Figs Inc. (FIGS, Financial) disrupted the health care apparel industry by reimagining health care apparel and creating a digital connection with health care professionals. Prior to Figs, health care apparel consisted of commoditized scrubs sold by third-party medical supply stores. With Figs, health care professionals now have access to technical, comfortable, functional and stylish apparel. By selling directly, Figs has a structurally advantaged margin profile, deep relationships with an intensely loyal community, and a trove of customer data to drive its replenishment-driven business. The two young women who founded this business began selling uniforms from the trunks of their cars. Just like Nike’s Phil Knight.
From Ron Baron (Trades, Portfolio)'s Baron Funds first-quarter 2023 letter.
