As reported by the Craft Industries Alliance (CIA), Fabric.com has started delaying payments to suppliers for no apparent reason over the past few years. Then six months ago, Amazon contacted suppliers to say that all fabrics would soon be available directly on Amazon.com in one-, three-, and five-yard units. They were also required to do free overnight shipping on orders.
A former CIA employee said Amazon had repeatedly asked if it was possible to sell prepackaged fabrics, but was always told it wasn’t. “They don’t understand fabrics at all,” commented a fabric company executive who asked not to be named.
Employees working at Fabric.com received severance compensation and the opportunity to move to other roles within Amazon. Meanwhile, the disappearance of Fabric.com from the fabric market may not ultimately be a negative.
That could be a positive, according to Gina Pantastico, co-founder and director of operations at Cloud9 Fabrics and Felicity Fabrics.
Gina said: “I think the exit of Fabric.com in this market will ultimately lead to more business opportunities for independent stores, as well as openings for new stores. … Saying it will be an adjustment, but once we all get past the initial shock and surprise, I think it could be a positive change for the fabric industry as a whole.”