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Seafood City Launches Canadian Expansion with 1st Store [Photos]

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California-based Filipino grocery chain Seafood City has opened its first store in Canada. Considered to be ‘more than just a grocery store’, the wildly popular concept is expected to open locations in selected markets nationwide. 

Located at Heartland Town Centre in Mississauga, the new 50,000 square foot Seafood City store features fresh seafood as well as meat, fruits and vegetables, and “special spices and ingredients that Filipinos grew up with and have learned to love,” according to the company. Included are “Traditional products that they have missed and remind them of home, but also new products from the different regions of the Philippines”. 

The store also houses four fast-food restaurants — Grill City, Noodle Street, CrispyTown, and Jollibee — the latter will open in early 2018. The store also includes locations for Valerio’s Tropical Bakeshop, TFC (The Filipino Channel), Atlas International Courier, and the Philippine National Bank.

The company was founded in San Diego in 1989. Seafood City is considered to be America’s first and leading Filipino Asian supermarket chain, with 24 stores in California, Nevada, Washington, Hawaii, and Chicago. But it’s not just a supermarket. “Our plan is always to be a Filipino town center, a one-stop hub where our beloved customers can go to for their basic needs. So, we bring in with us our allied partners that offer the usual services and products our customers need,” says the company. 

Mississauga was chosen for Seafood City’s first Canadian store because of the Greater Toronto Area’s large Filipino community. The Greater Toronto Area is home to about half of the country’s 700,000 Filipinos, with Vancouver and Winnipeg also having significant populations (and therefore likely being targets for Seafood City stores). Winnipeg was the first city in Canada to get a standalone Jolliebee restaurant. 
 
Heartland Town Centre is an outdoor retail power centre, boasting over 2 million square feet of retail space and about 180 stores, including multiple anchor retailers. Nordstrom Rack will join the mix when it opens its second GTA store in the fall of 2018. 

“It’s extremely exciting to have Seafood City open their first Canadian store in Mississauga to serve the large and growing Filipino community in the Greater Toronto Area. A new generation of foodies will enjoy the new and diverse options offered by this Filipino-oriented grocery store,” said Louroz Mercader, co-founder of RISE Tribe — a  Filipino youth mentorship program based in Mississauga. 

Seafood City says that while no other locations have been secured in Canada, the British Columbia Lower Mainland is a target for a location, and the Greater Toronto Area is also likely to see more. Greg Rabin of Paracom Realty represents Seafood City, and negotiated the Heartland Town Centre deal on behalf of the retailer. 

The Mississauga store will no doubt be a hit. According to Seafood City, after it was announced that the retailer was coming to Mississauga (we wrote about it first in February of 2016), tens of thousands of Filipinos around the Toronto area have already signed up for Seafood City’s SUKI Card membership program. Retail is alive and well when it’s done right, and offers what consumers want. 

Sears Canada Announces 11 Store Closures

Image: Sears Canada

Sears Canada has announced that it will close 11 of its stores across the country, as the company continues to fight for survival after filing for bankruptcy this summer. Several of the announced locations are in significant shopping centres, providing opportunities for redevelopment. Of the 11 announced locations, 10 are full-line Sears stores, and one is a Sears Home Store. Leases will be returned to their respective landlords. 

The company announced the store closures in a press release on the evening of Friday, September 29, also noting that the company has also entered into an agreement of purchase and sale relating to its Garden City Shopping Centre location in Winnipeg, and has entered into a lease transfer agreement relating to the small-parcel fulfillment centre in Calgary. As part of the store closures, an additional 1,200 people will lose their jobs. 

The 10 full-line Sears Canada stores announced for closure include the following: 

Nanaimo North Town Centre, Nanaimo, BC
Brentwood Town Centre, aka ‘The Amazing Brentwood’, Burnaby, BC
Orchard Park Shopping Centre, Kelowna, BC
CF Polo Park, Winnipeg, MB
CF Lime Ridge, Hamilton, ON
Oakville Place, Oakville  ON
CF Fairview Mall, Toronto, ON
Scarborough Town Centre, Toronto, ON
CF Fairview Pointe-Claire, Montreal QC
Avalon Mall, St. John’s, NL

As well, a separate Sears Home Store will also close at Kelowna’s Orchard Park Mall. 

Landlords will need to identify opportunities to fill these locations, at a time when some are still struggling to tenant spaces vacated by Target in 2015 — Target shuttered all 133 of its Canadian stores when it exited Canada after suffering considerable financial losses. Several of the malls announced above are actually very strong centres, according to Retail Council of Canada’s Shopping Centre Study (the 2017 report will be released in November). The following is a discussion of the malls where Sears is closing, including challenges and opportunities. 

Nanaimo North Town Centre, Nanaimo: The 600,000 square foot mall will lose its only major fashion anchor with this closure. Other anchors include Lowe’s, London Drugs, and a freestanding Canadian Tire store. 

Brentwood Town Centre, Burnaby: Now being overhauled and rebranded as The Amazing Brentwood, it was unclear if Sears would have remained as a tenant here regardless — the centre is being positioned as being more upscale, in partnership with L Catterton group, the private equity firm associated with French luxury conglomerate LVHM. While luxury brands will be added to the expanded centre, landlord SHAPE says that there will be retailers at a variety of price-points. 

Orchard Park Mall, Kelowna: Kelowna’s leading mall will lose one of two fashion anchors — Hudson’s Bay will continue to operate in the centre. Sears operates a fashion store and a separate Sears Home store in the mall, which is also anchored by Sport Chek and Best Buy

CF Polo Park, Winnipeg: This could be a blessing in disguise — CF Polo Park is one of Canada’s most productive malls, according to Retail Council of Canada’s Shopping Centre Study. Sears’ occupies 263,240 square feet of space in the centre, and its space could be developed to house more productive retailers, as well as to add new retailers currently not available in the Winnipeg market. 

CF Lime Ridge Mall, Hamilton: Hamilton’s leading mall is seeing exceptional gains in productivity, and its 143,640 square foot Sears space could provide redevelopment opportunity that could include adding some retailers that are currently not available in Hamilton, such as Zara. Sears occupies a strategic location at the end of the mall adjacent to a large H&M store. Other anchors at CF Lime Ridge include Hudson’s Bay, Home Outfitters, and Sport Chek. 

Oakville Place, Oakville: RioCan’s Oakville Place will lose one of two major fashion anchors — Hudson’s Bay will remain in the centre, along with H&M, Sport Chek and an upscale Pusateri’s Fine Foods store that opened in the summer of 2016. Oakville is one of Canada’s wealthiest communities, located between Toronto and Hamilton. 

CF Fairview Mall: The Toronto mall is one of Canada’s most productive, with annual sales per square foot close to $1,000. Hudson’s Bay is the mall’s other major anchor, with 152,400 square feet of space over two levels, and the mall also features a large Cineplex Cinema. In the past, rumours circulated that Saks Fifth Avenue would replace Sears’ 149,550 square foot space in the mall, though nothing is confirmed. 

Scarborough Town Centre, Toronto: The popular and highly productive mall, located at the heart of Scarborough, is also anchored by Hudson’s Bay and Walmart. Sears occupies a 231,500 square foot space in the busy centre. A couple of years ago, La Maison Simons’ President Peter Simons revealed that he was negotiating to open in the mall, though the retailer has slowed its plans to open new stores, instead focusing on renovating existing locations while opening a new distribution centre. Nordstrom was also said to be a contender to move into the mall as part of its Canadian expansion, though Nordstrom has also halted opening full-line stores in Canada as it begins the rollout of its Nordstrom Rack banner in Canada in early 2018. 

CF Fairview Pointe-Claire, Montreal: The suburban Montreal mall will lose its largest anchor when its 181,800 square foot Sears location closes. Hudson’s Bay is the mall’s other main fashion anchor, with smaller anchors including Winners, Déco Découverte (Home Outfitters), Best Buy, and Sports Experts

Avalon Mall, St. John’s, NL: This is unfortunate news for the mall, and the city — Sears is currently the primary fashion anchor at the mall, with 129,000 square feet of space, with Winners and Cineplex also anchoring the productive centre. St. John’s has a metro population of just over 200,000 people, and it lacks a Hudson’s Bay store — Sears is the only traditional department store left in the city, though smaller retailers and off-price stores will continue to operate when it closes. 

Court approval is required prior to store liquidations, and the closures will result in 1,200 job losses. That’s in addition to 2,900 previously announced job losses, when Sears closes 59 smaller stores this weekend. About 12,000 people continue to remain employed with Sears Canada. 

Sears Canada filed for bankruptcy protection in June of 2017, following comments that it had “significant doubt” about its future as a retailer. The company is seeking a buyer, though it’s unclear who would purchase the company in its current form. In the press release, it was revealed that S.L.H. Transport Inc. is acquiring part of Sears Canada’s Home Improvement Business, and Sears Canada is otherwise seeking an extension of the stay period of its CCAA protection to November 7, 2017, from October 4.  

Sears Canada executive chairman Brandon Branzl reportedly stepped down as head of the company to launch a bid for the insolvent retailer in August, with plans to reduce its store count with a goal to return it to profitability. 

For more on this story: 

Sears Canada to ask court for more time to close deal with chairman (Marina Strauss, Globe & Mail) 

Sears Canada to close 10 more stores, including Fairview and Scarborough locations (Francine Kopun, Toronto Star) 

Sears Canada to close 10 more stores, including Lime Ridge Mall location (Hamilton: The Spec) 

Kelowna Sears store closing (Castanet) 

Sears planning to close Polo Park store (Winnipeg Free Press) 

– Sears announces it will close Nanaimo North Town Centre store (Nanaimo News Bulletin) 

Sears to surrender lease to Avalon Mall store (The Telegram) 

Canadian Luxury Cashmere Brand ENYAZ Plans Retail Expansion

Image: ENYAZ

An ambitious Calgary entrepreneur, who is importing authentic cashmere from India, has plans to open his first boutique store in Canada in either Toronto or Vancouver by the end of this year. He’s also seeking investors. 

Zayne S Sayeed, owner of ENYAZ, told Retail Insider that he is in discussions right now with real estate people to secure a location for the store.

“We aim to bring some really high-end fabric from Kashmir in India over here to the West. Real cashmere comes from Kashmir, just as scotch comes from Scotland,” says Sayeed.

“We source our pashmina wool from sheep in Ladakh, Kashmir. Everything is 100 percent organic, certified by the State and National government. No chemicals are used in the process at all. Each piece is meticulously woven by hand over the course of two months. That’s what sets us apart, we’re trying to keep a tradition alive.”

Image: ENYAZ

Sayeed says that years ago there used to be thousands of practitioners of hand-made pashmina products but today there’s only about 300 artisans left and most of them are getting badly undercut by the current market.

“We’re trying to give people the opportunity to keep making these products,” he says, adding that people are buying cashmere from places like Mongolia or Nepal for lower prices because the products are processed in factories with machines.

Kashmir is in between Pakistan and India. 

Enyaz officially opened during the summer with a pre-launch event in late July. But the idea in Sayeed’s mind began in November 2016.

“Essentially what happened is that I flew over to India for a quick trip and the family that I work with has been selling fabric to my family for many generations. So the youngest member from that family and me started to talk and things got rolling from there,” says Sayeed.

Image: ENYAZ

The fabric is imported to Calgary and a local artisan has hand-crafted boxes out of walnut and maple to house the scarves.

“We’re currently selling online and we’re working on some distribution contracts as well,” says Sayeed.

“We’re looking at distributing through some high-end retailers and we’re also looking at opening our own boutique before the end of the year. In Vancouver or Toronto.”

Sayeed says what sets ENYAZ apart is the fact that its product is of a higher standard.

“Being that our product is completely organic, the actual feel of the material is different. The market we’re trying to target here are people who really understand fashion,” he says. “Something to differentiate ourselves.

“The people I’m targeting they already own (products from popular high-end stores here). They have a piece from everywhere. They need something that’s new and exciting and of a higher quality from people who really understand fabric.”

*Photos were provided by ENYAZ.

Sandro and Maje to Open More Standalone Canadian Stores

Maje and Sandro in Toronto Eaton Centre - Photo by Craig Patterson

Upscale French fashion brands Sandro and Maje continue to open standalone stores in Canada this fall, with construction signage now up for both brands in Toronto, as well as job postings for their first Canadian outlet locations in Vancouver. The brands opened their first freestanding Canadian stores last year, after operating exclusively as concessions with a handful of Hudson’s Bay flagship locations. 

Sandro and Maje will operate side-by-side on the third floor of CF Toronto Eaton Centre, sharing a 3,285 square foot retail space that was most recently occupied by American fashion retailer BCBG. Sandro and Maje will be located between the mall’s Marc Cain store and its Apple Store, on the mall’s busy third floor that is also home to popular retailers such as Harry Rosen, Ted Baker and Sephora. The mall’s third floor is accessed from street level at its north end towards Nordstrom, and this fall, a unique new pedway will open to the public, connecting the level to the combined Hudson’s Bay/Saks Fifth Avenue flagships that are located across Queen Street West. 

Job postings also indicate that Sandro and Maje will also open their first Canadian outlet locations this fall at the McArthurGlen Designer Outlets in Vancouver

(CF TORONTO EATON CENTRE. PHOTO: CRAIG PATTERSON)
(CF TORONTO EATON CENTRE LEASE PLAN, VIA CADILLAC FAIRVIEW)

Sandro and Maje are considered to be in the ‘contemporary’ price-point, with fashion-forward designs that are proving popular for Canadian urbanites. Sandro began in Paris in 1984, and is known for focusing on “sleek, chic and effortlessly cool womenswear and menswear” — there are over 500 Sandro stores worldwide, and parent company SMCP (which stands for Sandro, Maje, Claudie Pierlot) operates close to 1,200 points of sale globally in 35 countries, with about 4,300 staff. Sister-label Maje, dedicated to women’s fashions, was founded in Paris in 1998 and with over 400 locations worldwide, is known for “bohemian-chic, solar, and more feminine womenswear collections”, according to SMCP. 

Sandro and Maje opened their first Canadian stores in the fall of 2016 at Toronto’s Yorkdale Shopping Centre. Maje was first, opening a 1,500 square foot standalone store in October in the mall’s new Nordstrom-anchored expansion wing. Sandro followed a month later when it unveiled a 2,000 square foot corner retail space just two doors down from Maje. It’s common for the brands to open side-by-side, or within close proximity. 

(MCARTHURGLEN DESIGNER OUTLETS IN VANCOUVER)
(SANDRO AT TORONTO’S YORKDALE SHOPPING CENTRE)
(MAJE AT TORONTO’S YORKDALE SHOPPING CENTRE)

Until the fall of 2016, Canadians could only buy Sandro and Maje collections in a handful of concessions — Sandro operates women’s concessions at Hudson’s Bay in downtown Vancouver, Montreal and in Toronto at Hudson’s Bay’s Queen Street, Yorkdale and CF Sherway Gardens locations. Sandro Men’s concessions are contained within Hudson’s Bay’s downtown Vancouver and Toronto Queen Street stores. Maje womenswear concessions are located within Hudson’s Bay’s downtown Vancouver, Montreal, and Toronto Queen Street and Yorkdale stores. 

The Canadian store expansion is expected to continue — last year in an interview, SMCP representatives said that Canada could see approximately five freestanding locations each for both Sandro and Maje, and that Vancouver was certainly a target city for at least one location for each of the brands. 

Sandro and Maje made a good choice for its second full-priced Canadian stores — CF Toronto Eaton Centre is unlike any mall in North America. The multi-level downtown shopping centre sees more than 50 million annual visitors, making it the busiest mall in North America. It’s also highly productive (according to Retail Council of Canada’s Shopping Centre Study), not to mention one of the largest in the country. We recently profiled CF Toronto Eaton Centre as part of our mall tour series here on Retail Insider. 

Edo Japan Launches National Expansion

(NEW STORE DESIGN, RENDERING: EDO JAPAN VIA JLL)

The Japanese quick service restaurant Edo Japan has been cooking up a new restaurant design and aggressive expansion plans for its chain with a focus on moving into the Ontario market.

David Minnett, president and CEO of the Calgary-based company, told Retail Insider that the chain has done tremendously well over the years primarily based in Western Canada and has averaged growth over the last 10 years of same store sales of about 3.6 per cent.

“It’s on trend. It’s healthy and a lot of its historical principles and drivers of what made it successful – made-to-order, fresh and that transparency that comes with that grill front and centre in front of the customer – are all things that today’s millennials want and desire. So there’s lots of good things there, along with calling it an ethnic cuisine that in our case is Japanese, and new experiences. So you’ve got this wonderful thing that’s already poised for growth and expansion,” says Minnett.

IMAGE: EDO JAPAN

The company was founded in Calgary with its first location at the Southcentre Mall in 1979. Today, it has 115 locations with about 80 per cent of its stores in Alberta. There are about 18 stores in British Columbia and about six to eight in Saskatchewan.

Minnett says Edo Japan will open its first Manitoba location in Winnipeg in the next three months.

Edo Japan has a couple of food court mall locations in Ontario but plans to open its first street locations mid-year next year in the southern Ontario market.

“We have just started our foray going East and just have kind of formalized tenant rep broker partnerships with three or four organizations to cover Manitoba and Ontario with,” says Minnett.

Those include JLL, Webster Retail, Brentcom Realty, and Snable Consulting.

IMAGE: EDO JAPAN

Minnett says the company has spent a lot of money and time getting ready to launch its new street format and take it East.

“We’re still in the QSR business. When you think that we only need a population base of 25,000 or 30,000, it isn’t so much in the near term having any issues about how much upside, it’s really for us how much we want to go market by market, get success, work with franchise partners that have the wherewithal to be able to do more than one store and new growth will come,” says Minnett.

“We’re probably planning 15 to 20 over the next two years and that would be national but that would also represent next year getting in and establishing a beachhead for our street format in both Manitoba and Ontario.”

That new format will build on the fundamentals that have already worked. The grill is the hero and the whole customer flow is designed for speed of service.

“It’s still a little bit of a secret,” says Minnett. “It’s a more modern version of where we’ve been with some opportunities to actually make the grill more transparent – a little bit more the theatre – as well as we’ve got some what I would call grab and go and market menu additions that will enable us to probably unlock sushi to a whole new level. Our sushi sales.”

Edo Japan will also be launching online mobile ordering so people can order ahead and pick up food.

Those initiatives are expected to take hold in early 2018.

Minnett says the restaurant has done a lot of work over the past 12 to 18 months to elevate and innovate its menu. For example, there’s a whole new category of premium bowl which has proven to be quite popular.

Retail Council of Canada to Publish 2nd Annual Shopping Centre Study

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Retail Council of Canada will launch its second annual Canadian Shopping Centre Study this fall, following a successful first study that was released in late 2016. Last year’s study saw well over a million views, and was quoted extensively in media sources nationwide (including Retail Insider). This year’s study is expected to see similar success [PDF Sponsorship Package]

As with last year’s report, the 2017 study will rank Canada’s malls on metrics including annual sales per square foot, size, and annual pedestrian count. 

The new study will also compare some of the metrics to shopping centres in the United States. Last year, the study showed that Canadian malls are, on average, more productive than those in the United States, for a variety of reasons. 

This year’s Retail Council of Canada Shopping Centre study will dive into what makes Canada’s top malls successful, including design, retail mix, and amenities offered. It will also offer insight into what the future might hold for various centres. 

There are multiple sponsorship opportunities available for the study — landlords, brokers, design firms, construction firms and retailers will gain considerable exposure, not to mention service providers seeking to be seen by thousands of key decision makers. 

There is also opportunity for sponsored thought leadership. The study’s deep dive into shopping centre success will include a discussion of design, for example. Design firms and companies that build stores are already showing interest, and there’s still room for interested companies seeking to be part of the study.

For sponsorship opportunities, email Mary Markou at: mmarkou@retailcouncil.org. Watch for Retail Council of Canada’s 2017 Shopping Centre Study to be released in mid-November. [PDF Sponsorship Package]

Digital Marketers, Split Your Social Budget and Try Something New

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By Eric Nykamp CEO of Raange, Inc., Guest Columnist

Let’s Talk! Email Me @: Contact_Me@raange.com; Text Me @: (514) 613-3324 with Keyword ‘BOOST’

Digital advertising is a seductress for digital marketers: hyper-localized targeting, click-to-purchase metrics, but are you happy with a 1% sales conversion rate from your Digital Ad Campaigns?

Are you doing them yourself or do you outsource? Month after month, putting the same amount of money into Digital; X dollars to Facebook, Y dollars to Google, with a pinch to Pinterest and maybe a bit to Twitter every once in awhile. All while trying to figure your next 7sec video for YouTube and Snapchat! Sound familiar?!

With these big promises of success, how are your sales results? Good, Great, could be better?

The Winners of Digital Advertising; Not the Retailer

I can tell you who is happy. A recent eMarketer report shows that Google and Facebook command more than 63% of total US digital ad revenue, and growing! The problem is, these two platforms are becoming overcrowded with like-minded marketers trying to target similar audiences forcing costs to rise while your budgets and targets stay the same.

I’m going to let you in on a little secret; I know a way to increase your Sales Conversions.

What would happen if there was another option, or channel to advertise? One wherein a community of consumers is waiting to receive your offers?

I’m sure you’re collecting emails at the cash. Probably hand typing into your POS, with a risk of typing mistakes, maybe the consumer is not even giving you a real email. And why only at the cash? Who said that only consumers making a purchase can provide you with their contact details? Weird. Doesn’t make sense does it? But that’s another rant.

So instead, start collecting mobile numbers, get the customer’s Consent. Send them curated messages at appropriate dates and times by SMS.

See your Sales Conversions increase to nearly 15% at the cash. Your cost will be a fraction of the net results.

Go ahead, make a new slice in your ad budget pie next month. I guarantee you, you will be happy with the results.

Eric Nykamp is CEO of Raange, Inc., Founder at Mamoth-Group, TAARGA, RAANGE and Mamoth-Labs! Internet Strategist, Entrepreneur, Inventor, Investor, Husband, Father, Insomniac.

My goal is to elevate traditional brick & mortar retailers to quickly and easily transition to the latest marketing concepts and communication channels, to rebuild trusted dialogue with their past, present, and future customers.

*Partner content. To work with Retail Insider, email: craig@retail-insider.com

Wetzel’s Pretzels Announces Canada-Wide Expansion 

Image: Wetzels’s Pretzels

California-based quick-service pretzel-themed concept Wetzel’s Pretzels is planning a Canada-wide expansion that could see dozens of locations open coast-to-coast over the next several years. The expansion will include mall kiosks as well as in-line retail spaces. 

Wetzels’s Pretzels serves hand rolled/baked fresh pretzels in a variety of flavours that can be paired with dipping sauces, as well as hot dogs (called ‘Wetzel Dogs’), pretzel ‘Bitz’, as well as frozen and fresh lemonade. The company was founded by Rick Wetzel and Bill Phelps in suburban Los Angeles in 1994, and it now has more than 300 locations globally, most of which are in the United States. 

Wetzel’s Pretzels opened its first Canadian location as a kiosk at West Edmonton Mall in the spring of 2014, and its only two Canadian locations are currently in the mall. Edmonton-based entrepreneur Cory Reddekopp is leading Wetzel’s Pretzel’s Canadian expansion, and is seeking out operating partners for markets across the country. Wetzel’s Pretzels is seeking mall kiosk spaces as well as small retail spaces in busy malls — ideally not in a food court, however, with Mr. Reddekopp explaining that Wetzel’s is often an impulse purchase, and stands on its own as a destination. Wetzel’s also has locations in outlet centres, theme parks, train stations, airports, and within deleted discount retail stores. 

Wetzel’s Pretzels is popular — this week, Kim Kardashian Tweeted about it to her 55+ million Twitter followers:

Image: Kim Kardashian Twitter

Mr. Reddekopp explained that the West Edmonton Mall locations are highly successful, and that the chain is expected to see similar success in centres nationally as it expands. He’s already secured several potential locations in British Columbia, Alberta, Manitoba and Ontario. 

The plan is to open approximately 30 locations in Canada over the next five years or so, with the potential to ultimately open as many as 70-100 locations nationally. Mr. Reddekopp explained that British Columbia could see 10-15 locations, Alberta could see about 10 stores, and that Ontario could see even more. There’s also the opportunity to open Wetzel’s Pretzels concessions within larger host retailers, if the opportunity presents. 

Cory Reddekopp will be at the ICSC (International Council of Shopping Centres) Canada Conference in Toronto on October 2-4, and welcomes discussions with interested potential operating partners, as well as landlords interested in hosting a Wetzel’s Pretzels location. You may reach Mr. Reddekopp at: cory@wetzels.ca or: 1-587-985-1295. 

Retail Logistics – It’s More Than Moving Boxes

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By Dave Rodgerson, Retail Industry Solutions Executive, Microsoft Canada

The first time I saw them dance, it was in New York. They looked so cool, turning and spinning as they flew across the floor of the show. They moved quickly, with a choreography that defied reason, yet every move was precise. But this wasn’t an avant-garde ballet in a trendy art house. These were warehouse robots from Kiva Systems on the floor of the National Retail Federation “Big Show” which draws an audience of more than 30,000 industry insiders each January. Amazon was impressed… they bought Kiva in 2014 and now you’ll find them in Retail warehouses around the world.

Managing the logistics function of a warehouse and distribution network may seem almost industrial at times. Schedules, load optimization and cross-dock handling seem far removed from the luxury showrooms of Saks and Nordstrom, but they are critical functions for any retailer. There was a time when these operations were managed with manual processes and calculations. Today, the volume and complexity of this function requires a more sophisticated approach. Predictive analytics and machine learning are just as valuable as variations in fuel costs. To meet these challenges, companies like Rubikloud have developed analytic tools that leverage machine learning to juggle all of this information to help manage forecasting accuracy, reduce stock out situations and save man hours.

Another area that’s having an impact on logistic solutions is the Internet of Things (IoT). Being able to connect devices attached to everything from ships, trucks and pallets has provided incredible access to information throughout the supply chain. It’s now possible to track and measure everything from temperature and humidity of produce to the real-time location of your truck fleet. These things allow a retailer to optimize their operational costs and be more efficient in the way they bring their goods to market.

I spoke with Gary Newbury, a subject matter expert in Last Mile Fulfillment and Retail Logistics about this evolution. He commented that “the biggest two challenges for any retailer is having full visibility of exactly where each item is within the supply network extending back into each supplier, and dealing with a mix of both pallet handling for stores and single item picking, supporting individual customer orders, cost effectively”.

All this technology requires a new way to manage the information. While there are some notable exceptions, most retailers are very reluctant to build a massive data centre where the information is processed and stored. The capital expense is just too great. The other aspect to consider is that the computing power and speed required to handle the analytics, forecasting and reporting, exceeds the capabilities of a traditional data centre. Companies are now looking to Cloud solutions that can be scaled up to match their seasonal peaks. That evolution has sparked a whole new issue for retailers. AWS (Amazon Web Service) is a Cloud offering that is readily available for retailers. The issue that the retailer face is that they look at Amazon as the competition, so they find it difficult to partner with them by using their Cloud service.

Logistics may not be one of the most glamorous parts of the retail industry but it’s changing as much as any other part of the business, as a result of the digital transformation that the industry is experiencing. With a future that promises driverless transport trucks and drone deliveries the face of distribution and logistics has become a lot more interesting.

Learn more about transforming your businesses by blending online and digital experiences

Explore different shipping options at LSO

Dave Rodgerson Is the Retail Industry Lead at Microsoft Canada and has 25 years of industry experience working with leading Canadian Retailers in sales, marketing, operations, IT and strategic planning roles.

Mr. Rodgerson works closely with both clients and industry associations that share an interest in enhancing the consumer experience. His work has included consulting with such firms as Tesco supermarkets in the UK, Canadian Tire Corporation, Target Department Stores, Imperial Tobacco, Walmart Canada and Rogers Communications. More recently, he has been speaking about the customer of the future, the Omni Channel customer experience and the adoption of new technologies by consumers.

Mr. Rodgerson has been a member of the faculty of Meritus University where he taught Marketing in their School of Business. In addition, from an academic perspective, he is on the Board of Advisors for the Ryerson University School of Retail. He has played an active role with the National Retail Federation, the Retail Council of Canada and the Conseil Québécois du Commerce de Détail.

Mr. Rodgerson holds an MBA from Queen’s University in Kingston Ont.

Park Royal Continues Remarkable Transformation

Image: Park Royal

West Vancouver’s upscale Park Royal shopping centre continues to transform, after several years of expansions and renovations that have created a centre unlike any in Canada. After a complete overhaul of its south side, the focus is now on Park Royal’s north component as it continues to add new retailers, restaurants and services. 

(CLICK ABOVE FOR INTERACTIVE GOOGLE MAP) 
Image: Park Royal
(CLICK IMAGE TO DOWNLOAD PDF FLOOR PLAN) 

Park Royal’s location is both convenient and spectacular. Located on busy Marine Drive near the iconic Lion’s Gate Bridge, Park Royal is near the ocean, with views to the north of mountains, trees, and mansions. West Vancouver is one of Canada’s wealthiest municipalities, and Park Royal is the region’s largest and most comprehensive shopping centre — with over 200 stores, restaurants and services. It’s the second largest shopping centre in British Columbia, with about 1.4 million square feet of retail space — only Metropolis at Metrotown is larger. Park Royal is also one of the top selling malls in the country, at approximately $650 million gross annually.  

Park Royal was also Canada’s first covered shopping mall when it opened in September of 1950. The Guinness family developed the property in conjunction with department store chain Woodward’s, the centre’s original anchor. The Guinness family, which continues to be a major land owner in West Vancouver, sold Park Royal in 1986. By that time, the centre occupied sites north and south of Marine Drive, and Woodward’s had been joined by anchors Eaton’s and Hudson’s Bay

The centre features both indoor and outdoor retail, catering both to locals as well as the broader region. ’The Village’ opened in the mall’s south-side component in late 2004, in a style reminiscent of Whistler Village. Home Depot’s first Canadian urban concept store opened in The Village, which now includes retailers such as Old Navy, Michaels and Whole Foods

(PARK ROYAL SOUTH, FOOD COURT LEVEL 2)
(PARK ROYAL SOUTH, LEVEL 2 FACING FOOD COURT)
(VILLAGE AT PARK ROYAL, FACING EAST)

Park Royal South also includes indoor and outdoor retail components. The enclosed Park Royal South saw major additions in 2015, including a relocated food court and a 100,000 square foot La Maison Simons fashion store. Park Royal South’s outdoor component expanded in 2014 to include a number of leading retailers, with names such as Kate Spade, Anthropologie, Michael Kors, Zara, J. Crew and Aritzia

(VILLAGE AT PARK ROYAL, FACING WEST)
(PARK ROYAL SOUTH)
(PARK ROYAL NORTH, NEW CITY MARKET)

Over the past five years, Park Royal South has seen a full renovation of its interior south mall, as well as the expansion of its south mall outdoor components. Owner Larco Investments and its tenants have spent over $180 million on the centre’s redevelopment, expansion and fit-outs since 2013. Park Royal South will see several new retailers open this year — H&M will open a 23,000 square foot store, relocating from Park Royal North. RYU and MAC Cosmetics will join it, as will a 10,700 square foot Keg Steakhouse and Bar

Food and beverage is an important component to Park Royal, generally — the centre boasts over 35 dining options including a food court, 10 patios, and six full-service restaurants. 

(PARK ROYAL SOUTH, LOOKING EAST)
(PARK ROYAL SOUTH)
PARK ROYAL SOUTH, WEST ENTRANCE AND LA MAISON SIMONS)

Next on the horizon is a north mall overhaul. ‘Park Royal North’, the mall’s original retail space, is in the process of seeing a renovation that will add several key retailers, while at the same time eliminating some interior mall corridors. Loblaw City Market recently opened, adding a third grocery anchor to the centre. The BC Liquor Store will soon relocate to a 25,995 square foot retail space, making it the largest liquor store in the province. Saks OFF 5TH also recently announced that it will open a 33,000 square foot store in the summer of 2017, as per the lease plan below. Fast-casual chain Chipotle will also open its first North Shore location in February, as will a new fitness centre, Steve Nash Sports Club. Park Royal North’s existing anchors Hudson’s Bay and London Drugs will remain in their current locations. 

Park Royal Site Plans
(PARK ROYAL NORTH, SAKS OFF 5TH)
(PARK ROYAL NORTH, WEST SIDE)

By the end of 2018, Park Royal will boast a remarkable 22 anchor tenants, including: La Maison Simons, Best Buy, Winners, Saks OFF 5th, BC Liquor Store, Sport Chek, Whole Foods, Home Depot, Hudson’s Bay, Indigo, Steve Nash Sports Club and Loblaws City Market

Park Royal’s transformation is still ongoing, and the centre is looking for tenants to add to its already exceptional centre. Larco Investments will be at ICSC Whistler this year to speak with interested parties. For more information, contact Shanon Thornley, Senior Director, Retail Leasing; 604-923-4713, sthornley@parkroyal.ca.