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Lululemon’s Yoga Cult Of Selling

March 19, 2009 by  

Lululemon has created a cult following for its yoga gear. Is it using cult like methodoligies ?

A cult following is the most coveted accessory in retail, and Lululemon’s is even more lustworthy than its Velocity Gym Bag. It wasn’t built on the work of some Jobs-ian swami, however, but on the sources of Lulu founder and chairman Chip Wilson’s own spiritual awakening. Wilson has mixed a heady self-actualizing cocktail from equal parts Landmark Forum (seminars developed by an ex-Scientologist), the books of motivational business guru Brian Tracy, and Oprah-endorsed best seller The Secret, by Rhonda Byrne. He is now hard at work formalizing them in a Lululemon "internal constitution."

"It’s the first time I’ve heard of anyone almost directly using the techniques of cults and applying them to their business," says Douglas Atkin, author of The Culting of Brands: Turn Your Customers into True Believers. Drawing on those techniques, and with virtually zero advertising, Lululemon has converted the most popular yoga teachers from Beverly Hills to Boston (and their students) into a devoted — and self-propagating — clientele. In a little more than 10 years, Lululemon has grown from a single storefront on the surf side of Vancouver, British Columbia, to a public company with more than 100 outlets and $340 million in annual revenue. "I have not been able to find any company that compares with what they do," says Suzanne Price, a retail analyst with ThinkEquity, who points to Lululemon stores ringing up $1,800 in sales per square foot, compared with only $600 for retailers such as J.Crew and Abercrombie & Fitch.

Read the complete article here ….

 

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