Fashion

Kate Hudson’s Fabletics Putting the Heat on Amazon

There are not too many companies out their today that can really make Amazon concerned. In fact, if you look at the online apparel market, Amazon sits comfortably at the top with over 20 percent of the total sales each year. With thousands of competitors trying to climb over each other just to get a share of the scraps left behind by Amazon, it appears one company has in fact found a winning formula and is breaking free from the group with their eyes on Amazon.

 

Kate Hudson’s Fabletics has gotten so big so fast, that they have already sold $250 million in the online apparel niche in 36 months, and things only appear to be heating up.

 

When Hudson was questioned about what is the winning formula that allowed her company to separate themselves from the pack and ride right on the heels of Amazon, her answer was her membership perks and the reverse showrooming sales practice. To see these two techniques in action, you don’t need to look at numbers or take to the company accountant, just drive to the local mall and walk inside the Fabletics retail shop. This where you see countless women applying for their free membership, trying on all the new arrivals, window-shopping, and even taking the company Lifestyle Quiz. Since Hudson says there is no pressure to buy, many leave the store empty-handed.

 

With customers encouraged to browse and no pressure to buy, how did Kate Hudson’s Fabletics do $250 million in sales?

 

Part of the appeal of this athleisure brand is the way you shop, not just the high quality of the merchandise. Women are encouraged to try on the apparel in the mall stores because Hudson knows they will eventually return to shop online when they don’t have to be in such a hurry or when they are done doing all those stressful things that make up their days. Now that they are members, every piece of apparel that was tried-on at the store is uploaded to the customer’s account profile cart.

 

Unlike the experience at Amazon where you browse online and hope things fit or you return them, once you shop at the Fabletics online site, you know those items fit your body perfectly.

 

So the real secret to the success of Kate Hudson’s Fabletics is a combination of convenience, pricing, free shipping, and high-quality merchandise. Since shoppers took that Lifestyle Quiz, they now have their own personal shopping assistant who will pick an item each month and drop in the shopping cart for their consideration too.

Fabletics: Changing the Way We Shop

Kate Hudson is more than just a pretty face in Hollywood, she is a mother and a businesswoman who has grown a $250 million dollar business in just 3 years. Kate Hudson’s Fabletics is an activewear line which utilizes a subscription service to sell various clothing to subscribers. With the constant hustle and bustle of life, more and more customers are seeking to be provided top of the line brands with the convenience of monthly membership. Fabletics has set the tone for its competitors by providing women with trendy activewear which empowers women no matter their shape or size.

Fabletics has a different way of thinking about fashion and customers are loving it. Coupled with superior customer service and fun and fashionable activewear that can be worn not only in the gym, but running errands, or even out to dinner; Fabletics has smashed boundaries between online and store shopping. To meet the needs of customers Fabletics participates in the “reverse showrooming” technique. The membership allows for 30-50% of people who walk through the store’s doors to already be members and a whopping 25% more become members once going to the store. This allows for what the customer is trying on or likes to go immediately into their online shopping cart allowing for customers to have not only a retail store experience but an online as well.

Fabletics is more than just a business to Kate Hudson. She has been a pivotal piece in the development of Fabletics since day one. Kate believes that being hands-on is imperative to the success of Fabletics and that includes every detail from marketing, fashion design, budgets, to even the hiring process. She also constantly reviews what items are selling every week so she can understand her customers and make adjustments to their needs and wants.

It is no surprise the success that Fabletics is having, especially compared to their other retail counterparts. Fabletics offers high brand clothing, impeccable customer service, exclusive membership, and the convenience of both online shopping mixed with the appeal of in-store shopping. Don’t miss your chance to find your latest style from Fabletics by taking this Lifestyle Quiz! With the continued success of Fabletics through their unique business techniques tailored for their customers, we can be sure that style will only continue in activewear because of Fabletics.