Athleta is seen as Lululemon’s biggest competitor. Gap acquired the catalog business in 2008.
Since then, the retailer has expanded to include stores and a large e-commerce contingent.
Gap bought Petaluma, California-based Athleta in 2008 for $150 million to extend its position in women’s premium sports- clothing and active-wear beyond its Gap Body division. Founded in 1998, Athleta had a built-in following and sold products through catalogs and its website. Gap (GPC) is using its expertise operating more than 3,000 stores to turn Athleta into a brick- and-mortar retailer.
Of Athleta’s 22 locations, 13 are about a mile or less away from a Lululemon, based on the addresses listed on both company’s websites. Athleta is opening seven more stores this summer and fall from Seattle to Boston, and all but one will be a 12-minute walk or closer to a Lululemon. Gap plans to have 50 Athleta locations by the end of next year.
The geographic proximity to Lululemon locations is a coincidence, and Athleta is only
opening stores where, according to a “heat map,” online customers buy the most, said Toby Lenk, head of Gap’s online operations.
We listen to our clients around the world and share their expectations. For us, that means looking deeper into our supply chain to ensure that we take a responsible path throughout the product lifecycle, from the source to our stores.
