Amazon in one of the major e-commerce fashion giants we have today with a customer base of over 20%. While this may look like a tall order to most fashion e-commerce businesses, one business by the name Fabletics is set to doing all it can to break this record. With over $250 million in revenues in a spun of three years, this ‘activewear’ brand led by Kate Hudson is changing the perception of online businesses.
To most people the common notion is that this business has been able to grow in stature thanks to its association with a celebrity, Kate Hudson. Nothing could be further from the truth. The working model of Fabletics is quite simple; it’s subscription, and this is what has helped the business succeed all through. According to Gregg Throgmartin, the fashion stores general manager, their subscription model has helped them from the beginning reimagine the historic high –value brand where price and quality were the main determinants for making sales. Through the membership, Fabletics has been able to meet to the specific needs of their buyers and offer them high quality active wear at affordable costs.
The following three options is how Fabetics is doing its physical stores different to its competitors in the market hence outshining them.
Despite being one of the oldest tricks in the books, a lot of businesses are being killed by this concept of showrooming. Fabletics however has decided to re engineer this strategy to work to its advantage. With the reverse showrooming strategy, Fabletics has not only been able to improve the relationship with their customers but also increase the number of repeat customers. This model allows the activewear business add to the buyers online chart all the clothes they have sampled on the stores hence helping them shop later even without physically visiting the store.
Reliance on online data
If there is a business that understands that data is the heart of a business, then it has to be Fabletics. Through the use of online data the company is able to restock and match its products with the taste and preferences of the buyers hence preserving its relevance in the market.
Fabletics unlike other business is one that appreciates certain key aspects of the market. In its growth strategy, the firm pays attention to factors such as its products availability, its customers and importantly their culture. These factors have helped it be calculative in its move and steps thus helping it achieve sustained growth.