Kate Hudson’s Fabletics Continues to Succeed

It’s not easy for a new fashion brand to make a name for itself in the industry. But despite Amazon’s control over 20 percent of the fashion e-commerce market, Kate Hudson’s Fabletics is doing just that. In just three years, Fabletics has grown into a $250 million company.

It was founded as part of the ‘activewear’ movement. Its premise was to create a brand that offered fashionable designs and styles at affordable prices. By using a subscription mechanic, Fabletics is able to offer its members aspirational brands in a modern convenient manner. It also doesn’t hurt that their brands can only be found at Fabletics.

In today’s world, high-value brands are determined by several determining factors. In the past, high-value brands were determined by price and quality. Nowadays, consumers consider high-value brands that go the extra mile to offer products or services. Price and quality are no longer the guaranteed winning combination. Consumers care more about things like brand recognition, customer experience, and last-mile service.

Another way Fabletics is keeping a leg up on Amazon is by opening exclusive physical stores. Like Apple and Warby Parker, Fabletics has begun exploring the possibility of becoming a franchise chain. Fabletics already has sixteen stores and is planning on opening more in the coming years.

Fabletics also offers personalized style choices to their members. It’s one of the reasons that members like Fabletics so much. Gregg Throgmartin, General Manager of Fabletics, talked about how much effort goes into supplying members with personalized service. He said it’s easier to make people happy when once they’ve formed a consumer-provider relationship.

One pitfall every product offering brand faces in today’s world is “showrooming.” Showrooming is when customers browse in-store but buy their desired items somewhere cheaper. To combat showrooming, Fabletics introduced “reverse showrooming.”

The strategy of reverse showrooming was designed to embrace how the company started out. Fabletics encourages visitors to browse their inventory. Fabletics believes in building relationships and getting to know the local markets. As a result, many of their visitors are already Fabletics members. And at Fabletics-sponsored events, 25 percent of visitors become members in store.

Fabletics has quickly become a household name in fashion. There’s much being said about Fabletics, but consumers usually base their final decisions are actually product reviews. The most popular review is one that truly offers a non-sponsored opinion about Fabletics as a whole.

First up is the true quality of Fabletic’s products. The quality was much higher than she expected. The leggings she bought could easily rival those of some other, more expensive brands. The leggings held their shape and compression over time, and the colors and patterns still haven’t faded.

The styles also exceed expectation. Fabletics truly does have a huge selection of styles that fit everyone’s personal choices. They have everything from simple tanks to sheer fabrics. Overall, she’d recommend Fabletics to her readers.

Weekend #workout plan inspired by @gingerressler's high-power moves ????

A video posted by @fabletics on

Who’s Afraid of Kate Hudson? Amazon!

This slim, successful actress may not appear to have anything in common with retailing giant Amazon, but when you take a closer look, you can see where the two share goals.

Kate Hudson recently launched a fitness clothing line in concert with Fab clothing and since their primary market is electronic, they are de facto declaring war on Amazon. Currently, Amazon commands 20% of the electronic fashion market and Fabletics wants a piece of that action.

 

How many of us have heard that the best defense is a good offence? Clearly Fabletics has because they have based their marketing on an aggressive assault on Amazon’s weakest points: personalization, guaranteed quality and excellent customer service.

Fabletics’ is based on a membership model. At this point, many potential customers hold their heads and roll their eyes saying “never”, but this is not the old book-of-the-month club that drove your grandmother crazy. This is a friendlier membership that seeks to retain you as a long-term customer based on what you actually want as opposed to charging you for things you forgot to return in time.

 

Fabletics entices new customers with an amazing offer: a complete fitness outfit for $20. Many of us spend more than that on coffee in a week. The catch is that with the initial offer, you agree to become a VIP member to at least test Fabletics.

Each month Fabletics selects an outfit for each customer based on past purchases, listed interests and the type of exercise they do. You may keep the outfit for $50 (approximately), return all or part of it for store credit or for a refund for which you are charged a small processing fee.

 

If you want to prevent Fabletics from sending any outfit at all for a given month, log into your account or call customer service within the allocated time period and inform them that you do not want an outfit that month.

 

Recently, Fabletics is opening physical stores. Rather than competing with their electronic business, these stores expand upon it, including the essential customization feature. The stock is based on what sells in the area in which the store is located. For example, if women prefer to work out in capris in your area, that store will stock more capri pants styles and fewer shorts. If you visit a store in another area, it will feature what sells well to the membership customers in that area.

 

Fabletics is challenging Amazon by creating a new online experience for its customers, one that Amazon does not offer. Women enjoy varied apparel even for exercise purposes. The membership system enables them to add variety to their exercise wardrobe that is of high quality and modest price without leaving home.

 

Using the co-owner, Kate Hudson, in the advertising is the cream. Her video personality is fun, sporty and fashionable while being encouraging to women at home who will never look as she does in the products. With so much going for it, we expect future success for Fabletics. Beware Amazon!