Lululemon Swot Analysis Essay

SWOT ANALYSIS

Strengths
Premium products, high quality, Innovative designs, Corporate culture of social responsibility, Strong brand awareness, Community involvement, Charities, Storefront distribution, Unique employee culture
Weaknesses
Perceived female focus, Brand relatively unknown, Price point, Limited locations

Opportunities
Product diversification and line extensions, E-commerce, Expansion to other countries

Threats Low barriers for entry, Recognition of brand is low in new markets, Supplier failure

Introduction

Physically fit and active, well-educated, in the upper to middle class, women who are conscious about their appearance, aged between 16 and 45, residing in North America are the current primary target market of Lululemon.

We will find Lulu store where are their target customers (working high-class woman and young university females both leading active lifestyle). That’s why male brand stores should be ideally positioned right beside existing female-only stores (if possible) or as separate store, but in the same neighbourhood core as female-only store. Male oriented atmosphere/scent/themes should be appealing to men they target in hope that will eliminate stereotype perception of Lululemon as strictly female brand.

Product Strategy

Lululemon’s female product line has very wide spectrum - products are available in many colors and in many patterns. All this allows Lululemon to remain attractive to the customers. Some of the components of current Lululemon’s product and branding strategy are well suited and should be maintained (re-usable stylish shopping bags, very informative price tags, free alterations – they are all match for male target market); the others should be either altered or abandoned in order to increase product differentiation and brand awareness. Branding Strategy

Lululemon is currently branded as a high quality, high priced, trendy and prestigious brand. This approach should be kept for male brand as well. Male brand should be targeting active man in the same age category as current main Lululemon