Lululemon is the dominant player in high-quality Athleisure. When we examine total mention volume for major players in the pure "athleisure space" like Gap's Athleta and American Eagle's Aerie brand, Lululemon holds more than 80% of Total Mention volume.
LikeFolio data provides insights into 4 key factors for continued audience expansion:
1. Consumer Happiness
This metric may be the most predictive long-term indicator of customer retention and the attraction of new customers.
Lululemon's sentiment is consistently above 74% positive, placing it in the upper echelon of performance apparel and 10 points higher vs. Nike.
Its high-quality products do give the company a leg up in pricing power.
2. Digital Demand
In 20Q2, digital sales increased by +157% YoY. In 21Q2, digital sales increased an additional +4% -- Insane traction.
LikeFolio data confirms stickiness in eCommerce channels. Mentions remain significantly higher vs. 2019 levels and have increased +7% QoQ.
3. New Audience Segments: Men
One key segment Lululemon hopes to continue growing is menswear...The company noted a slowdown in men's growth during COVID, when most shopping shifted online.
With the return of in-person shopping, are LULU men's sales returning?
LikeFolio data suggests relative flatness here. Mentions are +4% vs. 2019, but -10% YoY and -7% on a QoQ basis.
4. New Services: Home Fitness
Lululemon's Mirror acquisition in 2020 tapped into a growing workout-from-home trend.