FabFitFun, the West Hollywood company that grew from a weekly newsletter into a lifestyle empire, announced this morning that it has raised $80 million in new funding. The round was led by Kleiner Perkins, the legendary investment firm that helped launch some of the biggest names in tech, including Amazon and Genentech in the late '90s, as well as Square, Peleton and Airbnb.
It's a major milestone for the brand, which has seen massive growth since launching in 2010. A lifestyle membership company, FabFitFun is perhaps best known for their seasonal boxes, a shipment of curated products — home, wellness, fitness, beauty, among other — that arrive on a customer's doorstep four times a year.
It’s sort of a coming of age for FabFitFun. We have a lot of both responsibilities and opportunities ahead of us, and we want to make sure we’re well resourced to pursue our ambitious plans.”
The FabFitFun brand has grown in recent years with the launch of FFTV, a wellness streaming channel, and the development of their own in-house lifestyle products and brands.
All this happened on a shoestring budget. Prior to today's round, FabFitFun had raised only $6.5 million in outside capital.
The FabFitFun of tomorrow
“We really do believe FabFitFun should be for everyone,” said co-founder and co-CEO Michael Broukhim over the phone. (His brother, Daniel, occupies the other half of the FabFitFun CEO-ship.)
In pursuit of that goal, the company is working on stitching together their three core products: the boxes, their content — the FabFitFun magazine, blog and FFFTV — and the FabFitFun user community.
The products were created to work in tandem — to create what Broukim calls a “unique customer experience” — but there's still a lot to be done.
“We’re going to go a lot deeper on all of those things and how they work together,” Broukhim said.
At the same time, the company is making investments in their infrastructure, from physical considerations like fulfillment centers to information infrastructure and data insights. According to Broukhim, the company is hiring aggressively across teams.
“This is an important milestone. It’s sort of a coming of age for FabFitFun. We have a lot of both responsibilities and opportunities ahead of us, and we want to make sure we’re well resourced to pursue our ambitious plans,” Broukhim said.
At the same time, Broukhim doubts the funding will change much about the company's culture.
“We’ve always been a scrappy, innovative company, and I think we’re going to keep that at our core — that it will continue to lead us on to bigger successes,” he said.
