Why Lululemon's Stuff Almost Never Goes On Sale

Consumers aren't likely to find a sale rack at any Lululemon.

The athletic apparel chain sells 95 percent of its merchandise at full-price, according to The Wall Street Journal.  

While many other retailers rely on promotions and marketing to get shoppers in stores, Lululemon has the perfect strategy for selling to its niche without either. 

Instead, Lululemon offers fewer items to create the perception of scarcity. 

"Our guest knows that there's a limited supply, and it creates these fanatical shoppers," Day told the WSJ. 

Despite a rough week, the yoga-wear chain won't be discounting merchandise anytime soon, CEO Christine Day said on CNBC: 

"People thought we were going to start playing that game, which absolutely isn't true. You can't blink. The consumer sees Black Week, which is what we call the week of Black Friday and Cyber Monday, and the consumers are savvy and they're waiting for retailers to discount. You'll either offer promotions or not, and we're in the "not" category. You've got to shape your buying patterns to respond to that. If you're not going to discount you've got to have some bold and unusual things planned, which we do here." 

It looks like Lululemon won't be offering big sales anytime soon.

If you're a fan, you can always try the eBay "black market" for discounts. 

DON'T MISS: Sneaky Ways Retailers Track Your Every Move >



More From Business Insider
Search