Sister Act II: Growing a bath biz

(Fortune Small Business) -- When sisters Monica Simeon and Marina TurningRobe invited Fortune Small Business to do a Makeover of their bath and body products business, they faced exciting opportunities - and daunting challenges ("Sister Act," December 2007/January 2008).

Based on the Spokane tribe's reservation in Ford, Wash., Sister Sky, which manufactures and sells bath and body products, had prospered selling tiny bottles of shampoo and lotion to hotels at gaming resorts on reservations across the country. Revenues more than doubled in 2007, to $550,000. The pair were eager to capitalize on consumers' growing interest in natural products and expand into major retail stores. But they needed a strategy.

Taking our experts' advice, Simeon and TurningRobe nixed plans to go national with a less expensive line. Instead, they intensified their focus on the gaming resort market while making a play for shelf space in specialty stores that favor natural products. That decision paid dividends. In October, Sister Sky landed its largest order to date: $40,000 worth of merchandise for the Quapaw Tribe's new Downstream Casino Resort in Joplin, Okla.

Simeon and TurningRobe prepared to fill more bulk orders by doubling their bottling capacity, from 30 to 60 bottles per minute. They also persuaded Whole Foods (WFMI, Fortune 500) to evaluate their products during the chain's annual bath and body review this month.

To build their brand, the women revamped their Web site, adding two blogs on which they share Native American traditions and details about their lives and company.

"We have a compelling story," says Simeon. "Our products are based on recipes handed down from generation to generation. That is meaningful to our clients."

Although sales growth isn't as hot as it was in the early years, the sisters are happy with their progress. In 2008 their revenues climbed 10%, to $600,000.

Says TurningRobe: "We're building a business for the long run."  

Could your business use a makeover? In general, successful Makeover candidates are profitable small companies with at least $1 million in annual gross revenues. To submit your firm for consideration, e-mail the FSB makeover editor here. Please describe your business briefly, provide your most recent and projected revenues, and explain why you think your company would benefit from a Makeover.