Lululemon apologizes for blocking customers who re-sold its products online
Source: ctvnews.ca - http://www.torontosun.com/2014/02/18/lululemon-apologizes-for-blocking-customers-who-re-sold-its-products-online & http://www.ctvnews.ca/video?clipId=292826&playlistId=1.1689551&binId=1.810401&playlistPageNum=1
Date: February 18, 2014
Lululemon is a very popular brand of yoga wear and other clothing. Personally, I have always viewed Lululemon as a rather prestige brand, however, after reading this article I am finding myself having less respect for the brand and company.
Lululemon has a very loyal following of customers; some of which they have recently lost. Some customers have been purchasing Lululemon apparel and then proceeding to re-sell these products online on sites such as EBay. Lululemon did not approve of this as they can not guarantee the products authenticity and decided to ban said customers from purchasing their products online.
One of the customers who was targeted is an extremely loyal follower of the brand; going so far as to have a painting of their logo on his wall. This customer had re-sold some Lululemon products that did not fit him; the company only offers refunds 14 days after purchase on products that have not been worn. Another customer that was targeted claims to have spent $20,000 on Lululemon products!
Lululemon did not make the right move when they banned their customers from purchasing online. When the customer has the product in their possession, whether they purchased it online or at the actual store, it is theirs to do with as they please; if they wish to sell it online, than that is their business. When customers are buying products on EBay they run the risk of whether or not the item is authentic; these customers know this and are aware that it is not the company itself selling the item. With this in mind, it shouldn't really matter to the company; they have already made their profit on the product.
By banning select customers, and very loyal customers at that, the company has spoiled its reputation. The two customers who are mentioned in this article claimed to be humiliated and embarrassed and have stated that the company name has been tainted in their eyes. It does not bode well when a company targets their loyal customers; it gives the impression that they do not care about any of their customers.
The company has since apologised for their actions and have stated that they "have taken steps to fix it as quickly as possible." It was certainly a wise choice for the company to apologise, however, the damage has already been done. The company has been soured in the eyes of the customers they have targeted, and the story getting into the news has brought a lot of attention to the companies faults. Customer service is such an important part of a companies success in this day and age; if a company can not treat their loyalist of customers with respect than that company loses much of my respect along with many others.
Great Article Christie!
ReplyDeleteI totally agree with you. If a customer wants to sell there unused/unfitting item online its their choice to do so. lululemon will be losing customers by doing this. Maybe after loosing several loyal customers they will come to conclusion that this policy of theirs isn't working. But will it be too late? Thats the questions.
For a business like Lululemon, who really haven't been in business for very long, they certainly have made themselves a name. As a brand, I think it's important that they take the steps to resolve their problems quickly too, because like you said, it doesn't take long to be soured in the eyes of the customers. I've actually heard some other complaints about Lululemon, how the CEO of the company said that their clothes didn't fit some women's bodies and that's the reason the seams were ripping out in the clothing. I think Lululemon better start considering the consequences of their actions or they will not survive, because it's a very competitive market and another brand is just waiting to step in and pick up, right where they fell down!
ReplyDeleteI agree Christie, Lulu should not care that someone re-sells their items online. There is probably no profit being made, and E-bayers are looking for deals. Under the correct circumstances, this should be no issue. If this was an issue to Ebay, these protocols would be in place. A forum to buy and re-sell is something they just need to accept.
ReplyDeleteWow, this article really changed my views about Lululemon. I agree with both Christie and Cathy, what you choose to do with the clothing after you but it is your choice. How is it possible for Lululemon to stop this activity, they are getting their money for it in the long run! Besides, it is not like the seller is charging more on EBay, because no one would buy it. I really believe that Lululemon is going to loose a few customers over this. The view in this article could rub off on to a big number of customers if the story spreads to their customer base.
ReplyDeleteWhile I have never heard of Lululemon before this article, I find it very distasteful that they would do this to their customers. I believe that what is sold of on ebay is up to the buyer. The business itself has no right being in there.
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