There have been hundreds if not thousands of clothing retailers over the years saying they will take on Amazon and win in that space. With so much competition and Amazon holding 20 percent of all the apparel sales in that niche, it would take years for any company to even start getting Amazon concerned. Kate Hudson’s Fabletics certainly has the high-quality apparel, and years is something they now have behind them, having racked up over $250 in sales of women’s workout apparel in only 3 short years.
When Hudson was asked to talk about how her company came from obscurity and suddenly in playing on the big stage with Amazon, she simply credits the growth to reverse showrooming and her Fabletics membership. Not new sales concepts by any stretch of the imagination, so we need to take a look at how these women are shopping to see how these sales numbers are so explosive. The Fabletics stores at the malls may seem like just your average clothing retail outlet, but look what is happening inside. These women are trying on all the workout apparel, taking a Lifestyle Quiz, even window-shopping, without the pressure to buy from sales associates.
Part of the benefit of having the Fabletics membership is all of the clothing you wear in the store will get transferred to your online account. Hudson says hers is where her athleisure brand sells itself. These women who are shopping online no longer have to worry if the clothing they are shopping for will fit. They know the exact size and how it looked in the store, so they begin to fill up their shopping cart online with more pieces of women’s active-wear, new arrivals of workout apparel, and the latest colors in yoga pants.
Kate Hudson’s Fabletics offers a membership to all shoppers, and it also includes free shipping for online orders, discounted pricing on the workout apparel, and even the help of a personal assistant. Each month, your shopping assistant picks a new item based on your quiz answers, then drops it in your cart for consideration. The no-pressure sales approach combined with the high-quality clothing line appeals to these shoppers who are turning into loyal customers after one purchase. Amazon does not have this sales model in place, so Kate Hudson’s Fabletics can continue expanding their inventory and growing their customer base without any real threats to their sales.