Fab operates a design-focused online lifestyle shop offering unique home, wearable and gift products and says it has millions of customers worldwide. The company has shifted away from a flash-sales model and centralized operations at its New York headquarters to become a comprehensive global online lifestyle retailer. Fab recently debuted a new design store and is experimenting with brick-and-mortar locations as part of its international expansion strategy. Management acknowledged recent layoffs while describing momentum, growth, and a solid team. Fab is targeting Asia for growth and is pursuing partnerships and acquisitions to accelerate that expansion. Fab operates a design-focused e-commerce marketplace that emphasizes home and lifestyle products, with roughly 14 million users and sales in 27 countries. The company reported $120M in revenue last year and projected about $250M in 2013 sales, achieving 43% gross margins. About two-thirds of sales now come from non–flash-sale commerce, with 50% of revenue in home categories and one-third of orders placed via mobile. Fab is expanding its own product lines and exclusive designer partnerships, experimenting with brick-and-mortar (first store in Hamburg) and investing in mobile and social. International growth is a priority—1M members in the U.K. generate nearly 40% of European sales, and the company intends to expand in Asia with partners. Operational investments include faster fulfillment (75% of orders ship within 24 hours), a Netherlands warehouse to serve Europe, and a planned Las Vegas–area warehouse in 2014. Management expects U.S. and European operations to be profitable by Q4 2014 or Q1 2015. Fab is a design-focused e-commerce site that sells curated home and lifestyle products online. The company launched in June 2011 and was founded by Jason Goldberg and Bradford Shellhammer. Fab has expanded to 26 countries and reaches more than 10 million people. Since launch it has raised over $150 million in financing. The company reported strong recent sales, selling more than $6.5 million of product in the last week of November, up from $1.7 million in the same period the prior year (≈300% growth). Fab is targeting further international expansion, specifically looking at South America and Asia, and is pursuing an India market strategy. Fab began as social site Fabulis in 2010 and pivoted to a design-focused e-commerce marketplace, officially launching Fab on June 9, 2011. The site curates handpicked products and emphasizes merchandising, social sharing and mobile shopping; roughly 90% of items aren’t available on Amazon. Fab grew rapidly (title notes 9 million users; the article reports 8 million members a year after launch), with strong engagement metrics: four products sold per minute, 67% of daily purchases from repeat buyers, and mobile driving roughly 40% of revenue (Fab cited $50M in revenue this year and projected $150M in sales). The company has been focusing on logistics (building warehouses in New Jersey and on the West Coast) and moving from drop-ship to in-house/3PL fulfillment. Fab plans to expand internationally, scale private-label/Fab-branded basics (targeting 10–20% of sales), continue mobile and social investments, and explore brick-and-mortar and new categories. Fab operates a design-focused flash-sales e-commerce site that curates and sells design products. The company confirmed $105 million in new funding in a Series C led by London-based VC Atomico. Atomico’s participation is intended to help Fab scale its international presence, according to CEO Jason Goldberg’s blog post. The new round reportedly values Fab at about $600 million. This Series C brings Fab’s total outside investment to nearly $160 million, up from a $40 million Series B closed the prior December. Goldberg emphasized a grounded approach to growth and responsibility alongside the large financing.

Total raised

$329M

Funding rounds

8

Latest round

Series D

Latest activity

Jul 2013