“…I know that three years ago, when I was chairman and Lululemon was worth twice as much as Under Amour, I personally was thinking of buying Under Armour,” Wilson said. “So I would think now that Under Armour is worth three times the amount of Lululemon, someone’s got to be thinking something out there.”
This is not the first time Wilson has dropped that crushing statistic. He revealed the same brutal stat back in October at the International Shopping Centres Conference.
Still, Wilson said he chose to not buy Under Armour for specific reasons.
“Well, I think Kevin [Plank, CEO and founder of Under Armour] probably had a big future and a big idea and he knows where he was going, and I think he had more control over the company and more control over his future,” Wilson said in the interview.
“You know you can always start a conversation, but I think Lululemon had its own big future and its own … its own growth, and it really didn’t need Under Armour to do that,” he said.
This disclosure comes on the heels of discussion surrounding Lululemon’s future, as competition continues to increase.
Under Armour has been experience tremendous growth; the sportswear brand recently had its first-ever billion dollar quarter. Under Armour is arguably one of Lululemon’s top competitors, especially with its female-targeted campaigns.
Wilson said that the culture is what had set Lululemon apart from other companies.
“I really think it’s culture,” he said. “Lululemon was first and foremost a people development company. And it’s the same model that Apple and Tesla followed in, and then of course, Kit & Ace has perfected — and that is taking a beautiful product and making it technical and taking it directly to the customer. And that requires a very specific type of development of employees in the company.”
Wilson admitted that he still feels strongly towards Lululemon — even if his attention is now focused on his new project. “Yeah, it is my baby, but you know, now I have another one,” he said, referencing his latest project, Kit & Ace.
Lululemon isn’t in dire straits yet; in its most recent quarter, the retailer reported an increase in sales, despite results that were slightly under what analysts had estimated.
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