Exploring key innovations within the clothing sector using Canada Goose

and Speedo as case studies

Key innovations in the sector:
Innovation is defined as the commitment of resources to a novel project (Cason, 2021).
Throughout this report I will be looking at the key innovations within the clothing sector;
using Canada Goose and Speedo as case studies to help explore these innovations. I have
chosen these companies due to their key marketing and product innovations which have
transformed the clothing sector. In the 70s entrepreneur David Reiss, son-in-law of the
founder of Canada Goose contributes a radical innovation to the sector and revolutionises the
way companies manufacture outerwear. He redesigned the process of filling jackets by
inventing a down-filling machine, this allowed the company to pack down more feathers into
their products thus drastically improve their quality. As a result of this innovation, Canada
Goose was able to produce there infamous “Big Red” Expedition Parka. This was used by all
the scientists at the McMurdo station in Antarctica and gained global attention for the brand.
The combination of this and marketing innovations such as the “Made in Canada
Commitment” allowed the transformation of the firm into a luxury clothing brand.
(www.canadagoose.com, 2017.).
Speedo originated in the 1920s and since has remained one of the most iconic swimwear
brands. With countless marketing and product innovations, Speedo is a perfect case study to
illustrate innovation within the clothing sector. In 1929 the first non-wool swimsuit was born,
resulting in a tighter fit thus allowing people to swim faster. Marketing innovations such as
the sponsorship of successful athletes and later, entire Olympic teams, made Speedo a
household name. (Inside Speedo | Speedo, 2021) After the 2004 Olympics, Speedo partnered
with NASA in the aim to produce the world’s fastest swimsuit. Using a combination of air
tunnels from NASA’s aeronautics work and research done into minimising friction at
Speedos Aqualab, the LZR Racer was produced. The world’s first full body swimsuit with
ultrasonically welded seams to reduce the friction of stitching by 6%. The standard zipper
was also redesigned, hiding it inside the suit thus further reducing friction. The suit broke
countless records but concerns of the suit giving athletes too much of an advantage
consequently got the suit banned from competitive swimming. (Record Breaking Benefits,
2021)

How opportunities to innovate were identified:

Sam Tick, founder of Metro Sportswear Ltd (later developed into Canada Goose), spent years
working in factories. This existing knowledge assisted him in obtaining maximum
productivity in his firm. The firm specialised in professional outerwear and Tick found an
opportunity to wholesale the products to researchers and police departments working in harsh
cold conditions. In contrast to Tick, it could be argued that his son in law’s invention was a
necessity. In order to improve the quality of the parkas, the down filling machine was
essential. (The Flight of Canada Goose, 2021). The son of David Reiss, Dani Reiss, saw an
opportunity to grow the brand by converting it into a luxury brand. He said the products and
reputation were “phenomenal” but “nobody knew about it” (Kumar and Perepu, 2020). So, he
pledges to remain in Canada, keeping the product authentic, whilst ensuring the use of the
highest of quality materials. Dani Reiss spent years helping in the factory since he was a kid,
and this experience gave him the necessary tools to transform the brand. (Debter, 2021)

For Speedo entrepreneur Alexander MacRae, set up a knitwear factory under the company
Fortitude, making socks for the Australian army during World War 1. With his previous
experience in factories and fabric MacRae saw an opportunity to revolutionise swimwear and
in 1929 the worlds fist non-wool swimsuit was born. (Inside Speedo | Speedo, 2021) In the
90s Speedo was bought by family enterprise, Pentland group. With excellent innovation
capabilities and brand management, the group recognises an opportunity to profit from
Speedo. The ownership of other international brands such as Lacoste and Ellesse meant the
group had a vast amount of experience. (Pentland Group: A family of brands | IMD article,
2021) The group’s financial contribution meant Speedo could continue to push the
boundaries with key innovations such as the LZR RACER swimsuit being produced.

The development and implementation of innovation/s

Most importantly the development of the down filling machine enabled the production of the
high-quality parkas we see today. These Parkas were made popular through a series a
marketing innovations. Firstly, the firm partnered with the scientists at the McMurdo station,
providing them all with Parkas. Furthermore, in 1982 Laurie Skreslet, the first Canadian to
summit Mount Everest did so in a Canada Goose Parka. This made the Parkas popular in this
very niche market of adventurers/explorers. (www.canadagoose.com, 2017.). However, Dani
Reiss wanted to expand this popularity to the general population. They failed to afford a
proper marketing campaign so instead Dani decided to give the parkas to bouncers working at
nightclubs in Toronto, receiving popularity amongst the people visiting these clubs. He also
visited trade shows in Europe where the parka gains further popularity and unlike
Canadian/American retailers they saw the Parka as luxury clothing. To maintain this status,
he pledges to manufacture in Canada where he can ensure the jackets quality and
authenticity. (Kumar and Perepu, 2020). Furthermore, he makes lighter jackets, more suitable
for moderate climates and higher activity, creating a larger market for the brand.
(www.canadagoose.com, 2017.).

MacRae’s success in providing socks for the Australian army meant that he could invest a lot
of his fortune and experience into Speedo. MacRae’s extensive experience in the sector
backed by finance led to the world’s first non-wool swimsuit known as the Racerback (A
Brief History of Speedo Swimwear, 2021). This radical innovation was made popular by the
Swedish swimmer, Arne Borg, who’s Olympic achievements brought the innovation attention
to the general public. As Speedo’s success grew, so did there marketing budget and the
sponsorship of induvial athletes turn into the sponsorship of the entire Australian Olympic
team in 1957, making Speedo a globally recognised brand (Inside Speedo | Speedo, 2021).
Later on in the company, Speedo formed a partnership with NASA, and this led to the
development of the LZR Racer swimsuit. Similar to a wetsuit in design, the polyurethane suit
compressed swimmers’ bodies whilst adding buoyancy via trapping air bubbles and reduced
drag through the ultrasonic welding. The initial release of the suit was a huge success, leading
to an astonishing 13 world records and 98% of medalling athletes wearing the suit in the 2008
Olympics at Beijing. However, just 2 years later this revolutionary suit was banned on the
basis that it gave too much of an advantage (Record Breaking Benefits, 2021).

Barriers or opportunities for growth resulting from the innovation/s

For Canada Goose, the unethical use of leg-hold traps to obtain coyote fur for its parkas
gained a lot of controversy in the news, gaining global criticism. This included a lot of protest
against the brand and popular tweets such as #FurFreeBritain to trend. Although it can be
argued that the fur contributes to the jacket’s quality, people still encourage the switch to bio-
fake furs (Humane Society International,2020) Dani Reiss attempts to build back a positive
image for the brand with various charitable donations such as joining forces with Polar Bears
International and providing fabrics for Inuit communities (Abdihakim, 2017). Additionally, a
report from Canada goose states that from 2022 that it will no longer purchase fur from
trappers but reclaim fur in its products (Dodgson and Gann, 2010). This has set a new
sustainability standard in the sector and is now encouraging the competitors of Canada Goose
to follow suit. The new sustainability standard also breaks barriers to expansion and allows
Canada Goose to access a larger market, encouraging all of the people who disagreed with
the unethical capturing of the fur to purchase the product. The “made in Canada”
commitment created a barrier to expansion when the business grew and entered international
markets. This meant that its products sold out pretty fast. Although this initially seemed to be
an issue, it turned about to be an opportunity, it added to the exclusivity of the brand and this
resulted in an added luxury which grew the customer base even more (Kumar and Perepu,
2020).

Throughout its long history, Speedo has received opportunities and barriers to growth
resulting from its innovations. To name a few, Speedo received public backlash when medal
winner Claire Dennis wore Speedos Racerback, criticised for showing too much shoulder.
(Inside Speedo | Speedo, 2021) Even though it seems trivial now, this was seen as taboo then
and undoubtedly turned people away from the brand. Huge protests formed to prevent her
entering the final and this brought a lot of bad attention onto Speedo. Fortunately, the protests
did not last long. (V&A Dundee · Speedo: breaking records and taboos, 2021) However,
Speedo’s disregard for social norms in order to improve the nature of products could have
cost McRae his business. In addition, the relatively modern radical innovation, the
unstoppable LZR Racer swimsuit was banned shortly just 2 years after it was made. Although
this must have been initially hard for Speedo, it created an opportunity for growth, to create
new suits in compliance with the new guidelines. Still attempting to improve performance,
the new suit also included a “racing system that integrated the swim cap and goggles into one
thus reducing water resistance (Morrison, 2021).

Conclusion:

In conclusion, I personally believe the innovation process in the clothing sector can be
improved by not just looking at innovations from an economic standpoint. For example,
Canada Goose with the use of coyote fur, increasing the quality of the products so they can
charge a higher price. (Humane Society International,2020) Companies should analyse the
environmental/societal effects innovations may have and this will depend entirely on the
innovation. This can also be seen with Speedos controversial Racerback design, whether this
was intended to force people to think about the inequality between men and women at the
time or to just improve the nature of the product the point stands. If innovations were not just
made for financial reasons, they would likely be more meaningful and most likely more
successful too. Moreover, I believe other sectors could improve by emulating Canada
Goose’s authenticity, by pledging to stay within their country. People are generally becoming
more socially aware and are turned off by products coming from companies with factories in
third world countries. With the discount of the products coming at the expense of the welfare
of the workers. In addition, I think my companies should emulate Speedo by collaborating
with other firms from other sectors (NASA. 2021). Speedos coloration with NASA meant
they was able to create the greatest swimsuit of all time. Companies from other sectors will
bring a different perspective to the innovation process which will lead to businesses creating
better products.

References:
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