Branding is an important tool in gaining competitive advantage especially in globalized economies marked stiff competition and free market. Established with well positioned brands usually have huge market shares. In the fashion industry, many consumers prefer established brands which they can easily identify with. This makes it relatively difficult for new brands to break into a market that is already crowded. It calls for strategic planning and execution of plans deliberately aimed at creating demand rather than competing for the existing demand. This blue ocean strategy is hinged on creativity and inventiveness that limit chances of duplication which is used by many companies as competition launch pads. One such company that has effectively used innovation and creation to create demand and consequently revolutionize fashion industry is Fabletics: a multi-million dollar company co-founded by Kate Hudson.
Fabletics’ Creative and Innovative Ladder to the Top
The emergence of information technology has revolutionized many industries and all spheres of human life. From design to production, marketing and market research, information technology has become an important cog in the operational wheel of many industries and companies. Kate Hudson’s Fabletics has embraced technology in a way that many established and high value brands in the modern economy have not. The company has successfully incorporated physical showrooms and retail stores, online shopping, high quality and affordable prices. Their reverse showroom approach is based on stocking their showrooms with products that meet taste and preference of individual customers. The company has added a new concept to online shopping: membership. This enables the company to collect and analyze data on commonly browsed products and the items commonly viewed or tried by customers at their stores. Surveys on lifestyle conducted during membership registration play a significant role in personalizing services. This personalized service delivery ensures that the local physical stores are stocked based on browsing history of their members and items commonly tried by customers.
The local physical stores are personalized to reflect the members’ tastes and preferences. This includes their culture. Such convenience can be enjoyed by paying $50 per month as a membership subscription fee. Additionally, members enjoy discounts on goods which vary depending on seasons and particular items. This is in addition to in-store credit that they use to purchase goods.
A Bright Future
Such inventiveness, affordable prices and personalized services has seen the company grow rapidly since opening its doors in 2013. Fabletics is now a global brand operating in up to eight countries despite opening its first physical store in 2015. Membership has hit the million mark; a clear pointer to its growing popularity in the industry. The product lines have increased significantly to include leisurewear and sportswear including bras and tops. This is a remarkable leap from the activewear product line it started with during its founding. The company is also planning to increase its stores from the current 18 to 30 with big cities such as San Diego and Indianapolis being targeted for expansion. With the parent company, TechStyle Fashion Group, already considering going public, future projections for Fabletics is promising.