Great things are happening with Fabletics, the online retailer selling women’s athletic wear. In a world where a lot of physical stores are being left in the dust, they are keeping up with what their customers want and delivering it, building their brand over 35% in one year.
Fabletics recognizes that there is a new game being played in retail. With cheaper prices available online, it is harder to keep customers shopping in a physical location or to even stay loyal to an online brand. In the past, having a superior product at a lower price point was enough to keep the customer, but today there is so much competition that even that isn’t enough. Fabletics has a great product at a very accessible price point, but what they offer their customers is a “VIP membership”, something that customers respond to very well.
VIP members are quizzed at the beginning of their membership to find out what their style is, and what kind of workouts they do in a typical week. This helps the stylist to narrow down the possibilities of what they will typically like and to deliver them an outfit or athletic wear suggestions each month. The yoga bunny who likes strappy fashion forward details might receive a suggestion for a cropped yoga pant as the weather is getting warmer with a long sleeved shirt that has strappy details down the arms. The next month she may receive a yoga short with a strappy back tank top, and the colors of the outfits may work well when they are mixed and matched together. This personalized service cuts down on shopping and browsing time, and by delivering the less expensive but on trend outfit right to her Fabletics is helping to streamline her life, making the service as valuable as the product.
As physical stores are dropping left and right, Fabletics is opening new physical store locations, but only after they had established success with their VIP members online. Most of the visitors to the store are already members, coming in to experience the store as another branch of the Fabletics experience. She is coming in to see what new clothing styles are being offered that are not available online, so she can add to her existing wardrobe. She wants to see the new limited edition athleisure outfits that she might be able to wear out on her next girls night or on vacation.
The stores are able to provide exactly what she wants in much the same way that the VIP membership streamlines the decision making process. The data science pulled from the website is able to determine what people in the local area are shopping for, delivering to them the styles that people living in that region like. The Honolulu store is going to have styles that have already been proven to appeal to the Hawaiian customer, and will bring them more of what they like, helping them to satisfy customers and reach their sales goals.