Lululemon Marketing Plan

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4. Strategic Focus and Plan

This situation analysis starts with an overview of the current environment in which Lululemon finds itself by providing a brief SWOT (strengths, weaknesses, opportunities, threats) analysis. After this synopsis, the analysis examines levels of detail: industry, competitors, company, and customers.

- SWOT Analysis

These are the internal and external factors that affect the marketing opportunities for Lululemon. Briefly stated, this SWOT analysis focuses on the great strides taken by Lululemon since its products first appeared.

Internal factors include the Strengths and Weaknesses

- Strengths

Premium Brand Affinity: Lululemon’s items have a cult-like following after among its intended interest group of taught, well-being cognizant, high-salary ladies. The organization's yoga pants, alongside other solace wear items, come out on top. Lululemon’s profoundly stylish attire, produced using new, innovative, front line materials, permits it to charge premium costs to its clients. “Consumers will buy and use 2 products that enhance their self-image, and they will eventually form special attachments and develop relationships with these products. These special attachments are usually integrated into their self-concept” (Opiri, 2015).

Riding the Athletic Bandwagon: As more individuals around the world move toward becoming wellness cognizant, this should permit Lululemon to keep on growing. The requirement for easygoing athletic styles that can be worn to both the rec center and furthermore around town while doing errands ought to bolster Lululemon’s outcomes since these are the sorts of pieces of clothing that are center to Lululemon's business. The general casualization of American culture has made it more adequate to wear easygoing garments pretty much anyplace.

Strong balance sheet: Lululemon's accounts are in great shape, as it has no obligation on its asset report. This should permit the organization to keep on repurchasing offers in the coming quarters, supporting development in share net. The organization has never paid profits, however, this could be another road to lift shareholder returns not far off.

- Weaknesses

High Prices: Since Lululemon invests a lot of energy and cash putting resources into innovative work, keeping in mind the end goal to create driving edge textures for its attire, costs are to some degree higher for its items than for those of huge numbers of its rivals. Comparative items at Nike or Under Armour offer for substantially less. While this may not hurt business with its center group of onlookers of higher pay ladies, this could be an issue as the organization tries to extend its gathering of people, or if large scale powers make clients turn out to be more value cognizant.

Brand Perception: Lululemon has for quite some time been seen as a yoga brand, which is fine when pitching to yoga devotees. In any case, the organization has previously had just minimal accomplishment in growing its picture past this statistic. While there are surely ladies who utilize its attire for running, weightlifting, and other physical exercises, regardless it has work to do to educate ladies that their clothing can be utilized for any physical movement, or even to just wear while running errands. “The interplay between health, self, body, and gender at the individual level is linked to the creation of a sense of healthiness in the body politic of society” (“Healthy bodies”, 1993).

External factors include Opportunities and Threats

- Opportunities

Worldwide Expansion: Lululemon's deals have been moved in North America. The administration has demonstrated that it needs to extend its stores in both Asia and Europe. In 2016, Lululemon had arrangements to open extra 11 worldwide stores, and further quicken this development one year from now.

Product line expansion: Lululemon will extend its product line to Toddlers. This includes the ages anywhere from newborn to the age of 5. This will open the door for Lululemon to sell more and generate more profit long term.

Niche Market: Lululemon will be the only of its kind in its industry, compared to its main competitors, to have the option of matching with your toddler. This will allow Lulu to have an advantage over the competition. According to the Journal of Pediatric Oncology Nursing, children with a cancer experience symptom distress, and anxiety because of the disease and its chemo treatments, yoga is a feasible intervention and is beneficial to adolescents and parents. Yoga decreases anxiety levels while leaving a positive impactful experience (“Journal of Pediatric Oncology”, p 264)

- Threats

Competition: The market for athletic attire is exceedingly aggressive, as Lululemon contends solidly against wholesalers and direct retailers, and additionally organizations concentrated on ladies' athletic clothing. It likewise confronts rivalry from dealers of customary product athletic clothing, for example, cotton shirts and sweatshirts. Some of its essential rivals include Nike and Under Armour. The greater parts of these organizations have existed for far longer than Lululemon, and many have a more settled market nearness and bigger working spending plans. Additionally, Lululemon’s major competitors such as Nike and Under Armour already have a newborn and toddler line.

- Competitors in the sector of consumer goods and industry textiles-apparel clothing

The current market for athletic apparel is highly competitive, LULU competes against companies focused on women’s athletic apparel and wholesalers and direct retailers. Also, competition from sellers of traditional athletic apparel, cotton t-shirts and sweatshirts. Primary competitors in this industry include Nike Inc. (NKE) and Under Armour (UA). The majority of these companies have existed for longer than LULU, and many have a more established market presence with more operating budgets. The price points differ also by having products with lower price points while Lulu is priced relatively higher.

Nike Inc. focuses on NIKE Brand and Brand Jordan product offerings in seven key categories: various sports like basketball and football, action sports, women and men's training, and NIKE sportswear. The company sells a line of performance equipment under the NIKE Brand name, including socks, digital devices,