Fashion is a very complex and ever-changing industry. As if it wasn’t hard enough to create trendy products, Amazon controls 20% of the fashion e-commerce market. It has a huge selection of every type of fashion style from companies all over the world. Amazon is a tough company to beat.
With that being said, Kate Hudson’s Fabletics is doing just that. In the three years since its launch, Fabletics has grown into a $250 million business. It mostly focuses on the ‘activewear’ trend. Fabletics is a subscription-based retailer that offers designer brands only to its members.
Fabletics has a very simple premise. Customers like brands that are fashionable in a way that encourages them to be a bit more daring. The combination of convenience and a membership-based platform equals huge success. There’s no other company in the world like Fabletics. It’s quickly become one of the most recognizable names in fashion.
Normally, high-value brands like this are defined by price and quality. But nowadays, consumers care more about the customer experience and brand recognition. This shirt in economics is what allowed Fabletics to have such a powerful impact in the industry. Having a high-profile celebrity like Kate Hudson ensures that Fabletics is instantly recognizable and stocked with trending fashion.
Though Fabletics has made a huge impact in the e-commerce market, it has begun opening physical stores to draw in more potential members. Currently, the brand has sixteen stores in places like Hawaii, Illinois, Florida, and California. It is planning to open even more stores in places like Texas and New York. Opening in major cities first allows it to sway as many newcomers a possible.
What’s so amazing about Fabletics’ physical stores is its ability to endure the negative impact of ‘showrooming.’ Showrooming is when people browse offline but end up buying those same items cheaper online, at places like Amazon. Fabletics has taken the showrooming concept and reversed the model and turned it into a positive. Fabletics has gone the route of embracing the local community rather than simply opening pop-up stores left and right.
This strategy of focusing on building relationships and trust and getting to know the local markets has yielded success. By hosting in-store events and other activities, 30-50 percent of visitors are already members and an additional 25 percent of visitors become members. Fabletics has found a way to successfully combine in-store experience with online convenience.
When signing up, there’s a quick survey about the types of workouts and styles are preferred by the visitor. After the membership begins, each month a personalized selection of workout outfits are sent to each member. Usually, the number of outfits is more than 50.
When it comes to the actual styles available, the fashion is amazingly impressive. Fabletics offers a wide variety of styles, everything from simple to sheer fabrics and bold patterns. Anyone, no matter their style preference, could easily find something that they’d like.