Fashion

Could Kate Hudson’s Fabletics Be the Next Amazon?

Looking back a few years ago, asking if Kate Hudson’s Fabletics was going to be the next Amazon would have been met with laughs and giggles. Amazon dominates the online fashion space, pulling in a staggering 20 percent of sales with no fear of being moved off that top spot for good reason. But fast-forward on a few years, and Kate Hudson’s Fabletics has brought in over $250 million in sales of active-wear and high-quality workout apparel, and the rumblings can be heard throughout the industry.

 

To understand how a virtual unknown has exploded to be one of the top retailers of women’s apparel in such a short space, we have to talk to Kate Hudson herself to get insight to the success formula. Hudson says that she owes her growing sales to a combination of a unique membership platform that works well with the reverse-showrooming process. Hudson says that consumers come to her retail stores in the mall where they can either sign-up for a new membership or take the Lifestyle Quiz to enhance the membership they already have. Either way, shoppers are encouraged to window-shop as long as they like. Each time a customer tries on a new piece of active-wear, it will be added to the online profile so this customer can consider buying it at a later time.

 

So how is Fabletics making money when customers leave without buying?

 

The reverse-showrooming process kicks into gear when the customer visits the Fabletics website and sees all those items they tried on in the store waiting for them to purchase. Most women will look over those selections and now knowing their size, will shop for more pieces they did not even consider up to this point. Being able to relax at home and shop online for pieces of workout apparel they know will fit perfectly makes the shopping process easier. Having taken the Lifestyle Quiz, these customers now enjoy free shipping and a lower price on all future purchases too. The appeal of this athleisure brand is about quality, and having a popular celebrity representing the brand does not hurt either.

 

Kate Hudson’s Fabletics has commanded the attention of those in this space as well as customers who are looking for an easier way to shop for the clothing they need. It is hard to imagine where Fabletics will be in another three years if the sales continue to grow at this rate.


Looking back a few years ago, asking if Kate Hudson’s Fabletics was going to be the next Amazon would have been met with laughs and giggles. Amazon dominates the online fashion space, pulling in a staggering 20 percent of sales with no fear of being moved off that top spot for good reason. But fast-forward on a few years, and Kate Hudson’s Fabletics has brought in over $250 million in sales of active-wear and high-quality workout apparel, and the rumblings can be heard throughout the industry.

 

To understand how a virtual unknown has exploded to be one of the top retailers of women’s apparel in such a short space, we have to talk to Kate Hudson herself to get insight to the success formula. Hudson says that she owes her growing sales to a combination of a unique membership platform that works well with the reverse-showrooming process. Hudson says that consumers come to her retail stores in the mall where they can either sign-up for a new membership or take the Lifestyle Quiz to enhance the membership they already have. Either way, shoppers are encouraged to window-shop as long as they like. Each time a customer tries on a new piece of active-wear, it will be added to the online profile so this customer can consider buying it at a later time.

 

So how is Fabletics making money when customers leave without buying?

 

The reverse-showrooming process kicks into gear when the customer visits the Fabletics website and sees all those items they tried on in the store waiting for them to purchase. Most women will look over those selections and now knowing their size, will shop for more pieces they did not even consider up to this point. Being able to relax at home and shop online for pieces of workout apparel they know will fit perfectly makes the shopping process easier. Having taken the Lifestyle Quiz, these customers now enjoy free shipping and a lower price on all future purchases too. The appeal of this athleisure brand is about quality, and having a popular celebrity representing the brand does not hurt either.

 

Kate Hudson’s Fabletics has commanded the attention of those in this space as well as customers who are looking for an easier way to shop for the clothing they need. It is hard to imagine where Fabletics will be in another three years if the sales continue to grow at this rate.