Fabletics takes on Amazon through a Reverse Showrooming Business

Fabletics is a leading online retailer that deals in accessories and sporty clothing for women. The company operates mainly on a subscription business model at their main website. It strives to bring personalized clothing based on one’s tastes in fashion and personality. The online retailer was established by Kate Hudson, Don Ressler, and Adam Goldenberg in the year 2013. It had its official launch in October 2013 where it opened doors for customers. The firm has been on the fast path to growth. It recently opened a new line of sales that was an FL2 program for men’s athletic wear.

 

Throughout the years, Fabletics has succeeded because it has focused on a creative business model. The firm has started a successful advertising campaign with the help of social media. The previous belief was that the online marketplace was impenetrable. Some big players had a monopoly in the industry like Amazon. However, Fabletics has disproved the popular belief. The main for its success is its subscription model that creates a reverse showrooming. Many companies that operate online operate like showrooms. Possible buyers come to view products and later decide to purchase at a cheaper location elsewhere. However, Fabletics subscription and membership business model has attracted and retained customers. Potential clients that have liked the products sold by the company can purchase at a lower price by becoming members.

 

Showrooming has been the reason for several failures in several retailers. Another example would be shopping online through your smartphone and deciding to make a final purchase through a physical store. The internet community has seen the introduction of a reverse showrooming business model. Online shoppers find it easy to shop and make their final purchases online. The availability of discounted items at the stores has made customers stick with a certain brand. Fabletics has capitalized on clients who buy on the internet by building its business model through a membership feature. Buyers can purchase products at very low prices. Shoppers can also find product designs that are not typically available in other retailers.

 

Fabletics started by surprise and has taken the e-commerce fashion industry by storm. The masterminds of the business have a great and viable business plan. It has allowed them to maximize on their reachable audience. One thing is sure; Fabletics wants to create the possible experience for users. Customers that shop the internet can purchase what they want and have the best shopping experience. Fabletics’ business model has helped them take down top retailers in the industry such as Amazon.

 

A business that goes online faces several issues. Clothing tends to have a limit on styles. Even though Amazon sells clothing from different brands, its selection of styles is usually limited when it comes to athletic clothing. Fabletics saw the market gap and decided to introduce their unique products. The company has branded itself as selling stylish and elegant activewear. The clothes are usually fitted for people that want to improve their comfort and confidence when exercising. Fabletics continues to expand by opening several brick and mortar stores at different locations.