FUTURE PROOF: Kennedy of Ardara:The company has adapted its business style to stay in operation for more than a century
In its 100-year existence, Kennedy of Ardara has survived two recessions and two World Wars and evolved from a local drapery shop to an award-winning knitwear business.
The firm was founded in 1902, when Con Kennedy returned from the US after 20 years running saloons in the Wild West mining towns of Gallup, New Mexico and Winslow, Arizona.
He met his wife Etta, a renowned milliner, seamstress and dress maker, and the two set up a drapery business in the Donegal town of Ardara.
There was a slump in the drapery business following the second World War, forcing the company to change direction and branch into knitwear. “The business couldn’t get the linen supplies it needed when the war was on. At the time we were doing embroidery on tablecloths and napkins for companies in Northern Ireland.”
Knitwear was selected as the local talent was there, according to managing director Connell Kennedy.
“There were hundreds of women in the area who could knit. The knitwear was sold in the shop and it was hugely popular.”
From the 1950s onwards, when the company focused on knitwear, it began exporting worldwide to countries including the US, Canada, New Zealand, Australia, Bermuda, Japan and Europe.
In 1962 Kennedy of Ardara was awarded exporter of the year, beating Waterford Glass to the top prize.
The company employed up to 2,000 hand-knitters between the 1950s and 1980s, at a time when it supplied stores such as Macy’s, Bloomingdales and Altman in New York, and Neiman Marcus in Dallas.
“We employed a knitwear designer. She came to Donegal and found out about the rich heritage of Aran sweaters. She applied the old heritage of Aran knitwear to the fashion trends of the time.”
The company counts Sex and the City actress Sarah Jessica Parker, singer Moya Brennan, playwright Brian Friel and Lord Mountbatten among its celebrity clientele.
“I gave Lord Mountbatten the wrong change one day. He was a regular customer,” Kennedy says.
While war or recession might provide large hurdles for most companies, for the Kennedy knitwear business it was the 9/11 terrorist attacks.
“The 1980s’ recession were some of the best years we ever had in business. The dollar was very strong against the Irish pound at the time and there were a lot of American tourists coming to Ireland. Everything was very cheap for them.”
“The September 11th terrorist attack had a huge effect on us. There was a massive fall in tourists and orders from the US. We had no contingency plan.”
And in the current recession, following the banking and property collapse of 2008, “We had to implement flexi-time to cut down on costs. We’ve had to be flexible depending on wholesale orders.
“Workers might have to work late at night or at weekends and then it could be quiet for a while.”
The company has six staff employed full-time and a further 10 employees on flexi-time.
“The price of wool has increased by 75 per cent in the last two years, but we’ve had to keep retail prices the same.”
The recession has also made it more difficult to get credit from the banks, Kennedy says.
“There are a lot more hoops to jump through now for bank loans than 10-15 years ago. It helps though that our business has been in operation for 110 years.”
The company’s website was launched last November to provide the business with a new revenue stream.
“We see growing the business online as another chapter in the colourful history of Kennedy of Ardara. It was during World War two, when a slump came in the sale of tweed and embroidery, that my parents started developing the Donegal hand-knitting industry which the company became known for.
“My great-grandfather and namesake returned from America to start up the business.
“In some small way, I feel I’m following in his footsteps by also returning to Ardara, only to get the online business up and running,” Mr Kennedy’s son, Connell jnr adds.