Joe Fagan

Former Soccer Star, Now Soccer Fan

December 12, 2017

Fabletics Defeats a Great Giant

As Goliath-sized company’s such as eBay, Amazon, Google, YouTube, and Apple continue to dominate the e-commerce scene, it seemed for quite some time that there was no David to step up to them and challenge the giants. That was true until Fabletics joined the picture, and this company that is headed by Kate Hudson has stepped right up to Amazon and has said, “Bring it on!”


Fabletics can challenge the dominant Amazon, which holds a market share of 20% in the fashion industry, by utilizing several wise business practices. The first business practice is to guarantee repeat customers. This is done by using a subscription model for clothes. Once a customer signs on to a subscription, (monthly, quarterly, or yearly) they will then begin receiving clothes in the mail. Fabletics also guarantees repeat customers through excellent customer service. Fabletics is known as a family, and it treats each customer like a sister. Because of this open dialogical relationship, 85% of Fabletics’ sales come from repeat customers.


The second way that Fabletics can challenge the dominant Amazon is by opening several physical stores. At the time of this writing, Fabletics has over 16 stores spread throughout five states, with more stores promised in the near future.


Many people thought that Fabletics opening a physical store would be its downfall because of the business aspect called showrooming. Showrooming occurs when a non-loyal customer comes into your store with no intentions to buy a product off of you. The only reason they are there is to browse the product in person. They will then leave your store and purchase it for a more affordable price online.


Fabletics reversed the trend of showrooming by guaranteeing that fifty percent of people entering their stores were already customers. They also would go out of their way to sever the people so well that 20% of those who came in and were not already customers, left with signing on a subscription.


Kate Hudson is proud of the $250 million company that she has created in just three years. She has gone on the record saying she feels more alive now than ever before.


If you are interested in the athleisure brand that inspires women to be better versions of themselves, then I encourage you to take their six question lifestyle quiz. In only six simple steps, they will find the best clothes to fit your routine.