{"id":161387,"date":"2025-03-29T17:00:00","date_gmt":"2025-03-29T17:00:00","guid":{"rendered":"https:\/\/www.parisselectbook.com\/2025\/03\/29\/lululemon-in-decline-in-the-usa\/"},"modified":"2025-03-31T12:48:37","modified_gmt":"2025-03-31T12:48:37","slug":"lululemon-in-decline-in-the-usa","status":"publish","type":"post","link":"https:\/\/www.parisselectbook.com\/en\/2025\/03\/29\/lululemon-in-decline-in-the-usa\/","title":{"rendered":"Lululemon in decline in the USA"},"content":{"rendered":"\n<p><strong>Nothing seemed to be able to stop Lululemon, until now. Faced with a less responsive American market, the Canadian brand is seriously reviewing its ambitions for 2024. <\/strong><\/p>\n\n<h2 class=\"wp-block-heading has-text-align-center\">Forecasts below expectations<\/h2>\n\n<p>In its latest financial communication, <strong>Lululemon Athletica<\/strong> surprised analysts: its sales forecasts for the current fiscal year oscillate between <strong>$11.15 and $11.3 billion<\/strong>, a figure below Wall Street expectations.<\/p>\n\n<p>The same applies to the <strong>first quarter<\/strong>, for which projections remain modest. This situation reflects <strong>a marked slowdown in demand in the US market<\/strong>, long considered the Group&#8217;s growth engine. <\/p>\n\n<h2 class=\"wp-block-heading has-text-align-center\">The end of the reign of skin-tight leggings?<\/h2>\n\n<p>Beyond the figures, it&#8217;s a whole positioning that seems to be put to the test. <strong>Lululemon is struggling to adapt to changing trends<\/strong>, with consumers now opting for <strong>looser, more relaxed cuts<\/strong>, a far cry from the brand&#8217;s compressive athleisure DNA.<\/p>\n\n<p>To remedy this situation, CEO <strong>Calvin McDonald<\/strong> is trying to broaden the range of products on offer: <strong>golf, tennis and running<\/strong>apparel&#8230; a diversification that is proving risky, given that the segment is already saturated. CFO <strong>Meghan Frank<\/strong> speaks of &#8220;macroeconomic uncertainties&#8221;, but the tensions go far beyond fluctuations in purchasing power. <\/p>\n\n<h2 class=\"wp-block-heading has-text-align-center\">A more favorable international context<\/h2>\n\n<p>Paradoxically, international results offer a striking contrast. In the <strong>final quarter to February 2<\/strong>, <strong>comparable sales rose by +22%<\/strong> outside America. In comparison, US figures remained&#8230; <strong>flat<\/strong>.  <\/p>\n\n<p>A strong signal: Lululemon&#8217;s growth now seems to depend on <strong>international expansion<\/strong>, while the North American market &#8211; historically its stronghold &#8211; <strong>is slowing or even weakening<\/strong>.<\/p>\n\n<h2 class=\"wp-block-heading has-text-align-center\">A supply chain under pressure<\/h2>\n\n<p>Another worrying factor is <strong>the brand&#8217;s dependence on Asia<\/strong> for production. Between <em>Vietnam, Cambodia and Sri Lanka<\/em>, the brand is bearing the full brunt of <strong>geopolitical upheavals and cost increases linked to the trade war<\/strong> reignited by <em>Donald Trump<\/em>. <\/p>\n\n<h4 class=\"wp-block-heading\">What&#8217;s next?<\/h4>\n\n<p>The plan unveiled in 2021, to <strong>double sales by 2026<\/strong>, seems increasingly ambitious given the current situation. It remains to be seen whether Lululemon will succeed in reconciling its technical DNA with <strong>the shifting expectations of a saturated market<\/strong>. <\/p>\n\n<p>Also read: <a href=\"https:\/\/www.parisselectbook.com\/en\/2025\/03\/21\/chanel-x-grey-mer-silent-shoe-domination\/\">Chanel x Grey Mer: a silent domination of the shoe?<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Nothing seemed to be able to stop Lululemon, until now. Faced with a less responsive American market, the Canadian brand is seriously reviewing its ambitions&#8230;<\/p>\n","protected":false},"author":3,"featured_media":161090,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[2996],"tags":[],"quartier":[],"class_list":["post-161387","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-en"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Lululemon in decline in the USA<\/title>\n<meta name=\"description\" content=\"Nothing seemed to be able to stop Lululemon, until now. 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