Fabletics: New Activewear Powerhouse

Founded in 2013, Fabletics is now one of the most popular fashion brands in the world. Fashion’s always been the hardest industry to survive in but Fabletics found a way. The modern fashion industry is particularly difficult because of e-commerce giants like Amazon. Amazon controls the fashion e-commerce market.

Despite that huge disadvantage, Fabletics carved out a piece of the activewear market for itself. Now, the brand is generating over $250 million in revenue every year. Last year, the company grew another 43 percent on top of the 200 percent it’s grown since its launch. Much of that success is thanks to its co-founder Kate Hudson.

When Kate Hudson first thought of starting a fashion brand, she knew her brand would have to be completely different other brands. Other brands either sold on-trend fashion or were affordable. Fabletics was the first brand to sell on-trend fashion that was also affordable.

That combination proved to be a winning combination. Fabletics has 1.2 million paying members and over 20 million followers on social media. Fabletics also stands for something more than just affordable fashion. Fabletics is Hudson’s way of getting America to a healthier place. That’s why she insisted her brand make lines in all sizes from XXS to 3X.

Adding that kind of extra detail takes much longer, but it makes customers feel special. Forming a good customer relationship is a lot harder to do now than it was a few years ago. People expect more from their favorite brands.

Experts refer to it as the “power of the crowd”. This new consumer behavior involves consumers researching businesses before buying anything. Part of that research is reading online reviews. Online reviews, or user reviews, come from people who’ve already used a particular product or service. This is why most companies have comment or feedback sections on their sites.

Essentially, the average shopper is crowdsourcing their purchase decision. Without trying, consumers took the power of persuasion away from companies and gave it to themselves. Now, companies will do anything to stay in the good graces of their customers.

Mostly, companies up the quality of their products and services. This shift in consumer behavior happened after too many companies began abusing their power. That abuse destroyed the trust that’s existed between companies and customers for decades. Now, consumers have all the power to determine high-quality products and services.


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