ober and the Olympics next year. The move represents an additional step for the swimwear company’s expansion plans, after setting up a UK-based operation in 2016. Budgy Smuggler general manager Brenden Hartmann told Inside Retail that there was no silver bullet behind its significant growth over the last year. Like many businesses, he said that Budgy Smuggler underwent something of a plateau following a slowdown in e-commerce sales post Covid-19 restrictions. Hartmann explained that the brand tweaked its systems and processes, enhanced its focus on staff development and continued to invest in technology  – all of which was key to accelerating sales growth. He added that Budgy Smuggler took advantage of internal data to identify relevant trends – such as its online reach and conversation across relevant countries and regions – which helped the brand set, hit and exceed KPIs. “[In the past] there were little things we didn’t pay too much attention to. But we’ve implemented some really simple KPIs around these things, which has given the team a lot more autonomy around how they go about their work,” he said. “There’s no breathing down the neck of people. Our team goes about their business because they can see on the screen if they’re achieving their goals or not.” Hartmann added that customers are returning to e-commerce in greater numbers. This, coupled with the brand’s emphasis on CX as customers returned to in-store shopping also contributed to the sales uptick.  “It’s where our two stores come into their own. They are fantastic experiences to walk into, with great staff in store. It definitely contributed to an uptick in sales,” he said. Foot on the accelerator Budgy Smuggler is performing particularly well in France.  According to Hartmann, the brand had “one hand tied behind its back,” as it was paying higher-than-expected dues and taxes to export from its UK hub following Brexit. Now, the business is setting up an office in Bordeaux to facilitate further growth across the country. “I’m really excited to see what the growth rate in France will look like [once] those speed bumps are removed, and shipping and duties become cheaper. It’s really exciting,” he said. Hartmann also noted that, like humour, sport has played a big part in building Budgy Smuggler’s brand identity and audience. In the early days of the business, he said that rugby was central to the brand’s promotional and ambassadorial campaigns. While this remains the case, it’s now spread across a range of sporting codes. The emphasis on the brand’s production quality, he said, is also a key factor behind its success. “The French love sport [and] they appreciate a quality product. It’s one thing we’ve never skimped on and why we keep our swimwear made in Australia – is because we can control the quality of it,” he said. “The French government has also legislated that you can’t wear shorts in public swimming pools. That certainly helps too.” He added that Budgy Smuggler is experiencing most of its growth in France, but it has an eye on the rest of Europe. “The next places [we’re keeping an eye on] include Germany, Italy, Spain, The Netherlands and across Scandinavia, [where Budgy Smuggler is] also going really well,” Hartmann said. “We’re persisting with the UK as well. Even with Brexit, the UK office is still growing, so we’re definitely not taking our foot off the accelerator there.” Peace of mind Despite cost of living and inflationary pressures, Hartmann believes that swimwear would likely perform well even as customers restrict on non-discretionary spending. He contended that the uncertain weather caused by La Nina forced Budgy Smuggler to diversify its clothing range, as less people considered purchasing swimwear due to colder weather, and more rainfall. The brand now features an underwear, crew sock and t-shirt range, which helps to attract a broader customer base. Hartmann also said that many swimwear brands and clothing labels have moved their production and manufacturing overseas – but have since found that there’s an advantage to be found in producing in Australia. “Our turnaround is pretty rapid [which] in terms of stocking, efficiency and cash flow helps the business. We might be paying a higher price for the cost of goods, but there’s peace of mind in not being caught with too much stock,” he said. “It’s an issue with brands who are making products overseas, and have to commit to massive, minimum order quantities. [As a result] mass produced goods end up in landfill, or are discounted below their cost price. It’s a bit of a debacle.   “I think there’s a big trend in manufacturers coming back to Australia, which is only going to drive our economy.”