Successful retailers nowadays take advantage of a new trend which has been called the “power of the crowd”. This refers to online reviews of products left by other consumers. Most people now consider these as reliable as recommendations from friends and family about products and heavily rely on them to make their buying decisions. One of the online retailers that makes great use of this “power of the crowd” is the women’s activewear brand Fabletics.
In the four years of its existence, Fabletics has seen phenomenal growth, in no small part due to their member’s reviews of their products influencing other buyers. It now has over a million members and has $235 million in annual revenues. The corporate marketing officer of Fabletics, Shawn Gold, says that they make member reviews a prominent part of their website which has tremendously helped move product since other members rely on them so much. He says these reviews also help retain Fabletics members as well as improve customer loyalty to the brand.
In addition to online member reviews, another way that Fabletics helps to build brand loyalty is through their Lifestyle Quiz. When a new member makes their first purchase they are able to fill out this quiz which hones in on what types of fashion they find appealing. This helps the new member save time on latter purchases as the website learns what they like and don’t like so that what they do like is featured more prominently for them. This individualizes each member’s experience on the Fabletics website.
Online reviews are used quite frequently by customers. A recent survey showed that more than half of consumers research a company in any given month and rely heavily on reviews left by other customers. 60% of these people said that overall negative reviews will lead them to not using a business. This shows that a business’ reputation is one of the most important considerations that people take into account when deciding whether or not to use that company or not.
Fabletics is a brand that is owned by TechStyle Group. It came about when the owners of the company saw an opportunity in the women’s activewear market that wasn’t being met. While there are a number of brands in this field they are quite expensive and mostly only cater to women with select body sizes and types. They joined up with the actress Kate Hudson who also wondered why fashionable women’s activewear was so expensive.
Under Kate Hudson’s leadership, Fabletics makes clothes that can be worn by women of every body type and size. She also focuses on making clothes available that are not only fashionable and high quality but also affordably priced. This has proven to be a winning combination and they have many women who have become dedicated fans of the brand. Kate Hudson is involved in all aspects of Fabletics including giving the company its broader vision. She actively reviews budgets, for example, and has been heavily involved in choosing Fabletics social media strategy.