The coming demise of Roots?

[mgl]

I feel like I’m personally keeping Roots in business. I wear suits to work and had nothing comfortable for working from home. I first bought three pairs of sweatpants and now three pairs of sweat shorts. Online of course. Pricey but quality was excellent, no signs of the quality slipping.

 

[AlbertC]

Lululemon designs nice stuff, but they're also expensive. Uniqlo and Joe Fresh are my options for casual comfy lounge wear.

 

[AlbertC]

Roots sales nearly halved despite online surge as pandemic shutters stores

June 12, 2020

Roots sales nearly halved despite online surge as pandemic shutters stores

The Toronto-based retailer says first quarter sales fell to $29.9-million from $54.4-million a year earlier

www.theglobeandmail.com

 

[TheKingEast]

I hope Roots stays around.

 

[AlbertC]

In comparison, Lululemon's sales fell 17% during the pandemic:

Lululemon sales fall 17% amid coronavirus pandemic

Lululemon saw sales fall 17 per cent in a quarter marred by the coronavirus pandemic, but the company says it is still well positioned to take advantage of the growing popularity of the athletic apparel category.

ca.finance.yahoo.com

 

[pw20]

Roots sales nearly halved despite online surge as pandemic shutters stores

June 12, 2020

Roots sales nearly halved despite online surge as pandemic shutters stores

The Toronto-based retailer says first quarter sales fell to $29.9-million from $54.4-million a year earlier

www.theglobeandmail.com

Not sure this is unique to Roots. Inditex sales also halved, Gap fell 43%...

In comparison, Lululemon's sales fell 17% during the pandemic:

Lululemon sales fall 17% amid coronavirus pandemic

Lululemon saw sales fall 17 per cent in a quarter marred by the coronavirus pandemic, but the company says it is still well positioned to take advantage of the growing popularity of the athletic apparel category.

ca.finance.yahoo.com

Lulu is a retail outlier. For one their e-commerce sales were already higher than other retailers. Prior to COVID almost 30% of their sales came via e-commerce, which is significantly above average.

Secondly, most retailers Q1 sales fell significantly. i.e. Nordstrom's revenue was 40% less than previous years. Macy's where also halved.

 

[AlbertC]

Not sure this is unique to Roots. Inditex sales also halved, Gap fell 43%...


Lulu is a retail outlier. For one their e-commerce sales were already higher than other retailers. Prior to COVID almost 30% of their sales came via e-commerce, which is significantly above average.

Secondly, most retailers Q1 sales fell significantly. i.e. Nordstrom's revenue was 40% less than previous years. Macy's where also halved.

What's critical now is how Roots handles all of this and works towards developing a strategy for the future. Inditex announced this week that they're closing 1200 stores worldwide, and will be shifting towards growing a larger online presence.

GAP's troubles were already well documented. While Nordstrom have announced they're closing 16 full-line stores, along with Macy's going through similar issues too.

Looks like Roots appointed a new CEO around 2 weeks ago, and a new Chief Product Officer yesterday.

 

[TheKingEast]

A lot of job losses. UBI is coming.

 

[BubbleTea]

As a Gen Z and someone that likes Roots, here's my take:

Roots as a brand has built around a sense of Canadian, which I personally appreciate. Being part of a generation that saw local businesses being squeezed for profits by International Conglomerates with zero ethics (*cough* Tim's). I will say that I am probably a lot more woke about this stuff than most of my fellow Gen Zs and most just wear it because it's trendy.

Their stuff is really comfy though, although the price is hard to justify. Still, I feel better buying from a company who's whole business model isn't fast fashion, as my few year old sweatpants are still wearable if I didnt outgrow them. As for their demise in Canada, I have doubts, but these are, in the words of many: "unprecedented times".

 

[AlbertC]

Roots are relaunching their "Beaver Canoe" spinoff brand:

Roots is relaunching beloved '80s spinoff brand Beaver Canoe this summer

Beaver Canoe, a spinoff brand created by Roots just seven years after the company launched, is back for a dose of nostalgia this summer.

streetsoftoronto.com

 

[Bayer]

I recall the line they created a few years ago with Douglas Coupland, supposedly exploring what it means to be Canadian... In that particular case it meant buying products made in China. That was a real turnoff.

 

[afransen]

I recall the line they created a few years ago with Douglas Coupland, supposedly exploring what it means to be Canadian... In that particular case it meant buying products made in China. That was a real turnoff.

It is very difficult to make quality clothing in Canada. The industry has almost been entirely hollowed out.

 

[Towered]

I'm surprised this brand is still around. I don't know anyone who gives a damn about their stuff. Seems like more of a 90's thing.

 

[TheKingEast]

I'm surprised this brand is still around. I don't know anyone who gives a damn about their stuff. Seems like more of a 90's thing.

My kid wears a lot of roots stuff. Good quality stuff but expensive so I buy when they have the big clearance sales.

 

[AlbertC]

Roots Relaunches Iconic 'Beaver Canoe' Brand to Mark 40 Years: Interview with CEO Meghan Roach

Consumers were already seeking vintage styles, leading Roots to re-introduce the logo-heavy brand that became iconic after its launch in 1982.

retail-insider.com