Kate Hudson’s Fabletics launched in 2013 seeking to attract a market niche of women who want attractive, fashion-forward athlesure for a reasonable monthly subscription price. “Reverse Showrooming” is the foundation for this model. Rather than establishing expensive brick and mortar show rooms to advertise her line, Kate skipped the showroom and appealed to her audience directly through the the web…and it has been working for her. Sales of Fabletics have been growing since the company’s founding and in 2016 recorded a 43% increase.
Ms. Hudson, a co-founder of the enterprise, is very pleased with the success of the company and attributes her triumph to her five tips, beginning by recognizing opportunity. She saw a niche in the market for reasonably-priced, fashionable athletic wear and put her passion into filling that void.
Hudson’s second tip is to stay “hands on” so that she knows what is selling and what is not. Even if she was sure a certain design would be very popular, if it is not a hit with the audience, it has to go.
Her third tip is to make use of big data. It’s all out there. The information on which groups purchase which products for what price range. Use that information to build a brand with a wide base of appeal.
She bases many of her sales ideas on her own inspirations – her forth success tip. Hudson worked for years with her mother, Goldie Hawn, at the Hawn Foundation. There she learned that personal drive and inspiration can succeed when the experts scoff.
Ms. Hudson’s final tip is that you should be unafraid of taking risks when you believe in what you are doing. We only walk on this planet for a short while, so it’s worth taking a few risks.
These five tips, amply supported by hard work and expert assistance, has helped Fabletics grow from a negligible, niche athletic wear company to a true competitor to companies with names such as Nike, Under Armour and Adidas.
Fabletics took the back door into the athletic marketing field, bypassing expensive show rooms and fancy malls to see if the public would support them. With a successful subscription model preforming well and many dedicated customers, Fabletics stores are opening, still using the subscription system and still inspired by Hudson’s modest advice to ensure continued success. So, if you’re looking for the coolest workout gear on the market, Fabletics is ready to serve!