California-based activewear giant, Fabletics has announced a significant expansion of its European footprint through a premier shop-in-shop agreement with Berlin’s legendary Kaufhaus des Westens (KaDeWe). Launching in Spring 2026, the 160-sq-m space will represent the brand’s largest retail presence in Europe to date. Situated on the redesigned fourth floor - a dedicated destination for wellness and longevity - the move marks a departure from Fabletics’ traditional mall-based strategy. By positioning its high-performance training apparel and lifestyle capsules alongside luxury heritage brands, Fabletics is effectively closing the gap between accessible activewear and the premium ‘masstige’ market.
Data-driven omnichannel scaling in the DACH region The partnership follows a stellar fiscal 2025 for Fabletics, which saw the company surpass $1 billion in annual revenue with an 18 per cent Y-o-Y growth rate. Physical retail has emerged as a powerhouse for the brand, with in-store traffic driving 23 per cent of total revenue and serving as a critical funnel for its 2.7 million VIP members. Mark Ralea, General Manager Europe noted, the KaDeWe location is a ‘decisive milestone’ in an omnichannel playbook that already includes successful integrations with German retailers like SportScheck and Peek & Cloppenburg. This aggressive local scaling aims to capitalize on Germany’s robust demand for technical sports apparel, which is projected to sustain a 5 per cent CAGR through 2027.
Navigating the competitive ‘Future Factory’ of retail
As KaDeWe evolves into an experience-led destination, Fabletics is leveraging AI-informed inventory and localized capsule drops to meet the expectations of the modern, health-conscious consumer. The new space will stock both women’s and men’s collections, addressing a growing trend where gender-neutral and versatile lifestyle pieces account for 15 per cent of the brand’s sales mix. Despite a net revenue target of $2 billion by 2030, the company faces stiff competition from incumbents like Lululemon and emerging ‘ultra-fast’ digital players. However, by securing prime real estate in Europe’s most prestigious department store, Fabletics is betting that its membership-driven model and premium physical touchpoints will insulate its growth against shifting global trade dynamics.
Global digital-first activewear authority
Fabletics is a multi-specialist athletic apparel brand known for its high-performance gear and celebrity-led collaborations. Operating over 114 stores globally, the firm achieved $1 billion in revenue in 2025, fueled by a 90 per cent VIP membership conversion rate. Founded in 2013, the company is currently executing a five-year plan to double its revenue through international retail expansion.
