Online shoppers, along with traditional shoppers are technically aware today. The business of retail and selling has been changed with the influence of the internet and the views of the customer. Crowdsourcing has become the new trend in the retail world. The power of reviews and customer input has changed the way companies view business. Fabletics, a company founded in 2013 discovered the significance of review featured websites and customer focused models.
Companies which have tapped into the latest trend in review centered websites are prospering. Fabletics, co-owned by Kate Hudson, is growing at record speed. This activewear business has grown by more than 200% since it began which means over $235 million dollars and an increase of more than 1 million members.
Fabletics has designed its website on the foundation of membership and customer loyalty. The company uses surveys to become familiar with the customer and then sends customized orders to meet their needs each month. The relevance of positive reviews is not mysterious to Fabletics so they highlight the customer feedback as one of the most prominent parts of their website.
What makes leveraging the crowd work? Fabletics, along with other reputable companies know that positive reviews can mean increased traffic, high-end purchases, and lasting customer loyalty. Customers today lead lives built around technology and they respond well to this type of marketing. 84% of customers say that they value online reviews more than personal references from people they know.
Traditional trust of companies and even well-known brands is at an all-time low, as shoppers search and hold true the reviews on the website. This crowd feedback is an important aspect of business success. One-half of those customers questioned, say they research a business at least once a month. 50% read reviews regularly which is up 50% from last year. An astounding 60% said that a negative review would cause them to reject a company or buy a specific product.
Leveraging the crowd has shown the most pronounced growth in the way shopping affects customers. Businesses, such as Fabletics, are growing and establish a plan that meets the need to leverage the crowd. They concentrate on promoting surveys and published reviews that potential customers have easy navigation. In one recent holiday survey, online shoppers said that only about 33% were influenced by price comparisons while a huge percentage of 65% searched for customer based reviews. This statistic indicates that customers value reviews over price variations!
Fabletics recognized early that leveraging the crowd increases revenue and customer loyalty. This activewear company is dedicated to being transparent and customer focused. These priorities are working for them. The online company is excelling and following more and more brick and mortar stores. Trustpilot, one of the biggest review sites produced numbers of 20,000 new reviews each day. Fabletics recognizes the relevance of having its name and products in positive reviews on such websites. Repeat customers make up 85% of daily business so companies have to use every resource to leverage the crowd.