• Strength:
- High quality product and brand reputation: Lululemon is the pioneer in the industry for their high quality product and development. Their products are long lasting and lead the industry. In addition, they have a great positioning in the industry, which is ahead of their rivals. It has target customers who are educated, high-income, health-concerned and especially cult-like following. In spite of increasing price of these goods, the brand keeps on pick up steam. Because the company made their highly fashionable clothing from new, innovative, cutting edge materials, they can charge high prices. It led to the stable leadership position of the company in the developing sport apparel industry.
- Superior customer service: The steady …show more content…
Maybe it doesn't ruin business with its core customers of high-income women. However, the company can get difficulty to expand the range of customers or if customers focus more on price.
- Weak brand recognition: Lululemon has weak brand recognition on a national level because of slow growth strategy and lack of mass marketing. While Lululemon is still new and growing, customers may not think about it first when considering among sport wear brands. Weak brand recognition makes Lululemon a serious problem when all brands are developing as fast as Lululemon.
- Narrow target market: their main products are yoga apparel and this attracts a very small percentage of the customers. Then they will tend to pay attention to the big ones such as Nuke and Adidas.
- Decentralization marketing: Each store has developed its own message, which may change the overall brand philosophy
• Opportunity:
- International expansion: Management has shown that they want to raise their stores in both Asia and Europe, which just had only 11 units in 2015. In 2016, they plan to open more 11 worldwide …show more content…
- Build U.S. brand recognition
• Threat:
- Competitors: There is an intense competition in the sport apparel industry. Lululemon competes against not only directly wholesalers, retailers, companies concentrated on athletic clothing for women but also sellers of traditional commodity sport apparel. Nike, Adidas and Under Armour, which are the main competitors of Lululemon, have a strong brand recognition as well as lower prices.
- New entrants: When nowadays people pay more and more attention in healthy life and fitness, many new entrants and competitors want to enter this
- High quality product and brand reputation: Lululemon is the pioneer in the industry for their high quality product and development. Their products are long lasting and lead the industry. In addition, they have a great positioning in the industry, which is ahead of their rivals. It has target customers who are educated, high-income, health-concerned and especially cult-like following. In spite of increasing price of these goods, the brand keeps on pick up steam. Because the company made their highly fashionable clothing from new, innovative, cutting edge materials, they can charge high prices. It led to the stable leadership position of the company in the developing sport apparel industry.
- Superior customer service: The steady …show more content…
Maybe it doesn't ruin business with its core customers of high-income women. However, the company can get difficulty to expand the range of customers or if customers focus more on price.
- Weak brand recognition: Lululemon has weak brand recognition on a national level because of slow growth strategy and lack of mass marketing. While Lululemon is still new and growing, customers may not think about it first when considering among sport wear brands. Weak brand recognition makes Lululemon a serious problem when all brands are developing as fast as Lululemon.
- Narrow target market: their main products are yoga apparel and this attracts a very small percentage of the customers. Then they will tend to pay attention to the big ones such as Nuke and Adidas.
- Decentralization marketing: Each store has developed its own message, which may change the overall brand philosophy
• Opportunity:
- International expansion: Management has shown that they want to raise their stores in both Asia and Europe, which just had only 11 units in 2015. In 2016, they plan to open more 11 worldwide …show more content…
- Build U.S. brand recognition
• Threat:
- Competitors: There is an intense competition in the sport apparel industry. Lululemon competes against not only directly wholesalers, retailers, companies concentrated on athletic clothing for women but also sellers of traditional commodity sport apparel. Nike, Adidas and Under Armour, which are the main competitors of Lululemon, have a strong brand recognition as well as lower prices.
- New entrants: When nowadays people pay more and more attention in healthy life and fitness, many new entrants and competitors want to enter this