Brothers Dane and Scott Barnes, along with their best friend Alex Slater, were fed up with poorly designed beach umbrellas that were difficult to set up, provided minimal shade, and easily broke or blew away. This frustration led them to create Shibumi, a sun-shade startup based in Raleigh, North Carolina, in 2016. Since its inception, Shibumi has sold over 300,000 shades, with sales growing by 75% year over year since 2019. Their signature product, the Classic Canopy, is priced at $275, totaling estimated cumulative sales of $82.5 million, making the company profitable since year one.
Shibumi Shades can now be found in over 200 independent retail locations, including 140 locations of Dick’s Sporting Goods and REI. To keep up with the increasing demand, the company has grown from a small three-person venture to employing 22 full-time workers and operating out of a 17,000-square foot warehouse in Raleigh. The company has experienced significant growth, with its presence becoming ubiquitous along the North Carolina coastline.
The beach umbrella market in North America is competitive, with a value of $143.1 million expected in 2022 and anticipated growth of 5.6% from 2023 to 2031. This growth is attributed to the rising preference for beach vacations and increased spending on outdoor activities. Dane Barnes reflects on the company’s founding as a fortunate accident, born out of frustration with subpar beach gear. The team’s experience working in startups and smaller companies in the area equipped them with the mindset needed to create an innovative solution.
Using materials from a local hardware store, the founders created a rough prototype of their sun-shade on a home sewing machine. Testing this prototype on the beach garnered positive feedback, boosting their confidence in the product’s potential success. Slow progress led them to contract manufacturing partners in North Carolina in 2017. With increasing demand, they expanded to additional manufacturing facilities and established their own warehouse and fulfillment operation in 2020.
Deepening relationships with their customers has been a priority for Shibumi, with the founders personally reaching out to thousands of customers for feedback and engagement. This approach allowed them to foster a loyal following and build a community around their product. In 2021, the company received funding from a New York City-based private equity firm, Stripes, further enabling their growth and expansion. Stripes, known for investing in exceptional products, recognized the appeal of Shibumi Shades and the potential for continued success.
Looking ahead, Shibumi’s founders are focused on expanding their product line and rolling out new offerings, aiming to capitalize on the vast opportunities in the market. Their commitment to quality, innovation, and customer engagement has positioned Shibumi as a leading player in the sun-shade industry. With their sights set on continued growth and success, the founders are dedicated to revolutionizing the beach gear market, one sun-shade at a time.
