Kate Hudson And Fabletics: Leveraging The Power Of The Crowd

Successful brands like Kate Hudson’s online subscription fashion company Fabletics are able to become industry leaders because of their ability leverage the power of the growing crowd attracted to their brand. Many consumers purchase items because they see crowds of people buying them and giving them positive reviews. Savvy brands capitalize on this type of consumer behavior by creating review-centric marketing strategies. Since its launch in 2013, Fabletics has done just that. The company’s revenues have grown over 200% to more than $235 million annually through the use of positive user reviews and the power of the crowd.

 

Positive consumer reviews drive more and more people to buy Fabletics products. It also improves customer loyalty as well as customer retention. This is true for brands in every industry. Consumers trust reviews. They see them as unsolicited, honest assessments of products and brands. Fabletics has a significant online profile and modern consumers increasingly get the information they need to make buying decision via the internet. They crowdsource their buying decisions and almost 90% of consumers trust online reviews. And the percentage of consumers that buy this way keeps growing.

 

Consumers no longer trust traditional advertising and marketing as much as they did in the past. The power to decide what products are good and should be bought now rests in the hands of the crowd. Smart brands like Fabletics understand this and know how to use the power of the crowd effectively. Research shows over 30% of consumers regularly do online research and read reviews. About 60% of consumers say a negative review can make them ignore a brand. So brands like Fabletics work hard to maintain a positive reputation. They include reviews in their marketing campaigns to drive purchases because many more consumers look up product reviews more often than prices. Great reviews means increased revenue.

 

Fabletics consistently engages their consumer-members online. The clothing and accessories they carry in their brick-and-mortar stores is based on what customers say they like in their reviews and other communications with the company. The Fabletics membership form asks about fashion preferences. This information is used to decide what clothing the company will offer for sale. Kate Hudson and the Fabletics staff use this information to understand what their customers want and give it to them. By using authentic, genuine customer reviews, Fabletics attracts countless new members each year.

 

Positive reviews lower customer acquisition costs and improve search engine results page ranking. Fabletics’ focus on top-quality customer service and excellent products results in great customer reviews and attracts more customers to the brand. Positive consumer reviews of Fabletics draws consumers into their purchasing funnel. The company also invests heavily in creating channels through which they can develop dialogue and relationships with consumers. This leads to more positive reviews. Kate Hudson and her staff have made leveraging the power of the crowd an art. One based on cutting-edge scientific study. By writing positive reviews of Fabletics products, the consumer actually recruits new members for the brand.