Lululemon has a great opportunity to make “lemonade” with latest product recall
On Monday, March 18, 2013, Lululemon posted a discrete message to their “guests” concerning their black luon women’s bottoms. Since then a barrage of media has ensued criticizing Lulu more about its uncharacteristic handling of the situation than about the pants themselves. Despite a call for the CEO’s resignation, this marks a monumental “creative” opportunity for Lulu to demonstrate their real transparency as a company, and, in so doing, build back some of their evaporating brand loyalty.
Yesterday BrandChannel posted: “For customers, what’s at issue is the company’s responsiveness and outreach strategy. While Lulu addressed the “shortage” of black yoga pants after pull(ing) them from stores and the website (they’re not calling it a “recall”) in a blog post to customersand an FAQ and press release intended for investors, there have been no posts on the company’s social media touchpoints—an odd move for a brand that touts its “community” and calls its fans “guests.”This is one of those hot potatoes where action is more important than reaction. Lulu has a precious opportunity right now to make lemonade out of lemons – no pun intended. Although Lulu has acknowledged the issue, they have not been very open and forthright with apology. Instead, they suggest contacting their Guest Education Centre which, as a name unto itself, is as condescending as it gets in this situation.How can Lululemon make Lemonade here?
Phase 1) an announcement in video direct from the CEO, Christine Day, acknowledging the issue, owning the responsibility of the issue and setting out an action plan to remedy the situation. Coincidentally, an example of how to do it right happened this week at the TTC – see the video to the right.
Phase 2) report, on a regular basis, what the latest developments are in respect to the action plan.
Phase 3) repeat #2 till the issue is resolved.
It is key, in this situation, not to speak about how good Lululemon is as a company – become humble – focus only on the issue at hand by solving it in the best interests of the customer. If this is completed with honesty and authenticity, brand loyalty will be yours in spades.
Phase 4) once the dust settles, add a chapter to Lulu’s company history website link proudly acknowledging how their transparent pant issue made them a more transparent company.
Lulu, these leaders are great examples to follow. ↓