The GME of this week. Well I guess China is not too fond of paying an arm & leg for some tights just for Yoga no matter how much Kate Winslet loves it. And according to its founder, if you are fat, yoga pants is not even for you. LOL Stock dropped $12 from $66 at closing!! on ER. Yikes!! Hope none of you bought at $66!
I'm not sure that fat people buy Lulu clothing. I was at the gym and did not see a single fat person there. Most fat people tend to be fat for a reason -- many don't have enough self-respect to take care of themselves. (There are some that have genetic issues, but it's largely a matter of motivation.) And if you own a clothing company and want the image of appealing to / being worn by physically attractive women...would you really want fat people wearing your clothing anyway? Same reason why Nike pays good athletes a lot of money to wear their clothing. Does it actually make the product better? Of course not, it's just about association and image. The ANF CEO got in trouble a few years ago for saying something similar...not sure about the quote, you can find it on the Internet, but he basically said he doesn't want ugly people wearing his clothing. It's harsh, but it does make some sense.
Well apparently what happened was some people complained that the LULULEMON yoga pants that they bought were too sheer and deteriorated too fast and even came apart at the seams after just few months of wearing (they are overpriced cheap Lycra tights what do you expect?) so instead of improving the quality of the products, the founder decided to blame on the users of his products and specifically the body shape of the women who wear his pants by saying "Some women's body just don't work for the pants". . To me, aside from him being an douche, it's just bad customer service and gross violation of business rule No. 1: Customers are the King, in this case they are the Queen especially when you are selling them pants for $126 a pair when they could be buying the same ones just without the logo for like what $20 at SportsCheck and $5 on EBay? I mean with the 600% markup that those women are paying, you can at least make the pants stronger? Your products is supposed to work for the customers' body not the other way around? The proper way to address this obvious quality issue is to call up the Chinese factory that were making the pants to find out wtf they were doing or better yet fire them and try to make them cheaper and better somewhere else. You don't EVER blame the customers for problems with your products especially their body types. Oh well, that's why the stock price dropped another 7% today even with the uptick rule in place from the 18% drop that happened yesterday immediately after closing after-market.
Well, he never said that fat people should not buy his clothing. I don't think he was trying to be a douche, but I agree with you that he should not have blamed the customer. He obviously had time to think about his response so it's not like he was caught off guard. He should have looked into the issue and then just made some general statement expressing that he is aware of the issue and they are looking into it. Btw, these women know that they are not buying value. It's all about image and status to them. If I did not feel that a correction is around the corner, I'd probably pick some up. However, if the market starts to turn, long fashion is about the last place you would want to be. Maybe I'll sell a put spread on it and go about 6 months out.
Me too. From the charts, the next level support is at $44.50 - $45 considering that it just broke the support level at $54.
Yes but at least they would want their "status and image" not to show all their varicose veins and not come part at the seams when they are doing the "The Exorcist" pose. LOL I will just keep selling calls to short it on rebounds. I don't see this stock turning around any time soon if ever. 1) Atheletisure is out especially expensive atheletisure clothes and 2) Market is saturated with so many alternatives and 3) the company doesn't have niche anymore. Did you take a look at their design? They are UGLY!! https://shop.lululemon.com/p/women-...61?rcnt=13&N=7vf&cnt=349&color=LW5LKKS_028588 Who in their right mind would wear that?