Canadian Goose Is Expected To Set Up An Office In Greater China In 2019 In The Third Quarter.

After the cold winter of 2018, the controversial luxury luxury brand Canada Goose Canada goose is still very hot.

In the third quarter of December 31, 2018, canadian goose sales surged 50.2% to $399 million, a double-digit growth for 11 consecutive quarters, a gross margin of 64.4%, and net profit rose 72% to 105 million 300 thousand Canadian dollars, exceeding analysts' expectations.

Among them, Canada goose direct retail channel revenue rose 79% to 235 million yuan a year, mainly due to the brand new period in Hongkong, Beijing and other new stores and Tmall official flagship store, wholesale channel revenue also rose 22% from $134 million 200 thousand to $164 million, mainly due to the increase in the number of orders of existing partners and delivery time ahead of schedule.

Canadian geese reported in the earnings report that sales in the second half of last year were significantly higher than that in the same period last year, which had a positive impact on the third quarter results. Favorable exchange rate fluctuations and acquisition of outdoor footwear group Baffin business also contributed positively to sales growth.

The picture shows canadian goose's third quarter earnings data.

Canadian goose chief executive Dani Reiss said in a conference call after the earnings report that the brand has successfully entered new markets such as China, and has introduced new products. The demand for direct and wholesale channels is growing, and he is confident of the long-term development of Canada goose in the future.

Dani Reiss revealed that Canada goose plans to set up an office in Greater China in 2019 to promote the development of the market. With the increasing demand of Chinese consumers, the brand will also build new factories in Quebec, Canada. It is expected to create 300 jobs and 650 new workers by 2020.

For the 2019 fiscal year, Dani Reiss expects canadian goose annual sales growth to continue double-digit growth. The adjusted profit margin before interest tax depreciation and amortization is at least 30%, which once again triggered investor concern.

Canadian geese are luxury goods.

As the brand value of Canadian geese has risen continuously, the reason why people buy this brand is not only its excellent cold preservation function. The highest price of uniformed down jacket is US $1500, and Canada goose, which is about 10 thousand yuan, has become a luxury. It is a representative of identity and circle.

Canadian geese are known to consumers as "the world's most cold proof coat manufacturers". Originally, the brand, founded in 1957, mainly sells woollen vest and snowsuit. After being taken over by Sam Tick's son-in-law David Reiss in 1972, it began to focus on making down garments.

Due to the use of pure animal feathers and fur, the warm performance of Canadian geese has been recognized by consumers. Before becoming the winter Star Street filming equipment, the main buyers of the brand were Arctic explorers and film workers. They once became the essential products of Hollywood stars when they filming in winter, and were nicknamed "fashion Land Rover" by consumers.

In 1997, Canada geese began to truly enter the global market. Dani Reiss became chief executive in 2001, and brought a new turning point for the down jacket brand. It gradually grew into a group with more than 1000 employees, and its sales increased by more than 100 times in 15 years.

Under the leadership of Dani Reiss, Canadian geese quickly gained support from many stars, and the appearance rate of the films increased gradually. They also made a long coats for the actor Rebecca Romijn and named the products in their films for promotion. Due to the persistence of quality, Canadian geese have been insisting on hand making at home, unable to mass produce, and higher pricing makes their products not available to all consumers.

After being given the luxury attribute, Canada goose has become a very special category in the market. When consumers buy luxury feather products, they are not entirely from the practical demand perspective, which is similar to the fact that people in the city drive Land Rover and buy hermes bags. The founder of Bloomberg Businessweek has described the canadian goose jacket as hot as the Louis Vuitton handbag 10 years ago.

In 2013, the Canadian geese bought a majority stake in the private equity fund Bain Capital for $250 million, while Dani Reiss still retained a minority stake. After obtaining new financing, Canada goose opened an e-commerce platform in the United States in 2015, and the global expansion plan was gradually implemented. The group set up branches in Toronto, Stockholm, Denver and New York. At the same time, a new factory in the outskirts of Toronto will be added to increase production.

In March 2017, Canada geese were listed in Canada and the United States respectively. Thanks to strong performance, the stock price has risen from the initial 12.78 US dollars to the current US $52, which has more than 4 times the market value, and the market value has exceeded 5 billion 500 million US dollars. Canada's geese became the biggest winners in the 100 US IPO market transactions in 2017.

After determined to speed up the expansion of the global market, Canada goose has entered 36 countries and regions, and the business mode has shifted from wholesale to direct outlets and online channels.

For canadian goose explosion, the chief marketing officer, Jackie Poriadjian-Asch, emphasized in an interview that the brand had never deliberately made product implants, usually the producers and stylists found the brand to make an invitation. In addition to the star effect, marketing expert Rob Fields also pointed out that the selling of canadian goose in recent years is related to the increasing frequency of global extreme weather, and that the down jacket with strong thermal insulation can give consumers a sense of security.