Some fashion brands make it, and some do not, especially in the world of e-commerce. The opportunities are large for companies to break into the online retail world, and it’s become the way to shop in modern times. It might look easy, but the failure rate is high for new start-ups.
That is why JustFab Inc. has become a fashion phenomenon, set to draw in revenue of $650 million, up from $505 million last year. An article in the latimes took a look at the success of this subscription online fashion retailer and how the unique concept is working, with more than 4 million global VIP members.
Adam Goldenberg and Don Ressler are the co-founders of JustFab Inc., and they happen to be online branding geniuses with an impressive resume of successes. They recently hired Todd Tappin as the company’s new chief financial officer, who is an expert with IPOs. The rumors are circulating that JustFab is going to go public in the fall.
According to Bloomberg, JustFab sells on-trend women’s shoes, handbags, clothing and accessories at savings of 30% off each time a VIP member makes a purchase. The concept is all about personalized shopping with five boutique categories that a new member chooses to be in. These include JustFab’s Trendsetter, Femme Nouveau, Bombshell, Modern Classic and Girl Next Door. All designs are created and produced in the company’s spacious Los Angeles headquarters, passing the value and savings to the subscription members.
There is a five-day window at the beginning of the month to skip and not be charged at all, or to buy something at any price.
Just Fab also has successful off-shoot online retailers like Fabletics with Kate Hudson, Fabkids and FL2 with Oliver Hudson. Plus, they own the famous subscription retailer ShoeDazzle.
JustFab is also hinting at a corporate name change, with the new name avoiding the word “fab.”
Stay tuned for all the “fabulosity,” ladies.