Most apparel companies are well aware that Amazon already commands 20% of the online apparel market, and to mess with this giant is foolish at best if you are not ready for a long and difficult battle. One company not only is going after Amazon, they are pushing the giant around and grabbing a huge chunk of the e-commerce apparel market. Kate Hudson’s Fabletics is not quiet about going for the top spot, they are making waves and crushing it as far as taking sales away from Amazon. In the last three years, Fabletics sold over $250 million in high-quality women’s active-wear and has really gotten the attention of the players in that space.
When Hudson was approached as to why her company has done what so many other fashion businesses have failed doing, she credits the success to a two-fold business formula. On one hand, she credits the success to her unique membership platform, then on the other hand she says has to do with reverse-showrooming. To get a better understanding of these two working together, you really have to see the buying process in action.
Women stop at the retail outlets in the mall and sign-up for a free membership to the Fabletics store, then they simply look around and try on as many items as they like. No pressure here because each item that you try o is added to your online profile for consideration at a later time. When you only have a few minutes to shop on your break, you try on your clothes and leave the store with zero pressure to buy anything. Most women fill out the Lifestyle Quiz to enhance their membership too.
Hudson says that the key to her success is when the consumer gets home and in a more relaxed atmosphere when they visit the Fabletics website. Now all those items that were tried on are still in the cart and you can buy now, shop around, or look at new styles knowing the sizes that flatter your frame perfectly. Her athleisure brand is high-quality and very low pricing at its best. Most women will now sit back and browse all the workout apparel and buy more than they would have in the retail store.
Part of the added benefits of taking that quiz earlier is now all your items ship free from Kate Hudson’s Fabletics. The consumer who becomes a member also gets their own personal shopper who will select a new item each month based on the customers quiz answers and shopping habits.