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H&M to Overhaul Flagship, H&M Home Store Coming to Montreal

1100 SAINT CATHERINE STREET WEST. PHOTO BY MAXIME FRECHETTE.

*Update* A source at the store says that the three level downtown store will also grow by annexing a fourth floor for retail, adding a children’s fashion department as part of the expansion. The fourth floor houses a regional H&M office that will relocate to St. Laurent Street. 

H&M will overhaul its three-level Montreal flagship as the retailer upgrades and expands its Canadian operations. Sources at the store say that its renovated interior will be similar to that of the CF Toronto Eaton Centre flagship which re-opened in February of this year. Sources at H&M also confirm that Canada’s third H&M Home will open at CF Carrefour Laval, north of Montreal, in November of this year. 

H&M’s 15,670 square foot downtown Montreal flagship, located at 1100 Saint Catherine Street West (corner of Peel Street), opened in August of 2008. A smaller teen-focused location opened shortly thereafter at 450 Saint Catherine Street West (corner of Rue Saint Alexandre, near Hudson’s Bay), and that location also continues to operate today. 

The 1100 Saint Catherine Street West flagship closes today (Monday, April 4) temporarily for the renovations. In the meantime, a temporary flagship will operate at the corner of Saint Catherine Street West and Rue Crescent, about a half block from H&M’s sister brand COS, which opened its second Canadian location in Montreal in the fall of 2015. 

Manon Parisien of Auora Realty Consultants represented H&M to coordinate the deal for the temporary store, as well as the new offices.

PHOTO BY MAXIME FRECHETTE.
THE TEMPORARY LOCATION ON SAINT CATHERINE AT CRESCENT. PHOTO: MAXIME FRECHETTE

Sources at H&M also confirm that in November, Canada’s third H&M Home store will open at CF Carrefour Laval. The current H&M location within the mall measures 6,210 square feet. H&M’s first Home store opened within H&M’s West Edmonton Mall location in the summer of 2014, and in February of this year H&M opened a 3,200 square foot home department within its CF Toronto Eaton Centre flagship, which grew to an impressive 52,500 square feet as part of the store’s overhaul. 

Thank you to Retail Insider Montreal correspondent Maxime Frechette for providing intel, a map and photos for this article. 

Nordstrom to Host Two Store Opening Galas This Fall

Nordstrom has announced the dates and details of its next two charity galas this fall, coinciding with the opening of its next two Canadian stores, both in Toronto. The cost of each gala is underwritten by Nordstrom, which means that 100% of ticket sales will fund specific programs selected by each organization.  

Beneficiaries include: Covenant House Toronto, Humber River Hospital Foundation, Pediatric Oncology Group of Ontario (POGO), SickKids Foundation, St. Michael’s Hospital Foundation and Women’s College Hospital Foundation. 

The first gala will be on the evening of Wednesday, September 14 (prior to the September 16 public opening) for Nordstrom’s 220,000 square foot CF Toronto Eaton Centre flagship. As with the Vancouver flagship opening last September, a tented runway fashion show will be part of the gala, featuring some of the world’s hottest fashion designers. 

The second gala, for Nordstrom’s new 196,000 square foot Yorkdale Shopping Centre location, will be held on the evening of Wednesday, October 19, prior to the store’s October 21 public opening. 

Tickets for the Vancouver, Calgary and Ottawa galas sold out quickly, so you’re encouraged to mark your calendars and act quickly if you’re interested in attending. Tickets are $150 per person for each gala and will go on sale on June 22. Both galas will include cocktails, gourmet delights, desserts, live entertainment, fashion presentations and the opportunity to shop.

“Giving back to the communities where we have stores is very important to us, even before we open our doors for business,” said Todd Buntin, Nordstrom CF Toronto Eaton Centre store manager. “We’re proud to partner on our signature opening events with these six impressive organizations that touch the lives of so many people here in Toronto.”
 
“We invite everyone to join us for our opening galas and together we can support the community and celebrate fashion in two wonderful evenings,” said Brynn Herthel, Nordstrom Yorkdale Shopping Centre store manager.

7 Principles to Designing a Successful Simons Store

Creating an engaging retail environment is more important than ever, particularly considering the growing popularity of e-commerce. Leading Toronto-based design firm figure3 recently completed designing the newest location of La Maison Simons at Mississauga’s Square One, which opened this month to considerable fanfare. We spoke with the company’s Vice President of Retail Activation, Marjorie Mackenzie, to gain insight into the key principles figure3 uses to design award-winning retail interiors. 

The Square One Simons store spans 106,600 square feet over two floors, and it features a variety of departments to break up the large space. The departments are bright and have an air of excitement — a breakaway from the traditional department store which in many instances, has become tired. Ms. Mackenzie explained how Simons’ CEO Peter Simons commissions unique pieces of artwork for each of his stores, and how the company’s innovative, architectural interiors reflect the overall artfulness of the company’s selling environment. The Mississauga Simons’ interiors are based on the award-winning West Edmonton Mall prototype Simons store, which opened in October of 2012. The store was subsequently named ‘International Store of the Year’ by Chain Store Age. 

Beautiful interiors can also lead to increased sales, according to Ms. Mackenzie, which is particularly important in an age when consumers can shop from computers and mobile devices without stepping into a physical store. Successful design firms are also increasingly using psychology and cognitive behavioural analysis to create engaging environments that also drive revenue growth. Design firm figure3 has laid out seven principles to designing a successful retail space, and these are set out below. 
 
1) Open & Social: Open and social design is welcoming and affords lingering. People attract other people and we model our behaviour after what we see others doing.

2) Compelling: Compelling, viscerally attractive design ‘works’ better, according to figure3. Visceral design acts at the level of intuition, and is grounded in peoples’ basic biological preferences cultivated through human evolution.

3) Engaging: Engaging design entices people to interact with environments and creates a sense of ‘perceived ownership’.

4) Focused: Successful design focuses on the deep needs and fundamental desires of the people they’re designed for. 

5) Compatible: Compatible design removes all barriers to ideal behaviour and fits seamlessly into the lives of the people they’re designed for. Convenience will always be valuable.

6) Constantly evolving: Designed environments require renewal to stay relevant. Successful design provides a canvas from which to be continually refreshed – delivering new, surprising and rewarding experiences.

7) Ownable: Great design is differentiated. Distant spaces with unique, ownable elements occupy a place in the mind that separates it from the competition.

Farla Efros, retail expert and President of leading consultancy HRC Advisory, said that some retailers may need to reinvent and reinvigorate their store layouts to cater to Millennials and Generation Z. These two groups will be critical for retailers doing business in Canada, she noted, and that in order to get shoppers into physical stores, the stores will need to be both “interesting and experiential”. 

Simons’ stores arguably meet the above criteria, as well as Ms. Efros’ comments. Simons stores are exciting, product is showcased in dedicated departments, and sales have been stellar. Peter Simons recently confirmed strong sales growth in Simons’ newer stores, which include locations at West Vancouver’s Park Royal and at Promenades Gatineau, north of Ottawa. 

All photos in this article are of the new Square One store, and are courtesy of La Maison Simons. 

RAANGE Interactive Secures 1 Million Customer Leads in 6 months for Retailers

Montreal-based RAANGE Interactive Inc. has launched a product that could revolutionize brick-and-mortar retail by facilitating omni-channel through personalized two-way communication. The company is already seeing success, having recently surpassed one million subscribers in only six months and having connected consumers with more than $10 million in instant savings.
 
RAANGE is being used to purposefully bridge businesses with consumers through two-way, permission-based interaction via its mobile solutions platform.
 
The journey for most consumers begins in the storefront. As consumers increasingly focus on their mobile phones even while shopping, store window displays and other traditional advertising signage isn’t getting noticed. 

RAANGE has innovated an ‘Interactive Sticker’ – a thin, highly visible adhesive card that uses the latest in mobile technology – for retailers to showcase in-store and get shoppers’ attention on the device they’re already often looking at – mobile. 
 
The concept is simple and innovative. Consumers opt-into receive communications (SMS/text messages, voice messages or email) from companies, products and services of their choosing. Companies then send the consumer offers, be it personalized instant deals, event updates, product launches and career opportunities. In the end, consumers get what they want, and retailers send personalized direct messages to consumers.

According to RAANGE CEO Eric Nykamp, many display windows, counter tops and visible wall space are underutilized. RAANGE allows for a more interactive experience, increasing consumer touch points while driving more value from these underutilized spaces. Mr. Nykamp also noted that even though a large majority of consumers who enter a store don’t make a purchase, they are already familiar with the store’s brand and are therefore qualified leads who could be converted into customers, either in-store or online. 
 
Canadian retailers are starting to take notice of RAANGE. Business listings & monthly unique impressions on RAANGE.ME, a community and deals page free for consumers and businesses, have been growing month-over-month.

The RAANGE retail solution can cut through communication clutter, providing customized messaging to consumers that is also CASL compliant. As a complement to the Stickers’ list building ability, they also offer a Contest Engine, and Convert and Re-Capture Technology. 
 
What’s next? Mr. Nykamp believes the technology can be successful in other industries, including automotive and food retailers. RAANGE is also working on their first generation Mobile app, soon to be launched. It will send personalized communications from retail clients directly to the RAANGE community of shoppers.
 
For more information on RAANGE, contact Matt Seniuk, Director of Marketing. Email: matt@raange.com or phone: 514-815-0952.

Zumiez Opening 7 Canadian Locations in 2016

OUTSIDE OF THE NEW ZUMIEZ VANCOUVER GRANVILLE STREET STORE. PHOTO: HELEN SIWAK OF @ECO.LUX.LUV

American fashion retailer Zumiez plans to open seven Canadian locations in 2016, according to its most recent financial report. 

Founded in 1978 near Seattle, Zumiez sells apparel, footwear, equipment and accessories for action sports, particularly skateboarding, snowboarding, BMX and motocross. The company’s first store was called ‘Above the Belt’ and was located at Seattle’s Northgate Mall. Zumiez caters to young men and women between the ages of 12 and 24, and now boasts in excess of 600 locations worldwide. 

The company currently has 42 Canadian stores in seven provinces, including B.C., Alberta, Saskatchewan, Manitoba, Ontario, Nova Scotia and New Brunswick. 

One location opened this week at 820 Granville Street in Vancouver. The store is 4,800 square feet over two levels according to Vancity Buzz, and replaces Quicksilver which vacated that retail space about three years ago. Job postings indicate that Zumiez will also open a store this year at Tsawwassen Mills, south of Vancouver. 

Zumiez is represented in Canada by brokerage Northwest Atlantic. According to the brokerage’s website, Zumiez is seeking retail space in the 2,400 to 3,200 square foot range, with a minimum 25 foot frontage. 

Masonville Place to See Substantial Overhaul

Cadillac Fairview, landlord of CF Masonville Place shopping centre in London, Ontario, has announced that it will invest $77 million into various mall improvements. The centre will see enhanced interiors, several new retailers, and new dining options. 

According to Cadillac Fairview, the mall’s interior will be modernized and upgraded — a good thing, considering that only minor improvements had been made to the centre since its opening in 1985. A new centre court staircase will anchor the centre, and new porcelain tile and stainless steel and glass guardrails will be installed throughout the mall. A major portion of the overhaul will involve an expansion into former Sears store, which previously occupied about 127,000 square feet in the centre. New retailers to Masonville will include London’s first Zara, Hot Topic and Disney stores, as well as H&M and Sport Chek/ Atmosphere, which also have locations at London’s White Oaks Mall. 

Masonville recently saw some improvements and new retailers, such as Sephora, Ivivva, Lush and Saje Natural Wellness. Cadillac Fairview says that further investment will be made to redevelop the mall’s former Target space, which will cost an additional $30 million on top of the $77 million earmarked for the most recent expansion. 

The mall is also adding new dining options, which will include a mix of popular premium casual and quick service restaurants including aroma espresso bar. Cadillac Fairview is also initiating a study to improve the mall’s accessibility, and it recently upgraded the mall’s Wi-Fi and has added mobile charging stations throughout the centre. 

Masonville Place’s renovation and expansion are expected to be completed by November of this year, and will be done in phases so stores may stay open. 

Chocolats Favoris Plans Major Store Expansion & Flagship

Chocolats Favoris (Image: STEVEGIRARD.CA)

Quebec-based Chocolats Favoris plans to double the size of its operations in a year, which will include a dozen new store locations and a new downtown Montreal flagship. The modest-sized retailer plans to grow its sales to about $100 million by the year 2020, expanding its store count from 13 to about 75 locations while also enlarging wholesale channels. 

Founded in Lévis, Quebec, in 1979, Chocolats Favoris currently operates locations in smaller Quebec cities. It was acquired by entrepreneur Dominique Brown in 2012 and in September of 2015, the company opened a new $3.5 million, 32,000 square foot factory. Each new store costs about $600,000 and employs between 35 and 40 staff. About half of Chocolats Favoris’ locations are franchised and that ratio will be maintained as part of the expansion. 

Chocolats Favoris will open about a dozen shops this year — with two of those expected for Ontario according to La Presse. The expansion will reportedly cost about $7 million and will create nearly 400 jobs, adding to the existing 450-person workforce already with the company.

THE MONTREAL FLAGSHIP WILL REPLACE AN ALDO SHOES LOCATION. PHOTO: MAXIME FRECHETTE.
PHOTO: MAXIME FRECHETTE.

Chocolats Favoris will also open a flagship this June on Sainte-Catherine Street West within Complexe Desjardins. It will replace an Aldo store which closed in February, and will feature a terrace overlooking Place des Arts. 

PHOTO: CHOCOLATS FAVORIS
PHOTO: STEVEGIRARD.CA

The retailer’s first Ontario location will open within the next few months in Orleans, near Ottawa. 

President Dominique Brown says that the company is looking to expand Canada-wide, as well as possibly into the United States. Mr. Brown says that he hopes the retailer will be in all major Canadian cities over the next three years, and that the retailer’s name will remain the same in all markets, as opposed to Anglophone translation. 

This topic was originally covered in French language in La Presse by journalist Marie-Eve Fournier, and it was brought to our attention by our Montreal-based correspondent Maxime Frechette. For those who read French, we direct you to the original article which goes into specific details about the new flagship as well as the company’s expansion plans. 

‘Canada’s Shave Shop’ Plans National Expansion

Image: Kent of Inglewood

Calgary-based Kent of Inglewood is looking to further expand its store base. The relatively new retailer has seen such tremendous success that in less than three years of operations, it is looking to already open its fourth location. The company also has a refreshing sense of humour which has helped expand its customer profile, with a fun in-store experience that cannot be replicated online. 

Founded by Kevin Kent in 2013, Kent of Inglewood sells straight razors and shaving accessories, and has even expanded into selling axes, fly fishing rods, canoe panels, cocktail gear, pocket knives, toboggans and other ‘manly’ items that reflect ‘Canadiana’. According to its website, “every man should have an excellent axe, a stiff cocktail, and a perfect shave“, following with “Kent of Inglewood is a 100 year old store that opened it’s doors in 2014. Our passion is classic shaving, cocktails, axes, and all things fantastic”. 

Mr. Kent explained how he founded Kent of Inglewood almost by accident. Customers at his knife retail operation, Knifewear, began asking about straight razors. Mr. Kent managed to locate the only Japanese blacksmith creating these, and brought the product to Calgary. Customers soon asked for shaving accessories such as soaps, combs, pomade, colognes and oils, which led to the creation of a small grooming shop at the back of the knife store. The concept took off and because of customer overcrowding at the back of Knifewear, Mr. Kent decided to open a dedicated Kent of Inglewood shave shop in a retail space across the street. 

Appreciating the blacksmith craft, Mr. Kent located a Swedish handmade axe manufacturer, and became its biggest customer. Demand saw Mr. Kent expand the store’s product offerings as described above, creating something of a ‘curated men’s department store’ as he calls it. 

Founded in Calgary’s trendy Inglewood area, Kent of Inglewood soon expanded to open stores in Edmonton and Ottawa. The Edmonton store is located on trendy Whyte Avenue in Old Strathcona, and the Ottawa store is on Bank Street in the city’s Glebe neighbourhood. Vancouver is next for Kent of Inglewood, and Mr. Kent is currently seeking retail space for at least one store in that city. 

Founded in Calgary’s trendy Inglewood area, Kent of Inglewood soon expanded to open stores in Edmonton and Ottawa. The Edmonton store is located on trendy Whyte Avenue in Old Strathcona, and the Ottawa store is on Bank Street in the city’s Glebe neighbourhood. Vancouver is next for Kent of Inglewood, and Mr. Kent is currently seeking retail space for at least one store in that city. 

Mr. Kent discussed the fact that he’d like to see his concept grow into a national chain of stores. The concept is ‘fun’ and to differentiate from e-commerce, Kent of Inglewood hosts in-store parties and encourages customer interaction with its products. Kent of Inglewood seeks street-front retail space in the 1,000 to 1,500 square foot range in larger Canadian cities. 

Ladurée Opens 1st Canadian Location [Photos]

Laduree (PHOTO: MARTIN MORIARTY, CBRE)

Popular French luxury bakery and sweets maker Ladurée has opened its first Canadian location at 1141 Robson Street in Vancouver. Retail Insider Vancouver correspondent Helen Siwak attended the opening on Thursday, March 24, where hundreds had lined up along the 1100 block of Robson Street. 

The 1,200 square foot store’s facade reflects the look of the historic Rue Royale boutique in Paris. Inside, marble-topped gold counters are filled with macarons, viennoiseries (baked goods/pastries), teas, jams and a collection of perfumed candles and home fragrances. The store also features a 16-seat tea salon, with daily tea service and sweet and savoury treats from Ladurée’s chefs. Panels depicting the four seasons and Carrara marble-topped cream wooden tables characterize the salon, along with lyre back chairs in rose and almond green hues, and small floral benches. 

The Vancouver boutique is open seven days/week, 10:00 am to 9:00 pm. 

The lease deal was negotiated by Mario Negris and Martin Moriarty of Vancouver’s CBRE Urban Retail Team. Mr. Moriarty said, “It was very exciting to see Canada’s first Laduree open on Thursday. The initial reaction has been overwhelmingly positive – line-ups around the block, three days in a row, certainly breeds confidence for the future. This opening, along with the upcoming Nike and Aritizia flagships, purely solidifies Robson’s ability to attract the world’s premier brands.”

“We’re honoured to bring a taste of France to Canada,” says David Holder, president of Ladurée. “Vancouverites will be the first in the country to have the opportunity to experience the elegance of a Parisian tea salon and can take a piece of Paris home with them from our charming boutique.”

Founded in Paris in 1862, Ladurée is best known for its double-decker macarons, selling over 15,000 of them daily. Many Ladurée locations also sell ice cream, sorbets, jams, chocolate and candy, as well as branded accessories. Ladurée was purchased by French business group Groupe Holder in 1993, expanding Ladurée from a handful of locations to dozens of boutiques in 25 countries. The company currently has four American locations, including two in Manhattan and two in Miami.

See more photos below. 

Canada’s Top Malls Share Several Key Tenants

A recent report from Credit Suisse identified six retailers common to America’s ‘most valuable’ mall properties. We thought it would be interesting to do a similar comparison with Canada’s top centres, though there are some key differences between the two countries. 

Credit Suisse identified Nordstrom, Louis Vuitton, Lululemon, Apple, Tiffany & Co. and The Cheesecake Factory (restaurant) as common tenants to the ‘most valuable’ U.S. malls. Canada’s top malls share some of the same tenants. Nordstrom, however, currently operates only three Canadian stores, and it will open three more Canadian locations (all in Toronto) by the fall of 2017. A deal to open Canada’s first Cheesecake Factory location, which would have been located in a leading mall, fell through last year. 

We recently reported on Canada’s top 25 shopping centres in terms of sales per square foot. We’ll use that list as our ‘most valuable’ malls for convenience, and discuss tenants in a few of the top properties. 

Toronto’s Yorkdale Shopping Centre, which is both Canada’s most productive and highest-selling mall property ($1,610/square foot annual sales, $1.2 billion in total sales), features locations for Louis Vuitton, Lululemon, Tiffany & Co. and Apple. Although the mall’s Louis Vuitton store is technically a concession at Holt Renfrew, it features a mall-fronting entrance and at 4,000 square feet, is the third largest Vuitton location in the country. Nordstrom will join the mix when it opens a 196,000 square foot location at Yorkdale on October 21 of this year. 

Vancouver’s CF Pacific Centre ($1,599/square foot annual sales) features a 230,000 square foot Nordstrom flagship which opened last September, as well as locations for Apple, Tiffany & Co. and Louis Vuitton. The Tiffany and Vuitton locations are both shop-in-store concessions within the mall’s productive and expanding Holt Renfrew. It’s worth noting that Pacific Centre lacks a Lululemon store, though there’s one three blocks west at 970 Robson Street (corner of Burrard Street). 

Vancouver’s Oakridge Centre ($1,537/square foot annual sales) includes locations for Tiffany & Co., Apple and Lululemon. The mall lacks Nordstrom and Louis Vuitton locations. Given the mall’s expansion plans and proximity to Vancouver’s affluent West Side, more upscale tenants can be expected. 

Toronto’s CF Toronto Eaton Centre ($1,509/square foot annual sales) features Lululemon and Apple stores, but lacks a Tiffany & Co. location. Louis Vuitton opened a 1,200 square foot concession last month within Saks Fifth Avenue, which occupies part of the mall’s Hudson’s Bay building. The centre is a hotbed of activity (being at Canada’s busiest pedestrian intersection) and on September 16 of this year, Nordstrom will open a 220,000 square foot flagship in space formerly occupied by Sears. Rumour has it that Apple will also open a replacement store in the centre — this time as a flagship location. 

Edmonton’s Southgate Centre ($1,215/square foot annual sales) features Apple Store and Lululemon locations. The mall lacks Tiffany & Co., Louis Vuitton and Nordstrom stores. It’s unclear if any of these will open at the centre — Tiffany & Co. operates a successful location at West Edmonton Mall, and until recently Nordstrom was also in talks to open at Canada’s biggest centre. Although Louis Vuitton is said to be seeking suburban Edmonton space (to replace an existing downtown Holt Renfrew concession), sources say that Vuitton is unlikely to move into Southgate. 

Calgary’s CF Chinook Centre ($1,119/square foot annual sales) has become increasingly upscale over the past several years. Nordstrom opened its first Canadian store at Chinook in the fall of 2014, and the mall now houses locations for Apple, Tiffany & Co. and Lululemon. We’re not aware of any plans to add Louis Vuitton to the mix, though rumours persist that Saks Fifth Avenue will open in the mall’s former Target space, possibly housing a Vuitton shop-in-store concession. 

Mississauga’s Square One ($1,008/square foot annual sales) is also becoming substantially more upscale, and it recently opened a ‘luxury wing’ with several first-to-market tenants. The mall features locations for Apple and Lululemon, and in the summer of 2016, Tiffany & Co. will open a shop-in-store concession within the mall’s new 130,000 square foot Holt Renfrew flagship. Sources say that Louis Vuitton could also eventually join Square One’s retail mix with a concession at Holt’s.

Downtown Toronto’s Royal Bank Plaza retail component ($1,096/square foot annual sales) is remarkable because 1) it features none of the retailers discussed above, and 2) the centre operates only six days a week between 8:00 am and 6:00 pm Monday-Friday, and 10:00 am to 6:00 pm on Saturdays. The Oxford Properties-managed centre houses a number of strong tenants to serve Canada’s financial district, including dapper American fashion retailer Brooks Brothers.