Fabletics Winning Market Share from Amazon

Amazon is one of the biggest ball players in the retail world today. Clothes, jewelry, electronics, hygiene products, and more can be found on the retail giant. When starting up a new brand, this is one of the biggest hurtles to get over. Despite this, Fabletics – the atheleisure brand run in part by Kate Hudson – has been winning customers left and right.

 

One of the reasons the brand has been so successful is what’s been called the reverse showroom. This is when the brand in question has taken browsing – which is typically a negative when there are cheaper alternatives on the market – and turned it into a positive. When customers try something on in one of the Fabletics stores, the item is added to their virtual bag, regardless of if they decide to buy it. In addition to this, since there was the site before the store, almost 40% of the customers who walk through the doors to begin with are already members of Fabletics.

 

This is another interesting aspect of the brand. There are no “customers”. Instead, the customers are considered members of a club. This gives it some exclusivity, but without the price tag. Furthermore, it allows the brand to track what kind of clothes the customers are buying. This lets the brand tailor their clothes as trends change – giving the brand an eight week window between design and production.

 

Kate Hudson, the celebrity endorsement for this brand, uses the brand. She is also completely hands-on. When she first started with the brand, the clothes hadn’t been designed yet. She has been with them since the beginning, and has no plans to go anywhere at the moment. Due to this, she has been committed to making the experience of shopping there the best it can be. When the customer service was bad, she helped revamp it so that the customer service matched what customers thought it ought to be. Then, she exceeded the expectations.

 

With so much going on with this brand, it’s anybody’s guess as to how their plans for expansion will pan out in 2017 and 2018. While the brand is hot, though, why not take the lifestyle quiz to find out what piece of clothing is best for you?