Figs Inc (FIGS)

History and Background

Figs Inc. was founded in 2013 by Heather Hasson and Trina Spear. They identified a need for more stylish and functional medical apparel. Figs went public in May 2021. They disrupted the traditional medical apparel market by focusing on direct-to-consumer sales, innovative fabrics, and community engagement.

Core Business Areas

• Apparel: Figs primarily sells medical apparel, including scrubs, lab coats, and other workwear designed for healthcare professionals. This is their core revenue driver.
• Lifestyle: Figs also offers lifestyle apparel, such as compression socks, outerwear, and accessories, expanding their brand beyond the medical field.
• Team Sales: Figs offers team sales for medical organizations, providing bulk orders with customized branding and features. This can often be a lucrative area for repeat business for the company.

Leadership and Structure

Figs Inc. is led by CEO Trina Spear. The organizational structure includes departments for product development, marketing, sales, operations, finance, and technology. They have a board of directors overseeing the company's strategic direction.

Key Offerings

• Core Scrubs: Figs' core scrubs are their most popular product, known for their comfortable, durable, and stylish design. While precise market share data is difficult to obtain, Figs is estimated to be one of the leading scrub brands in the US. Competitors include Careismatic Brands (Cherokee, Dickies), Med Couture, and Jaanuu. Revenue attributed to core scrubs makes up the majority of revenue but figures are unavailable
• Lab Coats: Figs lab coats offer healthcare professionals an improved fit, with stain and anti-microbial features. They also incorporate new technology to address medical safety. Competitors include Landau and Medline. Revenue attributed to lab coats is not publicly available but is likely a smaller percentage than their scrub revenue.
• Lifestyle Apparel: Figs has expanded into lifestyle apparel, including compression socks, outerwear, and accessories. No market share available and competitors are mainstream brands like Nike and Lululemon. The revenue attributed to lifestyle apparel is likely smaller than their scrub revenue.

Industry Overview

The medical apparel industry is a growing market driven by the increasing demand for healthcare services and the need for functional and comfortable workwear. It is becoming increasingly fragmented with the rise of direct-to-consumer brands.

Positioning

Figs is positioned as a premium direct-to-consumer brand in the medical apparel market. Their competitive advantages include their innovative fabrics, stylish designs, strong brand image, and direct-to-consumer business model.

Total Addressable Market (TAM)

The global medical apparel market is estimated to be around $60 billion. Figs is positioned to capture a larger share of this market through continued product innovation, market expansion, and brand building.

Key Competitors

• Cintas Corporation (CTAS)
• Careismatic Brands Inc. (Private)
• Jaanuu (Private)

Competitive Landscape

Figs benefits from being a D2C brand. Its innovation puts it ahead of its competitors; however, because it is more expensive, it may be more affected by any economic downturn than Cintas (CTAS) which has more affordable apparel.

Historical Growth: Figs has experienced significant revenue growth in recent years, driven by increased brand awareness, product innovation, and expansion of its customer base.

Future Projections: Analyst estimates suggest continued revenue growth for Figs, fueled by its strong brand, innovative products, and expansion into new markets and product categories.

Recent Initiatives: Recent strategic initiatives undertaken by Figs include expanding its lifestyle apparel offerings, focusing on team sales, and investing in its supply chain.

Figs is a growing brand in medical apparel known for innovative fabric, style and a D2C approach. The brand has a strong following from its customers. As the brand expands into new categories it can capitalize on a wider audience of consumers. An economic downturn might affect the brand's higher pricing. More competition from established players may be a future challenge.

• LULU
• CTAS
• VNT
• WWD

Data Sources:

• Company SEC Filings
• Market Research Reports
• Analyst Estimates

Disclaimers:

The data provided is for informational purposes only and should not be considered investment advice. Market share data is estimated and may not be precise. Financial data is based on publicly available information and may be subject to change.