Fabletics just launched in 2013, and it has already grown by over 200% for over $235 million in revenue and over one million paying members. Through crowd-sourced reviews, more and more customers are researching through those sites to determine whether or not they should shop at different stores. And through paying attention to customers and the reviews, Fabletics has leveraged greatly.
According to BrightLocal, 84% of people rely on reviews online as much as they do personal recommendations from people they know. Another report has shown that 60% of people won’t do business with companies when seeing negative reviews about them. Also, more consumer brands feature customer reviews on their sites and pages to drive sales, according to the L2 research team.
Yelp reported that an extra half star rating increases the sales in restaurants by 19% more often, and an extra one star rating increases sales in restaurants by 5 to 9% in revenue. Thus, single percentage points can determine how well sales go for other industries as well, such as retail, luxury goods, travel, and food and beverage.
Trustpilot, one of the biggest global review sites, reported that global trend is growing due to what customers say the brand is, instead of what the company says their brand is. And Fabletics and TechStyle Fashion Group couldn’t agree more. They stated how crowdsourcing benefits their brands by forcing them to be customer focused and transparent. Many businesses say they do the same thing, but most of them can’t to see through the customers’ eyes. Knowing all of this, executives of Fabletics and TechStyle Fashion Group use data and empathy to run their business. They know the seriousness of knowing what people want by truly listening to customers’ circumstances and tastes.
Kate Hudson’s Take on the Winning Athleisure Brand
With all of Fabletics’ astronomical success, the naysayers who said that athleisure fad is dead are possibly eating crow because they are shamefully proven wrong. Fabletics’ growth has flown through the roof and back, and their future continues to look bright. They are now working on opening 12 more stores this year in addition to the 22 retail stores already opened. Also, Fabletics’ membership base is experiencing continual growth, successful partnerships with celebs, such as Demi Lovato, are establishing, data-driven approach is used for manufacturing, and they are poised for rapid growth for the next several years.
With all of this success, Kate Hudson is really proud of her business accolades, but she is an artist first of all. So, she will continue her acting while continuing to expand her business too.