Long, impressive sounding names: Lululemon Starbucks.

When you order a Mocha Latte Double Frappuccino Espresso at StarBucks, what the hell does that even mean? It doesn't matter. It is sooo much fun ordering a simple cup of coffee using a complicated mess of words, one of which makes you sound Italian, that it hardly even matters what the coffee tastes like. You could almost make the case that SBUX is charging you for the right to use the words Venti and Frappuccino inside their stores. Additionally, a long, magnificent name like that does more than just make you feel good about being able to remember the whole thing, let alone say it. It literally imbues the coffee with magical god like powers. Because suddenly, you are not just buying "an ordinary" cup of coffee, no, no, no! You are buying a Venti Mocha Latté Double Frappuccino Espresso and you know that the coffee has to be made out of the finest ingredients on earth because you just spent enough money on it to send 10 African Children to school for 5 years.

And this is the very same demand creation strategy that is being employed by the lovely ladies over at Lululemon. As any Lulu “educator” will tell you, you are not just buying ordinary yoga pants, far from it. You are buying Anti-Camel Toe, Tata-Taming, Wunder Under Crops made out of Luon, with the Multi-color Unicorn Tears print on it, embedded with SilverScent anti-stink technology! The name makes it very, very, crystal clear: These are the most amazing, extraordinary, spectacular yoga pants that woman has ever created. In fact, these are the best damn freaking yoga pants in the entire Universe! And obviously they are made out of the highest-tech, most cutting edge fabrics, as evidenced by the equally magnificent price tag.

I think the success of Starbucks is largely, if not entirely, attributable to its ability to make their customers believe that they are buying so much more than just coffee. And I also believe that Lululemon is doing the exact same thing and will have the same level of success that Starbucks had (has). In fact, I know they are doing the same thing. Lululemon's CEO, Christine Day, was an executive at Starbucks for 20 years before coming to Lululemon. This among other things is why I believe so strongly in owning Lulu.

Disclosure: I am massively, ragingly, long Lululemon stock.