Lululemon defies brick-and-mortar pain in plan to add more stores

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CEO says the upscale purveyor of yoga pants is still at an early stage of growth

While productivity hasn’t fully recovered in reopened stores, sending shares down recently, the company is taking a long-term view with landlords. Lululemon has paid full rent throughout the crisis — a contrast to brands like Gap Inc. that suspended some payments. McDonald said he hopes the move pays off as some retailers are forced out of prime spots.

Lululemon has tried to build a community of followers and repeat customers with free classes, sports events and support for local “ambassadors” — athletes and yoga practitioners known as yogis. That aspect is essential to the store-expansion strategy, McDonald said: “If our physical existed only to transact, I would think differently.”Article content continued

 

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