As reported in the LA Times, JustFab Incorporated has more than four million members that are counting on them for their yoga pants and handbags. The company is based in El Segundo and is similar to that of Fabletics Kate Hudson’s product line. Each member must join and receive a monthly box of goodies. The model is similar to that of companies that give cable subscriptions for service. The box of products is varied and shipped like clockwork every 30 days.
While other subscription companies seem to be losing steam, JustFab seems to be trucking right along. Though they have had their share of bad publicity from customer complaints, the company has been able to rise above any new company criticisms. During a fundraising round two years ago, the company was able to earn the “unicorn” status. This was due to the fact that they raised more than $1 billion in their fundraising. It is projected that they will make around $650 million in revenues this year. This is a major increase from last year’s earnings of $505 million.
The co-founder Adam Goldenberg says that JustFab is on-track and headed for growth. Things that they plan on doing include a name change, which will be released in August, and laying the groundwork for going public. According to Goldberg, he stated that the company was heading towards being an IPO, but he will not comment on the timing of this event.
They are expanding beyond handbags and footwear. Those who have a VIP status at JustFab can shop from any of their offerings. The program is simple. It costs $39.95 to be a member. Each month, the customer has five days at the beginning of the month to ask for this month’s selection to be skipped. If they call in their “skip” within those five days, they will not have to pay for that month, and they will not receive any products.
With no plans of going anywhere anytime soon, it looks like JustFab may be one of the few companies of this type that actually make it. See: https://www.heels.com/shoe-brand/just-fab-shoes