The Early Struggles of Freja
In 2019, Jenny Lei found herself in a difficult position. As an unemployed UX designer with a passion for creating the perfect work bag, she had invested $30,000 of her savings into handbags, hoping to launch her own brand. However, when the first batch of bags arrived, sales were far from what she had hoped. After a month, only 20 bags had sold, leaving her with a stack of unsold inventory in her Hoboken, New Jersey apartment.
Despite the setback, Lei refused to give up. “My plan failed spectacularly,” she admits, but she knew that she couldn’t afford to fail. Drawing on her remaining savings, Lei doubled down, investing further in a second production run. Over the next year, sales remained sluggish, but Lei continued to refine her strategy, pouring money into social media advertising and rethinking her designs. Slowly, the business began to gain traction, laying the foundation for Freja’s future success.
Turning the Corner and Breaking Through
Freja, now a four-year-old company, has grown significantly, with $9 million in annual revenue, including $2 million in profit. Lei attributes much of the company’s success to cultivating a loyal customer base through minimalistic designs and a strong commitment to sustainability. Despite her initial lack of fashion industry experience, Lei focused on creating bags that resonated with a specific group of people—environmentally conscious, working women.
Her breakthrough came in 2022, when the company’s revenue reached $1.7 million. This milestone allowed Jenny Lei to reinvest into the business, expanding her range of products to appeal to a broader audience. With the addition of new bag designs and a strategic marketing push, Freja’s revenue grew to $5.3 million in 2023. Lei’s efforts paid off, as the company became cash-flow positive and was able to pay off two loans from Shopify. Freja is now projected to reach $12 million in annual revenue by the end of 2024.
Overcoming Competition and Building a Brand
Despite the impressive growth, Freja remains a small player in the global luxury handbag market, dominated by brands like Louis Vuitton and Dior, which generate billions in profits. However, Lei has managed to stay competitive by continuously evolving her product offerings and focusing on customer loyalty. She hosts events, mentors other young women in business, and uses her growing array of bag styles to capture a wider audience.
In an industry where staying relevant is a constant challenge, Jenny Lei’s determination to learn and grow has been key to her success. “No one is born a designer,” Lei says, reflecting on her journey. “But I can become one in a couple of years if I give it a go.” Today, Lei feels confident in her role as a designer, and as Freja continues to expand, she’s optimistic about the company’s future.
What started as a slow, financially precarious venture in her living room has now turned into a profitable, sustainable business. With her commitment to quality, sustainability, and customer engagement, Jenny Lei has proven that with persistence, innovation, and a willingness to learn, success is within reach—even in the fiercely competitive fashion industry.
