Kate Hudson’s Fabletics, is ;part of an expanding clothing movement known as “activewear”. Similar, to how the online seller, Amazon, has around a 20% control over the online clothing market, Fabletics has grown to become a $250 million company in only a three year period. The company makes use of a membership service, that offers powerfully motivating styles of clothing, online.
Typically, the consumer market has the mindset, that a high price must be an indicator of a higher quality of item or service that is being offered. However, that is no longer a viable approach. A change in the economy has caused the consumer to look more for items that have high customer reviews, exclusive designs and for companies that go out of their way to make sure, that the consumer is happy with their purchase, while spending less of their money.
Many stores have been dying out, due to the consumer visiting the physical stores to browse the items that are available, but then going online, to actually purchase the product, from another company. Fabletics has not encountered this type of sales decline, because of how their business market came to be. Fabletics has an online membership market, with a large quantity of members, who validate the products as being worthwhile. This type of reviewing goes a long way, with encouraging future consumers to visit their physical locations and actually buy the products, from Fabletics. Statistically, nearly 50% of the consumers, who visit the physical store, are already members of the company’s website subscription service, with 25% of the people in the physical stores, becoming first time members from their experience.
Fabletics makes use of marketing data about consumer preferences, from their online stores, to get a firm grasp of what people actually are interested in. When a consumer looks at an item in their online store, this information is used to make sure that the physical stores are stocked with items, that the online store’s consumers are primarily interested in looking at. This allows for the physical stores to easily swap out stock, to keep up with trends in fashion. Cutting edge technology is also made use of, such as, data obtained from heat maps and social media, to define which stores are actually of interest to the consumer.
Competing with online stores, such as Amazon, is a sincere challenge for most stores. Fabletics manages this feat by offering exclusive items, cutting-edge technology, science and by scaling their physical stores in relation to Return on Investment data.
Many consumers report that the for the low prices they pay for the products, that the quality is far more than they expected to receive. The most common belief is that the quality rivals the more competitive, expensive brand names but without the hefty price tag. Buyers have said that the variety of styles available at Fabletics is immense. This includes not only the variety of styles but, also the color and patterns that are in stock.