Despite controlling a fifth of the entire fashion e-commerce sector in the United States, Amazon is getting stiff competition from Kate Hudson’s Fabletics. Started as a fashion startup three years ago, Fabletics has since established itself as a real competitor to Amazon. Don Ressler and Kate Hudson, the brains behind the company, are both experts and talented in their different way. Don is experienced in incubating startups as well as in e-commerce marketing. Kate, on the other hand, has a background in athletics, which gives Fabletics an upper hand in the designing of activewear and fitness products.
How Fabletics is Winning Clients
As at last year, Fabletics was valued at over $250 million. This remarkable growth over a short period can be attributed to several strategic factors that Don and Kate put in place, and worked perfectly for the brand. The duo designed a subscription model for clients where they can subscribe as members. The members are then presented with better deals, fairer prices, and convenient shopping. This complemented the highly innovative and sophisticated designs for Fabletics’ products and eventually winning the much-needed clients’ trust.
Another strategy that has worked well for Fabletics is the establishment of physical stores in nearly all strategic cities across the United States. With stores in major cities in states, such as Illinois, Hawaii, California, and Florida, set to open in the near future, Fabletics will keep making inroads in areas other companies are struggling to penetrate.
Showrooming is a strategy that many entrepreneurs avoid due to its ambiguous nature. The argument within marketing circles is that the technique mostly kills rather than grow brands. This argument is authenticated by the fact that clients have the tendency of sourcing for information about certain brands online, comparing prices, and then opting to make purchases elsewhere. As innovative as it is, Fabletics has neatly crafted the technique and tailored it to its advantage by coming up with a more effective reverse showrooming technique. The company starts by developing relationships with clients through taking part in communal events. After earning trust from the immediate community, Fabletics is guaranteed that the bigger percentage of people who walk into their stores will become members.
The Rules that Helps Fabletics to Grow
Recently, Kate Hudson shared some rules that govern her brand and how they have contributed to its success. She noted that Fabletics designs products based on the feedback it gets from the market. Secondly, she remains hands on to ensure that everything runs according to plan. Thirdly, Fabletics’ products are designed in all shapes and taste for everybody. Most importantly, Kate and her staff are driven by a passion for their job.