After years of domination, powerhouses like Lululemon and Under Armour have a new challenger: Fabletics. For the past four years, Fabletics has grown into a $250 million business. Just last year, its sales jumped another 43 percent. Fabletics is quickly becoming one of the top activewear brands in the world.
Fabletics found success in both the e-commerce market and the physical retail store market. It’s not always easy for an e-commerce brand to find physical store success but Fabletics did just that. Currently, it has 18 stores nationwide and plans on adding more in the coming year.
Fabletics is also set apart thanks to its customized subscription mechanic. Fabletics choose to be a members-only brand to offer a personalized service. This service uses expert opinion, based on the member’s personal style, to recommend specific outfits that satisfy and push the member’s style preferences.
It’s proving to be a successful venture. To date, Fabletics has 1.2 million paying members in eight countries. Their members seem to respond well to the overall message of Fabletics. Fabletics isn’t just about selling on-trend fashion at affordable prices. It’s also about making women look and feel their best one outfit at a time.
While relying on business savvy to succeed is working for Fabletics, relying on customer satisfaction is more important. These days, one bad review can sink an entire corporation. Fabletics figured that out long ago, which is why they’re so successful. It’s important that a company maintain a good reputation.
Today, consumers use the web to research companies before buying anything from them. They mostly concentrate on online reviews, or user reviews. User reviews offer great insight into what a company is actually all about. People no longer trust traditional marketing and advertising, but they do trust user reviews.
User reviews are written by other consumers who have personal experience. Honest reviews offer more safety, trust, and power in the opinions of the crowd. So, people are effectively crowdsourcing their purchase decisions more and more. The main reason for that is trust.
This new consumer behavior has had a profound effect on the way companies behave. Now, companies are more transparent and customer focused. Obviously, not all companies actually listen to their customers but the smart ones do, and they’re finding greater success because of it.