How Kate Hudson’s Fabletics is Making Amazon Nervous
The women’s apparel e-commerce niche has been dominated by Amazon for years, and today they are comfortable enjoying over 20 percent of all the sales in that niche. There are not too many competitors that make Amazon nervous, but this year they have seen Kate Hudson’s Fabletics gobble up $250 million in sales that used to be their profits. This would give any retail giant serious reason to pause, and it doesn’t appear that Kate Hudson’s Fabletics is going anywhere soon.
Hudson talked about the success of her athleisure brand, and the basic foundation of the company is comprised of her unique membership plan and the sales process that is otherwise known as reverse showrooming. These are both concepts that have been used in the retail clothing market for years, but Hudson has discovered the perfect balance that has really struck a cord with women. These women go to the Fabletics store in the mall, and they do everything from applying for the free Fabletics membership. take the unique Lifestyle Quiz, try on all the latest in women’s active-wear, and window shop as long as they like with no pressure from sales associates.
The part of the sales formula that is unique, these women don’t have to buy in the store for Hudson’s bottom line to increase. These women will eventually visit the Fabletics e-commerce site, and there they find all the clothing they were trying on at the mall have been placed into their account profile. Now since these women have tried on all the clothing and discovered what fits best, they don’t have to worry about sizing. By taking this element out of the equation, it is easier to just focus on buying the clothing based on colors, styles and even the newest arrivals. These women go from buying one piece at the mall to a half-dozen or more online.
Now included with the Kate Hudson’s Fabletics membership is free shipping for all those orders online, a personal assistant who selects an item each month based on your quiz answers and shopping patterns, as well as deep discounts on select workout apparel throughout the site. It appears that Kate Hudson’s Fabletics has connected with women who are growing increasingly frustrated with buying from websites like Amazon and eBay, having to return the merchandise time and time again until they get the size they need that fits them perfectly.
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