Sealand Gear / Enterprise Africa

SEALAND GEAR

DOING GREAT WHILE DOING GOOD Cape Town’s Sealand Gear manufactures beautiful, strong and functional products, including bags and apparel, creatively designed to compete with the world’s most fashionable brands. But it’s business model – putting the environment first – is the reason many are becoming more and more interested in this South African success story.

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are doing small things too. If we all make small changes, it does result in one big change. As a business, that is how we approach problem solving,” Founder and Creative Director Jasper Eales tells Enterprise Africa.

A Cape Town-native, surfer, environmentalist and creative product developer, Eales is involved in all aspects of Sealand Gear, and is excited about the future despite a number of challenges. His vision is to further entrench the company as a leading environmentally responsible brand both in South Africa and around the world.

By taking waste material that would normally be buried to create a range of highly attractive, durable and functional products, Sealand Gear is fashionably on-trend from a product and ethos perspective. For Eales, the core of this business is sustainability and the focus is clear: upcycle, recycle and ecocycle.

In Cape Town, at the tip of the continent where the mountains meet sea, and where the warm-water Agulhas current of the Indian Ocean meets the cold water Benguela current of the Atlantic Ocean, surfers and adventures find a home like nowhere else on earth. Hot sun, tropical air, cold water, and lush green land make for the perfect environment.

But that environment is under threat. Like many other areas of the planet, this beautiful region is being battered.

Plastic floods the ocean, the climate is heating, droughts are common, vegetation is freely cleared to make way for urban development, and a huge amount of waste is set to landfill each year. According to the Association for Water and Rural Development and Stats SA, South Africa produces around 59 million tonnes of general waste which heads for landfill. Only 10% of waste is recycled and the country is running out of sites that are suitable for efficient waste disposal.

Alternatives are required. New business models should be implemented. Transformational changes must come into play.

This is where brands like Sealand Gear are revolutionising.

“We are not going to solve major issues alone. We think about the small things that we can do and hope that others

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MEETING DEMAND “As a brand which started making upcycled items from old sails and tents, as we scaled we found challenges finding materials to produce goods. That is natural, and something we face quite regularly. That is why you cannot scale a business making purely upcycled products the same way you can with a regular model. But what is why we have difference material pillars – upcycled, recycled and ecocycled. That is a strategic standpoint for us to allow for scalability within the business,” he explains.

“Upcycled will be what the brand stands for and where we come from. Recycled is where we will scale the business.

We are working to release a fully recycled collection of products and that will be from sustainable sources that we can call on for as much material as we need. Ecocycled is natural fibres with natural smart properties attached to them.

We have chosen to champion hemp as a material and we are using that for our apparel right now. We have started to introduce it into a few bags and it gives an opportunity to build it into our material offering.

“Right now, we are at the tipping point of introducing recycled and ecocycled materials into our bags and that is why we are facing challenges. The volume of production is at times passing the amount of material we can access,” he adds.

This is, in part, due to the pandemic. The inside lining of Sealand Gear bags is made from upcycled advertising banners, usually donated from retail stores or exhibition spaces, including the Cape Town International Convention Centre.

“Pre Covid, they were hosting massive conventions every week and oversupplying us with this material. For the past 18-months, there has been no conventions and that supply has dried up and we have had to source new relationships in that space. That is the nature of an upcycled business model, building relationships is vital.”

Sealand Gear can become what is effectively a waste management solution for companies looking to ethically

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dispose of poly-twill advertising banners. Demand for product has been intense and keeping material flowing is a challenge.

“Many retail and hospitality businesses rotate their advertising banners every six weeks and they are thrown away or head for landfill. We position ourselves as an alternative, they can provide this material to us and we use it to create new value and create new jobs. We elevate it further, especially with corporate gifting, where bigger companies donate their waste to us, we create beautiful products which they buy back from us, and they gift these products which then come with an amazing, responsible story,” Eales enthuses.

Success of the Sealand brand has been recognised and through 2019 the company picked up a swathe of awards including the Maker-to-Maker award at the Design Foundation Awards and the Sustainable Accessory Award at the Twyg Sustainable Fashion Awards (a South African fashion brand that is encouraging a modern eco-conscious and forward-thinking lifestyle).

WE ARE TRYING TO GROW OUR BUSINESS, BUT THE MOST IMPORTANT THING IS ABOUT STAYING AUTHENTIC TO OUR BRAND AND NOT SELL OUT

CHANGE-MAKING The company, founded in 2015, has enjoyed rapid growth and its popularity is has boomed thanks for its changemaking credentials. The DHL Stormers recently carried Sealand-made bags through a tour of Europe, participants in FNB’s Wines2Whales MTB series carried Sealand roll-top backpacks, staff of crypto investment business Luno now carry Sealand bags on their commute, customers of Reebok in SA received Sealand Tote bags as part of their orders as the two companies teamed to promote the Reebok [REE] cycled Future Legacy Pack.

Partnerships and collaboration are cornerstones of the Sealand strategy and Eales is eager to explore further opportunities with different groups of clients.

“When Covid hit, we lost revenue from international tourists. We acted optimistically by looking at the corporate sector in South Africa, who continued to spend, and servicing those customers to make up for lost revenue,” he remembers.

“We are working with a number of corporate partners including Luno, SnapScan, Yoco, and other financial institutions who are innovating in their own space and looking at marketing in a unique way. We have learnt that you have to balance the small bespoke fun projects with bigger paying larger projects, as long as they tick the right boxes. You must balance portfolio projects, revenue drivers, and a combination of both. Always, projects must ring true to our brand so that we continue to be sustainable.”

Co-founder - Jasper Eales

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In a refreshing commitment to principles, Eales is resolute in his loyalty to sustainability. So many claim devotion to sustainability when the true dedication is to profit as a result of sustainability. Not at Sealand Gear.

“We are trying to grow our business, but the most important thing is about staying authentic to our brand and not sell out. If we had the opportunity to make 100,000 bags but had to compromise on quality or labour – we would not be open to doing that. Because of that, we could maybe grow faster in some areas, but we are not open to compromise.

“We are often approached to white label products but if someone approaches us, we want them to buy into what Sealand stands for – they should be comfortable with our logo on the product. We have turned down projects several times based on that.”

WE POSITION OURSELVES AS AN ALTERNATIVE, THEY CAN PROVIDE THIS MATERIAL TO US AND WE USE IT TO CREATE NEW VALUE AND CREATE NEW JOBS SUSTAINABLE OPTIMISM Internally, the company follows the old adage that its staff is the most important input to its product. Thankfully, this is not just an axiom and the company has, since inception, built a culture of respect. Sealand Gear pays living wages, ensures security, and highlights the skills of its team by etching the name of the maker inside each unique product.

“During Covid, we didn’t retrench anyone,” confirms Eales. “We actually hired more people, opened new stores, and that would have been possible without some of these corporate partnerships that we have taken on.

“We want to see the business grow and grow, but that will not happen overnight because of the nature of our model. However, that growth will be more sustainable and secure in the longer-term.”

Having established itself as a winning SA brand, attention has turned to the global playing field where Eales believes there is absolutely room for Sealand to make its impact. He is busy identifying geographies where the Sealand target market sits, while ensuring the business continues to deliver on its upcycle, recycle, ecocycle mantra.

“Our international wholesale strategy has always been about building credibility in international markets and then decipher which are critical accounts for us in the long-term.

We have been doing pop-up stores and we are looking for

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international retail stores of our own. Oue clear focus has been the UK and the US,” says Eales.

Earlier this year, Sealand Gear products were proudly displayed in a pop-up store inside London’s world-famous Selfridges store. “In the UK, London is the obvious choice.

“In the USA, we are still clearly defining our markets and refining clear locations for focus. Definitely, the west coast feels suitable to the essence that Sealand has grown from, but the east coast speaks more to the sophisticated, refined vision of the brand, with plenty of surfers and adventurers who come from the big cities but want to escape the urban environment. Then there are the ski towns and adventure states which also speak to the brand.

It’s about strategically pinpointing which of those we speak to.”

Understanding these markets, and the costs associated with expansion of this nature, is essential and for Sealand Gear – a completely self-funded business free from external financiers. Ecommerce will be the initial route to market, with physical stores to follow when the brand is entrenched.

“We sell a story, and that story is authentic,” says Eales.

“We are a why-based brand. People are now realising much quicker which stories are authentic and which aren’t.

People buy into our brand because we tell our story in a very open and honest way.”

DO WELL, DO GOOD In the past decade, there has been a realisation that businesses can ‘do well by doing good’. No longer is making ethical, moral, sustainable choices expensive, and at the cost of profit. According to Jan Mischke, Jonathan Woetzel, and Michael Birshan in the Milken

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Institute Review, ‘serving the interests of stakeholders — employees, communities and the broader public - is not necessarily at odds with the imperative of profit’. They assert that, in fact, social responsibility and sustainability are needed to drive viable profit.

This is the view of Sealand Gear, set up on the basis of ‘environment first’ in any decision-making process. The ‘why’ of Sealand Gear surrounds ‘protecting the natural environment and uplifting the community through innovative design and creativity’. Eales cites inspiration from global fashion brand Patagonia in the development of the business model and purpose.

Following a recent relocation from vibey, creative, start-up hub Woodstock to Hout Bay -where Sealand Gear is now occupying an old heritage building – the company is delving into the community to provide benefits wherever possible. The GIVE campaign sees Sealand donate bags, handmade in Cape Town by skilled Sealand machinists, to students from the Hangberg and Imizamo Yethu communities.

“That is a great project at Hout Bay beach in partnership with the Sentinel Ocean Alliance (SOA),” says Eales.

Just two kilometres from the beach, the new Sealand HQ – or Sealand Campus – is in the heart of a vibrant community, packed with talent, but desperate for opportunity.

“It’s an iconic location; an incredibly beautiful fishing village in a valley,” says Eales. “Unfortunately, the area has issues around poverty, drug addiction, poaching and they’re all interconnected. There is also the issue of Imizamo Yethu, an informal settlement, continuing to become overpopulated. At Sealand, People and Planet are our two cultures, and so it is a great area for us to get involved in make a difference.

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IF WE ALL MAKE SMALL CHANGES, IT DOES RESULT IN ONE BIG CHANGE. AS A BUSINESS, THAT IS HOW WE APPROACH PROBLEM SOLVING “The building we have moved into is an old heritage building and we see it is an upcycling and old building rather than developing something new. We have trees, vegetable gardens and nature – it is a beautiful culture fit for Sealand and we are already making an impact around us.

“Financials have been tight through a challenging period, but we are just focussed on making small improvements every week. We’ve been here just over a year and we have improved the place so much. As business picks up, we have so much to do on the property and in the community, and we are very excited.”

The Sealand Campus is now home to educational programmes and tours, where tourists and visitors can visit the site, meet the team, learn about the pillars behind the business and see how products are made. “We also have a retail store on site too alongside a café, restaurant and bakery from Deus Ex Machina – it’s probably the coolest café in the region and its next door to us,” smiles Eales.

GLOBAL GOALS As the Sealand brand grows, more material destined for landfill will be saved. More material will be recycled.

More natural and sustainable materials will be used in manufacturing. More jobs will be created in Cape Town.

More money will move into South Africa. More community projects will be supported, and more fantastic products will be sent out – with lifetime guarantees. The way forward is positive, and Sealand’s admirable purpose will be its driver and attraction.

“Creating a strong local brand, understanding our local market and researching international markets was step one, and we are still doing that,” says Eales. “We are researching the USA, we are in London, we’ve always had a good relationship in South Korea, and we are starting to get a good idea of the challenges attached to building an international organisation. The next step is building our clear direct-to-consumer model which we can roll out over an international market space. Ideally, we will maintain all production in South Africa, with our story attached to it.

“Our strategy is multifaceted and we never stop learning,” he adds. “As much as we have a strategy, that strategy can also change. What is very clear in our strategy is to build on our direct-to-consumer model that is omnichannel.”

In a time where a pandemic and economic crisis has ravaged businesses; when costs to the climate are being realised; and when ‘business as usual’ is being challenged, companies like Sealand Gear are mapping a new path to sustainability in both the environment and the boardroom.

“We are very optimistic and, while some people might call us mad, we have employed more people and taken on more rentals. It has been the best opportunity to find skilled employees, and locations for retail and manufacturing,” Eales concludes, highlighting why Sealand is home to some of the widest smiles the African continent has to offer, and how companies now have the choice to do well while doing good.

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