Interesting article about flash sale companies going under.
SoCal was an early employee at GILT, and he left well before this stage. When he left, he told me "The problem with it is that it's a fashion company that is trying to be a tech company." I agree with that completely.
The problem with GILT thinking of itself as a tech company and acting like a tech company is that most tech execs have the fashion knowledge of a disabled sloth, and zero intuition of those things. You can't look at numbers and know whether something is going to do well or not. You can't read WWD and figure that out either, though that's a little better, because at very least, WWD reports on more than just the business side of fashion. You have to actually have knowledge of trends and a good understanding of your consumer on a gut level in addition to having a good business sense in order to make it work.