Amazon usually doesn’t answer to anyone because they have been comfortably sitting on the top of the online apparel market for years. When a new company comes along that sells active-wear or clothing for women, they usually don’t close the gap to Amazon, who is enjoying 20 percent of the sales in that space. Out of nowhere however, Kate Hudson’s Fabletics has not only been closing that gap, this company has taken $250 million in sales that used to be Amazon money, and show no signs of slowing down in the coming years.
Hudson was asked to expand on the popularity of her athleisure brand, to which she simply responded that it is a combination of high-quality, personalized memberships, and the reverse showrooming process. This all sounds great, so Hudson was asked to explain the secret with a real-time buying experience. Women come down to the Fabletics store in the mall where they can try on all the clothing in the store if they like,. window-shop, apply for their free membership, or take part in the Lifestyle Quiz. Many women love this experience, but leave the store with nothing.
How does this equate to $250 million in sales in three years when the consumers are leaving the stores empty-handed?
The answer may surprise you, but it has to do with the e-commerce Fabletics site. Since the majority of women have been in the store trying on the apparel, they know what fits them perfectly. Once online, all those items are transferred to the online profile, so women now can just choose what they like or other styles based n the size they know fits them. This takes the guesswork out of buying active-wear, and women respond accordingly by adding even more pieces of workout apparel to the shopping cart.
The benefits do not end there however, those who get their membership at Kate Hudson’s Fabletics will also enjoy lower pricing on apparel, free shipping on online orders, and the help of a personal shopping assistant. Unlike shopping at Amazon and have to pay $80 to get 2-day shipping, Fabletics customers are going to get the right sized items the first time and not have to return them time and tine again until they fit. Customers appear to be responding accordingly because Kate Hudson’s Fabletics is smashing sales records each year and closing that gap between them and Amazon in the women’s apparel space.