A BRAND BY LULULEMON ATHLETICA INC. MCKENNA BOOTH AND ANDREA SCHUKLER Lem n by Lululemon

History Lululemon Athletica Inc. is a self-described yoga-inspired athletic apparel company based in Vancouver, British Columbia, Canada. It was created by Dennis “Chip” Wilson in 1998 when he noticed more women were participating in sports and in accordance with his thoughts on yoga being the optimal way to maintain athletic excellence. There is currently 201 Lululemon stores and serves the United States, Australia, New Zealand and Canada In 2012, total revenue made in the US was $1 billion

Fabrics That Sets Them Apart Luon ®  This is lululemon's signature, original fabric primarily used in the yoga lines for women and men. Here are your need-to-know attributes about our favorite fabrics.  luon ® is wicking, offers 4-way stretch and is preshrunk  the high percentage of LYCRA ® in the fabric means it will not stretch or bag out  the nylon used in luon ® is made to feel cottony soft at the yarn stage which is why it offers such great coverage Luxtreme ®  Lululemon's fastest wicking fabric, Luxtreme ® is primarily used in running gear for women and men. The moisture wicking is inherent in the fabric so it will last for the life of the garment. Transluxent™  We engineered this lightweight fabric so we could design race-ready underwear that would stay in place. This moisture-wicking fabric provides amazing shape retention and a silky feel. The high spandex content allows for precision laser cutting that helps eliminate VPL (visible panty lines).

Target Audience Lululemon’s current primary target market is the “Active Young-thinking Woman”. Women who are appearance-conscious, physically fit/active, well educated, aged 16-45, in the upper to middle class and residing in North America. Lululemon is using a niche marketing strategy, going after a very narrowly defined market segment, in which they have had great success. Most recently Lululemon has targeted men with the apparel line who are in the upper to middle class who spend time on their fitness outdoors.

Lululemon Athletica Inc. Products  Women’s: Tops, bottoms, yoga pants, sports bras, swim suits, dresses, accessories, jackets and hoodies, tanks, wunder unders, crops, shorts, skirts, headwear, bags  Men’s: Tops, jackets and hoodies, shorts, pants, accessories, hat  Yoga Mats and props  Socks and underwear

Women’s Price Points  Tops: $58 - $128  Tanks: $42 - $68  Swim: $54 - $78  Pants: $88 - $128  Sports Bras: $42 - $68  Jackets and Hoodies: $98 - $148  Skirts and Dresses: $58 - $64  Headwear: $12 - $32  Wunder Under: $72 - $98  Shorts: $42 - $54

Men’s and Accessories Price Points  Tops: $44 - $148  Jackets and Hoodies: $108 - $198  Shorts: $58 - $88  Pants: $88 - $128  Bags: $48 - $158  Socks and Underwear: $14 - $48  Yoga mats and Props: $12 - $88

Lem n by Lululemon Target Audience  Like the main brand Lululemon, Lemon will target young women ages who are style conscious but are interested in fitness and are involved in sports.  These women will be of working to middle class with an income level that does not allow for unnecessary spending that still want a quality product at half the price.  In the future Lemon by Lululemon hopes to expand into an affordable men’s athletic gear brand but for now it will be only available to women.  The products created by Lemon by Lululemon will use brighter colors and more designs to make the brand appropriate for the younger crowd while standing out and sustaining its quality.

Women’s As a secondary brand, Lemon by Lululemon will only carry a fraction of the products sold at Lululemon but will produce the more important, staple items. Products  Pants/ Leggings $28 - $48  Shorts $15 - $35  Tanks $12 - $25  Tops/ Jackets $15 - $35  Sports Bras $12 - $25

When Life Gives You Lem n Lemon by Lululemon will be sold exclusively in Khol’s at a fraction of the prices found in Lululemon stores. Why will Lemon by Lululemon be successful?  The lower prices allow a larger population to afford the products  The name Lululemon attached to the brand gives it the prestige and reputation that original brand created  The products are still higher quality fabrics than other, more inexpensive athletic merchandise

Competition There are many athletic apparel companies that sell their products at a lower price in department stores. Some of the stores even sell their own line. What sets Lemon by Lululemon apart is the reputation Lululemon has secured and that the secondary brand will still produce high quality apparel using specific fabrics that its competitors do not. Competition at Khol’s  Nike  Tek Gear  FILA Sport