We were lucky to catch up with Khamron Micheals recently and have shared our conversation below.

Alright, Khamron thanks for taking the time to share your stories and insights with us today. It’s easy to look at a business or industry as an outsider and assume it’s super profitable – but we’ve seen over and over again in our conversation with folks that most industries have factors that make profitability a challenge. What’s biggest challenge to profitability in your industry?

Indeed, the sneaker resale industry has recently undergone significant shifts and challenges. As a sneaker reseller operating within this space, the primary challenge I face regarding profitability revolves around the delicate balance between increased base prices set by companies and the corresponding surge in product production.

One of the foremost issues is the correlation between elevated base prices for limited-edition sneakers due to economic impacts and the simultaneous increase in the production volume by companies. This dynamic presents a dual challenge. Firstly, the heightened base prices set by manufacturers or brands directly impact the initial cost for resellers to acquire these limited-edition sneakers. Secondly, while seemingly beneficial for meeting consumer demand, the increase in production volumes often dilutes the exclusivity factor previously associated with these limited releases.

This scenario poses a significant obstacle for me as a sneaker reseller. When setting resale prices, I must carefully consider multiple factors, especially the market’s response to higher base prices and increased availability. The balancing act between maintaining a competitive market price that appeals to my clients while ensuring a reasonable profit margin becomes increasingly challenging.

The convergence of these factors leads to a situation where the profitability per sale diminishes. It’s a direct result of the need to align market prices with the economic realities of manufacturers, along with the evolving landscape of consumer demand and product availability.

Ultimately, this challenge paints a picture of the complexity of the sneaker resale business. Maintaining profitability amidst shifting market dynamics, increased base prices, and production volume is a puzzle that requires constant adaptation and strategic pricing decisions.

Khamron, before we move on to more of these sorts of questions, can you take some time to bring our readers up to speed on you and what you do?

My name is Khamron Micheals, and I’m honored to be the co-founder and current consigner at Shewz Houston, LLC. My journey in the sneaker industry traces back to my childhood, instilled in me by my parents’ introduction to this vibrant culture. From an early age, my fascination and passion for sneakers became integral to my life. This deep-rooted passion eventually led to the inception of Shewz Houston, which I co-founded with a close friend I met back in 3rd grade.

Our entrepreneurial spirit began taking shape in 5th grade when we started our first venture, selling CDs at the local barber shop. As we grew, we transitioned to organizing parties centered around sneaker culture during our middle and high school years. Subsequently, we both worked at a sneaker store throughout high school, laying the groundwork for Shewz Houston.

The journey from humble beginnings involved delivering sneakers from the trunks of our cars from 2013 to 2020 until securing our first physical shop in a salon mall in 2020. At Shewz Houston, we focus on curating and selling limited edition, hard-to-find sneakers that deviate from the conventional stock in typical sneaker stores. We take pride in crafting an exclusive shopping experience tailored specifically for the Houston community, infusing our brand with the essence of Houston’s vibrant culture, given our roots and upbringing in this incredible city.

Our competitive edge in this industry is our deep-rooted connection with Houston – growing up here, being a part of the culture, and immersing ourselves in the lifestyle. This intimate understanding allows us to resonate with our clientele on a level that goes beyond mere commerce. It empowers us to move significant volumes of our merchandise and compete favorably against larger establishments.

Shewz Houston serves as the ultimate destination for our clients, eliminating the hassle of entering raffles or tirelessly hunting down coveted sneakers. We’ve created a one-stop shop for all exclusive sneaker needs.

I’m most proud of our ability to build an authentic client base without compromising our integrity or resorting to gimmicks. Our growth has been organic, rooted in genuine connections and a steadfast commitment to our principles.

As the sneaker industry evolves, we aim to retain the loyalty of our clients and potentially expand into new lifestyle industries while staying true to our core values and the essence of what makes Shewz Houston unique.

We’d love to hear the story of how you turned a side-hustle into a something much bigger.

My venture into the sneaker resale industry began as a passion project during my high school years, working at a retail sneaker store back in 2007. What started as a side hustle quickly became integral to my identity and growth. In 2013, while still an undergraduate college student, I co-founded Shewz Houston, laying the foundation for what would eventually become my full-time business.

Throughout my undergraduate studies and subsequent career as a respiratory therapist, I continued to nurture my passion for sneakers and the resale market. Concurrently, I pursued a master’s degree, navigating the complexities of academia while also tending to the growth of Shewz Houston. The early days were a juggling act, but the business was the bedrock of my aspirations and who I was becoming.

Scaling up organically was pivotal. Building on my existing clientele, I bought in bulk based on previous releases and the hype surrounding specific shoe models. This approach allowed me to cater to the demands of my growing customer base and gradually expand the scope of Shewz Houston.

A significant milestone in this journey was transitioning from selling shoes out of my trunk to establishing our first brick-and-mortar location. It was a testament to the trust and loyalty of our local clientele. Witnessing the evolution from serving Houstonians to shipping sneakers across the United States was a defining moment.

However, the most remarkable leap was seeing the brand outgrow its founders. When clients started recognizing and associating with the brand Shewz Houston beyond just knowing the faces behind it, I felt the most significant impact of our efforts. It was a testament to the brand’s resonance and the community we had built around it.

Expanding from local roots to a national presence, from trunk sales to a physical location, and gaining recognition beyond our immediate sphere have been the key milestones that define the transformative journey of Shewz Houston.

What many might consider a side hustle has been, for me, the cornerstone of my identity and aspirations. It’s been a journey marked by resilience, dedication, and an unwavering commitment to providing an exclusive experience to sneaker enthusiasts.

Can you tell us about a time you’ve had to pivot?

One of the most substantial pivots in my business journey came during my transition into doctoral candidacy, necessitating a shift from my role as a co-founder actively engaged in management at Shewz Houston to a consignment-focused position. This change was a pivotal moment that required careful consideration and a reevaluation of my priorities and responsibilities.

It was an immensely challenging decision as it entailed stepping away from a managerial role I had dedicated myself to within Shewz Houston. The concern of potentially letting my partner down weighed heavily on me, coupled with the uncertainty about the business’s readiness to function autonomously in my absence. Nevertheless, I recognized the need to adapt and make the best choice for my career trajectory and personal growth.

Opting for a consignment-oriented role allowed me to continue doing what I was most passionate about—supplying the community with exclusive sneakers. However, it also liberated me from the demanding and intense responsibilities of the management position. This pivot enabled me to refocus my efforts on the aspects of the business that aligned most closely with my strengths and preferences at that moment.

Reflecting on this pivotal decision, I cannot definitively claim it as my best decision. However, I found contentment in realizing it was a necessary step in my journey. It provided me with the space to realign my priorities and find a balance between my career aspirations and personal well-being.

Ultimately, this pivot marked a significant shift in my role within Shewz Houston, allowing me to concentrate on what I excelled at while paving the way for personal and professional growth outside of the sneaker industry.

Contact Info:

• Website: Www.shewzhouston.com
• Instagram: @shewzhouston @instakham
• Other: https://www.click2houston.com/news/local/2023/07/06/more-than-just-shoes-2-childhood-friends-plan-to-take-over-resale-industry-with-store-inspired-by-houston-culture/