Do You Want To Know Us?
“We see our customers as invited guests to a party, and we are the hosts. It’s our job every day to make every important aspect of the customer experience a little bit better.
FABZY is the next-generation fashion retailer for Millennial and Generation Z consumers owned by SM Fabrics sdn bhd. As a trusted, premium lifestyle brand, and a go-to online source for discovery and inspiration Our dynamic platform connects a deeply engaged community of millions of consumers, thousands of global fashion influencers, and more than 1,000 emerging, established and owned brands. Through 18 years of continued investment in technology, data analytics, and innovative marketing and merchandising strategies, we have built a powerful platform and brand that we believe is connecting with the next generation of consumers and is redefining fashion retail for the 21st century.
FABZY was founded in 2022, with the vision of leveraging digital channels and technology to transform the shopping experience. We believed that traditional retail was either too mass or too limited, struggled to consistently provide on-trend merchandise, and was failing to connect with younger consumers. FABZY was created to offer a scaled, one-stop destination for youthful, aspirational consumers. We believe that our model, which is more targeted than department stores or mass market online retailers, and provides a greater selection than specialty retailers, allows us to more effectively serve consumers.
To improve on the merchandise offerings from traditional retail, we have built a custom, proprietary technology platform to manage nearly all aspects of our business, with a particular focus on developing sophisticated and highly automated inventory management, pricing, and trend-forecasting algorithms. Our proprietary technology leverages data from a vast net of hundreds of thousands of styles, up to 60 attributes per style, and millions of customer interactions, creating a strategic asset of hundreds of millions of data points. We have complemented these efforts with an organization built from the ground-up to make decisions in a data-first, customer centric way. Together, this enables a "read and react" merchandise approach; we make shallow initial buys, then use our proprietary technology to identify and re-order strong sellers, turning the fashion cycle from a predictive art to a data-driven science. This approach facilitates constant newness, with over 900 new styles launched per week on average in 2020, while managing inventory and fashion risk. As a result, in 2022, approximately 77% of our net sales were at full price, which we define as sales at not less than 95% of the full retail price
Our powerful brand and innovative marketing strategy connect with the increasingly important millennial demographic. These consumers, who came of age in a hyperconnected, digital world, have unique shopping preferences, spend their time in different mediums, and respond to a different style of messaging than generations past. While our marketing competencies extend well beyond social media, we are recognized as a pioneer and a leader in social media and influencer marketing. We have built a community of thousands of influencers and brand partners, including many of the most influential social media celebrities in the world, whom we track and manage using our proprietary internal technology platform. Through our deep relationships, history of mutually beneficial partnerships, buzzworthy social events, and recognized leadership position, we believe we have become a partner of choice for influencers worldwide, leading to a significant competitive advantage. These marketing efforts deliver authentic, aspirational experiences and lifestyle content that drive loyalty and engagement. We pair this emotional brand marketing with sophisticated, data-driven performance marketing to further drive profitable customer acquisition, retention and lifetime value
Our data-driven merchandising and innovative marketing competencies enable a powerful owned brand strategy that drives consumer demand, increases control of our supply chain, and expands profit margins. We have built a portfolio of 24 owned brands, each crafted with unique attributes and supported by independent marketing investments. We believe our consumers perceive these as highly desirable, independent brands, rather than private labels or house brands. As a result, during the year ended December 31, 2022, our owned brands represented six out of our top 10 brands and 26.7% of the FABZY segment’s net sales.
HOW WE THINK ABOUT SOCIAL IMPACT
We believe our platform gives us the ability to create positive change through our operations, an engaged FABZY community and the power of our brand. The key pillars of our social impact agenda are sustainability, diversity and inclusion, supply chain and community. As a company that is continuously innovating and constantly learning about impacts, we expect to realize continuous progress in the years ahead.
SUSTAINABILITY
We are increasingly engaging with industry consultants and partners to measure and assess our carbon footprint and greenhouse gas (GHG) emissions to help inform our sustainability strategy.
Similar to most ecommerce retailers, our logistics network generates the majority of our GHG emissions. We believe investing in carbon offsetting projects may present an economically effective means for us to reduce our environmental impact. As a result, we are exploring a variety of carbon-offset opportunities to help offset the impact of our customer deliveries and returns.
We are also focused on several other important initiatives to reduce emissions, as described below, including tasking our design teams to develop more eco-friendly products that have the same elevated look and feel, while reducing their impact on the planet. We are also highlighting sustainably conscious styles from third-party brands on the FABZY website to promote consumer education and choice, among many other initiatives. While we are making progress, we acknowledge that we still have a long way to go to achieve our goal of significantly reducing our environmental impact in the years to come
REMOVED INVOICES AND OFFER PAPERLESS RETURNS
In 2022, FABZY non-digitalized sale eliminated paper invoices from all domestic customer shipments, an initiative that saves millions of sheets of paper annually. Moreover, we continue to maintain a paperless return model that does not require customers to print a mailing label or fill out paper forms to process returns.
RECYCLING AND REUSE:
Within our distribution center, we have expanded our recycling initiatives in recent years. We recycle 80% of cardboard that comes into our fulfillment operations. We also reuse all pallets and partner with a waste management specialist firm to help us further minimize our waste.
KEY HIGHLIGHTS HELPING CUSTOMERS DISCOVER SUSTAINABLE STYLES AND BRANDS:
We recognize that many customers want to make more sustainable choices, so we have made the process much more intuitive than ever before – ensuring that customers will have all the information they need to make informed decisions
OFFERING BOX FREE RETURN OPTIONS TO REDUCE EMISSIONS:
The box-free return model curtails the total distance traveled for returns (by consolidating shipments) and reduces the amount of cardboard required..
OUR SUPPLY CHAIN
We strive to maintain our values and principles throughout our business, including in our supply chain, by collaborating with trusted manufacturers and brands who share our values and our commitment to social responsibility
Our Code of Conduct for supplier and vendor partners is designed to promote the principles of fair and ethical treatment of workers, compliance with all applicable local laws, rules and regulations, and transparency to allow for accountability and reasonable substantiation of compliance.we strive to provide assurance that our vendors pay fair wages, ensure freedom of association, prevent unlawful discrimination and promote the health and safety of those that participate in our supply chain.
Moving forward, we are working to further enhance our current supplier monitoring programs and advance key initiatives such as environmental responsibility and sustainability throughout the supply chain.
SM FABRICS SDN BHD
BANDAR PUTRA PERMAI
SERI KEMBANGAN SELANGOR 43300 MALAYSIA.
