One of the areas of the economy that is rapidly growing is the intersection of fashion, e-commerce, and technology. Totalling $72 billion in revenue in 2016, by 2021 it is expected that this will total $116 billion. There are many players in this industry including both older companies and newer startup’s that have in many ways taken over the established players. One of these companies is TechStyle Fashion Group, founded by two entrepreneurs called Adam Goldenberg and Don Ressler. They have established a membership model where people pay a monthly fee and in exchange get a box of clothing every month that has been tailored to their individual fashion sense and save 30% off retail price points.
It was in 2010 that these entrepreneurs launched JustFab, which was the first online membership program website dedicated to footwear. Part of the appeal was exclusive access for members to promotions as well as special products, as well as free shipping and loyalty reward points. By 2012 Adam Goldenberg’s and Don Ressler’s website had six million subscribers and had sold over 2.5 million pairs of shoes.
Don Ressler and Adam Goldenberg went on to launch more brands beyond JustFab. They also launched ShoeDazzle, FabKids, and more recently Fabletics along with actress Kate Hudson. They have also expanded beyond the United States and their products are now available in other countries such as Germany, the United Kingdom, and six others as well.
Goldenberg started very early as an entrepreneur. He was only 13 when he launched Gamer’s Alliance and at age 17 he sold it to Intermix for a very large profit. He then joined the company as their chief operating officer which made him by far the youngest to ever serve in that position for a public company. Ressler, meanwhile, was also an entrepreneur at a young age and also sold his company to Intermix. It was at Intermix that they met, became friends, and eventually business partners.
Techstyle Fashion Group makes great use of technology. They track many metrics so that they know what members want and where fashion-sense is heading so that they can be the first choice of their customers to fill their needs. The key performance metrics are known by everyone at the company so that any issues anyone spots can be openly discussed. At Techstyle Fashion Group an open meeting ish held every Tuesday so that everyone is aware of where the company is headed and can provide their own advice.