JustFab co-founder Adam Goldenberg was only 15 when he founded his first company, an advertising network of gaming sites, which was sold to Intermix Media. Goldenberg dropped out of school to become Vice President of Strategic Planning at Intermix. He was later promoted to Chief Operating Officer, making him the youngest COO at only twenty years old. Adam Goldenberg met Don Ressler at Intermix and became friends. When the company was bought in 2005 by News Corporation, Don and Adam started their own company.
The pair created an e-commerce platform called Intelligent Beauty in 2006. After Don and Adam established brands as market leaders, they began to think of a new kind of personalized shopping experience. They wanted to incorporate cutting-edge fashion and social interaction at an affordable price. For this to work, they needed it to be fun and engaging. The guys expanded the personalization platform by hiring designers and consultants, and building a subscription model that was appealing and affordable.
The ending result was JustFab, a community where in which it’s members receive a variety of handbags, shoes, and accessories custom for their taste at only $39.95 a month. Don stated that they are not just shipping out bags, accessories and shoes once a month, they are keeping engagement high by changing their subscription model. JustFab provides style boards and shows you each look on models to help you learn how to wear every item. The company raised $85 million in August of 2014, in a round led by Passport Special Opportunity Fund. It brought JustFab’s funding to $300 million, and it turned into a so-called “unicorn” or a company whose valuation is over $1 billion.
“We never think of ourselves as a unicorn, so it’s not like we’re in the office saying ‘It’s great to be a unicorn!” he said. He also stated that they have a lot of employees who have dedicated the last five years to building great brands and making their customers happy on hudl.com. Claiming that the last round of financing didn’t have a large impact on the way that they operate as much as their previous rounds. The validation they have received is a great thing, and it lets them know that they are building a company that is valuable.