Burlington Mall Rebrands For Centre Overhaul [Photos]

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August 9, 2018

Burlington Mall Rebrands For Centre Overhaul [Photos]

Burlington Mall turns 50 this year and as part of a $60-million overhaul, the centre is being rebranded with a focus to become a community gathering place. It’s now called ‘Burlington Centre’, and landlords RioCan and KingSett Capital have been responsible for renovating and adding several new retailers as part of the mall’s repositioning.

“We see Burlington Centre as a template for how community malls can operate going forward,” says General Manager Heidi McGaw. “This community-oriented vision informs how we operate and the services we provide to our shoppers. We are not just Burlington Centre, we aspire to be Burlington’s Centre.”

Part of the mall’s overhaul involved repurposing its Target space — the Minneapolis-based retailer exited its Canadian operations in early 2015. The anchor space was demised and several new retailers were added. It’s part of an effort to create a focal point for the suburban community, which is located between Hamilton and Toronto on the shores of Lake Ontario.

Some new additions to Burlington Centre’s former Target space include popular specialty grocery retailer Denninger’s, which opened in April of this year. Indigo and Starbucks both moved into the former Target space as well, and Winners was relocated into a larger space. Several national eateries were also added to the new Burlington Centre, including Blaze Pizza, Five Guys, Freshii, and Mr. Greek.

A new entrance fronting onto Guelph Line was unveiled as part of the renovation. Other mall upgrades include new flooring, lighting, a new corridor connecting the existing food court to the HomeSense corridor, washroom upgrades, new ceilings in the food court, and new comfortable furniture that reflect’s Burlington Centre’s rebranding.

Retail is changing, and large-format retailers such as department stores are becoming a thing of the past. Sears Canada also recently closed its operations and Hudson’s Bay now remains as the country’s sole traditional department store chain. Hudson’s Bay operates a 145,000 square foot store at Burlington Centre, which is, interestingly, one of two Hudson’s Bay locations in the relatively small city of Burlington.

“We were careful to ensure the changes we made to our branding, tenant mix and physical space were reflective of the preferences of shoppers and changes in the community,” says John Ballantyne, Senior Vice President, Asset Management at RioCan. “We are proud of our history here, and excited to provide what the community is looking for in the near and long-term. We look forward to being part of the continued growth and prosperity of the Burlington community.”

Several more retailers will be opening at Burlington Centre this fall including Chinese variety retailer Miniso, which positions itself as a Japanese lifestyle brand with plans for about 500 Canadian stores over the next several years.

As part of Burlington Centre’s 50th anniversary, a year-long campaign was launched in the spring that focuses on supporting local organizations and hosting and/or participating in community events. First was the ‘BurlingtonGreen’s Clean-Up Green Up’, with the shopping centre supporting the Burlington Fine Arts Foundation for Mother’s Day. Burlington Centre subsequently teamed up with the ‘Sound of Music Festival’ to host two pop-up concerts at the property ahead of the 2018 festival. As well, the centre recently helped launch the Gift of Giving Back’s summer campaign with BOMBA baseball.

Community programming will continue this September with a new partnership between Burlington Centre and the local Terry Fox Run for 2018 and in October, Burlington Centre will host a grand opening which will officially mark the end of renovations.

Burlington Centre is the largest mall in Burlington, spanning about 738,000 square feet. The city has a population of more than 260,000 people which is expected to grow by 16% by 2027, with a trade area that is substantially larger. The area is remarkably affluent with an average household income surpassing $150,000 annually within a 10-km radius of the centre. It’s a family-oriented community with 48% of households having children, which makes Burlington Mall’s repositioning a smart move. According to a leasing brochure, Burlington Mall’s productivity is about $517 per square foot as of June of 2018.

Burlington Centre is one of two major shopping centres in the city of Burlington. About three kilometres southwest of the centre is Mapleview Shopping Centre, a 635,000 square foot mall which houses Burlington’s other Hudson’s Bay store, as well as national and international retailers such as Apple, Aritzia, Brown’s Shoes, Michael Kors and Zara. Landlord Ivanhoé Cambridge confirms sales exceeding $900 per square foot annually, which will be discussed further in the upcoming Retail Council of Canada Shopping Centre Study which will be put together again this year by Retail Insider’s Craig Patterson.

Other competing malls in the area include CF Limeridge in Hamilton and Oakville Place in affluent Oakville. The area also houses several smaller shopping centres, big-box and strip mall retail, and urban street-front retail in the downtown communities which dot the sprawling suburban landscape that characterizes the Ontario ‘Golden Horse Shoe’. Further northeast in Mississauga is the massive Square One Shopping Centre and over the border in Toronto is the CF Sherway Gardens, both considered to be leading centres for the region.

We’ll do a follow-up to this article in October when renovations to Burlington Centre are completed, and new retailers have opened.

The Messy Business of Meal Kits and Canadian Food Retailers

By

Sylvain Charlebois

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August 9, 2018

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Meal kits are becoming a North American phenomenon. Deals are happening everywhere. In the latest deal, Walmart has partnered with Gobble to deliver meal kits. In the battle over the future of food consumption in the U.S., Walmart is making moves to maintain a fighting chance against the food industry’s new mammoth, Amazon, after the latter acquired Whole Foods a year ago. Don’t be surprised if more grocers do the same.

Meal kit delivery services made their debut in 2012, just 6 years ago. Most companies are still considered as start-ups. Gobble, for example, started in 2014 with its three step, one pan, 15-minute meal kit. The United States now has over 150 different meal kit companies, in many parts of the country. Canada has just under 20 significant players already. While this is a relatively new segment in food retail, it now represents over $1.5 billion in the U.S. alone, and is growing. Here in Canada, the meal kit segment is estimated to be worth around $200 million, but also growing. Metro made its move, a brilliant one at that, when it acquired Miss Fresh last year, allowing this grocer to hit the ground running. Meal kitting is likely in the cards for other grocers, but no great announcements have been made thus far.

And why not? Consumers want to be empowered by cooking but still need convenience. Instead of take-out, they will choose a meal kit which brings them pre-shopped, pre-measured, pre-everything so they can whip up an appealing dish in minutes, even with little or no cooking experience. Costs, however, are anywhere between $9 to $12 a meal, which makes this service prohibitive for many.

The other issue hitting this category quite hard is packaging. For assured freshness and food safety, ingredients must be thoroughly wrapped, making some younger, environmentally-conscious buyers less enthusiastic about their purchases. This is likely the biggest hurdle meal kits will need to overcome: the waste is astronomical. However, it’s important to highlight HelloFresh here as they are the first meal kit company to become carbon-neutral. In addition to this, they plan to significantly reduce food waste at their production facilities in 2021, making them the favorable choice among Canadians looking for a greener meal kit option.

Another issue is profitability. Goodfood is one of the largest meal kit providers in Canada. Even though is has tripled the number of its active subscribers, which reached a total of 76,000 recently, it is still losing money. Most are not making a profit which is peculiar for a new growing segment. But given the excitement around meal kits, most of these companies barely sweat to raise capital. The pressure to generate revenues is real without spending too much on marketing. As the market matures, only some will survive. But those partnering or working with large retailers have a greater chance of survival and of grabbing a decent share of the market. Grocers have never been great at food service either, so uniting forces only makes sense. Furthermore, grocers are starting to see meal kits as foot traffic drivers, a major advantage these days. This is what Gobble is doing with Walmart.

Despite the challenges, meal kits are facing relatively few headwinds. The food service and hospitality sector in Canada has been booming over the last few years, with growth exceeding 5% in 2017 and forecasted growth of more than 4% this year. Compared to food retailing, these numbers are spectacular. Grocers want into the food service game, and meal kitting is certainly one way to do it. What makes the meal kit case more compelling are the expected revenues for home delivery. In 2018, we expect Canadians to order $2.5 billion worth of food, an increase of 23% last year. The industry expects double-digit growth over the next few years.

In other words, people are eager to eat more at home, while forgoing the cooking. Canadians are still buying cookbooks in droves and watching a record number of cooking shows; however, meal kits are becoming increasingly popular.

But it doesn’t stop there. Ghost restaurants are also in vogue in North America and Europe. Unlike UberEats, for example, where consumers can directly connect with restaurants, there is no interaction between a ghost restaurant and the consumer. These are virtual eateries, for consumers who don’t want to cook at all. They can order from these establishments through third party applications. All for the sake of convenience. All of these service models eliminate the inconvenience of waiting in dining rooms for your meal. For the business owners, they solve the issues of extra labour costs to mitigate risks related to higher minimum wages, and most important, of choosing the right location.

But meal kits still do not resolve the age-old issue of dishes. You still need to clean up after you are done. Technology hasn’t solved this problem yet, but surely someone will come up with something soon.

Maritimes-Based Fashion Retailer ‘Envy’ Expands into Western Canada

By

Mario Toneguzzi

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August 9, 2018

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Women’s fashion forward retailer, Envy, which is based in the Maritimes, has expanded its presence to Western Canada with the opening of a store in the West Edmonton Mall.

And the unique retailer, established in 2000, is setting its sights on further expansion of the brand.

Jessica Wentzell, Director of Marketing for Envy, said Nancy Holmes, the company founder along with her husband Glen, saw a niche to target the fashion forward females in the Atlantic provinces.

“She’s really built quite a following here over the last number of years. In April, we opened up our West Edmonton location. So the key here is we’re going to be targeting an area that is very fashion forward. Edmonton is very fashion oriented. We thought it was a very good fit so we made the move out there. So that is our first technical Envy location in Western Canada. We’re super excited to be there.”

“We are loving being in Edmonton and we’re hoping to grow within the next couple of years . . . We will have other future plans happening out in the West as well.”

“We do have a sister company named Grace in Kelowna. She’s been there for about a year and a half now and that location’s been doing really well for us. Same sort of demographic. Same sort of brands and stuff in that location. Just a different banner.”

Grace has been in the Orchard Park Shopping Centre since last summer.

Wentzell said Envy carries many fashion forward popular brands such as Levi’s, Calvin Klein, Matt & Nat, Brunette the Label, Free People, Sans Souci, Dex, Fila, Mink Pink and more.

There are currently nine Envy stores in Halifax, Cape Breton, New Brunswick and some in the rural Nova Scotia market.

“We do have plans to open up actually a new location in Moncton in the middle of August. We’re in the middle of getting that up and running as well,” said Wentzell.

“As Envy expanded across Atlantic Canada, we continued to provide our shoppers with a unique boutique vibe, with high-end fashion pieces and a small business approach to customer service.”

Wentzell said Envy appeals to the woman who is looking for the newest trends.

“So we always say a trend setter versus a trend seller. A lot of the companies will be coming in once the brand is already popular. We try to get there beforehand. So we try to be a little bit more ahead of the game and find those brands that we feel are going to be coming up or the trends that are going to be coming up. We get them into the store beforehand and then we continue to develop through that trending period,” she said.

“So stuff like the Fila brand, the Free People brand, the Brunette brand that’s all something we tried to get ahead of the game and then we see it start to pop up in other stores. So then we need to find another brand to sort of stay ahead of the ball there.

“When we’re talking about the fashion forward female we always carry something that’s a little bit edgier as well. So you’ll see a lot of different stuff in our stores. We have high waisted jeans that we call like the mom jeans. A lot of destroyed jeans. Different details that you wouldn’t necessarily find in all the other ones like American Eagle and that sort of brand.”

Wentzell said the company’s research indicates that customers range in age from 15 to 65 plus.

“It hits the people who are looking for a trendier look and it doesn’t matter what age they are,” she said.

How Cameron Developments Built a Retail Powerhouse with Power Centres

By

Mario Toneguzzi

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August 9, 2018

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For the past 30 years, the Edmonton-based Cameron Development Corporation, a privately-held development company, has set its mark in the community with signature projects such as the South Edmonton Common power centre.

The company is focused on Edmonton and area development projects ranging from neighbourhood sites to regional power centres. It currently has multiple projects that are completed, under development, and proposed.

Harold Pacheco, marketing manager for Cameron Development Management Inc., said the company was established in 1979 after engineer Jerry Naqvi, its chief executive officer, moved from Pakistan to Canada.

Nordstrom Rack, opening in October at South Edmonton Common. Rendering Nordstrom

“South Edmonton Common was basically his big gamble. He put everything into that. Put all his money into growing the centre and with the success of it basically Cameron Development Corporation was born,” said Pacheco. “Because of the success of South Edmonton Common we’ve got over 20 retail centres in the Greater Edmonton Area.

“We’ve also spun off into two different areas. Cameron Development Corporation being our commercial real estate arm. We also started Cameron Homes in 2002 – residential single-family homes and duplexes. We have a residential developer, Cameron Communities, that started in 2011. And we have multi-family luxury rental apartment building division called Cameron Lifestyles which we started in 2014.”

Future expansion into the area of developing higher-density, mixed-use projects is also in the cards for the company.

It has developed a reputation for producing projects of the highest quality and standard. Cameron has developed, owned and operated some of the most successful retail projects in Canada, including South Edmonton Common, a 2.3-million-square-foot power centre that has become one of the largest and most successful retail developments in Canada.

The company is also currently under development with 14 retail centres, including Currents of Windermere (1.1 million square foot retail shopping centre), Manning Town Centre (850,000 square foot retail power centre), Albany Market Square (450,000 square feet Walmart-anchored shopping centre), and Harvest Pointe (370,000 square feet of retail area, including a 130,000 sq ft Walmart anchor).

Pacheco said the Currents of Windermere includes residential development and a Town Square green space area for people to gather and hold events.

He said a transit-oriented development is underway at Clairview Station in northeast Edmonton.

And Pacheco added that Centre in the Park is a mixed-use development in Sherwood Park with retail below and 80 rental units above.

Recently, the company announced South Edmonton Common, one of the largest open-air retail developments in North America, will get bigger in the fall with the opening of a Nordstrom Rack location in October.

The retail power centre, spread over 320 acres and containing more than 2.3 million square feet of dining, shopping and entertainment space, has developed a reputation of being the place where many retailers establish their first locations when they come to Edmonton.

The success of the company had its roots when Naqvi came to Canada in 1964. In 1973, he became Vice-President, Development at Allarco Developments Ltd. under the tutelage of Dr. Charles Allard before venturing out on his own and founding what is now Cameron Development Corporation.

Today, he is very involved in the Edmonton community through various committees and boards and volunteer work such as the University of Alberta Board, the Glenrose Hospital Foundation, the Interfaith Dialogue Committee, the Society for Development in Third World Countries, CNIB, and Catholic Social Services.

BRIEF: Copper Branch to Open 15 Locations, Sephora Opens 70th Canadian Store

By

Helen Siwak

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August 8, 2018

UPDATE: We’ve added an amendment to a previous version of this section of the Brief due to misinformation or an error, re: Copper Branch’s representation in Quebec:

Copper Branch Continues Its Plant-Based Hustle Across Canada and Beyond

Last April, when Retail-Insider reported on the Copper Branch plant-based take-over of Canada, there was an impressive 17 locations in Quebec and Ontario. Corey Bessner and Matthew Krantzberg of Core Consultants Realty have the exclusive mandate for Copper Branch in Quebec (other than enclosed malls and power centres of over 750,000 square feet) and have identified the opportunities and negotiated the deals in that province.

A mere four months later, there are 28 locations in the two provinces with 15 additional restaurants opening soon in Alberta and franchises have been sold internationally in France. Below is a list of some new locations.

Established in Montreal in 2014, the vegan eatery has tapped into a major food movement, offering a fresh alternative to the usual fast-casual fare, serving 100% plant-based power foods designed for health-conscious time-strapped consumers.

Copper Branch is already looking ahead and aims to have a presence coast to coast. Its immediate interest is to open in Vancouver and to continue to expand in Calgary, Edmonton, Toronto, Montreal, and Ottawa. Copper Branch continues its expansion with ideal spaces being 1,250- to 2,000-square-feet in open-air centres and office towers and 450- to 1,500-square-feet in enclosed malls.

Tony Flanz of brokerage Think Retail has handled a few deals on behalf of Copper Branch in Ontario and other markets.

The plant-based Copper Branch concept is shaking up the QSR experience, thanks to a strong vision, market insight, and experienced team. Founder Rio Infantino spent 25 years in the traditional fast-food franchise business before setting out to turn “real” food (nourishing gourmet power foods) into fast food designed to appeal to an audience hungry for clean, healthy meal options.

Opening Soon:

A few recent Quebec deals (handled by Core Consultants Realty) include the following, and there several other sites currently in negotiations in various parts of Quebec:

5520 Chemin Cote Des Neiges
3452 Park Avenue (September 2018)
5385 Queen Mary
2451 Notre Dame West
Les Galeries d’Anjou
1180 de Maisonneuve West

Ontario:

Hamilton – CF Lime Ridge Mall (Fall 2018)
Brampton – (Fall 2018)

Alberta:

Calgary – Intact Place, 21 – 6 Avenue SW (Fall 2018)
Calgary – Bankers Hall, 315 – 8 Avenue SW
Calgary – Suncor Energy Tower, 111 – 5 Avenue SW
South Calgary – 19489 Seton Crescent
Edmonton – South Edmonton Common 10008 – 22 Avenue NW
SE Edmonton – 10310 Jasper Avenue (Fall 2018)

France:

Brest (Fall 2018)
Annecy (Winter 2019)

Edmonton’s The Helm launching Private White VC Luxury Collection

This fall, one of Edmonton’s leading retailers of luxury menswear, The Helm, will launch an exclusive collection in a partnership with Manchester manufacturer and heritage brand, Private White V.C. The UK-based menswear company has created pieces for almost every established tailoring house on Savile Row and supplied outerwear for royalty and luxury brands over the last 165 years.

This will be the first Canadian collaboration and first-ever cold-weather collection for Private White V.C. with five exclusive pieces for this collection with Canadian climates in mind—the Cache Parka, the Nordegg Flight Bomber, and the Waterton Shirt Jacket—to name a few. The collection is a collision of Manchester UK and the Rocky Mountains with featured items including a luxury version of the iconic flight bomber in a charcoal Loro Piana Wool as well as an ink-navy waterproof parka.

Opened in 2012, founders Chad Helm and Brad Kahler combined their years of experience in luxury menswear to create The Helm. After many years watching the local market be underserved by the larger names, they set out to change the local scene because they knew Edmonton men deserved better.

The Helm is located inside the historic Armstrong Block building on Edmonton’s popular 4thStreet Promenade, a walkable neighbourhood of independent shops and eateries.

Allbirds is Flipping Out with Sugar Zeffer Powered Flip-Flops

At the beginning of August, Allbirds revealed its’ next greatest innovation and product–the Allbirds Sugar Zeffer powered by SweetFoam.

The Sugar Zeffer is a flip-flop, but since Allbirds is always looking to create better things in a better way, SweetFoam is the brand’s most revolutionary material to date. The sole is derived from renewable sugarcane and is the world’s first carbon-negative EVA, a component that is one of the most widely used in the footwear industry.

Every aspect of the Sugar Zeffer is bio-based or recycled providing comfort while leaving a light footprint on the planet and while the company says it is ‘no big deal’, for fans of great acting and environmentalism, big-name Leonardo DiCaprio has invested in Allbirds. The launch of SweetFoam is truly a game changer in the footwear industry as Allbirds plans on sharing the technology with the industry.

Allbirds is a San Francisco-based start-up that focuses on designing affordable environmentally-friendly shoes. They have created a movement that is inspired by natural materials rather than synthetics. Retail-Insider covered the launch of their first pair of kicks – sneakers made from merino wool – and loves that the brand also reimagined shoe packaging, where they only use 90 percent recycled cardboard boxes which act as both a shoebox and mailer all in one, cutting out the waste.

HBC’s ‘Discover This’ Pop-Up Celebrates Canadian Designers

Canadian fashion stalwart Hudson’s Bay has announced a new collaboration with fashion production and designer management firm, THE COLLECTIONS to launch a pop-up shop with 12 Canadian designers.

Launching in early September, this is the retailer’s fourth iteration of its pop-up series which is dedicated to showcasing Canadian design talent.

Five locations across the country, including two stores in downtown Toronto (Queen Street, Yorkdale), and one each in Montreal, Vancouver (downtown) and Calgary (Chinook Centre) will showcase 90 styles including women’s wear, men’s wear, unisex, and jewelry.

All stores will feature designers Mikhael Kale, Pedram, S.P. Badu, WIL Studios, WRKDEPT, Hilary MacMillan and Sid Neigum, with the Vancouver and Toronto Queen Street locations adding Atelier Guarin, Markoo, and NY-based Daniel Gregory Natale, and accessories by Biko and Cuchara.

As part of Toronto Fashion Week, the collaboration will be presented at the RE\SET Studio on September 4th at 7:30 pm.

Miniso Expands into Atlantic Canada

According to Halifax ReTales, value-priced Chinese variety retailer Miniso, which positions itself as a ‘Japanese lifestyle brand,’ is opening stores in Canada at a faster rate than was originally anticipated as it expands into new markets.

Next month, Miniso will expand into Atlantic Canada for the first time when on September 8, it opens at Spring Garden Place in Halifax. The first three customers will receive a “special gift” and the first 100 customers will receive a free gift, according to Miniso.

Miniso says that it plans to operate about 500 stores in Canada in the next three years — its products are branded and stores carry about 2,500 SKUs and to keep up with distribution, the company has announced it’s establishing regional logistics centres in Vancouver and Toronto to keep up with the rapid store expansion, which is primarily a franchise model.

Miniso currently operates stores in BC, Alberta, Ontario, and Quebec. Its first store in Canada opened in Vancouver in the spring of 2017. The company was co-founded in 2013 by Japanese designer Miyake Junya and Chinese entrepreneur Ye Guo Fu, and is headquartered in Guangzhou, China. MINSO’s goal is to open 6,000 stores globally by 2020, averaging 80 to 100 store openings per month. [Subscribe to Halifax ReTales]

Sephora Opens Landmark 70th Store in Kamloops, BC

On August 10th, Aberdeen Mall in Kamloops will welcome Sephora’s 70th Canadian location. The popular brand launched in a bountiful 3,420-square-foot location formerly occupied by Le Chateau and includes a 6-seat Beauty Studio, a 2-seat Skincare Studio and advanced iQ technologies such as Color iQ, Skincare iQ, and Fragrance iQ.

Clients can choose from an array of customized and one-of-a-kind services such as Mini Makeover, Mini Facial, Custom Makeover, Skin Fit (a spa quality 60-minute hydrating oxygen-infused facial), and the Benefit Brow Bar.

The LVMH-owned Sephora is the ‘holy grail’ of beauty experiences for trend hunters and carries exclusive brands such as Fenty Beauty by Rihanna, Huda Beauty, Fresh, Drunk Elephant, Bumble and Bumble, Atelier Cologne, and many others.

Sephora has been working with Jeff Berkowitz of Aurora Realty Consultants on its site selection/lease negotiations.

James Coleridge Is Whipping Up a Whole New Cone of Flavours

Having won over the hearts of Vancouverites with his old-world, hand-crafted and non-blasphemous gelato, Coleridge has announced that he will be launching a new venture named Uno Gelato this month.

Three locations in Kitsilano, Burrard Landing, and Stamps Landing will feature five vegan flavours and will reflect a European design with heritage elements, employ the finest Italian gelato production equipment, and will debut North America’s first Cattabriga gelato pasteurizer machine which has a homogenizer to create a smoother gelato.

Known for sourcing the cleanest of ingredients, Coleridge is working with new flavours incorporating Quesnel sourced birch syrup (instead of white sugar), East Vancouver’s Biota kombucha, raw coconut milk, and Canadian Springs water with activated charcoal.

Coleridge recipes have won 13 international awards year after year, beating the originators of gelato—the Italians—over and over.

Luxury Candle Brand Opens Beautiful 1st Retail Space

By

Craig Patterson

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August 8, 2018

Luxury candle brand KANDL Artistique has unveiled a beautiful new retail space in Toronto’s Yorkville area that is unlike anything in the country to date. It’s said to be the first fully customizable candle Lab experience in North America, where guests can choose, combine and create custom fragrances to create their own custom scented candle from start-to-finish. Located at 88 Avenue Road, the retail concept is a first of several locations expected for the unique concept store.

The space is contained in an historic Yorkville Victorian House and includes three concepts — a retail space, café-bar area, and ‘customization Lab’. The wood and marble-clad retail space at the front of the store displays candles from some of the world’s most prestigious brands in a variety of sizes, including some in-house designed candles that feature an array of Signature scents. The café-bar area near the centre of the store serves specialty coffees and teas, unique Parisienne inspired pastries, and even alcoholic beverages such as signature cocktails created by a top mixologist especially for KANDL Artistique to complement its five signature scents.

The ‘customization Lab’ towards the back of the building features a room that can be closed off for events, with the ability to host gatherings of individuals who can make their own candles. Already, corporate, wedding and other groups have been booking the ‘make your own candle’ suite, featuring a large table at the centre where guests can choose from a variety of scents and waxes to create a customized candle to take home. Guests may select from a range of fragrances, vessels and packaging and the entire process takes only 90-minutes where at the end, the customer can bring home a fully-cured candle.

The KANDL brand was founded in Toronto in 2017 by a company which has more than 40-years of history in the candle industry. Its founders say that they have “perfected the art and science behind candle-making,” and they now want to share that with all candles and fragrance lovers in Toronto.

KANDL Artistique

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KANDL says that it is a lifestyle-inspired candle company for the candle connoisseur, and some of the items on display are works of art worthy of being in some of the finest homes. Prices for candles at the store range from just under $100 to more than $500 for the largest designs. Luxury candle brands include names such as Cire Trudon, Fornasetti, Baobab and Jonathan Adler. KANDL also caters to weddings with its KANDL Wedding Collection — brides and event planners may choose from KANDL’s collections to decorate their events or to gift to their guests.

The retailer has its own in-house signature line of candles which are hand-poured in Toronto. KANDL uses the highest-quality glass in the world, hand-blown in Poland. KANDL’s five signature scents are custom-made and procured from the finest fragrance houses in the world, according to the company.

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KANDL is located across Avenue Road from the Yorkville Village shopping centre and is adjacent to the Annex residential area which houses some of Canada’s wealthiest and well-known individuals. The Yorkville area is seeing a transformation that includes new luxury retailers as well as a burgeoning population — the area will add several thousand new residents over the next several years, in condominium buildings with prices per square foot generally exceeding $1,000. One new project, at 50 Scollard Street, will have units priced between $4-million and more than $20-million each, for example.

The KANDL concept could be expanded into new markets in Canada as well as globally, according to the company, though it will first ensure that its concept is perfected in the new Toronto location. For those seeking unique and customized candles, KANDL is a unique experience that is currently only available in Toronto.

Report Reveals How Canadian Retailers Are Overcoming the Complexities of International Expansion

By

Craig Patterson

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August 8, 2018

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By Craig Patterson

A recent study by eTail Canada, sponsored by Radial, provides insight and benchmarks from Canadian retailers about their most pressing challenges to international expansion, and strategies to combat them. The report can be downloaded here.

According to the report, more than one-third of Canadian retailers have started to expand their business into the Asia-Pacific region, as well as into Central and South America. With such expansions, Canadian retailers are engaging in new competitive markets with uncertainty — unfamiliar customs are the norm, though there are tremendous growth opportunities. Canada is a small country and opening business up to international markets can be lucrative, if done right.

As part of its analysis, the eTail Canada study recognizes that creating a great customer service experience abroad requires analyzing challenges to international expansion, building multi-location fulfillment strategies, and understanding cultural differences that will affect brand performance. The report discusses some of the most pressing challenges including:

· Centralizing distribution to reduce capital expenditure and gain better control over the supply chain,

· Identifying unique consumer preferences in international markets, and

· Finding global expertise to reduce operational costs and acquire customers.

Download the study to uncover interesting and valuable information that can also be used as a benchmarking tool for retailers considering international expansion, or those that have already started.

Canadian Tire Partners with US-Based Petco

By

Craig Patterson

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August 7, 2018

Canadian Tire Partners with US-Based Petco

Canadian Tire has announced that it has partnered with US-based pet brand Petco, where Canadian Tire will exclusively carry Petco’s assortment of food, treats and accessories. It’s a significant move that adds competition to the already crowded pet-oriented retail market in Canada.

Beginning this month, Petco’s products will be offered in Canadian Tire stores as well as on the retailer’s e-commerce website. Canadian Tire says that the deal marks its entry into the ‘premium pet category’ while offering Canadian Tire’s ‘dedication to offering customers and pet parents high quality products at great prices’.

As part of the deal, Canadian Tire will exclusively carry Petco’s WholeHearted brand, which is a premium grain-free pet food line that is said to provide “superior nutrition affordable and accessible to more pet parents”, according to Petco. Starting in September, additional Petco products, including accessories, will be added to Canadian Tire’s pet assortment.

“As a leader in providing pet parents with everything they need to live healthy, happy lives with their pets, we’re thrilled to partner with Canadian Tire to bring the history and quality of the Petco brand to Canada,” said Rebecca Frechette, Executive Vice President and Chief Merchandising Officer at Petco.

The partnership makes sense. The pet industry is a multi-billion dollar business with about 57% of Canadian households having one pet. That number is said to be even higher for Canadian Tire shoppers.

“We know how important pets are to Canadian families so we’re thrilled to bring Petco’s offerings to Canadian Tire, where 65% of our customers are pet parents. Petco’s deep expertise in pet products, combined with Canadian Tire’s extensive reach in a thriving pet market is a powerful combination,” said Greg Hicks, President, Canadian Tire Retail. “Petco’s legacy as a global leader in pet products heightens the credibility of our suite of pet offerings, allowing us to strengthen an important category and expand our marketplace,” he said.

Privately-held Petco, based in San Diego, California, is considered to be a leading global pet speciality retailer with more than 1,500 Petco and about 85 Unleashed by Petco locations (a smaller-format neighbourhood concept) across the United States and Puerto Rico. It was founded in 1965 as a mail-order business selling veterinary supplies. The company also offers prescription services and pet supplies from veterinary-operated pet product supplier, Drs. Foster & Smith, as well as a range of pet care services and veterinary advice through its PetCoach platform.

The Petco Foundation, which is an independent nonprofit organization, has invested more than $200-million since it was created in 1999 to help promote and improve the welfare of companion animals.

There’s already a Canadian connection to Petco — in November of 2015, the Canada Pension Plan Investment Board (CPPIB) and CVC Capital Partners acquired Petco for US$4.6-billion. That followed a failed merger attempt with Petco and competitor PetSmart.

It’s uncertain if the Canadian Tire/Petco partnership could eventually lead to standalone Petco stores in Canada, and the current arrangement might even be more ideal. Canadian Tire has a network of stores nationwide that are accessible to many Canadians, providing Petco with an expansive distribution network without the costs, time delays or logistical challenges of launching its own network of retail stores. At the same time, many brands are going direct-to-consumer in order to avoid the ’middle-man’ costs which are typical with wholesale arrangements .

Canadians seem to love their animals. Research from the Canadian Animal Health Institute showed that in 2016, there were about 8.8-million cats in Canada, up from about 7-million in 2014. There are almost as many dogs — in 2016 there was an estimated 7.6-million dogs in Canada, up from 6.4-million in 2014.

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As well, according to a report in IBISWorld, the market for pet stores in Canada is more than $2-billion annually with a year-over-year growth rate of 3.8%, with almost 1,500 businesses employing nearly 15,000 people coast-to-coast. The same report noted that the most popular animals include cats, dogs, fish and birds. Higher household incomes and rising consumer confidence are said to be factors contributing to increased pet ownership and related spending in Canada.

The Canadian Tire/Petco partnership will no doubt seek to take a bite out of Canada’s massive pet business, which includes a vast network of standalone retailers as well as pet-related offerings in larger retailers such as Walmart and Loblaw. The top four standalone pet retailers operating in Canada, according to the IBISWorld report mentioned above, include PetSmart, Global Pet Foods, Mondou and Pet Value — their combined total market share in Canada in terms of revenue was at about 44.1% in 2018.

Numerous smaller chains also operate in Canada — names such as Petland, the Bone & Biscuit, Total Pet, Dogtopia and others can be found in regional markets. As well, there are plenty of independent pet retailers in Canada with one or a handful of locations.

Kusmi Tea Launches Multi-Location Canadian Expansion

By

Mario Toneguzzi

-

August 7, 2018

Kusmi Tea Paris, which has a history and tradition dating back to the Tsars of Russia in 1867, is expanding its footprint in Canada with plans to open a number of stores in the future.

The international brand opened its first location in 2010 in downtown Montreal on St-Denis Street.

In June, it opened it first flagship store at the CF Rideau Centre in the heart of Ottawa and plans are to open another store in Laval in October and a store in Toronto in 2019.

Ben Angeloni, co-owner of T Importation Canada which is overseeing the brand’s Canadian expansion, said the business plan is to grow the retail presence and the online presence across the country.

PHOTO CF RIDEAU CENTRE LOCATION IN OTTAWA

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“The online has been going very well and the retail presence we decided to test our mettle and open the first couple of stores closer to home. Therefore Ottawa and Laval,” said Angeloni. “And the plan is starting 2019 to do Toronto and then Calgary, Vancouver and beyond.”

“We need to get out West.”

Kusmi Tea Paris is already available in more than 200 points of sale in Canada and online at www.kusmitea.ca.

“Globally tea is one of the biggest beverages – second only to water,” said Angeloni. “It’s growing phenomenally in Canada. I think David’s Tea has done a fantastic job over the last number of years. They sort of democratized tea. And they brought a more premium tea experience than just buying the stuff at the grocery store.”

“They developed the market and are a clear leader and I thank them for all the hard work they’ve done. Kusmi is more premium. The brand has been around for 150 years and its success is based on its proprietary blend. Although we have the regular Earl Grey and breakfast the majority of our sales are on blends that are specific to Kusmi. And it’s recipes that date back to the forming of the company 150 years ago in Russia. When you taste a Kusmi, it’s a different experience than tasting something that you buy at David’s Tea or that you buy at the market. The flavours just jump out at you and it’s a much more premium experience.”

Tea leaves come from producing countries such as China, India and Japan. The blends are flavoured with subtle essences and the teas are packaged in traditional metal cans or muslin bags, which preserve the quality of the teas.

PHOTO (ABOVE AND BELOW): MONTREAL LOCATION

The company offers 100 varieties of high quality black and green teas, red teas and infusions using only whole leaves, all of which are produced near Le Havre.

Its history begins in 1867 when Pavel Kousmichoff founds the P.M Kousmichoff tea house in Saint Petersburg, Russia which became a favourite of the Tsars.

In 1917, The Kousmichoff family fled Russia in the wake of the Revolution and set up shop on Avenue Niel in Paris.

“The family business prospers, with boutiques springing up in the world. (In) 2003 inventive and cutting-edge, the Orebi brothers take the reins of the business with a single goal in mind: to make Kusmi the worldwide icon of premium teas,” says the company’s website.

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“In 15 years, the company has become established in 35 countries and opened 100 shops in France and abroad. With over 100 blends and single origin teas, Kusmi has emerged as one of the world’s great tea companies, employing more than 700 people and reaching sales of 75 million euros in 2017.”

Angeloni said there will always be consumers that buy large quantities of tea for a cheap price at the grocery store but many tea drinkers are also looking for a more refined experience, a more unique experience and a better quality for the tea that they drink.

“That’s the niche we’re hoping to fill,” said Angeloni.

“Elevating Cannabis Retail” Event at IRDC 2018

By

Craig Patterson

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August 7, 2018

attachment-5b69f063aa4a99c57e6d35e0 — exc-5b69f063aa4a99c57e6d35e0

By Craig Patterson

This year’s International Retail Design Conference (IRDC) is taking place in Seattle October 2-4 and the conference will include a separate pre-conference session that will discuss how retailers may elevate cannabis retail — a hot topic as legalization in Canada nears, and the United States expands.

The special pre-conference event takes place Tuesday, October 2, 2018 between 12:30pm and 7:30pm at the Motif Hotel in downtown Seattle. [Buy tickets here]

The intent of this newly-introduced session is to provide cannabis retailers with the critical information they need to leverage the mission-critical concepts and philosophies that are top of mind with today’s retailers. Numerous topics will be discussed, ranging from discussion of the latest retail and design trends to use of consumer data, with a focus on the latest and best practices.

Pre-conference co-chairs include Jennifer Acevedo, Editor- in-Chief, Visual Merchandising + Store Design (VMSD), and Megan Stone, Owner, Interior Designer, The High Road Design Studio. The program will also feature an array of respected authorities that will discuss actionable takeaways for those engaged in this burgeoning and dynamic industry.

Registration for this event also includes IRDC’s Opening Keynote with Mike Walsh, Futurist and Global Strategist and CEO of Tomorrow, plus IRDC’s Opening Reception. Optional pre-conference registration fee may apply.

(Below, photos inside of the beautiful Motif Hotel in Seattle)

The cost is US$195 for the October 2nd program only (including opening keynote and reception) or if combined with the full IRDC event taking place October 2 through October 4, the Elevating Cannabis Retail Event is free to retailers and $95 for non-retailers [Buy tickets here]

IRDC has extended its early-bird pricing for its full conference until August 15. The conference brings together some of the best minds in the industry, and is considered to be one of the world’s leading design events [Buy tickets to IRDC]

Furthermore, Visual Merchandising + Store Design (VMSD) is offering a free trial subscription for Retail Insider readers. The publication provides ideas and solutions to create unique, engaging, in-store designs and visual presentations. Every issue profiles the retailers, projects and designers creating inventive retail spaces. [Subscribe to VMSD here]

*Partner content. To work with Retail Insider, contact Craig Patterson at: craig@retail-insider.com.

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