Whereas the primary target markets for Nike and Lululemon have thus far been relatively distinct, moves by each company suggest that each of these brands is seeking to expand its reach and maybe even attract the members of the other’s market.

Although Nike has produced and sold women’s athletic gear nearly since its start, its main focus in its marketing and retailing operations has been on men, as evidenced by the star athlete names most closely associated with it: Jordan, James, Jackson (as in Michael, LeBron, and Bo, respectively). In contrast, in its relatively shorter history, Lululemon has almost exclusively targeted women with comfortable yoga-type wear and “altheleisure” clothing.

But Nike has opened two women’s only retail stores in recent months, evidently to compete more effectively with Under Armour, another broad athletic brand that has enjoyed great success with its marketing appeals to women. Around the same time, Lululemon opened its first exclusively menswear store.

Whereas the competition for athletic women’s dollars is tough for Nike, the spread of Lululemon into the men’s yoga market is virtually unprecedented. If it can convince men that shopping for leggings and yoga pants is sufficiently masculine, it would be alone in the arena, whereas Nike would still be battling Under Armour and all the other actors that seek to offer broad athletic product lines to men and women.

Discussion Question:

Which faces a bigger challenge: Lululemon targeting men or Nike targeting women?

 

Source: Matthew Stern, Retail Wire, December 18, 2014