Fabletics is a company that recently found their way to success. The company is now experiencing more sales than ever. However, the company made a long journey to get to where they are today. The idea of Fabletics arose in 2013. Founders Don Ressler and Adam Goldenberg had the idea for the company. Fabletics was intended to be a clothing brand that featured quality products. The clothing style is referred to as athleisure- a mix between athletic and leisure clothing. The founders knew that they would need a partner to represent their company name. Unlike traditional sponsors, they wanted someone who actually looked like they would use the products they represent. They also needed someone who would positively represent the company. They ended up choosing Kate Hudson. Kate was a great fit for the company. Not only did she look like she would wear their clothing, but she also benefitted the company in many other ways. Kate was a part of the entire upcoming of the company. As stated previously, Fabletics did not always have the great success they now have. In the beginning, the company experienced a lot of downfalls. One of which was a loss of $300,000 of inventory. They also had issues keeping track of inventory. In result, customers complained that there was a lack of top products available. The company did not do a good job of addressing these issues and in result, they received a low customer satisfaction rating. Years later, the company has completely turned their company around. They have millions of paying customers and a high satisfaction rating. So what was the cause of this major shift?
One of the major changes that Fabletics made to their company was pertaining to their customer satisfaction rate. The company listened to the issues that customers were complaining about and made an effort to fix them. In result, the company received a much higher customer satisfaction rate. Satisfaction rates couldn’t be the sole influence of their increased success, could it? Actually, it is one of the most important aspects of a company. In a recent study, 84% of people said that they trusted an online review as much as they trusted someone they knew personally. Additionally, 60% of people said that a bad online review on a product would cause them to not buy a product. When taking these statistics into consideration, one can understand the importance that online reviews has on a company. In the beginning, Fabletics had issues that in result, led to a bad online reputation for them. Kate Hudson and associates at Fabletics decided it was time to make a change. They changed the way that they did things and focused primarily on their customers. By doing the things that the customers asked them to do, Fabletics was able to greatly increase their population of customers. The company is doing great today, experiencing an increase in overall sales. They have figured out what it takes to run a successful and lucrative business.