This week, everyone is talking about lululemon’s new elevated price points, namely for their pants. It’s causing quite a lot of drama, and many people are feeling fed up with lulu entirely as a result. In my mind, there are two things contributing to the price change drama: how lululemon went about raising their pants prices and what prices lululemon is now charging.
This might take a while, so strap yourselves in.
For a little bit of background, this whole saga started several months ago when rolldown wunder unders and printed wunder unders began to creep up in price. For quite some time, the price for all wunder under crops was $72, and the price for pants was $82. With the introduction of the rolldown style that many people instantly loved, lululemon started tacking on an extra $10 for the feature. On top of that, they also started adding $10 to the price for any patterned pant. Those upcharges would stack on top of each other, so if you wanted a patterned rolldown pair, the price would shoot up to $92. These print upcharges bled over into other pants and crops styles, such as inspire crops and seasonal items.
At the time that this happened, people were pretty indignant and thought it was unfair to charge a $20 difference for items that are very similar. Many people insisted that bottoms pricing should be consistent, as it had always been before.
As I described in this week’s upload post, lululemon just debuted their new pants line. This was a pretty big overhaul, including one new fabric, several new styles, a new categorization and marketing strategy, and of course new prices. Pants pricing is now consistent within styles; there is no longer an upcharge for prints or rise. The catch is that all wunder under crops are now $88, and pants are $98, both of which are increases around 20%. The sticker shock doesn’t stop there: new styles range up to $148.
Side note: under this pricing model, printed rolldown WUs actually go down by $4. Of course lulu’s bottom line is still coming out ahead since most other styles are up by $6-$16, but it’s worth pointing out. A couple of other styles, such as the pace rival crops and beyond boundaries pants, were also slightly reduced in price.
My knee-jerk reaction was to say that lululemon is being short-sighted by making strategic decisions that clearly piss off many of their long-time fans. The price hikes seem egregious and arbitrary, which has made many customers feel frustrated, ripped off, and even betrayed. No one’s exactly feeling endeared to the brand right now. Granted, inflation and rising costs are a reality of businesses of all stripes, but surely lulu could’ve found a way to strategize price increases and keep the company healthy without enraging fans.
That said, lululemon is no stranger to bad press. They have been caught up in so many controversies over the years that it’s made me wonder if they intentionally seek controversy, perhaps driven by the old adage that “all publicity is good publicity”. Lulu has always striven to be on the leading edge, and they’ve shown they’re not too worried about pissing people off in the name of being avant garde. Perhaps they realized people would be mad but simply don’t care about that collateral.
So that begs the question: in the grand scheme of things, is it really going to hurt them? Are people really going to stop buying altogether?
It’s worth noting that lulu’s prices aren’t actually that outlandish compared to the rest of the luxury activewear market. A quick gander in the pants section of Carbon38 will quickly demonstrate that lulu’s pricing is not an anomaly. Even extra-large brands have cranked up their prices on some items, like these printed but otherwise largely basic Nike tights that sport a $150 price tag.
Lululemon was a major pioneer in this luxury activewear market. They almost single-handedly made paying hefty prices for yoga leggings seem normal and mainstream. They convinced an entire market of women that paying hand over fist for workout clothing is worth it. And now new brands have entered the market with something new to offer customers at ever-increasing price points. Ultracor’s tights hover around either side of $200. Michi’s leggings range from $125-$195. This may sound crazy to some of you, but they’re selling! It’s working! These $420 Lucas Hugh leggings sold out on Carbon38 the first time around.
In the realm of upscale workout wear, why would lulu want to be left behind? This is the house that they built. Lulu has in many ways become the BMW to other brands’ Ferrari, and while they’re still solidly in the luxury category, I can’t imagine they like being relegated to the lower end. If they want to continue being thought of as a high-end brand and as an industry leader, their prices need to reflect that, regardless of whether some of their fans see it as worth it or not.
On a similar note, I’ve seen several people lamenting that lulu is now not affordable for “regular people”. But from lulu’s perspective, I really don’t think they want to be a brand for the average Jane anyway. They want to be exclusive and aspirational. They want to be just a little bit out of reach, because that’s what makes a status symbol what it is (and let’s be honest: many people definitely see lulu as a status symbol, and I’m pretty sure lulu likes it that way).
While this may sound snooty and greedy, I don’t think it’s a stretch to say that kind of exclusivity is what lulu wants. I’m not saying I condone their business choices, but I am saying let’s call a spade a spade. From their perspective, then, keeping pace with the luxury activewear market is logical from a business perspective, even if it stirs the outrage pot with a segment of their customer base. They win some, they lose some.
Personally, I have to say that I’ve gotten used to lulu regularly pulling stunts that have left me feeling frustrated. Although I still get excited about some new lulu, the brand itself hasn’t exactly had my undying affection or exclusively loyalty for a while now. So while I’m definitely rolling my eyes about the whole thing, there are a couple other reasons why I’m not flying the “omg, boycott lulu” flag.
First, higher prices incentivize me to be more selective with my purchases. As someone with a closet already full of workout clothes, that’s not a bad thing. Now that prices are higher, the standard to which I hold my gear will have to be higher, too. If we’re talking about $128 bucks on the line, I’ll definitely expect a level of performance and general satisfaction much higher than a pair that only cost me $72. If that means returning more and buying less, that is a-ok with me. It also means what I buy will (most likely) only be items I truly love and am happy with. And, I’ll be less hesitant about using their “we stand by our gear” product guarantee for things that don’t work out, since at an elevated price point, I definitely feel that I’m paying for that guarantee.
And the truth is, I’ve already paid price-hike equivalent prices in certain circumstances. I’ve spent well over retail on speed shorts on more than one occasion. You better believe people would go insane if lulu started charging $80 for speed shorts, and yet that’s a price I’ve happily paid for used shorts. They were the shorts I wanted, and they were worth it to me because I see those particular shorts as having no substitute. I’m not the only one, either. The lululemon aftermarket has repeatedly shown that when people see value in a particular item, fans will crack open their wallets and pay what it takes. For me, lulu isn’t the only brand, either. I’ll pay high prices for products from any brand that I really love and feel is worth it.
This isn’t to diminish the quality issue and pretend like everything lulu makes is wonderful. I will be the first to tell you that a lot of what they sell is not worth it. But in the bigger picture, it seems that their hit-or-miss quality standard is good enough that people are still buying. Sadly, for their shareholders and their bottom line, “good enough” is what matters.
And it’s not all bad. There are still things lulu makes that I truly have found no substitute for. While I don’t exactly worship the ground lulu walks on (to say the least), as long as they continue to deliver the occasional product that checks all my boxes for fit, quality, style, and function, I will continue to buy. I love a good deal as much as the next girl, but when it comes to the things I truly love, and the things that are truly without substitute, I will look for a way to make it happen. Does this mean I can afford to place big orders every week on upload? No, of course not, but I never have anyway.
In the end, is it irritating that lulu has pulled this price hike stunt? Of course it is. Fans have every right to feel a bit upset about that. But for me personally, when I take a step back, the effect it has on my purchasing choices are actually not that major. The prices may adjust the number of things I purchase by a little bit, but fundamentally, they don’t change my attitude. I buy what’s worth it and leave what’s not. It’s as simple as that.
Feel free to chime in if you have thoughts on the new prices or on anything I’ve written here. As always, these are just my opinions and you’re free to think I’m full of crap. :)
I totally agree with everything you said! This just makes me really think about what I am purchasing and it has to be something I really love to keep it!
Yup definitely! And at least we always have older lulu from the resale market to fall back on. :)
To be honest I hadn’t noticed a lot of the price hikes – it had been a while since I’d ordered full price pants/crop so in this weeks upload I just ordered what I liked. I too have paid over retail for items I really wanted (and sold some that I wasn’t giving enough love to offset the cost). I agree that I hold something I pay more for in a higher regard and expect better performance and quality from it. *Sigh* I don’t think I’ll ever boycott my beloved Lulu, but I’m with you – I’ll be way more choosy on the items I purchase.
Yeah, I doubt I’ll ever really boycott either, unless they start drowning puppies or something. There are aspects to what they sell that I’m just not willing to give up yet, even if it costs me $$$.
“Now that prices are higher, the standard to which I hold my gear will have to be higher, too. If we’re talking about $128 bucks on the line, I’ll definitely expect a level of performance and general satisfaction much higher than a pair that only cost me $72. If that means returning more and buying less, that is a-ok with me. It also means what I buy will (most likely) only be items I truly love and am happy with. And, I’ll be less hesitant about using their “we stand by our gear” product guarantee for things that don’t work out, since at an elevated price point, I definitely feel that I’m paying for that guarantee.”
This. I returned three items in the last week; a Superb LS tee that was unravelling a bit in the front and two All Sport Bras that kept popping open. If you want to charge me $52 for a bra (and I expect that to climb) and I’m not delighted with it, it’s going back. I would not have done that in the past, but I feel justified because I’ve paid for the guarantee. I won’t abuse it, but I’ll use it. I do the same thing with Sephora and makeup. If I buy an item and it doesn’t work for me, I no longer feel bad about returning it. That’s part of why I pay for premium brands.
I don’t mind the new prices on new items; I think my own limit is about $100 for leggings and/or running tights so I likely won’t buy the most costly ones. No loss, since I have close to a dozen pair of each and am just cherry picking at this point anyway. I don’t care for the price bump for existing stock (by using stickers to increase prices no less which seems even more likely to irritate people). I’ve done a lot of product marketing and pricing work in my career and this isn’t how I’d have gone about it, but it’s their call. Personally, I’d have just changed prices on a go-forward basis and left existing stock ‘on sale’ at the original price. I suspect that may have caused more of it to move without quite the same resentment. Sort of what’s happening now with the tops – “Hey, I better stock up on my favourites since prices are going up!”
That prices are increasing isn’t surprising. Lulu is based in Canada and the loonie has dropped significantly against the greenback. This was inevitable. What I expected to see (and may still happen) is the introduction of higher pricing in Canada. I bought a bit faster than I might have this spring and summer specifically to avoid what I assumed would be a solid 20% increase.
I’m not boycotting, but there’s a zero percent chance that I’d buy anything with a sticker pricing increase on principle. For future products, I’ll buy when I think the value that will be delivered warrants it.
Totally agree that it’s very tacky for them to price over existing stock. That’s just one of several ways I feel like they went about this in the most infuriating way possible, but as I mentioned in the post, I’m not sure to what extent they are that naive versus just callous about it.
As for the CAD, I’ve wondered about this but I don’t know enough about the topic to speak with anything remotely resembling authority. I don’t know how lulu’s revenue breaks down by country, but if we assume the US probably brings in more revenue than Can (seems like a reasonable assumption, given the size of the two countries), then every US dollar they get goes further to pay for wages and overhead at HQ since that is all in CAD. I would assume that their profit margins in Can stores/site orders are comparatively crappy, but I’m not sure the weak CAD is all bad news for them. Again, just conjecture. :)
I will never buy $150 leggings or running tights so they can price whatever new stuff at whatever price point they want. My main beef is the re-pricing of old stock both online and in the stores. To me that sounds more like greed than anything else. Just sell through the old stock in stores at the listed price and reprice the new releases with the price increase. That’s what got me furious. What was in my cart earlier that morning all of the sudden went up $16 just because of the new upload. It was deleted out of my cart. And to say price increases were because of “our values and design principle” is just annoying. The deflection that took place on their FB page and the non-answers to the HeyLululemon thread are just as annoying. If you are going to raise prices then own it or apologize and change to appease your loyal customers base. There is no middle ground on something like this (in my opinion). Instead of pushing people to watch useless videos about feelings – own up to the price increase with a “we want to put ourselves in the higher end athleisure market with new fabrics” or some such. Don’t give me “values” as a reason for a price increase. That’s just juvenile.
Since my closet is a mix of other brands besides Lulu this won’t really change my Lulu buying habits a whole lot – i’m already picky and usually wait for WMTM and Warehouse sales and rarely have paid full price for anything anyway.
I agree the way they’ve handled it has been absolutely asinine. I too would MUCH rather them own up to it and stop spouting absolute drivel. But I’ve pretty much come to expect that kind of BS from them, so it doesn’t get me as riled up as it used to. Just lulu being lulu again…
Great post, AA, and the comments have been so good, too. I also mostly just have a problem with the price hike on existing merchandise. My local stores were posting on social media saying they were closing early so they could bring us something super exciting on the 1st – and it appears the reason for this was so they could have ample time to put the higher priced stickers on the tags of pants that have been sitting in the store all summer. I went into the store on the 1st and nothing had changed, with the exception of the new prices stuck over the top of the old, with a few new styles of pants sprinkled in between the old. It really turned me off. Like many have said – I wish they would have just owned up to the new prices and kept existing stock at the ‘old’ price, and put the increased prices on new items. But then again, that would have probably ‘confused’ us even more than we apparently already were.
My other issue is that although the prices have increased, the quality has not improved. I have tried on the same black WUP/Cs in the store that just got marked up, and they are sheer (I periodically check when I go in to see if I can find a pair from a good patch – no dice as of yet). I’ve sent back or not purchased several pants this year due to sheerness. I could probably eventually stomach the price increase for a pair that I really love, as others have said, if the quality was there. But it’s just not there yet. I hope this changes.
I have been slowly decreasing my spending at lulu to just the pieces I truly love and are unique enough to justify the purchase (CRBs in fun colors, occasional Energy bra and Speeds/Run Times), and will be focusing my attention mainly on WMTM, MDs in the store, and warehouse sales, as well. I have also been exploring other brands, because lately wearing all lulu makes me feel really uncomfortable, and there are a lot of other great brands out there to try (thanks AA for drawing our attention to some of them on this awesome blog). At the end of the day, lulu isn’t going to reverse what they’ve done, so all we can do as consumers is speak with our wallets and refrain from buying items with quality issues at higher prices just because it’s lulu.
Thanks Mel, I agree the comments have been interesting and really nicely balanced. It’d be great to see the quality creep up a little bit–the nulu align pants and the positive things I’ve heard about the tight stuff tights seem to be a step in a positive direction. Time will tell!
Great post and thanks.
I used to be one of those LLL fanatics…the brand used to be worth it. Prior to 2011, it just ROCKED. Everything about it. In the recent years as the quality has declined significantly and the designs got weird, I’ve been buying less and less LLL and more and more other brands. I do spend more sometimes on other brands, but those brands are often made in the U.S., come from a small business that I want to support, or have super innovative design. I’ve also been buying Nike and some Athleta, which for the most part is less expensive but still functional and nice.
Lulu still makes some things that fit me better than their competition- Run Times shorts are one, and when a good batch of Luxtreme comes up, I’m all over their run tights with side pockets. I also like the Free to Be bras. Outside of those staples, I’m not a voracious Lulu consumer any more. I don’t mind the price hikes for all the reasons you mentioned, but I’m also buying less. Lulu has lost their grip on me- it’s no longer special design and top notch quality, and I feel like the world is oversaturated with Lulu. I often like wearing something else just to be different.
I also don’t really get the outrage. The great thing about being in 2015 is there are LOTS of great activewear choices now, and if you don’t want to spend $148 for run tights, go spend your money somewhere else. Save your energy for something productive! ;)
Thanks Allie! I was late to get on the lulu bus so I missed the real heyday of quality, so in a sense I have no idea what I’m missing. Admittedly, that might skew how I perceive quality. I totally echo the sentiment that I will spend more on other brands because of aspects of their brand that I really support. It seems as time goes by, I’m less and less attached to lulu and more and more interested in other brands. Now if only other brands had the same resale value as lulu…
The resale value of lulu has pretty much been the reason why it’s always hard for me to venture out to other brands.
Totally agree. I’ve managed to resell a few things, but usually for less than half of what I paid. It’s a much smaller risk with lulu and that helps SO MUCH.
I totally agree that their quality has just gone downhill (being a buyer since 2008!). But most of the world (esp Asia) are pretty new to Lulu so this ‘price hike’ is seen as the new norm.. mind you that in HK and Singapore, the prices are at least 30% higher than the retail prices in US and yet ppl love them!
I am thankful I was never a big fan of their pants as mention in my previous posts, or rather never got on that band wagon. But I must admit I love their bras (esp their core production lines ie 50 rep, energy bras) and other than LJ I have not had another bra come close.
and yay for other great activewear choices too :)
btw Thanks AA and every in this group for the great post and lively discussions. Love the balanced perspective and the thoughtful arguments :)
Very well said. Thank you. They frustrate me as a company and I sometimes feel embarrassed for being a fan. That being said, when they get it right they REALLY get it right so I stick around and am more selective. I agree with them being more elitist, as well. I’m from a relatively small town and get both excited and upset seeing other women wearing lulu. Id like it to remain scarce.
Oh yes, I totally agree that I am sometimes embarrassed that I am often head to toe in lulu given how frequently I don’t support their actions. Some days I am frustrated with myself for continuing to support them (whether with my money directly or with their logo on my body), but at the end of the day, the clothes just work for me in ways others often don’t.
When it comes to the price of merchandise, I believe there is only one truth – it’s worth what someone will pay for it. Maybe it’s not worth $128 to me, but it is to somebody else. And that’s fine. I’ve always thought the reputation lulu had for ridiculous pricing was undeserved, especially compared to other premium brands like Nike (it was a bit of a shock to me when I first visited their online store to window-shop some tights!)
I’m a lot like you when I consider lulu. I don’t worship them, but I do check in occasionally and, very rarely, buy their stuff. I’ve not noticed any price hikes on tights I actually want yet, but if that does happen I will be even less likely to purchase any – which, considering how often lulu has struck out with me on prints, colors, or bad sizing, means purchases from me will be rare indeed. All told, for me lulu has become just another luxury brand that I mostly look to for very specific things, and I’m not building a whole lulu wardrobe anytime soon.
“When it comes to the price of merchandise, I believe there is only one truth – it’s worth what someone will pay for it. Maybe it’s not worth $128 to me, but it is to somebody else.” Damn you nailed it! I think this is a really crucial point. At the end of the day, it doesn’t really matter what *we* think, it matters what the collective market thinks. Also, although lulu used to be close to my one and only, but I’m in the same boat that lulu is now very close to being equivalent to other brands in my eyes. There are really two things that still keep them in a unique and advantageous position: 1) their resale value, and 2) the frequency and volume of new products, which sort of necessarily dictates that I spend more time thinking about them in order to keep up.
Great post! I agree with your assessment and am in the same boat of being willing to pay for the items I think are worth it, that I haven’t been able to (or don’t have the time/energy/resources to) find a decent replacement from another brand. I also have had great experiences with quality and durability, which makes high prices worth it. But, like you, with an already full wardrobe, I need to be more selective with what I buy. So if I really need something (which happens less and less these days) and it’s a higher price, I’ll likely buy it. Otherwise, I won’t unless I can get it for a good price on WMTM, which I’ve been doing more of this year.
Thanks Jenn! You’re right that it’s *really* time consuming to try other brands, but at least this blog justifies it for me, haha. And I’m glad that lulu being less exciting means more money to funnel into trying those other brands. :) I’ve also had largely good experiences with quality and durability–I’ve taken back a couple things that I thought were really bad, but mostly I’m picky enough on the front end that it’s worked out ok for me. And if I’m being quite honest, the quality of other brands isn’t necessarily leaps and bounds beyond lulu in many (most?) cases, so the bar of quality at lulu isn’t necessarily an exception any more than their prices are.
I think the price hikes are in line with what other luxury brands are charging for similar gear, so it doesn’t bother me that much. I’ve been wearing Lulu since I was a teenager and while I’m far from ‘wealthy’, $10-20 here or there isn’t going to dissuade me from purchasing something if I really want it and feel I’ll get good use out of it. $20 is basically 1x parking in a downtown lot or cab fare on a Saturday night – it’s not outlandish. As well, as a Canadian, I deeply appreciate Lulu’s policy to keep prices the same in both Canada and the US, despite our sinking dollar. I’m hard pressed to think of any other company (even Canadian ones) that have done the same. Thank you for writing this – it’s nice to see people take a calm and rational approach to price hikes.
Yeah totally, the actual difference in price isn’t that much in the grand scheme of things. Most people who are in the lulu market aren’t living on such a shoestring that they don’t have $20 or even $50 to spare. And although I’m American and it doesn’t really affect me, I can definitely respect lulu’s decision to stand by the uniform CAD/USD pricing. I’m sure that makes lulu more appealing vs the abundance of new brands available in the US.
I don’t like the price increases but am not going to waste my energy on it. However, I think it’s odd that people might be willing to pay higher prices for new stuff meanwhile I’ve noticed that things are selling for less on eBay then they did a year ago.
I was injured in January and unfortunately gained some weight during PT and seem to be unable to shed it so am now selling my older Lulu and had hoped to easily replace it with some things I could try on in store, but seems that there is a widening gap between the new prices and the resale market for used Lulu (most of mine is pre-2011 and in great shape). Any opinions/observations/thoughts on this? Thanks!
Definitely agree it’s a waste of energy to get worked up over the prices. It is what it is. As for the resale market, overall it’s definitely slipped a bit. It’s not as fast-paced or voracious as it used to be. I think people are being more choosy with what they buy secondhand, as well as expecting better deals. I think this is in part because lulu has scaled back on their scarcity model, so the relative abundance I think has eased demand on the resale side of things. Kind of crappy for those of us trying to offload lulu, but I’m counting my blessings since lulu’s resale value still blows other brands out of the water! I’ll be curious to see whether these price hikes (especially if they’re followed by more changes in other categories) affect the resale market too.
Also thanks for the feedback on the blog! I’ll try to keep seams in mind for future posts. :)
I’m kind of at a loss for words… I don’t see wearing lulu as a status symbol ? it’s (for the most part) work out clothes!
I was a little happy to see the roll down wuc lowered a little… I wasn’t willing to pay $100 for them but I’m willing to pay $92 with tax included, sounds stupid I know. I did not know they repriced the reg wuc at $88 which sucks but I haven’t purchased any in a long time due to the sheerness the majority of them are now.
Not stupid! Breaking $100 is really tough to stomach. I’m in the same boat–I haven’t purchased any WUs in *ages*. The prints are all sheer and the solids just aren’t exciting enough to make me part with my money, even at the old prices. If they release some nice textures this season I might break my streak though, I’m a real sucker for textures.
I agree with a few of the comments here about the repricing of existing stock. It seems absurd that the $72 WUC I bought two weeks ago are now $88. However, the new items being priced so high is ridiculous, but it simply comes down to me choosing not to pay those prices, so it’s not a big deal. I do have a limit to how much I will pay for any leggings, and lulu just surpassed it.
I remember when Nike used to be reasonably priced. The prices still are reasonable for some items, but other items, like the $150 tights you mentioned, are just crazy. Because of the price hikes at Nike, and the mediocre quality and lame designs (IMO), I will not pay those inflated prices. I know I will start feeling the same way about Lulu, and will only spend my money if the design/pattern really appeals to me. Otherwise, I will do without, or wait until I can find it cheaper somewhere else.
Yup, and it’s nice that since lulu no longer has any sort of monopoly, it’s easier to find alternatives at more reasonable prices, particularly for more basic styles like WUs.
i bought the ziggy snake print hi-rise WUPs last week (and btw, i was kind of shocked that i actually loved them since it was an impulse purchase)… anyways, i was one of the people who bought something that actually went down in price (i paid 102 and now they are 98). it’s only $4 but it’s the principle of it! i messages GEC to ask for a price adjustment. i very nicely said that this would be easiest since otherwise i will just reorder them and return my other pair and they will have to pay more than $4 shipping them to me again. the educator was nice but gave me the rehearsed “we’re not doing price adjustments for the pants increase” line. which is fine i guess – since I’m not far from a store and i did just go ahead and order them again. but really?! interestingly, she also claimed that she had not heard much feedback at all about the price increases. i guess she doesn’t read FB or heylululemon. this was not a big deal to me in the end, but i do wonder what it is about the customer service at this company that is so flippin irritating?! their whole blissed out, rehearsed style is so utterly gag-worthy and i can’t even pinpoint what exactly they are doing that gets to me so much?! i feel like it’s the same issue with this whole pricing scandal. as AA pointed out, i really don’t think it’s the actual prices that are so infuriating, it’s just the WAY they did it (and the WAY they do almost all customer service) that just really leads to these knee jerk pissed off reactions in people (including me). anyways, thanks for a great post! very thought provoking addition to me blog reading today. lol.
Ugh, that’s so aggravating that they wouldn’t price adjust you. I agree that there’s something about the way they do their CS that just seems condescending and/or insincere…or something. Gag-worthy indeed.
Many of us are past our good ol’ days of flippantly buying Lulu without a thought, I remember buying something twice a week. As the years go on- quality, price range, a closet crammed with lulu, nowadays I only buy full price product I love and feel so damn good in that it has me wanting to give the cashier a blank check without checking the tag. The higher prices won’t change a lot of people’s habits.
Fair point! I started buying lulu pretty late, so I haven’t seen the *full* evolution of both lululemon’s brand and their fans’ buying habits, at least not firsthand. From what I’ve seen on the facebook boards I’m a part of, there still seems to be a pretty significant contingent that buy lulu pretty flippantly, but it’s not hard to imagine that, overall, that attitude is not as prevalent as it used to be.
Great post- and I’m totally in agreement with you.
I don’t care about the price hike so much as I do about whether it’s warranted.
You hit the nail on the head when you mentioned other high end athletic wear.
I mentioned earlier about not thinking twice to drop $200 on proper tech wear, because it does what it says it will do, but even if it’s just fashionable athletic wear, as long as it’s made well, there are no problems.
Stella McCartney’s prices don’t bother me because everything is well made- I’ve never purchased anything sub-par from the line.
You mentioned Lucas Hugh- his tights are insane, without a seam or stich out of place; they’re beautiful.
And the same goes for anything- shoes and clothing alike; we don’t mind paying for quality.
I remember going into my favorite cashmere store when I saw they were having a 30% off sale- I was stunned.
Of course I ran in, hoping to scoop up some things, but the minute I picked up the first sweater, I understood why- it was an entire ply thinner than what they normally sell.
And so, the price warranted the quality.
The problem with Lulu is, although the quality has dropped, their prices haven’t, and it’s just bad business practice- they’ve compromised their quality, but not their bottom line.
Although I think I’m the only woman alive who has never experienced a problem with sheerness, the decline in workmanship is apparent in other ways: seams, fabric ply, etc.
It just boils down to one thing for me: the Lulu we see now isn’t the Lulu of old and that’s okay.
I have my staples ( like the Scuba which is being discontinued?) I can count on and am still happy with.
And so I’ll continue to pay for those and go elsewhere for others- there’s quite a few brands with super rad stuff, so no worries there.
Your comment is not helping my lust after those Lucas Hugh nordica leggings! Gah! I think I’ve lost my damn mind for even *considering* paying that much for tights. This blog provides me with justification some truly insane behavior… :)
At any rate, I agree that it’s frustrating that the quality and price seem to operate independently of one another. Lulu IS a publicly traded company, though, and if the pants are still selling, regardless of spotty quality, I imagine it would be very difficult to justify to a board of directors why they should scale back and cut into your profit margins for the sake of rock-solid quality. You know? If people are still buying, there’s no way stakeholders are going to be down for them making *less* money just for the sake of principle. Money’s what makes the world go ’round I suppose.
Love this post and love the discussion going on here! (Haha I’m in a very violent argument about this over on FB so it’s good to see some sanity).
I agree with most of you. Lululemon is definitely a luxury brand and it seems they want to keep it that way. If they think that it will increase profits, then by all means they can go ahead. I do agree that the hefty increases for existing items is a bit shady though. Charging like $16 more for the exact same thing? Ugh. I understand why people would be outraged.
I’m just a student working part time. I always have been selective with what I buy and I will continue that. I love the some of the designs that Lulu comes up with and some of their items are very good quality. I don’t really need more than one or two items occasionally anyway. Each item lasts (well hopefully) for ages. I do think that the increase will alienate some customers though, but I think many will be happy to pay the new price or at least continue to buy Lululemon selectively.
Thanks Donna! There’ve been lots of great comments indeed. :)
Besides alienating some customers, I wonder to what extent they’ll actually *gain* customers. As much as we’d like to deny it, the price tag on an item definitely affects our perception of its value/niceness, so I’m wondering if there will be a segment of shoppers (particularly those new to the brand or who don’t follow it as closely) who will actually respond positively to the change.
I think you should purchase those LH Nordic leggings for the sake of review ;) you can always return them! Who knows, maybe after trying them, you may not actually like em!
OMG stop! I am already this – close to getting them. I’ve lost my mind!!!! I was hoping there would be a Labor Day promo this weekend I could use on them but alas. I’m a little scared to buy because I’m afraid I WILL like them, and then I’ll be the insane chick who paid $400 for leggings…… D:
LOL I’m just incredibly curious what a $400 pair of leggings is like. I mean… I know the difference between a $10,000 wedding gown versus a $1,000 one. And there IS a difference!!! Perhaps it’s $400 just cause of the name? You’re the best to decipher things like that ;) Anyways, if you do order them at all… I will help talk you out of it. Cause no one should pay that much for a pair that aren’t any different. And if they are different… What’s the difference? And yes, I’ll still talk you out of it because you’ve survived this long without them. You really don’t need a pair worth that much–unless they have some kind of insane superwoman powers in them!
Those are my thoughts exactly: what exactly *is* the difference, if any? And if there is a difference, how much of a difference does there have to be to warrant the price?
And that is why you must experiment… ;)
Completely agree on everything!! They also seem to be gearing more towards the technical athlete now than the average person, which explains some of the new features and focus.
I remember multiple discussions on boards about the ‘performance guarantee’ policy and how abuse of it would affect how much the rest of us had to pay at lulu – do you think that is part of this new repricing? One of the educators in my store got flustered that someone in front of me wanted to damage out $800 worth of items and asked her reasoning for each item then the lady was laughing about it outside the store after I checked out that she got them to give her a huge gift card for things she didn’t want. I can imagine that the amount of leniency on the damaging policy affects their bottom line quite a bit.
I’ve often wondered how much the guarantee/damage out policy has affected their bottom line. The story you told is absolutely appalling, and I’ve definitely heard stories (on a much smaller scale) of people abusing the system. But, I would imagine that the great majority of people are honest, and so that makes me wonder if that tiny fraction really impacts a company as large-scale as theirs. And honestly, I’m glad to see they’ve embraced the guarantee instead of shut it down. When people are spending that much on products, many expect that kind of guarantee.
I am not a lulu fan any more anyway. There are so many good brands out there nowadays. Price hike is ok but first give me good materials, not some piling itchy pants.
Yeah, the prices would definitely be worth it if the fabric quality matched!
Agree–excellent post as always and many great comments.
Lulu is expensive at baseline. $72 is still a lot to pay for leggings, but I’ve happily paid and built my collection because for years the quality, performance, and *feel* (dare I say) were unparalleled. There are now many great brands, but there are still some areas were lulu just nails it. I’m happy to pay for those special pieces, but I will be just as choosy at $88 as I was at $72. The price increases were indeed poorly handled, as per lulu’s MO. It doesn’t upset me; the serial flubs are actually quite comical.
I do have a totally separate annoyance with lulu that I’ve been wanting to gripe about for sometime, so I figure I’ll do it today, on a day when everyone is already annoyed: It bugs me that the rest of the world gets new product before North America. I do not have a business background in any way, but the logical part of me figures it has something to do with manufacturing and shipping times (port closures aside). I suppose that makes sense. However, the illogical part of me– that crazy part of me that checks my phone at 2:45pm every Tuesday and gets too excited about ordering a *really special* CRB– well, that part of me feels weirdly slighted that lulu’s country of origin and its equally early-to-the-party neighbor get the new stuff last. Or not at all. (I will never forgive lulu for the space dye blue tropics WUC). Anyway, I then feel annoyed at myself for spending emotional energy on a clothing company. But there you go. Lulu is pure evil genius sometimes.
I, too, have often found myself amused by their antics. It’s kind of like watching your drunk uncle embarrass himself at a family holiday party. Or something. :)
Also, I agree it’s been frustrating that North America has been getting the shaft relative to newer overseas markets. I know that lulu has different teams who handle the products each region gets as well as the timing with which it happens, but that doesn’t really make it less aggravating, on principle. Like you said, it’s totally wasted emotional energy but it’s hard to stop that train once it’s left the station. :)
Great comments! Well I still like lulu quality & style. I don’t think neither Nike or Athleta even come close. BUT I discovered other brands on carbon38( thanks to you and your blog!) that I really like and prices, style and quality are comparable to lulu. I’m liking Alo yoga, alala, Vimmia and Michi. Like many people here I already have tons of stuff, but I still like new items and will be buying more, just will be more selective. I also REALLY liked new Align pants.they are like daytime pajamas, heavenly soft. I also tried Zone in pant and didn’t like how my butt looked in them, but new material was good. All in right places are definitely on my list when it gets colder for gym and casual wear. I’m not a runner so I didn’t even try Tight stuff. Overall I like new pant line. Nulu is revolutionary IMO. Can’t wait to see tops in that fabric. And I do realize that new technology/fabrics cost more $$
Yes, it’s so great to have options besides lulu now. I’ve been wanting to try Vimmia and Michi, too, but I’ve got so many $$ to spend, and my list never seems to get any shorter. :) I can’t wait to see more nulu, too. I haven’t tried it yet, mostly because I can’t get excited over plain black pants, but I’ll definitely be watching with a close eye for other new nulu colors and styles.
IF the quality was there then I think they’d have a leg to stand on. However, I just received a store PN of the $148 tights and right there – sheer, sheer, sheer! The Ed was just standing too – not even in a stretch pose or anything.
Oh lord! Can’t say I’m shocked…
Awesome post! I do feel like I have to comment that I buy Lulu mainly for the image and for the snobbery of it. I run marathons, I do Kayla Itsines workouts and I wear yoga pants because I’m a stay at home mom and somedays I just want to be cozy while racing after my daughters. With all of that said, SOME of Lulu’s gear is really cute, some of it is really functional, some of it is worth the money and some of it is just ridiculously priced garbage with a fancy logo slapped on (see the skort they released this summer or those awful basketball looking shorts with the mesh insert.) Some of the pieces that I have bought from Target (on clearance to boot) are just as functional and sometimes just as cute as some items that I’ve bought at Lulu. Even to that end, TJ Maxx always has technical Nike gear (which I have many times found to be more functional than Lulu) that is almost always $50 or less a piece. Lulu won’t lose my business, I probably won’t buy any less than I already was either. I’m also not a diehard Lululemon fan, I just like nice things mixed in with my responsible adult purchases. :D
Thanks Crystal! Your last bit about nice things is spot on. :) Expensive workout clothes like lulu (and other brands) are basically my biggest indulgence amongst my otherwise bland spending habits, haha.
You’ve summarized my thoughts! I’m definitely buying less. There are only so many inspire crops (specifically, one) and high times (specifically, one again) and wonder under pants (surprise, one!) that I need.
I’m still collecting speeds shorts and also paying over retail, but that’s pretty much it. I’ll stick to WMTM from now on… Where even the SSs hang around for a while now.
Perhaps some people are really mad because they bought into the Lulu juice that LLM really care about your zen and aspirations, so now, they feel a little betrayed that zenning costs more now.
Agree there are many more expensive brands out. But I think what made LLM felt more costly is that LLM is an addiction. You keep going back every week to check out the new goods, and the monthly purchases add up pretty quickly.
My LLM love is definitely cooling off. :) and did I mention Glyder has 40% labour day code? I’m going to get the pieces you reviewed previously!
I think lulu’s marketing messages and their *actual* business practices do not align at all. That’s part of what irritates me about them as a company–they sell one thing but do another. Their business model is definitely addictive though. As another commenter said, they’re pure evil genius sometimes. :) Also I hope you enjoy your Glyder purchases!!! :)
I personally don’t mind paying for high quality – the problem is that Lulu’s pricing stunts have nothing to do with quality. Raising prices 20% on “old” stock proves that. And actually, the fact that they LOWERED prices on some items makes me mad too, because if you’re one of the people who paid full price for them, you’re left feeling like a fool now. And it hurts their new releases because customers have been burned on quality and pricing in the past, so why should they assume there’s really anything different about these new pants? I actually ended up trying the new Tight Stuff Reflective tights despite the high price tag, and you know what? They’re fantastic. Genuinely tight fit, thick material (not TOO thick), and an awesome matte finish which I haven’t seen before. This is an improvement that may indeed warrant a higher price tag. But Lulu was so busy talking about “feelings” and getting in their pants that I had no idea there was really any difference in technology with these pants. They’re listed as full-on luxtreme. That doesn’t sound new. But it is. So why didn’t they communicate THAT? Raise the prices, fail to convey to customers what changes in construction/tech have been made to justify higher price tags, spend all your energy on a silly marketing campaign…and you end up with a bunch of confused and disgruntled customers. As a businessperson, I find these practices dumbfounding.
Anyway, ultimately I agree with you. I take them for what they’re “worth” – if I think something lives up to the price, I’ll buy it. If not, I won’t. And thank you for mentioning other high end sportswear companies – if anything, Lulu’s tactics have definitely driven me to start looking more outside of their brand…and that’s a good thing (for me – not for Lulu).
amen!
what’s the glyder code? i can’t find it :(
thank you!
Really interesting comment, Sophie, thanks. :) The optimistic part of me hopes that the price changes reflects some of the behind the scenes work they have done and are continuing to do, as evidenced by the new nulu fabric (I can only imagine how much development cost that took) and seemingly improved styles like the tight stuff tights. I agree with you it’s aggravating and baffling that they would make real change but instead yammer on about feelings that mean basically nothing. Try as I might, I’m not sure I’ll ever really understand their rationale, though whatever it is, it’s worked pretty well for them so far.
I’ll never fully boycott Lulu. As a long distance runner I have yet to find running crops that equal the compression and long wear wash after wash that Lulu’s running crops/tights have afforded me. Where the yoga companies have stepped up their game and now there are several companies with great quality yoga gear (glyder, Alala etc) Nike, Reebok, NB, Brooks, UA have yet to really step into that realm and make better running crops than what they’ve put out all these years. I’ve owned many of those brands of running bottoms and within 6 months the compression I count on for those long miles is no longer there and the washing has taken it’s toll and they’ve all ended up in the goodwill bag sadly looking quite the worse for wear – faded, stretched out. My 5 year old Lulu running crops still have full compression and look brand new. So, as someone else said it, when they do it right, they really knock it out of the park. Even then it’s touch and go as to which running crops I buy as there have been some not so great designs and sizing issues, sheerness just when standing etc.
Yoga, To-From gear I find great well made gear from my local TJMaxx or Marshalls stores (even find Athleta and Lucy gear). Kyodan and Balance Collection make great yoga clothing that has seemed to have lasted at a price point that I don’t even have to think twice about ($25 or less). Some of it is even % to % the exact same fabrics as the Lulu gear I have.
I agree that the really solid technical pieces have been harder to find, despite the proliferation of options. Many of the pieces I love from other brands are more to-and-from, or more style-focused designs. The technical focus is one area where competitors seem to lag behind, though progress is being made.
There are people who are invested in the brand and who really enjoy and care about their Lululemon gear. These people would pay higher prices without a problem ONLY if the quality increases. A lot of people are upset because the price hikes do not reflect higher quality and that Lululemon hasn’t done much to change the quality issues. I’m sure other brands go through this too, but Lululemon has a loyal following who, like I said before, cares about the brand.
I am one of these people and as someone on the inside (emotionally invested) rather than the outside, as you seem to be, so I am very upset. I do place big orders and I do pay full price for Lulu. I know that there are many other brands and that I can just walk away from Lulu but I don’t want to. I love my Lulu gear so I am going to wait it out and hopefully prices will go down. So that’s what the outrage is about. People love Lulu and want to keep loving Lulu.
Yes, I agree it’s frustrating that quality and price seem to operate independently in lulu-land. I hope that the increasing prices will be followed by higher quality, at least in some areas like the new nulu fabric. We’ll have to wait and see.