Kate Hudson is one of the most respected American actresses in Hollywood. What many people may be unaware of is her entrepreneurial side. Kate is the force behind Fabletics, an activewear company, which she co-founded with Don Ressler and Adam Goldenberg in 2013. One thing stands out about Fabletics: its growth. The company has been in existence for only four years, but unlike its competitors, the company has gone international, grown by over 200%, increased its product portfolio, and its revenues run into hundreds of millions. Any analyst would be surprised with such growth figures, especially for an activewear company. However, Fabletics attributes its growth to review-centric marketing strategies.
A review-centric marketing strategy is a response to the ever evolving consumer behavior. The internet has enabled many businesses to sell products online. Consumers have developed a habit of searching and reading “user reviews” of products they want to purchase. If the reviews are negative, there is a high possibility that a modern consumer will shy away from such a product regardless of the price. Also, modern consumers are skeptical of traditional marketing strategies. Therefore, modern businesses must strive to increase their online presence as well as ensure that their products receive the best of reviews. Rave reviews about a company or a product lead to greater loyalty for a product, increased retention of customers, more repeat purchases, and a rise in a company’s revenue.
Fabletics became aware of the modern consumer and the company strategically developed its marketing strategies to appeal to the internet buyers. The company’s online presence is hard to miss. Their website, fabletics.com, readily appears when one uses a search engine such as Google or Bing to search activewear clothing. The site’s layout is appealing and user-friendly. On the opening their website, Kate’s beautiful image in equally nice Fabletics gear grabs a potential customer’s attention. It is safe to assume that many Americans recognize Kate, and they trust what she says about Fabletics’ gear.
Review-Centric marketing approach is gaining popularity with consumer brands. A research firm L2 found out that 76% of consumer brands include reviews on their websites or any other platform they are using to reach their customers. The firm also discovered that there had been a significant increase in the number of companies including reviews on their websites. Another study concluded that while consumers compare prices of products, they are keen on finding more information about the product.
Innovative marketing has been one of Fabletics’ greatest achievements. Kate’s prominence has helped the company appeal to consumers who admire Kate as a role model. Kate has focused on marketing Fabletics using fellow stars. Recently, she spearheaded Fabletics’ collaboration with Demi Lovato. Kate’s business partners praise her for the invaluable contributions she has made to the company. Fabletics’ president, Gregg Throgmartin, describes Kate as a person with an active lifestyle and therefore she is the best person to endorse the company’s products. The president further states that Kate is the person behind the creative designs on Fabletics’ gear.