Amazon has become a giant in the industry of e-commerce by offering a little bit of everything at prices that are hard to beat. One of their most surprising successes is their influence on the fashion industry. They have become the largest e-commerce source of clothing in a way that has made brick and mortar stores suffer.
However, the up-and-coming Fabletics (formed by actress Kate Hudson) is striking back at Amazon by creating an online and offline model that could break the iron grip the giant has on the industry. Could Fabletics succeed where so many others have failed?
Who Is Fabletics?
Fabletics is an athletic and sportswear company started by Hudson in 2013. It focuses on offering a variety of personal sporting wear that is comfortable, fashionable, and fairly priced. The biggest change they offered was a subscription service that allowed buyers to get items that were unique to their personal needs.
All members take a survey after subscribing, one that gauges their exercise and lifestyle needs. This information is then used to create personalized gear that is unique to each person who fills out a survey.
How Much Has Fabletics Succeeded?
While Amazon controls a stunning 20 percent of the fashion e-commerce market (easily the largest slice of the pie), Fabletics has struck back by becoming a $250 million business in just three years.
Fabletics business model is focused on a membership-based concept that offers those who join up access to a unique and highly-personalized set of athletic and active wear that they can’t get on Amazon.
The shift here is in the way that Fabletics has made each item personal to the user. This makes it impossible to find these items anywhere else, especially on Amazon. As a result, people who want something that goes beyond the typical fair offered by the online e-commerce giant have flocked to Fabletics as an alternative high-end source.
How Fabletics Differs From Other Clothing Brands
Clothing brands and shops are suffering heavy negative trends because of the way people use online shopping to save themselves money. Rather than purchasing clothing directly from an offline shop, they go to the shop to find clothes they like, find them online, and buy them on sites like Amazon.
Fabletics is avoiding that trend by starting out as an online shop. Even better, Fabletics encouraged an “online membership” deal that benefits their in-person shops by making it more likely that people who come to their shop will buy their clothes online. It’s basically a win-win for the company and one that is changing the way the industry looks at online and offline shopping.
They also use the data they gather in their membership surveys to find out what their customers want in a way that satisfies their needs without flooding their computer with ads. Anyone who has looked briefly at a pair of underwear, only to find an Amazon ad for it in their Facebook feed, will appreciate this change.
Fabletics is attempting to create a less intrusive alternative to Amazon, one that will allow them to have their cake with online shops and eat it at their offline ones. If successful, expect other brands to take a similar model in the future.
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