Fab.com moving some services away from Berlin

Fab.com moving some services away from Berlin

Online design shop Fab.com is moving some services away from Berlin and to centralise them in its New York offices. Thirty people will be able to make the transition, while another hundred will lose their job. A fundamental change in strategy is the main reason for the shift.

From “flash sales” to “global retail”

“I’m very sorry for what I have to announce today”, writes founder and CEO Jason Goldberg. “This decision is personally painful but strategically sound and, critically, not a result of any financial difficulties or a change in commitment to Berlin, Germany, the UK, the broader EU or our overall growth.”

 

Following the takeover of companies in Germany and Great Britain, Fab wants to start selling products across the world itself, instead of organising a new “flash sale” every day for new products, as is the case now.

 

Only one shop

That kind of strategy is no longer attainable on a larger scale, says the Fab founder. “The way that stores operate and scale globally is to sell the same stuff everywhere. Make once, sell everywhere. Buy once, sell everywhere. That’s what Ikea does. That’s what Urban Outfitters does. That’s what ASOS does”.

 

“We can’t have 2 different stores anymore. We need to have just 1 Fab store. That will enable us to sell better products, always in inventory, always shipped as fast as possible, and for us to always give our customers a consistent Fab experience”, writes Jason Goldberg.


(UPDATE) Fab.com has let us know that “a closing of the European headquarters”, a rumour that circulated earlier, is out of the question: “We are only centralising a number of operational services, such as merchandising and marketing at our headquarters in New York. The local customer service, returns, shipments and logistics, finance, IT and HR for Europe remain in Berlin and Eindhoven.”


Furniture designer Fab DBY (Fab Designed By You) remains in Berlin. Currently it employs 35 people, a number that should double by the end of the year.

 

Questions or comments? Please feel free to contact the editors


Twelfth straight growth quarter for Walmart

17/08/2017

American supermarket chain Walmart has surpassed analysts’ expectations for the previous quarter, the company’s twelfth straight growth quarter. The world’s largest supermarket chain especially benefited from a strong online growth.

FrieslandCampina sells fruit juice division

17/08/2017

Dairy company FrieslandCampina has sold its fruit juice division, which also contained the Appelsientje brand to Dutch investment firm Standard Investment.

Carlsberg's turnover increases despite lower volumes

16/08/2017

In the first half of the year, Danish beer brewer Carlsberg’s turnover grew 2 % to 31.8 billion krona (4.3 billion euro). The improves sales for its more expensive beers, like Grimbergen, contributed to this turnover increase.

Losses keep growing for HelloFresh

14/08/2017

In the first half of 2017, meal box delivery service HelloFresh has seen both its turnover and its losses grow significantly. This gives mixed messages in the preparation of its IPO, which is planned this fall to create room for more investments.

Italian gelato is European market leader

11/08/2017

Italian cuisine is revered all across the globe, with people often thinking of pizza and pasta. However, Italians also have an ironclad reputation when it comes to ice cream. This is also reflected in sales, as Italians are the European market leader.

Oprah Winfrey and Kraft Heinz join forces

10/08/2017

American tv star Oprah Winfrey has joined forces with Kraft Heinz to develop a range of “healthy and nutritious soups and side dishes”. The range, currently only available in the United States, should help Kraft Heinz generate turnover growth once more.

Back to top