While some discretionary retail categories continue to soften in Canada, sportswear, sneakers, and fan merchandise are proving more resilient.
That trend was reinforced last week as Canadian Tire Corporation reported another quarter of growth at SportChek, with strength in fanwear, hockey, athletic footwear, and soccer-related merchandise helping offset weakness in some seasonal home categories.
SportChek comparable sales rose 3.3% in the first quarter of 2026, marking the retailer’s seventh consecutive quarter of growth. The results came during a quarter in which Canadian Tire repeatedly described consumers as increasingly value-focused as economic uncertainty and household costs continue to pressure spending habits.
“In Q1, we delivered continued sales growth at SportChek and Mark’s and grew retail revenue as we positioned the business for spring demand,” said Greg Hicks, President and CEO of Canadian Tire Corporation. “Canadian consumers remain resilient but selective, clearly prioritizing value, but not at the expense of quality products and shopping experiences.”
Sportswear and Fan Merchandise Continue to Perform
SportChek was one of the stronger-performing banners within Canadian Tire’s portfolio during the quarter. The company highlighted continued strength in fanwear, athletic footwear, hockey, and hard goods categories.
Meanwhile, other parts of the business faced a slower start to spring. Canadian Tire cited weaker sales in patio furniture, gardening products, and some winter-related merchandise as colder weather delayed seasonal shopping activity across much of the country.
The contrast reflects a broader pattern emerging across retail. Consumers may be cutting back in some larger discretionary categories, but products tied to sports participation, casual athletic dressing, and fan engagement continue to attract spending.
There were also differences within sports categories themselves. While hockey remained healthy during the quarter, skiing and snowboarding categories were softer. The gap may reflect both weather conditions and growing caution around higher-cost recreation spending.
Canadian Tire also said Triangle Rewards loyalty customers continue to outperform non-loyalty shoppers in both visits and spending.
Soccer Momentum Builds Ahead of the World Cup
The upcoming FIFA World Cup is already beginning to influence merchandising and retail strategy in Canada.
During the company’s earnings call, executives said SportChek has invested heavily in soccer-related merchandise and fanwear ahead of the tournament, which will include matches in Toronto and Vancouver. Early fanwear sales tied to major sporting events were already contributing to results during the quarter.
“We’re ready for World Cup,” said TJ Flood, Executive Vice President and COO. “We’ve invested really robustly in fan wear, and the early sales results have been very strong.”
Retailers are increasingly positioning themselves around soccer growth ahead of the 2026 tournament as participation in the sport continues to expand nationally. Sporting events are also becoming larger drivers for merchandise sales, in-store activations, and digital engagement, particularly among younger consumers.
Athletic Footwear Continues Crossing Into Everyday Fashion
Athletic footwear remains one of the stronger-performing categories across the sector more broadly.
Sneakers and athletic apparel have steadily moved beyond gyms and sports fields into everyday wardrobes. Athletic brands now sit alongside traditional fashion labels in many consumers’closets, helping keep demand relatively stable even as shoppers become more selective elsewhere.
Canadian Tire’s comments around spending patterns appeared to reinforce that shift. During the earnings call, executives discussed stronger demand for lower-priced products, particularly items below $50, while also noting that shoppers are purchasing fewer units overall.
Consumers continue to spend in categories they use frequently or see as part of their everyday lifestyle.
Retailers Continue Adjusting Their Strategies
The sports retail sector is still evolving even as demand remains relatively stable.
Earlier this year, Decathlon announced plans to close several large-format stores in the Greater Toronto Area as the retailer shifts toward smaller-format stores, expanded e-commerce operations, wholesale partnerships, and faster delivery options.
The move reflects how sports retailers continue adjusting store strategies and distribution models as shopping habits evolve.
At the same time, retailers continue investing in loyalty ecosystems, personalization, and digital commerce tools. Canadian Tire said it expanded contextual and personalized search capabilities across SportChek and Mark’s during the quarter, using AI tools and customer data to improve product recommendations and shopping experiences.
For retailers, the quarter reinforced a trend becoming increasingly visible across the Canadian market: consumers are still spending, but they are choosing purchases more carefully. Sportswear, sneakers, and fan merchandise continue to attract shoppers as retailers prepare for what could become a major period of growth for sports culture in Canada.
