UK markets closed
  • NIKKEI 225

    27,927.37
    -102.20 (-0.36%)
     
  • HANG SENG

    23,349.38
    -417.31 (-1.76%)
     
  • CRUDE OIL

    69.72
    +0.23 (+0.33%)
     
  • GOLD FUTURES

    1,781.00
    +1.50 (+0.08%)
     
  • DOW

    35,227.03
    +646.95 (+1.87%)
     
  • BTC-GBP

    38,105.72
    +837.95 (+2.25%)
     
  • CMC Crypto 200

    1,286.62
    +26.46 (+2.10%)
     
  • ^IXIC

    15,225.15
    +139.68 (+0.93%)
     
  • ^FTAS

    4,117.60
    +58.28 (+1.44%)
     
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Lululemon CEO explains why it bought Mirror

·Markets Reporter
·1-min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Workout apparel retailer Lululemon's (LULU) acquisition of Mirror during the pandemic was about strengthening the company's relationship with customers, says CEO Clavin McDonald.

“The acquisition and the positioning of Mirror was all about strengthening our community relationship with our guests,” McDonald said during Yahoo Finance's All Markets Summit

“The more that they engage and sweat with us, the more they spend. And it drives the overall loyalty. And that vision hasn't changed," he said.

Photo by: John Nacion/STAR MAX/IPx 2020 4/27/20 A view of Lululemon in New York City USA during coronavirus pandemic.
Photo by: John Nacion/STAR MAX/IPx 2020 4/27/20 A view of Lululemon in New York City USA during coronavirus pandemic.

Last summer Lululemon announced it was buying the fitness technology company for $500 million. Mirror competes with Peloton (PTON) by selling the hardware and offering live and recorded streaming work-out classes. 

The acquisition was announced amid the pandemic when people were locked down, working out at home. 

McDonald sees a hybrid work-out model going forward as lockdowns have eased and more people are going about their every day lives. 

"I believe in hybrid fitness," said McDonald. "I'm an active fitness junkie myself." 

Lululemon's CEO says guests will continue to go back to physical studios and exercise outdoors, but also work out at home.

"Mirror is uniquely positioned as your at-studio, at-home device," said McDonald. "I'm confidant that the hybrid fitness strategy will work. We're well positioned with the product."

Lulu shares are up about 23% year-to-date.

Read the latest financial and business news from Yahoo Finance

Follow Yahoo Finance on Twitter, Instagram, YouTube, Facebook, Flipboard, and LinkedIn

Yahoo Finance's All Markets Summit
Yahoo Finance's All Markets Summit
Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting