Consumers make purchases based on reviews and recommendations which is the reason smart brands center their marketing strategies on consumer behavior. This is what Fabletics has done since their launch in 2013. Their growth exceeds 200 percent and their revenue is more than $235 million. Approximately 84 percent of people will trust an online review as much as a personal recommendation. Traditional marketing does not have the same power it once held and a companies online reputation has become critical. The top companies drive sales with their websites because reviews have become more important to customers than prices. These reviews draw loyal customers and higher search rankings.
Statistics from Yelp reveal an additional half star results in a nineteen percent increase in a restaurants business. Fabletics manages and responds to the reviews they receive online and have almost 30,000 reviews on Trustpilot alone. The users of apps has increased 26 percent in a year and 25.8 million devices have Yelp already installed. Trustpilot is one of the biggest review sites worldwide with a 95 percent customer retention and thirty million reviews. They receive 20,000 new reviews daily. Many individuals use their reviews when making purchase decisions. Fabletics places themselves in their customers shoes and runs their business with a combination of data and empathy.
When Fabletics was created Kate Hudson was approached because she was exactly what the company needed. Her personality, lifestyle and approachability were a perfect fit for Fabletics. Her involvement began on the first day and she was hands on all the way. She is involved with strategies, budgets, the design process, and the styles. She knows exactly what is happening with Fabletics at all times and she knows which clothing is doing well and which clothing is not making the grade.
Kate Hudson was responsible for making communication a priority with Fabletics. She made certain their customer service department was upgraded and became experts in service and she controlled the levels of inventory with a new system for data. Within eighteen months Fabletics scored a top rating with the BBB and their customer satisfaction rate was highly improved. This commitment was responsible for the exceptional growth of the company. The projection is $250 million in sales by 2017 and Fabletics has 1.2 million very loyal members. Although there are a lot of businesses who are leaving the retail world, Fabletics retail growth last years was 644 percent.