Fabletics is the fastest growing fashion activewear brand we have in the market today, but who would have seen this success in an industry where Amazon controls at least twenty percent market share? Leading the e-commerce fashion industry is no mean task; however, Kate Hudson is quite determined to succeed, and going by the business records, the prospects are good. Currently, in a period of three years, Kate has helped grow Fabletics to $250 million, and her biggest selling point has been the subscription strategy.
Historically, quality customer products are always determined by price; however, there has been a sudden shift in demands, and this factor does not hold water anymore. Instead of the price factor, customers are also looking at brand recognition, last-mile services, exclusive designs, customer experience and other gratification elements. With enough due diligence on their market, Fabletics is well informed about the needs of its customers and hence its strive to ensuring that it adequately addresses it. The subscription mechanism which has partly been one of the reasons for the growth of the company is quite simple, yet effective. The basis of this idea was to create a convenient shopping environment even for busy people.
The other strategy that has helped Fabletics take on their market is their different approach to physical stores. Traditionally, physical stores have “killed” many businesses since most shoppers’ window-shop from the store then go make their purchases elsewhere. However, through the “reverse showrooming” strategy, Fabletics has been able to curb this. The reverse showrooming works by adding those clothes that the customer showed interest into their online charts hence allowing them to make those purchases at a later date without physically coming to the store.
Fabletics has also been keen on the use of online data in their retail strategy. Through the use of these data, Fabletics has been able to stock its stores with the right types of wears that their customers need.
Lastly, Fabletics’ growth has been achieved by focusing on product accessibility, customers, and their culture. Product accessibility is a critical component in any business, and with Fabletics operating in a market that is largely dominated by Amazon, this is one factor it has to pay attention to, and it has done right so far. Through reverse showrooming and subscription membership, Fabletics has been able to target both its online and offline customers.
Kate Hudson is one of the co-founders of the giant active leisure brand and currently the CEO and face of the business. While the successes are a joint effort of every member of the team, Kate has played a huge role and still does. Her take on Fabletics is that this is a brand for everybody who is committed to living a healthy and active lifestyle.