Agreed re: business. My goal with this article was solely to highlight a marketing tactic, but there’s definitely much more involved with establishing a legit business. This framework can be used as a launching point for building a brand, as Sunny Co has gone on to do.
Also, I don’t believe they were ripping people off in any way. First, no one was being forced to buy this product, and swimsuits aren’t essential goods. They’re luxury consumer goods, everyone knew the price going in and willingly paid out of their free will.
Second, it’s the same tactic high end watch companies use to charge thousands for a watch that costs maybe $100 to make, or streetwear brands use to charge $100 for a t-shirt that costs $10 to make. If you establish yourself as a high-end brand, you can create value beyond your costs.
At the end of the day, $12 for a swimsuit is probably comparable to what you’d pay at Target.