BEIJING: Lululemon Athletica Inc. apologised after a yoga event staged on the Great Wall featuring a Japanese taiko drum sparked social media backlash in China, highlighting the reputational risks facing the company in its fastest-growing major market.
The late-May event drew more than 2,000 participants to practice yoga on one of China’s most iconic landmarks. But social media users objected to the use of a Japanese drum at a site widely viewed as a symbol of Chinese national identity, with commenters calling it a provocation.
A Lululemon company spokesperson said the event was "grounded in a commitment to honouring Chinese culture.”
"We deeply value the feedback received and recognise that we should have been more thoughtful and sensitive in our planning and review process for the drum performance. This has been a valuable learning for us, and we extend our sincerest apologies,” the spokesperson said.
The backlash comes two months after a Texas investigation into Lululemon’s apparel for the presence of so-called "forever chemicals” sparked a wave of debate across Chinese social media. Lululemon is also contending with fiercer competition from both Chinese and Western rivals, including Alo Yoga’s Wednesday announcement that it’s entering the market.
Lululemon’s shares have tumbled about 46% so far this year, and it cut its annual forecast due to a deteriorating performance in North America. While China remains a bright spot, sales growth in the country is also expected to slow this year.
Another Lululemon China marketing campaign earlier in June also drew criticism. Participants at a yoga event on Shanghai’s iconic Bund complained that they were left practicing in the rain after the company failed to provide rain gear or adequate backup facilities. - Bloomberg
