Japan's Zozo Says New Body-Measuring Suit Overcomes Flaws of Original

via Reuters
via Reuters
TT
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Japan's Zozo Says New Body-Measuring Suit Overcomes Flaws of Original

via Reuters
via Reuters

Japanese online fashion retailer Zozo Inc 3092.T said the successor to its "Zozosuit" body-measuring suit has solved the flaws that sank its earlier version.

The original polka-dot bodysuit, which when scanned with a smartphone allowed users to upload their measurements and order custom-made clothes, received massive interest from the fashion industry but failed to drive sales amid complaints of poor sizing.

Zozo’s engineers had reworked their algorithms and increased the number of measuring markers to 20,000 from 400 previously for the “Zozosuit 2”, Chief Operating Officer Masahiro Ito said in an interview.

“We have spent the last two years getting rid of every issue that people had so the entire process is more robust,” he told Reuters.

“Last time we were going too fast. Right now, I don’t think we need to be too careful either,” said Ito.

Accurate and easy-to-use body measuring technology is being targeted by online fashion retailers trying to reduce returns.

Zozo, which is controlled by SoftBank’s domestic internet business, is also seeking partners in fitness, healthcare and other sectors.

The company hopes to offer the suit within a year. The new design can be produced at low-cost via an easily scalable printing process, Ito said.

Best known for the Zozotown online mall, the firm also offers the “Zozomat” for measuring feet, which it says has cut shoes returns by around a third.

Founder Yusaku Maezawa exited the firm last year. He has attracted more than 10 million Twitter followers with cash giveaways and a plan to orbit the moon on a SpaceX rocket.



Lululemon Shares Tumble as Yogawear Firm Warns Tariffs Will Crimp Profit

FILE PHOTO: A logo is displayed inside a Lululemon outlet retail store at Bicester Village in Oxfordshire, Britain, August 21, 2024. REUTERS/Hollie Adams/File Photo
FILE PHOTO: A logo is displayed inside a Lululemon outlet retail store at Bicester Village in Oxfordshire, Britain, August 21, 2024. REUTERS/Hollie Adams/File Photo
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Lululemon Shares Tumble as Yogawear Firm Warns Tariffs Will Crimp Profit

FILE PHOTO: A logo is displayed inside a Lululemon outlet retail store at Bicester Village in Oxfordshire, Britain, August 21, 2024. REUTERS/Hollie Adams/File Photo
FILE PHOTO: A logo is displayed inside a Lululemon outlet retail store at Bicester Village in Oxfordshire, Britain, August 21, 2024. REUTERS/Hollie Adams/File Photo

Lululemon Athletica's shares fell 21% in premarket trading on Friday, as the maker of high-end leggings warned that tariff-related costs and uneven demand in key markets of North America and China will dent its profits this year.

The Canadian firm, whose Align yoga pants sell for $128 apiece on its website, will raise prices "modestly" for a "small portion of the assortment" and ramp up discounts for the rest of the year, company executives said.

Lululemon has struggled to retain shoppers, despite its efforts to introduce new styles of sports bras and athletic jackets, as it faces intense competition from trendier and more affordable brands in North America and mainland China.

"Despite (Americas) decline, management continues to prioritize product newness and China expansion over addressing a pullback from core customers and evident traffic declines," Jefferies analyst Randal Konik said in a note.

"We believe this misalignment is concerning."

Lululemon joins sportswear rivals Nike and On in raising prices in the US as erratic trade tactics under President Donald Trump rattle global markets and fuel fears of a recession.

Lululemon trimmed its 2025 earnings forecast and said it expects margins to come under pressure from the proposed tariffs, which will impact products from some of its largest sourcing hubs in Vietnam, Cambodia and Sri Lanka.

"My sense is that in the US, consumers remain cautious right now, and they are being very intentional about their buying decisions," CEO Calvin McDonald said on a post-earnings call.

The company's stock, which is down about 14% this year, was trading at $261.90 before the bell on Friday. The news dragged Nike's shares down 1.4%.

Lululemon's forward price-to-earnings multiple, a common benchmark for valuing stocks, is 21.46, compared to that of 31.37 for Nike and 9.54 for Gap.