Fabletics vs. Amazon

Amazon controls about 20 percent of the fashion e-commerce market. Its expansive inventory outmatches every company that would even dare to challenge its rule. But recently, Kate Hudson’s Fabletics has stepped up and is daring to knock Amazon out of the number one spot.

In just three years, Fabletics has grown into a $250 million business. It’s now one of the most recognizable brands in the world. Fabletics is the leading fashion company in the ‘activewear’ trend. It also uses a subscription mechanic to sell directly to its customers. The overall premise of Fabletics is simple; combine convenience and membership with aspirational fashion.

High-value brands were determined by price and the quality of the product. In recent years, trends have shifted the economics of fashion in a new direction. Just having a good product at a good price is no longer a guaranteed success.

Nowadays, consumers care about things like customer experience, brand recognition, and gamification elements. Along with other personal aspects, the new fashion e-commerce market can be quite tricky. Companies have to put a lot more effort into becoming a brand that consumers will think of as being high-value.

With Fabletics success continuing to skyrocket, the company has now begun opening physical stores. Having seen the success of other e-commerce companies like Apple, Fabletics is taking its physical stores to a new level. Currently, Fabletics has sixteen stores in places like Hawaii, Illinois, Florida, and California.

Gregg Throgmartin, General Manager of Fabletics, thinks of Fabletics as building a modern and re-imagined version of a high-value brand. From day one, the company set out to create something like never before. It’s that innovative spirit that encouraged the customer-focused concept. It’s what allows Fabletics to offer personalized services and products.

While most e-commerce companies with physical stores have been suffering from ‘showrooming’, Fabletics has taken ‘showrooming’ and turned it into a positive. ‘Showrooming’ is where people browse offline and go buy that same item somewhere else. To combat the negative impact of showrooming, Fabletics has introduced ‘reverse showrooming.’

Reverse showrooming is the strategy of welcoming visitors into the store and making them feel wanted. Fabletics relies on customer relationships and getting to know the local markets. This strategy has resulted in 30 to 50 percent of visitors being members and an additional 25 percent of visitors becoming members.

In a recent review about Fabletics, the author actually confirmed much of what people have been hearing about Fabletics. The quality of the products is actually much better than expected. Usually, with products in that price range, it’s expected to stretch out or fade within weeks of being purchased. Fabletics’ products actually hold their shape and compression over time.

Overall, Fabletics is a good membership to join. The prices are good and the products are beyond impressive. What many may not know about Fabletics is that it allows members to skip monthly payments if they’re not going to buy anything that month.

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