Lululemon Athletica has appointed industry veteran Heidi O’Neill as its next CEO, effective September 8.

O’Neill brings more than three decades of experience across performance apparel, footwear, and sport, with a strong track record of driving disruptive change and growth at scale. She had spent more than 25 years at Nike, where she helped grow the company from a $9+ billion business to a $45+ billion giant.   

Previously, O’Neill worked in marketing for the Dockers brand at Levi Strauss & Co. She also brings additional strategy and leadership perspectives from her roles on the boards of Spotify Technology, Hyatt Hotels, and Lithia & Driveway. 

“The board conducted an extensive search to identify the right next leader to propel Lululemon forward,” said Marti Morfitt, executive chair of Lululemon’s board of directors. “We selected Heidi because of the breadth of her experience, her demonstrated success delivering breakthrough ideas and initiatives at scale, and her ability to be a knowledgeable change and growth agent.”

O’Neill will be based in Vancouver after taking the helm. She will also join the company’s board.

Meghan Frank and André Maestrini will continue to lead as interim co-CEOs in the meantime. Frank and Maestrini plan to return to their previous senior leadership roles once O’Neill takes up office.

‘Obvious choice’

GlobalData MD Neil Saunders described O’Neill as an “obvious choice” for Lululemon thanks to her “very strong pedigree in the activewear and sporting space”.

“This will allow her to hit the ground running as she has an intimate knowledge of how the industry works and has deep connections to all aspects of it, from product design to supply chains,” he said.

O’Neill’s customer-centric ethos from her time at Nike and from serving on the board of Hyatt will also be helpful as Lululemon thinks beyond products to the wider impression the brand and its touchpoints have on customers, the analyst added.

“The task ahead is a significant one, but it can be undertaken from a position of relative stability. Despite its lack of growth in North America over recent years, Lululemon is not a terrible business: share losses have been modest, and it is still generating growth. 

“The challenge will be to inject more energy and restore Lululemon as one of the leaders in terms of product innovation. This can be accomplished under O’Neill,” Saunders said.