A new strategy has been planned by Lululemon for its stores. The retailer selling athletic apparel and popular for yoga pants recently said that it plans on opening 4 different kinds of stores now, as compared to the sole prototype that was launched 5 years earlier. The 4 kinds to be opened are- a huge 25,000 sq. ft. version, a store about 5,500 sq. ft. big, a store with an area of 3,000 sq. ft. and a temporary pop-up shop that is scheduled for a summer opening in Chicago this year. The company, by 2023, plans on increasing its square footage on an annual basis by a roughly low double-digit rate of percentage. Celeste Burgoyne stated that new stores might still be opened in certain North American regions and in international locations like China. The company ended the previous year with 440 worldwide and global locations.
Lululemon furthermore wants to continue signing short-term leases, such as 3 to 6 months for instance, which will give it a chance to test new markets and capitalize on extensive foot traffic. The firm reportedly had 60 somewhat seasonal shops in 2018. Burgoyne expects Lululemon’s international stores to attract more customers. Also the company is changing many of its 3,000 sq. ft. stores into 5,500 sq. ft. stores and calling it co-locating. This is being done with particular and specific locations that deliver greater same-store growth in sales as compared to that of the entire fleet of the retailer. This approach is driving the growth of Lululemon’s men’s business too, which is now up by 50–60% on an average without the addition of extra merchandise. The 25,000 sq. ft. store is scheduled for a July opening in Lincoln Park, Chicago and is all set to have food, juice, meditation spaces and yoga studios. 10% of all bricks-and-mortar fleet of Lululemon will likely be referred to as ‘experiential’ by 2023. These were contributing to about 65% of total Lululemon sales, with 26% of total revenue coming from online market.