What an incredible, rewarding, humbling, and well designed journey. Photo: Daniel Goodman / Business Insider
JANUARY We were like Gay Yelp 10 NY employees
FEBRUARY We were like Gay Groupon
FEB 15 Realization: This isn’t working!
FEB 20 The Rethink
THE PIVOT We don’t want to spend one more dol ar, let alone $1M doing something we don’t have confidence in. FEB 24 We’ve been iterating on product. Now we are pivoting to a business model. We’ve been doing too much. We wil stop doing a lot of things, to focus on one thing. Convinced that iterating away in the gay space isn’t The Pivot going to get us to a $100M opportunity. Meanwhile, we we can see a $100M opportunity in front of us elsewhere. 3 criteria: (1) Passionate about it, (2) Can be the best in the world at it (3) Can be $100M+ business, The Pivot: From gay places+deals to doing one thing we can be the best at: DESIGN.
SUMMARY FEB 26 Fab.com management is preparing to relaunch fab.com as a private-sales site for design. The new fab.com will feature daily 70%-oﬀ private sales on well-designed products direct from manufacturers. This shift comes from maniacally paying attention to market feedback. We have uncovered this opportunity from our suppliers and our customers. Board Management is confident and enthusia Approval: stic about this new direction. We want to build a $100M+ business that disrupts a market and creates value. We no longer believe we can do that in the gay male space while we believe we have keen insight into how to do that in the design market. Restart the We can leverage our user-base and technology as we pivot, plus bring our unique social-media savvy to this market. business To support this move, Jason Goldberg will invest an additional $250,000 into new Fab.
fab.com the pivot FEB 26 Design Sales Board Our team’s passion + Customer Insights leads to Pivot Approval: Massive Pivot Gay Gay Groupon Gay Gay FourSquare Facebook Yelp
DIFFERENTIATION We will be all about good design. fab.com will be FEB 28 synonymous with good design. Other flash-sale sites are all over the map with their product ranges. Superior user experience The New Foundation Super use of social. Social is in our DNA. Make it fun, witty, stuﬀ people get excited about and want to tell their friends about.
Big Vision: The Global Brand Synonymous with Design Amazon.com for Design
MAR 9 Coming Soon 4 NY employees
MAR 20 Begin Viral Mechanics Holy Crap! 50,000 people join in first 30 days
April 15 Pre-Sales Social Features Launch: The Fab.com Inspiration Wall. Social Mood Board. Give users Something to do (and share!) while waiting for our sales to launch.
Pre-Launch Viral + Social = Rapid Growing Userbase June 8 165,000 Pre-Launch Subscribers 500,000+ people invited by friends Gained 165,438 opt-in subscribers in 80 days leading up to june 1, 2011) 50% viral from invite links 30% Inspiration Wall users Average subscriber has invited 3 friends, 1 of whom joined 330,000 additional emails of friends yet to convert
June 9 Launch Day! Featuring Milton Glaser Ashton Kutcher Invests 15 NY employees
June 20 - Progress To-Date June 20 12 Days Revenue $600,000 revenue in 1st 12 days vs. $470k plan for month $150 average order Cash flow positive week 3 $600k sales 4k new subscribers / day, viral, 2% daily growth! in 12 days Plan Actual Plan Actual 215,000 subscribers $1 per visit across all visits Cash Flow Positive .85% conversion rate
June 30 The initial reviews are in, and, um, they like us!
July 26 350,000 Members $8M Series A Fundraise led by Menlo Ventures
August Our mission: Make People Smile. We’re not in the design sales business, we’re in the design inspiration business. Inspire people and the sales will come.
August 500,000 Members Inspiration Wall V2: More Social Features
Photo: Daniel Goodman / Business Insider September 16 new sales events per day, 2000+ new SKU’s per day 55 Team Members Worldide
Sept. 15 Fab & Fast Company team up to launch U.S. Design Pop-Up Shop
Oct. 11 Fab goes mobile: iPhone, iPad, & Android
October: Service Matters More Than Sales. Sales go up and down. Service lasts forever. Commitment to invest millions to get this right
Oct. 28 Beth joins as COO, Dave as CFO
October Orders & Revenue Continue to Grow
Nov. 1 Entrepreneur Magazine We’re not worthy!
Nov. 14 1 Million Members in just 5 months since launch.
Nov. Holiday Shop Orders Skyrocket
Dec. 2 Building A Different Kind of Company
Dec. 7 Fab.com Raises $40M Series B
Dec. 15 Live Feed
Dec. 27 Growth Continues
Dec. 28 We like to rock 140 Team Members Worldide Photo: Daniel Goodman / Business Insider
And, we’re just getting started... Photo: Daniel Goodman / Business Insider
Thank You. Thank You. Thank You. To our customers, employees, designers, partners, investors, and friends.