Lululemon fights to keep its athleisure crown

Wellness may be on track to be the most sought-after social currency of 2025. As a result, fitness has become a distinct fashion category in its own right, with figure-hugging coordinates arguably being the biggest trend of the decade. Founded in the late 1990s in Vancouver, Lululemon was a pioneer in technical athletic apparel designed to flatter the body. It was around long before the “Pilates Princess” trend, which has since racked up 36.5 million posts on TikTok. However, intensifying competition is forcing the brand to adapt. Lululemon’s growth slows in North America, but China shines On Friday last week, Lululemon posted mixed financial results, with revenue up 10% to $10.6 billion. International growth, especially in China (up an incredible 41%), outpaced flat North American sales, which were impacted by rising competition and supply chain challenges. Despite aiming for $12.5 billion in sales by 2026, Wall Street remains wary, as shares fell due to slowing growth in core markets. While Lululemon faces global growth challenges, younger players like Alo Yoga and Adanola are booming by nurturing a cult community and establishing stylish, aspirational brand identities. As sports culture journalist and writer of the SportsVerse newsletter, Daniel Yaw-Miller, says, “Lululemon built one of the world’s most successful $10 billion activewear businesses by focusing on hyper-specific products and consumer groups.” However, as competitors hone the effortlessly cool wellness aesthetic, Lululemon can no longer rely solely on its bestsellers. For example, the Define jacket, originally designed to sculpt an hourglass figure, has become a staple for nearly every premium yoga clothing brand. Menswear expansion According to Yaw-Miller, “The brand is at a point where it feels its cultural growth has maybe somewhat plateaued, and it has turned to the playbook so many brands are turning to right now to drive excitement: sports.” Just last month, Ferrari Formula 1 driver Lewis Hamilton was named Lululemon’s latest global ambassador, marking a significant gender shift for the athleisure brand. “Nothing drives credibility in activewear like connection to high performance sports and athletes, and no one represents that better than Hamilton, one of the greatest athletes of all time, who comes with the added bonus of his proximity to the luxury fashion industry,” Yaw-Miller says. “He’s also a winning ambassador because of how popular he is with both male and female consumers.” Along with the signing of Hamilton, the Canadian activewear brand also unveiled a collection with British menswear designer Saul Nash during its Fall 2025 showcase at London Fashion Week. “Nash is another collaborator who will help Lululemon hit a smaller, more specific audience of fashion-forward consumers in the UK and help them show up organically at fashion weeks and those kinds of events,” Yaw-Miller adds. According to 2024 data, female consumers make up around 70% of Lululemon’s customer base. As such, the company is clearly focusing on tackling growth challenges by expanding its appeal in the menswear category. Working with male ambassadors has proven effective, too, as evidenced by South Korean actor Park Seo-joon, who was Lululemon’s top celebrity in 2024. His social media content drove $3.4 million in Media Impact Value (MIV) for the brand, according to Launchmetrics. Park Seo-joon, luxury packaging propel China sales Lululemon’s performance in China sharply contrasts with other markets, where it faces hurdles. Even the smallest details enhance its appeal, with luxury packaging — such as receipts presented in black envelopes with gold lettering — elevating brand prestige in the mainland. The country’s Pilates boom has further fueled Lululemon’s popularity, with the hashtag #pilates (普拉提) amassing 2.1 billion reads on Xiaohongshu (also known as RedNote), showcasing millions wearing the brand. User-generated content and influencer marketing have been key to Lululemon’s success in China, with media accounting for 49% of total MIV, and influencers contributing 43%, according to Launchmetrics. Could rap music boost Lululemon growth? Despite being one of the strongest contenders in yoga fashion, the brand is largely associated with millennials. It also faces the challenge of competing with more wellness-focused brands. Besides menswear, there are other ways Lululemon could target Gen Z. This year, two new rap songs mentioning the athleisure label have gone viral on TikTok. The first song, by American female rappers Big Pluto and Ykniece, features the lyrics “put some Lulu on her,” which has garnered over 74 million views as TikTok users dance in their Define jackets. The second song, by underground British rapper Mlizzy, highlights the brand’s growing popularity in the U.K. The virality of both songs — driven by an extensive online community that has made the Define jacket famous, dubbing it the “BBL” jacket — demonstrates the brand’s cultural relevance beyond its own marketing strategy. Collaborating with Nash and partnering with Hamilton reflects a fresh direction for the brand — one that taps into youth culture. Yet, as the rap songs show, there’s room to explore streetwear or a more urban side of the brand identity, capitalizing on its existing appeal among Gen Z in the West.

Lululemon fights to keep its athleisure crown

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Published March 31, 2025

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Lululemon fights to keep its athleisure crown