Lululemon Hong Kong Buying Plan

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LULULEMON SCAD FASM 245 - Retail Buying Simultion Professor Cory Quach LIBERTY BULLEY & JADE WILD

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CONTENT ABOUT ................................. 3 - 17 COMPETITORS ..................... 17 - 30 TRENDS ............................... 31 - 39 SIX MONTH PLAN ............... 40 - 46 SOURCES .............................. 47

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OVERVIEW Founded in 1998 in Vancouver, Canada Founder: Chip Wilson

Current CEO: Calvin McDonald

Full name is Lululemon Athletica

Specializes in apparel for yoga, running, and training.

Not only do they focus on fashion, but also promote healthy living and lifestyle

First created to create a community group Some locations hold yoga classes.

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ASIA FIT Sold specifically in Asia

Tailored to suit the Asian body type through aspects such as cut, material and design. Free In-store hemming

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LULULEMON

LAB

Limited quantities that are exclusive

to the lab space.

Influence the no-sweat sector of main line lululemon.

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CORE LULU Sold at every store location globally year round

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VISUAL MERCHANDISING HONG KONG

FLAGSHIP STORE CAUSEWAY BAY 7


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LOW INTENSITY HIGH INTENSITY VISUAL MERCHANDISING

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CUSTOMER PERSONA Ages 16-30

Works out regularly Practical

Follows trends

Middle to higher class Fashion curious

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GEOGRAPHIC Current Hong Kong flagship store - CWB

Additional locations: Sha Tin, near Hong Kong Sports Institute HK International Airport Worldwide shipping

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BUYING BEHAVIOR A lot of touching the products not necessarily buying. Women are try on the clothing. Customers tend to buy one or two items. Middle-age and older women who were there shopping were looking for products for someone else

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Basic, wearable colors A few fashion products More practical than fashionable Lululemon Lab They carry more volume of the form fitting clothing than the loose fits.

MERCHANDISE ANALYSIS

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Full-On® Luxtreme Support and coverage sweat-wicking four-way stretch cool

Align Pant

Nulu™ buttery-soft lightweight sweat-wicking four-way stretch 86% NYLON

Wunder Under Pant

FABRICS

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SILHOUETTES Form fitting or straight leg style. Shorts are slightly flared Skirts are flared

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WHAT IS IN THE LULULEMON SALE SECTION (IN HONG KONG)

• Larger sizes • Heavy winter • Fashion item - leather/velvet • Pricing • Color - Army green/nude • Unique Patterns

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COMPETITORS

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WHERE: Oregon, United States 700 shops around the world and offices located in 45 countries WHAT: footwear, apparel, equipment, accessories, and services

NIKE 18


Broken down into each three main departments men’s women’s and shoe then into sports specialized running, football, basketball, tenis etc Mannequins are dynamic

NIKE 19


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ADIDAS

WHERE: Herzogenaurach, Germany 1,342 concept stores, 933 Factory Stores, 120 Concession corners throughout 55 Countries WHAT: footwear, apparel, equipment, accessories, and services

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ADIDAS

Broken down into each three main departments: men's women’s and shoes. Broken down by style: performance, special collections, performance, fashion forward, collaborations Have a line with Stella McCartney and have a luxury brand called “Y-3”.

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After research and store visit, the two brands aren’t comparable. Even though the brand is now targeting more towards women, it is still a male dominant brand

UNDER ARMOUR 26


WHERE: London, United Kingdom Stores in US (stand alone and Nordstrom), UK and Hong Kong WHAT: 'Style meets Performance'

SWEATY BETTY 27


SWEATY BETTY

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TRENDS 31


ATHELISURE SUPER TREND 42% INCREASE $270 BILLION DOLLAR INDUSTRY IVY PARK

Lucy McRae

@karolinevitto Rosey

MAIN FOCUS

MAKE MATERIALS RESILIENT EMBRACE NEO-FUTURISTIC STYLING. BLUR THE SPORTING LINES

SKINS

YEEZY

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Yogini Closet Carbon 38

SECOND SKIN

Making leggings feel and act like a second skin use base fabrics with latex-like finishes.

Prue Stent & Honey Long

PUMA

LIQUID IRIDESCENCE Color shifting, printed holographic skins. Designed for speed and comfort. Breathability and moisture management.

PINTEREST

NIKE

RAPHA

INDUSTRIAL KNITS

innovative seam-free base layers. Designed for the ‘Urban’ Athlete High comfort, support and breathability.

Adidas x Stella McCartney

FILA

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SMOOTH RUBBER

Smooth rubberized finishes. Ultra support - stabilize muscles, protect against injury and aid recovery.

Alala

Woo Joo

UNLIMITED STRETCH

Yeezy

Multidirectional active stretch. Designed for hardcore training, yet flat and functional. Matte finish and and suitable for everyday wear due to its anti-crease, and dirt and odor-resistant properties.

NIKE

LULULEMON LAB

Alk Phenix

CHALKY FINISHES

Soft meets strong as training fabrics Worn, lived-in quality odor and dirt control to reduce washing

Marmara

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ASRV


MERCURY RISING Neo-futurist themes in metallics Used head-to-toe for directional update or in small parts for accent details

Gratacos

Yeezy @terry_clothing

NIKE

TOWEL DOWN

Used for core basics like tracksuit bottoms, fitness and tennis. Soft to the touch NIKE

PUMA

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WORKOUT REFINED Bringing elements of tailored minimalism to

precision workouts, resulting in a sophisticated and pared-down aesthetic.

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WORKOUT TO EVERYDAY

With todays technology and X-STATIC fabrics like Lululemon SILVERSCENT, the idea of going from a workout to everyday in the same

clothing isn’t so bad. This technology has 99.9% pure silver to the surface of every fibre—which means that there’s stink-conquering qualities woven into the very fabric of your favorite workout clothes. And it will never wash out or stop working. Love sweat. Stop stink.

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A/W 20/21

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A/W 20/21 RED = RISKY TREND COLOR PICKS HONG KONG

BLUE DEEP PURPLE CHARCHOL BLACK WHITE

HONG KONG

BLUE DEEP PURPLE CHARCHOL BLACK WHITE 39


SIX MONTH PLAN 40


PROFIT/LOSS STATEMENT

# IN MILLIONS $ USD

AVERAGE 16% INCREASE IN NET SALES PER YEAR 41


SIX MONTH PLAN

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COLOR

CORE 38%

FAVORITE 42%

TREND 42%

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SIZE AVERAGE SIZES IN ASIAN WOMEN ARE BETWEEN

A 2-6 THEREFOR WE ARE ORDER THE MOST IN THOSE SIZES.

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FABRIC ** Silverescent has not been used on bottoms in the past. Only for tank tops and work out tees.

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Nulu™ (45%) Developed as part of our

Naked Sensation innovation, Nulu™ fabric delivers that next-to-nothing feeling with your must-have technical performance qualities.

Silverescent (17%) You work out,

you sweat, you smell—right? Wrong! With stink-stopping Silverescent® fabric technology, powered by X-STATIC®, it doesn’t have to be that way. Silverescent makes it safe to sweat again.

Luxtreme® (38%) A sweat-wicking,

four-way stretch fabric that’s cool to the touch and fits like a second skin. This smooth fabric offers support and technical performance when we are sweating our hardest.

via lululemon.com.hk

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lululemon.com.hk Arnett, G. (2019, October 7). The future of athleisure lies in the workplace. Retrieved from https://www.voguebusiness.com/consumers/ the-future-of-athleisure 6 Trends Shaping The Future Of Luxury Athleisure Fashion. (2019, November 5). Retrieved from https://luxe.digital/business/digital-luxury-reports/luxury-wellness-fashion/ Welty, M. (2018, June 1). The Death of the Jogger Pant Is Near. Retrieved from https://www.complex.com/style/2015/04/jogger-pant-isdead History/lululemon athletica. Retrieved from https://info.lululemon. com/about/our-story/history Lab shop/lululemon HK. https://www.lululemon.com.hk/en-hk/c/lululemon-lab-lululemon-lab/lab-collection Manifesto/lululemon athletica. Retrieved from https://info.lululemon. com/about/our-story/manifesto Demri, Moshe. “Sweaty Betty’s Dive Into Their Data Results In Major Uplift.” Optimove, 25 Sept. 2019, www.optimove.com/blog/sweaty-bettys-dive-into-their-data-results-in-major-uplift. “Market Segmentation of the Nike Company.” UKEssays.com. 11 2018. All Answers Ltd. 02 2020 Panagiotopoulou, Vasiliki. “SEGMENTATION, TARGETING AND POSITIONING STRATEGY OF NIKE & BUYING DECISION ANALYSIS.” Academia.edu - Share Research. Pia - sales associate at Lululemon Causeway Bay Hong Kong 47


LULULEMON

LIBERTY BULLEY & JADE WILD

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