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Canadian Retailers’ Imperative: Cross-Border eCommerce

By
Retail Insider
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By Sean McCartney, executive vice president of operations services at Radial. 

Retailers are faced with exceedingly high standards as juggernauts in the eCommerce world continue to expand and excel worldwide. Connectivity, mobility, and technology advances have increased our access to more products from myriad outlets (or shopping channels) and without the ability to quickly fulfill the order and quickly get it to the customer, it can be difficult to remain competitive. A recent Radial and eTail Canada study found that Canadian retailers still struggle to “break the border” to meet international eCommerce demands. Currently, 59 percent of Canadian retailers do not ship to the United States, and 61 percent of Canadian retailers do not outsource any aspects of their businesses. 

To remain competitive, Canadian retailers must prioritize cross-border eCommerce to meet the rising standard and reach of competing eCommerce companies worldwide. For Canadian retailers who are striving for a stronger, more robust cross-border eCommerce strategy, they should consider the following pieces of insight. 

Retailers cite numerous challenges with cross-border shipping. 

Retailers often forego cross-border opportunities for reasons such as their size limitations or because of regulations, cost, or shipping times. 16 percent of Canadian retailers also cite limited partnership capabilities as an issue. Whether because of their companies’ size limitations or because of regulations, cost, or shipping times, retailers that are not prioritizing cross-border shipping are nonetheless missing out on opportunities to tap into new and lucrative markets. 

Canadian retailers must consider outsourcing or expending their fulfillment network to break into U.S. markets.

As they continue to cater to local markets, Canadian retailers of all sizes predominantly use in-house fulfillment models. Currently, 59 percent of Canadian retailers do not ship to the United States and 61 percent of Canadian retailers do not outsource any aspects of their businesses. However, these retailers must transition toward outsourcing fulfillment options if they want to break into new international markets.  Leveraging partners who can provide multi-node, multi-tenant fulfillment enables the Canadian retailers to more efficiently fulfill orders and more cost effectively ship orders to various locations.  Leveraging higher volumes of a third-party provider helps optimize costs and enables retailers to more easily scale operations.  

Customer Service Channels are Essential to profitable expansion

Broadening customer service channels is the best means for Canadian retailers to reach international audiences. A great majority of retailers (85 percent) perform customer services in-house, with only 11 percent of retailers using both in-house customer service and outsourced models. Most retailers favor email and phone channels to provide customer care however they will encounter barriers to these channels when servicing customers internationally— whether through restrictive email regulations or long-distance phone expenses. Unlike email, and despite international limitations associated with in-house phone services, social media and chat capabilities provide customers with instant access to service representatives, no matter those customers’ locations. Facilitating these engagements allows companies to cost-effectively reach international audiences as they choose to expand. By outsourcing customer service, Canadian retailers can be enabled to overcome international limitations. 

Another way Canadian retailers should look to meet evolving customer demands internationally is to prioritize omnichannel capabilities. With limited physical presence in the U.S., Canadian retailers must fully invest in omnichannel capabilities so that customers in new markets can engage with their brands successfully. Omnichannel capabilities are in use by Canadian retailers – 29 percent offer ‘pickup in-store’ and 33 percent offer ‘ship-from store’ – however they will need to expand with ‘pickup in-store’ and ‘ship-to store’ especially. 

Cross-border eCommerce is the key to remaining competitive and profitable for Canadian retailers looking to compete with today’s retail juggernauts. To sharpen their competitive edge, Canadian retailers should consider partnering with a third-party customer service and fulfillment partner that can help them overcome challenges associated with international standards and fees. In doing so, they can ensure they provide always-on support for customers and offer omnichannel delivery capabilities to expand their footprint exponentially. By adopting these strategies and looking holistically throughout the entire customer journey – from the order placed, to the service interaction to when the package arrives –Canadian retailers can profitably succeed in the cross-border eCommerce game. 

Sean McCartney oversees Radial’s global operations, which includes managing the company’s fulfillment centers and customer care centers around the globe. He is responsible for designing the network strategy, driving efficient labor management, effectively managing capacity utilization, expanding and differentiating Radial’s transportation offerings, and growing the company’s customer care solutions. He has over 20 years of experience in global supply chain logistics, distribution, and operations. 

ECCO Shoes Continues Canadian Expansion with 7 Stores in 2018

By
Mario Toneguzzi
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Photo: ECCO

Footwear retailer ECCO, founded about 55 years ago in Denmark with a mission to produce comfortable shoes, is in expansion mode across Canada.

Jordan Searle, president of ECCO in Canada, told Retail Insider the brand, which has been here for 25 years, has been really well supported by retailers and will continue to expand its reach.

“It was distributed predominantly by wholesale originally and then over the years we developed retail as well,” said Searle. “So now our business is mostly balanced across wholesale distribution, retail and ecommerce.”

Photo: ECCO

There are 33 stores in Canada in the Greater Toronto Area, Ottawa, Quebec City, Montreal, Winnipeg, Calgary, Edmonton and the Greater Vancouver Area.

“This year already we’ve opened four stores. We opened at Scarborough Town Centre in Toronto, CF Richmond Centre in Vancouver, Park Royal in West Vancouver and we recently opened another outlet in Edmonton at the international airport,” said Searle.

“The latter half of this year we’re also opening up at CF Pacific Centre in Vancouver, Oakridge Centre in Vancouver, and CF Market Mall in Calgary. So this year we’re actually opening seven stores in total. That will bring us up to a total of 36 stores and then we are aiming by about 2021 to be between 43 and 45 stores.”

Searle said he wouldn’t consider the company’s expansion as rapid.

ECCO Advertising at First Canadian Place

“We see an opportunity to be represented in key areas in markets where we haven’t been represented before. There is a challenge in retail right now with a lot of more traditional retailers closing their doors unfortunately and that leaves a lot of our consumers without opportunities to buy out there,” he said.

“We need to ensure that we service our ECCO loyal consumers. It’s really about ensuring that we have distribution as opposed to an aggressive expansion across the country. We are not immune to the trends that we see in retail mainly that a lot of omnichannel and ecommerce is now something which is affecting certain bricks and mortar stores. So we’re very conscious of that but we do believe that we are under-represented as a brand in Canada.”

ECCO was founded in 1963 in Denmark by Karl Toosbuy. It’s still family-owned today.

“Mr. Toosbuy’s dream was to produce comfortable footwear. He was also very focused on controlling the entire process,” said Searle. “Just like in 1963, ECCO is still a vertically integrated company. What that means is we are producing all of our leather to make the footwear and we also make the shoes ourselves. And we also sell the shoes ourselves.

“And we distribute via wholesale, retail and ecommerce. The other thing about the product is that there is this Scandinavian heritage so it’s really coming from a heritage of form following function . . . We make comfortable shoes so people can perform in comfortable shoes.”

ECCO started out with 16 employees and one market. Today, it operates in 50 markets across the world with 17,000 members.

Photo: ECCO

The company prides itself on its passion for making great shoes from drawing the first lines of a shoe right through to selling them in its stores around the world.

“Unlike most other global shoe brands, we choose to operate our own tanneries and shoe factories. We control everything ourselves. Throughout our history, our philosophy has been to make shoes that are shaped to fit the foot, not the other way around. This is essential to who we are. It drives us forward and compels us to innovate. It is simple. We want to be the best shoe company in the world. With this vision, nothing is left to chance,” says the company on its website.

Inside Casper’s 1st Canadian Retail Space [Photos]

By
Craig Patterson
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Casper at CF Sherway Gardens (Image: Craig Patterson)

New York City-based sleep brand Casper has launched its Canadian store expansion with its first ‘sleep shop’ location at Toronto’s CF Sherway Gardens, which opens to the public on Tuesday, May 15. A second location in downtown Toronto will be announced shortly, and a national rollout is planned that could see Casper open stores in many of Canada’s major cities. 

The CF Sherway Gardens Casper spans just over 2,300 square feet on one level, and one of its aims is to create brand awareness while also offering the ability to try out Casper’s ever-expanding product assortment. Mattresses are displayed in four bedroom-like installations, and other products such as pillows, sheets, duvets, bed frames, and even dog beds are found in the store. Guests can purchase items from the store and bring them home immediately.

The space is designed to be interactive, and customers are encouraged to touch and try out products such as mattresses and pillows. Sleep pods towards the back of the store have curtains that can be pulled for privacy. Signage throughout the store explains the functionality of each item, educating consumers as they touch and feel products that have been traditionally only available online. The space can also be activated for events that may include a focus on sleep and wellness. 

CF Sherway Gardens Leasing Map
Casper at CF Sherway Gardens (Image: Craig Patterson)

The CF Sherway Garden Casper Sleep Shop is strategically located in the mall’s centre-court area, which acts as a meeting point with several hallways radiating from it. Retailers such as Lululemon, Links of London and De Beers are nearby. The mall, which is one of Canada’s most productive in terms of annual sales per square foot, over the past several years has seen more than $550 million invested into expansions and renovations, including the addition of new Saks Fifth Avenue and Nordstrom stores. 

General Manager of Casper Canada, Nicole Tapscott, explained how Casper’s business in Canada is growing quickly. It’s been so strong, in fact, that it necessitated opening a new Canadian headquarters for the brand, which will be announced at a later date in a space somewhere in Toronto. Casper will also begin manufacturing its products in Canada, creating about 75 jobs. 

Casper continues to maintain a partnership agreement with  Indigo Books & Music to stock pillows at 30 of its stores. This month, as well, Casper has announced a partnership with Canadian furniture retailer EQ3 which will sell Casper mattresses and pillows in selected stores, as well as online. 

Casper at CF Sherway Gardens (Image: Craig Patterson)
Casper at CF Sherway Gardens (Image: Craig Patterson)

Ms. Tapscott explained that the CF Sherway Gardens sleep shop will be the first in a national rollout that will see locations in cities nationwide. Toronto was used as a launch point and Vancouver is expected to be the next major market to see standalone Casper locations. And while CF Sherway Gardens is an enclosed mall, Casper is looking to open locations both in malls as well as on urban street front locations, depending on opportunity. 

Casper’s Canadian expansion falls on the heals of its US brick-and-mortar expansion — the first permanent US Casper sleep shop opened in February of this year in a 3,000 square foot space at 627 Broadway in New York City. Casper operates 18 pop-up locations in the United States, with that initiative having commenced in the fall of 2017. 

The company now boasts sales in the hundreds of millions of dollars annually, which is remarkable considering that the brand is about four years old. Casper, which is backed by celebrities including Leonardo DiCaprio, Tobey Maguire, Adam Levine and Ashton Kutcher, launched in 2014 as a direct-to-consumer online mattress retailer, with its product delivered in a “how did they do that?” sized box. Casper’s memory foam mattress comes in a variety of sizes, and the company has expanded its product assortment to include a “perfect pillow” pillow-in-a-pillow and soft, breathable sheets, frames, and even dog beds and other sleep-related products. 

Casper at CF Sherway Gardens (Image: Craig Patterson)

We first reported on Casper’s Canadian expansion in August of 2016, when the company unveiled temporary “snooze rooms” in selected cities, following a spring 2016 “Napmobile” tour that saw stops in Vancouver, Calgary and Toronto. Casper found that having a physical presence created consumer engagement and provided feedback not found online — not to mention, consumers enjoyed being able to test the popular memory foam mattresses prior to buying. In March of 2017, Casper launched its first retail presence in Canada through a partnership with Williams-Sonoma-owned retailer West Elm, in Toronto. 

As well, Casper unveiled its ‘Casper Cottage’ pop-up on Toronto’s trendy Ossington Avenue in July of 2017. In February of 2018, Casper announced its partnership with Indigo that was mentioned above. 

We’ll update this article as Casper expands its Canadian retail operations, including opening new retail spaces as well as its new headquarters and manufacturing facility. 

*All photos in this article were taken by Craig Patterson at CF Sherway Gardens in Toronto on Monday, May 14, 2018.

William Ashley Unveils Impressive New Bloor Street Store

By
Craig Patterson
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Upscale Toronto-based tableware and giftware retailer William Ashley has relocated its Toronto store to The Colonnade at 131 Bloor Street West, and the two-level space is impressive, to say the least. 

The new store spans more than 12,000 square feet over two levels. A street-level entrance welcomes customers into a 1,085 square foot space that features a Teuscher of Switzerland chocolate boutique (currently the only one in Canada) as well as escalators that lead to the dramatic second-level retail space that occupies almost 11,600 square feet. 

Soaring 23-foot ceilings, natural light, and impressive fixtures characterize the dramatic retail space, which is worth a visit for anyone who is in the area. There’s even an in-store café that serves tea and coffee complimented by Teuscher Chocolate, served with elegance in a dedicated section of the store that includes a series of south-facing, oval-shaped windows. 

Toronto-based DesignAgency designed the new space, which it describes as having “a series of modern contemporary fixtures, environments and experiences wrapped and woven over two floors through the heart of the landmark Colonnade Building on Bloor Street,” going on to say that its goal was “to create an enveloping environment that is the very definition of William Ashley – all the while allowing the array of stunning products to tell their own unique stories.”

Matt Davis, Principal at DesignAgency, explained how his firm worked with William Ashley to create the unique retail space. While smaller than the previous location, design efficiency allows the new location to function as a considerably larger store. DesignAgency examined the unique space and came up with innovative storage solutions and as well, the layout of the new store has a more efficient flow than the former Manulife Centre location. 

WILLIAM ASHLEY’S PRESIDENT, JACKIE CHIESA

Fixtures in the new store were created by Unique Store Fixtures Ltd. 

The process took about 3.5 years from site selection to completion, according to Mr. Davis, with construction taking about 11 months. The overhauled space was made possible by the fact that while The Colonnade’s exterior is heritage designated, its interior was fair game for a complete revamp.  

One remarkable feature of the store is its functionality — for example, tables in the store can be joined in the central galleria to create a dining room for 120 people. The space is designed to be able to host different ‘experiences’ and activations throughout the year. 

William Ashley’s president, Jackie Chiesa, explained how the new Colonnade store features enhanced customer service experiences that engages technology, personalized services (including wedding registry, corporate services and interior design) as well as an entirely new store design to showcase William Ashley’s prestigious assortment of goods. 

The store features some of the world’s leading tableware and giftware brands — strolling the space reveals brands such as Waterford, Hermes, Christofle, and Versace, and several new brands such as Jonathan Adler have been added in the new store. A roster of brands and offerings are available on William Ashley’s website.

The Colonnade, which some consider to be ‘ground zero’ for luxury retail on Toronto’s Bloor Street West, is owned and operated by landlord Morguard. Scott Harris, General Manager of Retail at Morguard, noted that “the Colonnade was Canada’s first mixed-use building featuring chic retailers.  From its opening in 1963 to today, an era of best-in-class retailers continues to serve the demands of Bloor Street shoppers seeking exceptional product.” Other retailers at The Colonnade include names such as Cartier, Mulberry, Escada, Black Goat Cashmere, Coach, Moncler and Prada, and towards the end of this year Christian Dior will unveil its largest store in North America in an expanded two-level retail space occupying the eastern-side of the complex. 

What’s interesting is when The Colonnade opened in the 1960’s, it originally operated as something of a ‘shopping mall’ with a collection of stores that spanned two levels, with a corridor in between. Prior to William Ashley’s construction, the second level featured a corridor with some smaller retailers, as well as the Herzig Eye Institute which has since relocated nearby. 

William Ashley relocated from the nearby Manulife Centre at 55 Bloor Street West, which is currently undergoing an overhaul costing over $100-million. The Manulife Centre William Ashley store closed at the end of 2016 and for over a year, it operated out of a 3,200 square foot pop-up space on the ground floor of The Colonnade, next to Italian luxury retailer Moncler. 

William Ashley was founded in 1947 by Tillie Abrams (who passed away in 2010), and opened its first Bloor Street store in the 1950’s. In the early 1970’s, William Ashley was the first store in Canada to offer a wedding registry service. William Ashley boasts the largest selection of tableware and home decor in the world, and this year marks the 70th anniversary for the venerable retailer. William Ashley moved into the Manulife Centre at 55 Bloor Street West in 1994, replacing former women’s luxury retailer Creeds which went bankrupt in 1991. 

Earl’s Unveils ‘California Beach Style’ Culinary Concept

By
Helen Siwak
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Earl's Ambleside Beach (Image: Earl's)

Earls Restaurant Group has launched Earls Ambleside Beach in West Vancouver, with a series of events which began welcoming private guests on May 5th with the public officially enjoying the location on May 9th. This is the first new Earls to open in BC since 2011 and has 189 indoor seats, more than 80 on the extensive patio, measuring about 7,000 square feet with an additional 200-square-feet of patio. 

Situated in the new Grosvenor development on the Ambleside seawall, the restaurant features prominent floor to ceiling windows, with an interior design best described as ‘West Coast Modern meets California Beach’.  It was the expansion into competitive US cities like Boston, Chicago, Dallas and Miami that convinced Earls that they needed to ‘unchain the chain’ to ensure each restaurant opened is independently compelling.

The location offers free wifi and is ideally located near transit and the nearby Sea Bus, Sea Wall, Park Royal Mall, Shipyards Night Market, and the Lonsdale Quay Market, making it an ideal location for dining and afternoon patio enjoyment.

Earl’s Ambleside Beach (Image: Earl’s)
Earl’s Ambleside Beach (Image: Earl’s)

This location is the first Earls to offer a plant-based section with seven vegan-friendly items including Crispy Tofu Tacos, Vegan Hunan Kung Pao and Korean Bibimbap. Beverages include an exclusive line of bottled cocktails created with Trash Tiki which are bottled in-house each morning, a curated wine list, and the restaurant will be eliminating disposable plastics straws from the bar entirely.

The west-coast themed menu, which was created by culinary development chef, David Wong, and will be managed day-to-day by head chef, Simon Zanotto and executive chef Phil Gallagher, who lives on the North Shore. It features exclusive dishes such as the Lobster and Pancetta Pizza, Salmon Zen Bowl, and The Grilled Avocado Brunch Bowl.

Earl’s Ambleside Beach (Image: Earl’s)

Earls also partnered with Vancouver artists including Andy Dixon, Fiona Ackerman, Ben Skinner, and  THRIVE Art Studio to build upon community, and actively supports the North Shore Rescue Association. 

Acorn Wood Designs, which was recently acquired by Peregrine, was responsible for most of the restaurant’s interior millwork and metal work. That includes tables, bars, the hostess station and wall paneling, as well as beverages stations, washrooms and doors. Peregrine confirms that high-quality finishes used in the space include walnut and oak, along with brass and powder-coated metal. 

Retail Space Available at Calgary’s East Village ‘VERVE’

By
Retail Insider
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VERVE is a 25-storey mixed-use building by FRAM + Slokker

Retail Insider has partnered with leasing newsletter Locations! and we’ll provide periodic updates on retailers’ expansions.

VERVE is a 25-storey mixed-use building by FRAM + Slokker with a tall, six-storey podium, main floor shops and restaurants. This mixed-use retail / residential condo project features main floor retail and restaurant space with 288 condos above. VERVE Q1 is located on ‘The Riff‘, a pedestrian walkway that connects the East Village with Downtown Calgary and the adjacent St. Patrick’s Island and Fort Calgary.

The commercial space will be available late summer 2018. The listing agent has retail and restaurant leasing opportunities starting at 850 square feet. However, one opportunity should be on everyone’s list. It is a restaurant space of almost 2,600 square feet plus a patio — unit 129 on the lease plan below. 

VERVE is a 25-storey mixed-use building by FRAM + Slokker
VERVE is a 25-storey mixed-use building by FRAM + Slokker

The VERVE restaurant leasing opportunity is situated on the Riff. Like a guitar string ready to reverberate, the Riff runs through the heart of East Village. A pedestrian walkway that runs at an angle and the VERVE condominium tower plays a smart tune off that Riff. Riff is a word which means musical improvisation and VERVE is the name of an edgy kind of record label for jazz artists, which of course ties in with ‘riff.’ The Riff is pedestrian only and lined with shops, boutiques, cafes and restaurants. Adjacent to VERVE will be the upcoming Vibe mixed-use mid-rise project also by FRAM + Slokker.  

The East Village district has gone through many improvements since 2007 as part of the Rivers District Revitalization Plan carried out by Calgary Municipal Land Corp. (CMLC). This includes $357 million of new infrastructure and development programs which CMLC says has helped bring in about $2.7 billon of new development. The revamped Simmons Building, The National Music Centre and the $245 million New Central Library also brings life to the East Village.

Contact: Michael Kehoe, Fairfield Commercial Real Estate. 403-263-4100.

Email: mike@fairfieldcommercial.com. 

BRIEF: Deciem Secures 3rd Vancouver Store, Party Expert to Open 10th Store in Quebec

By
Helen Siwak
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BRIEF: Deciem Secures 3rd Vancouver Store, Party Expert to Open 10th Store in Quebec

Deciem Secures 3rd Vancouver Location for Summer Opening

Super-popular self-proclaimed “Abnormal Beauty Company” Deciem is opening stores worldwide to enhance brand awareness, and part of the strategy is to open multiple locations in each city it enters in order to be seen by a wider variety of potential consumers. 

The company has already opened two stores in the Vancouver area — one at 408 Howe Street in downtown Vancouver, as well as a second location at Metropolis at Metrotown in Burnaby. Signage is now up for a third store at 2985 Granville Street in the tony ‘South Granville’ shopping area located just north of super-wealthy Shaughnessy on Vancouver’s West Side. CBRE’s Mario Negris and Martin Moriarty negotiated the Granville Street deal. 

Deciem is gaining a cult following in cities like Toronto, where it launched its first store in the summer of 2016. Deciem now has seven stores in the Greater Toronto Area, including urban street front, in a mall (Square One), in the Financial District, and even a massive space in Toronto’s Distillery District. Stan Vyriotes and David Wedermire of DWSV Remax Ultimate Realty Inc. represented Deciem in five of its Toronto lease deals, as well as for a handful of international deals. 

Deciem’s popularity continues to grow in leaps and bounds, propelled by affordably-priced products that are known for their high-quality ingredients. 

Downtown Oakville Sees 2 New Pop-Ups, courtesy of pop-up go

Temporary retail space connector popup-go, in partnership with Bentall Kennedy, announced the openings of two innovative new pop-up spaces in fashionable downtown Oakville. From April 1 to June 16, fashion designer Tara Rivas has opened at unit 103, 125 Lakeshore Road East. Ms. Rivas is a well-known Canadian fashion designer and for the Oakville pop-up, she partnered with mother/baby brand Poppys Collection, which is a Canadian online boutique with a unique twist — all pieces of their collections are designed or made by mothers, and quality is so exceptional that items are meant to be passed down. An organic food company will be joining them soon. 

Nearby, Pink Frog has unveiled a pop-up at unit 137, 131-139 Lakeshore Road East. Founded by Renée Gratton-Veaudry, Pink Frog is known for its fun pet accessories and for the Oakville pop-up, the company partnered with Baie Run, which sells care products and a number of treat brands like True Raw Choice. Watch for the space to be activated with all kinds of pet-related activities in the pop-up that will operate from May 1 to May 31. 

pop-up go is an online platform that helps pair retailers with available temporary retail spaces, which also features a curated pop-up match service that provides access to the ever-growing pipeline of pop-up seekers looking for space. 

Miniso Opens 1st Store in Downtown Toronto

Value-priced Chinese variety retailer Miniso is rapidly expanding its Canadian operation with new stores. This week, the company revealed its first location in downtown Toronto at CF Toronto Eaton Centre and as expected, the store is already very busy. 

Downtown Toronto is growing rapidly and it already contains more than 250,000 residents in a relatively small area. It’s also Canada’s biggest employment centre, featuring a mix of head offices, financial and other business services, universities and hospitals — no doubt more Miniso stores will open as downtown Toronto sees a population explosion with new condominium buildings sprouting up throughout. 

CF Toronto Eaton Centre is North America’s busiest mall, with more than 50-million annual visitors, according to Retail Council of Canada’s latest Shopping Centre Study. 

Miniso opened its first Canadian stores in the spring of 2017 in Vancouver, where it continues to expand rapidly. The company says that it plans to open as many as 500 locations in Canada in the coming years. Miniso’s product offerings are also extensive, including home goods, kitchenware, underwear, cosmetics, toys and even electronics. Products are branded by name and are considered to be of exceptional quality for the price. 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. 

Party Expert Bringing the PARTYYYYY to Quebec City with Espace Bouvier

On June 16th, store owner and CEO Lynda Bouvier will throw open the doors and release the clowns at the launch of Party Expert’s Espace Bouvier in Quebec City. The colossal event will begin with a ribbon cutting ceremony at 9 am at 4825 Boulevard Pierre-Bertrand, followed by photo ops with pop-culture action hero HULK and his family of Super Hero Avengers, face-painting, and entertainment. The first 50 people to arrive will receive Party Expert Gift Cards between $10 and $100, the first 200 people to receive toys from Hasbro®, access to show-stopping cake fountains, balloons, and a 25% discount on everything except balloons.  

The Espace Bouvier is the 10th store province-wide owned by the Bouvier family and by far the most innovative. Bouvier has taken a different approach by designing it as a boutique-style shopping experience in an expansive 10,000-square-feet of retail space. 

The chain features an unbelievable selection of themed party supplies, personalized and super shape balloons, extraordinary costumes and accessories that are sold all year round, toys by Hasbro® and so much more, as well as its own private label French-language collection that debuts with this launch. 

The company is locally focused, leads the global trend in creating ‘personalized’ items, offers a wide range of French-language product which includes a private label exclusively designed by Bouvier, and offers the accessories to customize events to make celebrating special days even more memorable.

Fast facts collection website about Party Expert – they have 50,000 products, 3,308 costumes, 15,466 costume accessories, 30,000 latex balloons, 5,000 metallic Mylar balloons, 300 latex balloon models, 43 licensed party collections for children, more than 2,000 units of candy, 305 oz of slime, more than 1,200 Hawaiian leis, 20 colors of disposable tableware, and over 60 party themes!  

Sweet Jesus Bringing Finger-Licking Salvation to Vancouver

Known for their irreverent style, controversial marketing, and outrageous ice cream treats, Toronto-based Sweet Jesus will finally open up a shop in Metropolis at Metrotown in Burnaby this July.

Sweet Jesus is known for their eye-catching over-the-top decked out cones like the Birthday Cake (vanilla soft serve, cream cheese icing, birthday cake bits, rainbow sprinkles) and the Hella Nutella (chocolate and vanilla twist soft serve, Nutella, wafer cookies, Corn Flakes, toasted pistachios). Also offered are extremely loaded shakes, Cake Batter Hot Chocolate, bottled Holy Water, and take-out pints.

Sweet Jesus’ creamy treats are currently dispensed at 17 locations (permanent, pop-up, and food court) in Canada primarily in Ontario, with one 394-square-foot shop in the Southgate Centre food court in Edmonton.  

Parent company Monarch & Misfits itself started as a pop-up and now has four food-based brands – Sweet Jesus (Soft Serve, Espresso, and Dessert), La Carnita (Mexican Street Food), Home of the Brave (Southern Cooking with Northern Hospitality, and Good Fortune (Late night cocktail and snack bar).

The chain is also confirmed to open several more locations including a second Edmonton location in the West Edmonton Mall and continues to target high profile street front units and kiosk sites (700 to 1,200-square-feet) in enclosed malls as well as some select markets including Yonge and Dundas in Toronto, Robson in downtown Vancouver, Whistler, and Banff. 

Plans are in the works for expansion in the United States, and oversea’s in Dubai, India and Bangladesh which will have them scooping up under the ‘Sweet Salvation’ banner.

Chanel Recreates Coco’s Deauville Promenade with Beachy Pop-Up

Chanel is popping up with ‘Les Beiges à la Plage’ in downtown Vancouver within the skybridge connecting Holt Renfrew with CF Pacific Centre. Created to celebrate the release of Chanel’s new ‘Les Beiges’ collection, the temp beauty boutique has been designed to recreate the sentimentality of Deauville, a seaside resort on France’s northern coast where Coco Chanel, then known by her given-name of Gabrielle, opened her first boutique in 1913.  

The skybridge contains individual cabanas for personalized make-up consults and make-overs, sea-side canvas lounge chairs, and a tableau with umbrella’s, Chanel surfboard and white fencing which gives it the air of exclusivity and is a perfect background for faux-beach selfies.

Until June 3rd visitors to the Chanel pop-up will enjoy complimentary services such as flash lip application, micro hand-massage with camellia micro-droplets from Hydra Beauty, and CHANCE fragrance consultation. There are two services that require appointments – Express Nail Art Application with Chanel technician and small groups of 2-4 persons can create their own personalized MakeUp Master Class to experience an immersive journey into Chanel’s summer palettes with friends. 

The Holt Renfrew skybridge is becoming a hotspot for pop-ups with Tiffany & Co’s seasonal market with giftwares and accessories and Prada’s 1950s style accessories cafe complete with human-sized robot keychains.

The Increasingly Bleak Outlook for Canadian Grocery Stores

By
Sylvain Charlebois
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EMPTY GROCERY STORES COULD BE A SIGN OF THE FUTURE AS GROCERY STORES STRUGGLE TO MAKE PROFITS AND CONSUMER PREFERENCES FOR MORE CHOICE AND SERVICES, INCLUDING ONLINE SHOPPING, EVOLVE. PHOTO: CLARK YOUNG/UNSPLASH

Retail food prices are not moving much these days. They are barely higher than last year, with a modest increase of 0.5 per cent.

In fact, according to Statistics Canada, prices dropped over all by 0.7 per cent over the winter months. South of the border, U.S. grocers are dealing with the same issue. Since our economy has some momentum, you would expect food retail prices to inch higher. But they are not moving, and for several reasons.

Grocers will always pick the right time to raise prices. Unemployment is near historic lows, consumer confidence is relatively high and inflation is inching upward — normally, these are perfect market conditions. Not so at the moment.

For one thing, both Walmart and Amazon are at war trying to attract customer loyalty through online strategies. Walmart’s online food sales were disappointing in the last quarter, but sales are growing nonetheless.

And generic brands are becoming increasingly popular as consumers trade down. Brands are becoming less important to a growing number of consumers, so trading down has become less embarrassing and more of a statement consumers want to make while shopping.

Loyalty — the most powerful tool a grocer needs to increase sales — is almost non-existent nowadays. The power has now firmly shifted into the hands of consumers, and grocers know it. With interesting tweaks to their strategy, profits are still there, but market shares are not.

Cutting costs

Walmart vs Amazon

For the past few years, grocers have been cutting costs and passing the savings onto consumers, all the while hoping that the perfect inflationary environment would return so that they could raise prices again. The return of food inflation was exactly what the grocery industry was hoping for, but so far, results have been disappointing.

What they did not expect was to lose the ability to increase retail prices. With higher general inflation, costs are increasing and grocers are now getting hit in more ways than one.

Grocers can try to justify their poor financial performance, citing higher minimum wages and how much pressure they are under, but top-line growth revenues are painfully idle for most of them. All grocers are moving aggressively on their online strategy, and all are also looking at home delivery, as soon as possible.

In many markets — Toronto, Guelph, Ont., Halifax, Vancouver, among others — the number of stores is increasing. There are almost 39,000 food and beverage stores in Canada, which is up more than five per cent from about two years ago.

It seems some grocers are remaining in this funk of building new stores just for the sake of it. Bricks-and-mortar stores may remain a sign of business success from the perspective of some executives, but this just isn’t true anymore.

Pressures are also coming from the online market, as more small- and medium-sized companies are chipping away at market shares in some specific food categories. It’s not just Amazon, but a portfolio of intriguing small companies using virtual platforms to brand and commercialize high-value products that cannot be found elsewhere, like Bonduelle or Naak.

Innovation could lead to growth

Innovation is always seen as a logical path to growth in the grocery business, but how we define innovation in food is also changing.

Many innovative products are becoming known in Canada, like the cricket-protein bars sold by Naak, but most are not sold by major grocers. They are sold online or through independent shops.

This is another major problem that grocers in this country will need to fix and quickly. If grocers’ capacity to increase revenues is hampered by more competition, the consequences of these pressures will be shared with food processors and others in the supply chain. To make matters worse, relationships within the food value chain have not been great in recent years.

Despite the food retailing woes we are seeing in North America, food services is a different story entirely.

Prices have gone up by more than four per cent since the beginning of the year, and the sector is not showing signs of slowing down.

The convergence between retailing and service will be a definite attraction for a food-retailing sector desperate for growth.

2018 Global Retail Trends and Innovation: Winner Announcement [Video]

By
Retail Insider
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2018 Global Retail Trends and Innovation: Winner Announcement [Video]

Youtube video

This is the first of five videos describing some of the world’s top retail trends, as presented by John Williams and Maureen Atkinson, Senior Partners at J.C. Williams Group. 

The consultancy is part of the bigger Ebeltoft Group, which has released its 2018 Global Retail Trends & Innovations Report. This book highlights some key insights into what innovative retailers are doing around the world. The release includes these five video discussions as well as a free downloadable version of the book, available here. 

This video provides an overview of the 2018 Global Retail Trends & Innovations Report’s first section, including naming the ‘Retail Innovation of the Year’ — San Francisco-based b8ta, including an overview of why the retailer is a shining example of retail leadership. With just nine stores in the United States, b8ta could become a terrific addition to Canada’s retail scene if the retailer finds the opportunity to move north of the border. 

Feel free to comment below the video, and next week we’ll showcase the 2018 Global Retail Trends & Innovations Report’s first of four ‘hot trends’ for 2018 that will include a discussion of ’Smart Shopping’. 

[Download the full report]

Ermenegildo Zegna Launches Canadian Store Expansion in Unique Partnership

By
Craig Patterson
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Iconic Italian luxury brand Ermenegildo Zegna is expanding its Canadian operations this year with a new standalone flagship in Toronto, as well as a renovation to its Vancouver store. More standalone stores could be on the way in a unique partnership with menswear retailer Harry Rosen. 

Construction signage is now up on the one-level space that will feature a two-level branded Zegna facade.

Harry Rosen has had a partnership with Zegna brand for decades and the boutique expansion is a natural progression, according to Harry Rosen CEO Larry Rosen. “My father was the first retailer to introduce Ermenegildo Zegna to North America in the early 1970s,” said Larry Rosen. “He recognized the inherent quality and craftsmanship that the Zegna family offered. Our families have been in business ever since. We’re so honoured that the world’s most prestigious menswear brand has the confidence in our organization to execute their vision for global retail in Canada on their behalf.”

The 3,000 square foot Toronto flagship will be located at 100 Bloor Street West, in a retail space next to the Hermès flagship which opened in November of 2017. Zegna’s retail space will occupy an eastern portion of a retail space formerly occupied by Pottery Barn, which occupied a landmark site featuring a reproduction of the former University Theatre facade characterized by an undulating cut-marble base, cantilevered canopies, and two-story granite framed windows. CBRE Toronto negotiated the Toronto Zegna deal under the direction of Arlin Markowitz. 

Zegna, at the left in this photo circled in red, is only about 180 feet west of Harry Rosen’s Blooor Street West flagship.

Harry Rosen’s 55,000 square foot multi-level flagship, located at the northeast corner of Bloor Street West and Bellair Street, is about 180 feet east of the new Zegna boutique. Harry Rosen’s second-level includes a recently renovated roster of some of the world’s top luxury brands for men, including an impressive Zegna boutique that will continue to operate after the standalone store opens. The shop-in-store was the first in the world to feature Zegna’s updated design and according to Larry Rosen, the new Bloor Street Zegna flagship will take the design “to the next level”. 

Part of the strategy is to attract shoppers seeking the “pure” Zegna experience and the company is seeking to operate standalone stores in the world’s major cities — there are plenty of fans for Zegna, which is considered to be one of the world’s leading luxury brands for men. Rosen’s shop-in-stores offer “the Harry Rosen experience” which includes its exceptional customer service and Mr. Rosen says that in the case of Zegna, which is one of the world’s most popular men’s luxury brands, there’s room for both on the Mink Mile. Not to mention, Zegna is also the top selling brand in the Harry Rosen chain, which boasts seven Zegna shop-in-shops across the country. 

Harry Rosen also operates a standalone Zegna boutique at Vancouver’s CF Pacific Centre. The 4,500 square foot store, which is located across the hall from Harry Rosen’s CF Pacific Centre flagship, will see an overhaul that will bring it in line with Zegna’s newest global flagships. Interiors of both the Vancouver and Toronto Zegna boutiques will be designed by Zegna, based on a design concept by internationally-acclaimed architect Peter Marino, who has designed some of the world’s most spectacular stores and is considered by many to be a genius. 

The Bloor Street Zegna is now under construction, with completion expected late summer/early fall. The Vancouver renovation will be completed some time in the fall of 2018.  

The partnership makes sense, according to Mr. Rosen. Harry Rosen has sold Zegna for years and given its knowledge of the brand as well as its established distribution channels makes the arrangement strategic. 

More standalone Zegna boutiques could open in Canada, according to Mr. Rosen, though nothing is confirmed as of yet. Harry Rosen is also considering opening standalone boutiques for some of its other leading brands (including Dutch custom menswear brand Atelier Munro). Harry Rosen is considered to be one of the world’s top multi-brand menswear stores and some of its brands do very well — the Tom Ford boutique at its Bloor Street store competes for top sales globally with shop-in-stores at Bergdorf Goodman in New York City and at Harrod’s in London, according to Mr. Rosen. 

We’ll update this article with new ones when both Zegna stores are completed, including showcasing photos of the new Peter Marino-designed retail spaces. 

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