Walmart Canada announced Tuesday that Venessa Yates would become its new President and Chief Executive Officer, in the coming weeks and pending authorizations.
The company announced that after a long and impressive 25-year career at Walmart, Gonzalo Gebara, the current President and CEO, will be leaving the company at the end of February in order to return to Argentina to be with his family and pursue other interests.
Venessa Yates appointed as President and CEO of Walmart Canada (CNW Group/Wal-Mart Canada Corp.)
“Venessa is a tremendous retail leader with experience in multiple countries and functions,” said Guilherme Loureiro, Regional CEO, Walmart Canada, Chile, Mexico and Central America. “She is the right person to continue to drive Walmart Canada’s growth trajectory and its transformation to become the country’s leading omnichannel retailer.”
The retailer said Yates has worked with the company since 2016. Most recently, she served as the Senior Vice President and General Manager of Walmart+, the company’s membership program. With a wealth of retail experience, Venessa has assumed various leadership positions at prominent retailers worldwide, such as Walmart, Woolworths, and ALDI Stores.
“I’m thrilled to be joining the Walmart Canada team,” said Yates. “The Canadian business, with its 100,000 associates and impressive 30-year history, has always been a source of pride. We’re currently in growth mode and I’m excited about our future.”
During his time with the retailer, Gebara has played a critical role in accelerating its transformation towards becoming the leading omnichannel retailer in the country, said the retailer in a news release.
Gonzalo Gebara. Photo by Mario Toneguzzi
“I want to personally thank Gonzalo and his family for their 25 years of service,” said Loureiro.
Steve Schrobilgen is joining Walmart Canada as Chief Operating Officer, End to End, overseeing Operations, Supply Chain, Real Estate and Format, pending authorizations (CNW Group/Wal-Mart Canada Corp.)
The company also announced that Steve Schrobilgen is joining the company as Chief Operating Officer, End to End, overseeing Operations, Supply Chain, Real Estate and Format, pending authorizations.
“Schrobilgen currently serves as the Senior Vice President, Business Unit Leader for Walmart in the Western U.S., a role he assumed in 2023. Over his 35-year career with Sam’s Club and Walmart, Schrobilgen has demonstrated exceptional leadership and operational expertise. His commitment and results-driven approach propelled him through a series of increasingly senior roles at Sam’s,” said Walmart.
Since joining Walmart U.S. in 2023, Steve continues to lead with a focus on driving operational excellence, developing high performing and energetic teams while delivering financial results across key areas of the business. Known for his integrity and high standards, he fosters trust and credibility while inspiring associates to embrace growth and innovation, it said.
Walmart Canada operates a chain of more than 400 stores nationwide serving 1.5 million customers each day.
The event will take place at the BMO Centre at Stampede Park from January 23–26, 2025.
As one of Alberta’s largest and most anticipated RV events, the Calgary RV Adventure Sale & Show will feature an impressive selection of vehicles, outdoor lifestyle products, exclusive deals, and expert advice. It’s the perfect opportunity for families, seasoned RVers, and first-time buyers alike to explore the latest models and learn from the industry’s top experts, according to a news release.
Gerry Haracsi
“We are thrilled to bring the Calgary RV Adventure Sale & Show back to Stampede Park,” said Gerry Haracsi, Executive Vice President of RVDA of Alberta. “This is more than just a sale; it’s a celebration of the RV lifestyle. We’re offering a wide range of RV models, family-friendly attractions like the SuperDogs, and exciting new features such as our ‘Ask an Expert’ booth. This is a fantastic opportunity to interact with seasoned RV professionals and get answers to all your questions.”
The show will also feature exclusive on-site discounts and financing options.
RVDA of Alberta is a non-profit association representing over 180 members, including recreational vehicle dealers, service providers, and suppliers throughout Alberta.
Almost 60% of CEOs around the world expect global economic growth to increase over the next 12 months, according to PwC’s 28th Annual Global CEO Survey, launched on Monday during the World Economic Forum Annual Meeting.
The PwC report, which surveyed 4,701 CEOs across 109 countries and territories, also finds that 42% expect to increase headcount by 5% or more in the next 12 months – more than double the proportion who expect headcount decreases (17%), and up from 39% last year. The percentage is highest (48%) among smaller companies (less than US$100 million) and those in the technology (61%), real estate (61%), private equity (52%) and pharma and life sciences (51%) sectors, explained a news release.
“While CEOs are optimistic about the global economy, macroeconomic volatility (29%) and inflation (27%) nevertheless remain the top risks for the year ahead cited by CEOs globally, but with clear differences between regions. Geopolitical conflict is seen as the biggest risk in the Middle East (41%) and Central and Eastern Europe (34%). In Western Europe, cyber risk (27%) is a marginally higher concern than a lack of skilled workers (25%) and inflation (24%) – with macroeconomic volatility topping the list at 29%. Inflation is the top concern in Africa (39%), while North America and Asia-Pacific prioritise risks largely in line with the global averages,” it said.
Mohamed Kande
“This year’s CEO Survey findings highlight a stark juxtaposition – business leaders around the world are optimistic about the year ahead, but also know they must reinvent how they create, deliver and capture value. Emerging technologies such as GenAI, shifts in geopolitics, and the climate transition are all revolutionizing how the economy works. New business ecosystems are forming, transforming how companies compete and create value. To thrive, business leaders must act now and take bold decisions around their strategy – ranging from people, footprint and supply chain, right through to reinventing their business model,” said Mohamed Kande, Global Chairman, PwC.
Consistent with the last two years, four in 10 (42%) CEOs believe their company will not be viable beyond the next decade if it continues on its current path. Among those that do not expect to last without significant change, 42% cite shifts in the regulatory environment as having the biggest influence on their economic viability, said the report.
“But CEOs are taking action – across all sectors, almost two-thirds (63%) have taken at least one significant action to change how their company creates, delivers, and captures value in the last five years, with CEOs that have taken more reinvention actions in the last five years reporting higher profit margins in the last 12 months,” it said.
“As companies look to reinvent their business models, almost four in 10 (38%) say they have begun competing in at least one new sector in the last five years – with about one-third (34%) noting this has represented over 20% of company revenue over this period.
“However, the pace of reinvention is slow and a large majority of companies lack agility. When it comes to moving budget and people between projects and business units, around half of CEOs told us that they reallocate 10% or less of financial and human resources from year to year. More than two-thirds reallocate less than 20%. On average, only 7% of revenue over the last five years has come from distinct new businesses.”
Canadian Tire Corporation has announced that Darren Myers will join the company as Executive Vice President and Chief Financial Officer (EVP and CFO), effective April 1st, on the retirement of Gregory Craig.
Greg Hicks
“As we look beyond our Better Connected strategy at our next horizon, Darren will bring a combination of operational, transformational, and sector expertise to complement our strong leadership team,” said Greg Hicks, President and CEO, Canadian Tire Corporation. “He has a track record of managing near-term performance and long-term planning, and he understands the complexities of retail.
Darren Myers
“Gregory has shepherded our financial performance through an incredibly challenging period, while instilling the operational discipline to invest in priorities that set the stage for our next chapters,” said Hicks. “Over five years, he has been an invaluable partner to me and his executive peers. He has our thanks and best wishes.”
The company said its CFO search followed Craig’s decision to retire after a 31-year career at CTC in which he made notable contributions, both through his career at Canadian Tire Financial Services and in his five years as EVP and CFO of Canadian Tire Corporation.
Gregory Craig
It said Myers comes to the role with over a decade of experience leading operational finance functions and capital markets interactions. He served as CFO of Celestica and subsequently took on the CFO roles at retailer Loblaw Companies Limited and Algonquin Power & Utilities Corporation, both members of the S&P/TSX-60 Composite Index.
“Canadian Tire is an iconic Canadian company, which has been a leader in a dynamic retail sector for more than 100 years,” said Myers. “I’m excited to bring my enthusiasm and experience to the strategic challenge of extending that track record, and to join a team that has made values and trust a strength.”
To provide a seamless transition, the company said Craig will manage its pending Q4 2024 reporting and remain an executive advisor until June 30.
Canadian Tire Corporation will report Q4 2024 earnings as scheduled on Thursday, February 13.
Canadian Tire Corporation, Limited is a group of companies that includes a Retail segment, a Financial Services division and CT REIT. Its retail business is led by Canadian Tire, which was founded in 1922. Party City, PartSource and Gas+ are key parts of the Canadian Tire network. The Retail segment also includes Mark’s, a leading source for casual and industrial wear; Pro Hockey Life, a hockey specialty store catering to elite players; and SportChek, Hockey Experts, Sports Experts and Atmosphere, which offer the best active wear brands. The Company’s close to 1,700 retail and gasoline outlets are supported and strengthened by CTC’s Financial Services division and the tens of thousands of people employed across Canada and around the world by CTC and its local dealers, franchisees and petroleum retailers. In addition, CTC owns and operates Helly Hansen, a leading technical outdoor brand based in Oslo, Norway.
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.
In the fourth quarter of 2024, consumers perceived an improvement in their financial health relative to the previous quarter, mainly due to recent interest rate cuts and consumers’ expectation of further cuts ahead. This contributed to improved consumer sentiment, according to the latest Canadian Survey of Consumer Expectations – Fourth Quarter of 2024 released Monday by the Bank of Canada.
Key findings from the survey:
Fewer consumers reported that they are spending less or plan to reduce their spending; and, for the first time since 2021, people said they expect their spending to increase faster than they expect prices to rise. Still, consumers reported that the high prices of many goods and services, economic uncertainty and elevated housing costs continue to weigh on spending decisions.
Confidence in the labour market weakened in the fourth quarter and is now slightly below the survey average. Survey results show that young consumers and those with a high school diploma or less education perceived more weakness in the labour market than other respondents did. Expectations for wage growth remain unchanged from last quarter, still above where they were before the COVID‑19 pandemic.
Consumers’ inflation expectations have largely returned to historical norms. But perceptions of current inflation and the level of disagreement among consumers about where inflation is heading next year remain elevated.
Photo by Jonathan Borba
“In this survey, consumers perceived an improvement in their financial health, said the Bank in a news release. “Fewer consumers than last quarter reported that their finances had worsened over the past 12 months. In addition, more consumers said they see access to credit as easier than before, and more expect access to continue to improve.
“These positive developments, which are broad-based across both renters and homeowners, partly reflect recent interest rate cuts and consumers’ expectations of further cuts. In contrast, despite this general improvement in perceived financial health, the perceived risk of missing a debt payment increased. This is notably the case for renters, who, according to survey results, generally experience more affordability issues than homeowners. This result echoes the assessment last spring in the Bank of Canada’s Financial Stability Report—2024, when signs of increased financial stress appeared more concentrated among renters.”
Edo Japan location on College Street in Toronto. Photo supplied
Edo Japan, one of Canada’s fastest-growing quick-service restaurant brands, is embarking on an ambitious expansion strategy aimed at reaching communities nationwide. With over 200 locations already operating and a market potential of quadrupling its current footprint, the brand is poised to redefine quick-service dining across the country.
“We are on a significant growth trajectory, particularly in parts of Canada where we’ve yet to establish a strong presence,” said Jeff Parkinson, Vice President of Real Estate Development at Edo Japan. “Historically, Edo has deep roots in Alberta, and we’ve done well in provinces like British Columbia, Saskatchewan, and Manitoba. A few years ago, we began expanding into Ontario, and now we’re looking to accelerate growth in that province, as well as enter new territories like Quebec and Atlantic Canada.”
Ontario, with its population of 13.6 million, represents a vast opportunity for Edo Japan. According to Parkinson, the company could eventually open several hundred locations in the province alone. In Atlantic Canada, Edo’s first location is under construction in Fredericton, New Brunswick, with negotiations underway for several additional sites.
“Our goal is to truly be a national brand, with a presence in every province,” Parkinson noted. “We recently celebrated the opening of our 200th store at Yonge and College in Toronto, and our vision is to exceed 300 stores nationally in the near future.”
New Opportunities for Franchisees
Edo Japan’s franchising model was initially designed to attract single-unit and small-scale franchisees, with operators typically managing one or two stores. However, the model quickly evolved as franchisees recognized its strong potential and experienced early successes. This led to a significant shift, with many franchisees expanding into multi-unit operations. The brand is now introducing a platform to attract more multi-unit franchisees, including opportunities for development agreements in defined territories.
“We’re launching a larger franchisee platform, which will allow partners to build 5, 10, or even 20 stores in designated areas,” explained Parkinson. “This initiative is targeted primarily at Quebec, Atlantic Canada, and Ontario. We’re confident it will attract growth-minded entrepreneurs who share our passion for expansion.”
The company’s support for franchisees is robust, offering turnkey solutions that include site selection, construction oversight, operational training, and ongoing marketing support. “Our franchisees are independent business owners, but they’re not alone,” Parkinson emphasized. “We provide the same level of support whether someone owns one store or ten.”
Edo has also been recognized for 14 consecutive years by the Canadian Franchise Association (CFA), an award that reflects the trust and admiration of its franchisees.
Diversified Restaurant Formats
Edo Japan is also evolving its restaurant formats to reach more diverse customer bases. While 25% of its locations are in mall food courts, 75% are now street-front stores. “We’re expanding into high-traffic downtown areas, like Yonge and College in Toronto, which represents a new frontier for us,” said Parkinson. “We’re looking to replicate this success in cities like Vancouver, Montreal, and Quebec City.”
In addition to urban centres, Edo Japan is targeting large power centres and primary shopping developments. “Our strategy is to capture high-traffic locations that drive walk-in sales, takeout, and delivery,” Parkinson said.
A Proven Business Model
Founded in Calgary in 1979 by Reverend Susumu Ikuta, Edo Japan built its reputation on freshly prepared meals made on a teppan grill. Over the decades, the brand has introduced innovations like sushi, bento boxes, ramen, and bubble tea, keeping its menu relevant to evolving consumer tastes. Its flagship teppan-style dishes, particularly the beef and chicken teriyaki remain top sellers, thanks in part to the signature teriyaki sauce that has made Edo famous.
“Our menu categories—teriyaki meals, ramen, sushi rolls, and bubble tea—are all experiencing strong growth in Canada,” Parkinson stated. “These offerings cater to multiple dayparts, making us a versatile choice for lunch, dinner, and snacks.”
Edo Japan’s small restaurant footprint (typically 1,200 to 1,300 square feet) and efficient operations make it an attractive investment opportunity. Initial capital investment ranges from $500,000 to $650,000, with franchisees benefiting from strong unit economics and manageable overhead costs.
The company’s loyalty programs, and innovative marketing strategies further enhance the customer experience. The “Edo App,” for example, offers online ordering, rewards points, and exclusive promotions.
Screenshot
Why Now?
Edo Japan’s 45th anniversary in 2024 marked a pivotal moment for the brand. “We’re a mature company with a proven track record,” Parkinson said. “We’ve learned a lot from our initial expansion into Ontario, and we’re ready to apply that knowledge as we grow into Quebec and Atlantic Canada. It’s the right time to make this leap.”
The brand’s growth is also driven by the increasing popularity of Asian cuisine in Canada. “Customers want fresh, flavorful, and globally inspired options,” Parkinson noted. “We’re perfectly positioned to meet that demand with high-quality meals prepared quickly and conveniently.”
Looking Ahead
With plans to reach over 600 locations in the coming years, Edo Japan is set to become a household name across Canada. “Our mission is to grow responsibly while seizing opportunities for both our franchisees and our customers,” Parkinson said. “We see ourselves as a truly national brand, and we’re excited about what’s to come.”
As Edo Japan continues to expand, it invites entrepreneurial franchisees to join its journey. “This is a ground-floor opportunity to be part of a brand that’s winning hearts across Canada,” Parkinson concluded. “The future is bright, and we’re just getting started.”
For those seeking franchise and real estate opportunites with Edo Japan, please visit: franchising.edojapan.com or connect with Jeff Parkinson, Vice President of Real Estate and Construction on LinkedIn.
The City of Leduc, just minutes south of Edmonton, is emerging as a premier location for retail and foodservice investment. With a rapidly growing population, strategic infrastructure investments, and a streamlined permitting process, the city offers unique advantages to businesses looking to establish a foothold in Alberta.
“We’re seeing unprecedented growth and interest from developers and investors,” says Tara de Munnik, Manager of Economic Development for the City of Leduc. “Leduc is the ideal place to bring your business dreams to life.”
Population Growth Driving Demand
Leduc’s population has seen a 9.2% increase from 2019 to 2023, and the city’s Housing Needs Assessment projects it will surpass 40,000 by 2029. The Edmonton Metropolitan Region Board estimates the population could grow to as much as 68,000 by 2044.
“This growth reflects the desirability of Leduc as a place to live and work,” says the City’s Mayor Bob Young, “With an average age of 36.8, we’re a young and vibrant community that’s attracting families and professionals.”
This influx of residents is creating new opportunities for retail and foodservice businesses to meet the needs of the growing population. “Our residents are hungry for more options, and we’re eager to work with businesses ready to fill that gap,” de Munnik adds.
Leduc sign. Photo: Explore with RKB/Youtube
Retail and Foodservice on the Rise
Leduc’s growing population and proximity to Edmonton create opportunities for retail and foodservice businesses. Local satisfaction surveys reveal that 88% of businesses rate the city as an excellent place to operate, while 43% have been established for over a decade.
“Our community supports local businesses, and the demand for new retail and dining options is clear,” de Munnik says. “Leduc is ready for fresh concepts and established brands looking to expand.”
Beyond Retail: Diverse Investment Opportunities
While retail and foodservice are key sectors, Leduc’s potential extends to industrial and commercial projects. The city’s business parks, including the new Leduc Landing, are primed for development.
“These areas offer great potential for light industrial and logistics businesses,” says de Munnik. “With our infrastructure and location, Leduc is well-suited to support a range of industries.”
Connectivity is another advantage. The city’s TELUS PureFibre network provides state-of-the-art internet services, ensuring businesses remain competitive in a digital-first world.
Leduc Business Park. Photo: City of Leduc
Fast Permitting Speeds Up Development
One of Leduc’s standout features is its commitment to an efficient and effective permitting process, which averaged just 3.2 days in 2024 for development permits. This remarkable speed is a significant advantage for developers and businesses seeking to minimize delays and costs.
“Our fast-track permitting process is one of the best in the region,” says Dennis Peck, Manager of Planning and Development for the City of Leduc. “We’ve reduced red tape without compromising quality. Developers can count on us to keep their projects on schedule.”
This efficiency ensures that both large-scale projects and smaller ventures can proceed with confidence. “When permitting delays are avoided, businesses can open their doors sooner and start generating revenue,” adds Peck. “It’s all about creating and supporting an environment where businesses can thrive.”
Strategic Location for Logistics and Distribution
Leduc’s proximity to Edmonton International Airport (YEG), Canada’s largest airport by landmass and fifth busiest by passenger traffic, gives it a competitive edge in logistics and distribution. Recent investments of over $300 million in cargo development at YEG further enhance its status as a hub for multi-modal transportation, providing seamless access to Canada, the U.S., and Mexico.
“The airport is a cornerstone of our economic strategy,” de Munnik notes. “Businesses located in Leduc benefit from year-round, uncongested operations and direct connections to international markets.”
In addition, the CANAMEX Highway offers direct access to major trade corridors, making Leduc an ideal location for businesses reliant on efficient goods transportation.
Photo: City of Leduc
Infrastructure Investments Unlock Potential
The 65th Avenue Interchange, a $112-million project co-funded by the City of Leduc and the Government of Alberta, is set to open in 2025. This transformative project will enhance connectivity to Leduc Landing, a new development area poised for residential, commercial, and light industrial growth.
“This is not just an infrastructure project—it’s an economic catalyst,” explains de Munnik. “Leduc Landing will provide exciting new opportunities for businesses to establish themselves in a prime location.”
Cost Advantages Over Edmonton
Leduc offers significant financial incentives compared to nearby Edmonton. Industrial land in Leduc is up to $300,000 cheaper per acre, and the city boasts one of the lowest non-residential tax rates in the region.
“Our affordability is a major draw,” says de Munnik. “Lower land costs and taxes mean businesses can allocate more resources to growth and operations.”
Additionally, Alberta’s corporate tax rate is the lowest in Canada, further solidifying Leduc’s status as an attractive destination for investment.
Photo: City of Leduc
A Place to Live, Work, and Prosper
Leduc offers an exceptional quality of life, combining business opportunities with vibrant community living. Residents enjoy over 80 kilometres of manicured multiway trails for walking, cycling, and outdoor activities. Year-round entertainment options include festivals, seasonal markets, and cultural events, while world-class facilities like the Leduc Recreation Centre provide sports, fitness, and theatre experiences.
Leduc’s housing market offers excellent value, making it an attractive option for employees and families. The average price of a single-detached home is $417,500—significantly more affordable than larger urban centres. Coupled with a median household income of $117,000, residents enjoy a high standard of living and financial stability.
“Leduc offers an exceptional quality of life,” says Mayor Young. “Whether you’re relocating key employees or establishing your business, this is a community where everyone can thrive.”
Photo: City of Leduc
Building Awareness for the Future
To attract more investors, Leduc’s economic development team is leveraging platforms like the International Council of Shopping Centers (ICSC) events to network with brokers, retailers, and developers.
“We’re focused on building awareness of what Leduc has to offer,” de Munnik says. “From our strategic location to our business-friendly environment, there’s a lot to share with prospective investors.”
For those seeking investment opportunities in Alberta, Leduc presents a compelling case. From its streamlined permitting process to its growing population and strategic location, Leduc is truly a city of opportunity.
For more information on the City of Leduc, visit: www.leduc.ca
For more information on economic opportunities in the city, contact Tara de Munnik, Manager of Economic Development for the City of Leduc, at: tdemunnik@leduc.ca
“Back then, our vision was simple: bring a piece of Japan’s pub culture—where friends come together over small plates and vibrant conversation—to Canada,” said De Luna. “Today, we’re proud to have nearly 54 restaurants in operation, making us the most significant Japanese restaurant group in the country. Through it all, we’ve remained dedicated to serving authentic Japanese flavours, fostering warm hospitality, and creating spaces where communities can come together.
“A significant key to our success lies in the passionate staff who power our kitchens and dining rooms. Many come from Japan, sharing the traditions and techniques that make Japanese cuisine so beloved. Working side by side with Canadian colleagues, they infuse each restaurant—be it one of our casual Izakaya, our upscale JaBistro, or one of our many KintonRamen locations—with genuine energy and expertise that guests can taste in every bite.
“Kinton Ramen is expanding faster than ever. In the near future, we’ll be opening three more restaurants in Calgary, two in Victoria, and two in Edmonton, along with four additional locations across Ontario. Each new spot reflects our commitment to introducing people to the comforting, traditional dishes of Japan and building lively neighbourhood hubs in the process.
“We also collaborate with esteemed Japanese brands like Uniqlo and Sapporo to keep our experiences fresh and engaging, though our popular BOGO (buy-one-get-one) deals are all our own—one way we show gratitude to our guests for their ongoing support.”
There are three Izakaya’s in Toronto, one JaBistro in Toronto which recently turned 12 years old and 50 Kinton Ramens.
De Luna said his personal mission statement this year is “to celebrate Japanese culture and unite local communities through vibrant, authentic flavours—making every meal feel like a thrilling step into Japan.”
He said in Japan Izakaya’s are cozy spots where people unwind to share their stories and enjoy small plates together. KINKA wanted to bring that same welcoming vibe to Canada.
“We have grown to the country’s largest Japanese restaurant group with each brand offering its own distinct taste of Japan,” explained De Luna.
For example, when a customer enters Izakaya there’s always a greeting and it specializes in sake bombs – a glass of beer with two chop sticks and on the top there’s a sake shot with servers who start singing at the table until the shot falls into the beer.
“Much of our success comes from the amazing Japanese staff members who joined our team over the years. They’re not only experts in their craft, be it in sushi preparation, ramen making, or providing a warming welcome, but also serve as cultural ambassadors,” added De Luna.
“When they work side by side with Canadian team members, it creates this special energy in the kitchen and in the dining room. You can really feel the passion they have for sharing authentic Japanese flavours and traditions.”
De Luna said something consistent throughout all the company’s brands is the quality of food.
“Kinton Ramen is our biggest star and continues to expand like crazy. We’re heading into new markets. We’re entering this year into Manitoba and Alberta.”
The company is also expected to open in Winnipeg with more expansion to come this year.
The Izakaya and JaBistro brands are in a very competitive space. He said KINKA is focused right now on how to continue to make them attractive for clients while also sustaining the growth for Kinton Ramen which for now is the company’s priority.
When Donald Trump threatened to impose a 25% tariff on Canadian imports, the reverberations across Canada’s business community were immediate. While much of the discourse focused on traditional sectors like oil, gas, and automotive, one critical group was left out of the conversation: small online retailers. These businesses, which often rely on cross-border sales to thrive, are uniquely vulnerable to such economic shocks.
“Small businesses don’t have the luxury of large cash reserves or diversified supply chains,” explained David Nagy, retail expert and founder of eCommerce Canada. “When tariffs hit, they feel the pinch much faster than big corporations, and the impacts can be devastating.”
David Nagy, founder of eCommerece Canada
Online Retailers and Cross-Border Dependence
Canada’s small online retailers are particularly susceptible to tariffs because many of them operate as “pure play” online businesses, meaning their sales channels are entirely digital. These businesses are naturally export-oriented, with the United States often accounting for a significant percentage of their revenue.
Take a Canadian online shapewear brand that has grown rapidly over the past few years. “With much of their revenue tied to U.S. customers, a tariff like this could be catastrophic,” said Nagy. Without brick-and-mortar stores to cushion the blow, businesses like this one face stark challenges.
The Digital Advantage—and Vulnerability
Unlike their brick-and-mortar counterparts, online retailers are inherently export-ready. The internet eliminates geographical boundaries, allowing small businesses to reach customers worldwide. However, this advantage comes with its vulnerabilities.
“When most of your revenue depends on shipping to the U.S., a 25% tariff doesn’t just sting—it freezes your export market altogether,” noted Nagy. “For some businesses, 20-30% of their revenue could vanish overnight.”
While large companies can weather such storms by pivoting to other markets or absorbing short-term losses, small businesses don’t have that luxury. “Big corporations have deep pockets and the ability to pause production or shift focus,” said Nagy. “Smaller businesses? They’re forced to make tough decisions like cutting jobs or scaling back operations immediately.”
Practical Solutions for Small Businesses
Despite the challenges, small online retailers can take several steps to mitigate the impact of tariffs. These strategies can help businesses adapt and build resilience in an increasingly unpredictable global market.
1. Diversify Export Markets
Expanding into new international markets can reduce dependency on the United States. While building a customer base in countries like Japan, South Korea, or the United Kingdom takes time and resources, it can provide a lifeline during trade disruptions.
“You don’t just wake up one day and decide to start exporting to Europe or Asia,” Nagy acknowledged. “Building new markets takes time, resources, and expertise. But even small steps—like researching demand in target markets or setting up localized websites—can make a difference.”
2. Invest in Digital Transformation
Technology can play a critical role in helping small businesses expand their reach and streamline operations. For instance:
Localized Websites: Creating versions of a website in multiple languages, tailored to different regions, can attract international customers.
Search Engine Optimization (SEO): Targeting keywords specific to new markets can help increase visibility in global search results.
E-commerce Platforms: Leveraging platforms like Shopify Plus or BigCommerce can make it easier to manage cross-border sales.
“The tools are there,” said Nagy. “From creating multilingual websites to using social media for global outreach, small businesses can build international customer bases more easily than ever before. But they need to act now.”
3. Build Stronger Supply Chain Relationships
Smaller businesses can mitigate risks by diversifying their suppliers or working with logistics providers that specialize in cross-border shipping. Partnering with third-party logistics (3PL) companies can also help reduce shipping costs and improve efficiency.
“Having a robust supply chain is crucial,” Nagy emphasized. “For smaller businesses, this might mean finding suppliers in tariff-free zones or negotiating better terms with existing partners.”
4. Leverage Trade Resources and Programs
Canada’s government and trade organizations offer resources to help businesses navigate international markets. Programs like the Trade Commissioner Service (TCS) and Export Development Canada (EDC) provide guidance, financing, and market intelligence.
“Many small business owners aren’t aware of the resources available to them,” Nagy noted. “Accessing these programs can make it easier to explore new markets or adapt to changing trade policies.”
Tariffs and the Broader Economic Impact
The potential ripple effects of these tariffs extend beyond individual businesses. Small businesses are Canada’s largest employers, contributing significantly to the economy. A sharp downturn in this sector could result in widespread job losses and a weakened retail landscape.
“If you consider that small businesses employ millions of Canadians, the cumulative impact could be enormous,” Nagy emphasized. “It’s not just about the businesses themselves; it’s about the livelihoods they support and the communities they serve.”
A Call to Action
The looming threat of tariffs should serve as a wake-up call for small online retailers. “This is the moment to invest in digital transformation and market diversification,” said Nagy. “If businesses wait until tariffs are implemented, it may be too late.”
Government support is also essential. Policies that provide financial aid, training programs, and trade advocacy for small businesses could help them navigate these turbulent times. “We need a proactive approach,” Nagy urged. “Negotiation should be the focus, not retaliation. The future of Canadian small businesses depends on it.”
Conclusion: Building Resilience for the Future
The potential impact of U.S. tariffs on Canadian imports is a stark reminder of the vulnerabilities faced by small online retailers. While larger companies may have the resources to weather the storm, smaller businesses must act quickly to adapt.
“Let this be a catalyst for change,” Nagy concluded. “We can’t afford to be flat-footed. By embracing digital tools and expanding their reach, small businesses can not only survive but thrive in an increasingly unpredictable global market.”
