Dive Brief:
- Expanding into a new category, direct-to-consumer apparel company Fabletics has released a medical scrubs collection, according to a Tuesday press release.
- The new 12-piece line of activewear scrubs includes tops, bottoms, underscrubs and jackets in eight colorways for men and women. Prices range from $29.95 to $69.95 for Fabletics VIP members, and the company also offers an embroidery service, per the release.
- Fabletics said it created the collection based on research and insights from over 6,500 medical professionals. The company created a group of scrubs wearers to test the products and provide feedback, and it will also donate scrub sets to 25,000 medical professionals across the U.S. as part of the launch.
Dive Insight:
Fabletics’ latest collection was created with the hopes that it serves the various active needs of the medical community.
“Creating Fabletics Scrubs was years in the making,” Adam Goldenberg, co-founder and CEO of Fabletics, said in a statement. “This collection is inspired by the medical community ... We conducted comprehensive research and received direct feedback from these professionals, as we are committed to creating a product that can perform at the highest level and meet all their needs.”
The scrubs launch also means Fabletics enters a category that includes DTC competitors such as Figs.
Figs’ latest third-quarter earnings report in November showed revenue jumped 25.2% year over year to $128.6 million. The company’s gross margin decreased to 70.6% in part due to higher freight costs and a higher mix of promotional sales, and its operating expenses increased 24.1% to $79.6 million.
The scrubs company — founded in 2013 — is one of the few profitable DTC brands, and made a net income of $4 million for the quarter. However, Figs' stock price is currently around $9, a sharp decline from a high of $23.19 last April.
Earlier this month, Figs appointed a new chief operating officer and a chief business development officer. The company has previously been sued by medical apparel competitor Strategic Partners, Inc. (also known as Careismatic Brands), which included claims of false advertising. However, a jury favored Figs in November when it rejected claims from Careismatic, ending what Figs’ chief legal officer called “a nasty, four-year campaign.”
Fabletics now adds its name to the list of competitors looking to grab a stake in the scrubs market. The company has been expanding in other ways as well, especially with its physical footprint. Fabletics announced plans last March to open 30 new stores in 2022 and opened its first Yitty brand shop-in-shop last summer. Additionally, the company launched its Any-Wear line last January, which focused on versatile pieces meant to be mixed and matched.
