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Wage Hikes in Canada and Australia Set the Pace for Canadian Tech Adoption and Help Increase Sales

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By Jasmine Glasheen

The minimum wage in Canada and Australia is on the rise, which means higher wages for retail workers. The minimum wage in Canada recently increased in Spring of 2018. Base pay for Canadians now ranges between $11 to $15 an hour, depending on the province. Canadian legislators are seemingly playing catch-up with Australian retailers, as ABC News reports that the Australian Fair Work Commission increased the national minimum wage from an already-impressive $18.29 an hour to a straight-up staggering $18.93 an hour on July 1st of 2018.

Proponents of minimum wage increases feel that they are necessary to ensure an adequate standard of living for employees in entry-level positions – largely retail and fast food workers, who fill most of the global minimum wage level positions. However, those attempting to prevent additional wage hikes contend that minimum wage employees will simply have their hours cut by employers in an attempt to maintain profit margins in light of the increased cost of labor.


Photo:    Study BreaksPhoto:    Study Breaks

Photo: Study Breaks


The Gucci Store at Chadstone Shopping Center in Melbourne. Photo:    Jing Daily/Jennifer SparkThe Gucci Store at Chadstone Shopping Center in Melbourne. Photo:    Jing Daily/Jennifer Spark

The Gucci Store at Chadstone Shopping Center in Melbourne. Photo: Jing Daily/Jennifer Spark

However, if Australian retail is any indication of what high minimum wages can achieve, then retailers around the world should consider getting on board. In a recent SMB study weighing global retail performance across key regions, Vend found that Australian retailers have:

  • The highest transaction value per store visit ($56.80);

  • A profit margin of 50.84 percent, more than a point above the national average; and

  • At $26,395, the second-highest monthly revenue.

 If there’s one thing retailers around the world can learn from Australia, it’s that paying retail employees adequate living wages can translate into better customer service and increased SMB performance. However, the changes taking place in Canadian and Australian retail extend far beyond wage hikes and staffing.


Photo:    JetekPhoto:    Jetek

Photo: Jetek

Australia’s proximity to China shapes how Australian retailers operate their businesses. Similar to how Canada’s proximity to the U.S. influences the trends, brands, and technology seen in Canadian retail epicenters, Chinese influence can be seen in all of the major Australian shopping malls ­– from the colors of the décor, to the languages spoken in-store, to the available payment options.

Forbes reporter Nikki Baird reports, “China has more Millennials than there are people in the U.S. and Canada combined.” Perhaps it comes with the Millennial territory, but Chinese consumers are also more willing to trade their personal data to receive high-tech in-store experiences. As a result, Australian retailers serving the Chinese market need to be fast to adopt the latest technologies.

This brings us back to the topic of payments. Vend reports that, “73 percent of Australian retailers are growing their business with a cloud-based POS solution.” In contrast, American Express Canada reports that only 38 percent of Canadian retailers are investing in updating their payments technology by taking actions such as ordering a new POS system. So, why are Canadian retailers so quick to pay employees a better living wage, but so slow to adopt standard payments technologies?

One reason might be that Canadian retailers sell a bevy of local specialty brands such as Frank & Oak, Canada Goose, and Naked & Famous Denim. These brands enable Canadian businesses to source from manufacturers within Canada and they have a built-in customer base of Canadian consumers. Since Canadian retailers often source from within and don’t need to compete through reducing prices to win sales over imported merchandise, perhaps Canadian retailers feel less urgency when it comes to implementing some of the technologies already adopted by Australian retailers.


PHOTO: MAXIME FRECHETTEPHOTO: MAXIME FRECHETTE

PHOTO: MAXIME FRECHETTE


PHOTO: CANADA GOOSEPHOTO: CANADA GOOSE

PHOTO: CANADA GOOSE

Canada is quick to lead the pack when it comes to paying employees a living wage and set a precedent for in-person customer service. So, is it safe to assume that Canadian retailers’ hyper-local, hyper-familiar industry is fueling the hesitancy to invest in basic retail technologies which are considered a cost of operation in other leading global markets?

Kerri-Ann Santaguida, Vice President and General Manager of Merchant Services at American Express Canada, tells Retail Insider, “With emerging technologies poised to disrupt the industry, the stakes have never been so high. Businesses can’t afford to ignore these (technology) trends as they have the potential to completely transform the customer experience and grow market share if executed well.”

In short, the world is getting smaller and the retail industry is no exception. Canadian retailers will soon find themselves doing business in an increasingly global marketplace. So, how can Canadian retailers adapt to compete with Australia and other leaders in a global marketplace? According to Vend, it all starts with evolution:

“Businesses need to look at what the data is telling them and use those insights to determine the best course of action. For some, evolving might mean exploring new store formats or revamping their selection. For others, it could mean using new technologies or retraining their staff. In all cases, it will be about putting the customer first, and creating a more personal in-store experience.”


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Jasmine Glasheen is recognized as a leading influencer, writer, editor, and brand representative providing both online and video content. Glasheen provides fresh thought leadership and video content to trade shows, conventions, and companies, including: ASD Market Week, National Retail Federation’s Shop.org, the Independent Retailer Conference, and Halloween & Party Expo. She is a frequent contributor to many publications including prominent retail magazines and news sites, tech blogs, and numerous fashion and lifestyle trade shows. She is a contributing editor to RetailWire, content lead at Retail Minded, and is the author of numerous ebooks and whitepapers for private clientele. 

Squish Candies Continues Rapid Retail Expansion

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Montreal-based Squish Candy, North America’s first artisanal candy store specializing in over 100 flavours of gourmet gummies, has continued on its aggressive expansion plans opening a new location in the prestigious and iconic retailer Harrods in London, England.

Sarah Segal, the company’s chief executive officer, said Harrods reached out to Squish, which just recently opened in the well-known international department store.

“They found us on Instagram. Really, we see our brand as borderless. There’s so much cross awareness between countries with social media now. There’s not really a barrier as much in terms of people finding you,” said Segal.

“So Harrods came to us and they said we have this wonderful strategy with how we’re going to sell candy in this new section and we want you to have this big part of it and we said absolutely. Harrods for me is a very special retailer and they’ve proven to be incredible partners. They love the innovation and the creativity that we’re bringing to the space.”

The first Squish store opened in 2014 in Montreal. The company will be at 16 locations at the end of the year. The most recent opening in Canada was in Quebec City.

A location in the CF Polo Park shopping centre in Winnipeg is scheduled to open before the end of the year.

“We have a few in the pipeline for early next year but I don’t want to share those yet,” said Segal. “We’ll be in the Maritimes early next year.

“We’re looking at amazing opportunities. The retail landscape is changing and evolving and we’re being very selective with the types of leases and the locations we’re taking. We want to take either kiosks or full stores depending on the opportunities. We’re very flexible in our concept. That’s what I love about selling candy. There is a flexibility in the model that has proven really beneficial to us.”

Segal said the store size is really flexible and depends on traffic and layout.

“I think customers do like a more intimate store as well. The model works from 1,200 down to 200 square feet,” she said. “We’re only in malls right now and that’s been very good for us. I like the mall environment. I hear all these trends that traffic is down but we still do really, really good sales. It doesn’t seem to be hitting food and experiences as hard as the fashion retail. We like malls because of the diversity of clientele as well. It brings in old, young, different groups of people. It’s been very good for us and we’re going to stick to malls for now.

“We’re not ruling out street stores. I think the biggest thing that I’m looking for are strong partnerships. So that’s really what we did with Hudson’s Bay and what we’ve done with Harrods and those have been extremely good synergies. So it’s not that we’re just partnering with anyone but about having really strategic partnerships where you can get the traffic and that traffic helps the other partner as well. It has to be mutually beneficial. That’s what I’m looking for in the next step is a combination of our standalone concept and these strong partnerships.”

Segal said the partnership with Hudson’s Bay has been excellent and it has provided a model for Squish to capture that traffic. Currently, Squish is located in two Bay stores in Canada – in Pacific Centre in Vancouver and in the Eaton Centre in Toronto.

“Traffic is really important. That’s where we’ve been very selective, especially with building brand awareness. We really rely on sampling. We really need that foot traffic to help our sales,” she said.

Squish also works with Indigo where product is sold in those stores. Segal said Squish is very selective about building its partnerships.

“We’re only four and a half years old so we’re really having to grow smart and learn and that’s something that’s really important to me as a retailer right now is to make sure that we respond to how people are shopping and we’re where the traffic is,” she said.

Oberfeld Snowcap represents Squish Candies as brokerage in Canada, and Kathleen McGuigan is the primary contact according to Oberfeld Snowcap’s Squish client page.

Retailers Not Meeting Shoppers’ Expectations: Report

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By Mario Toneguzzi

Recent years have seen the retail narrative dominated by doom and gloom stories of customer spending on the decline and bricks and mortar locations shutting down.

But is the narrative true?

That’s the question posed by a new retail report by Salesforce and Publicis.SapientShopper-First Retailing: The New Rules of Retail from the Actions, Voices, and Eyes of Today’s Consumers.

“To enable and empower shopper success in a retail organization today, it’s absolutely critical to focus on these four pillars of consumer engagement: mobile, stores, intelligence, and connected experiences,” said Rob Garf, VP of Industry Strategy & Insights, Salesforce.


The report found three shopper-first mandates emerging that apply to virtually all retailers:

  • Make It Fresh. Create unique, non-commoditized products and compete at the speed of today’s shopper. 69 per cent of shoppers expect to see new merchandise when visiting a site or store;

  • Be Where I Am. Develop a frictionless experience that’s accessible to shoppers, wherever they need you to be. 87 per cent of shoppers begin their hunt in digital channels, up from 71 per cent last year; and

  • Give It Meaning. Strengthen the relationship with your customers through stronger values-driven connections, and recognize shoppers with personalization and loyalty initiatives. 64 per cent of shoppers agree or strongly agree that retailers don’t truly know them.




The report also found that: mobile accounts for 92 per cent of ecommerce order growth; 71 per cent of shoppers prefer to leave a store with a product in-hand; and personalization influences 38 per cent of all digital revenue.

“Shoppers reward brands that connect them with products and experiences in unique, agile packages,” said the report. “Our research – based on a global consumer survey, behavioral data and in-store mystery shopping visits – painted a clear picture of shopper’s continuous demand for new, innovative and customized products,” said the report. “Shoppers value freshness with their wallets, as 59 per cent of the top five per cent of products sold are new each month. This creates a sweeping product catalog churn of 32 per cent month over month. Speed and freshness play an important role in generating long-term brand loyalty and driving repeat purchases – two areas where brands have lost ground to both traditional competitors and marketplaces.


“Shoppers reward brands that anticipate and identify the precise moments when a need exists or interest is piqued in their shopping journey. Shoppers today are more connected than ever, seamlessly switching between channels and devices, all while expecting retailers to know them and make purchasing easy. Yet in our study, too many retailers didn’t meet shoppers’ expectations. For example, across the 70 physical store locations studied, the average mobile score was 1.74 out of 5, grading areas like in-store app experiences and tailored push notifications. Rather than leave omni-channel customers wondering where to go next, retailers must engage customers in context and on their terms.

“Shoppers reward brands that go beyond transactions and orders to be relevant and resonant. Today’s shoppers are relationship-driven, favouring brands that bring value and meaning to their lives. Retailers and brands must look for new ways to differentiate by appealing to customers’ emotions and forging connections based on shared beliefs. Our research found that shoppers reward brands that create lasting relationships over time — specifically through loyalty programs and one-to-one personalization efforts that extend across both digital and physical channels. Our survey found that 64 per cent of shoppers feel retailers “don’t truly know them,” highlighting the need for retailers to prove that they do.”

The report said retail sales in the first quarter of this year were up five per cent year-over-year with digital channels experiencing robust growth and ecommerce now accounting for 9.5 per cent of all retail sales. Consumer confidence also continues to rise.


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But the report also highlighted the fact that stores are closing “at an alarming rate” with more than 12,000 shuttered since the beginning of 2017 and Amazon is dominating, capturing 78 per cent of ecommerce growth in the U.S.

It said a new swarm of retail startups, direct-to-consumer brands, and new low-cost and experience-led competitors—combined with a backstage technology revolution in supply chain, robotics, automation, blockchain, and dark stores—are changing the way retailers compete in the digital age.

The full report can be found here: http://www2.publicisgroupe.net/shopper-first

Publicis.Sapient, the digital business transformation hub of Publicis Groupe, helps clients drive growth and efficiency and evolve the ways they work. It has more than 19,000 people and more than 100 offices around the globe.

Salesforce is a global CRM leader.


Mario Toneguzzi, based in Calgary has 37 years of experience as a daily newspaper writer, columnist and editor. He worked for 35 years at the Calgary Herald covering sports, crime, politics, health, city and breaking news, and business. For 12 years as a business writer, his main beats were commercial and residential real estate, retail, small business and general economic news. He nows works on his own as a freelance writer and consultant in communications and media relations/training. Email: mdtoneguzzi@gmail.com

La Maison Simons Expands Luxury Designer Fashion Offerings [Feature]

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Quebec City-based large-format fashion retailer La Maison Simons is expanding its roster of designer brands this fall with a curated selection unavailable elsewhere in Canada. It’s all part of an effort to distinguish Simons as a significant player in the increasingly competitive Canadian retail market that is seeing unprecedented competition from multi-brand retailers, as well as brands that themselves are opening their own stores in an effort to sell direct-to-consumer.

Many of the pricier designer brands found at Simons are in its ‘Edito’ departments, which are located in nine of the company’s 15 Canadian stores. Separate women’s and men’s Edito departments stock an impressive array of unique and hard-to-find brands, with a selection varying store-to-store, unique to each market.

The women’s and men’s Edito departments each have their own buyers, who have a vision for each market as well as a goal of curating a unique-to-Canada assortment. Oceane Stanislas is the women’s Edito buyer, and Maxime Brierley  is responsible for curating designer menswear.

This fall, Simons is making a particularly heavy push towards carrying new brands, especially as competing retailers such as Holt Renfrew, Saks Fifth Avenue, Hudson’s Bay and Nordstrom look to secure top lines that sometimes limit their distribution. As such, Simons is finding its way with some new edgy designers that are also on the luxury spectrum in terms of their pricing, not to mention unique in their design.

To further differentiate Simons designer offerings, its buyers are bringing in product that is edited with local markets in mind. “People want a point of view and for some of the research to be done for them, and that is why we make some of the choices to carry certain pieces from certain brands,” said Ms. Stanislas.

Simons operates stores in many of Canada’s largest markets, spanning from Vancouver in the west to Quebec City in the east. Four of those stores are particularly strong for women’s designer wear — the flagship Place Ste-Foy unit in Quebec City as well as the downtown Montreal store are tops in Quebec, and interestingly enough Alberta is the other strong Province for designer womenswear for Simons. Specifically, the West Edmonton Mall store and downtown Calgary Simons location is selling plenty of pricey designer goods in markets not traditionally known to be fashion-forward.

Designer womenswear at Ottawa’s CF Rideau Centre as well as at Square One in Mississauga are on the increase, according to Ms. Stanislas, as consumers embrace some of the edgier brands being introduced into Simons’ stores over the past couple of years. Both stores are also relatively new, having opened in 2016.

Some brands are doing well across the chain, with Simons being one of the top retailers in the country for luxury brand Balmain. Other brands, such as Moschino Couture, are doing good numbers in Montreal, Edmonton, Calgary and Vancouver.

In an effort to distinguish Simons’ designer offerings, the retailer has retained several exclusive-to-Canada brands. UK-based Vivienne Westwood is exclusive to Simons for both womenswear as well as for men, as are brands such as Daniel Bennie and Marimekko. Exclusives are the name of the game for many retailers and curating the right mix can make or break a retailer’s operations.

Hard-to-find brands such as Paco Rabanne and Nina Ricci are carried at Simons — Rabanne is carried in downtown Montreal, Edmonton and Calgary for example, with Nina Ricci being carried in Edmonton, Calgary, as well as at the Square One location in Mississauga. Edmonton is one of the most important locations for Simons, according to Ms. Stanislas — the store was the first for Simons outside of Quebec when it opened in October of 2012, and some say it was responsible for helping make Edmonton a more fashion-forward city.

Edito department at Simons West Edmonton Mall in October, 2018. Photo Craig Patterson

Each city is unique, according to Ms. Stanislas and as a result, some designers work better in some stores than others. The Toronto market is fashion forward and diverse with women “pulling together interesting and glamorous looks” with brands such as Balmain and Versace being popular. Montreal is “more artsy” with brands such as Y3 by Yohji Yamamoto, Vivienne Westwood and Issey Miyake selling well.

Calgary has the reputation of being conservative but according to Ms. Stanislas, the city is fashion-forward and the customer is “being responsive to some of the up and coming brands” that she has introduced to Simons. Quebec City, not known traditionally as a fashion city, is still very well dressed as it chooses labels such as Chloé, Balmain, Dries Van Noten and Japanese brand Sacai.

Last year, Simons introduced dedicated footwear departments at several of its stores and it has since expanded its assortment of designer shoes. Accessories are also being expanded in Simons stores, including handbags from leading designers. Customers were requesting these categories along with the fashion brands that they were shopping for and as a result, Simons will further expand footwear and accessory offerings in its stores.

Simons’ Edito buyer Maxime Brierley explained how Simons’ menswear offerings are equally edgy and designer driven and while most department stores in Canada tend to focus more on womenswear, Simons is equally strong for both genders. Nine of Simons’ 15 stores feature men’s designer Edito departments, featuring an assortment catering to each market.

He noted that the West Edmonton Mall store is strong when it comes to selling men’s designers, which can be attributed in part to a robust Asian shopper (which includes some international students).

Simons is bringing in some unique and exclusive menswear designers, such as edgy Japanese brand ‘Children of Discordance’ which repurposes old items such as Burberry trench coats into something unique and one-of-a-kind. Prices don’t come cheap, however — an online search reveals that some Children of the Discordance coats are selling for more than $4,000.

For menswear, the downtown Montreal and Quebec City Ste-Foy Simons stores are strong, in part, because they are in “legacy markets”, according to Mr. Brierley. The Edmonton market is strong and Balmain sells very well there, and things are coming around for the Calgary market as men discover the store’s Edito department located on the store’s top level.

Nina Ricci display at Simons West Edmonton Mall. Photo Craig Patterson

Securing labels can be a challenge in some instances, as brands give exclusives to competing retailers. Luxury label Balmain, for example, is carried in Simons’ downtown Montreal and West Edmonton Mall location but not at Square One in Mississauga, because Holt Renfrew has the rights to the brand. Simons recently carried the now discontinued secondary ‘Pierre Balmain’ line and remarkably, 60% of all of Simons’ Pierre Balmain menswear sales were in the Square One store.

While Simons carries an expansive roster of international brands, it also curates Canadian designers to round out its offerings. In the women’s Edito departments, Edmonton-based Malorie Urbanovitch has been carried for a couple of seasons and in the spring of 2019, Simons will begin carrying Toronto-based menswear brand Andrew Coimbra. In the end, a store is only as good as the brands that it carries, and Simons is aiming to stand out as fashion forward in the face of ever-increasing competition.

As competition remains strong amongst Canada’s multi-brand designers, Simons is looking to get a leg-up on the competition by carrying unique designers which are, in some cases, only available at Simons in Canada. Having a designer ‘edit’ is also key to differentiating Simons from other retailers and as a result, two stores carrying the same brand might feature a different range of products that reflect the tastes of the store’s buyers and market more than what might simply be seen on the runway, or in a mono-brand flagship store.

DSW Designer Shoe Warehouse Launches Unique Shop-in-Stores

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With DSW Inc. winding down the operations of the Town Shoes chain, they are turning their focus to differentiating their Canadian DSW Designer Shoe Warehouse operations. Compared to Town Shoes which was a full service retailer, DSW Designer Shoe Warehouse is a big box off-price shoe concept with everyday savings of up to 40% off suggested retail prices.

To attract 2018 holiday shoppers and former Town Shoes customers, DSW Designer Shoe Warehouse is launching a unique shop-in-shop boutique called, What’s the Occasion?. The boutiques opened on November 1, 2018 in store at the DSW Designer Shoe Warehouse Heartland Town Centre, and Vaughan Mills locations in the Greater Toronto Area as well as nationally online.

This shop-in-shop boutique is a specially curated selection of footwear and accessories that mirror special-events including prom, semi-formals, weddings, bridal showers and holiday parties. Each category has style appropriate special occasion shoes including evening flats and high-heeled specialty sandals at a variety of price points to engage shoppers of all budgets. A variety of well-known national brands will be featured including Marc Fisher, Jewel by BadgleyJessica Simpson, Caparros, Guess, N by NinaNicole Miller, Madden Girl, American Glamour and Adrianna Papell

PHOTO: DSW VIA FAULHABER COMMUNICATIONS

An immersive shopping experience is created both in-store and online as the shop is merchandised by the following categories: To the Wedding, Theme Party, Holiday Party, To the Work Party, Men’s Dress and Necessary Extras. For in-store shoppers there is a dedicated section within the store that is themed with dressing-room style décor. The section is decorated with a full sized mirror and a large round ottoman encouraging shoppers to try on shoes along with overhead chandeliers to create extra sparkle. The space is framed with white faux brick paneling to separate the space as the remainder of the store has exposed wood paneling.

For online shoppers, specific shoes are displayed in lifestyle poses by models that incorporate appropriate fashions to illustrate a complete look. This allows customers to easily visualize how the shoes will fit the occasion and provide inspiration for fashion choices. For example, in the Holiday Party category, online shoppers are directed to the American Glamour Platform Pump. This ease of shopping encourages a high click-through-rate and will translate into a high conversion (sales) rate as well.

PHOTO: DSW VIA FAULHABER COMMUNICATIONS

For most off-price retailers, the shopping experience is a treasure hunt. Items are merchandised by commodity and often a full size range is not available. Although shoppers in the off-price segment are motivated by value, there is a shift towards pairing value with a shopping experience.

Also DIG360’s David Ian Gray noted that off-price stores are not for everyone. Those who “shop with a plan” will find its unpredictability off-putting. This strategy by DSW Designer Shoe Warehouse in opening a shop-in-shop boutique allows them to differentiate from their off-price competitors by creating a lifestyle shop with a full size range even in an off-price environment.

To further increase consumer engagement, What’s the Occasion? is an omnichannel strategy with both an in-store and online presence. This creates a unified experience for shoppers. As DSW Designer Shoe Warehouse offers In-store Pick-Up, this can help to drive shoppers to the store and potentially increase their basket size. In the event shoppers are unable to find something in-store, the e-commerce platform has the entire assortment along with style tips that may entice a purchase. The main off-price retailer in Canada, TJX Companies Inc., owner of Winners, HomeSense and Marshalls does not currently have an e-commerce presence in Canada. This first out of the gate strategy for DSW Designer Shoe Warehouse may be the edge it needs in a saturated off-price and footwear market in Canada.

There are currently 27 DSW Designer Shoe Warehouse locations across Canada along with a Canadian e-commerce site. The physical stores are approximately 15,000 to 25,000 square feet and carry men’s and women’s designer brand name shoes and accessories. The DSW Kids department is available in 19 stores with footwear and accessories for toddlers through teens.

Canada Goose Opens Standalone Vancouver Flagship [Photos]

PHOTO: CANADA GOOSE

Toronto-based fashion brand Canada Goose, known particularly for its outerwear, has opened its first standalone Vancouver flagship at CF Pacific Centre as it expands its base of direct-to-consumer stores worldwide. Vancouver marks the 10th freestanding location for Canada Goose, which has a goal to operate 20 stores by the year 2020, with plans to open several more in Canada. 

The Vancouver Canada Goose location spans 4,018 square feet according to a CF Pacific Centre lease plan, in a retail space located between the mall’s Links of London and Maje boutiques. The store is across from Harry Rosen and is near prestige brands Max Mara, Pomellato and a soon-to-reopen Ermenegildo Zegna boutique, which is operated by Harry Rosen. 

Canada Goose’s new Vancouver location features an impressive interior — the store’s 2,700-pound cash desk is a rough slab of marble sourced from Vancouver Island (left mostly raw to evoke the natural wear of glaciers and icebergs according to the company), and pieces of Inuit art work are found in the store, including paintings depicting strong, nurturing Inuit women and northern landscapes as well as polar bear sculptures carved out of serpentinite. All artwork featured in the store is sourced in partnership with art curator Natalie MacNamara of NAMARA

PHOTO: CANADA GOOSE
CANADA GOOSE LOCATION (CF PACIFIC CENTRE – LEVEL 2) HIGHLIGHTED IN TURQUOISE. CLICK FOR MALL MAP.

The store carries more than 200 styles of clothing ranging from the brand’s popular parkas to rainwear, light down jackets and knitwear and accessories such as mittens, toques and scarves — there’s also an assortment of kid’s and baby items, as well as some limited-edition pieces (some collaborations) and exclusives not found at wholesalers. 

Some wholesalers are said to be concerned that Canada Goose is opening retail stores, as it could result in less product and distribution as the brand increasingly sells direct-to-consumer. Canada Goose’s 4,500 square foot Toronto store at the Yorkdale Shopping Centre is said to do in excess of $60-million in sales annually, and lineups are a regular occurrence with a mix of brand fans and re-sellers, the latter which are limited to buying five jackets per day in the store.  

Yorkdale was Canada Goose’s first standalone store in the world when it opened in October of 2016, and a store in New York City’s Soho area followed shortly after. The company has since opened standalone flagships in Calgary, Chicago, Boston, London UK, Tokyo, Short Hills NJ, and mosts recently in Hong Kong. The Calgary store, which is located at CF Chinook Centre, opened in the fall of 2017 and spans about 3,960 square feet. Similar to in Vancouver, the Calgary store is also located across from the mall’s Harry Rosen store. 

PHOTO: CANADA GOOSE
PHOTO: CANADA GOOSE

Canada Goose has confirmed that it will be opening a flagship in downtown Montreal before the end of the year, in an 8,000 square foot retail space formerly occupied by music retailer HMV. The store will be only the second in the company to feature a ‘cold room’ where jackets can be tested in sub-zero temperature — the first was at Canada Goose’s recently opened store at The Mall at Short Hills in suburban New York City. 

This fall, as well, Canada Goose will open a store in Beijing, as it further penetrates the Chinese market with direct-to-consumer stores. It will be interesting to monitor Canada Goose’s sales in its North American stores as it further expands into China — a substantial amount of sales in that store are from re-sellers taking orders from Chinese consumers, according to employees in the store. Canada Goose also launched an e-commerce presence on Alibaba’s Tmall platform, and will open a regional head office in Shanghai. 

PHOTOS (ABOVE AND BELOW): CANADA GOOSE

Several months ago, sources had said that Canada Goose had struck a partnership with landlord Cadillac Fairview to also open stores at CF Rideau Centre in Ottawa as well as at CF Carrefour Laval in Montreal, though this information is not confirmed and it’s unclear if a Laval location would open now that the company has announced a downtown Montreal flagship. A smaller unit at Toronto’s CF Sherway Gardens, set to open this fall, will be unique in that the store will take orders and product will be shipped to consumers. A CF Toronto Eaton Centre location is said to be in the works, and the Edmonton market is also said to be a target for Canada Goose and it’s unclear if lease talks have been finalized for a store at West Edmonton Mall

Canada Goose also made news this week when it announced that it had acquired footwear manufacture Baffin Inc. for $32.5-million. The entities will initially be operated separately, though some speculate that Canada Goose could expand into branded footwear as part of the acquisition.

BRIEF: Uniqlo Completes Fall Expansion, Pet Store Expansion, Burton Opens 2nd Flagship

BRIEF: Uniqlo Completes Fall Expansion, Pet Store Expansion, Burton Opens 2nd Flagship

Uniqlo Almost Doubles Canadian Store Count in 2 months

On Friday, Japanese retailer Uniqlo unveiled its ninth Canadian store at Square One in Mississauga. Landlords confirm that more locations have been secured and as a result, more announcements will be made for new Uniqlo stores in Canada. 

The Square One store spans about 19,850-square-feet and is located in the mall’s newest expansion wing, which is being made possible by repurposing a former Target anchor space. Next year, the expansion will see several new tenants including entertainment concept The Rec Room as well a multi-vendor food market called ‘Food District’ and a two-level Indigo store, which will replace a standalone Chapters store located across from Square One. 

Crowds gathered throughout the weekend to check out the new Uniqlo, which was the fourth store to open in less than eight weeks in Canada. On October 12, Uniqlo opened in a former Forever 21 space at CF Markville  north of Toronto and prior to that, on September 28, Uniqlo unveiled a 28,150-square-foot store at Vaughan Mills, just north of Toronto. The four-store expansion began on September 14 when Uniqlo opened a 15,970-square-foot unit in a space formerly occupied by Old Navy at Coquitlam Centre in suburban Vancouver. 

Uniqlo has indicated that it could eventually operate as many as 100 stores in Canada, which means it has many more to go if that number is indeed accurate. The company has five stores in the Greater Toronto Area and four in the Vancouver/Lower Mainland — we’ll be watching for Uniqlo to expand into other markets, especially as it has been hosting pop-up events in cities such as Montreal, Ottawa and Winnipeg. Jeff Berkowitz of Aurora Realty Consultants represents Uniqlo as broker in Canada.

Mondou Pet Stores Expands Locations and Giving Pet Program

As a family-run business established in the province of Québec for the past 80 years, Mondou has opened six new stores province-wide this year. The latest being the two openings — one on November 10th in Alma, and another December 1 in St-Laurent —putting the number of stores to 67 by year-end and employing more than 750 employees. 

It is important for Mondou to give back to the community by supporting a number of causes dedicated to animal welfare. These include shelters (on June 1st, they gave $130,000 for the animal shelters across Quebec via their Mondou Mondon for the shelter’s campaign), adoption days and the MIRA Foundation, which they have been supporting for more than 20 years. The 4th annual Mondou Mondon MIRA campaign closed November 5th with funds raised $375,170. For over 20 years, more than $2 million and the equivalent of half a million meals have been given towards Mira, thanks to the generosity of the people and loyal customers of Mondou. 

Always striving to be much more than a mere pet food store, Mondou has distinguished itself from its competitors by employing a team of skilled advisors and by its commitment to refrain from selling animals. Their reward card, Câlin card, was elected number 1 in Canada in terms of generosity perceived according to the loyalty study conducted by Léger and R3 Marketing in 2017.

Indigo Opens on Robson Street

“Cultural department store” retailer Indigo held its grand opening of their new flagship store in downtown Vancouver this past weekend. Located at 1033 Robson Street, the two-level, 29,000-square-foot location marks the company’s return to downtown and includes a Starbucks café.

Indigo Robson is organized in a shop within a shop concept, including Books, Wellness, Joy of the Table, A Room of Her Own, Home Beautiful, IndigoKids and IndigoBaby. The Vancouver flagship has over 58,000 unique book titles, and customers can also access an unlimited selection online through in-store kiosks, including exclusive online items which offer free shipping of all items to store with no minimum spend, plus free returns. 

Designed to be a destination for the whole family by award-winning design firm Burdifilek, customers enjoyed a grand opening weekend of events which included photography installation by Canadian photographer Edward Burtynsky. Indigo and Burtynsky are committing $25,000 each to the Ancient Forest Alliance, a non-profit organization working to protect BC’s endangered old-growth forests and ensure a sustainable, second-growth forest industry.

Indigo will also be supporting the local community through the Indigo Love of Reading Foundation, an organization that is dedicated to putting books in the hands of Canadian children. Since inception, the Indigo Love of Reading Foundation has provided over $29 million to high-needs elementary schools across Canada, with $3.5 million to British Columbian schools.

Indigo replaces a Forever 21 store that once occupied the Robson Street space. The store also replaces a flagship Chapters bookstore at the corner of Robson Street and Howe Street that shuttered in 2015, and is now occupied by a Sport Chek store. Indigo is represented in Canada by brokerage JLL, formerly Northwest Atlantic and Chris Wood handled the Robson Street lease negotiations. 

Canadian Women’s Wear Brand Grayes Partners with Michele Romanow

founder Stephanie Ray (Left) and Michele Romanow (Right). Photo Grayes Facebook.

Grayes, an online Canadian-made professional women’s wear brand, has joined forces with television personality (Dragon’s Den) and serial entrepreneur Michele Romanow, to host a series of pop-ups. The Driven by Grayes campaign landed in Toronto last week, where clients were able to shop the Grayes collection in-person, including Romanow’s top picks for the season and the newest addition to the collection – the Iron Check Suit

This fall’s partnership with Romanow extends the original Spring 2018 Campaign and includes a selection of Michele’s Picks, several items curated for women looking to transition to a fall/winter wardrobe with all items made in Canada. 

The showroom tour will also include an event series, in which Romanow will host a panel discussion with prominent local Toronto businesswomen, including Andrea Stairs (eBay), Rhiannon Trail (Economic Club of Canada) and Kristy Wieber (Rent Frock Repeat).

The series kicked-off on October 17th in Ottawa, and then October 29th in Toronto, and will continue expanding across to the west coast in early 2019. For more information or to book your appointment, email shop@grayes.com

Burton Opens Second Canadian Flagship in Montreal

Burton Snowboards has opened their second Canadian flagship store in Montreal, QC. Located in the trendy Griffintown neighbourhood (1420 Notre-Dame) with a retail space of 1,500-square-feet. The showroom is 1,500-square-feet, and there is an additional 3,000-square-feet of office space.

Being one of the two flagship stores in Canada, the location sells exclusive brand collaborations such as the recently launched limited collection from Burton x Carhartt WIP. Pieces from this collection are only available at flagship locations and online at burton.com.

Also, the new flagship includes all Burton categories for men and women, from socks to boards and everything in between. It features exclusive brand collaborations, limited release product, industry-leading technical collections, and trend-right, fashion forward styles. Hard good offerings range from classic boards, boots and bindings; to cutting edge new releases such as the new Step On boot/binding interface, and the all-new M4 Magna-Tech® goggle by anon.

Image: Burton Snowboards Montreal

 Jake Burton founded Burton Snowboards out of his Vermont barn in 1977, dedicating his life to snowboarding. He’s been instrumental in growing snowboarding from a backyard hobby to a global world-class sport. The company has its headquarters in Vermont with offices in Australia, Austria, Canada, California, China, and Japan.

Joshua Hasen of brokerage Aurora Realty Consultants represented Burton in the Montreal lease deal.

Burton’s first Canadian store launched about a year ago on Ossington Avenue in Toronto, with CBRE negotiating the deal with landlord Hullmark

Bloor Street Entertains Announces New Partners

Image: Bloor Street Entertains

On November 28, Bloor Street Entertains (BSE) will once again bring together the city’s finest culinary masters, luxury retailers, and creative florists to host a beautiful evening for guests and raise money for vital Canadian HIV and AIDS research. A yearly staple on the Toronto events calendar. 

Chaired by Bernadette Morra and her husband Jimmy Molloy, this is the largest annual fundraising gala event supporting Canadian HIV research, having raised millions of dollars over the last 22 years. Each year, Bloor Street Entertains hosts Toronto’s business, fashion and philanthropic leaders for a night of dining and entertainment. 

BSE has just announced its Partners for this year’s dinner, and super-luxury condominium development 50 Scollard is proud to be among the likes of Coach, Holt Renfrew, and Mulberry as one of the participating venues. The new 41-story luxury build, with 77 exclusive residences will be providing its beautiful presentation centre for the evening event.

Young Living Brings Canadian Convention to 3,000 Advocates in Vancouver

A global leader in wellness products and essential oils, Young Living, hosted its 2018 Canadian Convention in Vancouver at the Vancouver Trade and Convention Centre on November 2-4.

Young Living has tapped into what the National Post reports is a global wellness market whose value is expected to reach $12.85 billion by 2023. Drawing together more than 3,000 delegates, Young Living’s Canadian Convention featured keynote speakers, entrepreneurially focused professional development sessions, and networking opportunities.

The 2018 Canadian Convention focused on fostering entrepreneurial skills, tapping into robust networks and strengthening relationships towards health and wellness in Canada. The event is the place where the Young Living communities of natural health and wellness advocates connect and set the foundation for the year to come.

The company’s purpose-driven approach is one of the major drivers of Young Living’s 55% year-over-year growth in the Canadian market, which now encompasses over 143,000 wellness advocates across Canada.

Flagship Hudson’s Bay and Saks Fifth Avenue Unveil Toronto Holiday Windows

On Sunday, November 4, Hudson’s Bay and Saks Fifth Avenue unveiled their annual Holiday Window displays. Two Canadian musicians kicked-off the event — Johnny Orlando was first on stage, followed by headliner Carly Rae Jepsen. 

Thousands gathered for the unveiling on Queen Street West at the intersection of Yonge Street. The combined Hudson’s Bay Queen Street/Saks building is part of the massive CF Toronto Eaton Centre complex, and landlord Cadillac Fairview was a sponsor. 

The 2016 Holiday Window unveil was also a biggie — Mariah Carey sang a couple of songs to excited fans, and she was reportedly paid $1-million for the brief appearance. 

Webinar November 6: Doug Stephens ‘Waking Up from Canada’s Retail Myth

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By Retail Insider

On Tuesday, November 6 at 12:00 noon EST, ‘Retail Prophet’ Doug Stephens will present a webinar entitled “Omnipresence Retail in Canada “Waking Up The Sleeping Giant”. The webinar is being co-hosted by Salesforce.

[Register for the webinar here for free]

Using timely case studies, Mr. Stephens debunks the Canadian ecommerce myth and proves how it’s been hurting businesses. This session is full of actionable tips for retailers who are ready to wake up and recognize the huge potential ahead.

“Innovate or die” is a battle cry heard across the business world, and most loudly in the retail commerce. Yet many Canada’s retailers are falling behind, according to Mr. Stephens, despite the great Canadian legacy of early innovations and record-setting internet use. The typical justification? Canada’s expansive geography, population, and market render ecommerce unfeasible. It’s “a myth as familiar as Bigfoot”, he says.

Retail Insider featured an in-depth article on the subject, referencing Mr. Stephens’ work.

The webinar is co-hosted by Salesforce, which is considered to be the world’s #1 CRM platform. You can register for the webinar here.

Jean Machine to Close All Stores After 42 Years in Business

YORKDALE LOCATION. PHOTO: THE NEW RETAIL

The turnaround plans for the Toronto based denim focused retailer, Jean Machine have proven to be unsuccessful. The remaining 24 stores located in Ontario will officially close in 2019.

The chain which has been operating for over 42 years was founded in 1976. It features quality brand name casual fashion with a focus on denim. Brands carried include Silver Jeans Co., Buffalo David Bitton, mavi and Guess.

The changes for Jean Machine were first necessitated due to their January 2017 bankruptcy protection filing owing an undisclosed amount to creditors. According to a 2017 Globe and Mail article, Jean Machine suffered from both premium denim products and low cost fashion players entering the denim space. In March 2017, Jean Machine was acquired by Vancouver-based Stern Partners Inc. for an undisclosed amount. The turnaround plan including shifting their target market to a mature customer rather than focusing on younger market. The stores were to be renovated with a focus on new light fixtures and repainting. The Yorkdale location that was updated in 2016 served as a prototype for store renovations. The store features included an industrial feel with larger dressing rooms to appeal to both a younger and mature target market. However these changes were not enough for the chain.

CF TORONTO EATON CENTRE LOCATION. PHOTO: DARREN PERLMAN/GOOGLE MAPS

Over the 2018 Christmas period, Jean Machine will wind down operations. Twenty of the twenty-four stores will operate until January 31, 2019. The remaining four stores will remain open until February 28, 2019. At this time, JeanMachine.com will continue to operate for online purchases however an official date that the online store will close has not been announced. For those shopping at Jean Machine for Christmas gifts, be advised that effective November 1, 2018, all sales are final. The previous return policy allowing returns with receipts within 14 days will no longer be honored. This policy applies to both in store and online purchases.

As a gesture of goodwill towards its customers, Jean Machine will continue to accept Jean Machine Gift Cards prior to January 31, 2019. All gift card sales ceased on November 1, 2018. With an impeding store closure, customers should utilize gift cards as soon as possible. This CBC article illustrates the pitfalls when a store closes rendering gift cards useless.

The denim market in Canada according to market research firm Euromonitor expects to grow 2% between 2017 and 2022. This growth is driven by premium luxury and fast fashion brands impacting mid-priced labels. As Jean Machine is positioned in the mid-price category it was being squeezed from both ends. Even premium denim brands are not immune to changing consumer preference, True Religion Denim filed for bankruptcy protection in 2017. The company blamed the rise in the athleisure trend for poor sales. True Religion has since exited out of bankruptcy protection. Although denim is still a staple in wardrobes, shifting consumer trends in denim to more sustainable and fair practice brands will help retailers stand out in the marketplace.

With the difficult Canadian retail landscape, there may be more struggling retailers that could be in trouble for 2019.

YORKDALE LOCATION. PHOTO: THE NEW RETAIL
YORKDALE LOCATION. PHOTO: THE NEW RETAIL

German Fashion Brand ‘JOOP!’ Expands into Canada

German fashion brand JOOP! (pronounced ‘Yope’) has launched its menswear lines in Canada with distribution in 20 retailers nationally. Five Harry Rosen stores are among the 30 locations carrying the men’s collection for FW 2018/SS 2019 — and that number could increase if sales take off.  JOOP! womenswear is planned to follow for Canada in 2020.

JOOP! GmbH was founded by German fashion designer Wolfgang Joop in Hamburg Germany in 1987 and the brand quickly took off and expanded into upscale womenswear, menswear, accessories and home furnishings. Wolfgang added an exclamation point to the end of the brand’s name to distinguish it from himself as an artist, and the exclamation point has become a defining element of JOOP!, which launched a popular fragrance that also helped grow the brand globally.

In 1986, JOOP! launched ‘JOOP! Jeans’, a unique denim driven casualwear collection, and JOOP! Living, a complete home furnishings and décor company was added in 2000.

In 2008, Swiss-based conglomerate Holy Fashion Group acquired the JOOP! brand’s fashion business (Coty Inc. of New York owns the fragrance division), and the brand is making a comeback in a big way. Holy Fashion Group, whose owners are descendants and former owners of Hugo Boss, also own popular menswear brand Strellson which has a retail and wholesale presence in Canada. Holy Fashion Group also acquired the Art Nouveau villa in Hamburg where Wolfgang Joop began designing his collections and remains the main showroom for the World of JOOP!

JOOP VILLA IN HAMBURG, GERMANY. PHOTO SUPPLIED

The new men’s collection offers a diverse range of looks that are contemporary and luxurious, and its designs are wearable for various body types. A recent presentation in Toronto showcased the brand’s JOOP! and JOOP! Jeans collections, and accessories and footwear are also on the way in the coming season.

JOOP!’s prices are a step below luxury brands such as Giorgio Armani and Zegna, making it accessible to a wider market while also offering top quality, fabrics and design.