Fabletics Growth in the Athleisure Brand

Fabletics an online retail business that deals with women accessories and sportswear has positioned itself strategically in the market. The company enrolled for a membership model that allows them to interact more with their customers. Fabletics offers customized on-trend fashion at subsidized rates from their competitors.

 

Kate Hudson, the co-founder of Fabletics, contributes to the growth of the business to a $250 million business within three years. Market trends change triggered innovation of a different selling mechanism for this company. The subscription mechanism seems to yield results for Kate Hudson brand. The firm will be opening other walk-in stores in Illinois, California, Hawaii, and Florida. Market positioning and strategies for Fabletics has contributed to their growth and yield results for their fashion membership brand.

 

Fabletics Uniqueness in The Reverse Showroom Technique

 

Fabletics have implemented distinctiveness in the browsing. They have focused more in on building customer relationship through improved reliability and making sure they offer results. Fabletics membership is different, 30-50 % of walk-in customers are already members where else 25% get registered before living the store. During the shopping any clothing a customer tries, gets posted in their shopping cart. The destination of purchase does not matter, but the customer receives services whether they buy at store or retail. To find out the Fabletics gear that suits you, you can take a Lifestyle quiz.

 

 

Fabletics the Athleisure Brand

 

Fabletics came into existence in 2013, and within three years Kate Hudson and other founders grew the company revenue to $250 million. Besides her lack of knowledge in entrepreneurship, Kate Hudson the actress was approached by Don Ressler and Adam Goldenberg. The three ambitious individuals started the athleisure brand triggered by lack of stylish, quality and well-priced women workout gear. Kate makes sure that athleisure brand meets the expectations of the modern women. She is involved in the design process and works closely with the team. Her keenness in monitoring weekly sales gives an idea of what clothes are selling more in the market.

 

Better Business Bureau rated Fabletics top for its performance and improved customer satisfaction score in 18 months. The company also recorded tripled revenue growth in 2014. In 2015 – 2016 the online retail company grew by 43 % and it is projected to hit a $250 million sales by 2017. Fabletics has a membership pool of 1.2 million members.

 

The two investors and celebrity aim was to offer the best product in the industry at almost half price. Success did not come easy for Fabletics, but hard work and committing to provide quality has yielded results. Through the support of Kate, Fabletics introduced different strategies in their customer service departments. They also managed to install new information systems to make sure they kept track of inventory.

Fabletics: The Future of Online Retail Fashion

It has always been difficult for a new product or innovation to enter and actively compete in new markets. However, this does not seem to be the case for Kate Hudson as Fabletics is taking the e-commerce fashion industry by storm. Despite Amazon controlling more than twenty percent of the market, Fabletics has grown to a net worth of around 250 million dollars in only three years.

 

The online retail company deals with women’s sports gear and accessories popularly known as athleisure. The process is quite simple with customers required to subscribe and like their preferred brands. Armed with this data, Fabletics can capitalize on their customer’s likes and are therefore more convenient.

 

Previously, all that was needed to run a successful enterprise was excellent quality and reasonable pricing. With changing economic times, this is no longer the case. Instead, one has to put into consideration things like customer experience, exclusive design, brand recognition among other things to appeal to the new client. This move appears to be paying off well for Fabletics. In addition to their online stores, the brand is currently planning to open new ones in addition to their current ones based in places like California, Florida, Illinois and Hawaii. The present number of Fabletics retail stores stands at 18.

 

Gregg Throgmartin, the company’s general manager, believes that the brand’s knowledge of their clients is key to their extraordinary results. Most people browse for items in person but buy them elsewhere at lower prices. With this in mind, Fabletics’ strategy enables them to create and nurture relationships and as such get to know more about their markets. This way, almost half of the people who enter the store are already subscribed, members. This also beneficial to the stores since they only stock items that appeal to their individual localities.

 

Fabletics recorded a growth rate of 35 percent annually for the period it has been in existence. This increase is a result of excellent product quality and pricing. If the brand’s ability to understand the new market consumer is anything to go by, then Fabletics is a force to be reckoned with in the fashion industry.