Ask Kate McGregor’s colleagues and co-workers, and they will likely tell you that she was always destined to do great things, wherever she landed — but that they are glad McGregor’s path led her to the colorful world of vibrators and butt plugs.
McGregor did not initially set out to co-own a franchised Adam & Eve boutique in Greenfield, Massachusetts. In fact, she was initially resistant to the idea. Eventually, though, she came to love all that comprises daily life as a pleasure retail CEO, from working the sales floor to motivating her staff to traveling the country and doing business with folks who have quickly become treasured friends.
Having a strong legal background, and having built my own business with $2,500, has given me a strong foundation and the grit required to be successful in a brick-and-mortar retail setting.
When she’s not on the road, McGregor works remotely from her home in Virginia with a furry crew of Dalmatians and a tiny Pomeranian by her side. In this conversation, she shares some of the ups, downs and lessons learned along the road to becoming WIA’s Woman of the Month.
XBIZ: What led you to work with Adam & Eve? Did you always have a passion for adult products?
Kate McGregor: My career journey has been pretty unique. My dad, Scott, worked a corporate job until my brother and I graduated from college. In 2007, he called and said, “I bought an Adam & Eve franchise!” which he was finally able to get open in 2010 after a long period of having to fight the town, landlords and whatnot.
While he was building his business, I was building mine. In 2015, I was a paralegal considering law school, going so far as to start prepping for the LSAT — when fate intervened. At 30 years old, I had to get a hip replacement due to a congenital defect and while I was recovering, my law firm let me go. In the midst of my darkest days came an inspiration: to start my own dog-walking and pet-sitting business.
Everything was going according to plan until, in late 2019, Dad was preparing to retire and asked my brother and me if we were interested in taking on his store. We both emphatically said “No!” and in a cruel twist of fate, he passed away unexpectedly the next month, in January 2020.
As my brother and I faced the greatest undertaking of our lives during the deepest grief of our lives, COVID came upon the world and shut us down before we had a chance to start. The three months we were closed gave us time to process and understand the business. I went to Adam & Eve HQ in Hillsborough, North Carolina to learn about the company and the behind-the-scenes practices and procedures to make a brick-and-mortar work. My dad had built amazing connections throughout the adult industry, and those relationships were extended to us as we entered the business. For that, we will be forever grateful.
XBIZ: What are some of the biggest challenges you’ve faced in running the business?
McGregor: My biggest challenge has been learning to manage a business 650 miles away. I live in Virginia, where I own a doggy daycare, and it’s hard to be physically so far away from my business when problems arise or when I want to plan events or check on something. I’ve had to learn to manage problems, inventory, weather issues and more from afar.
XBIZ: Is there such a thing as a “typical” day for you, as a CFO and managing partner? If so, what does that look like?
McGregor: There is definitely no “typical day,” but usually, after my three cups of coffee and snuggle time with my dogs, I get on the computer, go through my emails and prioritize. On any given day, I handle the accounting, payroll, employee matters and more. I check in on my local business, but I mostly work from home. However, I travel a lot for this industry, which I mostly enjoy.
XBIZ: What skills and personality traits do you find essential for success in your career with Adam & Eve?
McGregor: Having a strong legal background, and having built my own business with $2,500, has given me a strong foundation and the grit required to be successful in a brick-and-mortar retail setting. However, I don’t think I could have been as successful in this business without my brother, Terrence. We both bring a complementary set of skills to the table, and there is no one else I trust more to embark with on this journey. We recently opened our first new store together and plan to open several more Adam & Eve stores over the next five years.
XBIZ: How do you approach managing and motivating your team?
McGregor: I believe in positive reinforcement. Sometimes, something as simple as acknowledging a great sale, offering SPIF or giving encouraging feedback goes a long way. I check in not just with management, but with the associates on the floor. I let them know that their thoughts, ideas and opinions matter, and that I make mistakes too. We are not perfect, but we can learn to do better next time when we do underperform.
XBIZ: What makes Adam & Eve stand out as a retail chain among the many retailers in the pleasure space?
McGregor: Phil Harvey and Dr. Timothy Black started Adam & Eve in 1970 as a small catalog, but it soon grew to become one of the largest mail-order catalogs selling contraceptives through nonmedical channels. Phil quickly expanded into other adult products like lingerie, lubes and sex toys. When Adam & Eve began to expand to brick-and-mortar, they would be in upscale areas offering a boutique experience. We still follow this standard today. Our stores are carefully designed to appeal to people of all genders and sexual orientations, every person and every body.
XBIZ: What advice would you give to someone, especially a fellow woman in adult, who aspires to work in adult retail and climb their way to the top?
McGregor: My best advice is: Learn and remember the names of your peers, reps and other connections you make. Maya Angelou said, “I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.” This so true and so powerful. Simply remembering someone’s name can make a difference. And to add to that, I would say build and work those relationships.
Each month, XBIZ spotlights the career accomplishments and outstanding contributions of Women in Adult. WIA profiles offer an intimate look at the professional lives of the industry’s most influential female executives.
