Look at how far Amazon is from the rest of the competition in the online clothing niche. Amazon takes in 20 percent of the sales in this very crowded space while thousands of other retailers have to struggle to grab whatever is left. Kate Hudson’s Fabletics is not one of those clothing companies that is going to wallow around in the muck with all those competitors for long, in fact, they have their sights on pushing Amazon off that top spot. Looking at sales numbers, Kate Hudson’s Fabletics has sold over $250 million in women’s active-wear and workout clothing in a little under three years.
Take a close look at this athleisure brand, the sales are not coming from where you might think. Hudson says it is not her celebrity name or the high-quality of the merchandise, it is all about reverse showrooming and a very unique membership perks plan. Inside one of the Fabletics stores at the mall, we see that women of all ages are trying on every piece of workout apparel then can. These women are taking the Fabletics lifestyle quiz for further enhancing their membership perks, and many just window shop with no pressure from the staff. With no pressure to buy, how can this company rake in $250 million in sales consistently?
It all comes down to what happens in the e-commerce store. Those same women who were trying on the clothing at the mall saw those items transferred to the Fabletics online shopping cart. Now what happens here is that since the clothing fit perfectly in the mall, the concern about sizing has been eliminated from the equation and these women can shop and shop and shop. That is exactly what they are doing, loading up the online carts with piles of leggings, tank tops, and yoga pants.
The other membership perks at Kate Hudson’s Fabletics include free shipping for those online orders, discounts on the apparel, and the help of an assigned personal shopping assistant. Based on your lifestyle quiz answers, one piece of workout apparel will be selected for your consideration each month. This pampering style of customer service seems to have really struck a chord with shoppers who are tired of paying $80 for Prime membership at Amazon to only receive discounted shipping. Kate Hudson’s Fabletics appears to have found the right balance of membership perks and customer service that is ringing in huge sales numbers.
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