Fabletics is a clothing line owned by Kate Hudson that mainly deals in women sportswear. It also deals in sports accessories. It operates on a monthly membership structure, and if you join as a VIP member, you can purchase your outfit at only 25 dollars. Fabletics customizes products based on clients’ preferences. After joining, you take out a short survey on the style of outfits you like and also the type of workouts you do. You then get workout outfits picked for you at the start of each month.
Fabletics has been known for the quality of its products. Some consumers have appreciated the quality versus price ratio of Fabletics’ products. An example of one product is the leggings. Clients say that these have a good compression over time, hold their shape and also do not fade. The broad range of styles has also impressed some consumers who regularly shop at Fabletics. Below we’ll get to see how Fabletics became a fierce competitor in the fashion industry.
Finding success in the fashion industry is no mean feat especially with companies such as Amazon controlling about a fifth of the e-commerce market share. Kate Hudson’s Fabletics has weathered the storm and is valued at 250 million dollars after only three years. Fabletics sells clothing to its clientele through its unique subscription mechanic, and this enables the company to tailor products according to customers’ preferences.
In the past, price and quality were the only elements used to determine a ‘high-value brand.’ The modern consumer‘s definition of a ‘high-value brand’ depends on factors such as gamification elements, last-mile service, brand recognition and customer experience. This is due to an economic slump in recent times. Fabletics liken themselves to premium brands such as Apple. Their positioning is making good returns as they prepare to open more and more stores in addition to the existing ones.
For a brand to be successful in such a dominated and populated industry, it must have some unique ways of operation and tactics. The General Manager of Fabletics, Gregg Throgmartin, says that the secret behind Fabletics’ success was building a ‘high-value brand’ from the start. He added that their membership model allows them to personalize their services and offer trending fashion products for half the price of their competitors.
Fabletics operates its stores in different ways which have proved successful over the course of its three years in operation. One of their most successful technique was employing “webrooming” or “reverse showrooming.” This is where people shop for their products online and end up buying them in Fabletics shops. This model has worked effortlessly for Fabletics because of their membership model. This model enables them to build strong client relationships, be relied on by their customers and also gives them more knowledge of the local market. About 30-50 percent of people who walk in their stores are already members of the company, and another 25 percent become members in the store.
Fabletics also uses local online data to store goods in their physical locations which will appeal to customers.