Fashion industry has continued to experience a throat-cut competition in the recent past. Competing for the same customers with an established brand such as Amazon which controls nearly 20% of the e-commerce fashion market is not easy. Surprisingly, that’s exactly what Kate Hudson’s Fabletics has done successfully for the last 3 years. The organization has employed a subscription approach while selling activewear products, a technique that has seen it generate $250 million within the period.
Unlike other high value brands that positioned themselves on the basis of quality and price, Fabletics has ventured into a unique combination of approaches in their effort to win the game. The brand has used convenience, and membership techniques to grow their consumer base and revenue. With modern fashion consumers paying little attention to price and quality approach, Fabletics has narrowed its focus to improved customer experience, last-mile service, and exclusive design among other tactics.
The innovative approaches have helped Fabletics differentiate itself from the competition. The firm has continued to grow and is reportedly planning to open additional physical stores. According to Gregg Throgmartin, Fabletics’ general manager, the firm’s top secret is on how they’ve redefined ‘high value’ from the modern consumer’s perspective. He explains that the brand’s membership model has enabled it to not only offer high quality products at affordable rates but also design customized customer service. The company has found it easy to meet consumers’ expectations because it clearly understands their needs and wants. You should consider taking the Lifestyle Quiz in order to establish which of the Fabletics’ gears best suits you.
Fabletics thrives through reverse showrooming
Fabletics’ unique foundation has enabled it enjoy huge benefits from showrooming, a concept that has proven unyielding to several of its competitors. Through its reverse model, the brand has used online platforms to build beneficial relationship with its customers. Showrooming has significantly helped the business in creating product awareness as well as build customer loyalty. It’s reported that about 40% of consumers walking into either of the company’s stores are registered members while 25% of those visiting the store become members.
Kate Hudson is proud of the athleisure brand
While celebrating Fabletics’ first ever partnership, Gregg Throgmartin explained how valuable Kate has been to the firm. The president confessed to the attendees that Hudson is highly approachable has continued to show great commitment from day one of the venture. Kate plays a center role for the business always walking together with the team, monitoring sales, and only going for authenticity. Through her initiatives, the brand upgraded customer service among several other aspects earning Fabletics a top rating from Better Business Bureau.
In order to be able to compete successfully in business, it is important to offer something that other businesses don’t. To go beyond that, businesses need to make sure that they are offering products that customers would buy. It can be very easy for companies in the fashion industry to go off the wall and offer something that is so different and bizarre that no one would want to buy the products. The fact of the matter is that the fashion industry can only be so unique before it starts to scare off all of the customers. Fortunately, companies like Fabletics have the ultimate solution to the challenge.
The most important thing for any company to do in any industry is to listen to the customers. In the end, customers want to be heard. Given that customers are very likely to have some kind of insight in the industry they shop in, asking questions about what the customer would want to see improved or different can not only allow the customer to feel valued and respected, but open the company to some insights that it might be missing. This can strengthen the product line of a company like Fabletics for customers.
In the fashion industry, one of the most successful companies is Amazon. One of the reasons that Amazon is so successful is because it sells tons of different types of clothing from different companies. This is one way to gain an edge in the fashion industry. After all, given that Amazon is one of the largest online retailers, it is also going to be one of the largest fashion retailers. However, size is not always going to equal quality. Fabletics offers some of the best fashion products because it pays attention to what the customer buys. Not only does Fabletics make a lot of money with his approach, but also saves money because of overhead.
The one thing that is needed to beat out other companies in the fashion industry is knowledge of the most important aspect of the industry which is the customer. When a fashion business owner is aware of the concerns that the customer has about the fashion industry, then he can make the necessary changes.
Kate Hudson has had her Fabletics company in operation for over three years now, and it is making large strides in a fashion space which is currently dominated by Amazon. That online retailer has over one-fifth of the customers and sales, and so there have to be some tricks of the trade implemented in order to compete in that type of landscape. One of those techniques is the reverse showrooming technique which gets customers to visit the arrangement of stores which are strategically placed throughout the United States and several other countries as well.
From Bridgewater, NJ, to Torrance, CA, and a plethora of places in between there is a store near much of the country’s population. There is even one in Hawaii! $250 million in business over those three years must mean that Kate Hudson is doing something right. Fabletics has a line of “activewear” which has tops, bottoms, outfits, and accessories to meet the tastes of so many of today’s modern women. The fashion membership brand really understands how to attract the customers.
Showrooming has become a detriment to many brick and mortar stores. Potential customers will enter and get to physically check the items out, but they will end up buying somewhere else at a cheaper price (usually online). Now Fabletics is using the reverse showroom so that customers can investigate the items online and then go to the offline stores in order to purchase them. This is incredibly effective for the brand, and the data is such that the local markets are deeply understood to such a degree that somewhere between 30% and 50% of the people who walk into the store are already customers. And, if that is not enough, then 1 out of 4 who make it in are turned into VIP members.
Ultimately, it does not matter where these customers buy the specialized product. It could be online at the Fabletic’s website or offline. This is also encouraged by techniques such as adding an item to the online cart when a customer tries it on. Kate Hudson is proud that her name recognition has brought on so many customers that it is now a winning athleisure brand. She set out to bring the prices of active-wear down to reasonable levels while keeping everything high quality, and it looks like there is more success to be had.
Go ahead and go over to the Fabletics website in order to take the Lifestyle Quiz which will help you determine what Fabletics items are the best fit for you.