Lululemon athletica management told MKM that the lack of color in its offerings didn’t present well, and that there were site execution issues, including photography that was too dark, the researcher said. The problem has been an issue across all categories but it’s impacting tops more than bottoms, the company told MKM.
Lululemon is fixing the color issue and where changes have been made, improvements have been seen. The second quarter is expected to be better than the first, but the issues won’t be resolved by the end of the first quarter, the company told MKM. The company is looking only for a “slight” improvement in April rather than a signficant uptick. Street Color news alerts are derived from real time conversations with market professionals via the Ask Alyce – Chat Intel service on Bloomberg & Symphony.