Chairman and Chief Executive Officer, Canada Goose Holdings Inc.
Dani Reiss - April 20, 2022
Join us as we host Dani Reiss, in conversation with Jodi Butts, and learn more about Canada Goose’s bold plans for global growth and a sustainable future. Dani will share insights into Canada Goose’s journey from family-owned origins to dynamic global luxury brand establishing industry leading standards, producing category defining products, and engendering deep customer loyalty. From the pandemic, to social justice, to the environment – the world is collectively bearing witness to critical change. Dani will offer perspectives into how Canada Goose has addressed change as a constant variable i...
About Dani Reiss
In March 2020, Dani Reiss, President and CEO of Canada Goose, stated that the company was retooling its manufacturing facilities in Toronto and Winnipeg to produce personal protective equipment (PPE) such as scrubs and patient gowns for Canadian hospitals. Reiss said the company had the capacity to make tens of thousands of units per day and would do so for as long as necessary, adding that "the number one priority is to give back and to support Canada through this." Reiss also stated that Canada Goose had laid off many employees, and that he had contributed his entire base salary to a fund established to support employees. He noted that other employees who remained working had also begun contributing their salaries to this fund. Reiss described the company's actions as setting "a great example for what great community engagement can look like."
Transcript (43 segments)
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Narrator0:42
Our club has always been a forum for public figures, thought leaders, and decision makers to share their ideas. Here we offer access to dynamic political, business, and public personalities. We are dedicated to encouraging debate on the issues that matter to this city, this province, and this country. The Canadian Club is one of the most important podiums anywhere in the world that a Canadian can speak to, tell Canadians what it is that they think, develop those thoughts. And so I want to thank you for that very, very much. Please join me in thanking our esteemed panelists today. Through our programs and events, including our youth and young leaders programs, our diversity partnerships, our joint events, and our media and social media opportunities, we offer you access to dynamic political, social, and business figures from abroad and right here at home. The platform from which the eloquence of Canada has flowed all of that time. Whether it be business, education, politics, sports, arts, and culture. If someone wants to say something to Canadians about this country and about the future of this country, this is the venue you choose.
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David Simmons2:07
Good afternoon, members and guests. My name is David Simmons. I'm president of the Canadian Club and your host for today. Our 125th anniversary year has brought profound change for us. We adapted to the realities of a global pandemic because we knew our members and guests wanted connection and engagement and to be in the same room again. So, we're here. We're also live with several guests joining us online. We want to thank you for your ongoing support of the club and we're glad that you're able to join us through your medium of choice. For those of you joining us virtually, please engage with us on social media. Hashtags are on the table and they're on the screen as well. Canada Goose has a broader purpose in keeping us warm. Its commitment to sustainability takes many forms, including strengthening communities, protecting planet Earth, as well as our polar bears. Danny Reese will provide us with key insights about Canada Goose's success in retail and in sustainability. Please use the Q&A card found on your table if you have questions for Danny. We'll collect them and our moderator Jod will help integrate them into the conversation. For those of you joining us remotely, you can hit the submit a question button on your screen. The sooner the better. Submit your question. Again, we'll filter those in to the conversation happening in the room. Let me take a moment to acknowledge today's event sponsors, Cadillac Fairview and EY. Thank you to Sahed and Monica for being here today and helping us. We appreciate it. It's because of our sponsors, we're able to continue to operate and welcome guests like Danny and Jod. Round of applause to our sponsors. Now, allow me to formally introduce our guest. As chairman and chief executive officer, Danny's played a central role in developing Canada Goose into a global consumer brand backed by a world-class team of senior business leaders. I also see many of them in the room. So, welcome to his executive team that's here. It's a CEO who, as CEO, he's a staunch champion for made in Canada manufacturing and has been recognized for his unwavering passion for authenticity and bringing more of Canada to the world. Danny's been recognized as Canada's most admired CEO in 2020, awarded global visionary of the year by the Global Males report on business in 2019. He was appointed a member of the Order of Ontario in 2019 and member of the Order of Canada in 2016. He currently serves on the board of directors of Polar Bears International and on the board of Casper and Mount Sinai Hospital as well as the advisory board for Students on Ice. This afternoon, Mr. Reese is joined in conversation by Jod Buts. Jod is a senior governance consultant, a strategist, a trained lawyer, a respected executive leader with experience across health care, global business, and public policy. Danny and Jod, I'm pleased to welcome you to the club. I'd ask our guests to join us in viewing a quick video before they take the stage.
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Video Narrator5:13
Canada Goose is so sustainability has always been deeply ingrained in our brand. Having achieved carbon neutrality in 2019 and every year thereafter, Canada Goose is committed to net zero emissions by 2025. At Canada Goose, we believe that all of us are responsible for the future. We are dedicated to giving back, protecting our planet, and making an impact in order to keep our planet cold and the people on it warm.
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Jod Buts6:05
Danny, that was awesome. I think the team did a great job on that video. Yeah, that was really good. That's really good. I like it. So, we obviously want to talk about sustainability. It's Earth Week after all. But before we get to that, I want to start at the beginning. How this family business turned into a global powerhouse. As you know, I know the story as a board member of Canada Goose, but let's share that story. I swear. But let's share it with everyone.
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Dani Reiss6:35
Um, absolutely. There's many versions of the story. Um, and yeah, we are a third generation family business. We were founded in 1957 by my grandfather. He had a small shop in what's now condos downtown Toronto. My father got us into the down manufacturing business, creating clothes for the coldest places on earth called Snow Goose. I got involved in 1997 after my English literature degree from the University of Toronto. I was going to travel, but my folks offered me a three-month job at the company to make some cash. They always told me I wouldn't do this because it's too hard. I stayed because I learned what a real brand is — a brand equals reputation. I started traveling to trade shows, got an order in Europe, and we built the brand there first. We eventually re-imported it to North America. It's been a 25-year overnight success story.
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Jod Buts9:25
Well done. Well done. Yeah.
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Dani Reiss9:27
And it just it was baby steps, you know, and then we built this brand in Europe first. It's weird because it's a Canadian success story, built in the high Arctic. I remember walking down Queen Street trying to sell, but nobody wanted it — too expensive, too warm for the city. In Europe they saw us as a luxury brand like a Swiss watch. So we built there and then brought it back. That's the journey.
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Jod Buts10:38
So exactly, it's always that way. So let's talk about purpose and the made in Canada aspect. What does corporate purpose mean to you and Canada Goose, and how did you get there?
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Dani Reiss11:04
Purpose was always important to me. I never wanted to do something that didn't matter. I learned that making jackets impacted people's lives. Every decision is made through a lens of purpose and leaving a meaningful legacy. For example, in 2000 we decided to keep production in Canada when everyone else was going offshore. I saw that made in Canada added value in Europe and Asia, so I figured if we stuck around for five years, we'd be the only brand left. That worked. We now have the largest manufacturing infrastructure of its kind in Canada, employ about 20% of the cut and sew workforce, and helped revitalize that sector. During the pandemic we made PPE. Every major decision is filtered through: how is this important and how will it leave a mark?
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Jod Buts14:19
Well, that's awesome. So, one of the words we heard in the video was authenticity. What's the relationship between purpose and authenticity?
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Dani Reiss14:28
I think they're similar. It's difficult to have a purpose if you're not authentic. Authenticity is real, it's reputation. To be purpose driven, you have to be authentic. That's become more important in business, especially as the pandemic has shone a light on things.
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Jod Buts15:10
Let's dig into meeting moments. There are a lot of companies unsure what to do when something like a pandemic or discovery of unmarked graves happens. How does purpose help you as a company meet those moments?
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Dani Reiss15:40
The role of business and government has changed. Businesses are trusted more if they're good, and they can execute faster than government. People expect businesses to play a real role in communities and make positive change. We've always responded to crises — we donate, but don't always announce it. I don't think there will be a business around in 20 years that is not good for the world. People realize the state of the world.
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Jod Buts17:18
So what would you say to someone who says you should just focus on the shareholder?
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Dani Reiss17:26
I think that is focusing on the shareholder — building a company for the long term builds shareholder value. It's not built quarter to quarter. I would say those people have a different view of the time horizon. We want what's right for society and the planet over the long term.
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Jod Buts18:26
Would the company's purpose ever prevent Canada Goose from meeting a moment? For example, making PPE during the pandemic — someone might say what does that have to do with human nature? Was there any discussion that maybe it wasn't your moment?
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Dani Reiss18:52
No, it was instantaneous. We realized Canadian healthcare didn't have supplies. We had eight factories across Canada and could make the stuff, so we just did it. Everyone united behind it. We donated and later partnered with governments on procurement contracts at cost. We made over two and a half million units for Canada.
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Jod Buts20:10
No, that's fantastic. Let's switch gears. It's Earth Week. The video. Let's talk about sustainability. What are Canada Goose's commitments and how do you see getting there?
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Dani Reiss20:29
We take sustainability seriously. We issued our first sustainability report during the pandemic. We're committed to net carbon zero by 2025, minimizing plastic use, and we've become RDS certified. It's not a marketing campaign; companies must do this because the world needs help. The fashion industry doesn't have a great track record, but I believe we'll achieve and exceed our goals and be an example for the industry.
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Jod Buts23:43
Just listening to you, it's so true. Once you identify that goal, you see things you didn't see before. Any surprises you want to share from your sustainability journey?
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Dani Reiss24:09
Maybe surprise isn't the right word, but a realization is that sustainability has to run through the whole organization. It's not a department. Getting the whole company behind an initiative is a powerful tool for change. I think it's improved our employee engagement scores—people are proud to work here.
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Jod Buts24:58
That's awesome. We have some great audience questions. This one is fun: When was the last time you attended a fashion show?
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Dani Reiss25:12
I love that question. I can't remember. I don't consider Canada Goose a fashion brand. We're a function-first brand, a performance brand. We're fashionable, but we must never see ourselves as a fashion brand. I think of us as the Land Rover of clothing — performance pushed far enough becomes luxury. That's also authenticity. The last fashion show I attended was probably 15 years ago in London.
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Jod Buts26:37
Okay, another fun one. Do you get any backlash due to the fact that Canadian geese are often unwelcome? Dirty?
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Dani Reiss27:01
I just don't picture the — there's some amazing images of Canadian geese on silver and gold coins. When I think of Canada, that's all I ever think of.
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Jod Buts27:20
Good answer. Let's talk about fur. Canada Goose made the decision to go fur-free. How did you land on that? Was it outside pressure?
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Dani Reiss27:36
We had been talking about it for some time. We realized we could make the same quality products without fur, and if we could be more sustainable that way, we should. So we made that decision. We haven't received backlash. We've had meaningful conversations with indigenous communities who use fur as a way of life. We're not anti-fur, but for our inline product we don't need it anymore.
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Jod Buts28:44
Another great question from the audience. When you have Canada in your name, how do you become and stay globally relevant?
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Dani Reiss28:57
The Canadian brand is very strong. Having traveled the world, I feel like an unofficial ambassador for Canada. I think many Canadian businesses miss the opportunity to leverage that brand. People around the world love Canada. I can't think of another luxury company with Canada in its name on a storefront outside of Canada. I strongly encourage Canadian businesses to leverage the brand of Canada.
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Jod Buts29:54
So let's flip that around. What impact has Canada Goose had on the Canadian brand?
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Dani Reiss30:07
I think it's difficult to imagine we've enhanced the Canadian brand — the Canadian brand is bigger than we are. I don't take credit for that. But I know that around the world Canada is highly revered, and we should all be proud of that.
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Jod Buts30:55
So you've been in this role a bit longer than expected. What excites you about being CEO of Canada Goose?
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Dani Reiss31:08
We have so many opportunities. It's become a big responsibility. I wake up every morning trying to earn what we've achieved. The sky's the limit. We need to continue as a purpose-based brand. I used to think, did we sell too many jackets this year? But I realize there are brands much bigger than us, so the opportunity is still huge. We can grow in a sustainable way.
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Jod Buts32:00
Another great audience question. What impact do rip-off Canada Goose products have on your brand? How do you deal with that threat?
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Dani Reiss32:09
First and foremost, focusing on our own brand is most important. If we execute on our plans, we'll continue to be strong. Other brands entering the category only validate it. I believe only the paranoid survive, so I'm aware but don't lose sleep. Counterfeit is a significant problem; we have a thorough IP protection program.
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Jod Buts33:35
Not everyone may know the relationship between Canada Goose and the movie business. Can you share how it started and where it is today?
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Dani Reiss33:51
We're the unofficial jacket of film sets everywhere it's cold. We've been selling to the film industry for decades because our jackets are functional. The film industry helped us become known globally. We never paid for product placement. Our first movie was The Day After Tomorrow, then National Treasure — all the bad guys wore a competitor, all the good guys wore Canada Goose. Since then we've been in hundreds of films. The Mystique jacket got its name because we made it for Rebecca Romijn in X-Men because she was cold after body paint. We commercialized it.
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Jod Buts36:46
So bringing it back to purpose, when you think about philanthropic work with Polar Bears International and Students on Ice, how does that fit within purpose and contribute to organizational culture?
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Dani Reiss37:09
We've been with Polar Bears International for 15 years. We wanted a charitable partner aligned with our purpose. Two-thirds of the world's polar bears live in Canada; they're icons of the north. It made sense. I sat on their board, we made special jackets, donated millions. The relationship continues to grow. The PBI line has done really well.
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Jod Buts39:08
Last question, Danny. What keeps you up at night, and where do you think Canada Goose will be in five years?
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Dani Reiss39:20
I'm a bad sleeper, so that's not a fair question. In five years, I think the sky's the limit. We need to continue as a purpose-based brand. I used to wonder when we'd sell too many jackets, but now I see the opportunity is huge. We can grow from where we are and transform our business sustainably.
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Jod Buts40:42
Well, you didn't give me the answer to what keeps you up at night, but you gave me the answer to why you get up in the morning. Please join me in thanking Danny for joining us today and for sharing all your insights. Thank you very much. Thank you.
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David Simmons41:04
I got to say this. I work for Canada Life. That was a joke. Canada, I love you Danny. I was so taken by Danny that I wasn't looking at my notes. I have to go thank him now. That was a really great conversation. I took away three things: you're tremendously focused on doing the right thing, true to your product, true to your people; you're really friendly — that's unique for a CEO; you're very hopeful and exercising that hope deliberately for the environment, the company, and our world. Thank you for helping give the world more Canada through Canada Goose. On behalf of the Canadian Club, thank you to Jod for your expert moderation. I wear Canada Goose proudly. It's synonymous with our country. I wish you continued success and growth. Jody, thank you for being a friend of the club, a friend of mine, and a friend of Danny's. We hope to have you back soon. Cadillac Fairview and EY, thank you for your sponsorship. If you can join us tomorrow, we're hosting Jagmeet Singh for a deal for Canada. On May 3rd, World Press Freedom Day, we host CBC president and CEO Catherine Tait. Thank you to our AV supplier. Members and guests, stay safe and stay healthy. Thank you.