To quadruple its international business by 2023, Lululemon takes a local approach (2024)

FAQs

What strategy approach does lululemon take? ›

Lululemon is a yoga and exercise apparel company, whose business strategy is based on marketing a lifestyle rather than a product.

Lululemon's international expansion (most importantly China) will increase Lululemon's addressable market and gain exposure to the 2nd largest activewear market.

Inclusion, Diversity, Equity and Action.

Lululemon's power of 3 x2 strategy aims to double the company's revenues by focusing on product innovation, guest experiences and market expansion.

Their competitive strategy is focused differentiation.

Answer and Explanation: Lululemon is using a focus differentiation strategy to face the competition in the market.

One of the most significant differences between Lululemon and its competitors is that the yoga-inspired brand focuses solely on apparel and sports accessories.

Lululemon had a strong head start by putting customer insights in the center of everything they did — from product design to branding and selling experience. They've inspired shoppers through brand advocacy and built a cult-like following over several short years.

Lululemon has patented 45 materials and has trademark registrations for several of its products, fabric names, and images. By doing so Lululemon is differentiating themselves and protecting themselves from competitors. Innovation is a key component of Lululemon's success.

lululemon athletica

our original intent: Elevating the world from mediocrity to greatness. our mission statement: Creating components for people to live longer, healthier, fun lives. about our products: We make technical athletic apparel for yoga, running, dancing, and most other sweaty pursuits.

What are lululemon mission values? ›

Our core values of personal responsibility, entrepreneurship, honesty, courage, connection, fun, and inclusion are lived by our people every day and are at the heart of our unique company culture.

Our purpose is to elevate human potential by helping people feel their best.

The Company plans to fuel growth through its Power of Three strategic plan to drive product innovation, create integrated Omni guest experiences, and to expand deeper in key markets around the world. The growth strategy includes a plan to double men's and digital revenues, and to quadruple international revenues.

Influencer marketing is one of the most successful marketing strategies for rapid growth. Lululemon invented its own ambassador program by partnering with local fitness and yoga coaches to promote its products while helping them grow their reputation at the same time.

By turning employees into co-creators of the brand, lululemon pushes them to deliver and invest more in the space they work in. Employees, in turn, feel empowered and like their opinions matter.

Lululemon customer demographics includes people in their mid-teens to mid thirties, both women and men. They are largely yoga and/or fitness enthusiasts who value work-life balance and a fit and active lifestyle. They are generally affluent, and willing to pay the high prices of Lululemon products.

Lululemon is under constant threat as the sports retail market to a rapidly growing market. Other competitive brands like Nike, Amazon, Gap, & Under Armour are also trying to improve their market, and hence Lululemon may face tough competition.

It company operates through the following business segments: Company-Operated Stores, Direct to Consumer. The Company-Operated Stores segment comprises of lululemon and ivivva brands; and specialize in athletic wear for female youth. The Direct to Consumer segment is involved in e-commerce business.

They're made with the brand's fastest-drying Everlux fabric. The sweat-wicking and supportive fabric is made with four-way-stretch and is made to feel cool and sleek on the inside. The leggings come in 18 different colors and run up to a size 20.

The key source of competitive advantage is brand loyalty. Lululemon has a solid and loyal customer base.

What are the 3 generic strategies for competitive advantage? ›

According to Porter's Generic Strategies model, there are three basic strategic options available to organizations for gaining competitive advantage. These are: Cost Leadership, Differentiation and Focus.

Top quality, technically advanced product that offers unique and proprietary innovations. A strong culture that connects our guests, our collective, and our communities. The commitment to create positive change for our people and planet.

What Is lululemon's Most Popular Item? Workout Leggings! lululemon is known for selling the best leggings. Not only the best workout leggings, but the best leggings for running, strength training, high intensity interval training, yoga and everyday wear.

If our product doesn't perform for you, we'll take it back. While we pride ourselves on creating long-lasting gear, our quality promise does not cover usage beyond practical lifetime, and as a result our Quality Promise cannot be applied to any item purchased through Like New.

By promoting a lifestyle of health and wellness, they've cultivated a strong cult-like community of active enthusiasts who desire premium quality. Lululemon is still experiencing rapid growth more than 20 years after launching and plans to double their revenue by 2026 to $12.5 billion.

One of the efforts Lululemon has made that other brands have not is to purposely seek out brand ambassadors that are yoga instructors and fitness mentors. These brand ambassadors embody a lifestyle that Lululemon consumers strive to lead, a resource that ultimately differentiates the company and drives up its appeal.

At Lululemon, our values are “courage, connection, inclusion, personal responsibility and fun.” These form the foundation of our culture and are what we stand for as a team. It's critical that we hold true to these, even in moments of pressure.

Diversified in-store marketing strategies

Lululemon doesn't only focus on selling its products in several store locations. They integrate scarcity to make consumers want more. The brand does pop-up stores in different areas or countries to see if it clicks with the market.

Lululemon Behavioral Segmentation

Lululemon is a premium fitness wear brand, and products are pricey, ranging from $90 to $130 for items such as leggings and bras. Therefore, Lululemon tends to attract middle to upper class customers. The typical Lululemon target customer is fitness enthusiasts, who regularly work out.

Lululemon had a strong head start by putting customer insights in the center of everything they did — from product design to branding and selling experience. They've inspired shoppers through brand advocacy and built a cult-like following over several short years.

What is the key message of Lululemon? ›

As a design-led company, curiosity is at our core. We're constantly thinking about how we can innovate our process, our gear, and our social impact so we can elevate the world from mediocrity to greatness.

lululemon uses every part of Instagram – photos, videos, Reels, stories and user-generated content by other Instagram users. The company uses every feature Instagram has to offer, adding huge variety to the content being shared, as well as cultivating a community with a hashtag.

Lululemon's Lifestyle Community

They host an average of 4,000 events every year, which includes free yoga classes, events and talks, and their annual Sweatlife Festival, which takes place in different major cities around the world wherever their physical stores are located.

We are deeply connected to ourselves, each other and our planet; each part elevating one another. We aim to create healthier environments by inspiring positive change through mindful choices, innovation and collaboration.

They're made with the brand's fastest-drying Everlux fabric. The sweat-wicking and supportive fabric is made with four-way-stretch and is made to feel cool and sleek on the inside. The leggings come in 18 different colors and run up to a size 20.

The technological advances lululemon has made in clothing makes it harder for competitors to emulate its success. It also enables lululemon to charge higher prices and have merchandise that rarely goes on sale. lululemon's focus on innovation not only lies within its products but within its stores.

Lululemon is a multibillion-dollar leader in the high-end active wear category that owns and operates 600 stores, 40 of which are located in Europe. Its roots date back to 1998 when it opened as “Lululemon Athletica,” a yoga-wear brand geared toward women and yoga enthusiasts.

At Lululemon, our values are “courage, connection, inclusion, personal responsibility and fun.” These form the foundation of our culture and are what we stand for as a team. It's critical that we hold true to these, even in moments of pressure.