Lululemon Athletica Inc. founder Chip Wilson lashed out over the corporate’s newest product flop, calling it a “total operational failure” that he blamed on the corporate’s board of administrators.
“This is a new low for Lululemon,” Wilson mentioned in a put up on LinkedIn. “It is clear that persistent failures like this are born out of this Board’s lack of experience in creative businesses, disinterest in product development and quality, and focus on short-term, self-interested priorities.”
Wilson’s feedback put extra strain on the corporate after the failed launch of its “Get Low” leggings, which drew complaints for being see-through. Lululemon paused on-line gross sales of the road simply days after it debuted on-line, although it’s nonetheless stocked in shops.
Lululemon on Tuesday mentioned it halted e-commerce gross sales “to better understand some initial guest feedback and support with product education” and that it expects to renew on-line gross sales quickly.
Lululemon didn’t instantly reply to a request for touch upon Wednesday.
The episode marks one other stumble for the troubled retailer because it tries to revive gross sales momentum and win again buyers. About 18 months in the past, Lululemon withdrew its Breezethrough line shortly following its debut after prospects reported unflattering matches.
The newest misstep additionally echoes a 2013 incident through which Lululemon recalled a lot of its black yoga pants after issues surfaced that the model’s iconic leggings have been see-through.
Wilson is likely one of the firm’s largest shareholders and has been waging a public battle in opposition to the corporate he based in 1998, calling for a board shakeup.
Lululemon final month mentioned chief govt officer Calvin McDonald would step down on the finish of January and the board is trying to find his substitute.
Activist investor Elliott Investment Management has constructed a stake of greater than $1 billion in Lululemon and has been working for months with retail govt Jane Nielsen — a former chief monetary officer and chief working officer at Ralph Lauren — on Lululemon.
By Lily Meier
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Slowing progress, rising prices and a loud marketing campaign from its outspoken founder set the stage for Calvin McDonald’s exit. It often is the athleisure large’s greatest hope to regain its cultural momentum.