Fabletics: A Unique Brand

Not too many enterprises succeed in the Fashion industry considering that there are bigger companies like Amazon who control about a fifth of the e-commerce market. However, one such company that has bravely fought these challenges to become a fierce competitor in the industry is Kate Hudson’s Fabletics. Fabletics has accumulated a net worth of 250 million dollars in just three years. The company uses a unique subscription mechanic to sell off its stock to clients. Fabletics is highly successful because it is a brand that is aspirational, convenient and ‘pushes’ customers further.

The Economic recession in recent times has meant that price and quality of goods do not necessarily guarantee your firm success as was in the past. At the moment, brand recognition, customer experience, gamification elements and last-mile service are some of the factors that determine whether a brand is high-value. Fabletics liken themselves to premium brands such as Warby Parker and Apple. Their strategy is bringing in huge profits as they plan to open more shops adding to the sixteen that they currently have.

The General Manager of Fabletics, Gregg Throgmartin, stated that the secret to the company’s success was building a modern ‘high-value brand’ from the first minute. He also commented on the firm’s membership model saying that it allowed the company to provide personalized services and trending fashion at half the price of competitors. He mentioned that Fabletics understands consumer changing needs and demands.

To be successful, you have to separate yourself from the crowd. One of the things that Fabletics does differently is to encourage “reverse showrooming” or “webrooming.” Most retailers use showrooming in the fashion industry, and this could potentially kill their businesses. People could come and browse items offline and then buy the goods at a lower price elsewhere. Fabletics’ strategy enables them to build strong client relationships, be relied on and know the current markets better through different activities. About a third to half of the people who walk into their stores are already members, and another 25% become members inside.

Fabletics understands different ways not to destroy the customer’s brand journey. One way to do this is to show the proper content both in the digital and physical realms. Fabletics thrives so well in the fashion industry because it uses local online data to stock items in physical stores that will appeal to clients. Local stores are stocked based on a couple of aspects such as social media view, real-time sales movement, and store data analysis.

Another factor that has kept Fabletics afloat for three years is understanding consumers and offering an amazing customer experience. TechStyle Fashion Group Corporate Marketing Officer describes growth as a result of providing a great product at a great price and an official spokesperson. He also recommended having a creative team working behind the scenes.

Fabletics operates on a monthly membership structure, but if you join as a VIP, your first outfit will cost you only 25 dollars on top of various discounts on la carte items. Upon joining you take a small survey on the type of outfits you want and from there on Fabletics will pick outfits for you every start of the month.

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