Canada Goose Inc.

1. Canada Goose Inc.
Case Analysis
SDM, NMP Term IV
Group 5
Abhijeet Tomar - 03
Argha Ray - 15
Khushal Malik - 28
Vipin Kathuria– 59

2. Context
• Goose is emerging manufacturer of luxury sports jackets.
• It caters to the premium segment of the market through a network of
authorized retailers.
• Seeks to exclusively brand its products as a status symbol.
• CEO Reiss is weighing two lucrative distribution offers from national chains.
• Also weighing between extending reach or protecting brand image.

3. The Incumbent Retailers:
• Time tested authorized retail
channel.
• Lesser bargaining power as
individuals.
• Long history of association through
thick and thin.
• Contracts can be cancelled for Loss
Leaders.
• Maintained the exclusivity of the
brand.
• Reluctant to experiment with new
products without track record.
• Limited reach.
• Not in national consciousness vis a
vis National Chains.
BenefitsPitfalls
Yardsticks
• Lucrative and long term National
chain offers.
• Exclusive vs Intensive distribution.
• Departure from old marketing
philosophy.
• Demand for products exceeding
supply.
• Goose’s expansion plans.
• Control over distribution.
• Rarest of the rare Brand Image.
• Backlash from existing retailers.
• Reiss’ conscience.

4. Asmuns’ Benefits:
• Prestigious fashion specialty store.
• Association with upscale brands of leading designers.
• Adequate reach amongst Canada’s largest cities.
• Assurance of 100% markup preservation.
• Choice between both men and women range.
• Prominent self space.
• Immediate jump in sales with potential of 5% of total Canadian sales.

5. Asmuns’ Pitfalls:
• Goose is one among equals in product display.
• Too much of reach.
• Arm twisting by Lisa.
• Intensive promotion through loyalty program.
• Can dictate terms on colors and style.
• Asymmetric bargaining power.
• Can backtrack on markup assurance during inventory clearance.
• Doesn't conform with Goose’s traditional and adventurous image.
• No guarantee on future orders in terms of men and women’s range.

6. Levine’s Benefits:
• Exclusive menswear store.
• Better offer in terms of order variety than Asmuns’.
• Adequate reach across Canada.
• Familial service and affluent customer base.
• Acceptance of newer models based strictly on prototypes.
• More reach on offer with Store expansion across Canada.
• Immediate jump in sales with potential of 5% of total Canadian sales.

7. Levine’s Pitfalls:
• Goose is one among equals in product display.
• Too much of reach.
• New sales representative may be a mole.
• Too pricey compared with Goose’s existing sales force.
• Formal clothes does not gel will luxury sportswear.
• Can dictate terms on prototypes.
• Asymmetric bargaining power.
• Can discount on products during inventory clearance.
• Doesn't conform with Goose’s traditional and adventurous image.

8. Decision:
• Brand Dilution through over expansion.
• Goose will have to part ways with stylish, functional, authentic and traditional image.
Will not be able to call its soul its own.
• Intensive distribution through chains will take away the aura surrounding Goose.
• The adventurous image projected through sportspersons in wilderness will take a huge
dent.
• Reiss will lose old channel partners in trying to create new.
• Don’t trudge along North’s way which has products in the low price range as well.
• Goose may lose the differentiation between natural and artificial ingredients when kept
alongside other synthetic clothing.
• Inadequate supply in fact helps to create elusive and mystical image for the target
segment. Reject both offers.