lululemon needs a spark.
The news: CEO Calvin McDonald will step down at the end of January, following a year in which the company’s stock lost roughly half its value.
Ice-cold. The Americas, once lululemon’s growth engine, have cooled — same-store sales fell 5% last quarter, and store traffic is down. Beyond the numbers, the brand is losing cultural relevance, with fewer breakout products and less connection to how consumers train, recover, commute, and socialize.
New uniform. Once synonymous with leggings, activewear is now tied to identity and performance. Consumers are choosing technical apparel and streetwear-inspired fits for running, hybrid training, and outdoor movement.
From fast-growing rivals like Alo, Vuori, and On to emerging brands like Adanola, Aesene, and LNDR, the category is evolving — and lululemon hasn’t kept pace.
Peer pressure. lulu isn’t the only incumbent under strain. Nike is refocusing on sport after overindexing on lifestyle, PUMA is facing investor pressure amid sale rumors, and Under Armour is still reeling from stalled growth and brand drift.
Looking ahead: lululemon wrote the playbook for modern athleisure. But with its core market cooling and competition heating up, the next CEO must reestablish what the brand stands for in a landscape driven by innovation, energy, and cultural relevance.
