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An Optimistic Outlook as Fabletics Celebrates Five Years in Business
During its first five years in business, Fabletics said it has grown to become e-commerce’s fastest-growing activewear label. As the brand and its El Segundo, Calif.–based parent company, TechStyle Fashion Group, celebrate this milestone, Fabletics said it plans to add 75 stores to its retail line-up as annual revenues top $300 million.
In September, the company is debuting a new retail concept launching in Bellevue, Wash., at a time when year-over-year same-store sales increased 20 percent at its current 24 stores.
“We set out to create an inclusive community where women would feel empowered to live an active lifestyle,” Kate Hudson, co-founder of Fabletics, said in a statement. “Five years later, we’ve done that and so much more.”
From its 2013 launch as a direct-to-consumer online shopping experience to an omni-channel brand that now includes bricks-and-mortar retail locations, Fabletics has experienced success through various channels. While 25 percent of its VIP members have joined through friend referrals, the brand also allows consumers to purchase products in traditional stores without being a member.
Through its OmniSuite POS technology, the company affords seamless transitions between benefits available offered by online member accounts and the advantages of in-store shopping at any of its retail locations in the United States.
In addition to its growth in the United States, Fabletics is expanding beyond the 10 countries now in its European market, where it has enjoyed 25 percent year-over-year revenue growth. This fall, Fabletics will embark on its first international distribution partnership in the Philippines as it launches bricks-and-mortar stores, shop-in-shop concepts and e-commerce initiatives.
This growth will be led by an executive team that includes Nancy Arnold, who has been hired as the brand’s vice president, creative director, and formerly worked with Chloe + Isabel, Victoria’s Secret and Ann Taylor. In her new role, Arnold will report to Chief Marketing Officer Kristen Dykstra.
“Fabletics has succeeded beyond our expectations under Kate’s vision and our new team members,” said Adam Goldenberg, the co-CEO and co-founder of TechStyle Fashion Group, in a statement. “And I’m confident Fabletics will continue on its incredible growth trajectory.”
