“We spent $200M in the past 2 years. $200M!
We spent $200M and we have not proven out our business model.
We spent $200M and we have not proven that we know precisely what customers want to buy.”

Fab co-founders Bradford Shellhammer and Jason Goldberg PR
Fab co-founders Bradford Shellhammer and Jason Goldberg PR


Jason Goldberg, cofounder and CEO of Fab, one of the biggest failure of the recent times wrote a memo to his team, as part of the final act.  The company spent burnt $200mn in 2 years and well, they got into action only when they had $100mn left.
Here is probably the most important takeaways from Jason’s letter.


I have made mistakes.

  • I guided us to go too fast.
  • I enabled us to lose our core focus.
  • I didn’t insist on our honing in on our target customer.
  • I didn’t build discipline around costs and business metrics enough into our culture.
  • I spent too much on marketing before we got the consumer value proposition right.
  • I allowed us to over invest in Europe vs. insisting on scaling global teams from the start.
  • I didn’t build a culture and discipline that connected supply chain to merchandising to delivery. I allowed silos of teams and thinking, and that has seeded an awful an [sic] cancerous distrust.
  • I didn’t see the need to course correct fast enough. [Read the entire letter]

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