Pür & Simple plans aggressive Canadian and US expansion; 50th location opening in Toronto (Renderings)

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January 30, 2025

Pür & Simple, Canada’s destination for elevated breakfast where exceptional food meets outstanding hospitality, is opening its 50th location next week with plans to aggressively grow the business in Canada as well as enter the US market this year.

The 50th location will open February 4 at Bayview Village in Toronto with a sleek new 2,500-square-foot design that’s modern, inviting, and warm.

The opening is part of the brand’s ambitious ‘Road to 100’ campaign, aiming for 100 locations across Canada. Following 11 new locations in 2024 and 20 additional sites secured, Pür & Simple is gearing up for its U.S. debut, with its first location in San Antonio, Texas, arriving in Q2 2025.

Pür & Simple opened its first restaurant in Laval, Quebec, in 2016.

The brand was founded by Ritou Maloni, President, and Chief Operating Officer and Derek Massad, CEO.

Massad said the vision for the brand from the beginning was to reinvent breakfast through creative menu items, healthier options and its focus on hospitality.

“We’re a very guest-centric brand that puts our guests first. Our decor, I think, we’re bar none probably the sleekest most modern decor in the breakfast segment in all of Canada. To be quite honest with you, probably all of North America.”

Massad said the brand has 29 commitments in Texas and Florida to build its expansion plans south of the border.

This year, he said the company expects to open five locations in the US.

In Canada, the brand is looking at opening 20 new locations this year.

“Our franchise partners are really enjoying a profitable franchise system. We have a multi-unit franchise part that are just opening up their second, third, fourth locations. When you’re good, the word spreads. We have a pipeline full of franchise partners that are just in queue waiting for a location to come their way. We have a lot more franchise partners than we do locations at this point in time,” he said.

“I truly believe if the market could cater to our real estate needs we would have 40 locations open this year instead of 20 opening this year in Canada. It’s a good problem to have for sure, but nonetheless it still is a little bit of an issue.”

Massad said the company is expecting to add 52 additional units in Canada in 36 months.

Owned and managed by QuadReal, Bayview Village is undergoing a major transformation that will reimagine the upscale shopping destination as a vibrant community hub.

“The addition of Pür & Simple at Bayview Village further enhances our commitment to delivering an exceptional, experience-driven destination,” said Chrystal Burns, Executive Vice President of Retail, QuadReal Property Group. “Featuring its first-ever indoor patio, Pür & Simple at Bayview Village will bring a new bright and inviting dining experience to our renowned Restaurant Lane, seamlessly complementing the world-class retail and culinary environment we are committed to curating for our guests.”

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Birks Group reports 4% increase in holiday sales for FY2025 despite headwinds (Interview)

By

Mario Toneguzzi

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January 30, 2025

Birks Group Inc. has announced its financial results for the eight-week interim sales period ended December 28, 2024, reporting a 4.0% increase in net sales compared to the same period in FY2024. The luxury jewelry and watch retailer also saw a 1.3% rise in comparable store sales during this period.

But the company like all retailers has seen the economic headwinds led by consumer uncertainty and anxiety.

Strong Retail and E-Commerce Performance

The 4.0% growth in net sales was primarily driven by robust performance in the retail sector, particularly in third-party branded watches, which outperformed sales from the previous year. Additionally, Birks Group experienced strong e-commerce sales, further contributing to the company’s overall positive results. The 1.3% increase in comparable store sales also reflected the strength of branded watch sales during the holiday season.

CEO Highlights Commitment to Excellence

Jean-Christophe Bédos, President and Chief Executive Officer of Birks Group, expressed his satisfaction with the results, stating: “Our teams have delivered good sales results this holiday period as compared to the corresponding period last year, including sales growth over last year. We continue working on improving our operations despite increased pressure on costs and margins. We remain focused on delivering excellence in customer service, and I would like to sincerely thank all our employees for their continued hard work and dedication.”

Bédos said he didn’t want to sound like he’s pessimistic but there are consumer headwinds.

“There is a perception of anxiety from the Canadian consumers,” said Bédos, adding that several factors have come into play including the result of the US election, the uncertainty of tariffs, the uncertainty of a Canadian federal election, higher interest rates and the value of the Canadian dollar.

“There is a spectrum of events which do not generate consumer confidence That we can see. We saw that in 2024 and we still see this now in January 2025.

“From a consumer standpoint, what would trigger a change in the perception? Because it’s often about perception, isn’t it? Would a general election in Canada change perception? Election of a new administration? People say that, but when is it coming? Is it in Spring or is it in October. So there is still a lot of uncertainty. We are on the 30th of January and everybody says and anticipates that on the 1st of February, in two days from now, the tariffs will increase for Canadian goods exported to the US. What we have visibility on does not encourage optimism.

“There is a storm. We can’t underestimate or deny the fact that there are headwinds ahead.”

About Birks Group

Founded in 1879, Birks Group is a premier designer and retailer of fine jewelry, timepieces, and luxury gifts in Canada. The company operates 18 stores under the Maison Birks brand in major metropolitan areas, along with additional locations under the Birks, TimeVallée, Brinkhaus, Graff, Patek Philippe, and Breitling brands. Birks’ fine jewelry collections are also available through select retailers in North America, the United Kingdom, and Poland.

The company in 2024 opened a Birks and a TimeVallée in the Royalmount project in Montreal. The company also opened more boutiques with Breitling in 2024. In 2023, it opened a test with Breitling in CF Carrefour Laval, north of Montreal. And the results were good enough for the company to feel very optimistic to open other stores. A Breitling opened in CF Rideau Centre in Ottawa and in CF Sherway Gardens in Toronto.

The company will be opening this fall a Birks, a TimeVallée and a Chaumet at Oakridge Park in Vancouver.

Bédos said the company still has plans to close its downtown Toronto store on Bloor which was announced a while ago.

“It’s still there for at least another year,” he said.

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Walmart Canada to Invest $6.5 Billion in Nationwide Expansion

By

Craig Patterson

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January 30, 2025

Walmart Canada has announced a significant $6.5 billion investment in the country over the next five years, marking the largest expansion initiative in the company’s 30-year history in the country. The investment will fund the construction of dozens of new stores, the modernization of its supply chain, and substantial investments in its workforce to better serve Canadian consumers.

As part of its expansion strategy, Walmart Canada will open dozens of new locations nationwide, with the first five Supercentres set to launch in Ontario and Alberta by 2027. These initial openings include:

Port Credit Walmart Supercentre (Mississauga, Ontario) – Opening in summer 2025, this location will provide a full range of products at Walmart’s everyday low prices, catering to urban consumers.
Oakville Walmart Supercentre (Hopedale Mall, Ontario) – Expected to open in late 2025, this store will feature a complete grocery selection, pharmacy services, and a broad assortment of general merchandise.
Three Alberta Supercentres – Planned for Calgary, Edmonton, and Fort McMurray, these locations will strengthen Walmart’s presence in Western Canada.

In addition to retail expansion, Walmart Canada is set to open its most advanced distribution facility in Vaughan, Ontario, in spring 2025. This facility aims to improve efficiency and product availability, reinforcing the company’s supply chain capabilities.

Rendering of the new Port Credit Walmart Supercentre, located on a second level in a development. Image: Walmart

Strengthening Supply Chain Operations

Walmart Canada is also making substantial changes to its logistics infrastructure. The new Vaughan Distribution Centre will incorporate state-of-the-art automation and technology to enhance distribution efficiency.

As part of this transformation, Walmart Canada has reached an agreement with Canada Cartage, the country’s largest provider of fleet services, to acquire Walmart’s fleet business.

“Canada Cartage has deep expertise in dedicated fleet services and has been serving Canadian businesses for more than 110 years,” said Matt Kelly, Vice President of Supply Chain at Walmart Canada. “This agreement will allow us to serve customers more efficiently while providing fleet employees with new career opportunities.”

Building on Previous Investments

This latest investment builds upon Walmart Canada’s previous $3.5 billion initiative announced in 2020. Over the past four years, the company says it has modernized more than 180 stores and opened four new locations, including two in Victoria, B.C., and Montreal, Quebec. Additionally, Walmart says it has invested $800 million in new distribution centres across the country, including facilities in Cornwall, Surrey, Rocky View County, Moncton, and Vaughan.

“Across the country, we are making strategic investments in both our online and in-store offerings to enhance our relevance to more customers,” said Joe Schrauder, Chief Operations Officer at Walmart Canada. “From newcomers and urban shoppers to higher-income Canadians, more people are choosing Walmart for their shopping needs.”

Walmart Eglinton (Image: Field Agent Canada)

Investing in Employees

Walmart Canada says it is also prioritizing investments in its workforce. In 2024, the company allocated nearly $200 million toward wage increases for frontline employees as part of its commitment to supporting long-term career growth.

“We are incredibly proud of how we continue to invest in our people,” said AnnMarie Mercer, Chief People Officer at Walmart Canada. “These investments are essential to attracting and retaining top talent as we evolve as a leading omnichannel retailer.”

With a workforce of over 100,000 associates nationwide, Walmart Canada remains one of the country’s largest employers, providing stable jobs and career advancement opportunities.

Long-Term Strategy for Market Leadership

The expansion reflects Walmart Canada’s efforts to appeal to a broader demographic. The company is enhancing its product offerings and digital capabilities to attract urban shoppers, newcomers, and affluent consumers.

“As we embark on this next phase of growth, we remain committed to offering everyday low prices, expanding customer convenience, and reinforcing our leadership in Canada’s retail sector,” said Schrauder.

Walmart Canada operates more than 400 stores nationwide, serving approximately 1.5 million customers daily. Its e-commerce platform, Walmart.ca, is one of Canada’s most visited retail websites, attracting over 1.5 million visitors daily. Since its entry into Canada in 1994, Walmart has played a key role in the country’s retail industry, supporting local communities and charities with over $750 million in donations.

New Leadership at Walmart Canada

The company also recently appointed a new President and CEO. Venessa Yates was named as the new leader of Walmart Canada earlier this month, bringing extensive experience in retail operations and strategic growth. Yates previously held leadership roles within Walmart and is expected to steer the company toward greater innovation and customer-focused solutions.

Her appointment follows the tenure of Gonzalo Gebara, who is returning to Argentina after leading Walmart Canada through key growth phases. Under his leadership, the company made significant investments in digital transformation and supply chain modernization.

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Payroll employment higher than a year ago: Statistics Canada

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Mario Toneguzzi

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January 30, 2025

The number of employees receiving pay and benefits from their employer—measured as “payroll employment” in the Survey of Employment, Payrolls and Hours—decreased by 56,100 (-0.3%) in November, following three consecutive months of little change. On a year-over-year basis, payroll employment was up 142,900 (+0.8%) in November, reported Statistics Canada on Thursday.

The report said payroll employment in the retail trade continues to decline.

“The postal service industry group, which is part of the transportation and warehousing sector, recorded a decline of 38,200 (-48.7%) in November, associated with the strike action that began during the month. In accordance with the “payroll employment” concept of the survey, persons who are on strike for the entire survey reference week are excluded from the payroll employment count for the month. Excluding the decline in this industry group, the overall decrease in national payroll employment was 17,900 (-0.1%) in November,” said Statistics Canada.

“In addition to the decline in transportation and warehousing (-36,900; -4.3%), six other sectors recorded payroll employment decreases in November, including retail trade (-6,100; -0.3%), administrative and support, waste management and remediation services (-3,300; -0.4%) and other services (except public administration) (-2,300; -0.4%). These declines were partially offset by gains in accommodation and food services (+5,000; +0.4%), health care and social assistance (+2,900; +0.1%) and management of companies and enterprises (+1,400; +1.2%). The remaining 10 sectors were little changed.”

Stats Can said job vacancies were little changed in November, at 518,200, following a decrease of 14,300 (-2.7%) in October and little change in September.

Job vacancies were little changed in November, at 518,200, following a decrease of 14,300 (-2.7%) in October and little change in September. On a year-over-year basis, job vacancies were down by 153,600 (-22.9%) in November, according to Statistics Canada.

The job vacancy rate—which corresponds to the number of vacant positions as a proportion of total labour demand—was 2.9% in November, unchanged from the previous month and down by 0.9 percentage points from November 2023 (3.8%), it explained.

There were 2.9 unemployed persons for every job vacancy in November 2024, up from 2.8 in the previous month. This increase was driven by the increase in unemployment (+87,300; +6.1%), measured by the Labour Force Survey, as the number of vacancies was little changed in November. Year over year, the unemployment-to-job vacancy ratio rose from 1.9 to 2.9, said the report.

“In November 2024, a number of unions across Canada began strike action. This included multiple unions representing workers at the Vancouver and Montréal ports and the Canadian Union of Postal Workers (CUPW). While most labour disputes occurred during the first two weeks of November, CUPW, a union representing nearly 55,000 postal workers across Canada, began strike action on November 15,” said the report.

“Payroll employment in retail trade fell by 6,100 (-0.3%) in November, following little change in October and a decrease of 8,400 (-0.4%) in September. Payroll employment in this sector has generally trended down since January 2024, with a net loss of 30,600 (-1.5%) over the period,” explained Statistics Canada.

“In November, the monthly decline in the sector was led by clothing, clothing accessories, shoes, jewelry, luggage and leather goods retailers (-2,200; -1.1%) and general merchandise retailers (-1,500; -0.6%). These two subsectors accounted for 23.3% of overall payroll employment in the retail trade sector in November.”

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Tim Hortons brings back Special Olympics donut to support Canadian athletes

By

Mario Toneguzzi

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January 30, 2025

Tim Hortons-Tim Hortons Special Olympics Donut is back from Jan- — Tim Hortons Special Olympics Donut is back from Jan. 31 until Feb. 2 with 100% of proceeds donated to Special Olympics Canada (CNW Group/Tim Hortons)

Tim Hortons has announced the return of the Special Olympics Donut, a beloved initiative that helps raise funds for Special Olympics Canada. From January 31 to February 2, Canadians can purchase the Special Olympics Donut at participating Tim Hortons restaurants across the country, with 100% of proceeds supporting athletes with intellectual and developmental disabilities.

A Sweet Way to Support Inclusion

Now in its sixth year, the Special Olympics Donut campaign continues to make a meaningful impact on the lives of thousands of athletes. The donut itself is a delicious chocolate cake ring donut topped with white fondant, colourful sprinkles, and whipped topping. Its vibrant design symbolizes the themes of diversity and inclusion that are central to the Special Olympics movement, said the company.

“We’re so proud Tim Hortons restaurant owners, team members, and guests continue to come together every year to help make sports accessible to everyone through the sale of Special Olympics Donuts,” said Axel Schwan, President of Tim Hortons.

Making a Difference in the Lives of Athletes

Tim Hortons’ partnership with Special Olympics Canada extends beyond the donut campaign. The company also supports the organization through its FUNdamentals and Active Start youth programs, designed to help children with intellectual disabilities develop essential motor and sport skills through fun and engaging activities. These programs promote physical fitness, confidence, friendships, and overall well-being, it said.

Gail Hamamoto, CEO of Special Olympics Canada, expressed gratitude for the continued partnership: “Tim Hortons has been an incredible partner to our movement, and their continued support means so much to the more than 42,000 Special Olympics athletes across Canada and their families. Every year, I’m inspired by how Canadians rally behind this initiative. The funds raised through the Special Olympics Donut support programs that create life-changing opportunities for athletes with intellectual and developmental disabilities to thrive—not just in sport, but in their everyday lives.”

Athletes Feel the Love

For Special Olympics athletes like Julia Romualdi, this initiative is more than just a fundraiser—it’s a celebration of inclusion and support.

“I love seeing the Special Olympics Donut at Tim Hortons every year. It makes me feel so proud to know that so many people support athletes like me. Special Olympics has given me the chance to grow, meet friends, and achieve things I always dreamed of. Knowing that every donut sold helps more athletes join Special Olympics community sport programs is so exciting. Thank you for believing in us!” Romualdi shared.

Get Your Special Olympics Donut Before February 2

Canadians looking to support Special Olympics Canada can visit their local Tim Hortons and purchase a Special Olympics Donut while supplies last. Every donut sold helps create opportunities for athletes to build confidence, develop skills, and experience the joy of sport.

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2025 Retail Insights: AI, Sustainability, and Consumer Shifts

By

Craig Patterson

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January 30, 2025

image - 2025-01-29T225258.213 — Southgate Centre in Edmonton. Photo: Smith + Andersen

The retail industry is bracing for an impactful year in 2025, marked by technological advancements, economic pressures, and growing sustainability demands. Carl Boutet, a leading retail strategist, recently shared his insights on how retailers can adapt to these challenges. From the rise of agentic AI to the importance of balancing global uncertainties, Boutet’s predictions provide a roadmap for navigating the evolving retail landscape.

AI’s Next Frontier: The “Agentic” Revolution

Artificial intelligence continues to transform retail operations, but Boutet sees 2025 as the year when “agentic” AI becomes the focal point. Unlike traditional AI, agentic systems can perform tasks independently, such as automating purchasing decisions for both consumers and retailers.

“Agentic AI will automate a range of activities for both buyers and sellers,” Boutet explains. “For low-consideration, non-discretionary purchases, these agents can streamline decision-making and purchasing processes, fundamentally altering how consumers shop.”

While agentic AI offers immense potential, Boutet warns against over-reliance. “Blind spot number one is becoming too dependent on AI. Retailers still need to differentiate and offer value beyond what AI can provide. Efficiency is critical, but long-term success hinges on creating meaningful customer experiences.”

AI’s impact often goes unnoticed by consumers, he adds. “Optimization, prediction, and anticipating consumer needs are where AI is making the most significant contributions. It’s not just about flashy technology in stores.”

Quantum Computing: A Future on the Horizon

Quantum computing, though still in its infancy, is generating interest within the retail sector. Boutet predicts its relevance will grow by the end of 2025, although practical applications remain years away.

“Quantum computing has the potential to make current systems look archaic,” Boutet notes. “It’s a massive leap forward in computational power, but we’re still in the early stages. Practical implementation is likely decades away.”

Boutet cautions retailers against falling for “quantum washing,” where companies exaggerate their quantum capabilities to capitalize on hype. “It’s similar to the AI buzz we saw years ago. The key is focusing on tangible benefits and not getting distracted by marketing noise.”

Sustainability Stays in Focus

Sustainability remains a cornerstone of retail strategy despite economic uncertainties. Boutet emphasizes the importance of circular economy initiatives, such as resale models and waste reduction.

“Sustainability hasn’t vanished,” he says. “Companies are finding innovative ways to meet consumer demand for eco-conscious options while embracing the circular economy as a key strategy.”

Reflecting on his 2020 prediction that sustainability would dominate the decade, Boutet highlights its resilience. “The pandemic could have derailed this momentum, but it remains top of mind for many retailers,” he explains.

He also points to McDonald’s keynote at NRF 2025, where sustainability ranked among the company’s top three priorities. “It’s not just a trend; it’s an imperative,” Boutet asserts.

Canadian Retail’s Economic Divide

In Canada, economic polarization is reshaping the retail landscape. Boutet highlights the contrast between thriving value-driven retailers and high-performing premium brands like Aritzia.

“We’re seeing the haves and have-nots split even further,” Boutet observes. “You’re either delivering exceptional value or providing a premium experience. Mid-market retailers are struggling to maintain relevance.”

Economic pressures are exacerbating this divide. “Almost 50% of Canadian households are within two missed payments of financial trouble,” Boutet notes. “This reality drives demand for value-focused retailers while challenging those relying on discretionary spending.”

The Rise of Experiential Retail

Experiential retail is gaining traction as physical and digital experiences merge. Boutet emphasizes creating environments that offer more than shopping.

“Experiential retail is where social commerce and augmented reality intersect,” he explains. “It’s about crafting spaces that blend shopping, entertainment, and hospitality.”

Boutet shares his experience visiting American Dream in New Jersey. “They’ve created incredible retail environments blending hospitality, entertainment, and shopping. Concepts like Gentle Monster are pushing boundaries,” he says.

In Canada, projects like Royalmount in Montreal illustrate this trend. Although the initial rollout received mixed reviews, Boutet remains optimistic. “With 75% of the first phase complete, it’s a long-term project. By 2030, it could redefine retail in Canada,” he predicts.

Preparing for 2025: Staying Flexible

As 2025 approaches, Boutet stresses adaptability as a key to success. “We’re operating in a VUCA world—volatile, uncertain, complex, and ambiguous,” he says. “Retailers need to stay flexible, keep their blinders off, and adapt to global trends.”

Despite challenges, Boutet identifies constants: digitization, the relevance of physical stores, and sustainability. “Physical retail isn’t going away,” he says. “If anything, it’s more important than ever. The challenge lies in seamlessly integrating technology into the in-store experience.”

Looking forward, Boutet advises caution with new technologies. “AI will continue shaping retail, but brands can’t lose their humanity. Differentiating through unique customer experiences is critical for long-term success,” he concludes.

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Pomme Salon celebrates 10 Years with expansion to Toronto

By

Mario Toneguzzi

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January 30, 2025

Pomme Salon, the brainchild of Nicole Pidherny, celebrated its 10th anniversary with a major milestone: the launch of its first Toronto location. Founded in Kelowna, British Columbia, in 2015, Pomme Salon has evolved from a local beauty hub into a dynamic brand bridging salon services and at-home care.

“My vision from the start was to create a beauty hub that went beyond just services,” explains Pidherny. “I wanted to bridge the gap between the salon and home care because, as a stylist, I noticed a disconnect between the client in the chair and their at-home hair care routine.

“Expanding to bring Pomme Salon to even more Canadians is a dream come true! David and I can’t wait to help Torontonians with not only their cuts and colours, but also their scalp and hair health,” added Pidherny, Pomme Salon Founder and Stylist. “We are thrilled to join the vibrant Queen West community, where we can share our passion and expertise to create a welcoming space that helps everyone feel their best even after they leave the salon.”

This unique vision is evident in Pomme’s evolution. The salon’s original Kelowna location has grown into a business encompassing an e-commerce platform, online education, digital consultations, and now, a second physical location in Toronto.

A Natural Fit for Toronto

Pomme Salon’s new Queen West location opened on November 20, in partnership with business partner David Nadicci. “Toronto was the best next step for the brand,” says Pidherny. “While Vancouver seemed like the natural progression from Kelowna, Toronto offered more opportunities for growth. I also saw a gap in the salon industry here, particularly in educating clients about scalp care and bridging the service and retail aspects of hair care.”

The Queen West salon is positioned in one of Toronto’s most vibrant districts, surrounded by premium brands like Aesop and Le Labo. “We’re in the heart of Toronto, and there isn’t really a salon here focused on what we do—educating clients on scalp care, hair care, and how to maintain their hair between appointments,” she adds.

Looking Ahead: Expansion and Innovation

Pidherny has big plans for Pomme Salon. The next goal? Expanding Pomme’s e-commerce platform and private label products into the U.S. market. “We’ve developed tools and accessories like scalp brushes and hair towels—products that are hard to find outside of traditional shampoos and conditioners,” she shares. “Expanding our wholesale and private label business is a top priority.”

She’s also eyeing further Canadian expansion, with locations in Oakville, Edmonton, and Calgary on the horizon.

Rooted in Kelowna’s Heritage

The name “Pomme” pays homage to Kelowna’s rich agricultural roots. “Kelowna’s original location was an apple orchard back in the 1980s,” Pidherny notes. “I wanted to honor the beauty and history of the Okanagan region. . . ‘Pomme,’ meaning apple in French, felt like the perfect fit.”

As Pomme Salon celebrates a decade of growth, Pidherny remains focused on the brand’s mission: building community and providing exceptional care. “I’m really excited to be expanding and connecting with more people, which is exactly what I envisioned for Pomme,” she says.

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Small business confidence continues to decline as U.S. tariffs loom: CFIB

By

Mario Toneguzzi

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January 30, 2025

The long-term small business confidence has lost ground for the second month in a row, finds the January 2025 Monthly Business Barometer by the Canadian Federation of Independent Business (CFIB).

This indicator sat at 54.6 index points in January after a loss of two points, bringing the total drop to five points since November, said the report.

Confidence among exporting small businesses fell significantly since this November (-8.1 points). Optimism among importing SMEs also dropped several points (-3.3 points), said the CFIB.

Measured on a scale between 0 and 100, an index above 50 means owners expecting their business’s performance to be stronger over the next three or 12 months outnumber those expecting weaker performance.

“The threat of upcoming U.S. tariffs and political changes in Canada have installed a lot of fog in front of the windshield. Our economy is already paying the price of this lack of direction. The uncertainty is making it harder for businesses to plan ahead and make critical decisions, such as hiring or investment,” said Simon Gaudreault, CFIB’s chief economist and vice-president of research.

“The various barriers to domestic trade, ill-timed tax increases and our epic red tape have been strangling Canada’s entrepreneurs for far too long, so it’s not surprising that Canada has entered this critical period in such a weak position. With U.S. tariffs that could be coming our way this weekend, in the short term we need to rapidly send business owners a signal they will be supported, while ensuring in the longer term they are in a better position to diversify their markets, innovate and grow. A good place for governments to start would be to reduce red tape, to roll back taxes including on capital gains and carbon, and to remove well-known internal trade barriers.”

The CFIB is Canada’s largest association of small and medium-sized businesses with 100,000 members across every industry and region.

“The jury is still out on the final impact of the GST/HST tax holiday on involved firms. We will see in the next few weeks how they experience the last stretch of the tax holiday. This includes of course a repeat of the administrative challenges and costs they had to face during the implementation rush, but this time merely to go back to business as usual,” said Andreea Bourgeois, Director of Economics at CFIB.

Businesses in retail (+6.9 points since December), health and education (+5.3) and hospitality (+1.5) were among the few registering an increase in long-term confidence in January. Most sectors remained below their historical optimism levels, said the CFIB report.

Across all sectors, nearly record high shares of businesses reported struggling with low demand (52%) and taxes/regulations (70%), it added.

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Square’s Future of Commerce Report reveals 2025 business trends in restaurants, retail, and beauty

By

Mario Toneguzzi

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January 30, 2025

Square, the technology company streamlining commerce and financial services, has unveiled early insights from its upcoming annual Future of Commerce report. The findings provide a deep dive into the trends shaping the restaurant, retail, and beauty industries in Canada, the U.S., the U.K., and Australia as businesses adapt to economic challenges and technological advancements.

Retailers Prioritize Seamless Digital and In-Store Experiences

Retailers are focusing on merging online and in-store experiences to meet evolving consumer expectations. According to the report, 71% of retail leaders believe in-store experiences—such as product demonstrations and interactive events—are crucial for business growth. As competition intensifies, 35% of retailers plan to increase their in-store events to attract customers and enhance engagement.

Recognizing the importance of an omnichannel presence, 64% of retailers plan to invest in online stores over the next year. This shift aligns with growing consumer demand for integrated shopping experiences that blend digital convenience with in-person interaction.

Restaurants Invest in Tech to Combat Rising Costs

With inflation persisting and consumer spending tightening, restaurants are turning to innovative technology solutions to increase efficiency and customer engagement. The report reveals that 89% of restaurant leaders in Canada plan to invest in technology in 2025, aiming to optimize operations and enhance customer experiences.

Toronto’s Sunnyside Grill exemplifies this trend. Owner Melanie Jackson credits Square for helping manage fluctuating staffing needs and labor costs without raising menu prices. ““We’ve been using Square since 2021, and with food costs remaining high, having a technology partner that simplifies our operations has become more critical than ever. Square has been especially helpful in managing fluctuating staffing needs over the past several years. It allows us to easily track labour costs, ensuring the restaurant stays appropriately staffed and our customers remain satisfied,” said Jackson.

The study also highlights the growing role of AI and automation in restaurant management, with 81% of Canadian restaurant leaders seeing benefits in areas such as marketing, inventory management, and vendor relations. Additionally, 72% plan to enhance loyalty programs, recognizing their impact on driving repeat business and increasing order sizes.

Beauty Industry Leverages Personalization for Growth

Personalized customer service remains a driving force in the beauty sector. The report highlights that 68% of Canadian consumers purchase products recommended by their beauty specialists, presenting an opportunity for salons and spas to expand their revenue streams. Businesses in this industry are increasingly relying on technology to enhance efficiency and customer relationships.

Businesses Remain Optimistic About Growth in 2025

Despite economic uncertainties, business leaders remain optimistic, with many planning expansion. The report finds that 77% of restaurant leaders feel more confident about their business outlook than a year ago, with 71% planning to increase their number of locations and 75% looking to diversify menu offerings.

Ming-Tai Huh, Head of Food & Beverage at Square, underscores the balancing act for restaurant owners: “In 2025, restaurants are walking the fine line between automation and hospitality. As businesses continue to face economic pressures, we’re seeing them invest in growth and experimentation as they find new, streamlined ways to work and deliver exceptional customer service – particularly through using time-saving and experience-enhancing technology.”

The Future of Commerce report also notes that 75% of restaurant leaders are planning to experiment with new services, including in-store events, subscriptions, memberships, and merchandise, to stay competitive.

The full Future of Commerce report, featuring detailed industry insights and real-world examples, will be released on February 4.

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Canadian Retail News From Around The Web For January 30, 2025

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Retail Insider

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January 29, 2025

News at a Glance

Retail Insider is streamlining its Canadian retail news from around the web to include a handful of top news stories that can be viewed quickly during the day. Here are the top stories from the past 48 hours.

The buy, wear, return days for shoppers could be over now that retailers and tech are catching on (Globe & Mail / subscribers)

Why Canadian commerce startups are building “live shopping” into their marketing plans (BetaKit)

Weak loonie, trade war could drive food prices higher: Metro (CityNews)

Canada Goose appoints former Stella McCartney executive as SVP of merchandising (Retail Bulletin)

Pattison Food Group celebrates Darrell Jones at retirement party in Vancouver (Grocery Business)

Amazon’s Quebec closings are about control, not union weakness, experts say (Montreal Gazette)

Man at centre of biggest Shoppers Drug Mart takedown ever handed conditional sentence — and likely won’t serve jail time (Toronto Star)

EDITORIAL – Closing of Peavey Mart a blow to ‘shop local’ and rural Canada (Armchair Mayor)

Many businesses in Winnipeg’s North End have stopped filing insurance claims after break-ins (Winnipeg Free Press)

Sask retail sales reach $2.2 Billion (Meridian Source)

New Walmart Superstore to open in Mississauga, Ontario (InSauga)

Montreal’s Chinatown gears up for Lunar New Year celebrations (CTV)