of Peavey Industries General Partner Limited (“Peavey GP”), TSC Stores GP Inc. (“TSC GP”), Guy’s Freightways Ltd. (“Guy’s”), and Peavey Industries Limited (“Peavey Industries”) (collectively, the “Applicants”)
RE: NOTICE OF CCAA FILING
NOTICE IS HEREBY GIVEN that on January 27, 2025, the Applicants sought and obtained an order (the “Initial Order“) from the Court of King’s Bench of Alberta (the “Court“) under the Companies’ Creditors Arrangement Act, R.S.C. 1985, c. C-36, as amended (the “CCAA”). Pursuant to the Initial Order, FTI Consulting Canada Inc. has been appointed as monitor (the “Monitor”). As part of the relief sought and obtained by the Applicants, the Initial Order, including the Stay of Proceedings, was extended and applies to Peavey Industries LP (“Peavey LP“) and Peavey Industries Mutual Fund Trust (“MFT“).
PLEASE TAKE NOTICE that a copy of the Initial Order and other public information concerning these CCAA proceedings can be found on the Monitor’s website at http://cfcanada.fticonsulting.com/peavey, or may be obtained by contacting the Monitor at:
FTI Consulting Canada Inc., Monitor of the Applicants. 1610 – 520 5th Ave. S.W. Calgary, Alberta T2P 3R7
As the world emerges from the pandemic crisis, the fitness industry is finding itself at a pivotal crossroads.
The global health emergency forced gyms, studios, and wellness centres to close their doors for months, accelerating a shift toward digital fitness solutions. While some businesses struggled to survive the initial impact, others found innovative ways to adapt, sparking new opportunities and reshaping consumer expectations.
Now, with the pandemic crisis history, the fitness landscape is being redefined, with both challenges and opportunities on the horizon.
For many gyms, retaining members who turned to at-home workouts during the pandemic remains a critical concern. Consumers have become accustomed to the flexibility and convenience of virtual classes and on-demand content, and some are reluctant to return to in-person sessions. However, these shifts also present a chance for the fitness industry to expand its offerings, blending digital and in-person experiences in ways that cater to a wider range of preferences. Moreover, increased focus on mental health and wellness during the pandemic has driven a surge in demand for holistic fitness experiences, pushing the industry to rethink its role in promoting overall well-being.
Looking toward 2025, several trends are expected to dominate the fitness industry. First, hybrid fitness models—combining in-person and virtual classes—are set to continue growing, offering customers more flexibility and convenience. Wearable tech will play an even larger role, with more advanced devices providing personalized insights to help users optimize their workouts. Additionally, sustainability will be a key focus, with eco-conscious gyms and fitness products gaining popularity. Mental health integration will also become more prevalent, as wellness programs expand to include mindfulness, stress management, and emotional well-being, reflecting the evolving understanding of fitness as a holistic lifestyle.
In this Special Report, Retail Insider talked to some fitness industry experts to get their thoughts on the current state of the sector and the key trends to watch for this year.
Reflecting on the state of the fitness industry, MacDonald noted, “We’re still trying to feel our way through it. For 2024, the industry is showing a negative 3.8% compounded annual growth rate over the last five years. The fitness industry has not returned to its prior glories in terms of revenues. I think it’s projected at $4.5 billion for 2024 for the fitness industry in Canada, down from 2019.”
He said COVID was a big disruptor for the industry and coming out of the pandemic many people were hit with some financial constraints, time constraints. In general, people have less money to spend as consumers.
“Like a lot of industries I think you’re seeing some contraction in terms of the overall business,” he said.
Despite the setbacks, Orangetheory continues to thrive, with their studios performing at 85-95% of pre-COVID revenue and membership levels. “We’re not back to where we were in 2019. We continue to grow year over year, opening new studios and expanding,” MacDonald shared. “The Orangetheory business model is still on track for growth, and we remain bullish on the future.”
When it comes to fitness trends, MacDonald highlighted the growing interest in hybrid training—combining strength and endurance workouts. He also emphasized the importance of active recovery and regenerative periods, which has become a critical part of many fitness routines. “Not working out every day, but spacing it out to allow for recovery is gaining traction,” he said. Additionally, technology and wearable devices are reshaping fitness, providing users with more data and insights into their performance.
MacDonald also pointed to a significant shift in the social dynamics of fitness. “Group fitness continues to gain popularity. A lot of people are looking for a sense of community,” he explained. “The gym or fitness studio is becoming the new social hub, replacing traditional venues like bars or nightclubs. This is the new bar. This is the new nightclub. Going to the gym, or going to the fitness studio, and meeting people.”
Another trend that is reshaping the fitness industry is the focus on mature adult fitness. MacDonald noted, “There’s a big push towards strength training for those over 40 to prolong their functional fitness and improve quality of life.” He also mentioned the rise of specialized concepts like assisted stretching, where people can have professionals guide them through stretches to improve flexibility.
As for Orangetheory’s member base, MacDonald shared that there has been no significant change in the demographics since 2019. “We still have a 70-30 female-to-male ratio, and our average member age is the same as before,” he said. However, he acknowledged the broader industry trend toward attracting older adults, with fitness concepts increasingly catering to this demographic.
Looking ahead, MacDonald remains optimistic about the future of fitness. “We’re seeing growth, and I think the industry is evolving with new concepts that resonate with what consumers want today—community, recovery, and results.”
Brazier highlighted exciting developments in fitness trends and the growing importance of community, wellness, and mental health.
“In my 18 years in the industry, there has never been a more exciting time than right now. That sounds strange given that we’ve come through a pandemic. The pandemic was a huge challenge for many businesses, including ours, and some might say fitness was among the hardest hit,” she said.
“But it did something really interesting. Today, we are back to pre-COVID numbers. But we’re seeing more members use our clubs now than we did pre-COVID. Check-ins are significantly higher than it was prior to the shutdown. It’s a clear indication that people are focused on their health and well-being, and that’s a trend we expect to see through 2025 and beyond.”
Brazier believes the surge in gym attendance is tied to a renewed focus on health, a shift that the pandemic catalyzed. “COVID heightened the focus on health and well-being for many people, not just physically, but people’s mental health as well,” she explained. “The isolation and loneliness that many of us experienced during COVID really heightened the desire for community and connection with others. And certainly, we know that fitness has a positive impact on mental well-being.”
According to Brazier, the fitness industry is adapting to these changing needs by emphasizing wellness beyond traditional workouts. “Recovery and wellness hubs continue to be a big trend,” she shared. “Fitness today is about thriving in all areas of life. Our clubs are evolving with the inclusion of recovery studios that come fully equipped with top-of-the-line recovery tools from human touch massage chairs, cryotherapy chair, leg compression sleeves, handheld devices in addition to recovery focused classes all designed to support overall health and well-being. We will have over 30 recovery studios by the end of 2025.”
Group fitness and community-building are also central to GoodLife’s strategy. “Social connection is a big reason for people coming to the gym. For many, the gym has become their third space away from home and work,” said Brazier. “Our clubs offer a variety of group fitness classes and challenges as well as performance workouts, and we are always trying to foster a sense of community within the club. It’s like that old TV show, Cheers, where you want to go where everyone knows your name. The challenge is to create environments where people feel they belong and that they’re welcome.”
Mental health is another focus at GoodLife, with the company actively promoting the connection between physical activity and mental well-being. “For many GoodLife members, mental health is their top reason for coming to the gym,” Brazier noted. “Sometimes a visit to the gym includes a recovery session in a massage chair or hot yoga, just to move and body and to unwind. It doesn’t have to be an intense workout every time.”
“It’s a very exciting time to be in the industry,” Brazier concluded. “As we look at 2025, people are very focused on New Year’s resolutions, but we see growth well into the Spring. It’s really an exciting time to be in fitness. The fitness landscape is thriving, and we’re excited for what the future holds.”
The fitness industry is entering 2025 with renewed energy, according to Smith.
“This is the breakout year,” Smith stated, emphasizing the industry’s recovery from what he described as the “negative COVID bubble.”
“It lasted for about 18 months and was caused by the infusion of massive amounts of liquidity into the economy by almost every government on the planet.” But those savings dried up and hurt the economy, trickling down to every industry.
The subsequent economic downturn hit the fitness industry hard, but Smith sees brighter days ahead. “I feel like we came out of it maybe three or four months ago, and things are kind of getting back to normal, if you will . . . You can definitely feel the difference in 2025 – to the positive.”
As for trends shaping the industry in 2025, Smith highlighted the resurgence of strength training. “Customers, especially women, are showing a renewed interest in resistance training,” he said. Strength training, including weight training, has always been a fitness staple, but its popularity is surging. “Females are becoming more and more interested in taking creatine,” Smith noted, revealing HOTWORX’s plans to introduce a creatine supplement designed specifically for women.
HOTWORX, known for its innovative isometric workouts like hot yoga and hot Pilates, is also expanding its offerings to include more strength training options. “We have a whole area in our studios with kettlebells, dumbbells, and we’re about to add a new weight machine for glutes only. We’re calling it the Gluteus Max,” Smith announced, reflecting the company’s commitment to evolving with customer preferences.
The fitness industry in Canada is on the road to recovery after the challenges faced during the COVID-19 pandemic, according to Hardy. With almost 1,000 members representing the country’s 6,500 gyms, FIC plays a crucial role in supporting the fitness sector, advocating for its interests, and providing a platform for its growth.
“The health of the industry is pretty good,” he said.
While the pandemic dealt a significant blow to gyms across Canada, with some provinces experiencing closures for up to 18 months in some provinces, Hardy highlighted that the industry is bouncing back. He estimates that approximately 20 to 25% of gyms in Canada closed permanently due to the pandemic, although exact figures are not yet available. “The big players are still there, but many small gyms struggled to survive,” Hardy noted.
Despite the setbacks, Hardy remains optimistic about the overall health of the industry. “People have become more aware of the importance of health and prevention. The pandemic has made it clear that health is not just the absence of disease, but our ability to cope with it.”
This heightened awareness of health and wellness has led to increased demand for services focused on longevity, mental health, strength, and overall fitness. “People now want to know their VO2 max, take care of their bone health, and focus on strength because we know it’s related to longevity,” Hardy explained.
Additionally, there has been a noticeable shift in the demographics of gym-goers, with Gen Z emerging as a major force in the fitness world. “Gen Z is really, really coming to the gym a lot,” Hardy said. “Gyms are full, and while some may have fewer members than before, those who come are attending more often. The sense of community and working out with friends is what keeps them coming back.”
The fitness industry in Canada is now looking ahead with a positive outlook. As gyms continue to fill up and trends around health, longevity, and community engagement take centre stage, the future of the fitness industry appears bright. “People are seeking to live healthier and longer. This is really what we see as a big trend. It’s pretty rare nowadays to have somebody come to the gym asking to lose some weight. It’s not something we see a lot . . . What we see right now is people coming through our doors and asking for mental and physical health.
“We are looking at an industry that is prevention that is complementary to healthcare. People are really looking more and more and more as the industry as healthcare. This is a big trend.”
“The vibe is really great right now, and gyms are looking to the future with optimism,” Hardy concluded.
Here are the top 10 trends expected in the fitness studio industry in Canada by 2025:
Hybrid Fitness Models: Combination of in-person and virtual classes to cater to diverse member preferences.
Wearable Technology Integration: Greater use of smart devices (e.g., fitness trackers, heart rate monitors) to track progress and provide personalized insights.
Personalized Fitness Plans: AI-driven programs offering customized workout and nutrition plans based on individual goals and data.
Mental Health and Wellness Focus: Increased emphasis on programs that integrate mindfulness, stress relief, and mental wellness alongside physical fitness.
Sustainability Initiatives: Eco-friendly gyms using sustainable equipment, reducing waste, and promoting green practices (e.g., solar-powered gyms, recycling).
Inclusive Fitness Offerings: Programs designed for diverse demographics, including seniors, disabled individuals, and culturally diverse groups.
Community Building and Social Fitness: A stronger focus on community engagement through group challenges, events, and social connections within fitness spaces.
On-Demand and Virtual Workouts: Expansion of streaming platforms for live and pre-recorded workout sessions, allowing flexibility for remote members.
Recovery and Holistic Wellness Services: Growth in services like cryotherapy, infrared saunas, and massage therapy to complement fitness routines and aid recovery.
Boutique Fitness Studio Growth: Continued rise of specialized, small-scale studios offering niche classes (e.g., yoga, cycling, Pilates) for more personalized experiences.
These trends reflect how the fitness studio industry in Canada is evolving, driven by a blend of technological advancements, wellness-focused shifts, and evolving consumer expectations.
Facade of the new Skechers flagship store at West Edmonton Mall. Photo: Skechers
Skechers has officially launched its first-ever Skechers Performance flagship store, a groundbreaking retail experience located at West Edmonton Mall in Edmonton. The store marks a new chapter for the California-based brand, offering an immersive destination where customers can engage with its latest performance technologies across multiple sports.
Spanning over 7,500 square feet, the new Skechers Performance store is the largest of its kind. The store integrates interactive elements, including dedicated half-courts for pickleball and basketball, allowing shoppers to test Skechers’ performance footwear in real time.
“With the world’s elite pros wearing our shoes from the court to the pitch, mound, and green, our retail stores’ innovative performance products have become a magnet for athletes who want game-changing products with essential comfort,” said Michael Greenberg, President of Skechers. “Our new performance store offers competitors at every level the complete experience: from our largest-ever offering of performance footwear, apparel, and accessories to Skechers specialists and educators for our diverse sport technologies.”
The new Skechers flagship replaces a Guess store that occupied the prominent main-floor location for years. The store overlooks the Ice Palace at West Edmonton Mall, offering a unique shopping experience with views of one of the mall’s most iconic attractions.
New Skechers flagship store at West Edmonton Mall, pickleball area. Photo: Skechers
Expanding Skechers’ Commitment to Athletes
The new store highlights Skechers’ increasing focus on high-performance footwear and apparel. While the brand has long been known for its comfort-oriented lifestyle shoes, its recent push into performance categories has been gaining momentum, with endorsements from high-profile athletes in basketball, golf, soccer, and pickleball.
Shoppers will find dedicated sections featuring Skechers’ latest technology, including Skechers Hyper Burst Pro™, Skechers Performance FitKnit®, Skechers Hands Free Slip-ins®, Skechers Arch Fit®, and Skechers Max Cushioning®. These innovations are designed to enhance comfort, stability, and energy return, catering to professional athletes and casual enthusiasts alike.
David Beecroft, Country Manager of Skechers Canada, emphasized the strategic decision to open the flagship in Edmonton. “Edmonton’s vibrant sports culture and passion for hosting year-round athletic events make it the perfect home for Skechers’ first performance destination,” he explained. “And as the second-largest mall in North America, West Edmonton Mall is a massive draw that will attract all walks of life to this exciting new concept.”
An Experience Beyond Retail
The store’s design takes cues from modern sports facilities, with state-of-the-art LED screens providing dynamic visuals that showcase Skechers’ latest campaigns and athlete partnerships. The addition of in-store courts transforms traditional retail into an interactive experience, allowing shoppers to feel the difference in Skechers’ technology before making a purchase.
To mark the grand opening, NHL legend and media personality Paul Bissonnette made an appearance, drawing in fans and sports enthusiasts. “Paul’s an avid sports fan, and his presence at our opening event has attracted his fans and fellow athletes,” Beecroft said. “It’s exciting to see how much we’re investing in the performance space and how much our product can elevate their game.”
Click image for interactive West Edmonton Mall floor plan
Skechers’ Growing Influence in Sports
Over the past decade, Skechers has expanded its presence in performance footwear, signing an impressive roster of professional athletes. Its lineup includes basketball stars such as Julius Randle, Jabari Walker, Terance Mann, Joel Embiid, and Rickea Jackson, along with golf champions Matt Fitzpatrick and Brooke Henderson. The brand has also made significant inroads into soccer, with global stars Harry Kane, Mohammed Kudus, Oleksandr Zinchenko, and Barış Alper Yılmaz wearing Skechers cleats. Additionally, pickleball pros Tyson McGuffin and Catherine Parenteau have joined the brand’s growing roster.
Retail Expansion and Future Plans
Skechers’ performance push is not just limited to West Edmonton Mall. With over 5,300 retail stores worldwide, the company continues to expand its global footprint. The West Edmonton Mall location serves as a model for future experiential retail spaces that could roll out in other major cities. However, it is not yet known if Skechers will open more stores of this type in Canada.
Shoppers who visit the flagship can explore Skechers’ complete performance collection, including running, training, walking, trail, hiking, and golf categories. The store is staffed with trained specialists who can provide insights into Skechers’ various performance technologies, helping customers find the best fit for their athletic needs.
New Skechers flagship store at West Edmonton Mall, pickleball display. Photo: Skechers
A Strategic Move in the Canadian Market
The opening of the Skechers Performance flagship highlights Canada as an important market for the brand. With a growing interest in fitness and active lifestyles, the demand for high-performance footwear is on the rise. Skechers’ ability to offer advanced sports technology at an accessible price point makes it a formidable player in the segment.
West Edmonton Mall: A Retail and Entertainment Landmark
West Edmonton Mall, located in Edmonton, Alberta, is a premier shopping and entertainment destination. Spanning approximately 5.3 million square feet, it stands as the largest shopping centre in North America.
A Brief History
Opened on September 15, 1981, West Edmonton Mall (WEM) was developed in multiple phases throughout the 1980s and 1990s. It was among the first shopping centres to offer a wide range of amenities, from water parks to themed streets, making it attractive year-round, especially during winter.
Attractions and Amenities
Beyond its extensive retail offerings, WEM boasts a variety of attractions:
Galaxyland: An indoor amusement park featuring numerous rides and games.
World Waterpark: Home to the world’s largest indoor wave pool.
Ice Palace: A skating rink that has hosted public skating and hockey events.
Sea Life Caverns: An underground aquarium housing over 100 species of marine life.
Themed Streets: Areas like Bourbon Street and Europa Boulevard offer unique shopping and dining experiences.
Economic and Cultural Impact
WEM attracts approximately 32 million visitors annually, with daily foot traffic ranging from 90,000 to 200,000 shoppers, depending on the season. The mall employs over 24,000 people, making it a significant contributor to Edmonton’s economy.
Its blend of retail, entertainment, and dining options has solidified WEM’s reputation as a must-visit destination for both locals and tourists.
President Donald Trump arrives to speak at the 2025 House Republican Members Conference Dinner at Trump National Doral Miami in Doral, Fla., Monday, Jan. 27, 2025. (AP Photo/Mark Schiefelbein)
The looming tariffs against Canadian and Mexican exports to the United States are not just another round of trade skirmishes. They may well signify the beginning of the end for Bretton Woods-era multilateralism, the rules-based global trade order that has underpinned international commerce since 1944. Now that Donald Trump is back in the White House, his administration is doubling down on policies that favour economic nationalism, marking a definitive departure from global trade as we know it.
For Canada, this shift is seismic. American tariffs on Canadian and Mexican products, including agri-food exports, could dismantle what remains of the Comprehensive US-Mexico-Canada Agreement (CUSMA). Trump sees trade as a zero-sum game, where the U.S. has been taken advantage of for decades. The imposition of tariffs is not about fixing a broken system; it’s about reshaping the global trade order to bolster American industries, gain negotiation leverage, and appeal to his political base. Even if Canada retaliates with 500% tariffs, it would be irrelevant to Trump’s calculus. The objective is power exercising it, consolidating it, and using it to rewrite trade relationships on U.S. terms.
The End of Multilateralism?
Since the signing of CUSMA in 2020, Canada has operated under the assumption that trade relations with the U.S. would remain relatively stable. But with tariffs now being used as a key policy tool, expect a shift toward bilateral agreements where the U.S. dictates terms to individual nations rather than negotiating in multilateral forums. In such a scenario, Canada’s bargaining power weakens significantly. The U.S. market is the backbone of Canada’s agricultural exports, with nearly 60% of total agri-food exports destined for American consumers. A tariff war would force Canadian producers to absorb higher costs, pass them on to consumers, or search for alternative markets—none of which are ideal outcomes.
For Canadian farmers and food processors, the impact is immediate and brutal. Higher tariffs on products like beef, pork, produce and grains erode competitiveness in the U.S. market, shrinking margins for producers already grappling with inflation, labour shortages, and supply chain disruptions. The agri-food sector, which has thrived under integrated North American supply chains, must now recalibrate.
Alternative markets in Europe and Asia offer some opportunities, but they come with logistical challenges and regulatory hurdles that make them far less attractive than the U.S. The notion that Canada could simply pivot away from the American market is a fantasy; the economic and geographic realities dictate otherwise. Meanwhile, Mexico, facing similar tariffs, could turn to other partners like China, deepening the divide between North America’s economies.
The most concerning aspect of this shift is how ill-prepared Canadian policymakers appear to be. There is little indication that Ottawa fully grasps the scale of the transformation underway. Instead of scrambling to counteract tariffs with proactive trade diplomacy, we see Canadian leaders clinging to a multilateralism that Trump’s policies are designed to dismantle. Retaliatory tariffs, though politically necessary, are a blunt instrument that won’t deter Washington from its broader objective: reshaping trade to serve U.S. interests first and foremost.
The Future of CUSMA
With tariffs becoming the norm rather than the exception, CUSMA itself could become obsolete. Trump has long viewed NAFTA (and by extension, CUSMA) as a bad deal for the U.S. His administration is likely to seek to replace it with one-on-one agreements, where the U.S. can leverage its economic might to extract concessions from Canada and Mexico individually. The days of structured dispute resolution and trade predictability may be numbered.
Addressing Interprovincial Trade Barriers
Canada cannot afford to ignore the deep inefficiencies within its own borders. Interprovincial trade barriers remain a self-inflicted wound that weakens the country’s economic resilience. While Ottawa scrambles to respond to U.S. tariffs, businesses still struggle to move goods freely between provinces due to archaic regulations. If Canada hopes to offset the damage of external trade shocks, it must first dismantle these internal obstacles. A unified, efficient domestic market is the best foundation for strengthening international trade partnerships.
The agri-food sector must prepare for a future where trade uncertainty is the status quo. Canadian producers will need to invest in diversification strategies, expanding into non-traditional markets, even if doing so is costly. Domestic policymakers, meanwhile, must shift their mindset from damage control to proactive trade positioning. Simply reacting to U.S. tariffs won’t be enough; Canada must build stronger alliances beyond North America and push for new trade agreements that mitigate reliance on the U.S.
Trump’s tariffs are not just a policy shift; they are a fundamental restructuring of global trade dynamics. If Canada fails to adapt, our agri-food industry—and the broader economy—will bear the consequences.
Enormous snake display for Lunar New Year at Toronto's Yorkdale Shopping Centre. Photo: Yorkdale
Retailers and shopping centres across Canada are marking the Lunar New Year with grand displays, exclusive merchandise, and immersive experiences aimed at attracting shoppers. With January typically being a slower sales month after the December holiday season, Lunar New Year provides an opportunity for retailers to drive traffic and increase spending.
Entrepreneur Jingjing Zheng, founder of BEYOO and Hexie Digital, has observed the growing influence of Lunar New Year celebrations among retailers. “Retailers are using this opportunity to capture festive celebrations while encouraging consumers to shop. Asian consumers often buy new clothing, symbolic red items, and gifts for family members. Red socks and red underwear are particularly popular purchases,” says Zheng.
Jingjing Zheng
She notes that many shopping centres in Canada have incorporated cultural elements such as calligraphy workshops, food tastings, and craft stations to enhance the shopping experience. “Lots of malls organize family-friendly events with calligraphy, traditional snacks, and exclusive promotions. This festive atmosphere draws in both Asian and non-Asian shoppers who are eager to take part in the celebrations,” she adds.
Retailers Introducing Exclusive Lunar New Year Promotions
Luxury retailers such as Holt Renfrew and Harry Rosen, along with major shopping centres operated by Cadillac Fairview (CF) and other landlords, are launching exclusive promotions tied to the holiday. Holt Renfrew, for example, is offering a special gift card promotion where shoppers who spend $800 or more will receive a bonus gift card.
Retailers are also integrating WeChat Pay and AliPay into their payment systems to accommodate Chinese consumers. Yorkdale Shopping Centre, for instance, allows shoppers to use these platforms for transactions up to $10,000 CAD per day through its gift card service, which can be redeemed at any of the mall’s 270 retailers.
Lunar New Year display at Holt Renfrew, 50 Bloor St. W. in Toronto. Photo: Craig PattersonLunar New Year display at Holt Renfrew, 50 Bloor St. W. in Toronto. Photo: Craig Patterson
The Impact of Lunar New Year on Retail Spending in Canada
While Canada has yet to see pre-pandemic levels of Chinese tourism, local communities are driving Lunar New Year spending. Cities like Markham, Ontario, and Richmond, British Columbia, with high concentrations of Asian residents, often experience notable increases in retail activity during this time.
“There is still a lot of shopping activity happening locally. While international tourism from China hasn’t fully rebounded, retailers are targeting local communities who celebrate the holiday,” says Zheng.
According to industry analysts, spending trends indicate that Lunar New Year promotions contribute to a significant retail boost. Major retailers such as La Maison Simons, Lululemon, and Michael Hill have introduced special Lunar New Year collections, while luxury brands continue to launch exclusive zodiac-themed merchandise to appeal to affluent shoppers.
Golden Gateway for Lunar New Year at Toronto’s Yorkdale Shopping Centre. Photo: Yorkdale
Yorkdale Shopping Centre’s Landmark Celebrations
Canada’s most productive mall is an example of a centre embracing the festivities. Toronto’s Yorkdale Shopping Centre has gone all out for this year’s Lunar New Year festivities with an eye-catching Year of the Snake installation. The 30-foot-high and 20-foot-wide green geometric serpent, suspended in the East Court until February 12, is crafted from sustainable materials and weighs 550 pounds. The green hues reflect the elegance of jade, a stone that symbolizes luck, prosperity, and renewal.
Complementing this is the Golden Gateway, a stunning series of golden archways located near Tiffany & Co. Shoppers can walk through the beautifully designed Year of the Snake runway adorned with florals and serpentine elements, creating an immersive space perfect for photos and videos.
Golden Gateway for Lunar New Year at Toronto’s Yorkdale Shopping Centre. Photo: Yorkdale
“Lunar New Year is one of the most significant gift-giving events in many Asian cultures. We know from experience that our guests expect some of Toronto’s most engaging experiences in addition to our unrivaled array of global brands that often release exclusive, limited-edition Lunar New Year collections,” says Rachael Tang, Marketing Manager at Yorkdale Shopping Centre.
Yorkdale is also hosting a traditional Lion Dance and Eye-Dotting Ceremony on February 2 at 3 p.m. The celebration will feature one of Canada’s premier lion dance teams, who will lead a procession beginning at the Year of the Snake installation. Traditional scrolls and red envelopes will be distributed to visitors.
Enormous snake display for Lunar New Year at Toronto’s Yorkdale Shopping Centre. Photo: Yorkdale
The Role of RedNote in Retail Marketing for Lunar New Year
Zheng also highlights the role of digital engagement in Lunar New Year shopping trends, particularly the increasing use of RedNote (Xiaohongshu) by retailers. “RedNote is becoming a major platform for retailers targeting Chinese consumers in North America,” she explains. “People post about mall installations, new collections, and exclusive in-store experiences. This digital engagement helps spread awareness and attract more visitors.”
She emphasizes that RedNote is especially valuable for brands looking to connect with a younger, digitally savvy audience that relies on peer recommendations and user-generated content. “Consumers trust reviews and posts from real people over traditional advertisements. Brands that leverage RedNote effectively can engage with consumers in a more authentic and community-driven way,” says Zheng.
The Yorkdale Shopping Centre and Holt Renfrew have started creating content specifically for RedNote, collaborating with influencers to showcase exclusive Lunar New Year merchandise and shopping experiences. “Malls and brands that invest in engaging with consumers on RedNote can expect higher foot traffic and increased sales during the festive period,” Zheng adds.
Lunar New Year window display at Harry Rosen, 82 Bloor St. W. in Toronto. Photo: Craig Patterson
How Shopping Centres and Retailers are Maximizing Lunar New Year Engagement
To capitalize on Lunar New Year shopping habits, retailers and malls are implementing various strategies:
Cultural-Themed Decorations – Large-scale festive installations, lantern displays, and zodiac symbols create a vibrant shopping atmosphere.
Exclusive Limited-Edition Merchandise – Offering Lunar New Year-themed clothing, accessories, and home decor can attract both celebrants and gift shoppers.
Traditional Performances and Workshops – Lion dances, calligraphy sessions, and food tastings enhance the shopping experience.
Gift-With-Purchase Offers – Providing red envelopes, special-edition packaging, or discount vouchers for purchases over a certain amount can drive sales.
Digital and Social Media Marketing – Engaging with Asian influencers and utilizing platforms like WeChat, Red, and TikTok helps retailers reach their target audience.
Flexible Payment Options – Accepting AliPay and WeChat Pay simplifies transactions for Chinese shoppers.
Lunar New Year tea at Holt Renfrew, 50 Bloor St. W. in Toronto. Photo: Craig PattersonLunar New Year window display at Holt Renfrew, 50 Bloor St. W. in Toronto. Photo: Craig Patterson
The Future of Lunar New Year in Canadian Retail
As retailers increasingly recognize the importance of Lunar New Year, the scale and sophistication of celebrations in Canada continue to grow. Malls and retailers are investing more in immersive experiences, exclusive product drops, and digital engagement to cater to this expanding market.
“Lunar New Year celebrations are not just about attracting Asian shoppers; they also create an opportunity to educate and engage the broader community. The more inclusive and elaborate these celebrations become, the greater their appeal,” says Zheng.
The Body Shop at CF Pacific Centre (Image: The Body Shop)
The Body Shop officially announced Wednesday that The Serruya Group will become the new Head Franchisee for The Body Shop Canada. As the exclusive operator of the ethical wellness and lifestyle brand in the Canadian market, The Serruya Group will oversee all aspects of the brand’s operations across the country, the company said in a news release.
“We are committed to building a seamless omnichannel experience that is accessible, intuitive, and values-driven. Our focus will be on fostering long-lasting connections with The Body Shop community, ensuring that the experience is personal and fully aligned with the values that matter most to customers,” said The Serruya Group.
Charles Denton
“We’re delighted to welcome The Serruya Group as our Head Franchisee for Canada. Their extensive experience in leading omnichannel businesses makes them the ideal partner for this market. We look forward to collaborating to build a strong platform for growth,”said Charles Denton, CEO of The Body Shop.
Known for its expertise in transforming businesses through experienced leadership and operational excellence, The Serruya Group brings a wealth of knowledge in retail management to its partnership with the retailer, said the news release.
“The Body Shop first entered Canada in 1980, opening its inaugural store in Toronto. The brand has since become a pioneer in high-quality skincare, body, hair, and makeup products, distinguished by its innovative approach and commitment to using natural, ethically sourced, and fairly traded ingredients from around the world,” it said.
In March last year, The Body Shop Canada, the Canadian subsidiary of the global beauty brand with 105 stores across the country, announced it had commenced restructuring proceedings by filing a Notice of Intention (NOI) to Make a Proposal pursuant to the Bankruptcy and Insolvency Act (Canada). It will be closing 33 Canadian stores, it said at the time.
“Today, The Body Shop operates 61 stores across Canada, with an imminent revitalized e-commerce platform. As the new Head Franchisee, The Serruya Group plans to elevate the brand’s footprint by delivering an exceptional omnichannel experience.”
The company was founded in 1976 in Brighton, England by Dame Anita Roddick. Since its beginning, The Body Shop said it has been a pioneer of ethical beauty, offering high-quality, innovation-led skincare, body care, haircare and make-up made with natural, fairly traded ingredients from around the world.
The Bank of Canada trimmed its overnight interest rate 25 bps to 3.0%, the sixth consecutive cut for a cumulative reduction of 200 bps.
The move was as expected and cements the Bank’s title of most aggressive cutter in the world. In addition, in a bit of a surprise, the Bank also abruptly ended quantitative tightening, and will begin term repos in early March. And, in another technical move, the Bank widened the spread between the Bank rate and deposit rate, with the latter now 5 bps below the overnight rate, which should help pressure CORRA back toward target, explained Douglas Porter, Chief Economist at BMO.
Douglas Porter
“Today’s steps by the Bank of Canada can be viewed as battening down the hatches ahead of a possible trade war storm. As noted, the 200 bps of cumulative rate cuts are setting a much more positive backdrop for the Canadian economy—arguably one of the most rate-sensitive economies in the world. Next steps clearly are dependent on what unfolds on the trade front; we suspect while the Bank may initially respond cautiously to a trade war, eventually it would be compelled to cut much more than the market currently expects,” said Porter.
The Bank’s commentary today:
“In Canada, past cuts to interest rates have started to boost the economy. The recent strengthening in both consumption and housing activity is expected to continue. However, business investment remains weak. The outlook for exports is being supported by new export capacity for oil and gas.
“Canada’s labour market remains soft, with the unemployment rate at 6.7% in December. Job growth has strengthened in recent months, after lagging growth in the labour force for more than a year. Wage pressures, which have proven sticky, are showing some signs of easing.
“The Bank forecasts GDP growth will strengthen in 2025. However, with slower population growth because of reduced immigration targets, both GDP and potential growth will be more moderate than was expected in October. Following growth of 1.3% in 2024, the Bank now projects GDP will grow by 1.8% in both 2025 and 2026, somewhat higher than potential growth. As a result, excess supply in the economy is gradually absorbed over the projection horizon.
“CPI inflation remains close to 2%, with some volatility due to the temporary suspension of the GST/HST on some consumer products. Shelter price inflation is still elevated but it is easing gradually, as expected. A broad range of indicators, including surveys of inflation expectations and the distribution of price changes among components of the CPI, suggests that underlying inflation is close to 2%. The Bank forecasts CPI inflation will be around the 2% target over the next two years.
“Setting aside threatened US tariffs, the upside and downside risks around the outlook are reasonably balanced. However, as discussed in the MPR, a protracted trade conflict would most likely lead to weaker GDP and higher prices in Canada.
“With inflation around 2% and the economy in excess supply, Governing Council decided to reduce the policy rate a further 25 basis points to 3%. The cumulative reduction in the policy rate since last June is substantial. Lower interest rates are boosting household spending and, in the outlook published today, the economy is expected to strengthen gradually and inflation to stay close to target. However, if broad-based and significant tariffs were imposed, the resilience of Canada’s economy would be tested. We will be following developments closely and assessing the implications for economic activity, inflation and monetary policy in Canada. The Bank is committed to maintaining price stability for Canadians.”
“This more conservative approach makes sense for an economy that churned out 91k jobs last month and is likely to see solid GDP growth for the fourth quarter of 2024 of around 2%. At the same time, inflation remains under control, allowing the BoC to focus on the state of the economy. This approach also mitigates the risk that the policy rate diverges too much from the Fed (which is clearly on hold). The loonie remains under pressure, but seems to have stabilized at around 69 U.S. cents,” he said.
“The economic outlook has become highly uncertain with Donald Trump threatening to make an announcement on tariffs this Saturday. Canada exports $1.9 billion daily in goods and services south of the border. This sums to around 20% of Canada’s economy, with nearly two million jobs dependent on U.S. trade. We are still hopeful that tariff threats are more of a negotiation tactic, meaning they would be temporary and carry less long term impacts. Yet, this is a tail risk that remains front and center in the mind of the BoC. Our baseline forecasts remains that the BoC will cut rates to 2.25% by year-end, but should 25% tariffs come into play for more than a few months, we’d expect the central bank to cut more aggressively in order to cushion the economy.”
Priority Software is transforming how small and medium-sized retailers manage their operations, offering a robust ERP-backed solution that centralizes retail management, point-of-sale (POS), and e-commerce functionalities. In an interview with Retail Insider, Keren Halpern, Product Marketing Director for Retail at Priority Software, discussed how the company’s approach addresses common challenges in the retail industry.
Keren Halpern, Product Marketing Director for Retail, Priority Software
“Our solution allows retailers to manage all aspects of their business through a single platform,” Halpern explained. “This eliminates the need for additional integrations, making it easier for retailers to scale as they grow.”
The flexibility of Priority Software’s ERP platform means retailers can adopt only the components they need while maintaining the option to expand functionality over time. This adaptability is a critical advantage for retailers operating in an increasingly competitive landscape.
Addressing Industry Challenges
Small and medium-sized retailers face mounting pressures, including rising consumer expectations, razor-thin profit margins, and the need to compete with larger retailers. Halpern pointed out the challenges many retailers encounter.
“Retailers need to deliver the same quality of customer experience as larger chains while managing costs. The demand for a seamless omnichannel experience, combining physical stores and online shopping, is more critical than ever,” she said.
Omnichannel integration has become essential, as consumers now expect a seamless transition between online and in-store shopping. “A customer might browse online, then visit a store to purchase. Retailers must ensure the experience is consistent across all touchpoints,” Halpern added.
Priority Software’s approach to omnichannel emphasizes creating a “single view” of the business. By unifying customer data, inventory, and promotions into one platform, retailers can ensure accuracy, efficiency, and an enhanced shopping experience.
Image: Priority Software via Shutterstock/licensed
Revolutionizing the In-Store Experience
While online channels drive growth, the in-store experience remains vital for many retailers. However, Halpern emphasized that store environments have changed little over the past several decades:
“The traditional model—where customers browse, make decisions, and complete purchases at a checkout counter—has stayed the same. Retailers need to modernize and incorporate digital tools to create a more engaging, dynamic experience.”
Priority Software’s ERP platform enables these changes by integrating digital capabilities into physical locations. Retailers can connect mobile apps, digital kiosks, and cloud-based POS systems to streamline operations and improve customer engagement.
Halpern also highlighted the need to break the “counter barrier” in stores. “Moving away from the traditional checkout counter toward an immersive experience that blends physical and digital channels is key,” she explained.
The Shift to Cloud-Based POS
The company’s cloud-based POS system is a standout feature, addressing the limitations of traditional on-premises solutions. Cloud POS allows retailers to centralize operations across multiple locations and channels, providing real-time data on inventory, promotions, and customer transactions.
“With cloud-based POS, retailers reduce costs and simplify operations,” Halpern said. “They no longer need to manage hardware or software maintenance, making it easier to focus on enhancing the customer experience.”
The system also supports BOPIS (Buy Online, Pick Up In-Store), a growing trend that requires retailers to connect inventory and order fulfillment processes seamlessly.
Warehouse management, image: iStock/licensed
Overcoming Implementation Hurdles
Transitioning from legacy systems to modern retail platforms is a significant challenge for many retailers. Halpern acknowledged the difficulty of this process and outlined Priority Software’s gradual implementation approach.
“We work closely with retailers to minimize disruption. By focusing on their top priorities, we ensure the transformation is manageable and aligns with their business goals.”
Halpern cited the example of a Canadian retailer Cowtown that expanded from a single store to a chain but struggled with disconnected systems. Priority Software centralized their operations, connecting locations and improving inventory management, customer experiences, and overall efficiency.
The company has also successfully implemented its solutions with global brands like ACE Hardware and Columbia. In each case, Priority Software started by addressing the most pressing needs—such as physical store management or online integration—and gradually expanded to include warehouse management, HR systems, and financial processes.
Image: Priority Software via Shutterstock/licensed
Enhancing Operational Efficiency
Priority Software’s retail management solution addresses key pain points in operations management, including inventory management, replenishment, order handling and employee task coordination. As retailers grow, managing these elements across multiple locations and channels becomes increasingly complex.
Halpern emphasized the importance of automation in streamlining operations. “Automation allows retailers to manage inventory, forecast demand, and coordinate tasks across locations. This reduces manual effort and ensures consistency across all channels.”
By centralizing processes, retailers can also improve employee engagement. Priority’s new B2E (Business-to-Employee) app allows shop assistants to manage tasks and access real-time information directly from their mobile devices, improving communication and efficiency in the store.
Preparing for Future Retail Trends
Looking ahead, Halpern highlighted several trends shaping the retail industry:
Blended Digital and Physical Experiences: The ability to seamlessly transition between online and in-store shopping is becoming a customer expectation.
Hyper-Personalization: Retailers need centralized data to create tailored experiences for individual customers.
BOPIS (Buy Online, Pick Up In-Store): This growing trend requires robust systems to connect inventory and order fulfillment processes.
Immersive Store Environments: Modern stores should go beyond traditional layouts, incorporating digital tools to create connected, engaging spaces.
Employee Empowerment: Tools like Priority’s B2E app enhance team collaboration and operational efficiency.
Practical Advice for Retailers
For retailers considering Priority Software’s solutions, Halpern offered the following advice. “Prioritize your needs and choose a solution that can grow with your business. Look for a partner who understands your industry and can tailor solutions to your processes.”
With a potential trade war looming between the U.S. and Canada, nine in 10 Canadian business leaders “wholeheartedly believe” that the federal and provincial governments “must stand firm in protecting Canada’s sovereignty and values” and that includes fighting tariffs with tariffs even if it hurts their business, finds a new survey by KPMG in Canada.
Over eight in 10 want a targeted, dollar-for-dollar retaliatory response, said KPMG.
“Nine in 10 business leaders across the country want the federal and provincial governments to take immediate steps to eliminate inter-provincial trade barriers, reform the tax system, provide incentives to onshore, and encourage Canadians to ‘Buy Canadian’ – in short, they want a stronger, more resilient country.”
While 80 per cent are now preparing or bracing for a recession, 81 per cent are willing to endure the short-term pain of retaliatory tariffs if Canada can negotiate a fair deal that protects the country’s trade-based economy, independence and sovereignty. In a 2019 analysis, the Bank of Canada estimated a 25 per cent tariff by the U.S. on all imports from Canada and other countries, along with retaliatory tariffs, would cut global gross domestic product (GDP) by 3 per cent and Canada’s by 6 per cent. The bank will publish a new analysis of tariffs today, added KPMG.
“With more than half (56 per cent) saying they will be forced to lay off employees if tariffs are imposed, 80 per cent agree the federal government should support Canadians whose jobs are disrupted or lost with pandemic-style aid.
“KPMG just completed a survey of 250 business leaders across Canada to gauge their reaction to U.S. President Donald Trump’s tariff threats and what actions, if any, they had already taken or were planning to take. Eighty-eight per cent of the companies surveyed export or sell to the U.S. and 81 per cent say their business will be impacted by U.S. tariffs.”
Key Poll Findings:
Nine in 10 of 250 Canadian business leaders “wholeheartedly believe” that the federal and provincial governments “must stand firm in protecting Canada’s sovereignty and values”
This is consistent across the country, with 96 per cent in Alberta, 90 per cent in Quebec, 88 per cent in Ontario, and 82 per cent in B.C.
85 per cent believe Canada should fight U.S. tariffs with retaliatory tariffs
88 per cent in Quebec, 86 per cent in Ontario, 79 per cent in B.C., and 76 per cent in Alberta
94 per cent say Canada and the 13 premiers must show a united front to the U.S.
This is consistent across the country, ranging from 95 per cent in Quebec, 94 per cent in Ontario, 92 per cent in Alberta, and 88 per cent in B.C.
82 per cent want a targeted, dollar-for-dollar retaliatory response
80 per cent are preparing or bracing for a recession this year
60 per cent say they can withstand a prolonged trade dispute with the U.S.
90 per cent say it’s time to eliminate inter-provincial trade barriers
88 per cent want governments to encourage domestic production, onshoring where possible
90 per cent want government to encourage Canadians to “Buy Canadian”
85 per cent say the federal and provincial governments must reduce business taxes and reform the tax system to stay competitive with future U.S. tax reform
56 per cent say they will have to lay off employees if tariffs are implemented
80 per cent agree the federal government should reintroduce income supports similar to those offered during COVID to help Canadians whose jobs are disrupted or lost due to tariffs, yet 79 per cent are concerned about the related inflationary impacts of increased fiscal spending if a “bailout fund” is created
BeaverTails at Canada's Wonderland (Image: BeaverTails)
BeaverTails, the iconic Canadian pastry brand, is gearing up for significant growth, with a keen focus on the U.S. market, according to CEO Pino Di Ioia. Known for its indulgent fried pastries and a growing range of innovative offerings, the company has reached a pivotal point in its evolution.
“We’ve exhausted Canadian tourist centres and we like big stores like the Whistler one we did and the Banff one,” Di Ioia explained. “There’s not many of those left here, which is great for the iconicism of our brand. But in order to grow, we’ve got to go to the U.S. side.”
Expansion Plans in the U.S.
BeaverTails’ strategy for U.S. expansion targets areas with strong ties to tourism and outdoor activities. “Our big focus now is the big USA,” Di Ioia said, highlighting ski resorts on the West Coast and select regions on the East Coast as key locations. “We’re debating between the Northeast, closer to home, or Fort Lauderdale, which for many at least Quebeckers is even closer to home.”
The brand already has a modest presence in the United States, with operations in a few amusement parks and a mobile trailer in Arkansas. “We’d like to do two [locations] a year,” said Di Ioia. “Our brand is special. We want to do it right.
“Based on just Canadian numbers, it should be easily 500 or 1,000 stores. That’s realistic. But we’re going much humbler than that. We’d like to do two a year.”
Strong Growth in 2024
BeaverTails achieved nearly 10% growth in 2024, a record year for the company. “Including inflation, it was another strong year for us,” Di Ioia noted. Tourist hotspots have been a significant driver of success, as both Canadian and international visitors indulge in the iconic treat.
“Whether you’re a Canadian on vacation or an international person visiting Canada, we’re in all the tour books,” said Di Ioia. “Cruise ships don’t even advertise for us, but they recommend us as a must-do.”
Diversified Offerings and Post-COVID Trends
The company’s portfolio has expanded significantly in recent years, including take-home versions of BeaverTails, savory options like poutine and BeaverDogs, and a growing ice cream business. “We’re Canada’s largest Canadian-owned ice cream parlor. We have about 60 operations selling ice cream,” Di Ioia said, noting that ice cream has become “quite big” in their operations. “It’s becoming big and growing as part of our business.”
Di Ioia attributed part of this success to changing consumer behavior during COVID-19. “COVID allowed everybody to rewrite the rules,” he said. “We find ourselves at a good moment.”
A Brand Built on Fun
BeaverTails continues to embrace creative projects that enhance its celebratory brand image. One example was their limited-edition Polarized Vodka. “It’s a little fireworks on our brand,” Di Ioia said. “If it comes out, it’s because it was fun.”
As the company prepares for 2025, Di Ioia hinted at more innovative projects in the pipeline. “We’re working on a few [projects] that we can’t talk about yet,” he said. “They’ll be fun if we do them.”
Looking Ahead
With a measured approach to expansion and a commitment to preserving its unique brand identity, BeaverTails is poised for continued success. “We have a wonderful brand, and we remind ourselves we’re here to curate and take care of it,” Di Ioia said. “Don’t abuse this brand. It’s a weird one, but it is special.”
