Lululemon, the Vancouver-based athleticwear company, has unveiled an ambitious plan to double its revenue by 2026, aiming for $12.5 billion in total sales. The new five-year target strategy, titled ‘Power of Three ×2’, outlines Lululemon’s approach to achieve this goal through various growth pillars.

Product innovation is a key element of the strategy, and Lululemon has already surpassed its 2023 men’s growth target two years ahead of schedule. The company now plans to double its men’s revenues by 2026 while expanding its women’s and accessories businesses. Lululemon intends to drive innovation across categories, with a particular focus on its core performance products, including running, training, yoga, and on-the-go apparel. Additionally, the company sees potential in other sports categories such as tennis, golf, hiking, and its recently launched footwear line.

Enhancing the guest experience is another essential aspect of Lululemon’s growth strategy. The company aims to double its digital revenues by 2026, building on the significant growth of its online sales between 2018 and 2021. To achieve this, Lululemon plans to create experiences that cultivate stronger connections with its guests, both online and offline. It will concentrate on fostering its community and inspiring customers through innovation. A recent example of this is the expansion of Lululemon Like New, a trade-in and resale program that promotes sustainability.

In terms of market expansion, Lululemon is on track to quadruple its international revenue relative to 2018 by 2022. With its new strategy, the company aims to quadruple its international revenues relative to 2021 by 2026. To meet these objectives, Lululemon plans to engage more with customers in China, expand in its core markets, and enter new countries in the Asia-Pacific region and Europe. It is even planning to open its first stores in Spain and Italy as part of this expansion.

Calvin McDonald, the CEO of Lululemon, expresses confidence in the company’s ability to achieve its growth targets. He believes that Lululemon’s strong product engine, its ability to build enduring relationships with customers, and the opportunities in both existing and new markets will drive its future success. McDonald stated, “We remain early in our growth journey, [and] I am excited about taking our growth strategies to the next level to serve more and more guests around the world.”

In summary, Lululemon’s new five-year target strategy illustrates its commitment to continued growth and expansion. By focusing on product innovation, enhancing the guest experience, and entering new markets, the company aims to double its revenue by 2026. Through these strategic initiatives, Lululemon is poised to strengthen its position as a leading player in the athleticwear industry.

Useful links:
1. Lululemon Official Website
2. Lululemon’s Growth Strategy Article