In a CNBC round-up of analyst stock picks, one dude was high on Lulumon because of its product “innovations” like the “Stuff Your Bra”.
That caught my eye, of course.
At first, I thought this post was going to be about false advertising … not by Lulumon, by its customers.
Turns out that Lulumon’s “innovation” isn’t about faux-enhancement… it’s about practicality.
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You see, it’s not about Kleenex-loading.
The “Stuff Your Bra II” sports bra, for example, eliminates a customer’s need to purchase other accessories to hold keys or other essentials while exercising.
Think about that for a minute.
Isn’t that uncomfortable?
I can’t imagine sticking my car keys or cell phone in my underwear.
Maybe I think too much like a guy.
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On a serious note, that doesn’t strike me as a so-called “sustainable competitive advantage”.
Shouldn’t take competitors long to add a key pouch to their clothes, right?
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Factoid: Lulumon’s median price for yoga pants carry a 20 percent premium over competitors such as Nike.
Given their quality snafus with see-through yoga pants and whip-lash drawstrings, how long can that last?
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July 14, 2015 at 2:39 am |
Lululemon’s advantage has actually lasted a long time and their stock price has done fantastic.
Studied them in depth for a consulting project.
They have built an incredible community of brand ambassadors.
Furthermore, their retail $ sales / sq ft are number 4 in the U.S. Can you name the top 3.
Interestingly, this style of sports bra has been around for about 5 years. It wasn’t until 2 years ago that Lulu designed to jump on the bandwagon. As a wide professor once told me, it’s not first to invent….but first to succeed.
As