1. P R I M A R K
C A N A D A
Group 11:
TiAra Carty
Sarah Collins
Anna Mossakowska
Chika Okonkwo

2. Company
Overview
• Primark is a fashion retailer originating from the UK and is a subsidiary of Associated British Foods
• The retailer was founded in 1969 byArthur Ryan under the name “Penneys” in Dublin, Ireland
• Primark is retailer that specializes in clothing, house wares and cosmetics in their 293 stores,
which operate in the UK, Ireland, Spain, Portugal, Germany, Netherlands, Belgium,Austria,
France and most recently just expanded into the USA

3. Mission
Statement
We intend to offer fast-fashion at affordable prices by targeting
millennials through non-traditional marketing tactics. By using
minimal advertising, and utilizing social media and word of mouth
promotion, we are able to maintain affordable prices through low-
overheads. Our company focuses on working with our communities
and ensuring safe and ethical work standards for employees.

4. Competitive
Advantage
/AreaA
 Primark’s main point of differentiation from competitors is their strategic pricing
and operational efficiency.
 Primark manages to maintain a pricing assortment that ranks 20-40% lower than
their competitors; H&M, Forever 21, andOld Navy (Courtney Reagan, 2015).
 Additionally, Primark has the operational functionality to bring to market a product
within a 6-week period (Euromonitor International, 2015).

5. Target
Market
 The target market for Primark are fashion conscious millennials (GenerationY) that
range from 16 to 35 years old
 This segment makes up 27% of the Canadian population (Environics Analytics 5)
 This entire cohort is more vulnerable to poverty compared to baby boomers with
high youth unemployment, unaffordable housing market which makes low-cost
fast fashion retailers a favorable option (Euromonitor 2016)
 We intend to bring Primark to Canada in Summer 2017

6. SEGMENTATION BASE CONSUMER SEGMENTS
Geographic Toronto, Southern Ontario, Urban and
suburban shoppers following trends for
affordable prices.
Demographic Millennials, students, young professionals
males and females of all ethnicities
Psychographic Outgoing, fashion forward, price conscious
individuals
Behavioral Price conscious, fashion forward, loyal-
somewhat loyal
Large store to encourage volume buying
Adds value to products by offering them at
low prices
Brand value: accessible, young, fashion
forward, fun, inclusive, affordable
Market Segment

7. Market
Growth
 The apparel and footwear market in Canada is “expected to increase by a value
CAGR (Compound Annual Growth Rate) of 1% at constant 2015 prices over the
forecast period” (Euromonitor 2016).
 In addition to this, many mid-size retailers have closed down their stores in
Canada due to low sales, instead, there is a growth of low-priced fast fashion
stores entering the Canadian market.

8. Market
Trends
 In the current retail environment, the
main source of communication
between brands and consumers is
through social media.
 Roughly 55% of Millennials use
social media as their primary source
for shopping news and information
(Philip Mak, 2016)
 Millennials seek retailers that are
fast fashionable, feasible, and
favored (Farla Efros, 2015)
 A recent study by Indiana
University's Kelley School of
Business, identified that Millennials
will lose interest in brands that lack
innovation in their product offering,
and fail to quickly identify and adapt
to emerging fashion trends (John
Talbott, 2015).

9. STRENGTHS
Pricing Strategy
Primark’s low price point provides the
company with a competitive
advantage; they appeal to audiences
with less disposable income- tweens,
teens, students
Sourcing Efficiency
The company is able to bring a product
to market within a 6-week period
allowing the company to hold true to
their ‘fast-fashion’ status
Social Media Presence
Primark is widely successful at
targeting their audience via social
media. A majority of their consumers
utilize their social media feeds as a
means to gather and share
information with peers

10. WEAKNESSES
Lack of e-commerce
Primark does not operate as an online
retailer. The company instead focuses on
operating in the traditional brick mortar
storefront approach
Lack of Advertising
The company depends on word of mouth
advertising for much of their success. This
method of advertising may not be as
successful in locations outside of where the
brand is not commonly know, for example in
Canada

11. OPPORTUNITIES
 Expanding Abroad
Although Primark is an expansive and
lucrative company across Europe, they have
yet to penetrate the full North American
market. Although they have recently
expanded to the United States, they have not
ventured into the Canadian Market.

12. THREATS
 High Competition
Primark faces an abundant amount of competitors who
also operate in the market of budget friendly, fast fashion
such as: H&M, Zara, Forever21, and Old Navy. Therefore,
Primark will be operating in a pure competition
environment.
 Ethical Standards
Due to their low pricing strategy the company has to
outsource the production of their products. This can
leave the company vulnerable to ethical dilemmas such as
workers’ wages, working conditions etc., as they
previously experienced in their Rana Plaza Disaster in
2013 (Christina Finn, 2015)

13. P EST
POLITICAL
Tariffs
 Primark opening in a Canada will be
subject to duties and taxes
 Canada charges 18% duty and tariff
rate and 5% tax (CBSA 2012)
Exchange Control
 The exchange rate between the
Canadian dollar and the Pound/ Euro
will create complications with
Primark’s ability to provide the
competitively low prices they are
known for
ECONOMIC
Purchasing Power Parity (PPP)
 Canada ranks higher than many of
the countries that Primark already
operates in (e.g. Spain, Austria and
Netherlands) (Indexmundi, 2013)

14. P EST
SOCIAL
Demographics
 There are roughly 9.5 Million Millennials in
Canada
 Canadian’s focus on power distance is low
and individualism is high.
Social Factors
 Primark’s focus on providing ethical
standards matches Canadian sociocultural
power distance standards and
individualism
TECHNOLOGY
Distribution Channels
 Primark must consider the cost to open a warehouse
in Canada
 If Primark does not open a warehouse in Canada, they
must assess how they would move stock from their
AmericanWarehouse into their Canadian store
Communication
 Primark does not traditionally advertise, but relies on
word of mouth referral
 Primark would need to devise a way to market their
products in Canada to create brand awareness and
generate sales

15. Line Products Brand Overview
No secret Underwear
Budget fashion range targeting
teenage girls and women in their
20s
Ocean Club Swimwear Budget range
Primark Essentials
Menswear, womenswear,
childrenswear, footwear, apparel
accessories
Budget brand offering basic
everyday clothing
Rebel Childrenswear
Budget range focused on
teenage boys and offering urban
designs
Secret Possessions
Women's underwear and
nightwear
Budget range focused on
attractive and fashionable
lingerie
YD Childrenswear
Budget range for girls aged 7-12-
years-old; has more urban and
fashionable styling than Young
Dimension
Young Dimension Childrenswear
Budget ranges for children aged
6-24-months old and those aged
2-7-years-old
Product

16. Price
Primark has always been renowned for its low prices
Primark Canada’s company objectives will embrace a sales orientation to set prices.
Primark’s Competition is pure competition, as there are numerous competitors.
Primark has a variety of possible fixed Costs (labor, rent and utilities, etc.)
Primark’s Consumers pricing is elastic creating a curve in demand. Primark utilizes a
combination of Everyday Low Pricing and Leader Pricing tactics

17. Primark, $5
Forever21, $7
Old Navy, $9
Zara, $10

18. Place
Primark
• We have decided to invest in a prime location, at a Toronto shopping epicenter-
Yorkdale Mall
• Launching our flagship Canadian store in such a large and accessible mall is a
decision we feel will increase the brand visibility and recognition.
• Yorkdale mall is a tourist hotspot with high foot traffic and is accessible by means
of transit and driving for many Canadians across the GTA and beyond

19. Promotion
• Primark Canada will launch its own separate Twitter, Instagram,
Facebook, and SnapChat pages in anticipation of its opening, utilize
Canadian fashion bloggers and launch a website
• Social media will be utilized to introduce Primark to Canada
• Utilizing social media allows Primark to reach current and potential
customers 24/7 and engage with our target market

20. Media Strategy
Primark Canada shoppers will be able to
show off their exciting bargain
purchases by using #Primania across all
social media platforms
Customers are able to create personal
profiles where they can share photos of
themselves in Primark pieces, supplying
a constant stream of inspiration for
shoppers on the customer led website
Primania.com.

21. In comparison to UK and US consumers Canadian consumers ranked
far higher in their interest in receiving location-based offers and
promotions via their smartphones. Primark will utilize this consumer
involvement to launch ‘Primania’ - Primark’s a social media campaign,
during their Canadian expansion.
Aimia (2012)

22. Financials
Relative Market
Share= Firm’s Market Share ÷
Largest Competitor′
s Market Share

23. Profits
Revenue for 2015:
£5,347m 2014: £4,950
 Their revenue has grown +108%
since 2014.
Costs
Accounting $5,000 to 10 000
Contract labor $1,000 to 10 000
Legal $2,500 to 5000
Rent and
leasing
$50,000 to 100 000
Insurance $10,000 to 25 000
Management/A
dministration
$5,000 to 10 000
Package/Contai
ner
$1,000 to 5000
Utilities $10,000 to 25 000
Total Approx.
Operating Costs
$84,500 to 190 000
*Based on data retrieved from InfoCanada regarding operating costs of The
Disney Store at Yorkdale Mall

24. Goals
OBJECTIVES
Aiming to Launch in Summer of 2017
Short Term: Increase/establish brand awareness, inform Canadians of launch, promote
Canadian launch, stimulate demand, capture consumers attention
Long Term: Expansion, Customer retention
Message
Primark Canada will offer information on the company’s low prices and fashion forward pieces.
This is distinguish us from our competitors and position us a fun, value based brand.
Media Mix
A combination of social media and word of mouth approach will be used to promote Primark
Canada and will follow a continuous advertising schedule.
Communication Execution
Primark Canada’s social media platforms will design posts in both English and French. All posts
will be in line with our marketing objectives to promote brand awareness. More specifically,
the posts will feature specific products and prices, along with complete outfits.

25. Contingency
Plan
• By approaching the Canadian market cautiously by opening only one
store to test the market
• Through looking at revenues and doing bi-annual reviews we will
determine whether to expand or re-evaluate our approach
• The company will take precautionary measures by leasing our
distribution warehouse inToronto for the first year
• If the company sees success with sales, Primark will seek to purchase a
distribution warehouse and open more location across Canada.

26. QUESTIONS?

27. Assessing Communication Impact
All integrated marketing communication efforts will be tracked to ensure consistency between specific promotions as we will be running on a
continuous advertising schedule.
Communication Execution
Primark Canada’s social media platforms will design posts in both English and French. All posts will be in line with our marketing objectives to
promote brand awareness. More specifically, the posts will feature specific products and prices, along with complete outfits.
Media Mix
A combination of social media and word of mouth approach will be used to promote Primark Canada store and will follow a continuous advertising
schedule. This schedule will serve our needs best, as our products are consumed at a relatively steady rate on a continual basis
Message
“Primark offers customers quality, up-to-the-minute designs at value-
for-money prices”
Primark Canada will convey this message to the target audience through a rational appeal. Offering
factual information on the company’s low prices and fashion forward pieces will distinguish usfrom our
competitors and position us a fun, value based brand. This approach will encourage our customers to
evaluate the brand by its competitive advantage.
Determine Budget
An affordable budgeting method will be utilized, as marketing costs are purposely kept thin to reduce overhead costs and provide customers with the
lowest prices possible.
Objectives
Short Term: Increase/establish brand awareness, inform Canadians of launch,
promote Canadian launch, stimulate demand, capture consumers attention
Long Term: Expansion, Customer retention
Target Audience: Millennial’s

28. THANKYOU