What is OpenStore? How Keith Rabois is Acquiring Shopify Brands

The Peel with Turner Novak

Keith is the Co-founder and CEO of OpenStore, a portfolio of brands building its own shopping destination. Before starting OpenStore, Keith was an early executive at companies like PayPal, eBay, LinkedIn, and Square, a co-founder of OpenDoor, and an early investor in companies like DoorDash, Faire, Affirm, Webflow, Ramp, and Stripe, and is also currently a General Partner at Founders Fund Keith started the company in 2021 with co-founders Jack Abraham, Matt Lanter, and Jeremy Wood, and has since raised over $150 million supported by investors like Atomic, Founders Fund, General Catalyst, Khosla Ventures, Lux Capital, and Vine Ventures. — Brought to you by Packsmith, better fulfillment for growing brands. Sign-up here https://bit.ly/PacksmithBanana — In this episode, we discuss: • The 3-minute conversation that started OpenStore • All the problems that still exist in ecommerce • Why Instagram Shopping failed • What Keith and team are building at OpenStore • Why Wish failed • The margin profile of most consumer brands • A crash course on contribution margin and profitability for startup founders • How OpenStore gets 3x higher contribution margin than other consumer brands • As a VC, the one thing Keith looks for in the founders he backs • A framework for founders and investors to consider when incubating companies • Why Keith thinks no great SF-based startups has been founded since March of 2020 • The reasons he moved to Miami • Why he’s bearish on most AI startups • His favorite interview questions for candidates Referenced: • Email Keith - [e-mail] Where to find Keith: • Twitter: https://twitter.com/rabois • LinkedIn: https://www.linkedin.com/in/keith Where to find Turner: • Newsletter: https://www.thespl.it • Twitter: https://twitter.com/TurnerNovak Production and distribution by: https://www.supermix.io Want to sponsor the show? https://docs.google.com/forms/d/e/1FAIpQLSebvhBlDDfHJyQdQWs8RwpFxWg-UbG0H-VFey05QSHvLxkZPQ/viewform