Hippy Feet
About the Company
Hippy Feet’s mission is to support homeless youth aged 16-24 by providing transitional employment opportunities. Through its Minneapolis office, Hippy Feet runs a six-month job readiness program offering 15-20 hours of weekly work, which increases to 30 hours in Q4. Hippy Feet’s employment approach is designed to empower its participants by providing income and job training, helping them progress toward stable housing and employment outside the program.
The company partners with local nonprofits to identify participants and ensure employment opportunities are accessible and safe. Since transitioning to an employment-based model in 2018, Hippy Feet has employed over 160 individuals, providing more than 5,100 hours of work. Hippy Feet’s products, including socks and apparel, are produced sustainably in the U.S., using materials like recycled cotton and polyester sourced from Spain.
Idea Behind Company
The concept for Hippy Feet originated from Michael Mader’s personal experience. After suffering a traumatic brain injury in college, Mader realized he could have faced homelessness without support from friends and family. Inspired to help others who lacked similar safety nets, he developed Hippy Feet to support young people experiencing homelessness.
During his recovery, Mader envisioned Hippy Feet as a buy-one-give-one company that would donate socks to homeless individuals. However, he realized that giving socks was merely a temporary solution, and employment would be more beneficial. His journey to create Hippy Feet led him to win a state competition, securing $22,500 in seed funding, which helped bring his vision to life.
Creating the Company
After graduating, Mader and his business partner Sam Harper faced challenges in establishing Hippy Feet. They struggled to secure a manufacturer until Mader flew to North Carolina to personally pitch the concept, which led to the creation of their first product line. Their limited funding shaped Hippy Feet’s lean business model, and their initial collection remains a best-seller.
Hippy Feet’s early operations involved selling products at local events to raise awareness and generate initial revenue. Face-to-face interactions with customers allowed Mader and Harper to learn valuable insights about their market, leading them to refine their product offerings and marketing efforts. Over time, Hippy Feet’s commitment to employing homeless youth rather than just donating items differentiated it from competitors and deepened its social impact.
Launching the Business
Hippy Feet launched without a website, selling at local fairs to gain exposure. By November, they established an online presence, but in-person sales events remained a primary revenue source in the initial years. These events helped build customer relationships, with feedback informing product development and targeting efforts.
Their early marketing strategy emphasized paid advertising, primarily on social media. Seasonal cash flow posed challenges, with inventory and advertising budgets stretched thin before peak seasons. To address this, Hippy Feet introduced products like the Hippy Friendship Bracelet, handmade by homeless youth, which attracted year-round sales and became a top-seller.
Earnings
As of 2022, Hippy Feet generates approximately $720K annually, supported by eCommerce sales and custom B2B orders. The business also benefits from high ROAS in ad campaigns, especially during the holiday season. Hippy Feet’s growth strategy includes expanding into retail, with stores like Target and REI identified as potential partners.
Hippy Feet’s organic reach has also grown, boosted by SEO and influencer collaborations, including partnerships with Minnesota Vikings player Eric Kendricks. Future goals include increasing annual revenue by 100%, diversifying product offerings, and sustaining employment for homeless youth through continued business growth.
