Fab's Two Year Anniversary
Welcome to a brand new episode of Cribs, the TechCrunch TV series that goes straight into the heart of the action at the tech industry’s hottest companies to see what it’s really like for the people who work there. For this edition we headed out on the road to the New York City headquarters of Fab, the super-popular e-commerce site that has quickly grown over the past couple years to be one of the web’s key shopping destinations (and one of the industry’s hottest companies from a valuation perspective.)
A Whole New Fab
To all the high-performing women with experience in finance, business development, marketing / communications, administration, and talent development: consider working towards the role of Chief Operating Officer.
As compared to other C-suite roles—namely the CEO, CMO and CFO roles—I have found that there is not as much attention (or explanation, even) paid to the COO. It could partially be by design: a good Chief Operating Officer is often behind the scenes, executing and operating with little-to-no need for public-facing fanfare. It could also be that unlike the roles of CMO (= marketing) and CFO (= finances), the job of COO can take on many expressions (seven, according to Vantage Leadership Consulting) that are so varied that the role in fact defies definition.
Fab.com is now the fastest growing e-commerce site on the web, with over 12 million members in its network as of last week. Yet despite their ongoing success as a third-party retailer, the company is looking to pivot once again, away from the flash sale model and toward developing Fab as a design brand. The ultimate goal, according to co-founder Bradford Shellhammer, is to become “the world’s alternative to Amazon and Wal-Mart.”
On the heels of winning best ecommerce application at the Crunchies last week, design-focused retail site Fab is revealing impressive sales data for January. The site added 1 million members in the month, bringing Fab’s total membership to 11 million users (up from 1.5 million in January 2012).
While Fab doesn’t normally release monthly revenue data, the company says that January, which is traditionally a slower month for retailers after the holiday rush, saw major growth. Sales were up by nearly 300% in January 2013 over January 2012 and the month was Fab’s 3rd highest sales month ever. Revenue was 40% higher than any previous non-holiday month.
The company also announced that Fab now has 1 million members in the UK, which is generating nearly 40% of sales in Europe and is its fastest growing market outside the U.S.
In terms of conversions, Fab’s repeat buyers continue to make up 67% of its daily sales. Mobile sales, which peaked over the holidays, are averaging around 33% of daily sales. And 8% of all logins to Fab in January 2013 resulted in a purchase.
Ready to take your career to the next level? If so, you’re in the right place — our Dream Job series explores what recruiters at awesome startups are looking for in candidates. Check out previous stories to learn how to score a gig at Birchbox or Klout.
Today, we’re going to talk about Fab, the ecommerce site with a special focus on design. The company famously pivoted from Fabulis, a gay social network, to a flash sales site for design-driven products. Now, the site is less focused on the steep discounts that once drew visitors but remains a design haven for its customers — 65% are return buyers — with tasteful product selection.
Referring to Fab’s growth, co-founder Jason Goldberg says in a 99U presentation, “That’s not an ecommerce website, that’s a movement.”
In 2013, the company plans to continue its incredible growth in what Goldberg calls its third pivot. The direction may be influenced by one of Fab's value: To celebrate challenges more than successes. Last year, the company combated slow shipping times by opening its first warehouse, called The Rack, and has a second one planned for the west coast (already christened Rack West). Pending incarnations of Fab are likely to continue its identity as a well-oiled force for customer service, with fantastic design.
Interested in making customers smile with Fab’s ever-growing staff? Be sure you’re up for the challenge, current employees say.
At the start of 2013, Fab’s leaders got together for a series of offsite planning meetings. There, we wrote out The Fab Way.
It’s a statement of how we work.
It expresses our values.
Design-focused e-commerce site Fab.com has been having a good year (and a half), and thanks to the massive 100-plus page slideshow the company has now shared, it has the figures to prove it. According to Fab’s latest, the site reached 10 million members in 2012, and sold 4.3 million products across 26 countries.
Many of the numbers Fab shared this week were previously released, but it’s remarkable to see them here in one presentation, which looks back not only at 2012, but at the past 18 months of Fab.com as a whole. Yes, Fab.com only debuted in June 2011, which makes its growth all that more impressive.
This online retail site handpicks its merchandise, letting shoppers look for items that are a little more unique than mass-market stores. It is the world’s fastest growing e-commerce site, having grown from 175,000 members at launch in June 2011, to over 10 million as of December 2012.
Fab was founded in February 2010 by CEO Jason Goldberg (formerly of XING AG, socialmedian, and Jobster) and Chief Design Officer Bradford Shellhammer. The site was originally created as a social network before pivoting on June 9, 2011 into its current model of daily design inspirations and sales
This year the company was able to raise over $100 million in venture funding.
This Presentation is Designed To Help Fab’s Employees (Current + Future), Partners, & Customers Get To Know Us Better. It features an update after 18 months of what we've done, how we do it, and where we're going.
Enjoy the holidays while you can e-commerce startups. Odds are long you will fail to build a billion-dollar business from a standing start. Online retailing is a brutal, low-margin industry and it’s next to impossible to build sustainable advantage in the age of Amazon.
Then there’s Fab.com. The merchant of designer goods doesn’t have a fancy “e-commerce 2.0″ business model, yet it is one of the fastest-growing online retail brands in the U.S. Sales are expected to pass$150 million this year, with holiday volumes hitting $1 million a day right now.
How social media, mobile apps and cools stuff created one of the Internet's most popular stores.
Jason Goldberg of Fab
Since launching in June 2011, Fab.com has become the internet's fastest growing e-commerce site. It's captured more than 9 million users with its yes-you-can-afford-it prices and constantly changing lineup of design products. From neon Baroque-style chairs and sequined party dresses to midcentury lamps and framed prints of sloths (yes!), Fab aims to offer a little something for everyone. The company's founder and chief design officer, Bradford Shellhammer, is Fab personified—whimsical, inspirational, and wickedly funny. Needless to say, the past year has been a crazy one for him, and he's picked up a few tips and tricks along the way. We caught a moment out of Bradford's schedule to find out the best ones.
Design focused e-commerce site Fab released a number of data this morning, and it’s impressive to say the least. Fab has sold more than $6.5 million worth of product this past week, up from $1.7 million during the same period last year. That’s up 300 percent from last year.
Fab also hit an all-time single-day high of more than $1.3 million in sales on Cyber Monday, November 26. That compares to $350,000 on the same day last year, up more than 3.5 times. That also marks Fab’s first million dollar day. Average order value was up more than 10% from previous weeks.
Online shoppers are using different mobile devices to buy through the day, says Fab.com CEO Jason Goldberg.
Jason Goldberg, founder and chief executive officer of Fab.com Inc., talks about the impact of free shipping on sales and market strategy. Goldberg speaks with Tom Keene and Sara Eisen on Bloomberg Television's "Surveillance.
Designer e-commerce company Fab today is beginning to sell “gifts” through LivingSocial’s website and marketing channels.
Fab will feature 50 of its “top picks” from its Holiday Shops in LivingSocial’s gift guide. LivingSocial, with 24 million U.S. members by email and on the site, promotes the gifts through its channels.
Jake Maas, senior vice president of consumer businesses at LivingSocial, says the deal will help the company transition from being a provider of local daily deals to a place where people can discover all kinds of unique products.
Fab.com Designing Success #waywire
Tonight at Facebook Gifts event at toy store Fao Schwartz, the company announced that Facebook Gifts is available to tens of millions of users starting today. Many new partners are on board as well: babyGap, Fab, Brookstone, Dean & Deluca, L’Occitane, Lindt, ProFlowers, Random House, Inc. and NARS Cosmetics, and subscription services Hulu Plus, Pandora and Rdio. Wines from Robert Mondavi Winery and Chandon will come in a couple of weeks.
A cash-and-stock deal with earn-outs based on future financial performance, The Economic Times of India asserts that this marks the first time a US e-commerce company has bought an Indian tech startup.
True Sparrow’s co-founder, Nishith Shah, is actually currently the CTO of Fab.com, so this doesn’t come out of the blue in any way. In fact, Shah previously co-founded socialmedian together with his wife and True Sparrow co-founder Deepa Shah, along with Fab CEO Jason Goldberg.
In February 2011, Jason Goldberg and Bradford Shane Shellhammer were faced with one of the most painful experiences an entrepreneur must deal with: to decide whether to shut down their business, Fabulis, which was a social network for the gay community, and return the money back to investors. So to deal with this predicament, what did the two friends and founders do? They got drunk. Goldberg and Shellhammer took a break from the grind and went for a boozy dinner in Manhattan to figure out what to do next. Goldberg asked his friend over drinks, “If we could take this money in the bank ($2 million at the time) and do something else with it, what would you do?”
Fab founder Jason Goldberg - "We want to be like Facebook, Coca-Cola or Google"
Fab Reinvents Mobile Shopping. Again.
Design-focused e-commerce site Fab is constantly iterating and innovating. The company, which just hit 7 million users, unlocked the site from signing-in, expanded internationally, launched a major site redesign and raised over $100 million more in funding. All of that happened in the past six months. To add to this list, Fab is debuting brand new, completely redesigned iPhone and iPad apps today, with social features, new navigation, search and more.
On October 27, 2010, I wrote a blog post about the “57 Things I Learned Founding Three Tech Companies.” This past week while in Tokyo for meetings, I was invited to participate in a panel discussion on startups. The discussion quickly turned to those 57 things. Thousands of miles away and two years later, people still want to talk about those 57 things.
In 2010, entrepreneurs Jason Goldberg and Bradford Shane Shellhammer had to face hard facts: Their gay social network, Fabulis.com, had flatlined at just 130,000 members. Rather than throw in the towel, they refocused the business on their shared love of great design and relaunched the company as Fab.com, a flash-sale site that offers a spectrum of chic items, including handcrafted furniture and avant-garde jewelry. In less than two years, Fab has grown to six million members, adding one million--a 20 percent bump--in July alone. The company is on track to finish 2012 with about $150 million in sales. As CEO, Goldberg oversees more than 400 employees spread among Fab's New York City headquarters and international offices. Goldberg spends a lot of his time refining the website, interviewing job candidates, and strategizing about how to make Fab a $1 billion company.
Opening of First Warehouse
In just a few weeks The Rack will be full of most of the products shipping to our U.S. customers for Fab
The biggest challenge, according to Shellhammer, is letting other people see his and Goldberg's vision through. "Jason and I have interviewed every single person in this company. My mission is [figuring out] one thing: Are you a culture fit?" Even so, Shellhammer emphasizes that there isn't a specific type of personality or background he's looking for. "It's about how smart you are, how much you like design, how passionate you are and how hard you'll work."
Received $105M Series C Funding
Participation Andreessen Horowitz, Menlo Ventures, First Round, Baroda Ventures, RTP Ventures, Pinnacle Ventures, Docomo Capital, Mayfield Fund, Atomico
Jason Goldberg - LeWeb London 2012
Within the past year, Fab.com has hit a lot of milestones: 1.8 million products sold, 4.75 million members and, now, three acquisitions. The acquisition being announced today on the company's blog is Llustre, a U.K. copycat of Fab that is identically focused on selling home decor, apparel and other items from independent designers. Terms of the deal were not disclosed.
Fab.com's international expansion continues, and this morning, the social shopping site is arriving in its 20th market: Canada. The additional market follows Fab's European expansion to 13 more countries across Europe last month, which then brought Fab to 16 countries worldwide. Since then, it has also added Sweden, Poland and Cyrus to the list.
Bumble-bee striped or polka-dotted, neon orange or neo-argyle, socks of all types are selling out fast on Fab.com, a popular design e-tailer. Gung-ho for hosiery, its fans are even posting sock images on Pinterest and tagging them on Tumblr blogs.
Bradford Shellhammer is sitting at the head of a conference-room table at the New York City office of his startup Fab.com. He's flanked by 20 of his product buyers, who are all watching him slide down in his chair, then slide up, then slide down again. He’s demonstrating the “Beach Thingy,” a flat, brightly colored plastic back of a chair with two spikes that anchor it in the sand. One of the buyers says it’s just a piece of plastic. Shellhammer disagrees. “It’s perfect because you can lay your towel down and slide up or down. And with a stomach like mine I hate getting in and out of the chair and having to suck it in. It’s perfect. This is why I’m a good salesperson,” he says, laughing.
Fab.com CEO Jason Goldberg took the stage today at Disrupt, he laid out a grand vision for the site. Backing up that vision, he noted that Fab launched less than a year ago, and it already has 4.5 million members. "That's not an e-commerce site, that's a movement," he said.
Design shopping site Fab.com is debuting the next major release of its platform today, Fab 3.0, which is going live on the U.S.-based Fab.com first. The revamp focuses heavily on improved "social shopping" features, and will soon arrive in Fab's mobile applications before rolling out to Fab's European properties later this year.
In December 2010, Jason Goldberg gave his investors the bad news first. Fabulis, the gay men's social network he started one year earlier with more than $2 million of their money, was a flop. But the good news was that Fabulis' "Gay Daily Deal of the Day" had generated significant buzz, largely thanks to Goldberg's cofounder, Bradford Shellhammer. The former head of sales at a trendy Manhattan furniture store, Shellhammer had a knack for picking quirky products that caught fire with users.
Fab has just released new figures on its growth in Germany and Austria, following February's acquisition of Casacanda, a top flash sales site previously serving Germany, Austria, and Switzerland. And the news is good, it seems. As of today, the German vertical Fab.de has 500,000 users, having added 300,000 over the past month. And revenue per month is up by over half a million euro.
Jason Goldberg, founder and chief executive officer of Fab.com Inc., talks about the design-focused Internet retail site's growth and strategy. He speaks with Deirdre Bolton on Bloomberg Television's "Money Moves."
Over three million users strong, design-focused flash sales platform Fab is expanding to a new vertical on Monday, with the launch of a beauty-focused pop-up shop in collaboration with Conde Nast glossy Glamour Magazine. As we wrote earlier this year, the fast growing site expanded their product offerings through the launch of the new Fab Shops, which incorporated verticals of Kids, Pets, Food, Fashion and Vintage.
Fab has been growing fast since its relaunch last June. Last month it hit the 3 million member milestone and it sold more than 1 million items total. We checked in with co-founder Jason Goldberg to see where the home decor and design sales site is now.
Design shopping site Fab is turning into a case study success story which tech entrepreneurs would be unwise to ignore. Founded in February 2010 as Fabulis by CEO Jason Goldberg (formerly of XING AG in Germany, socialmedian, and Jobster) with design industry veteran and Chief Creative Officer Bradford Shellhammer, the Fab guys flew in for London Web Summit this week to outline just what is going on at the company which is making huge waves in commerce right now.
Design-focused flash sales site Fab.com is debuting a new partner today?Madonna. The site is featuring a special offer for U.S. members today for Madonna's new album MDNA. The album will retail for $7.99 (vs. $14.99 retail).
While consumers and developers welcome Friday's launch of the new iPad, design sales site Fab.com has a special interest in Apple's tablet, which is powering more and more of its total sales. CEO Jason Goldberg shared with me some statistics on the potency of its iPad app users, who represent 15 percent of its customer base but make up 25 percent of all revenue.
One year after the infamous Fab.com ?reset? from a social network for gay men to a powerhouse design shopping site, CEO Jason Goldberg is taking a look back on the company's progress. Staying true to the startup's ?one thing? as he calls it (design, obviously), the company has grown to more than 2.5 million members, up from 1.5 million at the end of last year. That's 67 percent growth in the first two months of 2012, Goldberg notes.
Design e-commerce site Fab.com Inc. is going global, expanding into Europe with its first international acquisition. New York-based Fab.com will acquire Germany's Casacanda GmbH in an all-stock deal valuing the start-up at around $10 million, said a person familiar with the matter.
A year ago, Fab.com pivoted toward its present model as a design flash sales site, and it's been a stunning success, with 2 million members since launching eight months ago and a Crunchie award for best shopping app. But CEO Jason Goldberg envisions a much bigger future beyond flash sales for Fab.com as an Amazon-sized destination for design goods. Today, the New York City-based company is taking a big step toward that goal with the introduction of five weekly specialty shops for categories like fashion, pets and food that will more than triple the number of products Fab offers at any given time.
After hitting 2 million members at the end of last month, design shopping startup Fab.com is today rolling out new iOS applications that offer a number of new features and improvements. In addition to an updated layout, search and navigational elements, one of the apps' biggest new features is the inclusion of the recently launched new storefronts called "Fab Shops."
Fab's insanely rapid ascension to popularity is fast even for these heady days of social commerce. It took Gilt two years to get to one million users, ditto One King's Lane. Fab got to two million users in just seven months, adding 450,000 people in just the last thirty days. The site expects to do more than $100 million in revenues this year.
Last week we spoke with Fab COO Beth Ferreira. The flash sales site gets tens of thousands of new users per day, and it reached 2 million registered users within its first seven months.
Jason Goldberg, founder and chief executive officer of Fab.com, talks about his company's web site and small business leadership. He speaks with Deirdre Bolton on Bloomberg Television's "Money Moves."
Bradford Shellhammer remembers the exact moment he realized his fledgling Web start-up, Fabulis, a review site and social network geared toward gay men, was a flop. Last November, he and Jason Goldberg, one of his co-founders, flew to London, expecting to hold a festive party for their users there. Instead they found themselves among a sparse crowd at a tacky club in Soho, listening to an off-key singer doing show tunes and being served overpriced drinks by shirtless bartenders.
Fab.com, the incredibly fast-growing marketplace for all things design, has made its first acquisition after raising over $50 million in venture capital. The company this morning announced that it has bought NYC-based FashionStake, a community-curated marketplace for independent designers.
Design store Fab.com, has seen a huge surge in mobile use since launching mobile apps in October, with 30 percent of traffic now coming in via mobile. But more impressive than that is the fact that mobile visitors are twice as likely to buy compared to visitors to Fab's desktop website.
In many ways, 2011 was the year of the pivot. One startup that successfully switched gears was Fab, which started the year as a gay social network and ended it a design-oriented e-commerce site. Founder Jason Goldberg created the Fab Timeline slideshow below to illustrate all the changes the company has gone through, from its pivot in February to raising $8 million in July, another $40 million in early December, and growing all along the way.
Fab, the design flash sales site, has brought funky art designs and quirky products into millions of homes and it keeps growing. The company recently completed a $40 million round of fundraising and has added new features its site to make it more social. It reached 1 million users in less than 6 months. That's faster than Facebook by nearly half a year!
Fab.com, the ridiculously fast growing e-commerce startup, is launching a new social shopping feature today that lets members view and interact with any activity on the design flash sales site in real-time.
It's that time of year again-- time to log on to our favorite e-commerce sites, that is. They are sure to have another banner year. But it's been an interesting last few years for a new breed of commerce sites that are gaining millions of users and boatloads of cash. These sites are distinctly different from their predecessors in that they have social, gaming and entertainment elements deeply woven into the user experience. They're able to do so by leveraging the technologies and social graphs that were but a glimmer in the eye of the first commerce sites.
Flash sale site Fab.com CEO Jason Goldberg visits digits to discuss his company's recent $40 million venture capital investment and the outlook for online retail sales.
Newly public Internet companies are having a tough time on the stock market this fall, but that hasn't stopped venture capitalists from making some big bets on start-ups.
Received $40M Series B Funding
Participation Andreessen Horowitz, Menlo Ventures, First Round Capital, Baroda Ventures, SoftTech VC
It's really hard to express the emotions of our journey in written words. I'm a numbers guy, so I'll stick to the charts. Let me just say that it is such a thrill to be able to share our vision of inspiring, affordable and fun design objects with our customers. When you buy from Fab.com you take a piece of us and our design partners into your homes. We're just lucky and fortunate to be able to make that possible for you.
We've been following Fab since before it was a design sale site, and its growth story is really unbelievable.
It wasn't working. Goldberg and Shellhammer both knew it. Let's be fair: Fabulis.com, the social network they rolled out in January 2010, wasn't exactly floundering. The site--a lifestyle reviews and recommendations platform targeting gay men--wrapped up a Series A funding round valued at $1.75 million as the year drew to a close, with total membership eclipsing 110,000. But Fabulis wasn't exactly flourishing, either.
Fab.com Founder and CEO Jason Goldberg - Foundation
Whose tweets lead to more actual sales, Ashton Kutcher's or Kevin Rose's? The answer is not immediately obvious. Kutcher boasts 7.3 million Twitter followers to Rose's 1.3 million, but a recent promotion run by design shopping site Fab.com suggests that raw numbers don't always translate to more sales.
Received $7.7M Series A Funding
Participation Menlo Ventures, First Round Capital, Baroda Ventures, The Washington Post Company, Jason Goldberg, SoftTech VC, SV Angel, Ashton Kutcher, Guy Oseary, Zelkova Ventures, Kevin Rose
Fab.com, which started out as Fabulis, a social networking site for gay men, has not only recently changed its name but also started from scratch with an entirely new business centered around online flash sales of design items.
Fab.com, which started out as Fabulis, a social networking site for gay men, has not only recently changed its name but also started from scratch with an entirely new business centered around online flash sales of design items.
Received $1M Seed Funding
Participation SV Angel, SoftTech VC, First Round Capital, Baroda Ventures
Fab.com, which started out as Fabulis, a social networking site for gay men, has not only recently changed its name but also started from scratch with an entirely new business centered around ‘design online'. The company is today debuting its all-new website, which features daily design inspirations and invited member-only flash sales of design items at significant discounts.
There's a new player in the world of online flash sales: Fab.com, a site with a focus on modern design that goes live today. The first week's offerings include the Plumen light bulb, posters by Milton Glaser and items from Kid Robot, FontanaArte, Iittala and Eva Zeisel.
In December of last year, Fabulis, a social network for gay men turned into Fab.com, a daily deals site for gay men. Now just four months later, Jason Goldberg, Fab's CEO is turning the ship in yet another direction. Goldberg wants the new Fab to be a top destination for quality designed objects at below retails prices.
Received $1.7M Seed Funding
Participation First Round Capital, The Washington Post Company, Baroda Ventures, Zelkova Ventures, SoftTech VC
Received $625k Angel Funding
Participation The Washington Post Company, Allen Morgan, Lars Hinrichs, Don Baer
Received $250k Seed Funding
Participation Baroda Ventures