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Harry Rosen Continues Overhaul of its Pacific Centre Flagship

Upscale Toronto-based menswear retailer Harry Rosen is about half way through the overhaul of its Pacific Centre location in Vancouver. The store’s interior will be updated and expanded, and two new luxury boutiques will be added. We interviewed CEO Larry Rosen, who tells us that the store is scheduled to be completed by September of this year. 

Mr. Rosen told us that the existing store will expand its sales area by utilizing some existing storage space. It’s able to do so because it recently acquired about 4,000 square feet of off-site storage within the Pacific Centre complex — enough space to house stock for an entire store. As a result, inventory replenishment will become faster — a good thing, given that the Pacific Centre store does higher sales per square foot than any other Harry Rosen location. Although he wouldn’t provide exact numbers, Mr. Rosen said that the store’s sales are approaching $2,000 per square foot. 

The store will see expanded men’s accessory areas, as well as a new cologne bar. A ‘stronger’ tailored clothing area and tailor shop will be featured, as well as new change areas and expanded designer collections. Different floor treatments will denote different areas of focus within the store, catering to an increasingly sophisticated Vancouver shopper. 

Mr. Rosen told us that the renovated store will feature two new luxury boutiques — A 600 square foot Tom Ford shop, as well as a Kiton shop-in-store. Both brands are among the most expensive in the world, with Kiton suits selling in the $8,000 to $10,000+ range. Tom Ford will actually be a second location for the brand in Vancouver, as Holt Renfrew also features a men’s Tom Ford shop-in-store. The Kiton shop will be a first for Harry Rosen. 

The Pacific Centre Harry Rosen will also feature hard shops for brands including Canali and Giorgio Armani, as well as soft shops for brands such as Brunello Cucinelli, Hugo Boss, and Isaia. The Cucinelli shop will be a new concept for the brand, featuring a new interior and measuring about twice the size of the existing shop. 

The store recently opened a separate 2,000 square foot shoe boutique with its own mall entrance. It’s the second of its kind for the company, following the recent opening of a replacement Ottawa store. Mr. Rosen says that the Ottawa footwear shop has been very successful since its opening last fall. 

Harry Rosen occupies 21,645 square feet in Pacific Centre, with a separate 5,000 square foot Ermenegildo Zegna store, operated by Harry Rosen, located across the hall. The Vancouver store is the second-highest selling in the company, following its 54,000 square foot Bloor street flagship in Toronto. 

Pacific Centre’s Harry Rosen is the fifth-largest in the company. Besides its Bloor Street flagship, its Yorkdale Shopping Centre store has expanded to almost 31,000 square feet. Its 22,000 square foot Montreal store will grow to about 33,000 square feet by the end of 2015, while its Downtown Calgary store spans over 30,000 square feet. We’ll provide updates on the Montreal location shortly, as well as discuss Harry Rosen’s new Square One and Sherway Gardens replacement flagships. 

Harry Rosen recently replaced its Ottawa unit with a modern showpiece, complete with its own shoe store with a separate mall entrance. Also included was North America’s second Robert Tateossian accessories shop. Pacific Centre’s Harry Rosen location will not be getting a Tateossian shop due to space constraints, according to Mr. Rosen. 

Harry Rosen will face new competition when Nordstrom opens in downtown Vancouver on September 18. Nordstrom’s 230,000 square foot store at Pacific Centre will feature some of the same upscale menswear designers as Harry Rosen, though Rosen’s is known for carrying a wider variety of product, as well as having enhanced customer service. Neighbouring Holt Renfrew will also expand its menswear offerings when it renovates its store within the same complex, with a completion date expected for late 2016.  

Toronto Named ‘Hottest Retail Market in the Americas’

PHOTO: WIKIPEDIA

A recent CBRE report names Toronto as the ‘hottest’ market for international retail expansion in the Americas, attracting 25 new international brands in 2014. It’s a remarkable feat, considering Toronto beat out cities such as Los Angeles, New York City, Mexico City, Buenos Aires, and others. We spoke with a retail expert to get her opinion. 

The CBRE report, called “How Global is the Business of Retail“, tracked new brands entering 164 cities in 50 countries. The report found that U.S. retailers are the most active when expanding into global markets — in 2014, American retailers accounted for 26% of all cross-border expansion. Italian retailers were second at 14%, following by U.K.-based retailers at 11% and French retailers with 10% of all cross-border expansion. 

The study evaluated the most active retail sectors, determining that 26% of retailers expanding into the Americas were ‘Luxury & Business’ retailers, followed by 20% for ‘Mid-Range’ retailers, followed by ‘Specialist Clothing’ at 14%.

BLOOR STREET WEST. PHOTO: ANDROIDUKURBANTORONTO.CA

Referring to Toronto, specifically, the report states: 

“…Toronto is considered a gateway city; in 2014 it attracted 25 new international brands. With a diverse population with a good level of disposable income, it’s unsurprising that interest in Toronto is high. Many of the foreign brands that have come to Canada, and more specifically Toronto, over the past few years have been very profitable. Other brands are seeing and recognizing this positive reception of their competitors as an opportunity for their own success in the Canadian marketplace.”

We spoke with Farla Efros, President of leading retail consulting firm HRC Advisory, to get her opinion on why Toronto ranked so highly. She explained that Toronto lagged some other world cities in terms of international retailers, and that the city is finally catching up as retailers continue to enter the Canadian market. As well, as mentioned above, retailers are seeing Canada as a viable growth option. Toronto, specifically, is increasingly seeing high-end shoppers who are benefiting from a combination of wealth and commerce, as well as significantly increased tourism internationally. Tourists are increasingly seeing Toronto as a popular shopping destination, which should increase even further with the opening of stores such as Saks Fifth Avenue and Nordstrom next year. 

Thank you ACT7 of Urban Toronto for directing us to this topic. 

Can you identify the 25 new international retailers which came to Toronto last year? The comments section below is open to freely post – you may do so anonymously, or by signing in. 

Who’s Taking Target’s Canadian Stores? An Interactive Map

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Specializing in tenant representation and project leasing catering to the retail industry, Vancouver-based Sitings Realty has created an interactive map showing who is taking over Target’s Canadian real estate. Sitings will monitor and update the map as retailers continue to acquire former Target spaces, and we’ll update this article periodically with Sitings’ findings. 

So far, we know that Walmart will take over 13 of Target’s Canadian locations, Canadian Tire will take over 12 locations, and home improvement retailer Lowe’s will take 13 Target stores. Target has also returned 55 of its 133 store locations to landlords. 

Sitings also published this article titled ‘Target’s two year project‘. In the article, Sitings provides a brief overview of Target’s Canadian entry and exit, as well as providing a link to its interactive map. Sitings also has a news link for further updates. 

Interactive Map: World’s Largest Shopping Malls (& Where Canada Ranks)

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The world’s largest malls continue to become larger, and this interactive StoryMap from Quebec-based Storetraffic takes you on a journey around the world to see where they are. It’s the most unique interactive graphic that we’ve had on Retail Insider to date. 

The world’s largest malls are now predominantly in Asia. Prior to the explosion of super-mall growth, the world’s largest mall was Canada’s very own West Edmonton Mall. The Edmonton mall opened in September of 1981, and held to the title as world’s largest until 2004. Although it remains North America’s largest shopping complex, West Edmonton Mall is now considered to be the world’s 18th largest mall

According to Storetraffic, large shopping malls have evolved to become entertainment complexes featuring cinema and sometimes extensive outdoor and indoor entertainment areas. As well, despite the popularity of some of these malls, some struggle with retail occupancy partly due to their size. West Edmonton mall prospers, however, achieving per-square-foot sales of about $1,200 annually when excluding Phases 1 and 4. 

How Employee Pride Can Drive Customers to Canadian Stores

By Russ Fradin

Nearly all retailers announce promotions on Facebook and post stunning photos on Instagram to lure customers into their stores. But few savvy retailers are tapping into one powerful social force that can drive real sales and exposure: employees.

Rallying employees around your store can inspire them to spread the word via social media. And when they display genuine excitement about your store and products, they become natural magnets within their networks.

For example, employees could announce your store’s new product line and promote it with a video series demoing the items to generate exposure, stir questions, and entice their friends and connections to visit the store for more details. Employees can also post personal product reviews or engage in online conversations, showcasing their expertise and positioning themselves as helpful in-store resources.

Emitting strong social signals will also boost your SEO. And when prospects can more easily find your website, they’ll have another reason to visit your store.

But employees can’t become authentic brand advocates without truly loving your store and products. Less than half of Canadian employees are satisfied with internal communication, so retailers need to take serious measures to generate excitement among employees and empower internal social media advocates.

Ignite Your Social Media Activists

 Although the advantages of employee pride are clear, retailers simply aren’t taking steps to instill pride in their employees and encourage them to share on social media. In fact, 88 percent of employees have at least one social media account, but only 33 percent post about their jobs.

 Work consumes so much of employees’ days, so why aren’t more posting about it?

In the retail setting, employees are often afraid of saying the wrong thing. Even when their comments are positive, they fear going against corporate language and getting in trouble for it. In other cases, they may not know what to say. It’s hard to craft a “shareworthy” social media post, and amid the retail frenzy, it can easily fall by the wayside.

Boosting employee engagement and social media usage may be the strategy you need to remain relevant in the omnichannel retail world. Here are four ways get employees excited to post about your retail store: 

1.     Make their jobs enjoyable. Instilling pride in employees is the key to a happier workforce and social media advocates, and it starts with culture. Steer your culture in a way that makes employees want to work harder and smarter. Offer appealing perks, and treat employees like the intelligent, capable adults they are. You’ll be amazed at the initiative they start to take.

O2, the third largest telecommunications provider in Europe and one of our clients, has taken this route by launching an employee-powered marketing program. O2 rewards and recognizes active employees with concert tickets and other perks to encourage participation. The company has seen great success — more than 1,000 employees got involved in just the first six months.

Another example is Montreal-based GSoft, which conducts weekly staff surveys to gauge happiness levels, uncover employee frustrations, and maintain open communication as it grows.  

2.     Refine your company’s messaging approach. Honest and genuine messaging will resonate most with employees, especially if you’re attempting to engage them as advocates. They won’t be interested in sharing stale, canned content they don’t really believe in. Instead, create content that’s personal, targeted, and focused on their level of expertise and department to ensure maximum participation.

3.     Showcase great work internally and externally. Recognizing a job well done will boost morale and help lagging employees know what to shoot for.

Encourage employees to write reviews of products they love or interact with customers instead of just pushing sales. When they do this, spread the word via the company’s social media accounts, feature their original content, or simply give them a shout-out in internal emails. Recognize them for going above and beyond, and you’ll lift everyone up.

4.     Gamify the process. Try introducing contests and prizes to stir up competition among co-workers. Keep it light, and encourage creativity and authenticity first and foremost.

Employee engagement and company pride will ultimately influence your staff’s social media participation. Create an in-store environment that promotes creativity, and don’t be afraid to let your employees have a little fun. Forward-thinking, culture-focused companies are the ones that will breed advocacy and win the most sales in the end.

Russ Fradin is a digital media industry veteran and an angel investor with more than 15 years of experience in online marketing. He is the founder and CEO of Dynamic Signal, the leading platform for empowering employees to be effective brand advocates. Learn more here.

McArthurGlen Confirms Tenant List for Vancouver Designer Outlet Mall

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Opening early this summer, North America’s first McArtherGlen Designer Outlets will be located at Templeton Skytrain Station next to Vancouver International Airport. The mall’s first phase will span 240,000 square feet with 80 retailers, several of them being luxury brands. Eventually, the mall will span 400,000 square feet with about 150 stores, with an unknown completion date.

McArthurGlen has just confirmed the following tenants for its Vancouver mall. We’ll break the list down into what may be considered premium brands, as well as brands with generally more popular price points. Currently, the only confirmed ‘luxury brands’ would be Giorgio Armani, Ports 1961, Hugo Boss and possibly Secret Location, though a number of premium retailers will also carry some pricey product. 

Premium (and luxury) retailers confirmed for the centre will include the following: 

  • •Coach;
  • •Cole Haan;
  • •Estée Lauder;
  • •Giorgio Armani Outlet;
  • •Hugo Boss;
  • •Polo Ralph Lauren
  • •Polo Kids 
  • •Ports 1961;
  • •Secret Location;
  • •Tumi;

For those unfamiliar, Secret Location is a Vancouver-based multi-brand concept/lifestyle retailer located in Gastown, with some fashion priced into the thousands. 

Other brands confirmed to open at the centre include the following: 

  • •Ammolite Jewellers;
  • •Banana Republic;
  • •The Bibo;
  • •Body Shop;
  • •Caffé Artigiano;
  • •Calvin Klein;
  • •Carter’s/OshKosh
  • •Crabtree & Evelyn;
  • •Desigual;
  • •Ecco Shoes;
  • •Fossil;
  • •The Gap;
  • •Geox;
  • •Guess;
  • •Guess Accessories;
  • •J Crew;
  • •Levi’s.
  • •Lindt;
  • •Mavi Jeans;
  • •Mountain Warehouse;
  • •Nike;
  • •Noodle House;
  • •People’s Jewellers;
  • •Puma;
  • •Robin’s Jean;
  • •Ryuu Izakaya;
  • •Sketchers;
  • •Samsonite; and
  • •Think Kitchen;
  • •Tommy Hilfiger;
  • •Tommy Hilfiger Kids; 
  • •Under Armour;
  • •Vans;
  • •Watch Station;
  • •Zwilling.

More brands continue to negotiate leases for the centre, including several premium and luxury brands not listed above. We’ll update you when we learn more. 

The mall will also host a second job fair with the following details: 

Sunday, May 24th (10 a.m. to 5 p.m.) and Monday, May 25th (10 a.m. to 4 p.m.) at the Fairmont Vancouver Waterfront Hotel, 900 Canada Place Way, Vancouver. 

Clearly Contacts Re-Brands: Interview with CEO Roy Hessel

Clearly Contacts has officially rebranded as ‘Clearly’, as it broadens its product assortment and expands its Vancouver operations. We were fortunate to interview the company’s new CEO, Roy Hessel, who is granting interviews to the press for the first time since taking over the company last year. 

Founded in Vancouver in 2000 by Roger Hardy, Clearly Contacts became the world’s top online seller of prescription eyewear. Massive French optical firm Essilor bought Clearly’s parent company Coastal Contacts in February of 2014 for $430 million. Essilor is now moving its online operations to Vancouver, and Mr. Hessel gave us the details on this as well as what the company has planned moving forward. 

Mr. Hessel told us that the company’s new name, Clearly, reflects the company’s broader scope. The company will expand its focus beyond merely selling glasses and contact lenses – it will promote eye health to consumers, provide an enhanced customer service experience, and promote expanded multi-channel initiatives which will include online retailing, concierge-like telephone assistance, and brick-and-mortar stores. 

Mr. Hessel described Clearly’s new customer service initiative, which will be not unlike a concierge. Call centre customer service representatives will help callers locate their nearest eye care practitioner, provide product advice including anti-fog coating and Kodak blue-ray lens filters, and will even refer products from a competitor if not carried in stock. 

We asked Mr. Hessel specifically if Clearly will open more brick-and-mortar locations. The company currently has several wildly successful stores worldwide, which opened under the company’s previous CEO. Mr. Hessel explained that although it’s possible that Clearly may open more physical stores in the future, there are no immediate plans. The company’s goal is to dominate the web first – currently, only about 4% of the world’s estimated $100 billion annual eyewear purchases are made online, and Clearly wants to expand that while continuing to gain market share. Mr. Hessel notes that the Internet has a broader worldwide reach than brick-and-mortar stores. 

We asked Mr. Hessel if there is a possibility that Essilor would consider moving its entire corporate headquarters to Vancouver. The company currently has headquarters in Paris, Singapore and Dallas. Mr. Hessel explained that although the company is moving its entire e-commerce division to Vancouver, he doesn’t see Vancouver as a place to run a global business at the moment. He explained how the city is geographically separated from global business capitals and how its infrastructure, housing costs and taxes are less-than-ideal. At the same time, Essilor recently hired 22 new staff for its Vancouver e-commerce headquarters, and it plans to hire another 30 in the near future. Vancouver, says Mr. Hessel, is a “very interesting place” featuring a diverse, multi-lingual, highly educated talent pool – perfect for operating Essilor’s customer-service focused e-commerce business. 

Although Mr. Hessel wouldn’t provide specific numbers, he said that Clearly’s sales are increasing, and that the company is now seeing profits. For some time, Clearly Contacts was in the red, despite having hundreds of millions in sales. Overall, Mr. Hessel sounded very optimistic for the future of Clearly, as the company looks to “reach one billion pairs of eyes” by the year 2030.

 

Ted Baker to Open 4th Canadian Location

Popular British fashion brand Ted Baker will open its fourth full-priced Canadian location at Toronto’s Sherway Gardens. Remarkably, it will be the third Baker location for Toronto, making Toronto one of only three North American cities featuring three or more Ted Baker stores. 

Urban Toronto‘s ACT7 directed us to this City of Toronto Application for the new store, which will locate alongside popular brands such as Tiffany & Co., Tory Burch, Aritzia, Stuart Weitzman and others. 

Toronto will join New York City and Las Vegas as North America’s only cities housing three or more free-standing Ted Baker stores. 

In June, Ted Baker will open its third Canadian location at Vancouver’s Pacific Centre. It will be Baker’s first Canadian location outside of the Greater Toronto Area. Sources say that a Ted Baker Outlet may also open this summer at Vancouver’s McArthurGlen Designer Outlets

Ted Baker’s first Canadian location opened in October of 2012 in the newest expansion of Toronto’s Yorkdale Shopping Centre. The roughly 3,200 square foot store is across the hall from the recently expanded Holt Renfrew store. Ted Baker’s second Canadian location opened last November at Toronto Eaton Centre – spanning an impressive 3,800 square feet. Ted Baker’s only Canadian outlet store opened in August of 2013 at the Toronto Premium Outlets.

Ted Baker’s two full-priced Toronto locations carry both men’s and women’s ready-to-wear as well as footwear, accessories, and other Ted Baker products. Its Toronto Eaton Centre location takes the concept one step further, featuring a layout reflecting that of a British shopping arcade, complete with an umbrella shop, watchmaker, optician, jeweller, perfumery and tea shop.

Indigo to Overhaul 6 Flagships, Open 4 American Girl Stores

PHOTO: URBANTORONTO.CA

Toronto-based book and gift retailer Indigo will renovate, expand and re-brand six key Chapters/Indigo locations, as well as open four American Girl doll shops-in-stores. Initiatives are scheduled to be completed by this fall. 

Each store will see its book assortment bolstered by thousands of additional titles, and additional retail space will be allocated to home décor, gift, paper, fashion, kids toys and gourmet. According to Indigo, Chapters locations at 2505 Granville Street in Vancouver, Edmonton’s West Edmonton Mall, Calgary Chinook Centre, and Calgary at 5005 Dalhousie Drive N.W., will be re-branded as Indigo. These locations, as well as Indigo flagships at Toronto’s Yorkdale Shopping Centre and Toronto Eaton Centre, will see substantial renovations. Both the West Edmonton Mall and Chinook Centre locations will also see 5,500 square foot additions. 

American Girl shops-in-stores will open at Indigo’s renovated Granville Street, Toronto Eaton Centre, Chinook Centre, and West Edmonton Mall locations. Each American girl boutique will measure between 1,400 and 1,800 square feet. When finished, Indigo will house six American Girl shops – Yorkdale and Ottawa Rideau Centre Indigo locations already house American Girl boutiques. 

PHOTO: CRAIG PATTERSON

Started 25 years ago as a line of dolls and books depicting pre-teen girls in historical times, American Girl is now a wholly-owned subsidiary of Mattel. Contemporary dolls have since been added. Its dolls are expensive, retailing at $125 for larger ones and $90 for its ‘Bitty Baby’ line, marketed to younger children. Doll clothing, books and movies are also available, as well as an in-store doll hair salon. Doll hairstyling costs between $5 and $25, while doll ear piercing costs $14. 

“Given our strong performance in Canada, we’re excited to partner with Indigo to open additional specialty boutiques,” said Jean McKenzie, president of American Girl. “These new locations will help us celebrate even more girls, and we look forward to creating a fabulous new opportunity for area families to shop and experience American Girl.”

Founded in Toronto in 1996, Indigo employs over 6,500 people across Canada. Indigo is a public company, traded on the Toronto Stock Exchange under the symbol IDG. The company operates about 90 superstores (averaging 24,000 square feet) under the banners Chapters and Indigo, as well as 130 small format stores under the banners Coles, Indigo, Indigospirit, SmithBooks, and The Book Company. The Company also operates indigo.ca, offering millions of products including books, eBooks, toys, stationery, home décor, gourmet confections, CDs, DVDs, and more.

Kiton Opens 1st Free-Standing Canadian Location

Italian luxury menswear brand Kiton has opened its first free-standing Canadian store in Toronto. Located at the northeast corner of Hazelton Avenue and Yorkville Avenue, the boutique is one of only five free-standing Kiton locations in North America. 

Founded in Naples, Italy, in 1956, Kiton is considered to be one of the world’s most expensive menswear brands. Known for its high-priced suits, Kiton offers off-the-rack styles that can approach $10,000, while its made-to-measure suits can sell for well over $20,000 each. Men’s dress shirts are generally priced in the $600-1000 range while trousers are generally priced in excess of $1,000 and blazers, $7,000+.

Located at 114 Hazelton Avenue, Toronto’s Kiton boutique is operated by adjacent menswear retailer V Hazelton. Located at 5 Hazelton Avenue, the luxury menswear retailer will soon open a Santoni Shoes shop-in-store, the second of its kind in North America.

Remarkably, we were informed by staff at V Hazelton over a year ago that Toronto’s Kiton location was supposed to open “late spring or early summer” of 2014. Kiton hoarding went up on the space in April of 2014, and Toronto lawyer Anjlit Patel informed us of the new boutique when she noticed the hoarding while driving by. Urban Toronto‘s ACT7 investigated further and continued providing details on Kiton’s progress, as well as updates on the new Santoni Shoes shop. 

In Canada, Kiton is carried at Harry Rosen in Toronto, Henry Singer in Edmonton, and at L’Uomo in Montreal. Harry Rosen will open a Kiton shop-in-store in Vancouver this fall. Kiton currently has four American store locations: in New York City, Bal Harbour, Florida, Las Vegas, and San Francisco. It is also carried at upscale American stores including Neiman Marcus and Saks Fifth Avenue. There’s no word yet if any Canadian Saks stores will carry Kiton.