Humber College, FMPC 500

December 4th, 2014

Roots: Canadas Luxury

Table of Contents

SUMMARY
MARKETING MIX STRATEGY
DESCRIPTION OF FASHION BRAND
PROMOTIONAL OBJECTIVES AND THEME
TARGET AUDIENCE
PROMOTIONS MIX
BUDGET
CONCLUSION
WORKS CITED

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Summary
Roots weakness lies in the lack of awareness of the superior quality of its products. Roots truly
is an accessible Canadian luxury brand, and needs to do more to communicate this to
consumers. Roots has created immense brand equity out of its ties to Canadian culture, and
should capitalize on its popularity through more focus on its actual products. Our goal is to have
a 20% increase in Roots leather sales, with an increase in more expensive leather products.
Additionally, we aspire to possess 0.5-1% of the market share of Canadas bags and luggage
sales, in one years time.
To achieve this, we will be raising consumer awareness through refined styling of our
leather goods, more informational product tags, a promotional party, and a celebrity seeding
strategy featuring Rachel McAdams. The updated styling of the leather goods will help Roots to
capture a more fashion-forward market, while the informational tags will directly inform
potential and existing customers of the superior quality of our products. The promotional party
and celebrity seeding strategy will employ tastemakers to verify the prestige of our leather
goods and reach consumers who typically avoid advertisements. Overall, our promotions
strategy will strengthen our credibility with our existing customers while purveying a more
upscale image to potential customers.

Marketing Mix Strategy

Brands Product Strategy
Strengths
In an article from 2005, co-founder Michael Budman said "the day we lost [the Canadian
Olympic clothing contract for 2006] to The Bay, Don said to me it was the best thing that could
happen to the company and he was right, because it gave us an opportunity to focus on what
we do best and that's leather goods" (Dunn, 2005). With the heritage brands focus on their
leather goods, they were able to focus on the quality of materials used, depth of leather
offerings, and finding skilled artisans for their Canadian facility. Roots Canada Ltd. leather bags
are high quality goods. As retail analyst Kaileen Millard of The NPD Group states, "They're the
Canadian version of Coach" (Dunn, 2005).

Weakness
Although the brands outdoorsy, camp-fuelled spirit is illustrated throughout Roots
marketing materials and retail atmospherics, the brands patriotic focus has yet to establish a
strong awareness on the quality of their leather goods. This includes the materials sourced for
the leather goods and skilled artisans working on the leather goods. In-store personal selling
and product packaging are both strong opportunities for the brand in supporting the leather
goods product strategy.
Roots Canada Ltd product strategy for leather goods is illustrated in the following
strengths and weaknesses chart.
Strengths

Weaknesses

High product quality

Level of consumer awareness

Made in Canada

Product packaging

Depth of product mix

In-store personal selling

Price/Market Level Strategy

With the leather quality said to be comparable to brands such as Coach Inc, Roots
Canada Ltd demonstrates a better/contemporary pricing strategy in a midmarket niche (Shaw,
2011). One of the brands best sellers is the Village collection, which is available in multiple
sizes and price point and has a price range from $98.00 to $248.00.

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The following brand positioning map demonstrates Roots Canada Ltd pricing/quality
relationship in comparison to Canada's top five best selling brands in women's leather bags
(Market Research provider: Euromonitor International 2014).
With further research, the Canadian market share for women's leather bags is
illustrated in the following chart. The market is focused on women's cross-body bags. Coach Inc.
is Canada's leading competitor with 7.5% of market penetration.

Place/Distribution Strategy
Roots Canada Ltd has more than 220 retail stores in Canada, United States, and Asia
(including China and Taiwan). The first retail store was opened in Toronto, Ontario, which still
remains as the location for Roots' home office headquarters and leather goods production
facility. The leather goods facility is located in the west end of Toronto and is operated by the
Kowalewski family. The facility employs less than 40 artisans that are experts in the leather
production field. Roots third best-selling product is the Village Bag, which is handled by 63
Canadian jobs from transportation, wholesaling, retailing and finance (Shaw, 2011).
In 2011, Roots Canada Ltd was employing a total of 1600 people to make Roots products
and this remain a key part of the retailer's brand identity today (Shaw, 2011). Roots Canada Ltd.
follows an indirect vertical distribution of product distribution with co-founders, Michael
Budman and Don Green, owning all operational and creative directions of the business.

Figure 1: Top Five Crossbody Bags by Brand Purchased in 2013

Past Communication/Promotion Strategy

Said by co-founder Michael Budman, "Canadians love their hockey and they love their
Canadian-made products" (Shaw, 2011). It has remained important for Roots Canada Ltd. to
support Canada in multiple ways. Past promotional campaigns in 2013-2014 include
collaborations with the David Suzuki Foundation, Canadian writer and artist Douglas Coupland,
Tom Thomson, and the National Film Board of Canada. All of the collaborations are focused on
their strong made in Canada message and include Roots' strong environmental initiative in
Figure 2: Brand Shares in Canada, Euromonitor International 2014

Canada.

One of Roots' most recent campaigns entitled 'My Cabin in Canada' was shot in Banff
National Park, Alberta at Storm Mountain Lodge. The campaign was partnered with Travel
Alberta to increase awareness in Canadian travel. Design anthropologist Ujwal Arkalgud has
stated that high-profile brands like Roots Canada Inc. are effectively using a national identity to
sell their products (Harris, 2013). Ujwal Arkalgud goes on, saying "We're seeing a movement
toward Canadiana becoming a real competitive advantage, Roots has been able to do that in a
really authentic way" (Harris, 2013).

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Accompanying this campaign was the launch of Roots' social platform 'The Lodge'. An
example taken from 'The Lodge' home page is shown in the following illustration. Geared to
their target market, viewers of the site have the ability to read, look, and interact with the
Roots brand on a new level. Do-it-yourself Roots inspired craft ideas, asking a Roots
professional for styling advice, and submitting your very own ideas are all examples of how the
Roots brand interacts with its loyal followers.

Description of Fashion Brand

Roots Canada Ltd. (About Roots) was founded by Michael Budman and Don Green in 1973
after meeting through their combined love of the outdoors and Ontarios Algonquin Park (The
Cofounders). Roots strongly identifies with its Canadian heritage and identifies nature, culture,
sports, and the human history of Canada as its inspirations (About Roots). Budman and Green
chose the name Roots since they liked its earthy appeal. In addition, they believed your feet
were roots to the ground, which coincided with their original brand concept for designing
footwear (The Cofounders).
Roots bases their style on principles of quality, integrity, and longevity, manufacturing
their goods in Canada (About Roots). Roots identifies its look with a casual, athletic, hip and
outdoor lifestyle that appeals to all ages (About Roots). The company is known for its great
design, quality materials, superior comfort, and durability (About Roots). As a lifestyle brand,

Roots produces and sells leather goods, athletic wear, accessories, and furniture.
The company conveys its nature-driven identity through its concern for the environment
and practice of eco-friendly policies (Canadas Brand). Additionally, the company strives to
give back to the communities where its stores are located, through supporting local charities

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(Support). Recently the company has aligned itself with the yoga community, opening a
studio above its Toronto Rosedale store. (About Roots).
Brand Name: Roots
Corporate Name: Roots Canada Ltd.
Slogans:
Roots began with a simple idea and a desire to make it happen
Canadas leading lifestyle brand
Logo: Forest green Canadian beaver
URL: http://canada.roots.com/
Social Media:
Facebook: https://www.facebook.com/roots
Instagram: http://instagram.com/rootscanada
Twitter: https://twitter.com/rootscanada
Hashtags: Roots frequently uses the hashtags #explorealberta or #myjasper in conjunction with
their Travel Alberta campaign (RootsCanada)
Roots brand strength lies within its deep ties and associations to Canadian culture.
Roots has grown with multiple generations of Canadians, and therefore has high brand
recognition for many age demographics. Roots also has a strong public tie through its
relationship with the Olympics and outfitting Team Canada, among other nations (Company
Fact Sheet). Roots generates a positive brand association through its long-time environmental
commitment, which includes using recycled, reclaimed and non-toxic materials in the building
of stores; making sustainable products; supporting various environmental organizations and
related projects (Company Fact Sheet).
Roots logo, with its Cooper font and beaver, was designed by two of Canadas leading
graphic designers of the 1970s, Heather Cooper and Robert Burns (Our Roots). This logo is
now the biggest private property of Roots.

Promotional Objectives and Theme

Most consumers do not know that Roots leather is sourced from the same factory as luxury
heavyweights like Hermes and Prada (Phelan, Roots). We want to raise awareness of the
quality and luxe nature of Roots leather goods. By increasing the publics product knowledge of
our leather goods, we will establish Roots as an accessible luxury brand with a Canadian touch.
To achieve our goals, we strive to have a 20% increase in leather sales, with an increase
in our more expensive leather products. We aspire to possess 0.5-1% of the market share of
Canadas bags and luggage sales, in one years time.
Our promotion plan will benefit Roots business sales, as it will reinforce the value of the
brand to current customers. Additionally, the revamp will attract new customers who seek to
spend their disposable income on investment purchases, and those who value luxury and

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fashion. The splash of the new campaign will attract the customers, while the quality of our
goods will make them see our brand advantage, possibly leading to customer bonding and
loyalty.

Target Audience
Our target audience for Roots Canada Ltd. leather goods promotion is career focused but an
exploration driven individual. They are inspired by travel, culture, art, nature, and history. The
demographic of our customer is primarily females who value high-quality leather goods and are
willing to invest in fashion products, while still valuing function over form. She is in-between the
age of 25 to 35 and is a considered a Canadian Gal. She is enriched in culture, whether in her
love for traveling the world, or embracing new local markets. She is of mixed nationalities,
however her roots are Canadian.
Our Canadian Gal is living in a downtown city centre neighbourhood with a hipster
atmosphere. Her home is downtown Liberty Village in Toronto, Kensington in Calgary, or
Gastown in Vancouver. Her closest friends are fashionistas and follow the top trends created
by fashion bloggers, and favourite celebrities. As she is new to her career, her free time is of
ultimate value and characterized by a jog through her favourite trail, shopping the best local
markets, and trying out the hottest new restaurants and lounges.
Her wardrobe of apparel and accessories consist of Made in Canada sourced goods.
This trend in the Canadian retail environment has been a common theme of the industry for
decades, focuses on both higher quality goods made locally, as well as a keen marketing edge
for certain brands that are able to benefit from the allure of Canadian goods for Canadians
(EuroMonitor International , 2014). The following illustrations depict our Target Audiences
source of inspiration.

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Promotions Mix
We do not wish to change our brand, but change the publics perception of our products. With
consumers becoming more educated and aware of their purchases, we recognize we are not
doing enough to inform them of the superior quality of our leather products. We strive to
change the publics awareness of our goods, and will start by subtly remodeling our leather
goods look and packaging. We are aspiring to launch our new vision for our Fall 2015 leather
goods line, through fashion extras.
Our leather goods will maintain their classic look, though they will be given a more
streamlined luxe design. More attention will be paid to introducing more fashion-forward
shapes and finishes for our products. For example, we would introduce a version of our Baby
Banff Coventry bag with expandable sides, in black with a slight metallic finish. We would focus
on the shapes of our leather goods versus hardware, while keeping our distinct durable look.
Our Pop Art collection from Spring 2014 is a direction we would like to continue to move in.

Roots' Baby Banff Coventry

A bag from the 2014 Pop Art collection

Through the subtle style updates of our leather goods, we will be expanding our
potential market. Our core and basic design products will appeal to our regular customers,
while our more fashionably detailed bags will attract a more fashion conscious younger
consumer.
The packaging and labeling of our leather goods will also be used to disseminate the
quality levels of our products. We will employ a more sleek design for our labeling, with more
emphasis on post-purchase packaging to add to customer delight, such as Roots product boxes
lined with a tartan wool square. We will attach more tags to our products outlining the
European nature of our leather and the quality of its production. Inside of the post-purchase
boxes we will place informational booklets with more details of the manufacturing process, and
sneak peaks into forthcoming events or products or more information about our rich company
history.

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A glance at Roots' new label tags

Including more informational packaging and labels on our leather goods will help to
educate our potential and existing customers. For our existing customers, the added
information will deepen their bond and respect for our brand while confirming their taste levels.
The information on our high quality products will impress our potential customers, and perhaps
justify the price of our goods to those who usually do not spend over $100 on a handbag. Not
preaching our quality levels on more traditional advertising channels will help our promotion
stay in-line with our brand image of being pro-quality and anti-consumerist. We believe word of
mouth, plus the impact of our re-imagined designs, will help to spread a more favorable image
of our brand.
Another promotional tool we will be utilizing to raise awareness for our leather goods is
public relations. We will be throwing a collection preview party prior to its sale to the public, as
well as increasing our celebrity seeding effort.
A few weeks prior to the public release of our new fall leather goods collection we will
throw an invite-only preview event in Toronto, with the media, bloggers, magazine editors,
special customers, and local Toronto tastemakers as guests. Prominent bloggers or magazine
editors who come from Vancouver, Calgary, or Montreal will be flown to Toronto.

Location:
Will be held in a loft-style space in Downtown Toronto
Atmosphere:
Canadian cozy-luxe
Food and Beverage:
Gourmet poutine bar, with guests being able to customize their fries
Alcohol offerings will include spiked cider and champagne from a local region

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Tartan wool lined cups

Attractions:
Fall 2015 leather goods collection will be on-display in an area of the party
o Roots staff will be on hand to assist and inform guests
o All products will be available for early purchase
o Displayed in a classic Northern Ontario faux-forest, with products being hung
from poplar and maple trees or placed on stumps
Instagram friendly impact

Music will be spun by internationally-celebrated Montreal-based DJ/producer

Kaytranada
o Disco and light hip-hop friendly mix
Medium-sized dance floor with views to Toronto skyline
Relaxation area with faux campfires and couches
o Tartan blankets

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Guests will receive gift bags with leather passport holders, product discounts and gifts
from affiliated sponsors
o Influential bloggers and local tastemakers will receive free product of their
choice

Post-Event:
Media coverage
Photos and tweets will infiltrate social media
o #ourroots
Event will be detailed on all of Roots online platforms
While our product labeling and design will create an impact at a consumer-based level, our
PR tools will create an influence on our consumers through the impact of tastemakers. The
event will also aid the credibility of our brand to fashion influential who may have previously
not taken our brand seriously as a fashion entity, then trickling to hard-to-find buyers who
avoid traditional advertisements yet value the opinions of influentials.
The second aspect of our PR approach will be to increase our efforts to seed our
products to celebrities. We will send our bags to stylists and celebrities in hopes of receiving red
carpet or tabloid placement. In addition, we have will approach Rachel McAdams to use our
bags on the red carpet in a paid-approach. McAdams has been selected as our ideal celebrity
seeder since she is a Canadian actress, though still internationally known. McAdams also holds
a more upmarket yet down-to-earth image that we believe would sit well with our current and
potential customers. To gain publicity for our preview party, McAdams will be making an
appearance.

McAdams and her Roots friendly street style

Our celebrity seeding strategy was chosen as it is another way to reach customers who
avoid advertisements and traditional media. Receiving press through celebrity placement will
also establish credibility with customers who need reinforcement on purchases, and give our
products a more upscale image that can compete with the status of larger European fashion
houses.

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Overall our campaign strives to raise awareness into the quality of our leather goods,
while remodeling this area of our brand to purvey a more upscale image and quality level.
Through non-traditional promotional tools, such as fashion extras and PR, we are reaching
customers in more credible, engaging, and interesting ways.

Promotion Budget
PR-Line Preview Party Budget
Physical Facilities
Room Rental . ...$1,950.00
Stage Set . . $400.00
Tables/Chairs .$700.00
Tableware . .. $500.00
Subtotal: $3,550.00
Decorations
Wooden Decorations . . $500.00
Plant & Flower . $200.00
Fake Campfire . . $120.00
Subtotal: $820.00
Equipment
Lighting . $700.00
Sound . $500.00
Television/Projector .$700.00
Subtotal: $1,900.00
Personnel
DJ . ... $1,000.00
Photographer . . $500.00
Technical Labour . .. $300.00
Servers . . $1,200.00
Security . .. $600.00
Flight for Bloggers .$3,000.00
Subtotal: $6,600.00
Food & Beverage
Finger Food (Poutine) . $400.00
Cider . .. $360.00
Champagne . .. $450.00
Subtotal: $1,210.00
Publicity
Invitations . . $180.00
Printing (including posters, banners, signage etc.) .$500.00
Subtotal: $680.00
Gift Bag
Passport/Card Holder . $1,000.00
Leather Cleaning . .. $300.00
Package . .. $200.00
Subtotal: $1500.00

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Permits
Liquor License (Special Occasion Permit) .$25.00
Subtotal: $25.00
Total: $16,285.00

We choose the Novella room of The Bram & Bluma Appel Salon as our site. The salon is
conveniently located at the Toronto Reference Library, 2nd Floor 789 Yonge Street (1 street
north of Bloor). Nearby paid parking lots are available on Cumberland Avenue, Yorkville Avenue,
Asquith Avenue and Church Street. The site is also very convenient to reach through public
transit by exit at TTC Bloor-Yonge subway station.
The size of Novella room is 1,575 sq. ft. and the ceiling height is 131, which is suitable
for 100 people or so.
The rental rates of Novella room for daytime (8:00am 3:00pm Thurs Sun.) is $600,
and for evening (3:00pm 1:00am Thurs Sun.) is $750. We will need two daytime bookings
for site layout and equipment installation. The actual party will be held in the evening. In total,
our fee for room rental will be $1,950.

Novella

The audio, video and lighting system will be offered by The Bram & Bluma Appel Salon. The
wooden tables and chairs and other tableware will be offered by Chair-man Mills.
The salaries for server and security people will be $100 per person. We will hire 12 servers and
6 securities to ensure a satisfied party for our guests.
Fashion Extras Budget
Merchandise Packaging
Packaging: ...$30,000.00
Labeling: . .... $60,000.00
Printing: . .. $7,500.00
Total: $97,500.00

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10,000 units of luxe leather bags will be released to publicize our excellent new line. The costs
for packaging, labeling, and printing will be $3, $6, and $0.75 per unit respectively.
PR-Celebrity Seeding Budget
Rachel McAdams . $250,000.00
Total: $250,000.00

For the celebrity seeding, we searched online and compared the price of appearance for many
celebrities. We decided to choose Rachel McAdams (a famous Canadian actress) to carry our
new product and show up on the party. The price of her appearance will be approximately
$250,000. However, the final budget still needs a further negotiation with her agent.

Conclusion
Our promotions plan includes updated styling of our leather goods, new informational labels
and attention to packaging, a promotional preview party, and more celebrity seeding efforts.
Together, these elements portray a new unified approach to the same brand elements that
Roots has traditionally possessed. Our promotion tools work together to attract new consumers,
while validating the loyalty of our current customer base. The promotional plan succeeds in its
ability to not be a blatant campaign or transformation. At its core, our promotional plan is
elevating and communicating the superior product and brand heritage that our company
already possesses. We are revealing the dedication of our company, prestige of our product,
and roots of our ideals.

Works Cited
About Roots. Roots. Roots Canada Limited, n.d. Web. 30 Nov. 2014.
Canadas Leading Lifestyle Brand. Roots. Roots Canada Limited, n.d. Web. 30 Nov.
2014.

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Canadian Brand Shares for Leather Goods. Euromonitor International. Passport, 2014.
Web. 3 Dec. 2014.
Company Fact Sheet. Roots. Roots Canada Limited, n.d. Web. 30 Nov. 2014.
Dunn, B. Roots Turns Focus to Leather. WWD, 190:57. Fairchild, 2014. P. 26. Web. 3
Dec. 2014.
Harris, M. Oh, Canada! Ethnic Marketing Giving Way to Post-Multiculturalism. O
Canada. Post Media, 25 Oct. 2013. Web. 3 Dec. 2014.
Our Roots. Roots. Roots Canada Limited, n.d. Web. 3 Dec. 2014.Mich
Phelan, Haley. Roots: The Canadian Heritage Label You Need to Know About Now.
Fashionista. Breaking Media, 26 Sept. 2013. Web. 30 Nov. 2014.
RootsCanada. Instagram. Instagram, 2014. Web. 30 Nov. 2014.
Shaw, H. Sinking Roots in Canada. National Post: Financial Post. Postmedia, 10 Jun.
2011. Web. 3 Dec. 2014.
The Cofounders. Roots. Roots Canada Limited, n.d. Web. 30 Nov. 2014.
Who We Support. Roots. Roots Canada Limited, n.d. Web. 30 Nov. 2014.

Images
http://upload.wikimedia.org/wikipedia/en/thumb/0/0f/Roots_logo.svg/1280pxRoots_logo.svg.png
http://canada.roots.com/leather/womens-shoulder-bags/baby-banffcoventry/18010765,default,pd.html?selectedColor=Y84&cgid=miniLeatherHandbags&start=1&
q=#start=1
http://www.tovogueorbust.com/2013/04/little-brooklyn.html
http://canadanightlife.ca/2014/02/10-gourmet-poutines-try-la-poutine-week-2014-montreal/
http://st.houzz.com/simgs/1d61a2910279e44b_4-0013/traditional-mugs.jpg
http://mossylion.typepad.com/mossy_lion/images/2007/04/20/gerv00428_lg.jpg
http://g02.a.alicdn.com/kf/UT8H75JXaxXXXagOFbXa/123690250/UT8H75JXaxXXXagOFbXa.jpg

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http://cdn04.cdn.justjared.com/wp-content/uploads/2012/11/mcadams-mustache/rachelmcadams-michael-sheen-likes-his-mustache-05.jpg

Supplemental Material
Appendix A
Collection preview party floorplan.

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Appendix B
Price list sources.
Classique Event Catering. Classique Event Catering. Retrieved 3 Dec. 2014, from
http://www.classiquecatering.ca/corporate/catering/desserts
Indoor Campfires. Indoor Campfires. Retrieved 3 Dec. 2014, from
http://www.indoorcampfires.com/
Services For You: Liquor Sales Licensee. AGCO: Services For You. Retrieved 3 Dec. 2014, from
http://www.agco.on.ca/en/services/permit_special_LSL.aspx
Air Canada. Air Canada - Official Website: Flights, Airline Tickets, Airfare Deals, Car Rental, Hotel &
Vacations. Retrieved 3 Dec. 2014, from http://www.aircanada.com/en/home.html
Invys.com. Printed Invitation Pricing. Retrieved 12, 2014, from http://invys.com/pricing.html
Lutz, A. (2012, 11). These Has-Been Celebrities Still Charge Staggering Fees Per Appearance.
Business Insider. Retrieved 3 Dec. 2014, from
http://www.businessinsider.com/celebrity-public-appearance-fees-2012-11?op=1