“Fit Mom” Trend Could Keep LULU and GPS Running

“Fit Mom” Trend Could Keep LULU and GPS Running

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Perhaps you’ve heard of the trending pop-up yoga events? Cities including Singapore, London, and New York are all occasionally offering music and healthy foods along with the yoga classes, which in many cases are free and in public spaces. (Article image of a yoga even in NYC’s Times Square)

Yoga is is especially prevalent in female fitness, although it is gaining momentum across all markets. It has also created a subculture, much like any other sport or fitness activity, and with that subculture comes a style.

Style

The leader in yoga and women’s fitness clothing is Lululemon (LULU), while Athleta, owned by Gap (GPS), is not far behind.

The high price tags have helped Lululemon define themselves as the Gucci or Louis Vuitton of yoga.  Athleta offers their product at a slightly lower price, offering an alternative for the rising number of yoga clients unable or unwilling to pay LULU’s prices.  Athleta has done rather well exploiting this and has plans to open an additional 50 stores in the next year.

Fit Moms

Moms across the country are ditching the average “homemaker” title and reinventing themselves as “Fit Moms”. They are a new group of mothers who fill their time with fitness activities and use the fitness as a stress reliever and social event while still finding time to take care of their families.

Exercise is the focal point of many of their social lives and the mothers use their fit lifestyle to promote the healthy living to their children while taking care of themselves.  

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To market to these women, active clothing companies had to change their strategy, because for the most part, the active mom is not watching as much television.  To market themselves they rely on sponsoring athletic events like runs, or in many cases these pop-up yoga events.

Lululemon reported sale increases of 25% in their stores that have been open for more than a year.  And by all indicators, it looks like the push towards fitness and the fit mom trends is still on the rise.

Use the Turbo Chart to compare performance against the S&P500 index:

Use the Compar-O-Matic to see market caps for LULU and GPS. Press “Play” to see how much LULU has grown recently:

 

1. Lululemon Athletica Inc. (LULU, Earnings, Analysts, Financials): Engages in the design, manufacture, and distribution of athletic apparel and accessories for women, men, and female youth primarily in Canada, the United States, and Australia. Market cap at $4.06B, most recent closing price at $57.15.

 

2. Gap Inc. (GPS, Earnings, Analysts, Financials): Operates as a specialty retailing company. Market cap at $14.25B, most recent closing price at $29.12.

 

 

(Written by Ryan Horch)

 

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