Sea Bags is one of the most impressive growth stories in retail.
Sea Bags' wild ride:
- Grew from a tiny waterfront workshop to 50 stores across 15 states
- Saved over 1.5 million pounds of old sails from landfills
- Started on Portland's Custom House Wharf in 1999, making bags from used sails when nobody else was doing it
Here's how they did it:
The Sea Bags story starts on Portland's working waterfront back in 1999. Hannah Kubiak founded the company with a simple yet revolutionary vision: transform discarded sails into durable, useful bags.
She and a close friend ran a small operation, keeping "very Hannah-like hours" and making just enough to pay the bills. What made these products special wasn't just their recycled nature - each bag carried its own history through salt stains, weathered patches, and unique markings from years at sea.
Most folks thought the concept was crazy. Who'd pay premium prices for bags made from used materials? But Hannah persisted, running Sea Bags as more of a waterfront experiment than a traditional business for seven years.
Everything changed in 2006 when Beth Shissler wandered into the Sea Bags shop on Custom House Wharf. Drawn to the recycled sail bags, Beth asked for a discount on multiple purchases. Hannah wasn't interested in offering one.
But their conversation led to something far more valuable - a business partnership. Beth brought her MBA and semiconductor industry experience back to her home state of Maine, helping transform Sea Bags from a workshop into a brand.
From day one, Beth and Hannah built their company on three unwavering principles:
- sustainable products and practices
- Maine-based manufacturing (specifically on a working waterfront)
- deep community involvement
Their commitment extended beyond their products - they furnished their office with secondhand items, including windows from the neighboring Porthole restaurant and doors from Boone's Restaurant across the wharf. As Beth puts it,
"Used is better than new."
In 2008, they opened their second store - a significant step for the small Maine company. People loved the authentic, durable products, each with its own unique character and connection to maritime life.
Their Sail Trade Program became a turning point, allowing customers to exchange old sails for store credit. This ingenious approach built a community around their environmental mission while securing a steady supply of raw materials.
In 2013, Beth brought in investors, including Don Oakes, former senior vice president at L.L. Bean. A Maine native with a Harvard MBA, Oakes was immediately sold on the Sea Bags concept:
"This is too good to be true—taking something that would otherwise end up in a landfill and adding value to it."
With Oakes as CEO and Beth as president and chief sustainability officer, the company positioned itself for significant growth while maintaining its founding values.
The results were dramatic. They tripled their manufacturing space from 10,000 to 30,000 square feet, grew their workforce to about 300 people, and launched 26 new stores in just four years. Their retail strategy remained distinctly Maine-inspired, with Oakes explaining:
"By utilizing the existing unique characteristics of each space in designing and renovating each store, we keep our footprint light, costs down, and build-out time short, enabling us to stay true to our environmentally friendly approach and Yankee frugality."
In 2021, they relocated their flagship store to a 2,500-square-foot space on Portland's Commercial Street, just a stone's throw from their original workshop. This location, three times larger than their typical stores, serves as both a retail space and a representation of their brand journey.
Today, Sea Bags operates 50 stores across 15 states from Maine to California, offering an expanded line of products from totes to travel bags and accessories. Their business has evolved beyond retail to represent a lifestyle - coastal living with environmental awareness at its core.
So what's Sea Bags' secret sauce for retail success?
1. Build sustainability into your business model, not just your marketing
2. Create products with authentic stories that customers connect with emotionally
3. Maintain unwavering commitment to local manufacturing and sourcing
4. Design retail spaces that reflect your brand's values and heritage
5. Transform customers into community members who participate in your mission
Sea Bags demonstrates how authentic products, strategic retail expansion, and genuine commitment to sustainability can build a powerful brand. By preserving both sailing history and environmental resources, they've made it desirable to pay more for products with genuine character and story.
From Hannah's tiny workshop on Portland's waterfront to 50 stores nationwide, Sea Bags shows that staying true to your founding principles doesn't limit growth - it fuels it. Their journey proves that when you create something meaningful with a genuine story, customers will notice, connect, and open their wallets.
So next time you see a Sea Bags product, remember: it's not just a bag. It's a piece of sailing history that was rescued from becoming trash and transformed into treasure.
Now that's making waves.
Michele and Rich
KRCrossing Consulting
PS: Want to see these recycled sails in action? Check out this cool video showing how Sea Bags transforms old sails into awesome products right on Portland's waterfront.