Lululemon’s Top Product Officer to Leave After Pants Fiasco
Yoga pants became popular when more people began to follow the yoga trend. Lululemon is a yoga-inspired athletic apparel company founded in 1998. This Canadian company has approximately 17 percent of the industry. However, recent products have impacted their sales. The company plans to resolve the problem by recalling defective pants from the entire line, Luon. Customers pointed out that these pants, made from nylon and Lycra fibers, were too sheer. After thorough investigation, the company realized that there were issues with the testing protocol after they changed the pants’ design. Recently, the chief product officer, Sheree Waterson, also decided to step down as a result of this issue. Other than decline in sales, the company projects that their earnings will decline 11 to 12 cents per share; revenue also declined $12 million.
The aftermath of this issue is an example of the importance of each step of the production process. A malfunction in the testing protocol led to a full refund and recall of products. Lululemon dealt with the issue in a way that satisfied customers’ expectations. However, it suffered millions in revenue loss.
Written By: Melody Mark
The Associated Press. “Lululemon’s Top Product Officer to Leave After Pants Fiasco.” New York Times. The New York Times Company, 3 Apr. 2013. Web. 4 Apr. 2013.