Fabletics success through crowdsourcing and reviews

The power of the crowd has recently become the main determinant when it comes consumers’ will to purchase. Customers of this time and age consider crowd-sourced reviews to choose their final purchase. They trust such reviews just like a personal recommendation from a friend or acquaintance. Savvy brands are making use of this behavior recently developed by consumers with review-centric marketing strategies. Since 2013, Fabletics Company has grown by over 200% by capitalizing in this method. It has generated over $235 million in revenue, and it spends over one million paying members.

Fabletics experienced such quick growth by exploiting the eminence of reviews in customer’s daily journey. Consumer reviews have a direct effect on customer acquisition, customer retention and improved loyalty for brands across all industries. Since most consumers are living digital lives in this current generation, online reviews have become a significant factor in making the decision. Consumers do their research on businesses and products online before purchasing, and they read reviews to make an informed decision about the product. People do not trust the traditional methods of advertisement and prefer to read online reviews for information. A study conducted recently showed that 84% of the people trust online reviews.

Online review is frequently used by customers with over half of the surveyed customers using it at least once a month. The negative reviews can affect the customers’ will to buy the product negatively or cause them not to use a business. Reputation remains one of the most impactful things to customers. Over 76% of top consumer firms leverage on user reviews on their product pages and website to course purchases. Since 2014, the number of brands including reviews on the website has increased by about 70%. Most customer value reviews over pricing. Well written reviews attract more customers, improve loyalty, more revenue to the company and greater return on the consumer acquisition investment. With positive reviews, the search ranking of the product, business or firm improves. The brand will rank higher in Google and e-tail sites such as Amazon, Walmart, and others. Reviews increase the likelihood of purchasing the product at 17%.

The number of people relying on online review has increased greatly. Trust, one of the largest review sites shows that there is high customer retention at 95% through the use of reviews. Most people visit Trustpilot each day to research and understand the brands and also to leave reviews. Crowdsourcing makes the firms to be transparent and customer focussed with their brands.

Kate Hudson has contributed significantly to the Fabletics. She is down to earth and enjoys an active lifestyle. Kate was involved in the budget review, choosing media or social media strategy, and is highly involved in the design process. She is in charge of selling department and ensures that the styles remain relevant in the market. She markets the product all over even when at home, he uses Fabletics products to attend the gym. Kate faced various challenges during the early days of the company, she faced negative media, criticism from celebrities and social media but she remained steadfast.

Kate Hudson led an effort to make clear communication a precedent. Kate ensured that Fabletics has a partnership with their parent company TechStyle Fashion Group, this has helped to enhance growth since the parent company had funds, experienced in online fashion and resources.

Fabletics – Personalizing the Shopping Experience for Customers Like Never Before

The trend of fitness clothing has caught up with the people in the past few years, and even though many brands do offer a wide variety of “Athleisure” clothing, Fabletics has scored the most points it seems in this category since its inception. Even though the market for fitness clothing and apparel is highly saturated, and dominated by big companies like Amazon, which continues to hold over 20 percent market share, Fabletics has tasted tremendous success in just four years since its launch. It is co-owned by the Hollywood’s one of the most loved actress, Kate Hudson, who continues to inspire people with her fitness and personality and make Fabletics a favorite “athleisure” brand among the masses through creative marketing moves.

 

Fabletics started in the year 2013, and from the time of its launch till now, the company has been growing at a pace of over 30 percent. At present, it enjoys an annual turnover of $250 million, and with the current growth rate, it is expected to give its competitors a tough run for its money. The company’s marketing policy, including the reverse showroom technique, helped the company take over the market by storm and give it a much-needed boost initially to take over the competition.

 

In the reverse showroom technique, it created a loyal customer base by online marketing and with the help of the Fabletics’s VIP membership model. Once the company has managed a strong foothold in the market and had a good fan following for a substantial turnover, it went on to open stores nationwide. Fabletics currently has 18 stores in the country and plans to open hundreds more in the time to come, nationally as well as internationally.

 

Reverse showroom technique is not targeted to attract customers to increase sales, but more towards penetrating the market further and expand its loyal customer base. And, it is what opening stores across the nation are helping the company in achieving. Kate Hudson also used her personal mantra in achieving success with Fabletics, which is to continue to look for marketing opportunities to boost company’s sale and keep the brand innovative and dynamic.

 

She checks the sales figures, and crafts sales and marketing strategies as per the sales and marketing data. Kate Hudson also believes that it is important for business heads to rely on trade and market data to make better business decisions, and continue to stay passionate about the brand to remain on top of the competition. For people looking to join the company as a VIP member, taking the Lifestyle Quiz on the business’s site is an ideal way to know more about the company’s model of personalizing shopping experience for the customers.

Chris Burch Combines Technology With Fashion

In September of this year, Chris Burch the founder and CEO of Burch Creative Capital wrote an interesting article about how technology can influence fashion. The boom box of the 70s is a good example, as they grew in popularity through the 80s, it was considered fashionable to be seen carrying one. During the 80s the Walkman played the same role, and today this concept is still being played out on the iPod. The iPod has become a fashion accessory; technology is advanced by what people consider fashionable.

 

The synthesis of technology and style is as popular today as it has ever been. Designers strive to create what sells, and they see further opportunities with the use of technology. A Dutch fashion designer well known for combining fashion with technology compares technology to a playground as a place to experiment, resulting in endless possibilities. As an example, Chris points to the combining of style and safety for firefighters as an example. Firefighters communicate through simple hand gestures by wearing Frontline Gloves; team members can inform one another about when it is safe to leave a building or if they should stay on the scene.

 

Designers are recycling materials such as bicycle inner tubes to make jackets and t-shirts. Movement can create energy; companies are working on shoes that can charge your cell phone when you are walking or running. Chris Burch observes fashion and technology are growing together, with technology leading into the ways of the future. The fashion and technology industries are learning together how to make the world a better place to live.

 

Chris Burch is an investor and entrepreneur well known for his vision of future opportunities, investing in companies that he thinks will have a lasting impact on consumer’s lives. During his almost forty year career as an investor, he has participated in the growth of over fifty companies. In 1976 while still an undergraduate student at Ithaca College he and his brother invested $2,000 to start Eagle’s Eye apparel and over the next decade the company grew to $140 million in sales with over fifty retail stores.

 

Born in Bryn Mawr, Pennsylvania in 1953 Chris Burch now resides in Miami, Florida with his second wife, fashion designer Tory Robinson. Currently, he continues to apply his sense of marketing and sales to his many business interests, including real estate, financial services, hospitality, apparel, plus technology and consumer products. Because of his vision of things to come and his business prowess Chris Burch is a billionaire.