ContentsIntroduction:..................................................................................................................................2

Problem statement:......................................................................................................................3

Objectives:................................................................................................................................3

1. Brand Assessment...............................................................................................................3

1.1) What are the brand attributes of Canada Goose.....................................................3

Brand specific Attributes:....................................................................................................3

Intrinsic Brand Analysis:......................................................................................................4

1.2) what is the main appeal and differentiation of the brand............................................4

Differentiation...........................................................................................................................4

1.3) Does the experience for men differ from the experience for women? How?...........5

2. OPTIONS FOR GROWTH..........................................................................................................5

2.1)As Dani Reiss, what would be your decision about the offers from Levine’s Menswear &

Asmuns Place? Would you accept one, both or none? What factors helped you to make this

decision? What factors made your decision difficult..................................................................5

Asmun’s offer:...........................................................................................................................5

Pros:.......................................................................................................................................5

Cons:.....................................................................................................................................6

Levine’s Offer:..........................................................................................................................6

Pros:...........................................................................................................................................6

Cons:.....................................................................................................................................6

Recommendation: Asmun Offer.............................................................................................7

Pros:.......................................................................................................................................7

Cons:.....................................................................................................................................7

2.2 Are there any other expansion opportunities for Canada Goose? Discuss any other

potential distribution and/or product development strategies, and assess the resources

required as well as the associated risks for your recommended option(s).................................8

Growth Areas:...........................................................................................................................8

3. Managing growth..................................................................................................................8

3.1) How should the company manage potential channel conflicts...........................................9

3.2) How can the company manage its brand image against the retailers promotional

decisions.....................................................................................................................................9

3.3) what should the company do about any potential dissatisfaction from its “current”

customers...................................................................................................................................9

Appendices:................................................................................................................................11

SWOT analysis of both retailers:.............................................................................................11

Asmun:........................................................................................................................................11

Levine......................................................................................................................................11

Canada Goose:

Introduction:Canada goose is an apparel manufacturing and producing company which specializes in

providing best suited outer wear for winter season. Their products are synonymous with

performance and style. Their strategy is focused towards providing customers with well

made winter wear that are suitable in extreme weathers with the aspect of style and

fashion sense that will create a niche market for Canada goose.

Their marketing and distribution channels are currently under limited scope. The

organization head is more concerned towards building product performance through

research and development by reducing its marketing expenses to minimum. Their

marketing covers only sponsorship programs and certain public relation aspect. This

gives them the opportunity to input the cost savings into product development and also

enables the product to limit itself from over exposure and exhibit itself as a premium

category product limited to a certain group of consumers.

Problem statement:The issue that Canada goose is currently facing is the possible areas of growth in terms

of increasing their expansion through different retailers. The Asmun presents the

opportunity to feature women wear, Levine’s offered Reiss to feature their line in men

exclusive retails. These possible areas of expansion also pose threat to current channels

which are small independent stores.

Objectives:The option to consider new distribution channel lies in selecting the medium that best

deliver the organization value and are in synced with the brand image, value and

organization’s strategy.

1. Brand Assessment

1.1) What are the brand attributes of Canada Goose In order to assess the brand attribute, detailed product specific analyses as well as

intrinsic brand attributes have to be assessed. These attributes together form the image

of the brand that distinguishes Canada goose from its competitors. Canada goose has

certain positive point that serve as its ability to maintain a higher position in the market.

Also few of its strategic actions are impacting the brand’s performance and visibility

which has been discussed.

Brand specific Attributes: Their product functionality is their prime strength which gives them an edge over

others in extreme winter conditions. The product is manufactured with

specialized raw materials which remain their unique selling point as none of the

competitors in the industry are utilizing natural furs.

The ‘Made in Canada’ factor remains one of the prime factor of its high market

value as none of the competitors manufacture their products in Canada or

procure their raw materials such as furs from Canadian fur traders as Canada

goose does.

The premium pricing is the factor that has enabled as cost recovery and also

serves as positioning factor. Along with their premium pricing, less inclination

towards mass marketing and promotion has also made their positioning as

market cost leader.

Intrinsic Brand Analysis: The product is considered as ‘limited to few chosen ones’ which enhances its

image of premium product.

The style and design serves as a fashion statement for the consumers which not

only works on functionality aspect but also delivers a high end brand notion.

1.2) what is the main appeal and differentiation of the brand.

DifferentiationThere are few factors that serve as differentiation point for Canada goose. These factors

are both on functional aspect as well as visual aspect.

The main differentiation point that Canada goose garments specifically jackets have are

their usage of down feathers. These down feathers which are natural furs as opposed to

synthetic materials which bear strong unwanted odor, create insulation inside the jacket

which enables individuals to remain warm even in extreme climates of these regions.

This fulfills the functionality aspect of the product which is the simple feature of providing

warmth.

In order to create a perceived image of high brand management place high importance

to the outlook of the apparels. Style and design of Canada goose are the main fashion

aesthetics that the product is known for. Coupled with its premium band positioning,

these entire features enable Canada goose to remain a highly differentiated product

from its competitor.

1.3) Does the experience for men differ from the experience for women? How?There exists a difference in both the gender in terms of buying behavior and their

experience towards brands. Women tend to focus particularly on the outlook with

selected cuts and style that they prefer which translates into the fact that management

has a limited scope to operate on their own choices. However men are particular over

the functionality as well as aesthetics and are easily accustom to various styles and

designs as long as they create a sense of fashion in general.

2. OPTIONS FOR GROWTH

2.1)As Dani Reiss, what would be your decision about the offers from

Levine’s Menswear & Asmuns Place? Would you accept one, both or

none? What factors helped you to make this decision? What factors

made your decision difficult

The options of considering potential offers from both the retailers are to be judged on

their coherency with the Canada goose organizational strategy as well as their long term

growth potential.

Asmun’s offer:Asmun presented the option to consider women only line currently. They have a century

old presence in the market as being one of the most prestigious fashion brands retailers.

Pros: Market position:

The current market position of Asmun among consumers is very high as it is

known for its specialty in high en fashion brands.

Location:

It is currently operating 10 retail stores throughout Canada typically in large

shopping complexes and upscale areas.

Introduction of Men lines through one day exhibition programs:

Asmun are willing to trial the men specific product through their one day

exhibition programs in order to observe the market response of the consumers.

Cons: Limitation on number of styles:

It will currently feature only three to five styles of women jackets and will further

increase as and when demand pattern continues.

Promotional campaigns:

The marketing and promotional campaigns of Asmun is not aligned with that of

Canada goose as Asmun will feature their jackets in the publication sent to the

customer as a part of their loyalty program.

Levine’s Offer:Levine is a men specific store offering to feature line of Canada goose in their store as a

part of their continuous product.

Pros: Varied number of styles:

Levine offered to present a variety of styles as opposed to Asmun’s restriction of

three to five specific designs only. They are offering a chance to feature 10 styles

initially at their stores.

Affluent male target market:

Levine presents an affluent male target market that is not price sensitive and

therefore presents a great opportunity to present high end brands.

Cons: Highly distributed chain:

They are present in market for 50 years and are already present on 20 locations

with future prospects of 40 chains in Canada. This level of distribution will result

in mass availability and hence a diffusion of brand image in consumer

perception.

Operating Cost:

Levine offered to hire a dedicated sales representative to Canada goose

however the cost of having it far exceeds the benefits gains through it.

Men-only represent limited growth:

Men only store represent a growth in a selected line of Canada goose at the

expense of other lines.

Recommendation: Asmun OfferThere can be several possible growth plans. Firstly, accept any of the retailer offers,

secondly, to pursue with both the retailer and lastly to discontinue the existing channels

and pursue with newer ones.

It is recommended that Reiss opts for selecting Asmun’s offer as well as continue with

their previous small independent retailers.

Pros:In selecting Asmun, it represents a long term growth opportunity in including both gender

lines in future which is an important element lacking in Levine’s offer.

Another important aspect is the long history of Asmun’s in providing higher customer

services to high end consumers through selected outlets as opposed to Levine’s who

has an aggressive growth strategy which may result in diluting Canada goose brand.

Financial factor is also important as Asmun will maintain 100% markup to Canada

goose products and will be the reason for 5% increase in market share of their product.

Cons:The only disintegration of the brand strategy to that of Asmun is their promotional and

marketing strategy. Asmun utilizes the promotional marketing campaign in order to

create loyalty programs for their valued customers in which they feature the brands

Asmun currently stocks at their retails. This is a major disintegration which may cause a

potential hurdle in creating a growth expansion in direction of Asmuns.

Factors that enabled selecting the particular option were the key alignments of the

strategic actions of Asmuns. Financial objectives are easily achieved by the growth of

5% market share in opting for Asmun, the cost saving of other overhead operating cost

is also evident in this option. The growth and expansion plans of both the Canada goose

as well as Asmun are coherent which creates a sense of mutual gain for both the

parties.

However factors like Levine’s offer of including men wear which bears a higher price

point for consumer has remained a difficult option to exclude due to its immediate results

on financial gains. Another factor that made the decision difficult is the non alignment of

marketing and promotional activities of Asmun to Canada goose jackets.

2.2 Are there any other expansion opportunities for Canada Goose?

Discuss any other potential distribution and/or product development

strategies, and assess the resources required as well as the associated

risks for your recommended option(s).

Growth Areas:There are certain other possible expansion arenas that can prove to be worthwhile for

Canada Goose. One of the potential areas is their expansion to North American and

European states through national level retailers who have a high brand value in their

respective regions. This will enable to create a regional level premium brand and will

also enable Reiss to have more brand mileage in terms of utilizing their premium product

offering and the perceived brand value.

This can be possible by selecting an intensive distribution channel that is comprised of

retailers and individual distributors that will enable thorough distribution of products all

over the region. The prime risk involved in it are the management of the brand and

fighting against counterfeit products that are the major hurdle in creating a market for the

genuine Canada goose jacket market.

3. Managing growthIn order to implement the growth strategy certain measures have to be taken. The new

expansion plans calls for more space in warehouse in order to fulfill the raised demands,

this is provided by the current warehouse as it can bear any expansion therefore there is

no immediate need for setting up new warehouse for product storage. However as the

products will be stocked at different location of country the need of distribution channel

has been identified.

In the current scenario, indirect distribution channel will be pursued as the product will be

offered through Asmun and they will be required to deal with end consumers. The

distribution channel breadth is selective distribution as it will strike the balance between

market saturation and product absence. A total of 10 stores are going to place Canada

goose products in the country which fulfills the corporate plans in terms of its growth

strategy. A blueprint of distribution channel chain can be observed in exhibit 3.

3.1) How should the company manage potential channel conflicts

A balance of power is required in order to prevent channel conflicts. Since expansion

requires inclusion of different levels of distributors in order to maintain effective

availability to the new stores it is evident that power of balance may be shifted from one

end to another. In order to prevent it, negotiation and communication is the essential tool

to manage any conflicts arising in between the intermediaries. Proper layout of desired

activities and goals should be stated and conformed to a periodical review in order to

assess the position of intermediaries in distribution channel. This will prevent any

potential channel conflict in expansion phase.

3.2) How can the company manage its brand image against the retailers

promotional decisions

Brand image of Canada goose is at stake at the promotional activities of Asmun. The

disintegration of this major activity needs to be aligned from both the end in order to

create a positive operating environment. Asmun can be offered to restrict promotional

material to the subject of Canada goose publications which can further be utilized by

them. Another possible solution could be limitation to frequency of the featuring of

Canada goose jackets in their promotional material. This will enable Asmun to

completely acknowledge their customers about the products they feature as well as

strike a balance between Canada goose’s marketing strategies.

3.3) what should the company do about any potential dissatisfaction

from its “current” customers.

Potential dissatisfaction is evident in Canada goose expansion phase as it was

previously restricted to small independent stores only which do not operate on the same

scale as that of Asmuns. In order to tackle any upcoming issues, a contract can be

formed which include the certain product and quantity for future orders to these previous

retailers on mutual terms and conditions which will resolve discontentment from the

previous B2B customers.

Also, end consumes will also be impacted from the new distribution channel as the

product availability would be increased due to the new expansion phase. In order to

prevent any discomfort to end consumers from the latest change in strategies marketing

communication can play a vital role in reaching to these consumers by indicating them

the early adapters of the high end fashion brand and being the market leaders in

consumption of the product. This marketing communication will enable previous

customers to feel superior over other customers as they were the early adapters of the

premium product jackets.

Appendices:

SWOT analysis of both retailers:

Asmun:Strengths Weaknesses

Maintains the brand’s luxury They don’t carry a men’s line at this

point Image

5% increase in sales 

Well known as an affluent luxury store

 

Opportunities Threats - Expands Canada Goose location to

10 high end stores Misalignment of marketing and

promotional campaign

- Potential to expand into men’s line in the future

   

Levine

Strengths Weaknesses

Well known men retailer history in less period of time

Affluent target market of consumers with less price sensitivity

Limited scope of men only products resulting in expansion in single line only

High cost involved in terms of having dedicated sales rep

Opportunities Threats Men only provide chances of serving

to male dominant consumers that have high price point than female consumer products.

Highly aggressive growth plans that are misaligned with that of Canada Goose

   

Exhibit 3:

Canada Goose

indirect Distribution

through Asmun (Retailer)

store 1

consumer

store 2

consumer

indirect distribution

through independent stores

consumers

distributor

retailer

consumer

retailer

consumer