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Lululemon strengths and weaknesses
Analysis of lululemon
What are the key elements of lululemon strategy
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Recommended: Lululemon strengths and weaknesses
Selling through Lululemon’s own company network of retail stores as well as online and pop-up stores. Their products are mainly sold through three channels, including direct sales to consumers, retail stores owned by the company, and smaller channels such as wholesale and franchising. A retail store is a channel that keeps in touch with customers and remains active. It plays an important role in brand building and continuous development, and it can also better display its brand culture. In addition, Lululemon launched concept activities such as health clubs, fitness centers and yoga studios, and has enhanced its brand image through wholesalers and other channels.
Other sales avenues include warehouse sales and sales through showrooms and temporary
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Companies are often used by bloggers and fans keen on fitness to spread through the major social media on the Internet. This is not only to disseminate corporate culture, but more importantly to spread fitness culture. Lululemon has now established a large number of social media fans and an online fitness community with multiple brand ambassadors, which allows customers to be more loyal to brands. The company also uses bars and restaurants to communicate their brand information to consumers, promote across industries, accumulate consumers, and encourage customers to become an extension of their marketing department. Encourage customers to shoot healthy food and drinks and post it on the web for more people to see. In this way, more people will understand this brand and help the company build a large consumer group.
Lululemon has been trying many different ways to highlight his core competencies and then distinguish them from competitors. The company's strategic sales approach is paired with local entrepreneurs and athletes who are passionate about the community and improve themselves and the surrounding community. Because the company is mainly targeting high-end markets, all Lululemon's main goal is to focus on the quality of the product rather than blindly pursuing the quantity.
Place
The retail industry is continuously growing. There are many successful companies and entrepreneurs in this industry. One successful entrepreneur is Dennis Wilson, also known as Chip Wilson.
Founded in Vancouver BC in 1998, the first Lululemon shared its retail space with a yoga studio. Lululemon Athletica inc. is a Canadian designer and vertical retailer of athletic apparel, which operates predominately in North America (“Lululemon Athletica Inc (LULU.O),” 2014). The Company’s garments are marketed under the brand name “Lululemon Athletica” (“Lululemon Athletica Inc (LULU.O),” 2014). Lululemon decided to go public in 2007, 7 years after opening their first store in 2000, raising $327.6 million (Urstadt, 2009).
Since 1998, Lululemon has transformed the way people dress to workout. Through innovative products and technical athletic fabrics, a brand was created to provide clothing for workouts such as yoga, running and cycling. Lululemon opened its first store in Vancouver in 2000 with the plan to have the store be a community hub for people to learn and discuss their physical fitness and overall health goals. As Lululemon was more than a store to provide products for consumers, their goal was to influence every person who walked into the store. A basic criterion for investment is Lululemon’s mission to create components for people to live longer, healthier, fun lives. All Lululemon locations maintain strong relationships with local communities and host in-store events such as complimentary yoga classes and goal-setting workshops.
Lululemon was founded in Vancouver, Canada in 1998; as of October 2015 they have 354 stores worldwide, making them on of the biggest retailors to solely focus on athletic wear clothing. Their most popular product are their leggings. Created for health conscious yogis, Lululemon prides themselves in creating high-quality products for men and women who live a health focused lifestyle. Lululemon is famous for giving environmentally friendly red and white reusable bags after a purchase and providing the highest quality for their clientele. They also practice social responsibility when they screen their vendors to make sure they have the same environmental and social standards as them ().By examining the main social forces, consumer behavior, and
Initially, the promotional strategy will consist of a social media outreach campaign, partnerships with local businesses, and content marketing. Each strategy will be partially intertwined. We publish content regarding fitness and distribute them via the website and social media platforms: 1. http://www.mrfitlife.com/ 2.
Problem: Lululemon Athletica wants to convert consumers of rival workout clothing companies to become loyal customers of Lululemon.
To expand brand awareness, brand loyalty, and the appeal of its products the company implements a grassroots community-based marketing strategy. The company selects ambassadors that are local fitness professionals to proliferate word-of-mouth marketing among their students (Thompson, 2014, p.C86). Lululemon additionally engages social media, sponsors local athletic, fitness, and philanthropic events, and positions a community events bulletin board and chalkboards in its stores. The bulletin board displays announcements of future activities, presents fitness education and brochures, and promotes neighboring ambassadors’ yoga studios and fitness centers, while the dressing room chalkboards provide an outlet for customers to rely their comments (Thompson, 2014, p.C86). Lululemon’s yoga ambassadors lead a class every four to six weeks; whereas local professional yoga instructors conduct weekly classes at their local Lululemon location as the retail stores allocate the rearrangement of merchandising displays to provide ample floor space. These retail stores reflect the appearance of a simple, neighborhood boutique as they are situated in street locations, shopping centers, lifestyle centers, and malls as a means of integrating into the community (Thompson, 2014, p.C82). This is enhanced
The company had to be the second largest retailer shop in the US; it has many advantages that come along. The customers well acknowledge the company and its brand have been well established.
Offering special products is marked under strengths and opportunity; however, long term sustainability must ease the weaknesses and threats posed by competitors and external markets forces. However, they are several other strengths of this company that outweigh the weaknesses but can easily be threatened. Lululemon has a great brand equity and knowledge in the market which has helped them development a customer loyalty. While Lululemon’s strengths is challenging, limiting their products to a special market, with higher than normal prices opens the markets for competitors. Lululemon has several weaknesses, they only offer a specialty product and it mostly aimed to attract woman. The company’s profitability has decreased over the recent years, showing the necessity for Lululemon to sustain its economic growth through product diversification and geographical expansion. Many of their competitors have grown, mostly likely due to their global growth and divarication. If Lululemon would expand their market growth this would open up so much more opportunity for this company to grow. One of their weaknesses is there is the dependence on suppliers. This opens a great opportunity for Lululemon, right now they are heavily relying on suppliers around the world and they do not have their own manufacturing facilities. This is causing the company to spend more money of vendors to
considered normal for a well-established business. Lululemon's price earnings ratio tells us that there is increased growth and performance anticipated in the future.
...e over ten million customers, providing over 500 brands and thousands of products. For added income, in December of 2012, the company launched their own supplement line taking into account all the positive and negative reviews of existing brand reviews, to create a product consumers like, with the ability to offer lower prices by eliminating the middle man, selling directly from their site. They advertise their personal product line all throughout their site, so that visitors leaving the site without seeing their product are rare. They also provide their own clothing and accessory line, offering customers top of the line products for low prices, which serves as a way to advertise for a profit. Strategically, Bodybuilding.com uses top Youtube.com famous professional and inspirational bodybuilding models, displaying their product on recognizable faces and fit bodies.
Athletica Inc. test boutique is providing assistance to form the foundations for what the finest yoga wear maker considers as an auspicious avenue for customer attraction and growth in sales. The Canadian retailer is currently focusing on global markets even as it struggles with the need of having a fresh chief executive, fixing a tainted image after a distressing recollection of excessively sheer pants and looking forwards to expand in the United States. The step to expand in the United States can prove to be tricky even during the best times or season. Though the rewards are appealing, such international markets can be inconsistent, complex and uncertain. Currently the investors observing the successful track record of Lululemon, opinion
Louis Vuitton, a French designer and entrepreneur quickly made a name for himself in the fashion industry by becoming Napoleon’s wife “personal box-maker and packer.” At the age of sixteen, Vuitton and his family started the legendary workshop by creating travel trunks and the famous unpickable locks in 1859 (Louis Vuitton, 2015). As the legendary brand continues to remarkably exceed both sales and expectations, Louis Vuitton as a brand strives for pure distinction and exclusivity.
When Lululemon first started out they did not do a whole lot of advertising. It was mostly word of mouth and of course the bags that they gave their customers, with a lot of inspirational phrases all over it, when they purchased something from the store. They depended on the positive vibes that a person feels when they enter their establishment. “They’re selling emotion and happiness and joy and feeling good about yourself, … and when companies keep their eye on that in a more focused way, and less on the features of the product, their chances of being a successful brand just go through the roof.” (https://www.referralcandy.com/blog/lululemon-marketing-strategy/) Recently Lululemon has branched out into the global advertising world. There
Social media has a big role in our perception of brands in today’s world. The two companies have both attempted to integrate social media in their continued attempts to one up their competitor. Google has made attempts to cr...