Despite having grown, within the last three years, to a 250 million dollar fashion company especially as an e-commerce company is quite tough, and this is because Amazon holds 20% of the fashion e-commerce business. As part and parcel of the activewear’s movement, Fabletics which is Kate Hudson’s brand, inscribes a subscription mechanic to be able to reach out and sell their clothing products to their clients. They have basic idea and belief that consumers opt for aspirational brands which also slightly push the buyer, this mixed with membership and convenience, an extremely powerful combination is born. Initially, brands that hold a higher value have usually been tied to service & product quality and also their price. With the current economic change sees that the combination that defines high-value brands does not currently hold enough water to make them competitive nor successful.
Fabletics has gone forth to use the tactics employed by the likes of Warby Parker and Apple, such as positioning and strategy has borne them great results. This has allowed them to avail more stores in this year which are an addition to the sixteen stores that were previously opened in California, Illinois, Florida as well as Hawaii.
Kate Hudson admits that it has been her greatest success upon co-founding Fabletics in 2013 as she managed to create a brand in an industry that is over-run by powerhouses coming from the activewear industry. Fabletics is currently one of the biggest TechStyle Fashion Group’s brands. The brand currently boasts of a 250 million dollar revenue in run rate, and its sales keep rising and as of 2016, rose to 43%. On Twitter, we see that Fabletics has a very large following which is way above 21 million followers and retail stores totaling 18 stores so far. The brand has managed to acquire the 1.2 monthly members in about eight countries. These monthly members are lucky enough to get upwards of 50% discounts on the items. The membership which begins at 49 dollars, the members are provided with a sports bra, bottoms, and top which all depends on their preference in fashion as well as how they live.
She states that she used five simple steps to help her brand acquire great recognition. These five measure for her success were identifying her market opportunities, being hands-on within her company, using big data to make better choices, getting herself inspired and believing in herself & taking risks.