Young Marketers Elite Development 7

1. Young Marketers Elite Development 7
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Anh Nguyen - James Tran - An Mai - Viet Nguyen - Huy Nguyen

2. ABOUT
CANIF
A
Functional benefits:
- Ensured quality (great durability, certified by an assessment
system exclusively designed for Vietnamese customers by
combining reliable global and Vietnamese standards)
- Authenticity (natural & organic material)
- Great application (mix with various styles)
Brand feature: Durability, Affordable, Simple, Family-based
Brand Personality: Easy-going, Comfy, Conscious, Mature
BrandPhilosophy: CANIFA believes that casual clothing motivates
individual to embrace themselves with love and positivity every new day.
CANIFA is a leading casual wear brand that provided
high-quality items at reasonable price and align with
global trends. CANIFA’s products are basic, yet varied
and easy-fitting to serve both men and women, from
baby and kids to all other ages, for different occasions
and distinctive personalities. That is what they call
“Fashion For All”
Brand Mission: To make fashion become more accessible and enjoyable
to everyone by providing clothing with assured quality and suitable for
all shapes, ages, genders and needs.
To enhance, enrich Vietnamese people’s daily life by delivering the
happiness of wearing clothes newly everyday.
01.ABOUT
CANIFA

3. PORTFOLIO
PORTFOLIO
PORTFOLIO
DEMOGRAPHICS
(1) CANIFA Men & Women (masterbrand):
Provide clothing designed to mix with all styles
on a wide range of daily occasions.
RTB: Light material brings comfort, Elegant and
simple patterns, Applicable forms for all casual
activities.
(2) CANIFA Kids (brand focus): Bring comfortness
and dynaminism for kids in multiple daily
activities.
RTB: Easy to move form and shape, Soft materials
with high-tensional fiber, Colorful and vibrant
colors, Wide selection of playful patterns and
animal prints.
(3) CANIFA Babies: Offer adorable and affordable
babies clothing items for all baby’s ages and
stages.
RTB: Softer and gentler organic cotton textiles for
sensitive skin, All-sized clothes for different
stages of development, Playful patterns and
colors.
Wool & Cashmere (key product), Cotton, Khaki, Jeans
All materials are familiar with Vietnamese, suitable for
multiple daily use and fit with Vietnam’s climate.
Casual
Sweater, Coat, Sweater, Cardigan
T-shirt, Shirt, Polo shirt, Skirt, Pants, Shorts
Homewear
Home suit, T-shirt, Pants, Shorts
Active
Active T-shirt, Active pants
Accessories
Socks, Swimsuit, Bell, Office supplies
Special Offers
Drytech, Anti UV, Heattech
Cashmere products, Australian wool-made items
Collections
Sporty Look, Active In Style (men & women)
CANIFAxDisney, Spring Summer (boys), Frozen (girls)
Own The Style, #SayIt
CANIFA aims at basic and simple clothes for with many
types of clothes for all seasons. However, their summer
clothing items are not well perceived due to the lacking of
attractive and trendy designs.
CATEGORIES
TEXTILES

4. SEGMENTATION
SEGMENTATION
SEGMENTATION
DEMOGRAPHIC
SEGMENTATION
PRIMARY
Young adults & middle youth
Female, married, have kids, family-oriented.
SECONDARY
Babies, kids, tweens, later-lifers and seniors
(01-12 and 45+ years old)
Teenagers and mid-lifers (13-18 and 45-64
years old)
AGE GROUP
01. PSYCHOGRAPHIC
SEGMENTATION02.
GEOGRAPHIC & INCOME
ACTIVE
Living in big cities, urban areas
Northern Vietnam
Middle income
RESTRAINED
Living in small provinces, rural areas
Low to Middle income
● Focus on images, appearances and
trends. Enjoy spending money on
new & strong-branded products and
convenience services.
● Prefer actively involve with brands.
→ Key consumers of most global
fashion brands.
(1) IMPULSIVE SPENDER
● Focus on products' quality. Seek
value for money.
● Be frugal in shopping habits, well
aware of spending power.
● Often stick to usual purchases rather
than impulse ones.
● Rarely buy nonessential products
and make impulsive shopping
decisions.
(2) TRADITIONAL SECURE
& MINIMALIST SEEKER
Current focus group of CANIFA:
Traditional secure & Minimalist seeker

5. KEY TAKEOUT 1. Target consumers of Canifa should be kept as current
○ Kids as the main revenue drivers but their parents as targeted shopper. Noticing,
Adult quantity and sales contribution is equal as of Kid so CANIFA should keep
leveraging both segments.
○ Young millennials (male and female equally) as the highest source of growth, as
gradually they could become parents and evolve to buy kid’s clothes in the future
2. Market development for Southern region is needful and online channel development is
necessary to establish
While the segmentation & designs focus on
millenials, Kid shares the biggest revenue
contribution vs. Male and Female.
Northern area has the highest contribution towards
total revenue with average 85% YOY, however Southern
also rising which bring the positive signal
on market development
Revenue of Male & Female slightly drops in 2019 vs.
2018 while only Kid keeps it form but can’t cover the
loss from other segments.

6. BRAND STATEMENTS
We enhance Vietnamese people lives.
(2001 - 2006)
CANIFA entered Vietnam market with key
product made from wool. Being the only local
brand that created affordable cold protective
garments in diverse styles, CANIFA soon gain
awareness from consumers of all ages and was
well perceived as “durable, affordable fashion”
brand.
CANIFA’s entering Vietnam market has brought
significant change to the local fashion industry:
- Challenged conventional perceptions towards
Vietnam fashion industry (local brands lack
diversity in product design, inconsistent branding
activities).
- Enhanced the quality standard of Vietnamese
people about clothing.
CANIFA attempted to elevate brand image:
more trendy, dynamic and somehow more
luxurious. They targeted the younger & more
fashionable group to create aspiration and
reinforce the positioning “fashion for all”:
- Developed product innovations: Drytech –
(anti-humidity product line), Anti UV, Heattech,…
with assured/certified quality.
- Collab with Luigi Ciocca (Premium Italian
Cashmere Collection), Ly Giam Tien & Hoang
Minh Ha, Le Ha.
- Sponsored for Vietnam Next Top Model (2012),
Project Runway (2013) to attract new groups of
consumers and recruit “young blood”.
- Participated in International Fashion Week
(2015)
- Merged with ONOFF (2017), CANIFA for babies
(2018), Co-organize Model Kid Vietnam (2019).
To compete against the proliferation of foreign
fast-fashion brands (Zara, H&M, Chinese
imports...), in 2007, CANIFA started to complete
customer chain by positioning chain Fashion For
All:
- Entered the fashion market for children from 2-12
years old with CANIFA Kids. CANIFA customers,
many young girls, after 5-7 years with the brand,
who have become mothers, continue to catalog
CANIFA to choose clothes for your child. This
expanded CANIFA consumers’ age demographics
(2-45 yrs old).
- Started producing seasonal clothes with other
textiles and materials (kaki, cotton, jeans) which
had always been familiar with Vietnamese.
- Although possessing a fast-fashion brand’s
business model, CANIFA was not big on trends.
They prioritized creating clothes with durability
(products with longer lifespan) and less significant
change on product variants to meet with
low/middle budget of target consumers..
“
”
We make fashion accessible to all
Vietnamese people
(2007 - 2013)
“
”
We keep adapting to bring the best
quality for all Vietnamese.
(2014 - now)
“
”

7. In 2017, CANIFA was able to gain significantly 41% of its
2016 revenue probably due to
1. The merging with ONOFF+
2. Fashion Street Festival communications but
couldn’t keep the momentum in 2018 with the
drop contributed mostly from North.
In 2019, besides the drop from North, there was barely any
movement in South and Online revenue, hence, it’s high
time CANIFA identified its sources of growth and capture
consumers’ need better to expand its business.
BRAND STAGNANT ON REVENUE
Growth rate: unstable, decreased 9% on total revenue on
2019. Possible reasons:
● The proliferation of foreign fashion retail (Zara,
H&M, Pull and Bear,...) were eager to gain more
from this booming fashion market
● Hot season extended further than usual -> Canifa
key product of wool didn’t suit the need
North dominated on revenue of CANIFA due to:
- Knitwear which plays a role as Canifa’s key
product is suitable for Northern weather.
- The diversified presence of Canifa store in the
North brings it closers to consumer.

8. I S S U E S
Business Issues: Need to win more of choices over foreign
brands from users
Marketing Issues:
1. Brand: lacking of emotional values and connection
with users
2. Product:
a. Compared to fast fashion competitors, design is
not as trendy or up-to-date, little significant
changes in product variants
b. Knitwear is the only Canifa’s well-known product

9. Vietnam Domestic Apparel Market is highly
potential when people spend significantly for
clothing and forecasted to grow more in 2020.
CATEGORY OVERVIEW
Vietnam is having highest growth rate of
Middle Income population in ASEAN around 10%
Clothing is on top 2 categories that Vietnamese
people willing to pay more
Vietnam with its young demographic and growing incomes, is considered a hugely promising market. Foreign brands are attracted to its 15-20% annual growth. The shift from
middle to higher incomes is expected to lure in more internationale fashion brand in the future.
The change in the level of wealth of Vietnamese people enables them to buy international standard products and International brand help to build up/educate consumer about
valuation, people willing to pay more for higher-quality fashion
Middle market can the be potential Source of Growth for
Canifa (cause the expanding of middle class)
KEY TAKE OUT

10. With CAGR
YOY 10%
SIZE OF
FASHION MARKET
Including Clothes and Footwear in 2018
3.8
TỶ USD
3.5
TỶ USD
Within Fashion,
Clothes
accounted for
H&M announced revenue of VND 763 billion for
2018, Zara reported revenue of VND 1.7 trillion from
two stores in Hanoi and HCM City in 2018.
LOCAL
BRANDS
INTERNATIONAL
PLAYERS
Already presented in market for 5-10 years, strong local
understanding & price-fit
Joined market since 2017, especially trio Zara, H&M and
UNIQLO are loved by consumers
KEY PLAYERS IN
FASHION CATEGORY
73% users making purchase on
Fashion goods on online sites/
platforms

11. Consumers in Vietnam tend to pay attention and spend heavily on international and well-known
brands. Proofs are long queues on Uniqlo’s opening and Zara, H&M with Tet’s promotion.
The international fast fashion brands, especially trio Zara, H&M, ... brings significant impacts to the
market, compete on imageries, under the attributes of “fashionable”, “international quality" &
“reasonable””, UNIQLO - which attributes is Family Clothing, Reasonable Price, Good Quality.
In long-run, Vietnamese brands needs to utilize its understanding about Vietnamese culture and
behaviors to define its own space and win the competition driven by International brands above.
KEY TAKE OUT

12. 1. Before the entering of the well known H&M into Vietnam, the fashion shoppers can
buy and import product on their own from other countries because there are usually
big sales in these countries. The popular sales even go up to 70-80%, even “buy 1 get
1”... resulting the worry for shopping directly in VN of “Will i regret paying too much?”
2. Sales or Promotion are to solve this but quickly out of stock or out of size
1. Not owning any manufacture factory, collectively bought from 800 independent
supplier including Vietnamese ones
2. Collections are regularly updated, store updates are frequent.
The H&M business concept is to
offer fashion and quality at the
best prices with sustainability
as an added value.
*H&M achieve this by buying directly from
manufacturers and by having efficient logistics
and our own warehouses, not by compromising
on our sustainability requirements.
1. Brand message: We want consumers to feel they dress nicely and comfortable with what they’re wearing
2. Brand feature: Ensuring material, shape and, products are highly applicable and have high endurance, transparent of production
places, care about the environment
3. Brand Philosophy: “Our products are manufactured on sustainability”
4. Brand mission: Up to 2020, all of cotton material must come from sustainable sources
5. Segmentation: Demographic (Every age and every family members), Category (Latest trend and seasonal needs)
6. Target audience: Women, Men, Kids
7. Brand personality: Young, spontaneous, modern, trendy, responsible
WEAKNESS
TIME OF EMERGING: 2017
BRAND STRATEGY
02.COMPETITORS
ANALYTICS

13. UNIQLO is a clothing apparel company
from Japan with a focus on quality and
textiles.
UNIQLO has continued to aspire towards
excellence in quality, design and
technology through its products and
journey of pursuing perfection.
- Mainly Female and Male adults
- Aged 18 - 40
- Middle and upper middle class.
- Looking for affordable and high-quality clothing that
fits their lifestyle.
- Geographic: Urban and suburban population
- Demographic: All age categories and both
genders
1. Brand message: “Everyone can dress casual”.
2. Brand Positioning: “Unique Clothing Warehouse” -
Unique label creating their own clothing which transcend
age, gender, ethnicity, and all other ways to define people.
3. Brand Philosophy: “Made for all” - UNIQLO believes that
everyone can benefit from simple, well-designed clothes
as most people are looking to being and feeling better
everyday.
4. Brand mission: “Unlocking all barriers of Clothing”
5. Brand feature: High quality, Performance-enhanced,
Basic casual wear, Affordable
6. Brand personality: Friendly, Honest, Comfortable,
Self-embracing
7. Brand architecture:
- Demographic: Women and Men, Boys and Girls, Baby.
- Categories: Outwear, Tops, Bottoms, Inner-wear, Home
wear & Accessories
BRAND STRATEGY
SEGMENTATION
TARGET AUDIENCE
02.COMPETITORS
ANALYTICS

14. TARGET AUDIENCE
- Mainly Female and Male adults
- Age 18 - 35
- Middle and upper middle class.
- Up to date with the latest
development in the fashion industry
and want fashionable, trendy and
unique outfit at affordable prices.
- Geographic: Urban and suburban
population
- Demographic: All age categories
and both genders
1. Brand message: The fast fashion retailer that provide an excellent customer experience to all
2. Brand positioning: Zara has positioned itself as a accessible fashion pioneer, who provide trendy and high-fashion products to
affordable fashion brand for the young people.
3. Brand philosophy: “Process innovation dominates the global economy” - which means it is unneccessary to come up with a new
product but rather inventing a new process of production to become the fastest.
4. Brand mission: Give customers what they want and get it to them faster than anyone else.
5. Brand Feature: Ensuring the availability of new fashion, new design, new trend at affordable prices on store
6. Brand Personality: Confident, Good-looking, Unpretentious, Stylish
7. Brand architecture:
- Demographic: Zara Man, Zara Women and Zara Kids
- Categories: apparels, shoes, accessories
- Besides, Zara TRF offers trendier and sometimes edgier items to younger women and teenagers
BRAND STRATEGY
With its dramatic introduction of the
concept of “fast fashion” retail, Zara
has been credited credited as having
the first successful in this business
model.
Zara aspires to create passion for
fashion amongst a broad spectrum of
consumers, spread across different
cultures and age groups.
SEGMENTATION
02.COMPETITORS
ANALYTICS

15. COMPETITION CONCLUSION
Within the category attributes, each of the brands has its own strength but at the
same time remaining the requirements.
We have factor of attributes:
● Rationale: Good quality, Affordable, Fashionable, Good design
● Target: For youth, For adults
● Differentiator: Innovative, Luxurious, New
A robust supply chain, high-quality, innovative, affordable clothes
that transcend gender, age and ethnicity are the factors contributing
Uniqlo’s iconic brand value.
Zara’s success was built from extremely trendy with the most
innovative into fashion designs at a competitive price, as well as
the well managed supply chain that are all integrated.
“Our products are manufactured on sustainability”
A wide range of product with good quality and affordable prices,
along with the diversified presence have moved H&M into a fierce
competition in the fast fashion market.
*Source: Self conduct quick survey
“Unlocking all barriers of Clothing”
“Process innovation dominates the global economy”

16. 03. DIRECTIONAL
BRAND KEY

17. SECONDARY: UNIQLO, H&M, ZARA
1. Objective: Converting users seeking for
international brand by owning lower segment
(lower SEC, currently buying other brands).
2. Maintain the current users of CANIFA to create
motivation for them so they can engage with
CANIFA by attaching emotional/ inspirational value
with the brand.
Expansion in Suburban and
Southern market
(Distribution coverage)
Rebuild an unique brand
positioning that match with
group target audience of Canifa
that can enable the brand to win
both international & unbranded
market
Increase brand awareness among
target audience to continuously build
up brand equity with Vietnamese
understanding, high quality with
affordable price
DEFINE SOURCE OF GROWTH
KEY STRATEGIES TO GROWTH
PRIMARY: SUBURBAN/URBAN
1. To tackle the market where international brands
are not present. Buying behavior of users is buying
at small shops, online shops.
2. Target: To convert users from buying unbranded
products, market product with not as good quality
to CANIFA products (nice quality, a bit higher
price...) by quality standard
ATTACK DEFEND

18. Focus on products' quality. Seek value for
money. Be frugal in shopping habits, well
aware of spending power, Often stick to
usual purchases rather than impulse ones.
Rarely buy nonessential products and
make impulsive shopping decisions.
TARGET
SEGMENTATION
TRADITIONAL SECURE &
MINIMALIST/SIMPLICITY SEEKER
YOUNG MOM (25-35YRS)
1. Income A, B+ , who always cares about her
family, and who makes the main decision to buy
clothing for whole family
2. Urban/Sub-Urban
3. Behavior: wisely spending - seeking for good
quality (good looking, durable) with affordable
price
1. Income A, B+, do not want to take much effort to
choose clothing
2. Urban/Sub-Urban
3. Behavior: Safe choice - seeking for safe
solution/design that don’t make them feel
overwhelmed and not confident.
CASUAL PEOPLE (22-30YRS)

19. Vietnameses do not take pride in their originality, instead, they tend to feel inferior
towards Vietnam identity. Therefore, they prefer wearing international fashion
brand’s item to hopefully reach the global standard, thus have a sense of
confidence and up-to-date.
Understand that truth, CANIFA won’t sell national pride, but to leverage one
specific good characteristic of Vietnamese and transfer it to CANIFA’s new
positioning.
“As a progressive Vietnamese, I am not inclined on wearing luxurious clothes for showing off or
being trendy because they make me hard to move and be active in daily occasions. I prefer
choosing the simple & comfort brand to express my diligent, relentless attitude as I am moving
forward to achieve successful stage in my life.”
STARTING POINT
POSITIONING INSIGHT
THE DILIGENCE & RELENTLESSNESS OF PROGRESSIVE VIETNAMESE

20. POSITIONING
The practical simplicity Vietnamese fashion brand for progressive lifestyle
CORE VALUE
Soft and Comfort Vietnam Innovative Uniquely Vietnamese
Light and comfortable
for progressive
Vietnamese lifestyle
Innovation with products made
from Vietnam Ingredient for
VNese market with advanced
technology applied
For Vietnamese multiple
occasions and cultures
TRANSLATE TO CANIFA POSITIONING
REASON TO BELIEVE
The design & material is
comfortable & simple
Made from the Vietnam
natural materials
(bamboo, coffee…)
Wool products and
affordable cold protective
garments are CANIFA root
and expertise since 2001.
Made for assured quality,
high comfort and flexibility.
Designed and devoted by
the aesthetic mind of
Vietnamese people
Global quality checked
Manufactured in Vietnam
with internationally
standard quality

21. AMBITION FOR
SUSTAINABILITY
BRAND
DISCRIMINATOR
BRAND
PERSONALITY
FUNCTIONAL
BENEFITS
EMOTIONAL
BENEFITS
PURPOSE
(BRAND POV)
HUMAN
TRUTH
PRODUCT
TRUTH
THE PEOPLE
WE SERVE
ROOTS
THE PEOPLE WE SERVE
TRADITIONAL SECURE & MINIMALIST SEEKER
For the people who focus on product’s quality, fashionable design and
lastly, value for money. They nurture their hopes and power in their daily
hectic life and that includes good and comfort clothes.
HUMAN TRUTH
As life’s evolving, complexity and expectation are growing
made me feel there’s lot of daily burdens in different moments
and occasions. These are the barriers that prevent me from
staying progressive in life.
PRODUCT TRUTH
Great comfort, high flexibility and practical simplicity to
casually wear in multiple occasion, eventually help
them to progress in life.
FUNCTIONAL BENEFITS
Comfortable and assure quality products
that enables people to casually wear it in
all occasions of their daily life.
BRAND DISCRIMINATOR
Canifa is the only fashion brand shares the strong cultural &
people understanding and offers a fit-design and high quality
products to Vietnamese progressive people.
Canifa is made for Vietnam.
EMOTIONAL BENEFITS
Assured quality and flexibility that empowers people to
casually active and overcome all the barrier, help them
to stay progressive in life.
BRAND PERSONALITY
Positive, Progressive, Vital, Established
and Hoping for Vietnamese people
PURPOSE (BRAND POV)
Enriching Vietnamese people to stay progressive in life and
keep a diligent, relentless attitude by providing practical
simplicity fashion blending with strong cultural
understanding.
Made from natural materials with sustainable sourcing
and long-lasting designs.
Made in Vietnam and Made for Vietnam people.
Wool products and affordable cold protective garments are Canifa’s root and
expertise since 2001. Made for assured quality, high comfort and flexibility, we
truly care for the life being of VIetnamese progressive people

22. THANK YOU