How Kate Hudson’s Fabletics is Taking on Amazon

Fabulous In Fabletics

Kate Hudson, actress, mother, and entrepreneur co-founded Fabletics in 2013. Fabletics is an online subscription store of activewear and accessories that sells comfortable on-trend fashionable activewear that can be worn at the gym or just for casual wear. Their high quality activewear encourages customers to be more active because they feel good and confident in their cute and fashionable outfits. With new styles every month, Fabletics sells outfits, tops, bottoms, as well as accessories such as, gym bags, water bottles, socks, caps, arm warmers, hair ties, hair bands, gloves, and some other accessories.

 

With Amazon currently controlling 20% of the fashion e-commerce market, Kate Hudson’s Fabletics has become part of a fashion statement in activewear with a growth rate of 35% year after year growing at $250 million in only 3 years. Now that Fabletics is growing and gaining popularity 12 more stores are opening in 2017 – in Hawaii, California, Illinois, and Florida, in addition to the 16 stores that are already open. Most of Fabletics success is due to the unique membership they offer to their customers with a more personalized service of activewear at half the price of the competition.

 

The way they gain customers is by building customer relationships with them based on their membership preferences, and through events and other activities. By taking a 60 second style quiz Fabletics stylists make suggestions to their customers based on their lifestyle and fashion preferences, social media and customer experience. What makes Fabletics successful and unique than any other store is by using what they call ‘reverse showrooming‘. Instead of people browsing the stores without buying anything Fabletics builds relationships by inviting customers to purchase from them by subscribing to their membership, this way Fabletics gets to know their customers in a more personalized manner. By signing up with Fabletics members share their size and style and recieve their first 2 piece outfit for just $10 which is currently valued at $49.95. After the first month customers continue to receive a new trendy outfit every month suggested by a stylist, with new styles every month, for $49.95 which is 50% off the retail price. However, if a customer chooses to skip a month or cancel their membership they are free to do so at no extra cost and their credit card will not be charged. With their VIP membership customers earn reward points for free gear, free shipping with orders over $49.95 as well as free returns.

 

Fabletics stores are stocked with items according to their customers preferences that changes as trends and fashion change, and if a customer decides to purchase from a store they get the benefit of already having a membership so they can recieve the discounted membership prices. And 30-50% of the shoppers are usually a member.

For customers who want to lead a comfortable and fashionable lifestyle but doesn’t want to invest the time in styling themselves Fabletics stylists chooses styles for you with respect to your own personal style.

Weekend #workout plan inspired by @gingerressler's high-power moves ????

A video posted by @fabletics on

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