Traditional marketing and advertising is slowly losing its significance in the market, as online reviews continue to rise to prominence in the digital world. The modern consumer is more likely to conduct online research and read customer reviews before deciding to buy any commodity. A study conducted by Bright Local indicated that 84 percent of shoppers trust opinions and feedback from consumers online. Peter Holten Muhlmann, the founder and CEO of TrustPilot, said that the smartest brands are now leveraging the power, safety and trust of online reviews. According to research firm L2, 76 percent of leading consumer brands feature user reviews on their websites and pages to attract more buyers. Since 2014, the number of brands including user reviews on their spaces has increased by 70 percent. Most of these companies have achieved rapid growth.
Fabletics is one of the savvy brands that are capitalizing on online review-marketing strategy. Fabletics, an active wear brand, was launched in 2013. The brand has registered an impressive growth of over 200 percent with $235 million in revenue and over a million subscribers. According to Shawn Gold, the corporate marketing officer of Fabletics’ parent company, TechStyle Fashion Group, said that the user reviews feature is responsible for their overwhelming success in the fashion world. Genuine reviews boost a business’ performance. Positive reviews improve the search engine optimization (SEO) of a company in that they appear top in Google search ranking. Customer feedback convince more buyers to believe in a given brand. This way, consumer reviews increase sales and revenue. In addition, this feature has the power of enhancing customer retention.
Fabletics boasts of $250 million in just three and a half years of operation. The athleisure brand was born when the founders of TechStyle Group, Adam Goldenberg and Don Ressler, came up with an innovative idea. The two entrepreneurs sought to achieve style, affordable prices and quality. To achieve their objectives, they decided to bring Kate Hudson on board. Kate is a renowned celebrity with an active lifestyle. She helped them to marry athletics and leisure. Kate Hudson is known for her role in “Almost Famous.” The three shrewd entrepreneurs started building a brand that would empower modern women to be fit and fashionable irrespective of their shape, size or age. Kate was intensely involved in the creation of the brand despite of her acting career.
Just like many new companies, Fabletics was not spared of the conventional challenges of startups. They looked to achieve quality workout gear for women at a lower price. They were forced to trash their first $300k worth of inventory due to the inferior quality. Kate Hudson experienced negative press for this reason. However, they did not give up. Adam, Don and Kate developed an innovative strategy that saw them improve their communication, upgrade the customer service department and develop a new data system to facilitate accuracy on inventory levels. In just a year and a half, Fabletics received a top BBB rating owing to outstanding customer satisfaction levels. They recorded a retail growth of 644 percent in 2016. Their data-driven business model has played a pivotal role in the success of the corporation. The model has helped them to understand customers’ tastes and preferences, thus their ability to satisfy their clients’ utility. Fabletics has 22 retail stores and plans to grow this number in 2017. Even though she has achieved much success in business, Kate Hudson prefers to be recognized as an actor. To find the appropriate Fabletics gear, it is advisable to take a Lifestyle Quiz.