lululemon marketing case study - tannerlipson.com
TRANSCRIPT
PART 1: NEW PRODUCT STRATEGY
LULULEMON MARKETING CASE STUDY
Tanner Lipson
The shoe you want to be seen leaving the gym with
LULULEMONTRAINER 1
TABLE OF CONTENTS
TARGET MARKET PRODUCT PRICEConsumer Persona
01
Mastering the “Science of Feel”
02
Communicates High Value, Quality, Customer Satisfaction
03
Access and the customers’ entire purchase journey
PLACE
04
Showcasing the product worldwide
PROMOTION
05
WHO IS LULULEMON?
Lululemon Athletica was founded in 1998 as a yoga wear retailer and over the past 20 years has successfully expanded into the leading athleisure brand in the world. Known for its high-end, high-quality products. Lulu has lead the athleisure revolution among sports apparel brands.
With 400+ stores world wide, Lulu is continuing to expand into training and sportswear with our CEO Calvin McDonald confirming the release of our first shoe line in early 2022.
INTRODUCTION
TARGET MARKET & CONSUMER PERSONA
FASHION CONSCIOUS
MILLENNIALS & GEN-Z
ACTIVE LIFESTYLE
VALUES COMFORT
LULULEMON TRAINER 1
COMFORT
FASHION
FOAM MIDSOLE
KNIT UPPER
CONTINENTAL RUBBER
PRICECOMPETITION
TRAINER 1
$180NIKE
$90+
YEEZY
$200+BALENCIAGA
$995
PRICEHigh Quality - High Value
High Satisfaction
$35 - Landed Cost
$25 - Selling Costs
$12066% Margin
PLACEProvide access and adapt to our
customers’ entire purchase journey
TARGET MARKETLoyal and frequent
customers will find the Trainer 1 at their favorite
location whether it be online or at a pop up
store
ACCESSA solo distribution
channel allows us to operate directly with
our customers through our website and
storefronts
OLYMPIC LAUNCH CAMPAIGN
SOCIAL MEDIA
Simone BilesRyan Lochte
Direct to Consumers
OLYMPIC ACTIVATION
Open and Closing Ceremonies
Onsite Training/YogaOlympic Village
TV ADS
Training Montage
Training Montage
PROMOTION
USOC CONTRACT PROPOSAL
COMPENSATION & TERM⬣ $1M paid U.S. Olympic Committee (USOC) over 6-month term w/ Team USA; surrounding the 2021 Summer Olympics
⬣ $1M paid to Nike to release non-podium footwear exclusivity for 2021 Olympic
⬣ Total Value: $2M over 6 Months
BRAND DELIVERABLES⬣ Brand to outfit all 2021 USA Summer Olympic athletes with 4 pairs of Lululemon Trainer 1
⬣ 4 pairs to each athlete; 4 pairs for family/friends
⬣ 2% of all Trainer 1 sales during term will be donated to charities of choice from S. Biles & R. Lochte
⬣ 15% discount code on any Lululemon product for any USA athlete during contract term
ATHLETE DELIVERABLES⬣ USA Olympic athletes to wear Lululemon Trainer 1 at the following:
⬣ 2021 Opening & closing ceremonies
⬣ Olympic Village
⬣ Media and commercial events
⬣ Leadup to any event
⬣ Simone Biles & Ryan Lochte serve as official brand ambassadors
⬣ 1 commercial shoot, 4 promotional appearance
⬣ 4 social posts per each athlete across all channels
PART 2: ATHLETE SPONSORSHIP
LULULEMON MARKETING CASE STUDY
Tanner Lipson
A landmark partnership in the making
JALEN GREENX
LULULEMON
TABLE OF CONTENTS
Introduction Why You? Why Us?Athlete and Brand Introduction
01
Why Lululemon believes Jalen Green is the perfect partner
02
Why Jalen Green should choose Lululemon
03
Brief overview of the marketing plan
Brand Strategy
04
Contract Details
Partnership Agreement
05
Who is Jalen Green?Standing at at 6’6 at age 19, Jalen Green the consensus #1 prospect in the 2021 NBA draft class. The shooting guard hails from California but is half Phillippino.
Leading the way for the next wave of NBA stars, he was the first top 5 prospect to skip college and to play for the G-League Unite team & averaged 18PPG.
As an accomplished player on the court, Jalen has already won a gold medal for the U-19 USA national team while being the youngest member of the team. He has also shown interest in playing for the Phillippino National Team.
INTRODUCTION
INTRODUCTION
MISSION STATEMENT
“To elevate the world from mediocrity to greatness. Our products will never precede the
experiences that it desires its customer to enjoy”
WHY JALEN GREEN?
TALENT
We believe Jalen is the next NBA superstar. With a NBA comp to Dwayne Wade. Jalen will be an consistent NBA all-star
FASHION
Jalen has a fashion forward attitude and is
not afraid to express himself on and off the
court
REACH
Significant social following already w/
1.2M & 85.2K TW. With his Filipino background,
potential for 100M additional fans
MORALS
Jalen is socially aware and morally
centered. His values mirror Lulu’s
consumer spiritual mindset
Jalen Greens Twitter Header
WHY LULULEMON?
BRAND GROWTH
Lulu has doubled its sales growth every year since 2015. No other
brand has accomplished that. By 2030 we believe that Lulu will be
undisputed leader in sports apparel PARTNER
We can offer a unique partnership that our competitors cannot offer. This is not an endorsement but a
partnership
INNOVATIONLulu is the “science of feel”.
That mantra will be applied to our first line of basketball
shoesRESOURCES
Lululemon has multiple corporate headquarters,
worldwide appeal and recently acquired “Mirror”
for $500M
BRAND STRATEGY
LULULEMON MBA
CREATIVE CONTROL
SOCIAL INITIATIVES
FACE OF THE BRAND
A portion of all shoe sales will go to a charity of Jalen’s choice. Lululemon will also assist and support Jalen in creation of his own foundation.
Jalen will have creative input and control. We want the products to show his personality.
Jalen will have a paid brand rotational internship where he gets to work for multiple areas of the business to set himself up for business leadership after playing retirement.
Jalen will be the first endorser of our footwear categoryIncluding:
- A Player Edition signature basketball & training shoe
- Line of training apparel fit for the modern NBA athlete
- Jalen will join a list of training influencers endorsing “Mirror
JALEN GREEN CONTRACT PROPOSAL
COMPENSATION & TERM⬣ $500K per year over 5 year term | Standard bonus structure based on on court achievements ex. All-star, MVP, NBA Champion, etc.
⬣ 5 year initial term with 5 year automatic extension if on and off-court ROI metrics are met | LuluLemon also has right of first refusal
⬣ Extension will see a increase in base compensation by a minimum of $500K
⬣ Stock option package (to be negotiated at a later date with CFO)
⬣ Royalty package for every “Mirror” product sold through your exclusive code (to be negotiated at a later date with CFO)
BRAND DELIVERABLES⬣ Signature “Player Edition” shoe ready by 2021 NBA Season
⬣ Signature training shoe ready by 2022
⬣ Development of basketball training clothing line
⬣ % of all “PE” sales donated to charity of athletes choice
⬣ MBA designed business internship for the athlete and select family members
⬣ $15K per month in product allotment for athlete through personal player rep
ATHLETE DELIVERABLES⬣ Athlete to endorse brand related in all athletic activities ex. NBA games, weight
training
⬣ Athlete to post across all social platforms 3x a month promoting brand
⬣ Athlete to participate in 2 commercial appearances a year
⬣ Athlete to participate in 5 promotional appearances a year
⬣ Athlete to do one asian tour per season promoting the brand internationally
