JustFab Secures $76 Million in Funding as it Leads Personalized Fast Fashion Category
EL SEGUNDO, Calif., July 26, 2012 /PRNewswire/ — JustFab, the innovative fashion styling service and contemporary fashion brand, today announced that it has secured $76 million in funding. Rho Ventures led the round with participation from Matrix Partners, Technology Crossover Ventures (TCV) and JustFab parent company, Intelligent Beauty. The primary capital will be used to further JustFab’s aggressive international expansion, move into additional fashion categories, and provide cash flow for future acquisitions. Mark Leschly, Managing Partner at Rho Ventures, will join the board.
“At a time when others are retreating from the subscriptions and international markets, we see massive growth and opportunity,” said JustFab co-CEO Adam Goldenberg. “Our rapidly growing, extremely loyal membership base is a resounding endorsement of JustFab’s merchandising and sales model.”
JustFab is the leader in the fashion subscription space, with more than 6 million members. The company combines fast fashion with the industry’s highest level of personalization through its unique community, impressive style panel and high quality, affordable products. Members gain access to discounted pricing, exclusive promotions, and fashion consultants 24/7 in addition to receiving a host of other benefits. Casual shoppers make use of JustFab’s pay-as-you-go pricing, giving consumers the option to try the service before they commit to a monthly subscription.
Company Continues Aggressive International Expansion
JustFab continues to change the way women shop for fashion both in the US and abroad, with more unique visitors than anyone in the industry. It is also rapidly acquiring users in Germany and Canada. Based on its current international success, the company plans to launch in the United Kingdom in September 2012, with several other major European markets added by the end of Q1, 2013.
In addition to furthering its global reach, JustFab plans to use its latest round of funding to expand into new fashion categories requested by its members. JustFab currently offers shoes, handbags, jewelry, denim and other accessories.
“Finding the right partner to grow with us is key at this stage in our business,” says Don Ressler, Co-CEO of JustFab. “Rho’s commitment to building sustainable brands while maintaining the entrepreneurial spirit makes them an ideal partner as we continue our upward trajectory.”
“Adam and Don have aggressively grown JustFab’s membership base, both in the U.S. and abroad,” said Mark Leschly from Rho Ventures. “With impressive revenue every quarter, we are excited to be a part of its continued expansion. This team has a big vision with an established track record of success. We look forward to helping them redefine fashion e-commerce.”
“JustFab has flawlessly executed its plans, proving that there is a right way to do subscriptions,” added Josh Hannah, general partner at Matrix Partners and JustFab board member. “When you combine great value, selection, quality, and personalization with a fun, social shopping experience, you attract and retain members. JustFab has masterfully done what no one else has been able to do, and the team has accomplished it in record time.”
“With its innovative and interactive approach to online fashion sales, JustFab has created a powerful formula for tapping the tremendous growth potential in the global Internet retail market,” says John Drew, TCV general partner and a director on the JustFab board.
To learn more about all that JustFab offers members and new shoppers, please visit www.justfab.com.
About Rho Ventures
Rho Ventures is an established, proven firm with a multi-stage investing strategy focused on high-growth companies in large markets. Rho Ventures’ investments span new media/internet, information technology, healthcare and energy technology. Rho Ventures brings nearly 30 years of venture experience, combined with its partners’ deep sector expertise and its far-reaching network to assist each portfolio company. This approach has allowed Rho to participate in the growth of some of today’s most innovative, leading and successful companies such as Capstone Turbine, Ciena, Compaq Computer, Coulomb Technologies, EverydayHealth.com, Gloucester Pharmaceuticals, Human Genome Sciences, iVillage, Medimmune, Medical Present Value, OMGPOP, ReachLocal, Tacoda and Tapjoy. Rho Ventures is currently investing from Rho Ventures VI, a $510 million fund. The firm has offices in Palo Alto, New York and Montreal, with investments across the globe. More information is available at www.rho.com.
About Matrix Partners
Matrix Partners is a premier venture capital firm that has generated outstanding returns for over three decades. By focusing on early-stage investments and emphasizing long-term relationships with entrepreneurs, the firm has delivered several of the industry’s top performing funds of all time. Matrix Partners has offices in Cambridge and Waltham, MA; New York, NY; Palo Alto, CA; Mumbai, India; and Beijing and Shanghai, China. Matrix Partners has invested in several game-changing, industry-leading businesses such as Apple Computer, Gilt Groupe, JBoss, Netezza, Phone.com, Starent Networks, Sycamore Networks, Veritas, Zendesk, and Zong.
About Technology Crossover Ventures
Technology Crossover Ventures (TCV), founded in 1995, is a leading provider of growth capital to technology companies, providing funds to later-stage private and public companies. With $7.7 billion in capital under management, TCV has invested in over 150 technology companies leading to 53 initial public offerings and more than 40 strategic sales or mergers. Representative investments include Altiris, C|NET, eHarmony, ExactTarget, Expedia, Facebook, Fandango, Groupon, HomeAway, Netflix, RealNetworks, Redback Networks, RiskMetrics Group, Solect Technology, Splunk, TechTarget, and Zillow. TCV has 11 partners and is headquartered in Palo Alto, CA with offices in New York, NY. For more information about TCV, visit www.tcv.com.
About Intelligent Beauty
Founded in 2006 by Don Ressler & Adam Goldenberg, Intelligent Beauty is a leading ecommerce business incubator focused on building innovative brands in the health & wellness, beauty, and fashion industries. With annual revenue of nearly $400 million, Intelligent Beauty is an innovator in brand building, technology and marketing. Intelligent Beauty is backed by Technology Crossover Ventures and headquartered in Los Angeles, CA.
JustFab (www.JustFab.com) is an online fashion styling service and lifestyle fashion brand that offers members a fun and engaging personalized shopping experience lead by Creative Director, Kimora Lee Simmons. Members of the fashion membership service are given the celebrity treatment every month as they receive a customized selection of shoes and handbags, handpicked by personal stylists, along with the JustFab essentials including denim and sunglasses. Members have exclusive access to fashion tips and content, clickable style boards to shop complete outfits and the team of JustFab fashion consultants for expert advice. At $39.95 an item for VIP members, JustFab offers high-fashion looks off the runways at affordable prices and shipping is always free.