Marketing Analysis : Lulu Lemon

Lululemon’s strategy is not only sell the product, they also offer healthy life style and targeting very specific segment which is customers who do yoga. Their competitive advantage is they offer benefits except a good product such as physical

a few percent, in 2012 the gross profit margin is the highest it has ever been

Lululemon Athletica Inc., founded in 1998 in Vancouver by Chip Wilson, is a company which designs and produces high-end yoga and technical athletic clothing. They have operated primarily in North America and Australia; their initial target customer was an educated woman who lives an active and healthy lifestyle. They opened their first store in Kitsilano in BC in November, 2000. The first store was intended to act as a community hub where people could learn and discuss about the physical aspects and mental aspects of a healthy life, in addition to selling yoga clothing.

Founded in 1998, lululemon has become an extremely successful company. Over the last 12 years of operation, its mission is to improve health, make a difference in all the communities it is located in, and provide guests with quality products to help them live healthy lives.

Lulemon Athletica is an athletic apparel company based out of Vancouver, British Columbia, Canada. The company was founded by Dennis “Chip” Wilson, in the year 1998.

Lululemon is a rapidly growing company with a different niche for its products. Its philosophy as well as their business model has allowed them to increase revenue over the past years. The dilemma they faced is how to continue expanding without losing their special niche, grassroots and a nontraditional feel of the brand that sets them apart from their competitors.

The women's apparel market is highly competitive. With the launch of a new active-wear line from Harrington Collection's, more and more competitors will start to realise the potential value in in producing an active-wear line of their own. The active-wear market is growing so rapidly (expected to double turnover from 2007 to 2009), that eventually all of Harrington's competitors would likely be expected to launch a line of their own, relying on existing brand loyalty and high-scale advertising campaigns to capture market share and move units.

The industry that Lululemen operates in is the Women`s Apparel industry which is a mature, large and fragmented market that has highly sensitive to the economic conditions and trends.

The first Lululemon store was initially created as a place for people to gather to learn and share ideas about a healthy lifestyle. As the company expanded, Lulu could no longer target every individual walking into the store with knowledge of healthy living. At this point, the company shifted its focus to educating their employees who could positively influence everyone who walked into the stores. The thought and reasoning that went into the first Lulu store has continued as the company has grown. It has continued to target active people while pushing everyone towards a healthy lifestyle. Its main target market is young woman, between 15 and 34 years old, in the middle to upper classes. One of

Popular athletic brands such as Nike, adidas and Under Armor are specializing in different aspects such as basketball and outdoor sports which are mainly for men thus, it has a different target market and brand identity as opposed to lululemon.

This report has been created with the intent to analyze the athletic apparel industry with a specific focus on Lululemon Athletica, Inc., further refered to as Lululemon. In this report you will find that the strengths and weaknesses of Lululemon’s current strategies and future goals are analyzed and compared to that of its closest competitors. In conclusion to the analysis, recommendations have been made to potentially guide Lululemon Athletica, Inc. in a positive direction in regards to its future endeavors. The following

Lululemon, a yoga-inspired athletic apparel company for women and men was founded by Chip Wilson in Vancouver, Canada in 1998. What began as a design studio by day and a yoga studio by night, became an independent store in November 2000 (Lululemon Athletica, 2017).

Lululemon is one of the Canada’s best retailers of technical athletic yoga apparel. Lululemon’s yoga inspired apparel is marketed under the two brand names Lululemon Athletica for more mature women and Ivivva Athletica for younger girls. Lululemon primary target customers are educated and hard working women, who understand the importance of healthy and active lifestyle. Majority of these women are Caucasian who are mainly urban and have higher income, since Lululemon is an expensive brand .Most of their products are design to offer fit, performance and comfort while incorporating both style and function. On another hand, American Apparel

Lululemon Inc. has a strong history of making quality fitness clothing for yoga and other athletic purposes by the founder of the company. Dennis “Chip” Wilson in 1998. After becoming “overwhelmed” by the company’s success in Vancouver, Wilson transferred management of the company to trained managers (Nicholes, 2016, p.6). During this time, Corporate CEO Christine Day’s leadership was put into question due to the low level quality of material used to make the Luon Pants, which had a “see-through problem” due to the extreme sheerness of the pant material. More so, in 2013, corporate leadership had a lawsuit brought against the company directors, including Christine Day, of massively raising the

Since 1998 when it was formed, Lululemon Athletica has performed as a niche market leader with a strong brand image and awareness among fitness professionals by distributing high quality products