Lululemon eyes massive growth in China
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Lululemon is on track to make China its second-largest market by 2026 through an extensive store expansion in the country, according to China Daily.
The athleisure apparel brand said it aims to increase its store number in the country – currently 71 – to 220 over the next five years. These stores include flagship stores and community-based stores.
“Our new goal is to quadruple our international business again by 2026,” Calvin McDonald, CEO of Lululemon, told China Daily in an exclusive interview. “The Chinese mainland will be a big part of that opportunity as we continue to invest in the market, in stores, in digital and build a community.”
The retailer also forecasts its digital expansion will double the company’s revenue in five years after it tripled between 2018 and 2021.
Questions & Answers
Q.What is Lululemon's overall international growth target for the coming years?
What is Lululemon's overall international growth target for the coming years?
Lululemon's CEO, Calvin McDonald, stated that their new goal is to quadruple their international business again by 2026. This expansion strategy focuses significantly on the Chinese mainland market.
Q.How many new stores does Lululemon plan to open in China, and what types will they be?
How many new stores does Lululemon plan to open in China, and what types will they be?
Lululemon aims to increase its store count from 71 to 220 in China over the next five years, opening 149 new locations. These new stores will include both flagship and community-based formats.
Q.What has been Lululemon's recent growth rate in mainland China?
What has been Lululemon's recent growth rate in mainland China?
Lululemon has achieved a cumulative annual growth rate of 60 per cent in Mainland China during the past three years. This strong performance underpins its significant expansion plans in the region.
Q.How does Lululemon expect its digital expansion to contribute to revenue growth?
How does Lululemon expect its digital expansion to contribute to revenue growth?
Lululemon forecasts that its digital expansion will double the company's revenue in the next five years. This follows a period where its digital revenue tripled between 2018 and 2021.
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