Fabletics is an online store similar to Amazon. However, Fabletics sells clothing items in activewear and sportswear niche. The firm has strived to open stores in several cities across the country. One great thing about Fabletics is that customers can try items in offline stores and purchase the items online. Customers can see the clothing items offline before they purchase it. The business approach is excellent for clients who prefer either buying online or offline.
Fabletics nature of business encourages a reverse showroom. Competitors of Fabletics fail mainly because of a business that fosters reverse showroom. Reverse showroom stores sell at high prices. Customers try items in these stores then decide to purchase at other cheaper places. Fabletics is a reverse showroom because their strategy retains customers and comes with discounted prices. The firm understands local markets compared to other companies. The result is that 30 to 50 percent of people that buy from Fabletics are subscribers and members of the enterprise. People that are not members decide to join after purchasing their first items. While some members choose to purchase offline, it is not of great concern to the company as they still make a profit.
If a customer finds something they like online, they can choose to purchase it at that time without interfering with the online subscription. Customers can buy more than one item in a month if they like what Fabletics offers. All that the clients have to do is to go to the front store and pick the clothing items they want. One can also purchase for a friend at their wish.
The success with Kate Hudson’s Fabletics is a clear indicator that she is no newbie in the online fashion world. She has quickly adopted the latest Technology to create a unique brand. The fashion industry is not an easy space. Some fierce competitors have been in the industry for many years. Beating such competitors always sounds impossible. However, by focusing on a better business approach, startup firms can compete with other giants in the industry. Any startup company should always focus on customer experience, brand recognition, and proper product design. Gone are the days when price and quality of product determined if a product is going to succeed or not. The advent of information and internet has changed the way businesses function.
Fabletics is a branch company of TechStyle, a company that was recently rebranded from JustFab. The company has experienced rapid growth and expansion. One of the latest developments was in June 2015 when it decided to launch an FL2 activewear line for men. Kate Hudson’s brother Oliver Hudson was the brand ambassador for this line of clothing. The company further expanded beyond activewear in March 2016. It added a new line of swimsuits and dresses to shopping shelves.
Fabletics has gained an incredible exposure because of its tactful advertising. Kate Hudson advertises her brand mainly through video footages shot by her cell phone. According to Forbes, the firm was evaluated at $250 million within three years of operation. The company has increased its revenue by 35 percent every year.