The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
NEW YORK, United States — Fab.com Inc., the e-commerce startup valued at more than $1 billion, signaled that job cuts may be coming as the company revamps its approach to selling goods and strives to turn a profit.
As of tomorrow, the company will complete a shift to an inventory-based system, Chief Executive Officer Jason Goldberg said in an e-mailed memo to employees. Fab had been relying on so-called flash sales, where a limited amount of merchandise is sold in bursts. The company also is rolling out a new website and mobile application by November, he said.
“Our processes are changing, along with our investments in technology that may impact the number of people required to perform various tasks,” Goldberg said in the memo, which directed employees to a detailed letter about the company’s strategy. “At the same time, we are accelerating our path to profitability, with a commitment to get Fab profitable on our current financing by continuously optimizing our cost structure.”
The shakeup follows a move in July to cut 100 Fab employees in Berlin. The company also shifted 30 workers from the German office to its New York headquarters, part of an effort to streamline the company. Fab said last month that no additional layoffs were in the works.
By Sarah Frier; Editor: Nick Turner
The algorithms TikTok relies on for its operations are deemed core to ByteDance overall operations, which would make a sale of the app with algorithms highly unlikely.
The app, owned by TikTok parent company ByteDance, has been promising to help emerging US labels get started selling in China at the same time that TikTok stares down a ban by the US for its ties to China.
Zero10 offers digital solutions through AR mirrors, leveraged in-store and in window displays, to brands like Tommy Hilfiger and Coach. Co-founder and CEO George Yashin discusses the latest advancements in AR and how fashion companies can leverage the technology to boost consumer experiences via retail touchpoints and brand experiences.
Four years ago, when the Trump administration threatened to ban TikTok in the US, its Chinese parent company ByteDance Ltd. worked out a preliminary deal to sell the short video app’s business. Not this time.