Kate Hudson’s Fabletics Giving Amazon Reasons for Concern

Amazon has not been too concerned about the competition in the apparel niche because they have been commanding 20 percent of that market for years. With thousands of e-commerce clothing companies trying to chip into that lead, you might think Amazon has reason to be concerned. It wasn’t until recently when Kate Hudson’s Fabletics began to close in on Amazon that they took notice. This active-wear company has gone from no sales to $250 million in sales in less than three years and definitely has the attention of Amazon.

 

When Hudson was recently talking about the success of her company, she simply says that a combination of reverse showrooming and her membership package are the basics that have exploded the growth of her company. These are sales techniques that are not new, but somehow Hudson has created a blending of the two that are attracting female shoppers to her store. Looking at the entire sales process from the eyes of a consumer, they head to the Fabletics store at the mall where they can get their free membership, take the Lifestyle Quiz, and try on anything they like inside the store.

 

Whether these women buy at the retail store or not does not affect this winning formula, it is what happens later where all the magic occurs. These same women will eventually go to the Fabletics e-commerce website, and once they log into their account they discover all the items they tried on at the local store are now in their online profile. This takes away some of the uncertainty of buying online because you know the apparel fits, so you can focus on just buying colors, styles, and anything you desire.

 

By eliminating the question of size, Kate Hudson’s Fabletics customers are buying more and becoming loyal returning customers. Included with the membership is discounted pricing, free shipping, and a personal shopping assistant who uses quiz results and buying patterns to choose an item each month for consideration. Pampering is certainly working for Hudson, as her customers are buying more at the online store than they ever would have purchased at the mall. This is a huge contrast to buying at Amazon, where you pick a piece of workout apparel or active-wear and hope when it arrives that it fits. Now with Kate Hudson’s Fabletics, you are getting exactly what you need the first time without the hassle of returning apparel that doesn’t fit.

How Fabletics is Winning Over The Active Wear Retail Industry

People are always afraid that they will shop online, online to end up scam victims, or jeopardize the safety of their credit card information. Therefore, there is still a wide niche that will not shop online. Especially, not when purchasing apparel. This is because of the fear of getting ill-fitting clothes or being delivered a package that is totally different from what you ordered. Yes, some companies will take that back and compensate you. However, you will have gone under a lot of inconvenience. So, looking at such cons makes people prefer to get items from their local physical stores. But, Fabletics came around and is now changing how people view online shopping, especially in the active wear.

 

One way in which Fabletics have managed to change the notion, is through customer engagement. Even when most of their apparel is sold online, they still manage to make you feel like you are talking to love designers and stylists. In fact, they have employed a team of professionals to take surveys when you log into their website. They then use this information to customize attires that suit your lifestyle.

 

Fabletics has also become a quick success because they are able to tap into both online and offline markets. They realized that not everyone was up to the idea of getting their workout gear online, so they came up with a plan to establish Physical stores. In the few years that the company has been in existence, it has managed to open physical stores in most states in the US and also in the UK.

 

The membership program that is utilized by Fabletics has also had a big input on the success of this company. Although there are many companies that utilize this program, not many thrive on it. This is because customers find the programs either rigid or not worth their time, because there are not enough perks. But there is something different about the Fabletics’ VIP program. First, the program if very flexible. If you are member, it doesn’t mean that you have to show every other month in order to sustain your membership. If you don’t need an item in a certain month, you simply choose to skip the month, by the 5th of that month, and no penalties will be charged. Then there are the endless perks of being a member. From discounts to free stuff and customization of products.