(Image Source: Business Insider)
Lululemon has exceeded Wall Street expectations in the second quarter of 2020 as its e-commerce sales experienced a 157% spike.
Lululemon CEO Calvin McDonald said the brand has proven “ideal for enabling the work-from-home and versatile lifestyle that has grown exponentially” amidst the pandemic. The company is seen as an essential brand in the fashion industry, especially in activewear.
The company has seen good results in expanding beyond performance wear such as testing new categories like pants. The brand also hopes to have an inclusive inventory by the end of 2021, starting from offering some of its products at up to size 20 by the end of September.
“We are seeing a shift in behavior in terms of working from home, sweating from home, and the increased importance of living an active and healthy lifestyle,” McDonald said on an investors call. “This plays to our strengths and helps us innovate.”
After acquiring high-tech fitness startup Mirror, Lululemon will begin retailing the at-home fitness mirror at 15 stores, with plans for further expansion in 2021.
According to Meghan Frank, Senior Vice President of Financial Planning & Analysis at Lululemon, the company has “increased marketing spend for Mirror to take advantage of current trends” pertaining to the pandemic. The company has also increased the forecast for Mirror sales for the rest of 2020.