Lululemon Aims to Improve Tarnished Image in 2014
Our home-grown athletic apparel retailer stumbles into 2014 with changes and promises as it leaves behind an image tarnishing 2013.
The company has lowered it’s fourth-quarter projections and now predicts store sales to slip in the “low to mid-single digits” compared with a previous no-growth estimate. Profit-per-share and revenue are also predicted to go down the same rate.
However, coming into 2014 the company still boasts a great brand loyalty- which although has gone sour in the past year still has the ability to be turned around.
Lululemon founder Chip Wilson is said to resign as the yoga maker’s chairman this summer. His comment that “some women’s bodies just actually don’t work” in the chain’s popular yoga pants created waves of fury from customers. The items were accused several times last year of being too sheer. Such complaints sparked a massive recall in March.
Another element the company will be working on is ensuring the quality of their product matches the price premium customers pay for the product.
As a Canadian company and one that promotes an active lifestyle, it would be great to see Lululemon bounce back. However, they must first prove to the public and more so gain back the trust of their most loyal customers for this to happen.