Marketing changes and evolves together with consumer behavior and for the highly saturated world of business, figuring out and leveraging the behavior of consumers is an essential aspect of having a successful business.
One of the retail brands that are savvy enough to take advantage of that knowledge is Fabletics. The brand has grown by over 200% since it had its launch in 2013 and it currently has a yearly revenue of $235 million. Fabletics has more than one million subscribers and buyers. The Corporate Marketing Officer of the business, Mr. Shawn Gold, offers some insight into the success of Fabletics so far and explains the power of the crowd. When potential buyers are considering a purchase, they tend to read as many reviews as possible both on the site and on outside sources. They try to learn about the experience with other buyers and the information they come across often determines whether they will be making a purchase or not. That is many of the marketing strategies today are based on reviews and testimonials. Consumer reviews are a powerful tool in the growth of any business. Consumer reviews prompt more sales and they also strengthen the trust between the brand and the potential buyer. As a result that creates a lasting loyalty and created returning customers.
Crowd sourcing plays the largest part in the decision-making process of potential buyers. They truly trust the reviews online when they make a final decision. According to a recent research, 84% of the potential buyers put as much trust into online reviews as they would into a recommendation by a family member or a friend. The survey is from a few years ago, and since then that number has been increasing every year that the study is renewed. Doing research on a brand is also something buyers do quite frequently. In a survey, 60% of the people shared that they consider the overall reputation of a business and it if it is negative then they will abstain from purchasing from it.
Leveraging the power of reviews is essential for the growth of a business. With positive reviews also come more clients and thus a larger revenue. The companies that have figured out the importance of leveraging the crowd and the feedback from buyers display user reviews underneath each product and service. Not only that, but many businesses have started adding features that allow consumers to compare products. Allowing customers to use both the advantages and disadvantages of an individual product or a service builds up that extra bit of trust, and it also provides the additional information necessary.
Fabletics has been able to utilize all of the sweet spots of marketing from its pre-launch campaign till now. The company is known for its expert marketing team as it has been onto every detail of consumer behavior since the pre-launch. The power of the crowd gave a huge push to Fabletics. They utilized a review-centric marketing strategy for their pre-launch campaign as well, and they continue to make great use of it still.