This is a final project I worked on for my last MBA marketing class. I designed the paper as well as created parts of the plan.

1. lululemon athletica
“Do you lulu?” Marketing Campaign
2011-2012

2. Table of Contents
pg. 3 Introduction
pg. 6 Executive Summary
pg. 7 Research
pg. 9 Objectives
pg. 10 Situation Analysis
pg. 11 Consumer Analysis
pg. 15 Industry Analysis
pg. 17 Broad Overall Analysis
pg. 22 Strategies and Plans
pg. 43 Timeline and Budgets
pg. 46 Summary
pg. 47 References and Appendices

3. Introduction
Bulldog Marketing is a marketing communications firm based out of Houston,
Texas, that has extensive education and experience with building brand awareness
and online sales. Our team members have an eclectic background in business,
marketing, digital marketing, media relations, new and social media, and public
relations. Our proven results as a team speak for themselves, as we have created
successful campaigns and strategies for a number of high-caliber clients.
We chose to focus on lululemon athletica because we feel the brand has very strong
potential in the U.S. market. lululemon has strong sales and is growing at a fast rate
every year. Since lululemon is a Canadian-based brand, the brand awareness in the
United States as yet to reach its full potential. We at Bulldog Marketing feel that our
combined experience coupled with lululemon’s strong branding that already exists
in other markets will prove to be successful.
We look forward to working with you in the months ahead and building the
lululemon brand.
3

4. Meet the Team
Nicole Grandy has a Master of Business
Administration from The University of Houston
and a Bachelor of Business Administration in
marketing from The University of Texas at Austin.
With experience in marketing research as well as
internet marketing, Nicole is constantly keeping
up with the newest trends in the industry. In her
spare time she enjoys traveling, cooking, and
Longhorn football.
Jeffrei Clifton completed her MBA at the
University of Houston and her B.A. in Mass
Communication with a concentration in
Public Relations with minors in Business
Administration, History, and Leadership
Development at Louisiana State University. Her
background is in healthcare marketing. Outside
of work, she enjoys doing it big, NOLA, Texan
country music, bike riding, reading historical
Joyce Jia Hu is a recent MBA graduate from the
University of Houston Bauer College of Business.
She has been an ambassador for heath and fitness
through her dancing since the age of 14. She has
a strong community presence, with a focus on
the Asian community in Houston. In her free
time she dabbles in high-fashion photography,
collects Hello Kitty merchandise and is avidly
addicted to www.tumblr.com.
4

5. Meet the Team
Krista Smith earned her MBA from the
University of Houston and completed her B.A.
in Communication with minors in Business
and Journalism at Texas A&M University.
Her professional background is varied,
with experience in marketing, social media,
journalism, and counseling. Krista is a freelance
writer, a self-proclaimed bookworm, a road trip
enthusiast, and a lover of baseball.
Rachel Walton has her MBA from the University
of Houston with concentrations in marketing
and management. She is an exceptional
problem-solver and decision maker with diverse
experience in entrepreneurship and all aspects
of office operations, as well as expertise in
customer service and direct sales. Rachel is an
avid spinner and foodie which works well because
one balances the other.
Carolina Thomas has a Master of Business
Administration from The University of Houston
and a Bachelor of Science in Advertising as well
as a Bachelor of Journalism from The University
of Texas at Austin. Carolina enjoys all aspects
of marketing and advertising and has varied
experiences from social media, to event planning
to public relations and more. In her free time, she
loves watching movies, tweeting and designing.
5

6. Executive Summary
lululemon athletica is an athletic apparel store that sells high-quality performance
wear geared primarily towards women who lead healthy lifestyles and want to do
so in a comfortable—yet fashionable—way.
Founded in 1998 by Dennis “Chip” Wilson in Vancouver, British Columbia, lululemon
currently has 45 stores in Canada and 70 in the U.S. which sell “innovative, technical
apparel products” that are “designed to offer performance, fit and comfort while
incorporating both function and style,” according to their 2010 annual report.
Although lululemon boasts annual revenue of $452.9 million and a gross profit
of $223 million, its strong brand recognition and sales are mainly concentrated
in the Canadian market; these indicators have yet to reach that same level in the
U.S. market, even though there are almost double the number of stores in the U.S.
as there are in Canada. Keeping in line with the company’s current “community-
based” marketing strategy, Bulldog Marketing seeks to increase lululemon’s brand
awareness in the U.S. market.
The target market for this campaign was identified as 18-34 females who are
fit, health conscious, and fashion-forward with high disposable incomes. These
individuals are lululemon’s most significant customers, and they will be targeted
through a variety of marketing media.
The primary goal of the “Do You lulu?” campaign is to elevate the lululemon brand
in the U.S. while still being true to lululemon’s historical marketing efforts. The
company has made a point to not advertise in traditional media like print; instead,
their growth has relied on word-of-mouth and grassroots efforts to spread their
brand message. This campaign is unique in the fact that it is designed to be carried
out at both the national and local levels—in other words, we have developed
strategies specifically for all lululemon stores both collectively and individually. The
campaign will rely heavily on social media, special events, and guerrilla marketing
tactics, all of which will pose the question: Do You lulu?
6

7. Research
In conducting exploratory research for the “Do You lulu?” campaign, we focused on
both primary and secondary sources.
A survey was distributed to 100 participants to gauge the buying patterns of current
Primary
and prospective customers and measure awareness of the lululemon brand. In the
survey, respondents were asked about their workout habits, their athletic apparel
purchasing habits, and their opinions of lululemon. In the results we found that 43
percent of our respondents had heard of the brand lululemon. Of that 43 percent,
only 24 percent have actually purchased a lululemon product. When asked why
a respondent would not purchase lululemon, expense was rated as the highest
factor. Fifty-three percent of respondents disagreed that lululemon was affordable,
however 71 percent either agreed or strongly agreed that lululemon if high-quality.
(Appendix 1)
We also conducted an interview with Maura Sweeney, Houston Regional Manager
of lululemon and UH Bauer alum. In the interview, Sweeney described the current
target of lululemon, their competition, and the company’s overall marketing strategy.
Through Sweeney, we were able to gain a firsthand perspective into lululemon’s
current marketing strategy and growth plans.
As a team, we also visited the lululemon location on Westheimer Road in Houston,
Texas. In the store, we were able to browse the merchandise and gain a better
knowledge of lululemon’s products. We were also able to view the store layout and
in-store promotional materials that the company already uses.
7

8. Research
Our secondary research consisted of online journal publications like Plunkett
Secondary
and Hoovers, as well as various online yoga blogs. In comparing lululemon to its
competitors in the industry, we analyzed the financial documents and annual 10k
reports of each company. We also studied lululemon’s online distribution strategy
by looking at the company’s website, www.lululemon.com.
Bulldog Marketing has also created a preliminary influencer map that identifies
people and communities with the most potential to affect purchasing decisions of
the target market. This information will be discussed later in the plan.
8

9. Objectives
Our objectives for this campaign are all designed to increase overall brand awareness
within the U.S. market. To do this, we specifically aim to do the following:
• Increase U.S. sales by 10 percent
• Increase website traffic and online sales by 10 percent
• Increase the number of individuals who would consider purchasing lululemon
apparel by 20 percent
• Increasing individual store sales of women’s apparel by 5-10 percent
• Increase Facebook “Likes” by 50,000 for corporate page and 300 for store pages
• Increase Twitter followers to 100,000 for corporate page
The majority of our objectives will be easily measurable either by analyzing financial
statements or through noticeable increases in social network participation. However,
we will conduct extensive pre- and post-campaign surveys in order to measure
brand awareness. We will also hold focus groups to gain a more in-depth analysis of
the lululemon brand.
9

10. Situation Analysis
Strengths: Weaknesses:
• High-quality products • Weak brand recognition in the
• Innovative features and styles U.S.--may not be in consumer’s
• Vertical retail strategy—produce consideration set
everything down to fabrics • Slow growth strategy due to lack
and sell in own stores—lots of mass marketing
of control • Decentralized marketing--each
• Selective outside retailers— store has control over own
positioned as premium message
brand with premium pricing • Few retail outlets--may not be
• Well- trained staff—known as able to reach all potential
“educators,” 30 hours of consumers
training within first 3
months
• Premium store locations
• Community-centered marketing
approach—builds brand
awareness, relationships
and philanthropic
activities
SWOT
Opportunities: Threats:
• Economic conditions may
andInternational expansion
• relationships, philanthropic activities
decrease consumer spending
• E-commerce development
• Competition
• New market segments--men and
• Small market size- lack of health
youth
focus in U.S. market
• Growth in U.S. market
• Lack of consumer knowledge
• Build U.S. brand recognition
• Heavily focused word-of-mouth
marketing strategy/ lack of
control of message
10

11. Consumer Analysis
Essentially, lululemon aims to market a lifestyle to young, affluent women. While
lululemon’s clothing is a quality product and can last through many workouts,
anyone—even those who don’t work out or practice yoga regularly—can buy it and
project the image that they do engage in those behaviors. The market for lululemon
apparel is likely to continue growing. According to a Plunkett Research report, in
2008 the Sporting Goods Manufacturers Association found that 34 percent of
Americans exercise on a frequent basis, which is defined as 100 days or more per
year, while 10 percent exercise on a regular basis, which is 50 to 99 days per year.
In addition to this, yoga is the fastest growing sport in America, with more than 10
million people practicing it (Yoga Journal, 2008).
America is exercising more, and lululemon should plan to capitalize on it. To further
define the company’s target market, we have produced an in-depth consumer
analysis in order to better understand the lululemon customer.
lululemon services a very precise consumer—the young, hip, and fit 18-34 year old
Target Market
woman who embraces fitness and athletic activities like yoga. Within lululemon’s
2010 annual report, the company defines their target customer as a “sophisticated
and educated woman who understands the importance of an active, healthy lifestyle”
and who:
“is increasingly tasked with the dual responsibilities of career and family and
is constantly challenged to balance her work, life and health, pursues exercise to
achieve physical fitness and inner peace, and purchases based on an actual need
for functional products and a desire to create a particular lifestyle perception.”
(lululemon 10K, 2010)
Based on this information, we have identified two primary groups within the
campaign’s target market: the “Zen Y”er and the Mother Zen.
11

12. Consumer Analysis
The “Zen Y”er is a young, college-aged woman without children. As a member of
Gen Y, she is forward-thinking and prides herself on knowing the latest trends in
several aspects, including fashion, technology, and pop culture. She may or may not
be interested in fitness, but she wants to keep up with the current trends. Since yoga
is a growing sport popular with her peers, she is likely to have some knowledge of
the practice. Doing yoga for the “Zen Y”er is not for health purposes—rather, it is
for the statement it makes and how good she looks while doing it. The “Zen Y”er is
wearing lululemon to be fashionable and trendy.
The second group is the Mother Zens. The Mother Zen is a young mother who enjoys
staying current on popular trends. She is college-educated and may or may not be
conscious about the health of herself and her family. Yoga—if she practices it—is an
escape. lululemon apparel for a Mother Zen makes a fashion statement, but it also
has many uses. The Mother Zen is just as likely to wear her lululemon yoga pants to
an exercise class as she is to make a quick trip through the grocery store.
12

13. “Zen Y”er Sample Profile
Elaina is a 20-year-old student studying film and television at New York University.
She is enjoying the city nightlife as a single woman, but still remains concentrated
on her studies, as she one day hopes to make her name as a film director. Elaina’s
parents—her father is an affluent Wall Street executive while her mother is a
housewife—are supporting her while she attends college. They pay all of her
living expenses and also give her monthly spending money. Elaina loves all things
entertainment, but she is also a fashionista who spends lots of time canvassing the
shops on Fifth Avenue for the latest fashion trends. She wants to project an image
as a trendsetter and often has all of the up-and-coming gadgets before her friends.
Her iPhone 4 is never far from her side, as she loves to tweet throughout the day on
Twitter. She also makes a point to check in to every business or event she attends
via FourSquare, as her peers are sure to see how active she is in the fast-pace life of
New York City.
After a close friend asked Elaina to accompany her to an outdoor yoga class earlier
this year, Elaina has been attending a twice-weekly yoga class in Central Park. She
has come to enjoy this time as a peaceful break from her hectic lifestyle. There is a
lululemon store located a few blocks from Elaina’s apartment. She has traditionally
bought workout apparel from athletic shops but has yet to determine a brand
preference in her yoga gear.
13

14. Mother Zen Sample Profile
Bethany is a 30-year-old married mother of two children: a four-year-old little girl
and a seven-month-old baby boy. She earned a degree in business from Tulane
University and worked in pharmaceutical sales for four years before she and her
husband decided to have children. Bethany is now a full-time stay-at-home mother
but plans to return to work once her children are in school. Even though she is a
young mother, Bethany has refused to become a typical soccer mom; she stays up-
to-date on the latest technology, fashion, and pop culture trends and gossip. Since
she and her family have recently relocated to Chicago, Bethany stays in contact with
her family and friends in her native Lafayette, La., via Skype and Facebook. She also
maintains a blog that is well-recognized in the online community, where she often
writes about her family, new recipes, crafts or special projects she is undertaking,
and other subjects she finds of interest.
Bethany is constantly on the go. Whether it is taking her children to the park or
doing a quick run through the grocery store, she leads a very active life. She prides
herself on being able to juggle the responsibilities of motherhood while still being
hip.
14

15. Industry Analysis
The United States sporting apparel market, which lululemon is classified under, is
the world’s largest sportswear market, accounting for 41 percent of total sales. It
is followed by the European Union, which accounts for about 38 percent (Research
and Markets, 2007).
In 2009, U.S. consumers spent about $9.2 billion on sporting apparel; this was
expected to grow to $9.6 billion in 2010 (NSGA.org, 2009). While other women’s
apparel categories suffered during the recent economic downturn, women’s
sporting apparel only suffered a 5 percent decline from 2008-2009. According to
a Plunkett Research report, manufacturers such as Stella McCartney, Juicy Couture,
and Norma Kamali, as well as big names such as Nike and Adidas, are pushing their
sporting apparel lines with “an ever-increasing variety of styles that can go from
gym to nightclub” (Plunkett, 2010).
Yoga is a continually expanding industry, with Americans spending more than
$5.7 billion in classes and equipment yearly. The sporting apparel industry is also
projected to continually increase over the next few years. According to Plunkett,
“while Americans (as well as residents of many other countries from Mexico to
China) have been putting on weight, they have also developed a keen interest in
sports apparel and workout gear to wear at the gym and in other leisure activities.
This is one of the fastest-growing product categories in the apparel and shoe sector.
Over 40 million Americans have some sort of gym membership, and they need
appropriate clothing to wear while they workout.”
Within the sporting apparel industry, lululemon’s top three competitors are Nike,
Adidas, and Under Armour, with secondary competitors consisting of Bebe stores,
Jockey International, Liz Claiborne, Lucy Activewear, and Gap (Hoovers, 2011).
Nike was incorporated in 1968 in Oregon, and the company states that its “principal
Competitor Analysis
business activity is the design, development, and worldwide marketing of high
quality footwear, apparel, equipment, and accessory products (Nike 10K, 2010).
15

16. Industry Analysis
Unlike lululemon, Nike has an extremely diversified distribution strategy, selling
its products though large retail accounts, Nike-owned retailers, and independent
smaller distributors in more than 170 countries around the world. In addition to its
Nike products, the company owns Cole Haan, Converse Inc, Hurley International LLC,
and Umbro Ltd. Nike ended the year 2010 with more than $19 billion in revenue.
Adidas is a German sports apparel manufacturer with subsidiaries including
Reebok, Rockport, and TaylorMade. Under the Adidas name, the company sells
athletic apparel, footwear, sporting equipment, and accessories. Like many of its
large competitors, Adidas sponsors professional athletes and sports teams. The
company has high brand recognition and is the largest sportswear manufacturer in
Europe (Adidas 10K, 2010).
Under Armour was founded in 1996 and
gained notoriety in the athletic apparel
business for its moisture-wicking fabric.
The company’s main focus has always been
apparel, but in 2006 Under Armour introduced
a line of footwear. At the end of 2010, Under
Armour had revenues totaling more than $1
billion, with $800 million coming from North
America (Under Armour 10K, 2010).
Nike, Adidas, and Under Armour are the three
largest athletic apparel companies in the industry. While these companies were
named as top competitors in lululemon’s annual report, we believe that companies
like Gap and Lucy Activewear more closely resemble lululemon’s business model.
Although the top three competitors each have annual sales well into the billions while
lululemon has yet to reach the billion dollar mark, lululemon’s net profit margin is
well above the others at 17.12 percent and well above the industry standard of 2.33
percent (Hoovers, 2011). This indicates lululemon’s healthy business strategy and
efficient management within the sporting apparel industry.
16

17. Broad Overall Analysis
lululemon’s product line includes jackets, hoodies, pants, and shorts for both men
Products
and women as well as bras, underwear, and tank tops for women. The store’s
signature product—its pants—are offered in both regular and tall lengths. The
majority of lululemon garments are pre-shrunk to ensure a quality first-time fit,
meaning that arm and leg lengths are sized properly for the garment’s pattern and
that zippers do not buckle after their first wash. lululemon pants are often lauded
for their ability to flatter a woman’s derrière, which appeals to female fashionistas,
soccer moms, professionals, and the men who buy gifts for them.
lululemon prides itself on using cutting-edge, quality fabrics that deliver maximum
function and athletic fit. lululemon collaborates with leading fabric suppliers
to develop trademarked fabrics. Its high impact fabric, known as “all-moisture
wicking,” pulls moisture away from the body and spreads it evenly throughout the
fabric so it evaporates faster and helps the fabric to dry quickly. The low-impact
fabrics are made from natural fibers that lululemon suggests wearing “during warm-
up and to-and-from the studio” (lululemon.com, 2011). The outerwear fabrics are
designed to protect against wind and rain. By using fabric with a matte finish and
making it thicker than spandex, lululemon products avoid unsightly shine. Other
innovative features in lululemon’s apparel products are flat seams, tear-out labels
and thumbholes on the sleeves and pockets for credit cards, audio players, and heart
rate monitors.
The products are designed to offer performance, fit, and comfort while incorporating
both function and style. As mentioned before, lululemon is not just for athletes, but
also for customers who desire everyday casual wear.
The company recently expanded their product range to appeal to the men and youth
segment. lululemon also sells fitness-related accessories including bags, socks,
underwear, yoga mats, instructional yoga DVDs, and water bottles.
17

18. Broad Overall Analysis
lululemon’s products are priced much higher than similar workout apparel.
Price
lululemon’s prices—around $50-60 for a t-shirt and $100 for pants—cater to the
upper-class consumer willing to pay premium prices for workout gear. lululemon’s
core customers typically have the income that allows them to continue purchasing
trendy and pricey exercise apparel despite downward trends in the economy.
lululemon’s highly priced products result in high margins for the company. With
significantly smaller stores and highly priced items, lululemon is able to achieve sales
per square foot of $1,700 in its corporate-owned stores—more than three times as
many sales per square foot than Abercrombie & Fitch and Gap, companies which
have sales of $489 and $398 per square foot, respectively. All of this translates into
lower costs and higher revenue for lululemon, which largely drive the company’s
53.3 percent gross margin and 18.2 percent operating margin.
lululemon has a vertical retail strategy, meaning that it manufactures what it sells.
Distribution
This strategy allows them to gather more feedback from customers and provides
greater control over its brand.
In the U.S., lululemon has developed a showroom design strategy for its stores. This
Store Design
means that an intimate retail space with limited inventory is opened part-time in
cities where the company thinks it can open a full-time store. Stores are laid out in a
circular pattern, which brings customers around the store and allows them to touch,
feel, and experience the products.
The store also features mannequins for each of its products to show customers how
products— like pants—actually fit on a body. There are also interactive elements in
the store including a message board for customers to write and comment on products,
displays of healthy eating tips, local fitness studio information, biographies on its
local brand ambassadors, and other community events. The showroom strategy has
succeeded in driving brand awareness in new markets.
18

19. Broad Overall Analysis
However, finding and securing prime real
estate that fits the company’s image and needs
has proved to be a challenge. For example,
lululemon’s Santa Monica store is big and
bright, but it doesn’t get the foot traffic it
would if it was located a few blocks over on the
Third Street pedestrian mall (lululemon 10k,
2010). lululemon’s stores in North America are
mostly located in major cities like Los Angeles,
Seattle, New York, Toronto, and Vancouver. At the end of Q1 FY08, the company only
operated 37 stores in the U.S., with 15 of them located in California. Now in 2011,
there are 42 showrooms and 76 stores in the U.S., a significant increase over 2008.
As of January 30, 2011, lululemon has only four franchise stores in the U.S. This
Franchise Stores
channel represented 1 percent of net revenue in fiscal 2010 and 3 percent of net
revenue in fiscal 2009. Opening new franchise stores is not part of the company’s
near-term store growth strategy. Unless otherwise approved by lululemon, the
franchisees are required to sell only lululemon branded products, which are
purchased from the company at a discount to the suggested retail price.
lululemon’s current website is under renovation in order to expand their e-commerce
Online
presence. At the time of this plan preparation, only a limited number of products are
offered for purchase online. lululemon’s e-commerce sales continue to grow each
year as more people go online and use their smart phones to make purchases.
lululemon’s online and smart phone sales comprised 4 percent of net revenue in
2009 and 8 percent in 2010. A greater online presence means that lululemon will
have a larger direct-to-consumer channel and can reach those customers not near a
retail location or third-party reseller. As a result, lululemon hopes to increase brand
awareness, especially internationally.
19

20. Broad Overall Analysis
Currently, lululemon’s merchandise is also sold at strategic third-party resellers
Wholesale Channel
that lululemon feels parallels their brand image. Examples of such resellers include
premium yoga studios, health clubs, and fitness centers. This sector of sales made
up 2 percent of net revenue in 2009 and 2010. The wholesale channel of business is
not intended to be a large contributor to lululemon’s overall revenue, but exists just
to build brand awareness, specifically in new markets.
lululemon’s current marketing plan is the same in Canada as it is in U.S. The company
Current Promotions and Marketing Strategy
takes a grassroots approach, relying heavily on word-of-mouth advertising. Free
yoga classes are taught once a week in some locations, and lululemon staff will
sometimes teach at local yoga studios.
Each lululemon location is responsible for
marketing and building a reputation in their
local community, making it a very decentralized
approach. lululemon’s corporate headquarters
does not even have a marketing division; instead,
it only has a community relations department.
Nationally, the only two places lululemon
advertises are in Yoga Journal and Runner’s
World magazines. Because of lululemon’s
unique approach to marketing through the local
community, the company has seen an increase of
14 percent in sales in 2009, despite the economic
downturn.
20

21. Broad Overall Analysis
In lululemon’s annual report for 2010, the company describes their strategy as a
“distinctive community-based strategy that we believe enhances our brand and
reinforces our customer loyalty. The key elements of our strategy are to:
• design and develop innovative athletic apparel that combines performance with
style and incorporates real-time customer feedback;
• locate our stores in street locations, lifestyle centers and malls that position each
lululemon athletica store as an integral part of its community;
• create an inviting and educational store environment that encourages product
trial and repeat visits; and
• market on a grassroots level in each community, including through social media
and influential fitness practitioners who embrace and create excitement around
our brand.”
lululemon’s grassroots strategy and marketing help them build brand awareness
Community-Based Marketing
and loyal customers in the community. Through local “ambassadors,” social media,
and in-store community boards, lululemon creates brand loyalty and grows its
brand awareness locally.
Local ambassadors, who are individuals that are active in the athletic community,
help raise community brand awareness. The in-store community boards help bring
people into the stores and educate them about the different planned in-store and
community activities. Each lululemon location has a community coordinator who
organizes athletic events and philanthropic activities to raise brand awareness
locally.
21

22. Strategies
Keeping in line with the campaign’s objectives, the marketing strategy will seek
to create customer awareness regarding the lululemon brand, develop the target
customer base, and establish lasting connections with target markets.
Our three main strategies are as follows:
• Increase brand awareness and image among the target demographic.
• Engage current and potential customers nationally and locally.
• Further develop customer loyalty.
We intend to maintain the current lululemon community-based marketing strategy
and rely heavily on new and social media tactics, as well as community outreach
and media relations activities. Our tactics will be implemented at a national scale;
however, lululemon stores will also be divided into regions. Localized tactics within
each region will be critical to the campaign’s overall success throughout the year.
Bulldog Marketing has developed the following marketing tactics for the “Do You
Plans
lulu?” year-long campaign. Other tactics such as a press kit, press conferences, a
crisis communication plan, website
redesign, and branding were also
considered for this campaign; however,
our firm found that lululemon’s current
strategies in each of these areas were
already closely aligned or surpassed
the overall objectives of “Do You lulu?”
Plans for marketing tactics at both the
national and local levels are presented
below.
22

23. Community Relations
Local
Since lululemon focuses on building brand awareness through underground and
guerrilla marketing techniques, it is critical for the company to have a community
relations plan in place. Building brand awareness through activities in the local
community can positively affect people’s images of the brand and grow the potential
consumer base. The “Do You lulu?” campaign includes comprehensive community
relations tactics that can be implemented locally at minimal cost.
Because lululemon sells fitness clothing, the campaign will focus on fitness and
athletic community relations strategies. In recent years, many public schools have
been forced to cut physical education programs due to budgetary constraints. All
the while, childhood obesity has become a growing problem in the US. Employees of
local lululemon stores will teach a yoga class to different schools in the area. Once
a week, one or two employees will visit an elementary or middle school and give
an instructional yoga and fitness class during the school’s normal P.E. class time.
Schools will participate on a rotational basis, which will allow lululemon to reach
as many schools and students in the area as possible. This tactic will create positive
press by associating lululemon’s name with healthy lifestyle education. It will
also increase brand awareness to mothers of the students, widening the potential
customer base of the company.
lululemon will also become a sponsor of the Susan G. Komen Race for the Cure. While
the Susan G. Komen Breast Cancer Foundation has national exposure, different
cities throughout the country hold various walks and races during different months
of the year. lululemon stores will partner with the local affiliate in their area and
become an official sponsor of the event. Sliver level sponsorship packages for the
local events begin at $15,000 while bronze level packages begin at $10,000.
23

24. New and Social Media
In order to align with lululemon’s mission to create strong customer loyalty by
building a community, Bulldog Marketing’s plan includes a significant emphasis
on social media tools. Presently, lululemon has a national presence on social media
outlets such as Facebook, Twitter, Vimeo, Youtube, Flickr, Foursquare, and their
company blog. While this is a great start, Bulldog Marketing would like to increase
the level of consumer participation in Facebook and Twitter as well as explore new
media outlets and streamline the social media usage at all lululemon stores.
National and Local
Currently each lululemon store is in charge of building this online community through
Social Media Handbook
grassroots efforts. However, not all of the lululemon stores use social media or, if
they do, they do not use all the social media tools available. To combat this problem,
a social media handbook will be created and distributed to each of lululemon’s 70
U.S. stores. This handbook will have a section for each of the main social media tools
like Facebook, Twitter, YouTube, blogs, Flickr, as well as new social media tools such
as Foursquare, Tumblr, Instagram, SCVNGR, and QR Code implementation.
The handbook will include a quick synopsis of each social media tool as well as ways
to use each in order to create community involvement and fit with the overall “Do
You lulu?” campaign. (Appendix 2)
In order to ensure that the social media tools are implemented properly, a regional
social media manager will oversee a section of stores and provide training and
support to the store’s educators and brand ambassadors.
The following are short overviews of how each of these social media tools would be
used in the national “Do You lulu?” campaign. Some of these tactics will be explained
in greater detail later in the plan, and each will be expanded upon in greater detail
and adapted for local implementation in the social media handbook.
24

25. New and Social Media
Currently lululemon has a corporate Facebook page with more than 300,000 “Likes.”
Facebook
Bulldog Marketing aims to increase this number by 50,000 “Likes” at a national level
during our year-long campaign. Increasing the number of “Likes” is important for
three reasons: brand loyalty, customer insight, and revenue growth. According to
Adweek, by actively participating in Facebook, “marketers can confidently expect to
improve the level of brand loyalty among their Facebook fans as well as create an
engaged audience from which to glean important customer insight” (Adweek, 2011).
Also, according to the blog TechCrunch (2011), the value of a Facebook “Like” is
$8, meaning that by adding 50,000 to the corporate page, our campaign would add
$400,000 in value.
In order to increase these “Likes,” Facebook would be used in conjunction with the
special events such as National Yoga Month, the “Do You lulu?” bus, and the guerrilla
marketing tactics outlined later in the plan. Each event will include a social media
component, whether it be online contests or exclusive events, only available for
those individuals who “Like” lululemon on Facebook; this will also be outlined later
in the plan.
Facebook will also be used to contact key media influencers outlined on the
influencer map. Facebook is a great way to identify and cultivate relationships with
these influencers in order to create a stronger community presence.
lululemon’s Twitter page has a total of 72,000 followers, which Bulldog Marketing
Twitter
would increase by 100,000. This equals a total of $200,000 in added value
(TechCrunch, 2011).
Twitter’s main purpose is to disseminate information quickly and precisely is short
messages, or “tweets.” Twitter would be used much in the same way as Facebook,
as the company will market special events and encourage participation in online
contests using the hashtag #DYL2011. By creating a hashtag, participation in
25

26. New and Social Media
lululemon events will be easily identified and tied into the contests, creating a more
unified campaign. The goal is to create a hashtag that becomes a trending topic on
Twitter, which increases both the campaign and overall brand awareness. These
contests will also be outlined later in the plan.
Like Facebook, Twitter is a great way to directly contact the key influencers outlined
in the key influencer map. Twitter will be used to inform these key influencers of the
special events related to the “Do You lulu?” campaign and cultivate a dialogue with
them, leading to an increase in the number of quality followers.
Twitter will also be used by the national spokesperson to tweet about the lululemon
products she is using or events she is attending during the year-long campaign.
Right now, lululemon’s YouTube page includes interviews with founder Chip Wilson,
YouTube
and some of the company’s brand ambassadors. Because YouTube is the No. 2 search
engine in the U.S. behind Google (TechCrunch, 2008), Bulldog Marketing would like
to expand lululemon’s presence on this tool by posting content related to the “Do
You lulu?” campaign.
Behind-the-scenes preparation for the “Do You lulu?” bus tour will be posted on
YouTube, as well as an ongoing video diary. This video diary will document life on
the bus and showcase the events at each of the cities on the tour.
Video will also be taken at each store to showcase activities during National Yoga
Month. Because the month culminates in the Guinness World Record day, preparation
for this day will be documented in addition to the actual event.
lululemon’s national spokesperson will also be required to record YouTube videos
showcasing how she practices the lululemon philosophy; she will also encourage
people to post video replies showcasing how they answer the question, “Do You
lulu?”
26

27. New and Social Media
Blogs are a great way to increase natural search results and position lululemon as a
Blogs
thought-leader in its industry.
lululemon has a blog that is accessible through its main website under the
“Community” tab. The blog content is mostly related to showcasing brand
ambassadors and loyal lululemon consumers.
When the campaign begins, the national blog should be used much in the same way
at YouTube to document the major unique events such as the bus tour and National
Yoga Month, as well as to provide more tips on practicing a healthy, zen lifestyle.
At a local level, brand ambassadors will be in charge of creating blog content that
reflects the lululemon lifestyle. These blog posts will range from documenting
events at the local stores that relate to the “Do You lulu?” campaign to giving healthy
living tips to providing original commentary on recent news articles that relate to
the overall healthy, zen lifestyle.
Flickr is a great way to showcase beautiful photography or artwork and connect
Flickr
with consumers who are interested in this form of media.
lululemon’s current Flickr photostream consists mainly of photos of group yoga
classes. For the “Do You lulu?” campaign integration, Flickr will be used to post
pictures of all the special events held throughout the year, including the ones
mentioned earlier. The whole yoga bus experience will be documented from start to
finish in addition to the events held throughout National Yoga Month. These photos
will be featured in a new photostream titled “DYL2011.” These photos will also be
included in the blog posts with links to the album year-round.
Participants will be encouraged to include their own photos of the events or other
artistic yoga-related photographs in this photostream or under the DYL2011 tag.
27

28. New and Social Media
These photos can be entered into the “Do You lulu?” contest, which will be mentioned
later in this plan.
Foursquare is a geolocation tool where participants “check-in” to locations in order
Foursquare
to earn points and badges that normally lead to rewards. If an individual checks-in
enough times, he or she becomes the mayor of that location. Oftentimes the mayor
receives perks, such as discounts or free merchandise, from the business.
lululemon has a national Foursquare account where participants can check-in to
find events at local lululemon stores. This will be also used during the campaign.
When a person checks-in to a “Do You lulu?” event—either the bus tour, flash mob,
or yoga month event—tags it with the hashtag #DYL2011 and tweets it, she will be
eligible to win specialty items or other prizes, available at the check-in site.
Tumblr is a new way to blog—it is not so much about writing posts as it is posting
Tumblr
short quotes or pictures. Tumblr is like the Twitter of the blogging world.
A Tumblr account used specifically for the “Do You lulu?” campaign will be created
and used as a way to aggregate all the information tagged with the #DYL2011
hashtag—from tweets/quotes to pictures to videos. This will be a very visual way
for our target to follow the campaign and see everything at a glance.
Instagram is the newest smartphone photo-taking application. This app is great
Instagram
for amateur photo takers who want to take photographs and add beautiful filters
to make their photos appear more artistic. The application also allows the user to
share photographs in real-time and like other users’ work. The Instagram platform
is great for people who tend to take pictures more often with their smartphones
than a digital camera and who love the integration with other social media networks.
28

29. New and Social Media
Brands such as Kate Spade, Brisk Iced Tea, and Red Bull have adopted Instagram
as a way to brand their products through photos (Mashable, 2011). The lululemon
campaign will also use Instagram as a branding technique and integrate it into the
“Do You lulu?” campaign.
Users of the application will be able to hashtag their photos throughout the year with
#DYL2011, which will then be showcased on Tumblr and earn them eligibility to be
entered into the photo contest during September. By hashtagging the photos, those
users who decide to tweet the photos will also be contributing the overall visibility
of the campaign on Twitter. Instagram will also be used during other events by the
brand ambassadors or store educators who want to snap pictures to showcase their
store.
During National Yoga Month, each store will complete a week-long scavenger hunt
SCVNGR
using the new smartphone app called SCVNGR.
SCVNGR allows individuals or stores to create a hunt in as many locations as they
please with specific tasks at each location. These tasks can be anything from taking
a simple photograph of the location to performing some sort of small feat, like doing
the “downward-facing dog” position in the middle of a park and taking a picture as
proof.
In order to participate, one must download the SCVNGR app to her smartphone and
follow the clues to the different locations. Once completed, users will be entered
into a drawing for a lululemon giftcard and will also receive specialty items for
participating. The locations will be chosen by each store with heavy emphasis on
strategic partnerships and approval by the regional social media manager.
The scavenger hunt will be publicized both on both the national and individual
store’s social media outlets. Photos can also be taken during the scavenger hunt and
integrated on the previously mentioned social platforms for campaign integration.
29

30. New and Social Media
This hunt can also be repeated during the year as a store’s required monthly event
and can also be adapted for use on Foursquare.
QR Codes, a new media technique, are small, barcode-like images that once scanned
QR Codes
with a smartphone, bring the customer to an online site. This site can be a page
within a website, a YouTube video or a blog post—anything that has a unique URL.
The main way QR codes will be used during the campaign is to integrate the national
spokesperson into the campaign and convey the benefits of owning lululemon gear.
To accomplish this, QR codes will be displayed on the featured items table at the
front of each store, both on the table, in the window, and on the individual clothing
tags. These items will be the newest products in the lululemon line, which will
rotate about two to three times during our campaign according to the seasons. Once
scanned, the user will be directed to a short YouTube video featuring the national
spokesperson talking about the product’s benefits, why she likes it, and how she
practices the lululemon philosophy. At the end of the video, the user will be informed
of the “Do You lulu?” campaign and the presence of the lululemon brand on social
media sites.
During our primary research survey, the biggest reason people did not purchase
lululemon gear was its high-price point. By integrating QR codes with the YouTube
account, lululemon will be able to show consumers the benefits of paying a premium
for a premium product and will also integrate the company’s products into the entire
campaign.
QR codes can also be included in lululemon’s e-newsletters and direct mailing
pieces to link back to already created and relevant content, such as the previously
mentioned YouTube videos, to tie the campaign together as well.
30

31. Media Relations
National and Local
Forming quality relationships with the media will be an ongoing effort both the
national and local levels. These relationships will be formed through both traditional
public relations efforts such as press releases and new social media efforts through
Facebook and Twitter.
In order to determine who lululemon should make contact with, Bulldog Marketing
will create a national-level key influencer map. This map will also be created
at the local/regional level by the regional social media manager and the store
educators with the help of Bulldog Marketing so that each store will have a better
understanding of whom to form relationships with in order to influence the most
people in its community.
31

32. National Key Influencer Map
32

33. Digital Marketing
National
Due to our objective of increasing website traffic and online sales, a national digital
marketing campaign is crucial. Bulldog Marketing wants to integrate both Google
Adwords (paid search) and natural search, or search engine optimization, campaigns
into the overall marketing strategy. This can be outsourced to an Internet-specific
advertising agency, making it more economical for lululemon.
An Adwords campaign will be created to capitalize on keywords people search for
when looking to buy workout apparel in order to give lululemon a greater online
presence and increase conversions on its website.
The natural search campaign will be created to drive lululemon’s website higher on
search engines rankings for keywords also pertaining to yoga, workout gear, and
healthy lifestyles in general. This will also strengthen the brand’s online presence
and drive traffic to its website.
Groupon will also be used in the campaign as a way to drive traffic lululemon’s
e-commerce site and build national brand awareness. Bulldog Marketing plans to list
a Groupon at a national level, redeemable either on the lululemon website or at the
customer’s nearest store location. Our approach will be
to offer Groupon customers a 50 percent discount on
lululemon apparel—pay $25 and receive $50 worth of
merchandise. Since most of lululemon’s merchandise
is greater than $50, the average customer will spend
more at the store. We plan to run the Groupon in
January, since that is when most people have made
resolutions to lead a healthier lifestyle in the coming
year. Our hope is that while lululemon is offering its
products at a discount, the difference in revenue will
be made up in additional sales on top of the discount
and increased brand awareness.
33

34. Special Events
National
Because this campaign will not focus on traditional media like print and billboards,
staging special events will be critical in fulfilling our objectives. The largest event
planned at the national level will be a celebration of National Yoga Month, which is
during the month of September. Promotion for all of these events will come through
social media, e-newsletters, and direct mailing campaigns.
To kick off the festivities, lululemon will launch a month-long social media contest.
Customers will be encouraged to answer the question “Do You lulu?” by snapping
a picture of themselves doing yoga in an unusual place or in their lululemon gear.
Participants will then upload the picture to Facebook, Flickr, Twitter, or Instagram
using the hashtag #DYL2011. The lululemon national spokesperson and select brand
ambassadors will choose the best pictures, determined by the presence of lululemon
apparel, creativity, and uniqueness. The top 50 photos will be recognized and shared
by the company in special online photo albums, where lululemon customers can
then vote on their favorite photos. The top three finishers will receive special prize
packages that include a lululemon gift card and select merchandise.
Special in-store events will also occur each week during National Yoga Month. An
example of one of these week-long in-store events is a social media scavenger hunt.
lululemon customers can participate in the scavenger hunt throughout the designated
week by signing up at their local store. To complete the contest, participants must
solve riddles that will lead them to certain locations within their cities (specifically
to businesses that are strategic partners with lululemon). Once at the location,
the participant will check-in via SCVNGR, take a photo of herself or complete an
activity at the location, and move on to the next place before returning to lululemon.
Every participant will receive specialty items and the names of participants who
complete the scavenger hunt during the week will be entered into a drawing to win
a lululemon gift card.
The month of activities will culminate in an attempt to break the Guinness World
34

35. Special Events
Record for the most people doing yoga at one time. To undertake this, lululemon
will work closely with Guinness to plan and monitor the official record attempt. On
Saturday, Sept. 24, lululemon stores across the country will begin the attempt at 4
p.m. eastern time. Yoga instructors in each store will lead customers in a 20-minute
yoga routine, with hopes of breaking the current world record of 29,973 people.
Local
Special events play a large role in the campaign’s local focus. Events at the local level
will be both regional and store-specific.
Regional events will include a regional yoga conference. Every U.S. region will
organize a conference between March-May 2012; the location will be at an area
spa or resort center. Each retreat will last for three days and will feature speakers,
yoga gurus, yoga exercises, general mediation, and other relaxation activities. Area
lululemon stores will partner with yoga studios and health food retailers to organize
the conference. Customers can sign up to attend the weekend getaway for a minimal
fee, while local brand ambassadors can attend for free.
Stores will also be required to participant in at least one special in-store event per
month; however, managers may plan more than one event per month if they so
choose and if their store budget allows. No event should be repeated at a particular
store location more than twice during the year. Managers can create their own in-
store events, but they must be approved by the appropriate marketing executives
before they are organized. Examples of these in-store events include the following:
• Partnering with a local health food store to offer a healthy, fresh in-store breakfast
to customers before a morning run or free yoga class
• Organizing a picnic in the park event featuring an outdoor yoga class and light
refreshments
• In-store fashion shows, where employees can model and display the latest
lululemon apparel
35

36. Trade Shows
National
Staying current with the developing technologies, changing market preferences,
and capturing new leads are musts to survive in this industry. This portion of the
campaign focuses on forming strategic partnerships with gyms, fitness centers, and
workout studios that stay in line with lululemon’s mission and goals. Because this
is more of an industry-wide experience, lululemon will be participating in a trade
show--the National Fitness Trade Show.
The annual National Fitness Trade Show is held every year in Reno, Nevada in mid-
August. Here, lululemon can expose itself to top fitness products and equipment
from leading manufacturers ans gain insight into what competitors and consumers
are focusing on.
lululemon will purchase the attendee list for the show. After selecting the top 50
attendees that directly align with lululemon’s overall target and goals, lululemon
will then develop a pre tradeshow promotion plan. This pre-show promo, promoting
the question, “Do You lulu?,” will be tailored to each of the attendees and provide an
extra incentive for them to visit lululemon’s booth at the show. This pre-promotion
will be delivered to the selected 50 attendees two to four weeks prior to the event.
During the event, lululemon will develop a space that will not only grab the visitor’s
attention, but will also clearly communicate the essence of lululemon in an effective
and efficient way.
Attendees will also be encouraged to leave their contact information after meeting
briefly with on-site lululemon educators. At the show, key lululemon employees will
be tasked with exploring and researching the show as a whole. Their main purposes
will be to take note of competitors’ developments and visitors’ behaviors and
preferences, as well as gain ideas from any interesting or innovative products that
are showcased. Post event, lululemon will also develop a post-show strategy. This
would include connecting with any of the selected 50 who did not visit lululemon at
the show, and driving home the connections lululemon was able to gather.
36

37. Direct Mailing
Local
This marketing tactic will be used to directly increase the participation and
awareness of lululemon’s National Yoga Day and Guinness World Record Day events
at a local level.
The mailing list is the most important element in any direct mail package. lululemon
will gather its contacts from addresses obtained in-store--e-mail marketing for
in-store exercise classes, social media connections etc. This list of lululemon’s
customers or clients is one of lululemon’s greatest assets and will be treated as
such. By targeting only contacts who have previously connected with lululemon
before, the direct mail piece will increase the success of the direct mail program
while minimizing the risk of failure. These contacts already have a relationship with
lululemon, and the goal will be to strengthen this relationship by making them an
offer and stimulate their interest with a call to action.
The “offer” of the direct mail piece is the next most important aspect of this package.
lululemon’s strategy is to deliver a copy that is quick, to the point, and easy to
understand. The bold typeface combined with lululemon’s iconic red will help to
grab the receiver’s attention and make them hesitate before making a decision about
the mail piece. lululemon’s strategy is to hone in on the element that their target
market values most--image. The offer will include the question, “Do You lulu?,” in
which the participant will receive local, national and even global recognition for
her participation. This directly feeds the target consumer’s need to be viewed as an
athletically hip and trendy individual.
The sample direct mail piece is in promotion of lululemon’s Guinness World Record
Sample Direct Mail Piece (Appendix 3)
Day. The front of the piece will include the recipient’s address, what lululemon wants
the recipient to do, and a QR code that will direct the reader to a specially made,
mobile-friendly landing site that will give more detailed information about the
event, direct the recipient to their nearest lululemon store, and keep track of which
37

38. Direct Mailing
recipients utilized the QR code for lululemon’s references. The lululemon address
and contact information on the front side will also be tailored to the recipient’s
nearest lululemon store location.
The back of the direct mail piece is an interactive message. The background for this
image consists of the lululemon mantra that is familiar to all of its customers. The
stylized starburst in the middle of the piece will be clear and simple in contrast to
the busy background. It will feature an attention-grabbing phrase with the questions
“Do You lulu?” The starburst opens to unveil a detailed message of what lululemon
is trying to promote, how it will be achieved, and what the participant will receive
for her participation. In order to appeal
to our target market’s direct need of
projecting a hip, trendy, and fit image,
lululemon will feed the target’s desires
to show their peers their involvement
with world-changing and trend-setting
activities. lululemon will also provide
an exclusive gift that will be available
only to event participants. This gift will
be easily portable, such as a customized
keychain, to further help lululemon’s
target market project and cast an ideal
image.
38

39. Specialty Items
National and Local
Since lululemon will be involved in community events, yoga conferences, and
the National Fitness trade show, specialty items will be a tactic of our campaign.
Because lululemon stores sell smaller products like water bottles, the specialty
items the campaign uses should reflect lululemon’s culture and relate that culture
to consumers. Items would all be
branded and could include elastic
headbands, tote bags, notebooks
for daily affirmations, stopwatches,
and heart monitors. We would
also make key chains that sport
the lululemon brand and phrases
from the company’s manifesto like
“Friends are more important that
money,” “Sweat once a day,” and
“Breathe deeply.”
These specialty items will only be given to those individuals that participate in the
lululemon “Do You lulu?” campaign special events—whether it be doing yoga with
the yoga bus, participating in the city-wide scavenger hunt, or visiting the trade
show booth. We want to ensure that each person who receives the item will be a
potential customer and an asset to the overall lululemon brand image.
39

40. Public Relations
National
Lululemon would benefit from a public relations makeover. This large endeavor will
need to be done on a national level with the aid of a professional public relations
firm to develop a detailed year-long campaign. The goal of the public relations
tactic is to align closely with lululemon’s key
influencers in order to increase lululemon’s
brand awareness, customer base, and long-
lasting connections nationally.
Following the key influencer map that Bulldog
Marketing has developed, lululemon will
research and hire a public relations firm to
develop strategies that stay true to lululemon’s
goals and values. Some ideas may include
sending clothes to key influencers like Michelle
Obama as well as social media key influencers
like bloggers in order to get featured in
publications, in physical and digital form, about
lululemon’s other marketing tactics, events,
products, and stores. The public relations firm
will also be tasked with sending out traditional press releases to the identified key
influencers about the various events lululemon will have throughout the year--like
the Guinness World Record day (Appendix 4).
40

41. Guerrilla Marketing
National
lululemon will hit the road with guerrilla marketing. A custom, specially outfitted
lululemon bus will be sent across the country on a nationwide tour. The bus will
spend the entire year traveling the country, making stops at a majority of U.S. cities
with lululemon stores. Aside from the bus driver, a yoga instructors and two brand
ambassadors will be aboard the “Do You lulu?” bus. When the bus arrives at its
destination—and at various pit stops during the road trip—the instructors will
lead impromptu yoga classes, either at a location close to where the bus is parked
or on the roof of the vehicle, as it will also be equipped to support a class. For
example, the bus could park outside of a grocery
store, local park, or shopping mall and lead a
yoga class on its roof. The yoga bus may or may
not actually visit a lululemon store when it visits
a city, but when interested individuals visit the
bus and participate in a yoga class, they will be
given branded specialty items like water bottles
or headbands.
Local
Local stores will engage in guerrilla marketing tactics, specifically in organizing
yoga flash mobs within their cities. For example, Houston area lululemon stores will
collaborate to come up a date, time, and location of a flash mob; perhaps organizers
decide that at 4 p.m. on May 5, 2012 at Hermann Park, as many people as possible will
gather and hold the downward-facing dog pose for five minutes before dispersing.
Details about the event will be spread in true flash mob fashion, via social media
and word-of-mouth. lululemon employees and brand ambassadors will participate
in these flash mobs wearing their lululemon apparel, but other than this subtle nod
to the company, no other branding of the event will occur. Flash mobs should be
organized no more than four times per year.
41

42. National Spokesperson
National
lululemon will employ Alison Sweeney as its national spokeswoman. Sweeney is the
34-year-old star of the soap opera Days of Our Lives and the host of the television
show The Biggest Loser. She is also a young mother and relateable to the Mother Zen
target. Sweeney fits the profile of a current lululemon customer and will increase the
brand’s awareness on a national level. Currently, Sweeney has a healthy eating book
titled The Mommy Diet, as well as a website where she blogs about topics related to
living a healthy lifestyle, both of which are geared toward our target market.
Sweeney is already a known
fan of the lululemon brand—
she tweets about the products
and even wears them on The
Biggest Loser. Because of this,
we feel that she should be
contracted to represent the
brand. As lululemon’s national
spokesperson, Sweeney will
be required to attend national
lululemon events and contribute
to the social media efforts. This
will include appearing at certain
tour stops of the lululemon bus
and high-profile National Yoga
Month events (like the Guinness World Record Day) as well as contributing to social
media through taping YouTube videos, blogging, and tweeting. She will also wear
lululemon apparel during her hosting duties on The Biggest Loser.
42

43. July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June
11 11 11 11 11 11 12 12 12 12 12 12
Community Relations
PE Class Instruction
Komen Sponsorship
Social Media
Media Relations
Digital Marketing
Adwords
Natural Search
Groupon
Special Events
Yoga Conferences
National Yoga Month
In-Store Events
Trade Shows
Timeline
National Fitness Show
Direct Mail
Specialty Items
Public Relations
Guerilla Marketing
Yoga Bus
Flash Mobs
National Spokesperson
43

44. National Budget
National Budget Breakdown
Social Media $520,000
Social Media Managers Salaries (5 Regions) $250,000
Handbook Creation and Training $250,000
QR Code/ Content Creation and Distribution $20,000
Media Relations $15,000
Influencer Map Creation and Training (National and Regional) $15,000
Digital Marketing $50,000
Adwords/Natural Search $50,000
Groupon $0
Special Events $2,000,000
National Yoga Month $2,000,000
Trade Shows $30,000
National Fitness Show $30,000
Specialty Items $600,000
Public Relations $175,000
Sent Apparel Costs $25,000
Year-Long Campaign $150,000
Guerilla Marketing
Yoga Bus $500,000
Outfit the Bus $200,000
Diesel Costs $6,000
Driver Salary $28,000
Yoga Instructor Salary $32,000
Brand Ambassadors Salary (2 people) $50,000
Food and Lodging Expenses $50,000
Other (specialty items, insurance, etc.) $134,000
National Spokesperson $5,000,000
Individual Store Allocation $7,000,000
70 Stores, $100,000 Each for Events
Contingency $1,110,000
TOTAL: $17,000,000
44

45. Local Budget
Local Budget Breakdown
Community Relations $15,000
PE Class Instruction $0
Komen Sponsorship $15,000
In-Store Events $48,000
Twelve Events/Year x $4000/Event $48,000
Special Events $10,000
Regional Yoga Conferences (Each Store's Contribution) $10,000
Direct Mail $9,500
Direct Mail Pieces $3,000
Monthly Newsletters $6,500
Contingency $17,500
TOTAL: $100,000
45

46. Summary
Bulldog Marketing’s goal is to increase lululemon’s brand awareness in the U.S.
market while staying true to lululemon’s unique community-based marketing
strategy, company culture, and individual store identities.
lululemon’s strength lies in the fact that it produces high-quality products with
innovative features and styles, has a well-trained staff for each carefully selected
premium store location, and has a large amount of local control for retail and
marketing strategies. However, this individual approach to marketing has resulted
in weak brand recognition in the U.S. and a slower growth strategy. Having selective
retail locations may give lululemon the position as a premium brand with premium
pricing, but it also reduces the number and accessibility of the few retail outlets.
Also, because lululemon’s marketing strategy is heavily focused on work-of-mouth
and grassroots marketing styles, it must be very conscious of what its consumers
want and need, as well as what those consumers are saying about them.
lululemon has a narrow focused customer type. The company’s target market
consists of health and image conscious 18-34 year-old women. Bulldog Marketing
has identified two primary groups within this market: the “Zen Y”er and the Mother
Zen. Both groups of women are trend conscious and pride themselves on projecting
an image of being young, trendy, and healthy.
Bulldog Marketing plans to take all that is unique to lululemon and expose it by asking
the simple question, “Do You lulu?” Through our national and local marketing plan,
Bulldog Marketing strives to elevate the lululemon brand in the U.S. while staying
true to lululemon’s historical marketing effort. This campaign honors lululemon’s
strategy of giving more power and control to the stores on a local level while
maintaining a consistent brand image nationally. This detailed strategy includes
marketing elements that are developed specifically for all lululemon stores both
collectively and individually. The campaign will rely heavily on social media, special
events, and guerrilla marketing tactics, all of which pose the question: Do You lulu?
46

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