Amazon has a comfortable lead as far as sales in the e-commerce apparel niche and the closest competitor doesn’t bother this giant too much. Amazon is eating up over 20 percent of the sales in the apparel space, the rest being divided by thousands of clothing retailers. Coming up fast in the rear-view mirror is Kate Hudson’s Fabletics, taking in what seems like impossible numbers, in the range of $250 million in only three short years. That gap Amazon has been enjoying seems to be getting smaller and smaller if Hudson’s Fabletics has anything to do with it.
In order to get a good understanding as to how this clothing company has enjoyed such amazing results, we simply talk to Hudson and get the dirt. She tells about the company succeeding by making use of reverse showrooming and her membership program. It might seem like a simple answer, but seeing it in real-time reveals the secret to the success of this brand. Look at the women shopping at the Fabletics stores in the mall, they are trying on all the workout apparel and active-wear, taking the Fabletics Lifestyle Quiz, and window shopping without sales pressure. Hudson says her athleisure brand pretty much sells itself.
These women who are already members and shopping at the mall will eventually wind up heading to the e-commerce site to complete their shopping. Since they have tried on the workout apparel in the store, they don’t have to be concerned about sizing any longer. This free up that worry about the items fitting, so women will add more items to their shopping cart based on impulse buys. Unlike where you have to return items from Amazon until the clothing fits, at Fabletics, you already know they flatter your frame perfectly. So instead of getting one pair of yoga pants to try on, you wind up buying a half-dozen new styles.
Kate Hudson’s Fabletics customers are getting used to being spoiled and pampered, and with their membership they are getting discounted pricing, free shipping, and the help of a personal shopping assistant. This is not your average clothing company, this is a company that is committed to pampering women with the latest high-quality pieces of workout apparel. If Amazon is not already paying close attention to Kate Hudson’s Fabletics, they will take notice as their profits begin to slip away and this company steadily grows from year to year.