Statistics indicate that presently close to nine-in-ten Americans have access to the internet. Americans use the internet to do an array of things including shopping. There many e-commerce websites such as Fabletics, Amazon, and eBay among many others. However, online shoppers are unlike traditional customers that frequent physical stores. For example, one intriguing thing about online buyers is their tendency to search and analyze “user reviews” of a product or service. User reviews are the in thing with online shoppers; user reviews can determine whether a product or service is purchased or rejected. Many consumer brands are beginning to understand this unique characteristic of online shoppers. However, for companies such as Fabletics that restructured its marketing strategy to suit the modern consumer: the sky is the limit.
Fabletics celebrated its fourth birthday this year. With Just four years in the American consumer goods market, Fabletics is raising eyebrows but for all the positive reasons. Statistics indicate that Fabletics is experiencing exponential growth. Between 2013 and 2017, the company grew by 200%. The company’s revenues are skyrocketing, and soon they will hit a $250 million mark. The membership-based company is proud of millions of members with slightly over one million paying members. According to Shawn Gold, Corporate Marketing Officer of TechStyle Fashion Group, Fabletics’ positive growth is in large part because of embracing user reviews or what some experts refer to as “crowd.”
Modern shoppers trust online user reviews. To them, online user reviews and product recommendation from a family member or a close friend are equal regarding the amount of confidence they command; In fact, a recent BrightLocal Survey confirmed this notion. Trustpilot Founder and CEO Peter Holten Mühlmann say that modern consumers are skeptical of traditional marketing, especially advertising. He affirms that online shoppers believe that user-reviews are correct and safe. Indeed, user reviews are powerful and smart brands like Fabletics are leveraging it.
What is the way forward? According to L2, a research firm, many consumer brands are warming up to review-centric marketing strategy. The study indicates that over 76% of top consumer brands have incorporated user reviews on their web pages and product pages to boost sales. Beginning in 2014—just a year after Fabletics came to life—to date, the number of companies using reviews online have increased by over 70%. Surprisingly, Vibes (from their recent holiday study) concluded that online shoppers search for user reviews more than they compare prices offered by different online stores for the same product or service.
Fabletics was founded in 2013 by Kate Hudson, Don Ressler, and Adam Goldenberg. Presently, Gregg Throgmartin is the president of the company. Fabletics is an activewear company that is promoting the athleisure trend. The company’s activewear clothing is stylish, high quality, and reasonably priced. Fabletics’ products are customized for every person. The company encourages its clients to take a “Lifestyle Quiz” which culminates in a range of products available for a customer to choose from. Recently, Kate introduced Demi Lovato as one of the company’s brand ambassador.