Adam Goldenberg Uses Great Decision Making To Build Clothing Membership Company

Entrepreneurs

It looks like for LA CEO wunderkind, Adam Goldenberg, has yet another success with his latest business venture. That company is JustFab and it has seen some great growth since it was first founded by Goldenberg and his partners in 2010. The company has been a success for a couple reasons. The first being the innovative business model and the second being the practical knowledge and expertise that the founder brings to running the business.

In 2010, Goldenberg saw the success that VIP membership shopping companies were having. He thought “why couldn’t that work in the fashion industry?”. That’s what led him to found the company JustFab. JustFab is a VIP membership company that is dedicated to bringing its customers great deals on clothing and fashion accessories.

Members of the company’s service pay a membership fee on builtinla.com. This payment can be made monthly or on a yearly basis. It is whatever is best for the customers. Sometimes the membership can be more affordable if it is all bought at once and paid for on a yearly basis. Members of the website will receive huge discounts on different fashion items. Goldenberg has partnered with a lot of popular brands to make the company’s services very desirable for just about any consumer. The ingenious business model of JustFab is the cornerstone of its success. The company couples its great sales with some top-notch funding. The company raised over 50 million in revenue last year alone. The success can also be attributed to the experience of its founder as well.

Read more: TechStyle CEO Adam Goldenberg Talking Name Change on CNBC

Goldenberg has used that experience to guide his actions more than ever. He understands that importance of metrics more than ever after learning and growing from his past two successful companies on cnbc.com. He has the intelligence to know when to stick with a product that is working. He also has the wisdom and lack of ego to abandon a product or idea that he may have had if it is not performing as well as he had hoped that it would. This is a skill that a lot of young CEOs have not yet developed.

Goldenberg cultivated these skills through his last two successes. The first was the gaming network “Gamer’s Alliance”. This was his first notable company. He built it and sold it in 1999 before starting the brand incubator “Intelligent Beauty”. He ran the brand incubator until 2010 when he founded the clothing membership company at http://www.matrixpartners.com/entrepreneur-stories/adam_goldenberg/.

Adam Goldenberg’s Success Story

Entrepreneurs

Adam Goldenberg’s rise to financial and business prominence is an uncommon one. From the young age of 13 he was motivated to make something of himself so he started bulletin board service online using the money from his Bar Mitzvah no less. Then through hard work and ingenuity he made that bulletin board service into a website for gamers. Adam Goldenberg called it Gamer’s Alliance. It was a unique website that catered well to the interests of its market and so it caught the eye of Intermix CEO Brett Brewer who purchased it from him. Brett Brewer was unaware that he was forming a relationship with a young genius but he soon found out. Adam Goldenberg was only 17 years old at the time of the acquisition.

The relationship between these two people would grow over time and Brewer promoted Adam Goldenberg to the position of Intermix’s COO. This made Goldenberg the youngest person to ever hold that title at a publicly traded company. His appointment proved to be wise. Before long, Intermix purchased the website Fitnessheaven.com which was founded by Don Ressler. They expanded their portfolio of web properties into the realm of eccommerce and advertising. The locus of the cutting edge online transactions was the Intermix held company Alena Media, and it was the most profitable one Intermix had. News Corp saw the massive potential of Alena Media’s business model and sought to acquire it for themselves. However, News Corp put Alena Media’s potential to waste and this frustrated Adam Goldenberg. Soon after the acquisition of the company he helped build from the ground up he left to start a new venture.

Goldenberg was confident in himself. He was one of the world’ foremost experts in building brands online so he decided to create an online empire centered around that with Don Ressler’s help. The resulting company was called Brand Ideas, which they would later rename Intelligent Beauty on vbprofiles.com. It was an innovative direct to consumer company. The first brand was DERMSTORE which focused on providing women with cosmetics and skincare products from the comfort of their own home. Not long after they also created SENSA an online weight loss system. Both companies were financial successes. They were doing well enough to attract the attention of the venture capital fund Technology Crossover Ventures which invest $43 million in them in 2008.

With the new funds they launched JustFab. The excitement around JustFab was so great that they received $33 million in funds from the VC fund Matrix Partners, and a further $76 million from Rho Ventures. JustFab also managed to attract the fashion celebrity Kimora Lee Simmons to be its President and Creative Director. This great success story was all brilliantly engineered by Adam Goldenberg. Source: http://www.builtinla.com/2014/01/18/3-la-ceos-you-need-know-now-adam-goldenberg-justfab