Reinventing Sustainable Luxury: Delphine Lefay, CEO, OnTheList
A Visionary for a More Responsible Retail Industry
In an exclusive interview with JESSICA, Delphine Lefay, the visionary CEO of OnTheList, shares her inspiring journey from the corporate world to entrepreneurial success. With a career that has always balanced ambition and altruism, Lefay's passion for sustainability has led her to the forefront of the retail industry's transformation.
Through OnTheList, Lefay is challenging the industry norm of destruction and offering a solution to the growing problem of fashion waste. Her vision for a more responsible retail industry extends beyond mere profitability, aiming to instigate a significant shift in consumer habits and the industry's approach to unsold inventory. Lefay believes that luxury fashion can be sustainable and that every product made with love should find a home.
Delphine Lefay, CEO, OnTheList. Wearing her gifted Jaeger-Lecoultre Reverso timepiece alongside her Gucci dress and Celine Shoes bought from OnTheList.
From Concept to Reality
Delphine Lefay's entrepreneurial journey began with a realization and a challenge: the fashion industry's issue with excess stock and the need for sustainable solutions for unsold luxury goods. Drawing on her experience in the luxury retail sector in Hong Kong, Lefay identified an opportunity to make a difference. She and her co-founder/husband launched OnTheList in Hong Kong inspired by similar concepts in Europe and the US. Early challenges included convincing brands to work with them without a database or experience. "Fake it till you make it...it was just trying to convince the first one to work with us." Lefay's "fake it till you make it" approach and grassroots marketing efforts, such as hosting barbecues to distribute event flyers, helped overcome these hurdles. Their first breakthrough came five months in with a distributor, leading to their first sale event in 2016.
"We didn't quit our jobs; it was a side project... That's why we continued."
Lefay's resilience and innovative approach turned these challenges into stepping stones, gradually earning the trust of major brands and establishing OnTheList as a trusted partner in sustainability. This part of her journey underscores the essence of entrepreneurship: turning obstacles into opportunities and vision into reality.
A Sustainability Vision
At the heart of Delphine Lefay's mission is a steadfast commitment to sustainability. Recognizing the environmental impact of fashion waste, Lefay, and OnTheList pioneer a model that breathes new life into unsold luxury goods. This commitment goes beyond the company's foundational premise; it influences every aspect of its operations, from selecting brand partners to organizing sales events.
Lefay envisions a world where luxury items are cherished and re-homed rather than discarded, challenging the industry norm of destruction. Her approach not only offers a solution to product waste but also educates consumers and brands about the importance of sustainability in the luxury sector. Through OnTheList, Lefay seeks to inspire a shift towards more responsible consumption patterns, making luxury retail not just about exclusivity, but also about environmental consciousness. OnTheList operates as the last channel before brands would otherwise destroy unsold products, particularly in fashion and beauty. This realization led to the founding of OnTheList to prevent these items from being destroyed, embodying a commitment to sustainability. The company's vision is that every product made with love should find a home and be proudly loved, thus avoiding destruction.
OnTheList acts also acts as a part of a circular model, after listing on their platform, they then encouraging brands to donate unsold products to charities or educational institutions, ensuring these items are utilized rather than wasted. This approach not only aligns with sustainable practices but also positions OnTheList as a crucial player in reducing waste in the retail industry. Lefay expresses a desire for brands to engage more in donating unsold goods, highlighting a balance between maintaining brand image and embracing sustainability.
Leadership and Empowerment
Delphine Lefay's leadership philosophy is anchored in empowerment and trust. She creates an environment where autonomy is not just encouraged but expected, believing that such a culture fosters innovation and accountability. By delegating significant responsibilities to her team leaders across different markets, Lefay demonstrates her trust in their expertise and decision-making abilities. This empowerment extends to encouraging her team to experiment and learn from both successes and failures.
Lefay's approach to leadership is about nurturing a positive work culture where every team member feels valued and motivated to contribute their best. She adopts a results-driven approach, valuing the relationships and trust built with her team, many of whom left corporate jobs for more entrepreneurial roles at OnTheList. Lefay believes in listening to their ideas, and allowing them to test and learn, which she sees as crucial for fostering a positive and productive work environment.
"The beauty of what we're doing allows for quick wins...it gives you confidence."
This approach aligns with her broader perspective on leadership, which is about empowering individuals, building trust, and encouraging innovation through autonomy and accountability. OnTheList, now with around 200 employees across seven markets in Asia, operates with a structure that includes managing directors and brand directors in different markets, each reporting to Lefay and her co-founder. This setup is designed to empower teams and encourage leadership at various levels of the organization. Lefay emphasizes her preference for not micromanaging, instead granting significant autonomy to her team leaders, trusting in their capabilities and expertise to make decisions in their respective markets.
Global Mindset
Navigating OnTheList's expansion across Asia required Delphine Lefay to adopt a global mindset, acknowledging the diverse cultural landscapes of each new market. Her strategy involved deep market research and a nuanced understanding of local consumer behaviors, ensuring that OnTheList's entry was both respectful and relevant. By tailoring strategies to fit each locale's unique preferences and retail environment, Lefay demonstrated adaptability and cultural sensitivity—key components of her global business strategy.
"Understanding culture is key before doing business...each market has a different culture."
This approach not only facilitated successful market entries but also underscored the importance of cultural awareness in international business expansion, highlighting Lefay's adeptness at merging global ambitions with local insights. Over eight years, they opened markets in eight locations, with one closure in Taiwan due to various challenges. Lefay emphasizes the importance of understanding and respecting cultural differences, noting that what works in one market might not work in another due to cultural nuances. For instance, business practices in Korea are influenced strongly by cultural norms, such as respecting seniority in conversations.
Lefay highlighted the significant differences in consumer behavior across different markets, emphasizing the importance of adapting to local preferences and understanding the popularity of specific brands within each market. She noted how some brands that are popular in one country may not have the same appeal in another. For example, a brand like Canada Goose may be extremely popular in China but less so in the US. This discrepancy extends to the fashion industry, where high-end brands may have different positioning and popularity across markets. Delphine's insights underscore the necessity for businesses to be culturally aware and adaptable, ensuring that their product offerings align with the tastes and preferences of the local consumer base.
OnTheList places a core team quickly in new markets to establish operations, reflecting a strategic approach to global expansion while respecting local market characteristics and challenges. Lefay also mentioned the critical role of local market research, understanding the retail dynamics, and assessing the competition before entering a new market.
Balancing Acts
Delphine Lefay candidly shares her strategies for managing the delicate balance between a flourishing career and a fulfilling personal life. With the unique dynamic of working closely alongside her husband, Lefay faces the challenge of delineating professional and personal spaces. Yet, it is through their shared passion for OnTheList and commitment to their family that they navigate this balance.
"It's difficult to turn off when you're an entrepreneur."
Integrating work with life, rather than compartmentalizing them, Lefay embraces the blend, finding harmony in the chaos. Her journey underscores the reality that for entrepreneurs, work-life balance is not about separation but about finding joy and fulfillment in both arenas.
Despite trying to set boundaries, such as not working on weekends (with the exception of Sunday nights), work discussions often seep into their personal time. However, having two young children has helped shift their focus and provided a natural diversion from work. Lefay highlights the inherent difficulty entrepreneurs face in truly disconnecting from their work, indicating that while it's challenging, the joy and motivation derived from their work and family life help maintain a semblance of balance.
Advice for the Future
Delphine Lefay offers sage advice to aspiring entrepreneurs, emphasizing the importance of perseverance, adaptability, and the willingness to learn from every experience. She advocates for a measured approach to business development, encouraging entrepreneurs to start small, test their ideas in real-world scenarios, and gradually scale based on validated success. For Lefay, the entrepreneurial journey is as much about the journey itself as it is about the destination. Her guidance to embrace challenges as opportunities for growth serves as a beacon for those looking to forge their own path in the business world.
"The concept of agility...don't go for big leaps, but just small steps."
Lefay offers invaluable advice for aspiring entrepreneurs, particularly emphasizing the concept of "testing and learning." "Testing and learning are crucial...start small, validate your idea, then scale." She shares a personal anecdote about advice she received from her previous boss, illustrating the importance of starting small and validating your idea before scaling. For instance, before opening a restaurant, start by cooking at home and inviting friends to taste what you're cooking, gradually moving to a model where you charge for the meals. This approach allows for gradual improvements and risk management, emphasizing agility and the significance of taking small steps towards larger goals. Lefay underlines the importance of not being deterred by the enormity of tasks but focusing on manageable steps to achieve success.
Text: Jeremy Chapnick Photos: Raymond Chan