Fabletics and Kate Hudson

When a consumer wants to make a purchase, it is determined by the power of the crowd. The power of the crowd includes using crowd-sourced reviews to make decisions about large and small investments. Fabletics is one of the companies that have capitalized on the power of the crowd.

 

Fabletics was started in 2013. Since the beginning, the company has shown a 200% growth which they credit to the power of the user reviews. Fabletics utilized reviews to gain new customers, secure loyalty, and retail customers. Fabletics and other companies leverage the power of the crowd for three main reasons.

 

The first reason is consumers trust other consumer’s reviews. Online reviews can be accessed with a click of a button. This easy access makes these reviews a critical factor in the decision-making process. When it is comfortable and time efficient, people will research businesses and products before purchasing by reading these reviews. Research shows that 84% of customers trust online reviews as much as they believe family and friend’s verbal reviews.

 

The second reason Fabletics use the power of the crowd is incredible reviews dramatically increases revenue. When companies like Fabletics have positive online reviews, it improves the company’s search ranking which means the company will move to the top of the list of search results.

 

The final reason companies leverage the power of the crowd is the availability of options for online reviews. These options include Yelp and Trustpilot that gather a variety of reviews about multiply businesses on one site.

 

When Kate Hudson decided to become involved with Fabletics, she probably read a variety of reviews and researched the company before she committed. Fabletics is extremely pleased that Kate Hudson agreed because they believe she is a true representative of the Fabletics brand.

 

Once Hudson became involved, she was heavily involved in the company. She was hands-on with a variety of aspects of the business including looking over budgets and designs. Hudson reviews sales each week to ensure she understands which clothes people are buying and which they are not.

 

Kate Hudson had to face criticism when she decided to back Fabletics. Many of her fellow celebrities believed that the company’s membership model was a type of scam. She also had to handle the negative press from Fabletics most popular pieces being sold out frequently.

 

With the criticism and negative press, Hudson focused all of her efforts on making communication between the company and the consumers a top priority. These efforts included upgrading Fabletics service department and data system.

 

These changes increased the number of positive reviews online which then allowed Fabletics to utilize the power of the crowd. Fabletics is one of the fastest growing companies. To be a part of this fabulous company and find the best gear for you, take the Lifestyle Quiz now.