived in a warehouse on Como Avenue in St. Paul. I spent the first year selling all day on the phone, and all night long, I’d be cutting [fabric]. And then I’d have the sewers sewing. Everyone thought I was crazy. I grew up in a middle-class family. They wanted to put me through college, but I said, “I want to do this on my own. I don’t want to borrow any money.” I was literally living off crackers that first year. I just enjoyed doing it on my own, figuring things out. How is your product produced? Still today, we do a lot of the cutting and decorating in our factory. Hmong community members do a lot of my sewing in their houses. They pick up the product, sew it up and bring it back for distribution. We sell worldwide, but most of our business is in the U.S. We make all of our fabrics and fibers. We actually develop the yarns that go into the fabrics. We knit the material; then we finish the fabric [by dyeing] it and so forth. I’ve always been fascinated with fibers and developing things, so that’s been one of our strengths: we have a lot of unique technologies. Your technologies include characteristics like wicking, body mapping and more. What’s one of your favorites? One of our big technologies is HEATR® [shown at right]. It’s a fiber that warms up against the skin. It’s about 40 percent warmer than any other fiber on the market, and that’s been one of our big stories that has gotten us on the international map. One of my gifts is designing products that are thinner, faster, stronger than what’s out there. Why manufacture locally? Our goal is to make everything locally. We don’t believe in producing overseas. We really want to make a product that we can get to the market quickly, with a lot of our innovations, as well as provide jobs and educate people on how to make product. WSI Sports outfitted the U.S. ski-jumping team for the last Winter Olympics. What are some other high-profile wins? We outfitted the [San Francisco] 49ers for a big playoff win against the [Green Bay] Packers, and that was in 20 below, one of the coldest playoffs in history. And the 49ers won, right? Exactly. They just loved the product and told the whole league, “This WSI has the best products out there.” Then the [Seattle] Seahawks bought product for the Super Bowl, and this past year, we outfitted more teams for playoff games. We also do a lot with major league baseball.… Most of the [professional- sports sales] are from word of mouth. We make sure we’re involved and communicate with them, but it’s a pretty small world within their group, and they do talk. It’s been great to have the feeling that [we’re] making a great product worn by some of the top athletes in the world. How would you characterize your company’s growth over the past couple of years? And looking ahead, what do you envision? We always like to shoot for double-digit growth. Since 2008, it’s been steady growth. We’re retooling to go after some new markets that are in line with our philosophy. That’s going to be key for us to maintaining that type of double- digit growth. Skiing and hunting are two markets that have a lot of market opportunity and growth ability, and we’re just starting to tap those. Where do consumers find your product? My business is really built by working with small [stores]. We sell to some of the big boxes. But I really don’t enjoy when we’re a number; BrIeFlY PeOPle: Michele Engdahl, director of Government Affairs, Thomson Reuters Legal, has been named to the board of Hennepin Theatre Trust. v Dr. Jose Iglesias has been appointed chief medical officer at Biothera, where he will be responsible for clinical development, medical affairs and other functions regarding Imprime PGG, the company’s cancer immunotherapy drug. Katrina Crow (below), Crow’s Natural Body Products, completes a sale with an Eagan resident at an indoor farmer’s market. The event happens every other Saturday, Nov. 7, 2015, through Feb. 27, 2016, at the Eagan Community Center, 10 a.m. to 1 p.m. Vendors sell German sausage, strudels, frozen pork products, cheese, honey, maple syrup, vegetables, apples, breads, pizzas, biscotti, chocolates, salsa, sauces, jams and much more. BUSINeSS: More than 540 Affinity Plus employees spread kindness across Minnesota during their participation in the credit union’s annual Plus It Forward Day; in Eagan, employees delivered cards and WSI Sports coNtINUEd FRoM covER Briefly coNtINUEd oN NEXt PAGE “It’s about buIldIng that team that can really take your vIsIon and fly wIth It...” – Joel wIens Michele Engdahl Dr. Jose Iglesias EAGAN BUSINESS NEWS | FOURTH QUARTER 2015 3cityofeagan.com I like to be a product. We really identify well with people who can look at a product and say, “that’s a great product — we can sell that.” That’s why we do really well with small, ma-and-pa retailers around the country — the better stores that have a high-end clientele. Athleisure is a growing market: regular customers, who don’t necessarily want to participate in sports, want to wear athletic clothes. Is this true among your customers? Most of our products are designed specifically for an activity. So we’re not so much into that. Under Armour and Nike do really well at that, but we’re more for specific activities. Is there a mistake you can share that might inspire other start-up manufacturers? We all face challenges. How we deal with them is what makes the difference.… We had a huge order for one of our major league baseball teams, and we made a mistake on the graphic design. We said, “OK, how do we make this right?” So we produced [more product] for the team, and…we ended up donating some of that [earlier] great product to one of the team’s programs in the Dominican Republic for inner- city kids. Just creating that win-win—making a positive out of a negative. You’ve said that you want to help other budding entrepreneurs be successful — maybe even starting a separate organization to do that. In the meantime, how are you moving that idea forward? One of our big initiatives is to engage more people in how to make a product and how to bring it to market.… We love seeing people learn: we bring in interns every year. Watching them learn how to make a product is really exciting. Do you have a business philosophy you can share? Our basic philosophy is how do we make products in the U.S.? How do we keep Americans working, productive, learning, growing and, by the way, having fun? If it’s all about money, you’re never going to get fulfilled. That’s been my philosophy: “Hey, guys, let’s work hard, but let’s have fun.” If we’re not having fun with what we’re doing, it’s not worth it. EBN treats to local police officers and firefighters, volunteered at the Open Door Food Shelf and hosted bingo at Lincoln Place. v Blue Cross Blue Shield of Minnesota plans to hire approximately 50 new employees in Eagan to serve in numerous areas, including claims, medical/behavioral health and Medicare/ Medicaid; in other BCBSM news, the company received the 2015 Leadership in Health Care Innovation Award from Minnesota Community Measurement. v Cub Foods at Town Center and Hilton Garden Inn, two Eagan businesses, were among the Employers of the Year, named by ProAct for bettering “the lives of people with disabilities through employment opportunities and partnership with the nonprofit.” v Following expansions of its outsourcing division in Dallas and New York, Thomson Reuters has opened its latest expansion, Legal Managed Services, in Eagan; the business has four full-time attorneys and dozens more contract lawyers. GOVerNMeNT: The Minnesota Valley Transit Authority (MVTA) won first place in the 2015 Annual AdWheel Award competition for news that travels, an engaging newsletter designed to advance public transportation. The MVTA also received the Partnership in Planning award at the 2015 Minnesota American Planning Association Conference. EBN Briefly coNtINUEd FRoM PREvIoUS PAGE A variety of residential developments are newly open or under construction in the Cedar Grove Redevelopment Area. The latest developer to announce its intentions is the Inland Group, which received approval from the Eagan Economic Development Authority in October for its concept plan and purchase agreement. The Spokane, Wash.- based company plans to open a 173-unit, 55+ apartment project on the west end, between the Cedar Grove Transit Station and the Twin Cities Premium Outlets’ parking garage, by summer 2017. Meanwhile, residents of The Flats are already taking advantage of the amenities— from shopping to restaurants to services— located in the urban-styled, pedestrian-friendly area. By the date of its ribbon-cutting event in late October, the high-end, 192-apartment complex was 73 percent leased and 67 percent occupied. Already underway is a third development by Ryland Homes near Nicols Road and Cedar Grove Parkway. Each building will feature four to six contemporary brownstone-like homes with open floor plans. Fifty units are scheduled to open by early 2017. EBN Residential developments continue in Cedar Grove An enthusiastic group cut the ribbon at The Flats in Cedar Grove. EAGAN BUSINESS NEWS | FOURTH QUARTER 20154 www.cityofeagan.com STANDARD U.S. POSTAGE PAID TWIN CITIES, MN PERMIT NO. 4902 3830 Pilot Knob Road Eagan, Minnesota 55122 Q&A: Joel Wiens, WSI Sports CEO On manufacturing locally, competing with the big guys and a winning business philosophy p1 p2 p3 p4 Briefly Affinity Plus spreads kindness, MVTA wins award and more Residential developments continue in Cedar Grove Multi-housing options expand Two Eagan businesses recognized Gopher Resource, Anchor Bank win awards IN THIS ISSUE Design & Layout Cory Laux Overdog Art Editor Karin B. Miller Working Words, Inc. For their innovation, growth and leadership, Gopher Resource Group won the Business Excellence Award and Anchor Bank was recognized with the Community Leadership Award at the Business Excellence Awards during the annual Dakota County Regional Chamber of Commerce event on Nov. 19. In addition, Don Chapdelaine received the Legacy Award for his work in business; Chapdelaine has lived in Eagan for all of his 84 years. Other Eagan nominees were Convergys and Think Mutual Bank, Eagan (Community Leadership Award); and Netrix IT (Small Business of the Year). Additionally, Scott Swenson of Home Federal Savings Bank in Eagan was nominated for the Legacy Award, and Eric Swanson of Ameriprise Financial Services was nominated for the Young Professional Award. EBN Two Eagan businesses recognized Don Chapdelaine Gopher Resource recipients (from left): Ray Krantz and Dan Leach. Anchor Bank recipients (from left): Brenda Johnson, Carl Jones, Lisa Franxman, Cindy VanDusartz and Jeff Hawkins.