A business partnership and a co-ownership agreement between Kate Hudson and Don Russel resulted in her being the massive driving force to a brand that has shaken e-commerce, the fashion sector in particular. In just 3 years, they have managed to eat into the market shares of established businesses like Amazon. Although she has no business background, Kate Hudson has brought into Fabletics her charm and charisma. Online members at the Fabletics site have a strong connection with her. This connection has been fundamental in the brand’s response to customer feedback, ensuring that Fabletics produces what is relevant to its customers. This is a diversion from traditional marketing practices since the company uses customer online reviews as part of its marketing strategy.
Reverse S1howroom and Amazon
Fabletics has managed to grow into a $250 million business in just 3 years by using a marketing technique not widely used. The reverse showroom technique has enabled it to hive off part of Amazon’s share of the fashion online market. In the past, consumers would pay a lot of money for perceived high-quality products or service, which was what Amazon and others were doing. Fabletics changed this perception of high cost equals quality.
How the Reverse Showroom Works
In reverse showroom technique, the idea is, the fashion business gets to know the customer first. This does not mean the usual demographics looked at in conventional marketing. The business has to know what she wants and what makes her happy or not. Since customer preferences vary, one product has the potential of being redesigned numerous times as per individual feedback or group preferences. Fabletics did this by giving its customers designs that were exclusive only to them. They also offered an unforgettable customer experience that ensured their brand set itself apart from the rest. Their prices were half those of their competitors, for the same original product.
This unforgettable customer experience comes from Fabletics lifestyle quiz. This quiz helped the company to know the customer’ preferred tastes. Through the quiz, customers got to interact with Fabletics back-end offices. They helped design their preferred sportswear items, ensuring that the same product that was being availed had distinct personalized differences in design. They even added VIP membership, charged at $50 per month, to allow members enjoy discounts on all their purchases at Fabletics. That is what is called fabulous marketing. Fabletic’s future lies in the hands of Kate Hudson’s determination.