lululemon athletica inc. (LULU - Free Report) has announced the launch of a Selfcare line of personal care products for men and women. Designed to meet athletes' requirements, this product line will be available at lululemon’s online site, across 50 lululemon stores, at select studio partners in North America, and on Sephora.com.
The latest product launch also highlights the partnership deal between lululemon and Sephora, thereby strengthening customer base of the former. Notably, lululemon Selfcare has the Clean at Sephora seal, which certifies the fact that these products do not contain sulfates, parabens and phthalates.
In fact, lululemon’s product innovation plan mainly focuses on testing new categories. In this regard, it is imperative to mention that the company has identified several new areas, which it can test to bring innovation to guests, self-care category being one of them. This category includes four products namely deodorants, moisturizers, shampoos and lip balms to tackle sweat problems.
Additionally, the company intends meet customers’ growing preference for athleisure by launching product lines related to activities like yoga, running and training. Meanwhile, lululemon has announced a five-year plan — Power of Three — that aims at doubling sales in the men’s and digital categories, and quadrupling sales in the international unit by 2023. This five-year plan focuses on three core objectives including product innovation, omni-guest experiences and expansion efforts. It also comprises contributions from the company’s membership program, which is currently in the testing phase.
Furthermore, the women’s business and stores in North America are likely to deliver sales growth of low double-digits annually in the next five years. lululemon plans about 20% sales growth for the men’s business every year. Going forward, management remains optimistic about the innovations in its assortments for both men and women.
Another key element of lululemon’s five year plan is enhancing omni-channel guests’ experience. The company is looking for new and exciting ways to connect with customers, as evident from the testing of its loyalty program. Further, the company has increased its online only size and color offerings for both men and women, which clearly highlights its efforts to attract digital guests. lululemon has also improved its mobile point-of-sale capabilities to help guests complete their purchases from the stores.
Driven by all such positive factors, shares of this Zacks Rank #2 (Buy) company have surged 54.7% year to date, comfortably outperforming the industry’s 24.2% rally.
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Crocs Inc. (CROX - Free Report) has an expected long-term earnings growth rate of 15% and a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Guess', Inc. (GES - Free Report) has an expected long-term earnings growth rate of 17.5%. Moreover, it currently carries a Zacks Rank #2.
Columbia Sportswear Company (COLM - Free Report) , also a Zacks Rank #2 stock, has an expected long-term earnings growth rate of 8.9%.
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