There aren’t too many in the fashion e-commerce market that give Amazon reason to be concerned, and that is saying quite a lot considering there are thousands of clothing retailers in the same niche fighting for the same dollar. Looking from the perspective of Amazon, they don’t have to really be worried about any other competitor in the apparel market because they are raking in just about 20 percent of all the sales anyway. There may be reason for Amazon to be very concerned if Kate Hudson’s Fabletics has anything to say about it. In a little under three years, Kate Hudson’s Fabletics has already sold $250 million in women’s workout clothing in the same niche.
When you talk to Hudson about all the recent success of her athleisure brand, you might be surprised to discover that all the success of this brand is attributed to just membership perks and the sales technique called reverse showrooming. To better understand what drives these two components, we drive to the local mall and walk into the Fabletics retail stores. Here you find a store packed with women who are browsing the racks for the latest in active-wear, they are taking the lifestyle quiz to boost membership perks, and they are trying on just about every piece of workout apparel inside the stores.
In order to be a dominant force in this competitive fashion e-commerce market, you need online sales in record numbers too. That is exactly what is happening at Kate Hudson’s Fabletics. Since you are able to try on all the active-wear inside the stores, those pieces get uploaded to your membership account, allowing the shopper to continue with the purchase when it is convenient for them. Now since they already saw how the piece looked when they tried it on, that element of wonder if it will fit has been eliminated. What happens now is those same women go impulse shopping in record numbers.
The allure to Kate Hudson’s Fabletics is the membership perks, ranging from free shipping, discounted clothing deals, and your own personal shopper. Your shopper looks at your quiz answers and will select a piece of workout apparel and put it in your cart at the top of each month. This is a shopping experience like no other, and Kate Hudson’s Fabletics appears to have caught the attention of Amazon who may have to rethink their Prime membership perks if they want to keep ahead of this company.