Amazon is currently taking 20% of the fashion e-commerce making it hard for any other upcoming fashion entrepreneur to make it. However, Kate Hudson’s, Fabletics is doing the unexpected, and for the last three years it has grown a $250 million business. Through understanding their customers, Fabletics offers aspiration brands. Additionally, they provide convenience through customer membership application which result is a competitive tool to win and retain customers.
Trending Competitive Measures
For a long time, brands have used quality and price of their goods and services as a way of staying relevant in the market. With changes in economics, these combinations are no longer efficient and do not guarantee you success. Instead, the modern customer is more attracted y other factors such as customer experience, gamification elements, brand recognition, last mile service, and exclusive design.
Fabletics, like Apple and Warby Parker, understands this and is applying these strategies and sure enough, the brand membership is paying off. They have managed opening new physical stores in addition to their previous sixteen, a move which helps them reach more customers.
According to Fabletics General Manager Greg Throgmartin, the membership model allows the company understand their customer needs and hence produce more personalized services. Additionally, they offer their products at half the price as their competitors.
Distinguishable Qualities of Fabletics Physical Stores
Reverse Showrooming Shopping
Many online markets are being “killed” by showrooming whereby clients browse products but later buy them in other stores at a cheaper price. Fabletics has reversed this whereby those who walk in their stores, 30-50 percent are already members and at least 25 percent convert once they get into the stores. Once a customer tries an item, it directly goes into their cart and bought from any of their stores.
Power of Online Data
Fabletics uses online local data to stock both their physical and online stores. Through studying the data, they are able to understand customer preferences and change in trends. Through this knowledge, their stores are stocked based on local membership preferences and social media sentiments.
Giving more Focus on Accessibility, People, and Culture
As Fabletics continue to expand to new areas, it is faced by challenges but through customer experience, consumer education, and balance of lifestyle, they are able to stand against their competitors. They give focus on providing quality products at an affordable price which is combined with employing a creative team, authentic spokesman, and an in-house media.
Fabletics Operation Method
Fabletics operates on a monthly membership subscription structure. By joining as a VIP member, you buy your first outfit for only $25 in addition to getting discounts on all la carte item you purchase. The real deal about applying for the membership is that you get a monthly curated outfits whereby you can buy 2-3 piece outfit for only $49-$59.
The company has high quality products which come at an affordable price. Once you sign up for membership, you chose which kind of workout you involve in and your preferred outfits ranging from shorts, capris, and tanks among others. To make shopping easy for you, the store will pick three outfits for you monthly and you can choose the one you desire.