L.L.Bean has built a $2 billion business by staying true to its origins. Founded in 1912 by Leon Leonwood Bean, the company began with a simple idea: create a boot that kept feet dry during hunting trips. That first product, the L.L.Bean boot, combined a rubber bottom with a leather upper and launched a brand that now sells clothing, footwear, tote bags, and home goods.
More than a century later, the company remains headquartered in Freeport, Maine, a coastal town about 20 minutes north of Portland. CEO Greg Elder, who has been with the company for nearly two decades, said there are no plans to move. “We are a family-owned, privately held company,” he said. “The family remains steadfast in their desire to keep this based in Freeport, Maine, where we’ve always been.”
A Flagship Store with a 24-Hour Legacy
The Freeport flagship store recently completed a four-year, $50 million renovation. It is also the only stand-alone L.L.Bean store open 24 hours a day, 365 days a year. While many retailers shift to online-only or direct-to-consumer models, L.L.Bean maintains a significant brick-and-mortar presence with around 60 stores in 22 states.
Elder said customers value the in-person experience. “The customer says they love to be able to come in and touch and feel the product, they love to be able to try it on and feel the fabrics,” he said.
The Catalog Endures
L.L.Bean’s catalog, first launched in 1912, remains a key part of the brand. While daily mailing volumes have declined by an estimated 10% to 14% each year, according to Elder, the company has no plans to eliminate it. “There is nothing in the foreseeable future that would suggest we’re going to eliminate the catalog,” he said.
The catalog is produced without the use of artificial intelligence. “We still believe in our hearts that old-school photography with real products on a real human is the way to go for our brand and our brand’s reputation,” Elder said.
A Cautious Approach to AI
As many retailers rush to adopt AI to streamline operations and boost profits, L.L.Bean is taking a different path. Elder said the company is “curious” about where AI might fit but is not actively searching for ways to deploy it. “That’s not who we are. That’s not in our DNA. We still revolve around the personal selling experience,” he said. “We’re quite cautious about some of the risks.”
One concern is AI’s environmental footprint, including its energy and water demands. “This computing power has an impact on the environment without question,” Elder said. “I’m really hoping that we can find the beautiful intersection of the use of this technology that provides employee and customer productivity, [but] still takes heed to the needs of sustainability, and retains and protects the humanity that is uniquely culturally L.L.Bean.”
Until then, Elder said the company is comfortable staying on the sidelines of the AI race. “It may be a little atypical,” he said. “But you know, that’s who we are.”