To Chip Wilson, Lululemon’s founder and former CEO, the product was about yoga and nothing more. It’s hard to imagine athleisure as a yoga-only product today, but for a time he attempted to fiercely protect that focus.
There’s economic value in capturing arbitrage opportunities even for niche products like meal delivery, over-the-counter medicines, or traditional grocery. Every industry is a microcosm with unique customer behaviors, needs, and purchase triggers. By understanding these unique characteristics, brands can generate impressive ROAS, just as they did in the early days of Facebook.
