2011, Fab in the e-commerce circle quickly red, become a high-profile star enterprise, around its various electricity providers, the Bible is too numerous to mention. However, the latest news from Fab is that it is seeking acquisitions, the company’s core team will switch to another furniture electricity supplier brand Hem. Analysts expect the market value of Fab to be between $1 and $150 million, compared with $1 billion in June when it accepted Tencent and Andreessen Horowitz investments.
, what happened to Fab in just over a year,
but instant hit bottom
Fab was originally a gay social networking site Fabulis, followed by an increase in group buying, but after more than a year of trying, the business has not been much improvement. After that, Fabulis shortened the name for Fab and switched to the flash buying site for the design class. The transformation has made Fab famous all over the world, and Fab has become one of the fastest growing companies in the history of e-commerce. On the day of the launch, Fab sold $65 thousand worth of goods; 18 days later, it sold for $1 million; in less than 3 and a half months, the company had 1 million users. Such a natural attraction for the pace of development, a large number of investment institutions concern, Fab also logical to get a lot of financing.
, however, Fab’s good days did not last long, and soon developed into a predicament.
in December 2012, although the development of the Fab business is still fast, but the CEO Jason Goldberg has decided to gradually abandon the flash purchase mode, try to turn the full price of electricity, and the development of its own brand and store the line.
April 2013, Fab publicly announced a strategic transformation from flash sales site to a more traditional design for the characteristics of retailers, JasonGoldberg said that Fab will be built into the world’s largest retailer of creative products, direct competition with iKea and amazon.
since then, Fab has started a series of turbulence. The first was downsizing. In 2013, Fab conducted three rounds of layoffs. From June 2013 to November, Fab lost a total of about more than 330 employees, accounting for about half of its employees’ peak value of more than 700. In May 2014, Fab announced that 1/3 of its remaining staff would be laid off. For the layoffs, Fab said the main reason is to adjust the company’s business model, flash sales shift from traditional electricity supplier model makes many employees are no longer suitable for the development of the company, the new model will not need so much manpower.
followed by management team turbulence. Since April 2013, more than a dozen executives from Fab have left, including COO Beth Ferreira, a co-founder of commodities selected from Esty