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VIDEO: 74% of Canadians reducing holiday spending due to rising living costs: Spring Financial

Spring Financial, a fintech company simplifying the lending process for everyday Canadians, recently released its 2024 Holiday Survey, indicating more people are feeling the financial strain these days.  

According to the survey, over half of Canadians (56%) – in particular Gen Z (66%) and millennials (64%) – find the financial strain of buying gifts as the most stressful part of the holiday season. Meanwhile, 38% of Canadians are feeling more financial stress about buying gifts this year than last year, a significant increase from the 13% that felt this way in 2023.

“Canadians are feeling the financial strain of holiday spending this year more than ever,” shared Tyler Thielmann, President and CEO of Spring Financial. “In these tough economic times, it’s encouraging to see so many people finding creative ways to avoid debt and consider alternative gift options. I hope this shift reassures those who are financially stretched that they’re not alone—and that it’s perfectly okay to explore meaningful, less costly ways to celebrate.”

Key survey findings include: 

Millennials and Gen Z are Feeling the Squeeze 

  • 74% of Canadians—and 79% of both Gen Z and millennials—agree they are more likely to reduce their holiday spending budget this year due to rising living costs.
  • 31% of Canadians cannot afford to buy gifts this holiday season, this is highest among millennials (38%) and Gen Z (36%).
  • 50% are considering alternative gifts like homemade items or experiences, with younger generations leading the trend; Gen Z at 71% and millennials at 58%. 
  • 46% of Gen Z expect to pay off holiday debt by the end of December. 

Debt Payment Strategies are Strong 

  • Though the Bank of Canada recently lowered interest rates, only 16% of Canadians feel it eased holiday financial stress. 
  • While 75% of Canadians plan to pay off holiday debt by the end of January, 4% anticipate needing a full year.
  • Only 13% of Canadians plan on using buy now, pay later services to pay for holiday shopping, down from a whopping 44% last year. 

Atlantic Canada has Highest Stress but Strongest Payment Plan 

  • Atlantic Canada is feeling the pressure more than any other region, with 66% agreeing that the financial strain of buying gifts is the most stressful part of the holiday season this year.
  • 62% of respondents in Atlantic Canada are planning alternatives to gift giving, higher than any other province.
  • Atlantic Canada is one of only four provinces (alongside BC, Alberta, and Ontario) where residents are considering a personal loan to fund holiday shopping.
  • 41% of Atlantic Canadians plan to pay off holiday debt by the end of December, the highest percentage of any province.  

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Rudsak Celebrates 30 Years of Style and Global Expansion

Rendering of Rudsak at Royalmount. Image: Rudsak

Founded in 1994 by Evik Asatoorian, Montreal-based Rudsak began as a leather-focused brand that blended European sophistication with the rugged needs of Canadian climates. Asatoorian, seeking independence from his family’s manufacturing business, launched the brand with a vision for inclusivity and timeless style.

“I wanted to create a brand that reflected our heritage but with a European flavour,” he shared in an interview. “In the first year, we did about $600,000 in business. By the second year, we had more than doubled that, and from there, the momentum grew.”

Evik Asatoorian

The early collections focused on leather and outerwear, mixing materials like shearling, nylon, and leather—an approach ahead of its time. Over the years, Rudsak evolved into a full lifestyle brand, offering suits, shoes, bags, and other apparel, but its core DNA remains in leather and outerwear.

Retail Evolution and E-Commerce Growth

For its first six years, Rudsak operated exclusively as a wholesale brand. In 1999, the company opened a flagship store, laying the groundwork for expansion across Canada. By 2018, Rudsak had 35 stores nationwide. However, shifting consumer habits and the challenges of the pandemic prompted a strategic pivot.

“COVID taught us a lot,” Asatoorian explained. “We had to adjust, close some stores, and focus on e-commerce. Today, our online business is our biggest store.”

Rudsak’s e-commerce operations in the U.S. have been particularly successful. “When we launched in the U.S. three years ago, it was a small operation. Today, it’s almost on par with our Canadian e-commerce revenue,” he said.

The brand now operates pop-up stores in key U.S. cities, including New York, Boston, and Chicago, with plans to open more locations. These pop-ups, which can last up to two years, allow customers to experience the brand in person while providing flexibility for the company.

Rudsak store at Royalmount in Montreal. Image supplied

Royalmount Boutique: A New Chapter

The newly opened boutique at Royalmount represents Rudsak’s commitment to innovation and luxury. The store features a sleek, boutique-style design, reflecting the brand’s elevated marketing strategy and focus on high-end aesthetics.

“We’ve embraced a more elegant, high-end presentation,” said Asatoorian. “This new concept allows the garments to flow, creating a refined shopping experience. It’s our first store under 2,000 square feet, which keeps costs manageable while showcasing our diverse collections.”

Royalmount, Montreal’s new luxury shopping destination, was a natural fit for Rudsak. The centre boasts prestigious neighbours such as Gucci, Saint Laurent, and Louis Vuitton, creating an environment that aligns with the brand’s aspirations.

Rudsak store at Royalmount in Montreal. Image supplied

Celebrating 30 Years with a Nostalgic Capsule

To commemorate its 30th anniversary, Rudsak launched a capsule collection inspired by archival designs. “We went back to our roots,” Asatoorian shared. “One standout is the Rocky jacket, a bestseller from 1994 that put us on the map.”

The limited-edition collection combines vintage styles with modern craftsmanship. “It’s not about mass production,” he emphasized. “We produce only 30 to 300 pieces per design, keeping it exclusive and special.”

Rudsak campaign image.

Looking Ahead: Global Expansion

Rudsak’s ambitions extend far beyond Canada. With distribution agreements in Europe and new retail partnerships in the U.S., the brand aims to make its mark in cold-weather markets worldwide. Partnerships with Ivy League schools, including Harvard, are helping to introduce the brand to younger audiences.

“Europe and the U.S. are huge opportunities for us,” said Asatoorian. “Anywhere there’s a cold climate, our designs resonate.”

The brand is also diversifying its product offerings, with new categories like cashmere and couture ski collections. “We’re addressing the changing climate by introducing lightweight, packable down jackets,” he noted. “This evolution allows us to maintain relevance year-round.”

Rudsak campaign image.

A Resilient Vision

As Rudsak celebrates three decades of growth, it remains focused on its core values: quality, innovation, and timeless style. The brand’s adaptability—whether through e-commerce, international expansion, or boutique redesigns—positions it well for the future.

“We’re excited about this next chapter,” Asatoorian concluded. “Retail is tough, but for us, it’s been rewarding. The best is yet to come.”

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Fleischmann’s® Introduces Baking Soda for Perfect Holiday Baking

Fleischmann’s New Baking Soda (CNW Group/Fleischmann's)

Fleischmann’s®, a trusted name in baking for over 150 years, has announced the launch of its first-ever Baking Soda, marking a significant milestone for the heritage brand. Designed specifically for baking, the gluten-free product promises to deliver reliable results for bakers of all skill levels, from seasoned professionals to enthusiastic home bakers. With the holiday baking season in full swing, the introduction of Fleischmann’s Baking Soda™ is both timely and strategic, offering a high-quality ingredient to elevate classic recipes and festive creations.

Perfect Timing for the Holiday Season

The launch of Fleischmann’s Baking Soda™ comes at a critical moment as bakers across Canada gear up for one of the busiest baking periods of the year. From cookies and cakes to pies and pastries, the demand for consistent, high-performing ingredients is at its peak.

“At Fleischmann’s®, we understand the importance of high-quality ingredients when it comes to baking,” says Sandro D’Ascanio, General Manager of ACH Food Companies, Canada. “Our new baking soda is specifically formulated for bakers, offering the consistency and performance needed for every creation. Whether you’re whipping up holiday classics or experimenting with new recipes, Fleischmann’s Baking Soda™ is the perfect addition to any pantry.”

Baking soda, or sodium bicarbonate, plays a critical role in baking as a leavening agent. When paired with acidic ingredients like buttermilk, yogurt, or vinegar, it produces carbon dioxide gas, which creates the lift needed for doughs and batters to rise. This chemical reaction is essential for achieving light, airy textures in baked goods such as muffins, quick breads, and cakes.

Reliable Results for Home and Professional Bakers

Fleischmann’s has long been synonymous with reliability and performance, and the launch of its baking soda builds on that legacy. The product’s fine texture ensures seamless mixing and even distribution, which helps bakers achieve optimal rise and crumb structure.

For home bakers, this means confidence in every recipe—whether it’s holiday shortbread cookies or a perfectly risen chocolate cake. For professionals, Fleischmann’s offers the consistency required for large-scale baking operations, ensuring every batch meets high-quality standards.

Expanding a Legacy of Baking Essentials

With the introduction of Baking Soda, Fleischmann’s adds to its well-established line of trusted baking products, each designed to meet specific needs in the kitchen:

  • Fleischmann’s® Cornstarch: Known for its ultra-fine texture, Fleischmann’s Cornstarch is essential for achieving flaky pie crusts, light cakes, and silky custards. It also serves as a reliable thickening agent for sauces and fillings.
  • Fleischmann’s® Baking Powder: Featuring a double-action formulation, Fleischmann’s Baking Powder provides consistent lift during mixing and baking, delivering light, fluffy results for cakes, muffins, and other baked goods.
  • Fleischmann’s® Bread Booster: Ideal for bread enthusiasts, this product enhances the kneading process, improves dough rise, and extends bread’s freshness. It ensures loaves remain soft and delicious for longer periods.
  • Fleischmann’s® Yeast: A staple in bakeries and households for generations, Fleischmann’s Yeast is available in both active dry and instant varieties. It is trusted for creating breads, pizza doughs, and sweet rolls with the perfect texture and flavour.

By adding baking soda to its lineup, Fleischmann’s strengthens its position as a one-stop destination for baking essentials, further solidifying its legacy of innovation and quality in the baking industry.

A History of Innovation in Baking

Founded in 1868, Fleischmann’s has played a pivotal role in revolutionizing baking, helping generations of bakers achieve consistent, high-quality results. From its original yeast products to its growing range of baking solutions, the brand has remained committed to simplifying and enhancing the baking experience.

Fleischmann’s Baking Soda™ is the latest example of that commitment. The product meets the needs of modern bakers while maintaining the brand’s hallmark of reliability. “Nothing compares to the joy of home baking, and we’re proud to continue supporting bakers with products they can trust,” D’Ascanio adds.

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Best Buy Ads Canada Partners with Rokt

Best Buy at CF Toronto Eaton Centre (Image: Dustin Fuhs)

 Rokt, the leading ecommerce technology company using machine learning and AI to make transactions more relevant to each shopper, is partnering with Best Buy Ads Canada ahead of the holiday season to deliver curated transaction experiences to the company’s online customers.

Best Buy Ads Canada will use Rokt’s technology to power highly relevant messages from third-party brands, whose products and services the company does not directly sell itself, on the confirmation page of the BestBuy.ca ecommerce site, according to a news release.

Tara Wilkinson
Tara Wilkinson

“Our partnership with Rokt gives us a new way to enhance the online customer experience by presenting shoppers with offers and messages that are relevant to them,” said Tara Wilkinson, Director of Strategy, Best Buy Canada. “Ad personalization is critical to the online customer experience. Rokt’s technology delivers superior ad engagement which speaks directly to relevance, and that’s why we chose to partner with Rokt—their offering is refreshingly unique.”

The news release said Rokt enables companies to deepen relationships with their existing customers by using machine learning to present highly relevant offers to each shopper in the final stages of an ecommerce transaction, when they are most likely to convert. By leveraging Rokt’s technology, Best Buy Ads Canada is enabling non-endemic advertising partners such as, Sirius XM, HelloFresh and DoorDash to reach its online shoppers with unique offers that drive customer loyalty and make the overall shopping experience more engaging, it added.

Laura Cosgrove
Laura Cosgrove

“Best Buy is a trusted destination for all things consumer electronics and we’re proud to launch this partnership in time for the holidays to enhance the shopping experience for the company’s online customers,” said Laura Cosgrove, VP Retail Strategic Partnerships at Rokt. “By powering relevant messages from non-endemic brand partners, Best Buy can continue to engage its customers by bringing them relevant content.”

Rokt’s ecommerce network will power more than 4.6 billion transactions in 2024 alone across over 20,000 leading businesses, it said. This news follows Rokt’s recent announcements of partnerships with Ulta BeautyJust Eat Takeaway.com, and Macy’s along with their new AI-based adaptive content tools.

Best Buy Canada Ltd. is one of Canada’s largest omnichannel retailers, operating the Best Buy, Best Buy Mobile, Best Buy Express and Geek Squad (www.geeksquad.ca) brands. It has over 320 Best Buy, Best Buy Mobile and Best Buy Express stores across Canada.

Rokt’s AI-powered relevance platform, built over the last 11 years, and scaled network power billions of transactions annually for the world’s leading companies, including Live Nation, AMC Theatres, PayPal, Uber, Hulu, Staples, Albertsons, HelloFresh and more. Headquartered in New York City, the company operates in 15 countries across North America, Europe and the Asia-Pacific region.

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Food prices continue to climb: Statistics Canada

Photo by Greta Hoffman
Photo by Greta Hoffman

The Consumer Price Index rose 1.9% on a year-over-year basis in November, down from a 2.0% increase in October. Slower price growth was broad-based, with prices for travel tours and the mortgage interest cost index contributing the most to the deceleration. Excluding gasoline, the CPI all-item list rose 2.0% in November, following a 2.2% gain in October, reported Statistics Canada on Tuesday.

“Prices for food purchased from stores rose 2.6% year over year in November, down slightly from 2.7% in October. Despite the slowdown, grocery prices have remained elevated. Compared with November 2021, grocery prices rose 19.6%. Similarly, while shelter prices eased in November, prices have increased 18.9% compared with November 2021,” said the federal agency.

Year over year, gasoline prices fell to a lesser extent in November (-0.5%) compared with October (-4.0%). The smaller year-over-year decline was a result of a base-year effect as prices fell 3.5% month over month in November 2023. On a monthly basis, gasoline prices were unchanged in November, added Statistics Canada.

“Black Friday and related specials are typically offered during the month of November. These discounts partially contributed to lower prices across several major components, and were particularly notable in the household operations, furnishings and equipment, as well as the clothing and footwear indices,” said the report.

Photo by Kevin Malik
Photo by Kevin Malik

“The clothing and footwear index declined 0.8% on a monthly basis, driven by prices for women’s clothing (-0.8%) and children’s clothing (-4.9%). The monthly decline for children’s clothing was the largest on record for the month of November.”

“On a monthly basis, the household operations, furnishings and equipment index declined 0.9% in November, driven by lower prices for cellular services (-6.1%) and furniture (-2.1%).

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BMO survey: One-Third of Canadians expect to curtail their spending in 2025

Photo by Sam Lion
Photo by Sam Lion

A special report from the BMO Real Financial Progress Index reveals concerns about the cost of living are affecting Canadians’ spending plans for 2025, with nearly a third (30%) planning to minimize spending in the new year.

Nearly half (46%) of Canadians say the higher cost of living will affect their financial new year’s resolutions – a 4% increase from 2023, said the report.

Anthony Tintinalli
Anthony Tintinalli

“The new year marks a fresh start for self reflection and improvement, and we want to empower Canadians to focus on building good habits and making real financial progress by encouraging them to get a head start on defining their financial goals,” said Anthony Tintinalli, Head, Specialized Sales, BMO.

BMO’s special report explores how concerns about current economic conditions have affected Canadians’ approaches to financial planning ahead of the new year and reveals:

  • 2024 Financial Wrap: Amid increased concerns about the cost of living (54%), inflation (50%) and a possible economic recession (42%), the leading sources of financial anxiety include concerns about overall financial situation (82%), fear of unknown expenses (82%), housing costs (73%), family related expenses (67%) and keeping up with monthly bills (64%).
  • Ringing in Financial Optimism: Despite continued concerns about the cost of living, the majority feel they are making real financial progress (87%) and are optimistic about their financial future for the upcoming year (72%). 37% feel more financially secure than they were a year ago.
  • New Year, New Goals: Over one in five (21%) Canadians plan to create financial goals and/or a budget for 2025. Among the 69% of Canadians who have already set financial goals for themselves, top goals include saving for retirement (58%), saving for a vacation (47%), and paying down debt (40%).
  • Planning Prognosis: Only a third (33%) currently have a financial plan and 59% do not have a household budget for the year.
    • Over a third (36%) are planning major purchases within the next year, but one quarter of them (24%) plan to modify their purchases to account for rising costs of living.
  • Annual Review: To stay on top of financial planning and goals, on average, 92% of Canadians review their financial plan at least once a year.

According to BMO Economics, Canadian households can look forward to lower borrowing costs in 2025 as the Bank of Canada is likely not finished its easing policy. After lowering its overnight target rate by 175 bps since June 2024 — the most aggressive move among major central banks in that period — an additional 75 bps of rate relief is anticipated in the first half of 2025. However, longer-term borrowing costs, which have already fallen sharply, are likely to decline only moderately further as economic activity picks up, added BMO.

BMO Financial Group is the eighth largest bank in North America by assets, with total assets of $1.41 trillion as of October 31, 2024.

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Groupe Dynamite reports revenue growth of 17.5% in Q3

Photo: Groupe Dynamite website
Photo: Groupe Dynamite website

Groupe Dynamite Inc. says revenue for the retailer increased by 17.5% to $258.8 million in Q3 2024, compared to $220.1 million in Q3 2023.

The company’s quarter ended November 2.

Andrew Lutfy - Photo courtesy of Carbonleo
Andrew Lutfy – Photo courtesy of Carbonleo

“I’m incredibly proud of the Groupe Dynamite team for delivering strong year-to-date results and a record third quarter, while at the same time completing our successful IPO. Our focus on innovation and disciplined execution led to strong metrics across the board. Our distinct brand strategy, omnichannel platform and data driven approach to marketing are resulting in robust performance in existing and new markets. Our de-risked fashion model with increased speed-to-market and leading inventory management are translating into solid bottom-line results,” said Andrew Lutfy, Chief Executive Officer and Chair of the Board. “As we pursue our growth, we believe we have everything in hand to deliver on our ambitious plan and to create value for all our stakeholders.”

Stacie Beaver
Stacie Beaver

“Following a strong summer season, our momentum continued into the third quarter with strong revenue and comparable store sales growth, fuelled by the success of our premier store and marketing strategies and on-trend collections. E-commerce sales also continued to accelerate, reflective of our aspirational omni-channel shopping experience tailored to the needs and wants of our customers. We have also ramped up our marketing and activation activities in the U.S. and launched our innovative Dynamite 3.0 store in Montréal. These initiatives are driving brand awareness and customer acquisition, setting the stage for what we believe is a bright future of continued profitable growth for Groupe Dynamite,” said Stacie Beaver, President & Chief Operating Officer.

Fiscal 2024 Third Quarter Highlights

  • Comparable store sales growth of 10.1% in Q3 2024, up and above comparable store sales growth of 9.8% in Q3 2023. Retail sales per square foot increased by 22.7% since the end of Q3 2023, reaching $713 over the last 4 quarters ending Q3 2024.
  • Adjusted EBITDA increased by 21.0% to $87.2 million in Q3 2024, representing an adjusted EBITDA margin of 33.7%, compared to 32.7% over the same period last year, driven by improvements in gross margin and operating leverage.
  • Operating income increased by 18.3% to $63.1 million in Q3 2024, compared to $53.3 million in Q3 2023.
  • Diluted net earnings per share increased to $0.38 in Q3 2024, compared to $0.32 in Q3 2023, representing an increase of 15.9%. Adjusted diluted net earnings per share increased by 22.2% to $0.41 in Q3 2024, compared to $0.33 in Q3 2023.
  • Opening of 6 new stores in the United States and in Canada under both banners during Q3 2024. There were no closures during this period.
  • Inventory turnover improved to 6.09x in Q3 2024, compared to 5.49x for the same period of the previous year.
  • Return on capital employed reached 43.3% at the end of Q3 2024, compared to 30.7% at the end of Q3 2023.
  • Net leverage ratio was 1.41x in Q3 2024, down from 2.26x in the corresponding period of the previous year.

Groupe Dynamite operates retail stores GARAGE and DYNAMITE.

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Restaurants Canada calling for federal government action on labour shortages

Photo by Mario Toneguzzi
Photo by Mario Toneguzzi

Restaurants Canada says the Fall Economic Statement was a missed opportunity by the federal government to build on the positive momentum the GST and HST holiday has generated for the foodservice industry.

“The GST and HST holiday provides much needed temporary relief for restaurants, which have been battered by rising costs and low consumer demand over the past year. Restaurants Canada’s Chief Economist conservatively estimates the tax break will generate an additional $1.5 billion in sales for the restaurant industry. This influx of cash is especially important during the usually slow January and February period. It will allow restaurants to pay down debt, give their hourly staff more hours and invest in wages,” said Kelly Higginson, President and CEO, Restaurants Canada.

Kelly Higginson
Kelly Higginson

“But restaurants need more long-term measures that address their labour and affordability concerns and create a promising economic environment for them to grow.”

She said Restaurants Canada continues to call on the federal government for a comprehensive plan to address labour shortages and tap into Canada’s existing labour pool in the wake of major changes to the immigration system.

“There are currently 78,000 vacant jobs across our industry. It was disappointing to see no movement on this file in the Fall Economic Statement,” she said.

“Nearly 1 million unemployed newcomers currently hold open work permits in Canada. These newcomers face significant barriers to employment and Restaurants Canada has been advocating for a matching and training program to connect them with jobs in industries like foodservice, particularly in regions outside the major metropolitan centres supporting remote, rural and tourist communities. We are also asking the government to work with the foodservice industry on strategies to attract more Canadian workers, especially youth.”

Higginson said bankruptcies in the industry increased by 45% in the first eight months of 2024 compared to the same period in 2023. In fact, 53% of restaurants are operating at a loss or barely breaking even. At the same time, total food costs increased by 25%, insurance by 24%, utilities by 20% and labour costs by 18%. With profit margins typically between 3% and 5%, it has been hard for operators to absorb these cost increases.

“The federal government can provide long-term relief to our industry and to the 1.2 million workers we employ by reducing Employment Insurance payroll taxes by 2%. In fact, nearly eight in 10 Canadians (77%) said they would benefit from government reducing payroll taxes in a recent public opinion poll conducted by spark*insights on behalf of Restaurants Canada,” she added.

“Restaurants Canada will continue to advocate for these and other measures with all political parties in 2025 and push them to do the right thing for our industry as they prepare their political platforms.”

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Canadian Retail News From Around The Web For December 17, 2024

Canadian Retail News From Around The Web

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 24 hours.

Amazon holiday shipping deadline: When to order gifts to receive them on time (National Post)

In the global fried-chicken sandwich war, KFC is ready for battle (Toronto Star)

Shoppers raise complaints after being charged twice for Walmart purchases (CTV)

U.S. tariffs could raise food prices, disrupt Canadian industries, warns FHCP CEO (Grocery Business)

‘Absolute make or break’: Holidays are paramount for Calgary small businesses (CBC)

City council debates zoning bylaw that could see corner stores, cafes in Toronto residential neighbourhoods (CityNews)

‘We’re reasonable people’: Residents’ group fears noisy bars will follow new city rules allowing neighbourhood corner stores (Toronto Star)

Popular Vancouver bike shop returning to form after bankruptcy (Daily Hive)

What Canada’s tax holiday could mean for Ontario families with new babies (CBC)

Wholesale Club opens first Brampton, Ont. location (Grocery Business)

‘Makes me smile’: Chronically ill kids experience low-sensory shopping spree at toy store (CTV)

Taylor Swift fans’ spending in Vancouver outpaced that on Black Friday: Moneris (BIV)

Suspects at-large following jewelry store robbery, related hit-and-run at Toronto’s Fairview Mall: police (CTV)