Rare business case- Kate Hudson’s Fabletics competes with Amazon in online fashion market

Lately, Amazon directs 20 % of the online fashion market. Kate Hudson’s Fabletics is one of a kind because, despite such a percentage, it has managed to grow its 250 million dollar business for the past three years. Fabletics is selling activewear at a high rate, thanks to the subscription mechanic that it uses to market and sell its products.


Kate Hudson’s Fabletics thrives through strict principles that promote perfect customer service, hence satisfaction. The principles are simple; everyone wants an aspirational brand, one that pushes them a bit. It also has to come with convenience and membership. This powerful combination speaks volumes about the success story behind Kate Hudson’s Fabletics.


Price and quality define high-value products and services. However, the current e-commerce trend is taking a whole new wave, which implies that quality and price are not enough metrics to define competitiveness and business success. Rather, customer service and experience, brand identification, fashionable designs and other gamification features have to be in the picture. They have become important measures of success in today’s customer satisfaction trend.


Fabletics uses a special strategy like that of Warby Parker and Apple. It is all about positioning. This strategy, which calls for fashion membership is really paying off. Thus far, Fabletics has 16 physical stores strategically located in Florida, Hawaii, California and Illinois. It plans to open a new physical store to cater for the increasing demand for its brands.


We all want to know the secret behind this great success, right. Fabletics General Manager, Gregg Throgmartin narrates that establishing a contemporary edition of high-value brands right from the start is all it takes to realize high-profit margins. The membership model used at Fabletics allows the company to give personalized attention to every customer.


It also serves as a platform to beat competitor prices because it enables them to sell at half the competitor prices. Their focus is to make customers happy before even knowing them and their market needs. It all lies in good customer relationships and less on the value of the brands.


The stocks are a result of a careful follow-up on customer trends, social media reviews, and comments, preferences so that brands do not lie idle in stock. This explains why Fabletics has been selling all through. The operations director concluded that a combination of global fashions and online preference user data had been the cornerstone of customer satisfaction.

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