Succeeding when Amazon has a firm grip on 20% of the fashion e-commerce industry is not easy. However, that is what Kate Hudson’s Fabletics has managed to do. It has grown into a business worth $250 million in just three years. Fabletics has been able to ride the ‘activewear’ wave with much success. Additionally, it has managed to utilize a subscription model to make sales.
The Old Marketing Strategies Do Not Work
In the past, consumers determined high valued brands by their quality and price. However, a recent shift in the economic situation has made this combination increasingly unpalatable among consumers. Instead, brands that want to succeed must incorporate things such as customer experience, last-mile service, exclusive design, brand recognition, and some gamification to make sales.
Thus far, the model has proven quite successful. The company plans to open more stores. These stores will be in addition to those that Fabletics already has in places like Illinois, Florida, Hawaii, and California. According to its general manager, the secret lies in the brand’s ability to re-imagine what a high-end brand is from the get go. Additionally, he credits the firm’s membership model for allowing them to offer trendy pieces at half the price offered by the competition.
Fabletics is Big on Reverse Show Rooming
Showrooming is destroying Fabletics’ competitors. In essence, people browse for items at their stores and then buy cheap items elsewhere. Fabletics has found a solution to this problem. The result is that 30-40% of people who walk into Fabletics’ stores are already members. Another 25% acquire membership while at the stores. When a customer shops at a Fabletics store, the item immediately goes into his/her online cart. To Fabletics, the physical store is just an extension of the online shopping experience.
Culture is the Main Area of Focus for Fabletics
Fabletics has a robust mechanism for collecting and analyzing data. The stores are stocked based on the preferences of customers in a physical area. Consequently, it increases the chances of successful sales. However, that is not the only driver of growth at the company. Part of Fabletics’ appeal is that it has an authentic spokesperson – Kate Hudson. That, combined with a creative media team, has made them quite successful.
A Non-Sponsored Fabletics Review
Fabletics is a fitness apparel company owned by Kate Hudson. It operates a monthly subscription model. A new VIP Member, you only pay $25 for your first outfit. You also qualify for some discounts. Additionally, you will get items curated for you monthly. Thus, you can receive a 2-3 piece outfit at just $49-$59 each month. For those months that you do not want new outfits, you can choose to skip the curated outfits, and you will not be charged anything.
Upon joining Fabletics, you will be issued a survey on your preferred styles and the workouts that you do. On a monthly basis, you will receive new outfits that are picked according to the data you provide. The clothes are awesome when measured on value, style, quality, and ease of use.