Why Lululemon Opened a Store in Montana

There are good reasons why Lululemon opened a store recently in Bozeman, Mont.

The flourishing destination Mountain Region town positively represents migration patterns that are leading many – especially those who are wealthy – to relocate to such “Zoom Towns.”

It started during the pandemic and has hardly let up, Lila Margalit writes for Placer.ai’s blog.

“As work-from-home and hybrid arrangements become ever more common, and price concerns make it increasingly difficult to remain in big urban centers, people are likely to continue to seek out cheaper – and more pastoral – alternatives,” she wrote.

“These population shifts, which can have a particularly tangible impact on smaller population centers, create significant opportunities for retailers and other businesses eager to reach new markets.”

A Wealthier Contingent

High-end brands like Lululemon have also been taking off in the city. Following a successful pop-up venue in 2018, the chain opened its first permanent store in Bozeman in November 2019.

It’s appealing to this wealthier contingent, which has also contributed to rising housing prices in many of these areas.

In Bozeman, for example, the median price of a single-family home jumped from $459,000 in July 2019 to $745,000 in July 2022.

“While home prices have risen throughout the country over the past three years, the rate of increase in Bozeman has been particularly marked,” Margalit wrote.

Idaho, Montana Growth Leaders

Arizona, Utah, Idaho, Colorado, Nevada, Montana, Wyoming, and New Mexico comprise the mountain states, and except for Colorado and New Mexico, the population of each has grown at least 1.5% as a result of domestic inbound migration over the past three years.

In Arizona, Wyoming, and Utah, net migration (meaning the number of people that moved in minus the number of people that moved out) ranged between 2.2% and 3.4%, Placer.ai reported.

Florida has grabbed many of the headlines about population gains through migration in the past few years, but Idaho (6.4%) and Montana (5.5%), for their part, saw the most explosive growth of all, relative to the size of their local communities, Placer.ai reported.

Many Moving to ‘Zoom Towns’

Among the mountain area’s fastest-growing micro areas since November 2019 are Laramie, Wyo., Bozeman, Pahrump, Nev., Sandpoint, Idaho, and Cedar City, Utah, have swelled a whopping 10.4% to 15.9% because of inbound movement.

Placer.ai writes that cities such as Bozeman have been dubbed “Zoom Towns,” a moniker used to refer to areas that have drawn a growing number of remote workers in the wake of shifting post-pandemic work patterns.

“With gorgeous natural surroundings and small-town vibes, these areas have attracted a steady stream of big-city folk eager to cut costs and improve their standard of living,” Margalit wrote.