Analysis
Under Dani Reiss’s leadership, Canada Goose had been a well-known brand featured in functional and fashionable luxury sport jacket industry. With the sustainable growth in the company and competition pressure from North Face, Canada Goose was looking to expand and changing its distribution channel from small independent retailers to large nation-wide retail chain. Recently, Reiss had received two separate lucrative offers from national retailers in Canada in the form of long-term contracts. However, there existed pros and cons of each decision in terms of company’s current marketing strategy and brand value.
Take Asmuns Place’s offer
The first offer was from Asmuns Place, which positioned itself as leading fashion specialty store for both men and women with 10 retail stores across Canada’s largest cities. The typical customers shopping in Asmuns Place were both affluent men and women. Canada goose products would be displayed prominently in all Asmuns stores and it allowed approximately 100 percent markup preservation. On the other hand, Lisa Freedman, director of purchasing, has required that Canada goose …show more content…
Therefore, the president of Canada Goose had started to explore existing opportunities for the enhancement of its distribution process, Asmuns Place or Levine’s Menswear. Although changing the distribution channels to large national chains would increase the revenues of the company but there could be negative impact on brand image of the company, which was built-up over years of nurturing. Building partnership with Levine’s Menswear or Asmuns Place would threat the life of small retailers because of high discount offerings and high attractions of large retailer chain. Thus, the following strategies need to be addressed in the short term and long term towards a better future development of the
Under Dani Reiss’s leadership, Canada Goose had been a well-known brand featured in functional and fashionable luxury sport jacket industry. With the sustainable growth in the company and competition pressure from North Face, Canada Goose was looking to expand and changing its distribution channel from small independent retailers to large nation-wide retail chain. Recently, Reiss had received two separate lucrative offers from national retailers in Canada in the form of long-term contracts. However, there existed pros and cons of each decision in terms of company’s current marketing strategy and brand value.
Take Asmuns Place’s offer
The first offer was from Asmuns Place, which positioned itself as leading fashion specialty store for both men and women with 10 retail stores across Canada’s largest cities. The typical customers shopping in Asmuns Place were both affluent men and women. Canada goose products would be displayed prominently in all Asmuns stores and it allowed approximately 100 percent markup preservation. On the other hand, Lisa Freedman, director of purchasing, has required that Canada goose …show more content…
Therefore, the president of Canada Goose had started to explore existing opportunities for the enhancement of its distribution process, Asmuns Place or Levine’s Menswear. Although changing the distribution channels to large national chains would increase the revenues of the company but there could be negative impact on brand image of the company, which was built-up over years of nurturing. Building partnership with Levine’s Menswear or Asmuns Place would threat the life of small retailers because of high discount offerings and high attractions of large retailer chain. Thus, the following strategies need to be addressed in the short term and long term towards a better future development of the