Fabletics succeeds in fashion despite the fact that the Amazon regulates 20% of the fashion e-commerce market. It has grown a $ 250 million worth business in the past three years. A mixture of convenience and inspirational brands helps Fabletics to have a competitive edge over its counterparts.
In the past, customers have been determining the value of the product by, its quality and price. But due to the shift in the economics, it means that the two do not guarantee success. Currently, customers are basing on factors like their experience, brand knowledge, product design to determine the value of a brand.
In comparison to the likes of Apple, Fabletics strategies and positioning of the stores is working. Fabletics have sixteen stores but they will be opening more this year.
According to Gregg Throgmartin, who is the general manager, views that the company’s building of high-value brand from the first day and availing their fashion on a half price in comparison to the competitors is what makes them thrive in the industry.
Fabletics handle their stores differently, making them stand out from their counterparts. One of the strategies is reverse showrooming. The strategy has turned browsing into positive, as the company is able to build a relationship with the clients.
Due to this approach, around 40% of the people who visit their stores are already customers and a half of them became customers in the store. Fabletics does not pay attention to which store the customers are purchasing from and you can also get their products through the retail services.
Just from its founding back in 2013, Fabletics has been directly associated with the athleisure brand. Kate Hudson had the qualities that the athleisure brand wanted. Among them were her active lifestyle, she is approachable and not taking herself too seriously. She was just involved from the first day. Kate Hudson continued to be involved to ensure that everything is okay. She reviews the sale numbers and knows the brands that are fast moving and the ones that are not.
According to Throgmartin, their goal was to have a leading product in the industry that is almost half the price and of high quality. Due to quality commitment, it has enabled Fabletics to grow steadily and now it has almost 1.2 million members. Kate forming a partnership with the parent company is the factor that stimulated their growth. Something that enabled them to share things like marketing team instead of hiring.