How Fabletics Founder Kate Hudson is Taking on Amazon

Being successful in the fashion retail industry is not an easy thing to accomplish. Since large retailers such as Amazon control 20% of the entire fashion e-commerce market, it can be a struggle for any other fashion retailer to thrive on a consistent basis. However, Kate Hudson’s company Fabletics is beating the odds as she has been able to establish the company as a $250 million per year business in only three years. As a part of an emerging trend of activewear, Fabletics uses a subscription option in order to sell its products to customers. The reason why this model was developed was because the company knows the customers like brands that are very appealing. The company then uses a membership in order to get customers to buy products on a regular basis at discounts. This combination has proven to be very effective at generating high revenues and profits on a regular basis.


In the fashion industry, high value brands have always been associated with high prices and a high level of quality. However there has been a shift in this trend in recent years. As a result the combination of high prices and high quality is no longer present. Making high quality merchandise and charging high prices is no longer a guarantee of being profitable in the fashion industry. In order for companies to succeed in the fashion industry, it is important to be superior in mile service, customer experience, brand recognition and also unique design. These things create more value than just price and material quality. Fabletics has emphasized the customer service, design and brand recognition elements to its customers.


Similar to well known companies such as Apple and Warby Parker, Fabletics strategy and market positioning is starting to pay off high rewards. Their membership model has been able to produce consistent streams of high revenue and profits. While the membership model has been very effective, the company is looking to open up more retail store locations. The company currently has stores is states such as Hawaii, Illinois, Florida and California.


What has helped make Fabletics a very successful company is its reverse showrooming. Unlike other retailers who open up a store, have customers browse and then have the customer buy products elsewhere, Fabletics has reversed this model. Fabletics emphasizes building relationships by being a reliable seller of products. This model has resulted in customers knowing the company and therefore more likely to purchase products when they come in the store. Customers are also able to buy merchandise at discounts whether they buy online or in the store. This way of shopping has allowed Fabletics to set itself apart from the competition.


Fabletics is a clothing retail company that sells various forms of athletic apparel. It sells a number of products that primarily serve the female market. It sells a wide variety of leggings, t shirts, sports bras and shorts. As a result, the company has been able to sell a variety of clothing items that allow women to exercise in comfort. The company offers a subscription where customers who buy products can make purchases on a regular basis at discounts. This allows them to get quality athletic apparel at low prices each month. The company was founded by celebrity Kate Hudson and has numerous retail locations in California, Florida, Hawaii and Illinois.

1 Comment

  1. Avah Anson

    It is left now to see how the competition would trend and tend towards a responsible reaction by the giants, Amazon. Minding write research paper for me carrying out the taks in the most professional means possible is very attractive for reviews. to form a major strategy based on fabletics movement is really a brilliant academic and technical exercise to do.

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