Canadian Goose Will Sell Shoes, 170 Million Yuan To Buy Outdoor Shoe Brand Baffin

Canadian goose CEO once said he would not sell slippers. From this acquisition, he plans to start with warm boots.

According to the "women's Wear Daily" news, the Canadian clothing manufacturer Canada Goose, known as the luxury down jacket, was purchased from Canada's shoe brand Baffin with a total of 32 million 500 thousand Canadian dollars (about 170 million yuan). The spanaction was delivered in cash. The canadian goose also issued a restricted voting secondary stock worth 1 million 500 thousand yuan (7 million 930 thousand yuan) to Baffin.

Baffin is a functional one. Shoe shoe Canadian outdoor Clothes & Accessories The brand was founded in 1979 by Paul Hubner. Initially, Baffin mainly produces rubber boots that can be operated in industrial environments. Later, after communicating with people working in extremely cold environments, Hubner was inspired by their Arctic boots and used a multi-layer felt pad to keep out the cold. Hubner is also known as the "insulation shoe design expert," who has also gone to Mount Qomolangma and the Arctic to test product functions. Starting in 1982, Baffin, a male based customer, began designing warm boots that the family could wear.

Canadian goose president and CEO Dani Reiss said the acquisition of Baffin will be canadian goose exploration. footwear The beginning of the product. "I have known Paul Hubner for many years, and I watched him create many nice and warm boots. Over the past few decades, Canada's goose products have also travelled to the coldest place in the world, and the two brands share a common position. He said. Huber said Canada goose will help Baffin develop more potential. After completion of the acquisition, Baffin will become a wholly owned subsidiary of Canada goose, and will continue to be led by Huber.

In July this year, Reiss mentioned the plan of category expansion when he interviewed the interface news. Although he did not disclose the new product he wanted to develop, he still expressed his attitude. He has always known that consumers want to buy more products from Canadian geese, but they will not expand blindly, or will always be loyal to their first quality DNA.

"The quickest way to kill a brand is to put logo on a very good product, which is the pursuit of short-term benefits," he said. "We will make a product when it is really meaningful, such as people do not want to see us sell slippers. We only want to sell the best products of the same kind, such as the sweaters introduced last year, and we will focus on developing this category in the future.

The development of Canadian geese has been very stable. In the first quarter of this year, sales surged 58.5% to 44 million 700 thousand Canadian dollars (234 million yuan) and gross margin was 64%. Wholesale and direct sales channels rose, especially direct sales surged 180% to 23 million 200 thousand Canadian dollars (about 121 million yuan). Thanks to the good performance of new retail outlets and e-commerce channels. Canadian geese set the target for fiscal year 2019 to be expected to increase at least 20% in the whole year and exceed 25% in net profit.

Now Canada goose is still actively developing the Chinese market. In May this year, Canada goose announced its plan to enter China and set up a headquarters in Greater China in Shanghai. It opened a flagship store in Beijing, Sanlitun, IFC and Hongkong. Reiss said: "we have many opportunities for growth. Expanding the market is one of them. And wants to enter China's largest luxury product in the world. consumer market We must not rush to success. We have only one chance to succeed. " At present, the Hongkong store has opened.