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

By
Helen Siwak
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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

By
Craig Patterson
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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

By
Christopher Lui
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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

By
Craig Patterson
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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.

L.L.Bean Announces Expansion into Canada

By
Craig Patterson
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L.L.BEAN BOSTON LOCATION. PHOTO: L.L.BEAN FACEBOOK

Maine-based outdoor retailer L.L.Bean has announced that it is expanding into Canada with a partnership with Toronto-based Jaytex Group. A retail store expansion will commence in 2019 and this fall, the company has launched a Canadian e-commerce site as well as wholesale distribution in several major retailers. 

Steve Smith

“We’ve historically had an active and loyal customer base in Canada,” said Steve Smith, President and CEO of L.L.Bean. “Developing a true omnichannel presence that includes a wholesale component, as well as new brick and mortar retail stores and a dedicated Canadian website will give our Canadian customers a better overall L.L.Bean experience and make it much easier to shop in the channel that’s most conducive for them.”

L.L.Bean was founded by Leon Leonwood Bean in 1912 in Freeport, Maine, where it continues to operate its flagship to this day. The company, which operates a network of stores in the United States as well as Japan, is best known for its ‘Bean Boot, which is a waterproof rubber boot with a leather upper. The company’s product lines include clothing for men and women as well as firearms, backpacks, and tents. In 2010, it launched a sub-brand called L.L.Bean Signature, which is a ‘modern interpretation’ of the brand with ‘modern fits’. 

The brand’s popular boots are available in stores in Canada for the first time this fall, as well as on a new dedicated Canadian e-commerce site. Brick-and-mortar retailers carrying the popular boots as well as other L.L.Bean products include selected Hudson’s Bay, Sporting Life, and MEC stores. 

L.L.Bean partnered with Toronto-based distributor Jaytex Group on the Canadian expansion, including L.L.Bean’s current wholesale distribution as well as a retail expansion that could see 20 branded L.L.Bean stores open in Canada over the next decade. 

In the United States, L.L. Bean operates more than 40 full-priced stores as well as 10 outlet stores. In Japan, the retailer operates 28 stores. Most stores in the United States are in suburban locations, and in March of 2018 it opened its first urban location in Boston’s Seaport District. More urban stores are planned as the brand seeks to cater to a wider range of customers. 

Founder Leon Lemonwood Bean developed and patented the Bean Boot after frustrations over wet hunting footwear, and the waterproof boot was a hit from the getgo. L.L.Bean provided a 100% money back guarantee on items without a purchase receipt though in February of 2018, it began limiting returns to within one year of purchase while requiring a receipt or other proof of purchase. One of the issues was that some unscrupulous individuals were returning L.L.Bean goods purchased at yard sales for a full refund price, for example. 

MAINE MANUFACTURING FACILITY. PHOTO: L.L.BEAN WEBSITE

L.L.Bean was involved with some political controversy last year when in January of 2017, political activists launched a boycott of the brand after it was disclosed that Linda Bean, one of the descendants of the founder, had donated $60,000 to a political action committee that supported Donald Trump’s 2016 presidential campaign. Trump, on Twitter, after seeing calls for the boycott said, “Thank you to Linda Bean of L.L.Bean for your great support and courage. People will support you even more now. Buy L.L.Bean”. Ms. Bean referred to the backlash as “bullying” and “un-American” and despite calls for her to step down from the board, she remains as a director. 

About 75% of L.L.Bean’s manufacturing is overseas, much of it in China, which means Trump’s endorsement was incongruous with his assertions that products be ‘made in America’. The company’s signature boots and other products are still manufactured in the United States, however, producing about 600,000 pairs of boots annually at its factories in Maine. 

L.L.Bean’s flagship on Main Street in Freeport, Maine, has been in operation since 1917 and remarkably, it has been open 24 hours a day since 1951 with the exception of two Sundays in 1962 when Maine changed its blue laws, as well as for the death of US President John F. Kennedy in 1963, as well as the deaths of founder Leon Bean in 1967 and his grandson Leon Gorman in 2015. 

The company also operates the ‘L.L.Bean Bootmobile’, which travels the United States and serves as a mobile store with limited product during its annual college tour. 

Photos: L.L.Bean Facebook

L.L.Bean’s retail outlets feature education programs and activities where customers can sign up to participate in various outdoor activities such as archery, clay shooting, fly casting and sea kayaking, with all equipment and instruction provided. 

L.L.Bean is the latest international brand to enter the Canadian market by opening stores. In 2017, Canada saw more than 50 brands open standalone stores or concessions, which was a record. This year is shaping up to be similar as retail becomes more global and brands look to Canada to drive growth. L.L.Bean will compete with a wide range of retailers selling similar products in this country and the increased competition could pose a challenge as consumer debt levels increase, not to mention the overall increasing cost of living in most parts of Canada. 

The Toronto area will become home to L.L.Bean’s first standalone Canadian store in 2019, according to the company, though a location has yet to be revealed. In the United States, L.L.Bean operates stores in a range of centres, including some high profile shopping centres such as Old Orchard in suburban Chicago, King of Prussia in suburban Philadelphia, and at the Mall of America in suburban Minneapolis. Privately-owned Jaytex Group was found in 1978 and features a portfolio of private label and lifestyle licensed brands in Canada. 

Fourpost Launches Innovative Retail Concept at North America’s 2 Largest Malls

By
Mario Toneguzzi
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RENDERING OF THE MINNEAPOLIS FOURPOST SPACE WHICH FORMERLY HOUSED A J.CREW STORE.

A new retail concept that transforms the traditional brick and mortar model by connecting shoppers and brands through community and experiences is being launched in two of North America’s biggest malls.

Fourpost is the re-branded name for RAAS (Retail as a Service) which was a micro-mall concept that laid the groundwork for the new concept which is backed by $5 million in funding. Fourpost is a tech savvy 2.0 version of the concept allowing retailers to have more tools to manage their physical storefronts from an online dashboard full of analytics, resources, tools and community where they can learn business skills, grow their businesses and connect with fellow entrepreneurs.

Fourpost is being launched November 1 at Mall of America in Minneapolis and at the West Edmonton Mall.

Image: FOURPOST
Mark Ghermezian

Mark Ghermezian, Founder and CEO of Fourpost, said RAAS was beta testing the original concept of whether retail brands want turnkey spaces that come with community and technology in prime locations and do consumers want to shop at these locations.

“Through that process we also got a better understanding of what our purpose is and what we’re doing as a brand and we really put a lot of thought into who we are, and what we are, and what we want to be,” said Ghermezian.

“The name Fourpost is we’re providing the four posts of innovation for retail. Four posts that form a community and I think it has a lot more meaning than Retail as a Service. That was always the idea to test this out and learn from it and come to market with a much more thoughtful brand around who we are as a brand and who we are as a company.”

Image: FOURPOST

Those four posts are: community which is a mix of local, emerging and digitally native brands; providing space which focuses on shapes not square feet; service which is through technology and customer experience; and curation with exclusive, high quality business services.

“Today, brands are demanding better options for brick and mortar,” said Ghermezian. “The industry has not kept pace with modern retail. We built Fourpost to completely re-architect the process by building a community and breathing fresh air into what has been a stale industry between landlords and brands for hundreds of years.”

Fourpost is geared to brands ranging from local businesses and startups to established digital natives, giving them access to prime real estate. Ghermezian said Fourpost can inject new energy into physical retail, starting with shopping malls and eventually moving to freestanding locations.

Image: FOURPOST

The key is offering these retailers a turnkey solution to opening a brick and mortar storefront without obstacles like long-term leases, high rents, capital expenditures and operational logistics.

One of its unique initiatives is offering creative and alternative space in its Studio Shops which can be triangular and rectangular in nature. Each Studio Shop has fixtures, signage, lighting, POS hardware, and Wi-Fi, as well as access to various amenities such as event space.

Fourpost says its easy-to-use SaaS dashboard allows members access to tools and resources like dedicated onboarding and account management, business training, calendars and event bookings, and billing. The dashboard helps members navigate storefront data, and gain useful insights and analytics to grow their businesses. It is also a platform for retailers to connect and engage in meaningful conversations, share information, and ask questions.

“We’re an independent company. We’re based in New York. Building a team here. We’re building the technology here. We’re looking to expand. We’re building a global international company and a community of brands and this is definitely something we want to start rolling out in more places,” said Ghermezian.

“We’re actually starting to offer staffing. That was a big thing. So when brands come on not only are they getting their turnkey spaces with us . . . but we’re also providing full staff so it’s completely turnkey. In some spaces we’re offering office space . . . It’s not just about the space. Our space is a means to an end and we’re creating a whole community and service around what we’re doing with the four posts.”

Fourpost has received investment from Susa Ventures, Collaborative Ventures, Blumberg Capital, Ludlow Ventures, Supernode Ventures, T5 Capital, Accelerator Ventures, Social Capital and Hersz Capital. Individual investors include Parachute Founder and CEO Ariel Kaye, Warby Parker Co-CEO Dave Gilboa, Rubrik Founder and CEO Bipul Sinha, and InVision Founder and CEO Clark Valberg.

The company plans to open several new locations in 2019.

Matt & Nat Launches Aggressive Standalone Store Expansion

By
Craig Patterson
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Montreal-based eco-friendly accessory fashion brand Matt & Nat is launching an expansion this year that will see it rapidly expand its store count in Canada, as well as expand into the United States with its first stores. The company is also launching a premium line of accessories this month that will include luxury detailing and design.

The highly respected Matt & Nat brand (short for “mat(t)erial” and “nature”), which was founded in Montreal in 1995, is known for not using leather or any other animal-based materials in its bag and accessory designs. Since 2007, it has been committed to using linings only made out of 100% recycled plastic bottles, and it recently introduced recycled bicycle tires to its collections. The brand launched with a collection of accessories and it has since expanded to also carry a range of footwear designs. Matt & Nat wholesales to retailers in Canada as well as globally, and it also has a robust ecommerce business at mattandnat.com/shop.

According to Manny Kohli, President and owner of Matt & Nat, the company is about to launch a new premium collection called ‘Studio 901’. The line will include a range of accessories that will look and feel luxurious, featuring gold hardware, exceptional fabrics, and a range of colours.

Matt & Nat only recently got into retailing and according to Mr. Kohli, its stores are very successful. Matt & Nat’s first freestanding store opened in March of 2016 at the CF Carrefour Laval shopping centre near Montreal, with about 1,000 square feet of retail space. A second store opened in October 2016, spanning about 1,400 square feet at Quartier DIX30, in Brossard, and a third location opened in Ottawa’s CF Rideau Centre in May of 2017, with about 1,400 square feet on the mall’s second level. Most recently, Matt & Nat opened two Toronto-area stores — one at CF Sherway Gardens in Toronto spanning 1,470 square feet, as well as a 1,450 square foot location at Square One in Mississauga. The company also operates an outlet store at Premium Outlets Montreal.

This fall, Matt & Nat is launching an expansion that will see it open more stores in Canada and, for the first time, in the United States. On November 15, the brand will open its second outlet store at Premium Outlets Toronto, which is expanding its property while adding a roster of leading luxury brands. This month, as well, Matt & Nat is opening two pop-up locations in the New York City area — one is in the Soho area in Manhattan, and the other at Roosevelt Field on Long Island. If all goes as planned, permanent locations could follow.

In the spring of 2019, Matt & Nat will open its first store in Western Canada at CF Chinook Centre in Calgary, marking the beginning of a cross-Canada expansion that could see more locations open in Alberta as well as British Columbia. Mr. Kohli explained how Western Canada is a leading market for Matt & Nat and as such, targeted locations will include Edmonton and Vancouver, the latter which could support as many as three standalone stores, he said.

As well, Matt & Nat’s first store location at CF Carrefour Laval in suburban Montreal will be relocating in the spring of 2019. Mr. Kohli explained that the brand has outgrown its initial 1,000 square foot space, and that its new store will measure an impressive 1,800 square feet, making it the company’s flagship.

As many as 15 Matt & Nat stores could open in 2019, according to Mr. Kohli, in leading malls as well as on significant commercial high streets. The company is negotiating with landlords on the US West Coast in top malls in markets such as metropolitan Seattle, Portland, San Francisco and Los Angeles, with announcements to be made once lease deals are finalized.

More locations are planned for Canada as well, and the standalone expansion will be done carefully so as to respect the brand’s valued wholesale accounts. The goal is to continue to grow Matt & Nat’s brand awareness to drive sales at all distribution points, not to mention its expansive e-commerce site. Mr. Kohli said that the company could open a third outlet store in Western Canada, though the company will focus on opening mainline stores as it grows.

Mr. Kohli revealed that the brand could even expand outside of North America, with the company eyeing a retail space on popular Regent Street in London, UK. The multi-level retail space could become a showpiece for the brand if secured.

Matt & Nat is working with brokerage Oberfeld Snowcap for its store expansion, under the direction of Jay Freedman and Jessica Millet.

Retail Insider will follow up and report on Matt & Nat as it ramps ups its international expansion — the brand is another example of a Canadian brand that is resonating with global consumers.

Toronto’s Zappacosta Family Innovates with Retail Concepts

By
Mario Toneguzzi
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NANNI AND BELSTAFF AT YORKVILLE VILLAGE IN TORONTO. PHOTO: LOUISE YU

The Zappacosta family has been a fixture in Toronto’s clothing and fashion retail industry for generations; and the family’s success dates back to their grandfather Fernando, who was a bespoke tailor in Little Italy on College Street.

“That’s where the family business started. My dad grew up with his father being a tailor,” says Philip Zappacosta, Chief Operating Officer of Nanni, Belstaff, and philip – three fashion stores the family owns and operates in Toronto’s Yorkville Village.

Fernando’s passion for the industry was quickly parlayed into Tony Zappacosta becoming an entrepreneur, and alongside his wife Bernadette, he opened a chain of eight stores in the 1980s. The stores operated under the name Fenzi in several Cadillac Fairview malls, and enjoyed a successful reign until Fenzi was eventually sold.

BELSTAFF AT YORKVILLE VILLAGE. PHOTO: LOUISE YU

“The reason he sold it was because he was getting to a scale where he was losing touch with the customer when you get too big. He likes to be with the customer,” says Zappacosta.

“My dad said ‘so let’s then find something else unique’. He was always the kind of guy who would go to Italy and look for new lines and things that weren’t in the marketplace. So Nanni was a unique belt line that at the time Madonna was wearing…Michael Jackson was wearing. Billy Idol always wore Nanni belts — it was jewelry. It was a unique concept. He discovered this line and got the rights to the line for Canada. Very quickly his client base followed him and said you can’t just sell all belts. Nanni was originally just an all-belt concept store. Really innovative and unique. An accessory shop essentially, but that quickly evolved into a menswear store.”

Today, the family operates three brands in Toronto’s Yorkville Village, formerly Hazelton Lanes. Nanni opened on the site back in 1991. Canada’s first and only Belstaff store opened in September of 2017, and philip opened about five years ago.

Nanni and Belstaff have two separate storefronts, but they are connected internally, and the philip store is very close by.

“So what we’re doing here is creating an intimate environment for our clients. They’re specialized stores. We bend over backwards for our clients. Nowadays everybody can shop for anything and everything online so why would they come to us? Because they have fun and they know if they need anything in a rush or they need special tailoring or a special favour, shipping, it’s all the things, the services, that makes them feel special at the end of the day,” says Zappacosta.

“In all of our stores, we basically curate a premium product line because it’s Yorkville. The profile of our clients is that they’re generally more affluent, sort of leaders that are community-minded. They’re leaders in their industry,” says Zappacosta. “It’s a premium product. It’s affordable luxury.”

Nanni is strictly menswear, carrying lines such as Emporio Armani, John Varvatos, Goodman, and Robert Graham, and various other Italian lines. The store also continues to carry the well-known and celebrity-worn Nanni belts from Milan.

The Belstaff store, the brand’s first standalone location in Canada, has a look that the company notes exudes an air of understated confidence and modernity, true to the essence of the designer English brand. The store carries men’s and kid’s clothing and introduced a women’s line this fall as well.

“(Soccer legend) David Beckham is a spokesman so it’s a little more contemporary. Cool, casual wear with a big focus on leather jackets. It was founded in 1924 and it’s got a motorcycle heritage as well. A little edgier,” says Zappacosta. The brand is known mainly as an outerwear brand and everything is made in Italy. The product is fashionable and durable, with its leather and waxed cotton jackets performing well in all elements, particularly rain and snow. 

NANNI AND BELSTAFF AT YORKVILLE VILLAGE IN TORONTO. PHOTO: LOUISE YU

Leandra Zappacosta is leading the Belstaff store, and she explains that since it opened about a year ago, the brand is attracting an entirely new shopper, as well as drawing existing clients from the family’s Nanni and philip stores. New clients include locals as well as tourists who are increasing frequenting the Yorkville area.

Philip Zappacosta says the philip store grew organically from Nanni. “It became a little bit higher end. So we carry more of the designer labels. We’re [servicing] more of your executive-type people here,” explains Zappacosta.

“Yorkville Village is a neighbourhood mall that is basically exploding outwards. So they’re trying to become a community-minded type of a mall that has everything from a great health club to a Whole Foods store to different eatery options and high fashion men’s and women’s. It’s a ritzy neighbourhood,” says Zappacosta.

He says the team at the stores is simply an extension of the family. “It’s all about our customers. Every business can say that but at the end of the day we form these relationships with these clients. There’s a friendship that forms and there’s a trust as far as their image because these are guys that have graduated to a level where they’re now executives or owners of their own business… It’s more about just having an experience and having an image that reflects their positions of power. It’s image consulting. That’s what it comes down to.”

The Zappacosta family isn’t just big in the fashion industry. In the world of professional football (soccer), Davide Zappacosta (Tony Zappacosta’s nephew) plays for the Chelsea F.C. in London UK. The family is also known in the music scene, led by renowned musician, troubadour and actor Alfie Zappacosta, who is Tony Zappacosta’s first cousin (Alfie wrote the hit song ‘Overload’ for the Hollywood film “Dirty Dancing” starring Patrick Swayze. In Toronto, a street was recently named ‘Zappacosta Drive’ (near Weston Road and Finch Street) in honour of Alfie Zappacosta, known as one of the most gifted and respected musical talents, who grew up in Toronto and attended Emery Collegiate Institute.  

What does the future hold for the Zappacosta family and their retail endeavours? Philip Zappacosta says that he’s on the lookout for more prestige brands, particularly brands from Italy that focus in the menswear area, though other luxury brands could also work as the family continues to grow its business. While future of business is flexible, one thing is certain – the family will continue to focus their efforts on the Yorkville Area, which Philip Zappacosta says is Canada’s fashion centre.

What Can Canadian CMOs Learn from the Volatile Retail Industry?

By
Craig Patterson
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Toronto Eaton Centre. Photo: WikipediaToronto Eaton Centre. Photo: Wikipedia

Toronto Eaton Centre. Photo: Wikipedia

By Kenneth Evans, Managing Partner, APEX Public Relations and ruckus Digital

The Chief Marketing Officer is fast emerging as one of the most influential roles in an organization, as they are increasingly seen as key agents in repelling and overcoming the disruption sweeping virtually every sector of the economy. It was with these developments in mind that APEX PR, ruckus Digital and research partner MaruBlue launched the CMO Lab project. Our motivation was to determine if Canada’s marketers are genuinely keeping up with the pace of change. Yet, the results are not what we expected.

Despite massive change, new competitive pressures and technological disruption – pressures Canadian retailers know all too well – only one third of Canada’s CMOs have changed or evolved their strategies in the last few years.

There are a few reasons as to why there’s been little change. Canadian operations can be “satellite offices”, with budgets and campaigns coming from HQ in other countries, making Canadian marketing plays more transactional. Some organizations are also still relatively siloed – and are not prone to collaboration between divisions. For others, it’s the “if it ain’t broke, don’t fix it” mentality, thinking that there’s more risk than reward when it comes to changing their ways.


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Upper Canada Mall. Photo: Oxford PropertiesUpper Canada Mall. Photo: Oxford Properties

Upper Canada Mall. Photo: Oxford Properties

But conventional marketing no longer delivers the audience, engagement or impact that brands need today, and it’s clear that marketers who are unable to shift from traditional tactics to a strategic and integrated approach are putting their organizations’ brand reputation and customer loyalty at risk.

Based on our own experience, it’s clear that marketers in Canada’s retail sector fall within the one third of those who’ve shifted their approach. Due to the cutthroat competition and the influx of new retailers entering the Canadian market, there’s no room for complacency. This continent-wide competition that the retail sector is facing has compelled its marketers to be extremely savvy when it comes to communications. To be frank, senior level marketers in Canadian retail deserve much kudos for this and we encourage marketers in other sectors to pay attention to their strategies. 


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So what are the one third doing right?

The one third of senior level marketers who’ve changed their approach are adopting an integrated communications strategy. This means more dollars are being spent on digital communications – such as influencers, video production, social media and paid digital, while still driving earned media coverage. Integrated programs allow brands to engage with their audience in a holistic way.

The one third are also effective collaborators. Most have moved away from the hero agency model, and instead collaborate with multiple agency partners across creative, media, digital and PR to strategize concepts and start the ideation process. With this model, the “big idea” for a narrative can come from anyone. When this happens, the different agency partners bring their own strengths to the table to help execute in a coherent way.

Understanding effective content is the final piece of the puzzle. Today, content across all channels must have strong editorial sensibility. Content has to tell a story to drive engagement and create word of mouth.

Keeping up with the retail sector

Walmart Canada is a fine example of a brand that has successfully collaborated with its multiple agency partners to execute its integrated programming. As a leader in sophisticated integrated communications, the brand also played in the digital space with its unbranded web series, Upstairs Amy, which also integrated Canadian influencers.

Canada Goose is another great example. The brand is in the middle of what can be considered a “parka war” with heavy weight players like Mackage and Moose Knuckles. Canada Goose, however, has effectively cut through the noise, with unique campaign elements like a YouTube video series, in-store activations and a partnership with the Sundance Film Festival.


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Three things marketers can learn from Canadian Retail marketers:

Get integrated

Senior level marketers should expand their use of integrated communications to optimize programs, reach more audiences and stand out from the competition. By doing so, they will achieve greater consistency of brand messages, enhance consumer engagement, public and employee engagement while driving sustainable growth.

Scrap the hero agency

Working with one agency could halt the creative process. Collaborating with multiple agencies and allowing them to participate in the ideation phase reaps great results. Giving others a chance to form a brand’s narrative and effectively working together on execution paves the way for a rush of new ideas.

Tell your story

When developing a content strategy, ask yourself: does this content have a strong editorial sensibility? Strong content puts the consumer first, and the brand second. Otherwise, it’s just an ad.

Stay on the lookout for new CMO Lab content from APEX / ruckus Digital and follow the conversation using the #CMOLab hashtag.


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Kenneth Evans is a Managing Partner at APEX Public Relations. A 20-year plus senior corporate communications strategist and communications trainer to some of the globe’s top brands, Kenneth has carved out a reputation for cultivating compelling brand narratives that protect and advance corporate reputations. Follow him on Twitter @kenmevans.

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Drake’s OVO ‘October’s Very Own’ Opening 2 Canadian Stores Part of Global Retail Expansion

By
Craig Patterson
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ENTRANCE TO THE YORKDALE STORE, VIA OVO/MEDIA PROFILE.

World-renowned Canadian musical performer Drake’s fashion retail concept October’s Very Own (OVO) will open two more stores in Canada this year as it expands its direct-to-consumer retail operations. One store will be a street front location in downtown Vancouver, and the other will be in a suburban mall, marking the third OVO location in the greater Toronto Area. 

The expansion speaks to the power of musician brands — Drake, who’s real name is Aubrey Drake Graham, is known worldwide for such hits as ‘Hotline Bling‘ and his 2016 studio album ‘Views‘, which included a photoshopped image of Drake sitting on the edge of the CN Tower (and sold millions of copies). Fans, eager to associate with the musician, are buying up branded products under his OVO label, which was founded in 2008 and features OVO’s trademark owl logo. OVO also collaborates with various other brands.

The downtown Vancouver OVO store will be located at 1044 Robson Street, in a 2,000 square foot retail space recently vacated by multi-brand menswear retailer Boys’Co. The OVO lease was finalized over the summer and Boys’Co relocated its downtown flagship to the suburban Coquitlam Centre. CBRE Vancouver’s Mario Negris and Martin Moriarty negotiated the Robson Street deal and local publication Daily Hive broke the news after OVO-branded paper was seen in the windows of the new Vancouver store last week. 

A second OVO location opens this winter at the Square One shopping Centre in Mississauga, west of Toronto. The 2,920 square foot store is in a space formerly occupied by Indochino (which relocated nearby) and will be between Lululemon and shoe retailer B2, across from Square One’s Victoria’s Secret and Microsoft stores. 

INSIDE THE YORKDALE STORE, VIA OVO/MEDIA PROFILE.
OVO WILL OPEN AT SQUARE ONE IN MISSISSAUGA THIS WINTER, IN A RETAIL SPACE SPANNING NEARLY 3,000 SQUARE FEET.

OVO is ramping up its retail expansion and sources confirm that it has secured other spaces, including at a new high-profile US retail centre with an announcement to follow. OVO currently operates five stores globally and that number will escalate with the expansion. 

Drake, who grew up in Toronto and was a star on the hit TV Series Degrassi The Next Generation, opened his first OVO store in Toronto in December of 2014 at 899 Dundas Street West. The small boutique was the brainchild of OVO’s co-founder Oliver El-Khatib, and it followed a summer of 2014 pop-up that was held in the same retail space. 

In December of 2015, OVO opened its second store location at 130 N. La Brea Avenue in Los Angeles, spanning about 2,400 square feet. In December of 2016, OVO’s third store location opened at 54 Bond Street in New York City. 

In June of 2017, Drake made news when he released a one-minute video announcing the opening of OVO’s fourth store at Toronto’s Yorkdale Shopping Centre. The video involved him and others riding through the mall in a Cadillac Escalade to the tune of his hit song Gyalchester, which further helped put Yorkdale on the map in terms of securing unique branded stores. The 1,580 square foot Yorkdale OVO store opened in August of 2017 — long lineups frustrated some, and staff at adjacent stores said that fights had broken out requiring medical attention. 

Most recently, in November of 2017, OVO opened its first store in the UK in London at 30 Berwick Street in the city’s Soho area. 

OVO continues to collaborate with various other brands, which is a trend generally as brands work together to create synergies. This fall, for example, OVO is partnering with Canadian retailer Roots on a designer collaboration (not the first time), according to an Instagram post on October 29. 

Drake continues to be a booster of Toronto, a city which he is clearly fond of. He mentions Toronto often in interviews and in his music, and spends a considerable amount of time in the city when he’s not traveling. He’s also investing in the city as he builds a 40,000 square foot mansion in the wealthy ‘Bridle Path‘ area in North York and in the past, he has lived in the city’s Yorkville area in luxury residential buildings as well as at the Ritz Carlton Hotel’s private residences in Toronto’s Entertainment District. 

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