California Apparel News

For Nick Graham, being a maker of loungewear and underwear is synonymous with building a lifestyle brand.

The marketing guru is best known for creating Joe Boxer underwear, with its famous yellow happy-face logo. Graham sold Joe Boxer in 2001 to Windsong Allegiance Group LLC of Westpor t , Conn., which struck an exclusive agreement with Kmart for the brand. The company has since been sold to New York–based Iconix.

But Graham is still in the underwear game. His brand-development and manufacturing company, Wonderbrand, was formed in par tner ship wi th San Francisco–based manufacturer and distributor MJCGroup.

Wonderbrand’s portfolio of underwear, sleepwear and loungewear includes Knotty Woodpecker, Hurley, American Ironic, Blah, Blah, Blah and National Underpants .

Though it has been more than 20 years since Graham launched Joe Boxer, Graham’s name is still a go-to in the underwear world.

That was the case when Dennis Green, senior vice president of global creative design for Hurley, was seeking “experts” in a variety of categories for Hurley’s product expansion.

“When it came to underwear and loungewear, the first name that came up is Nick [Graham],” he said. Green also worked with Graham years ago at Disney, developing consumer products.

The Costa Mesa , Calif.–based surf and skate company partnered with Wonderbrand to launch Hurley’s men’s and women’s underwear and loungewear for Fall 2007. The new line has been sold to retailers that carry Hurley clothing, including Macy’s, Nordstrom, Dillards, The Buckle and specialty stores.

Wonderbrand translated Hurley’s brand “DNA” of “surf, art, music and innovation” into cotton jersey pajamas, cotton jersey boxers and cotton/spandex camisole sets that incorporate graphics from the apparel line. A color-blocked combination seen on a day dress from Hurley’s Spring girls’ line was reworked into a cool diagonal stripe and trimmed with lace to make a cotton/spandex sleep dress. One pair of men’s cotton flannel boxer shorts that is fashioned like boardshorts speaks to the Hurley clothing customer.

“At Wonderbrand, we think differently; we think out of the box, so to speak,” Graham said . “What’s really critical for a brand like Hurley that has an identity, image and graphic sensibility [is] we really want to understand what they’re about, who they are and what’s important to them. hellip; Otherwise, it’s just more underwear.”

According to a study on men’ s and women’s underwear and loungewear sales by Port Washington, N.Y.–based NPD Group, spending on innerwear is on the rise—although the sales of women’s lingerie still represent the lion’s share of sales.

Spending overall surged in 2006, according to NPD research, which found a 20.5 percent increase in spending for both men’s and women’s underwear and loungewear. Spending leveled off overall in 2007, with women’s spending up 4.7 percent, while men’s spending declined by 11.4 percent.

Because the consolidation of department stores has narrowed the channels of distribution, it is important “to be more defined” and “much more focused” in pinning down the brand’s customer and the appropriate retail outlets, Graham said.

That’s where Graham excels. Brand-focused product design and distribution to the appropriate niche market has made Wonderbrand’s lines successful.

“Nick is an innovator. He understands what the consumer is looking for. He finds a need; he fills it,” Green said. “He’s tuned into what’s going on in the world, not just what’s going on in the loungewear or underwear world. He’s really good at connecting the dots, and he puts his own spin on it, which makes it unique and generally really successful.”