The retail sector continues to evolve as brands adjust their growth strategies and look for new ways to connect with customers. Changing consumer expectations and ongoing market pressures are shaping how retailers operate. This week, there is a clear focus on strategic acquisitions and careful store expansion, as companies aim to grow while staying efficient. At the same time, many retailers are placing more emphasis on value and stronger in-store experiences.
In addition, trends such as the return of wholesale, along with growth in food and experiential retail, are reshaping store formats and leasing demand. This is especially noticeable in competitive urban markets like Toronto. Meanwhile, the industry continues to face challenges, including supply chain issues, profitability pressures, and staffing shortages, creating a complex environment for retailers in 2026.
With Easter just behind us, seasonal merchandising and promotions remain a priority. Retailers and landlords are now turning their attention to the spring selling season while managing ongoing economic uncertainty.
Retailer News
Empire Company Limited made a significant move by entering Quebec’s discount grocery sector through the acquisition of Mayrand Food Group, which adds established warehouse-style stores to its portfolio and expands its footprint into the Greater Montréal area. This acquisition provides Empire with valuable real estate and positions it to service a price-sensitive demographic seeking hybrid retail and foodservice bulk purchasing options, a critical strategic play for meeting shifting consumer demand in the province’s grocery market.
Meanwhile, Vessi is adopting a measured approach to retail expansion, cautiously growing physical locations including its first store in the U.S. market. Their strategy emphasises integrating e-commerce and in-store experiences to transition their brand perception, targeting smaller, high-energy retail spaces that support engaging customer interactions. This aligns with the broader strategic insights from the industry’s wholesale channel growth, where operational focus and measured scalability are preferred over rapid direct-to-consumer expansion.
Peavey Mart’s relaunch concentrates on a regional strategy with seven stores across Alberta and Saskatchewan, signalling a deliberate shift from national ambitions to a focus on prairie roots and rural consumer needs. This downsized footprint seeks sustainability through lean operations and regionally tailored assortments, reflecting an industry-wide turn toward more targeted and efficient retail models amid market volatility as seen in Peavey Mart’s prairie store strategy.
Toronto’s retail leasing environment continues to be energised by demand for compact food, fitness, and experiential concepts. Data highlights a preference for smaller spaces below 2,000 square feet along major corridors like Yonge Street, supported by longer leases attracting premium tenants. This trend is underpinned by the growth in food and experiential retail, underscoring how landlords and retailers prioritise social and immersive experiences to sustain foot traffic and enhance physical retail vibrancy.
Additional noteworthy activity includes Clutch’s Ottawa customer hub, an innovative hybrid automotive retail space at Bayshore Shopping Centre blending digital and in-person service to meet evolving consumer expectations in the auto market.
Retailer Financials / Trends / Reports
Roots Corporation reported a stronger fiscal 2025 with $277.7 million in sales, marking a 5.6% increase year-over-year and returning to profitability. Gains were bolstered by a 7.3% uplift in direct-to-consumer channels, reflecting consumer appetite for lifestyle brands that blend heritage with modern relevance, a critical insight for Canadian apparel sector stakeholders.
Research by Lightspeed Commerce highlights Gen Z Canadians as a catalyst revitalising mall culture through social shopping. Their preference for communal retail experiences, with 83% feeling more connected in socially engaging spaces, suggests experiential retail is an effective response to digital commerce competition.
Downtown Vancouver’s retail market shows signs of stabilizing visitation though with stalling growth, as shoppers become more value-conscious and modify weekday versus weekend patterns. This nuanced retail environment presents both challenges and opportunities ahead of major events like FIFA World Cup 2026.
Canada’s early 2026 retail sales exhibit a subdued yet resilient trend, with 1.8% year-over-year growth partly masked by stronger discretionary spending trending over 5%. This trend, documented in early 2026 sales analysis, signals sustained consumer demand amid macroeconomic uncertainty, informing retailers’ strategic focus in discretionary sectors.
Retailer People News
Cara Keating, CEO of PepsiCo Canada, was recognised with a Canadian Grand Prix Lifetime Achievement Award for her leadership in growth and sustainability in the consumer packaged goods sector. This accolade illustrates the impact of visionary leadership in advancing retail and supplier partnerships across Canada.
Jay Klein, founder of PÜR Gum, shared insights on scaling a global better-for-you confectionery brand, underscoring the importance of ingredient transparency and strong retailer relationships. His dual role as an entrepreneur and investor on Dragons’ Den demonstrates resilience and innovation within evolving retail landscapes.
Retailer Op-Eds
Sylvain Charlebois’s recent analysis in Why a Ceasefire Won’t Lower Grocery Prices in Canada highlights persistent structural cost pressures in food retail, explaining why market volatility, transportation, and carbon pricing limit near-term relief from geopolitical shifts or temporary oil price drops.
The debate about rising grocery theft and the use of surveillance is candidly addressed in As Grocery Theft Rises, Surveillance Tactics Draw Scrutiny in Canada, revealing a complex challenge balancing loss prevention, privacy, and social issues such as food insecurity and wage stagnation.
Food Fraud Is Becoming a Business Model in Canada explores how fraud has evolved beyond isolated incidents into an economic strategy within sectors like maple syrup, calling for stronger regulatory oversight and supply chain traceability to protect authenticity and consumer trust.
Editor’s Take
This week’s retail stories show an industry that is becoming more focused and balanced. Retailers are working to grow while staying efficient and sustainable. Empire’s discount grocery acquisition and Peavey Mart’s prairie-focused relaunch highlight different approaches to local markets and price-sensitive consumers. Both moves show how important it is for retailers to stay flexible and understand regional needs, especially with ongoing inflation and changing customer expectations.
At the same time, wholesale is making a comeback as a key growth channel. Brands are focusing more on improving operations instead of relying only on direct-to-consumer growth. In urban markets, demand for experiential and food-focused retail continues to rise. This shows that physical stores still matter, but they need to offer engaging, community-driven experiences.
However, challenges remain. Supply chain issues, labour shortages, and security concerns continue to impact the industry. These pressures make strong operations and responsible leadership more important than ever. Companies like PepsiCo Canada and PÜR Gum offer examples of how innovation and commitment can drive success.
Looking ahead, retailers and landlords will need to combine local market knowledge, strong operations, and meaningful customer engagement to succeed in a changing retail landscape.
This Week’s Articles
Retailer News
- IKEA to Open London Store in Former Hudson’s Bay Space — Craig Patterson — Apr 10
- Empire Acquires Mayrand, Enters Quebec Discount Grocery Market — Craig Patterson — Apr 9
- Reitmans unveils “bold new era” for Canadian fashion — Mario Toneguzzi — Apr 9
- Happy Belly Accelerates Expansion as U.S. Entry Nears — Lee Rivett — Apr 9
- MINISO Hello Kitty Pop-Up to Debut at Scarborough Town Centre — Lee Rivett — Apr 9
- Rogers Launches POS and Credit Card Program for SMBs — Lee Rivett — Apr 9
- Must Société opens flagship Jardin de Ville store in Laval (Photos) — Mario Toneguzzi — Apr 9
- Vessi focuses on measured retail expansion as demand grows for in-person shopping — Mario Toneguzzi — Apr 9
- This Is J Advances Sustainable Growth in Canadian Apparel — Craig Patterson — Apr 8
- Maison Territo Named Official Address for Montréal Design Week 2026 — Craig Patterson — Apr 8
- Canadian Tire Launches Hudson’s Bay Stripes Summer Line — Craig Patterson — Apr 8
- Canadian Retailers Bet Early on Outdoor Living in 2026 — Lee Rivett — Apr 8
- Peavey Mart Relaunches with Prairie Store Strategy — Lee Rivett — Apr 8
- Operating a retail business from a barge in the Netherlands — Mario Toneguzzi — Apr 8
- GWLRA redefines Toronto’s back-to-office experience with Berczy Square (Photos) — Mario Toneguzzi — Apr 8
- Gray Collection unveils Metcalfe Montréal — Mario Toneguzzi — Apr 8
- Wholesale Resurgence Reshapes Retail Growth Strategy — Craig Patterson — Apr 7
- Skip partners with Loblaw for grocery delivery — Mario Toneguzzi — Apr 7
- Clutch Opens Ottawa Customer Hub at Bayshore — Craig Patterson — Apr 7
- Skip Expands Grocery Delivery with Loblaw Deal — Lee Rivett — Apr 7
- T. LINE continues to expand retail presence through strategic partnerships — Mario Toneguzzi — Apr 7
- Sleep Country raises awareness of ‘sleep shaming’ — Mario Toneguzzi — Apr 7
- Fairmont Pacific Rim appoints new executive pastry chef — Mario Toneguzzi — Apr 7
- Restaurants Canada calls on provinces to urgently opt-in to temporary TFW cap increase for rural regions — Mario Toneguzzi — Apr 6
- Food and Experiential Retail Drive Toronto Leasing — Craig Patterson — Apr 6
- RCCSTORE26: Where the Industry’s Biggest Conversations Happen — Retail Insider — Apr 6
- New headquarters for Calgary developer Truman includes well-known brands — Mario Toneguzzi — Apr 6
- Olympics offer key advertising lessons for brands ahead of the 2026 World Cup, says Vistar Media Canada — Mario Toneguzzi — Apr 6
- Walmart Canada launches Scintilla Digital Landscapes to deliver deeper e-commerce shopper insights — Mario Toneguzzi — Apr 6
Retailer Financials / Trends / Reports
- Roots reports strong Q4 and Fiscal 2025 results — Mario Toneguzzi — Apr 9
- Gen Z Canadians reviving mall culture with focus on social shopping: Lightspeed Commerce — Mario Toneguzzi — Apr 9
- Downtown Vancouver Retail Stabilizes, but Growth Stalls — Craig Patterson — Apr 8
- Soft Start to 2026 Masks Resilient Consumer Spending in Canada — J.C. Williams Group — Apr 6
- Fake product reviews surging in AI era: Omnisend — Mario Toneguzzi — Apr 6
Retailer People News
- PepsiCo Canada’s Cara Keating Honoured with Lifetime Achievement Award — Craig Patterson — Apr 8
- PÜR Gum Founder Jay Klein on Growth and Dragons’ Den — Craig Patterson — Apr 7
Retailer Op-Eds
- Why a Ceasefire Won’t Lower Grocery Prices in Canada — Sylvain Charlebois — Apr 8
- As Grocery Theft Rises, Surveillance Tactics Draw Scrutiny in Canada — Retail Insider — Apr 7
- Food Fraud Is Becoming a Business Model in Canada — Sylvain Charlebois — Apr 6
