The Port of Vancouver, Canada’s largest and most diversified port, faces a major disruption as grain workers initiate a strike. It’s impacting bulk grain operations at six key terminals.
Strike Action Threatens Canada’s Grain Export Hub
On Tuesday, September 24, members of the Grain Workers Union Local 333 ILWU began strike action against the Vancouver Terminal Elevator Association (VTEA) at 7:00 AM PST. This move follows a 72-hour strike notice served over the weekend, consequently bringing grain operations to a standstill.
Implications for Grain Terminals and Shipping
The strike affects six major grain terminals at the port:
While these facilities face operational halts, other grain handling terminals, such as Fraser Grain Terminal (FGT), remain unaffected for now. However, the port authority anticipates vessel delays and increased anchorage demand if the disruption to bulk grain exports persists.
As of September 23, at 0600 PST, anchorage occupation stood at 44% for the Vancouver Fraser Port Authority areas (including English Bay, Inner Harbour, and Indian Arm) and 33% for the Southern Gulf Islands. These figures may rise as the strike continues, thereby potentially causing a ripple effect throughout the supply chain.
Retailers, importers, and supply chain managers should, therefore, prepare for potential disruptions in their operations. For those seeking real-time information, the Port of Vancouver offers a mobile app called “PortVan eHub,” available through their website or app stores. The tool allows users to view vessels currently in port and monitor the developing situation. Consequently, stakeholders can stay informed and make timely decisions.
As this labor dispute unfolds, stakeholders in the Canadian retail and import sectors are advised to stay informed and prepare contingency plans.
Kmart, once a titan in North American discount retail, is closing its final full-size store in the continental United States, marking the end of an iconic brand’s brick-and-mortar presence. The company had a presence in Canada from 1963 until 1998.
The Last Stand on Long Island
The Bridgehampton, New York store, located on Long Island, is set to close its doors on October 20th. The closure represents more than just the end of a single location; it symbolizes the culmination of a long decline for a brand that was once ubiquitous in North American shopping culture.
From Retail Giant to Retail History
Kmart’s journey began in the late 19th century when Sebastian Spering Kresge opened a five-and-dime store in Detroit. The Kmart brand, launched in 1962, quickly became a household name, known for its wide range of products and famous “blue light specials.”
Kmart opened its first Canadian store in Huron Heights, Ontario, in March of 1963. A Windsor location opened two months later. The chain grew over the years. In December of 1997, 112 of Kmart’s 122 Canadian stores were sold to the Hudson’s Bay Company, which by May 1998 had either closed locations or converted them to Zellers stores.
At its peak, Kmart operated over 2,000 stores in North America, offering everything from clothing and household goods to electronics and toys. The brand’s decline, however, was accelerated by the ill-fated 2005 merger with Sears, orchestrated by hedge fund operator Eddie Lampert. The Sears chain in the US has also since almost disappeared under his direction.
The Aftermath of a Retail Merger Gone Wrong
The $11 billion Sears-Kmart merger, once hailed as a game-changer in the retail industry, proved to be the beginning of the end for both brands. At the time of the merger, Kmart boasted approximately 1,400 stores, while Sears had nearly 900 full-line U.S. locations.
However, the combined entity struggled to compete with more agile competitors like Walmart and Target, which offered a similar range of products along with groceries. The rise of online shopping further eroded Kmart’s market share, leading to a steady decline in store count and relevance.
The Final Chapter with Kmart Closing
With the closure of the Bridgehampton store, Kmart’s presence in the continental U.S. will be reduced to a single small-format convenience store in Miami. The brand still maintains a presence in Guam and the U.S. Virgin Islands, where it faces less competition from other big box retailers.
For those seeking the Kmart name, a local Kmart operation continues to thrive in Australia. And there’s a Canadian connection — Anko, the in-house brand sold at Kmart Australia, is also the core brand carried in Zellers locations at Hudson’s Bay in Canada.
As the last full-size Kmart store prepares to close, it marks the end of an era in North American retail. The brand that once pioneered discount shopping and captured the imagination of consumers with its blue light specials will soon exist only in the memories of generations of shoppers.
Fido, a subsidiary of Rogers Communications and a prominent Canadian wireless service provider, has shuttered its flagship store in Victoria, British Columbia, marking the end of an era for the brand’s presence in the city’s downtown core.
The closure of the Fido location at 743 Yates Street, which had been a fixture in Victoria’s retail landscape for over three decades, reflects the evolving dynamics of the telecommunications retail sector in Canada. It might also signal problems with vagrancy and crime in Victoria’s downtown core, which has struggled since the pandemic.
Changing Retail Strategies in the Wireless Industry
The decision to close the store comes as major telecom companies reassess their brick-and-mortar strategies. With the proliferation of Rogers and Fido resellers, maintaining dedicated retail spaces has become increasingly costly compared to more compact mall kiosks.
This shift in approach is indicative of broader trends in the industry, where companies are adapting to changing consumer behaviors and seeking more cost-effective ways to maintain their market presence.
Impact on Local Business Landscape
The Fido store’s closure is not an isolated incident in Victoria’s downtown area. Several businesses in the vicinity have recently shut down, citing various challenges. While rising rents are a common concern, some business owners have pointed to more complex issues affecting the local commercial environment.
Nearby establishments, such as the bakery Tombo Eats, have reported instances of vandalism as contributing factors to their decisions to cease operations. These closures highlight the multifaceted challenges facing retailers in urban centers.
Customer Service Continuity
Despite the closure, Fido customers in Victoria will not be left without support. A notice posted at the former location directs patrons to a nearby Rogers store at the Bay Centre, ensuring continuity of service for existing customers.
This transition underscores the integration between Rogers and its Fido brand, offering customers access to a wider network of service points across the Rogers ecosystem.
As the retail landscape continues to evolve, the closure of this longstanding Fido store in Victoria serves as a reminder of the constant changes in consumer markets and the need for businesses to adapt to new realities in urban centers.
Sleep Country, Canada’s leading specialty sleep retailer, is celebrating its 30th anniversary this year as it has developed into a nationwide brand with over 300 storefronts.
To commemorate this significant milestone, Sleep Country said in a news release that it commissioned Leger to conduct an in-depth survey about evolving sleep preferences, behaviors of recent years and how sleep affects different aspects of Canadian lives. According to the study, half of adults in this country, a figure representing nearly 16 million people, said they have trouble sleeping, said the retailer.
Stewart Schaefer
“As we mark our 30th anniversary, we not only celebrate our journey and unwavering commitment to better sleep but also reflect on our nation’s current sleep quality and how Sleep Country can continue leading the way in sleep innovation and solutions for all Canadians, for the years ahead,” said Stewart Schaefer, President and CEO of Sleep Country Canada.
“This milestone is a testament to our ability to adapt, and stay ahead of the curve in an ever-changing industry. The insights from our latest survey will guide us as we continue to educate Canadians on the importance and power of sleep.”
Key findings from the survey include:
Half of Canadians (48 per cent) have trouble sleeping, with over 80 per cent not feeling well rested when they wake up, and 64 per cent citing mood swings, lower energy, and decreased productivity as the most common side effects of a bad night’s sleep;
Nearly one in three (31 per cent) Canadian adults are less satisfied with their sleephabits than they were just a year ago, with stress, mental overactivity, and room temperature topping the list of sleep disruptors;
Technology has significantly disrupted the sleep patterns of more than half of Canadians over the past five to 10 years, with over 60 per cent reporting an impact. Interestingly, four-in-10 Canadians stated that they use technology to improve their sleep such as, meditation or relaxation apps, sound machines, white noise apps and sleep tracking app, highlighting the complex relationship between our devices and our well-being;
In a bid for better sleep, 50 per cent ofCanadians avoid caffeine, heavy meals before bed, and create cozy sleep environments to build healthier bedtime routines;
Sleep is the cornerstone of mental health, with two-thirds ofCanadians noticing a dramatic mood boost after a good night’s rest, and 65 per cent recognize the deep connection between sleep and mental well-being;
Nearly four out of five (78 per cent) Canadians stated that poor sleep contributes to feelings of anxiety and depression;
For over 90 per cent of Canadians, their bed isn’t just for sleeping—it’s a sanctuary of comfort and relaxation – where Sleep Country has been a steadfast companion;
On average,Canadians sleep for an extra half-hour on weekends compared to weekdays, with women more likely than men to use their days off to catch up on rest; and
Mattress satisfaction is closely related to sleep quality. Canadians who are extremely satisfied with their mattress are 30 per cent more likely to report high-quality sleep.
Earlier this summer, Sleep Country Canada kicked off the anniversary campaign with a brand love spot, which turned the camera towards consumers to capture the special moment of the best “happy birthday” of the day and the intimate spaces where laughter, tears, triumphs, and dreams come to life , and where Sleep Country Canada has been a steadfast companion.
Christine Magee
As part of the second half of its anniversary celebrations, Sleep Country Canada is launching their 30th anniversary event featuring throwback pricing and dreamy deals aimed at giving back to the loyal customers who have supported the brand over the years. The campaign features retro inspired spots, where Sleep Country’s co-founder Christine Magee steps back into the advertising spotlight after previously representing the brand since it began 30 years ago.
Nuno Bamberg
“For our 30th anniversary, we wanted to create a campaign that was more than just a look back for Sleep Country,” said Nuno Bamberg, Senior Vice President, Brand & Marketing, Sleep Country Canada. “We wanted to reconnect with the roots of our brand, blending the retro vibes of the 90’s with fresh creativity. This campaign is about taking our customers on a journey through time, back to where it all began, and sharing that nostalgia with them.”
Sleep Country also operates under these retailer banners: Dormez-vous, the rest, Endy, Silk & Snow, Hush, and most recently acquired Casper Canada. The Company has omnichannel and eCommerce operations, including 307 corporate-owned stores and 18 warehouses across Canada.
Canadian luxury apparel sales will increase 4.2 per cent in 2024 and by 18.8 per cent in 2027, according to the latest 2023/2024 Canadian Luxury Apparel Market report by Trendex North America.
“In developing Trendex’s forecast, the effect of the opening of two new high-end Canadian malls could be speculated but not quantified with any degree of certainty. Royalmount which opened in September this year and Oakridge opening in April 2025 have a number of luxury apparel specialty stores but still far less than Yorkdale. It is just not the number of luxury apparel stores in each mall but also whether they will add to the luxury pie in each trade area or will they simply divide the existing pie in more slices. Only time will tell the effect on total luxury apparel sales by each mall,” said the report.
Trendex said its review of the current status of the Canadian luxury apparel market comes coincidentally with Royalmount’s recent opening. In 2023, Trendex estimates that Canadian luxury apparel sales increased 10.9 per cent to C$2.78 billion. The increase came on top of a 7.4 per cent increase in 2022. During 2023 luxury apparel accounted for 7.4 per cent of total Canadian apparel sales.
Current Tiffany & Co. store at 150 Bloor St. W. in Toronto. Photo: Dustin Fuhs
According to the report, last year’s increase in luxury apparel sales was attributable to a number of factors, including:
A 52 per cent increase in foreign tourism;
The expansion of luxury apparel zones in Toronto and Vancouver;
An increasing presence of luxury apparel retailers in better malls generally and Yorkdale specifically;
Trendex said insights to be noted about the 2023 luxury apparel market include:
Women’s apparel accounted for 57.2 per cent of sales, while men’s apparel (27.9 per cent) and purses (14.9 per cent) accounted for the balance of sales;
The “Big Three” of luxury apparel retailing (i.e. Holt Renfrew, Harry Rosen, and Saks) accounted for 46.1 per cent of sales;
The “all other” channel (x– luxury specialty chains, HBC and Simons) accounted for 32.0 per cent of sales;
Holt Renfrew was the country’s largest luxury retailer followed by Harry Rosen. The seven largest luxury retailers accounted for 49.9 per cent of luxury apparel sale.
Holt Renfrew flagship store at 50 Bloor St. W. in Toronto. Photo: Craig Patterson
Trendex said luxury apparel e-commerce sales increased by only 5.1 per cent as consumers were increasingly attracted to upgraded luxury stores/malls. It said 49 per cent of luxury apparel mono-brand doors were in Ontario, while only nine per cent were in Quebec. Only three new luxury apparel retailers entered Canada during 2023.
“Trendex’s original exuberant forecast for the 2024 Canadian luxury apparel market completed in early March 2024 had to be revised significantly downward when it was updated in mid-July 2024. The primary reason for the revision was the 1.6 per cent decrease in Canadian apparel specialty store sales in the first half of 2024. The decrease due to macro-economic pressures including inflationary pressures on consumers along with high interest rates resulted in a decreasing share of consumer spending going to discretionary non-experiential purchases,” said the report.
Additionally these metrics also influenced Trendex’s forecast, according to the company:
Foreign tourism increased 52 per cent in 2023. However in 2024 foreign tourism is forecasted to increase by only 28 per cent over 2023 levels;
First half 2024 sales figures for the major luxury apparel suppliers, although not specific to Canada detailed a slowdown in luxury sales in the United States;
First half apparel imports from Italy (-12.0 per cent), France (-12.4 per cent), UK (-27.0 per cent) and Germany (-9.3 per cent) fell greater than the overall 7.8 per cent decrease in total Canadian apparel imports.
But Club PKL is more than just pickleball, one of the fastest growing sports and fitness activities in Canada. It’s also a fitness complex.
Samberg said Club PKL is on a mission to elevate pickleball as a premier sport and the bar has been raised to deliver an exceptional experience for pickleball enthusiasts right in the heart of downtown Montreal.
Barry Samberg
“As pioneers, we’ve introduced the city’s first dedicated and meticulously designed pickleball facility, featuring seven regulation and tournament-approved courts. Additionally, we offer fitness and yoga space to complement your sporting experience. With early morning to late-night hours, we ensure ample playing time, recognizing pickleball’s rightful place in the sports world,” said Samberg, CEO and President of Club PKL.
“We’re more than pickleball. We’re a full premium club. But pickleball definitely drives our business.”
The 24,000-square-foot facility opened in the middle of June in the Griffintown neighbourhood which has been re-gentrified. Samberg took over an existing building, gutted it to the bones, and rebuilt.
“To get this type of location in Montreal is almost impossible. We were very lucky. I’ve been working on the project for three years. I had two places that I thought were pretty good opportunities but didn’t work out for whatever the reason. I happened to be going to Costco with my wife, all of a sudden there’s a sign on the window as we’re driving by this place, I called the landlord and they had just put the sign up two hours before,” recalled Samberg.
The facility has two fitness studios – one a full gym and a room for activities such as yoga and Pilates.
Photo courtesy of Club PKL
There is also a lounge for corporate events and member events.
“Pickleball was always at the foundation of what we wanted to do. I had actually been in Florida during COVID for the most part during the winters. I’m a very high level tennis player and a buddy of mine kept pushing me to come play pickleball with him in Pompano in a park,” said Samberg. “And I went to the park. I saw from seven o’clock to 12 o’clock, the place was full – 16 courts. It was insane and the amounts of people.
“I came back from that and I came to my wife and said to her okay I know what my next act is. That’s when I started to work on the project. My wife is a trainer and prior to COVID we worked on a project called Intensity. We were about to open two locations and the goal was to open multiple locations to franchise and then COVID hit. So we were actually very lucky because we were about to sign a lease literally one week before COVID started. So we pivoted, shut that down basically to see what happens after COVID and during COVID the pickleball thing came up. The craze for pickleball came up.”
Photo courtesy of Club PKL
The idea came to them to combine pickleball with a fitness facility.
Samberg said there are plans to open more similar facilities. Currently, he is looking for four other locations – one is in the Ottawa area and the others in Montreal.
The company is working with the team at Think Retail for its real estate needs.
“We’re looking at some other locations throughout Canada,” added Samberg. “That will probably be a phase three for us because phase two will be opening closer to home.”
More and more Canadian small businesses are being hit by fraud, with half (50 per cent) of them experiencing either attempted or successful fraud in the past 12 months, and more than one-third (36 per cent) of those who fell victim to fraud suffering financial losses, according to new data by the Canadian Federation of Independent Business (CFIB) released in collaboration with Interac Corp. (Interac).
The report said impacted business owners have lost $7,800 on average in the past year. Beyond financial losses, small businesses dealt with lost time (76 per cent), negative emotional impact (51 per cent), and decreased staff morale (23 per cent).
Corinne Pohlmann
“Whether you’re a consumer, a mom-and-pop shop or a big industry player, we’ve all been impacted by fraud in some shape or form. Dealing with their consequences can be frustrating and time-consuming, especially for small business owners who often don’t have enough time or resources to address this growing issue,” said Corinne Pohlmann, Executive Vice-President of Advocacy at CFIB.
“Fraud is here to stay, and unfortunately, the rise in various AI tools is only exacerbating the issue. While October marks Cybersecurity Awareness Month in Canada, it’s important to stay vigilant year-round.”
In a news release, the CFIB said the bigger the business, the likelier it is to experience fraud attempts.
“The most common types of fraud attempts include email scams and phishing (85 per cent), text (77 per cent) and phone call scams (76 per cent). Though less common, fraudulent payments and chargebacks (when a customer falsely disputes legitimate transactions) are more likely to result in business losses, for 19 per cent and 16 per cent of businesses respectively. Businesses in the hospitality, retail, transportation, personal services, and arts, recreation and information sectors were found to be particularly vulnerable to these two types of fraud,” explained the CFIB.
It said nine in 10 (90 per cent) business owners are also worried that the rise in the use of artificial intelligence (AI) will make fraud more sophisticated and harder to detect.
Joanna Schoneveld
“This research drives home how important it is for the ecosystem to prioritize fraud prevention and detection. We are investing in solutions that help business owners stay ahead of an ever-evolving fraud landscape so their focus can remain on operational growth and customer trust,” said Joanna Schoneveld, Fraud Management Leader at Interac.
CFIB’s recommendations to governments include:
Enhancing the Code of Conduct for the Payment Card Industry in Canada ensuring accountability to merchants through a fair, transparent and competitive payment landscape in Canada. This includes implementing improvements to complaint handling processes for merchants, such as the process of challenging chargebacks.
Making sure resources are allocated adequately to “cyber policing” and reporting yearly outcomes with specific numbers for small businesses.
Providing small businesses with financial assistance (such as tax credits, low-interest loans or grants) to help them invest in IT security.
Proactively sharing information on existing resources and best practices with businesses and associations.
Providing advice specifically tailored to small and medium-sized enterprises (SME) on preventing cyberattacks.
To combat fraud, half of businesses have implemented stricter verification processes for payments, such as multi-factor authentication for online transactions, while nearly four in 10 (36 per cent) increased cybersecurity investments and one-third (32 per cent) enhanced employee training, added the CFIB.
Retail as we know it is broken. The traditional retail model is struggling to keep up with evolving consumer expectations, supply chain disruptions, and increasing demands for sustainability.
And many retailers are finding it challenging to provide a seamless omnichannel experience, manage inventory effectively, and adapt to new technological advancements. These issues have resulted in dissatisfied customers, significant financial losses, and a considerable environmental impact.
Traditional models are no longer sufficient to meet the demands of today’s consumers and the challenges posed by modern economic, social, and technological landscapes.
Photo courtesy of YDISTRI
Roland Dzogan
Roland Dzogan, CEO of YDISTRI, an innovative AI-optimized SaaS solution for retail inventory management, said consumers today have so much choice.
“This is the problem that the choice is too big,” he said, adding that this becomes a major issue for retailers in planning their inventory. Customers also expect a seamless integration of online and offline shopping experiences, which many traditional retailers struggle to provide, leading to dissatisfaction and lost sales.
“Consumers increasingly demand personalized shopping experiences. Retailers that fail to leverage data analytics and AI for customized recommendations are at a competitive disadvantage,” said Dzogan.
“The rise of e-commerce giants offering rapid delivery has set high expectations for speed and convenience, which traditional retailers must match to retain customers.
“YDISTRI leverages AI to provide retailers with insights that enable seamless omnichannel experiences and personalized shopping. This helps retailers meet the expectations of modern consumers who demand instant gratification and tailored recommendations, ultimately enhancing customer loyalty and satisfaction.”
YDISTRI, an innovative AI-optimized SaaS solution for retail inventory management, is redefining how retail chains address inventory challenges. It goes beyond forecasting to dramatically rebalance inventory across locations. By intelligently redistributing unsold inventory to real-time demand, YDISTRI empowers retailers to maximize revenue and minimize waste, going far beyond traditional forecasting methods.
Retailers worldwide are losing billions in unsold inventory but YDISTRI’s AI solution is turning this ‘deadstock’ into revenue by redistributing it based on real-time demand.
Unsold inventory, or “deadstock,” poses a massive financial drain on retailers, tying up capital in merchandise that may never sell. YDISTRI is the leader in solving this $637 billion global crisis, using cutting-edge AI to identify stagnant stock and automatically redistribute it to higher-demand locations before it goes to waste.
With YDISTRI, retailers can sell up to 90 per cent of what is deemed unsellable inventory within two months, realizing significant financial and operational benefits. YDISTRI provides innovative solutions that enable retailers to create sustainable, efficient, and customer-centric operations, ensuring they thrive in this new era: Retail 3.0.
Dzogan said inadequate inventory management leads to frequent out-of- stock situations, frustrating customers and driving them to competitors.
“Conversely, overstocking results in excess inventory that often goes unsold, leading to significant financial losses and increased waste. Retailers face a global crisis with $637 billion tied up in unsold inventory,” he said.
“Global supply chain challenges, exacerbated by recent events like the COVID-19 pandemic or the 2021 Suez Canal blockage incident, highlight the fragility of current retail systems. Retailers must adapt to more resilient and flexible supply chain models.”
Photo courtesy of YDISTRI
He said YDISTRI’s real-time demand forecasting and inventory redistribution ensure that products are always available where they are most needed, reducing out-of-stock situations.
“By dynamically rebalancing inventory, YDISTRI helps retailers minimize overstock and reduce waste, converting what is typically unsellable inventory into profitable stock. Remarkably, up to 90 per cent of redistributed deadstock is sold at full price, significantly boosting profitability,” added Dzogan.
“The retail industry is a significant contributor to environmental issues due to overproduction, excessive packaging, and unsold goods ending up in landfills. The Ellen MacArthur Foundation reports that the fashion industry alone is responsible for 92 million tons of waste annually.
“Increasingly, consumers prioritize sustainability and expect retailers to adopt eco-friendly practices. A survey by IBM found that nearly 70 per cent of consumers consider sustainability when making purchasing decisions.
There is also a growing need for retailers to embrace circular economy principles—recycling, reusing, and reducing waste—to mitigate their environmental footprint.”
He said many retailers, and some big ones, are going into bankruptcy because they haven’t solved this issue. The ones that are in financial trouble need to optimize their digital networks.
“YDISTRI represents the future of retail inventory management – an AI-optimized paradigm shift that finally aligns overstock with real demand to maximize revenue,” added Dzogan. “We are excited to bring this game-changing solution to retailers across North America and enable them to sell what others deem as unsellable inventory — at full price.”
YDISTRI has revolutionized inventory for clients in the US, Canada, Mexico, UK, EU, and Central Europe since 2019. By predicting trends and intelligently redistributing inventory, YDISTRI empowers retailers to increase sales, lower waste, and navigate today’s landscape.
Here are some of the key benefits for retailers of using YDISTRI ’s AI solution:
Go Beyond Forecasting: Exceeds traditional forecasting methods to dynamically rebalance inventory based on real-time demand;
Sell ‘Unsellable’ Inventory: Eliminate deadstock and slow-moving items by selling them at full price rather than resorting to write-offs or discounting;
Boost On-Shelf Availability: Ensure consistent availability for hot products network-wide, even during promotions, without additional inventory investment by better utilizing current inventory;
Expand Retail Footprint: Open new stores at dramatically lower costs without additional inventory investment by reallocating existing inventory;
Minimize Working Capital: Improve inventory turnover and cash flow with optimized redistribution across retail networks; and
Reduce Logistics Costs: Intelligently reassign stock to high-demand locations, significantly reducing logistics and transportation expenses.
YDISTRI is making a significant financial impact for retailers. On average:
90 per cent of products redistributed are sold within two months;
10 per cent (or higher) increase in net profit margin;
10X increase in inventory turnover of low-velocity inventory;
30 per cent improvement in working capital company-wide;
Two to five per cent logistics costs – firmly in control versus 40-50 per cent markdowns;
Up to 90 per cent of redistributed deadstock sold at full price; and
increasing net profits up to 20 per cent.
YDISTRI uses data analysis to identify “phantom” merchandise that should be in stock but has truly gone missing. By continuously syncing the digital and physical worlds, YDISTRI eliminates inventory blind spots to reduce multi-billion-dollar shrinkage costs that many retailers simply accept as unavoidable losses.
TerraCycle, an international recycling provider is spearheading innovative programs to recycle coffee packaging, offering sustainable solutions for environmentally conscious consumers.
Free Programs Transform Coffee Waste
With global coffee waste reaching staggering levels, TerraCycle’s initiatives are timely. Tom Szaky, CEO and founder, explains, “Most coffee packaging usually ends up in the trash, but it doesn’t have to be that way. We’re making it easy for coffee lovers to enjoy their favorite pick-me-up sustainably.”
TerraCycle’s free recycling programs include partnerships with major brands:
Tassimo Free Recycling Envelope Program
Nespresso Aluminum Capsule Recycling Program
McCafé® Free Composting & Recycling Program
Consumers can easily participate by signing up online, downloading a prepaid shipping label, and sending in their empty coffee packaging.
Comprehensive Solutions Through Zero Waste Boxes
For those looking to recycle a wider range of coffee-related packaging, TerraCycle offers Zero Waste Boxes:
Coffee Bag Zero Waste Box™ for any brand of empty coffee bags
Coffee Capsule Zero Waste Box™ for used capsules, pods, and discs
Break Room Separation Zero Waste Box™ for office use
These boxes can be returned to TerraCycle using the provided prepaid shipping label. The collected packaging is then processed and transformed into raw materials for new products.
As coffee enthusiasts celebrate their favorite brew, they can now do so more sustainably. TerraCycle’s programs ensure that coffee packaging finds new life beyond the landfill, contributing to a more circular economy.
Moscone Center in San Francisco during the 2024 Salesforce Dreamforce conference. Photo: Craig Patterson
Salesforce is at the forefront of integrating artificial intelligence in retail. Nino Bergfeld, Director of Retail Advisory at Salesforce, shared insights on how AI is revolutionizing customer loyalty, personalization, and service in the retail sector.
Bergfeld, who resides in Munich, Germany, sat down for a one-on-one interview with Retail Insider during Salesforce’s Dreamforce event that was held last week in San Francisco.
AI Enhances Customer Loyalty Programs
Nino Bergfeld
In the interview, Bergfeld said that AI is transforming traditional loyalty programs. “Many existing loyalty programs incentivize behaviour that is already being shown,” he stated. Ineffective loyalty programs, according to Bergfeld, can eat into margins without driving new sales. AI-driven loyalty programs, however, can offer more targeted and valuable rewards, he said.
The future of loyalty, Bergfeld suggests, lies in creating seamless experiences across channels. He cites examples like Amazon’s Alexa, which simplifies reordering processes, fostering loyalty through convenience rather than discounts. “I’m loyal to Amazon because there’s Alexa and I just need to say, ‘Hey Alexa, please reorder the washing detergent.’ It’s so easy,” Bergfeld said.
AI-Powered Customer Service Builds Brand Affinity
One of the most significant impacts of AI in retail is in customer service. Bergfeld highlighted the example of Saks Fifth Avenue’s AI agent, Sophie, powered by Salesforce’s new Agentforce technology. The AI-powered assistant provides immediate, personalized service grounded in customer data for Saks customers.
“You get a much better experience driven and generated by AI,” Bergfeld explained. He contrasted this with traditional call centres, where customers often face long wait times and impersonal service. AI agents like Sophie can access store-level inventory, customer history, and other relevant data to provide swift, accurate responses, he said.
Bergfeld added, “If there would be no AI, you would be in a call center queue, you would have to press ‘one’ for existing orders, press ‘two’ for refunds, press three, four, press five if you want to speak to an agent and you’re in a queue.” This can cause customer frustration or even worse, a situation where a customer becomes so frustrated that any loyalty is lost. The AI-powered alternative offers a dramatically improved customer experience, he said.
Balancing AI and Human Touch in Retail
While AI offers significant benefits, Bergfeld stresses the importance of maintaining human elements in retail. “If you try to cancel out everything and automate with AI, that’s not going to work,” he warns. Instead, he envisions a future where AI empowers human staff, allowing them to focus on high-value interactions.
Bergfeld provides an example: “An AI agent could notify a store associate that a high-value customer is coming to pick up an order, suggesting items that might complement their purchase.” Such a fusion of AI efficiency and human expertise can significantly enhance the shopping experience, while also leading to increased sales with increased purchases.
Saks Fifth Avenue shopping presentation at the Moscone Centre in San Francisco during the Salesforce Dreamforce event, September 2024. Photo: Craig Patterson
He emphasized the importance of the human touch in retail, drawing from personal experience: “I’m from a retail household. My mother had a retail shop for 40 years. People came because they got counselling. My mother had had her little black book. She knew the desperate husband at Christmas showing up, what the wife needs.”
In more modern times, that black book would be replaced with an online CRM system — but the human touch is still critical, particularly in physical retail spaces. Looking to applications in retail, AI allows store associates to focus on more important tasks while also providing comprehensive and useful customer information in seconds.
The Global Adoption of AI in Retail
The pace of AI adoption varies globally, with cultural and regulatory differences playing a significant role. Bergfeld observes that European retailers tend to be more cautious, partly due to stricter data protection regulations like GDPR. In contrast, North American retailers are generally more willing to experiment with new technologies.
“Europe is regulating first and innovating second. The U.S. is innovating first, regulating second,” Bergfeld said, quoting a multinational CEO. The difference in approach impacts the speed of AI adoption in retail across regions.
Asian markets, particularly China, are leading in innovative AI applications in retail. Bergfeld points to platforms like TikTok, SHEIN, and Temu, which use AI-driven discovery and gamification to engage shoppers. These approaches contrast sharply with traditional search-based e-commerce models.
“If you look at TikTok, for example, or SHEIN or Temu, it’s discovery-based,” Bergfeld explains. “The TikTok algorithm decides in the first 1.8 seconds if you like the content. And if yes, you get served more.”
Saks Fifth Avenue shopping presentation at the Moscone Centre in San Francisco during the Salesforce Dreamforce event, September 2024. Photo: Craig Patterson
Challenges and Considerations in AI Adoption
Bergfeld highlighted several challenges retailers face when adopting AI technologies. Data integration, for example, is a significant hurdle. “Everybody in retail knows retail is very particular because you have so many data silos. You have store POS data, loyalty data, email marketing data, CRM data,” he said. Integrating these disparate data sources is crucial for effective AI implementation, he explains.
Transparency and trust are also key concerns. Bergfeld advocates for clear communication with consumers about AI use. “You have to be transparent with your consumers,” he states, suggesting practices like watermarking AI-generated content or clearly labeling AI-assisted communications.
The Future of AI in Retail
Looking ahead, Bergfeld said he sees AI playing an increasingly central role in retail operations. He described different waves of AI adoption, with the current phase focusing on autonomous agents capable of taking actions. Future developments may lead to fully autonomous retail operations, though Bergfeld suggests this is still considerably “further down the road.”
Gamification is another trend Bergfeld believes will shape the future of retail. Drawing inspiration from Asian e-commerce platforms and gaming worlds like Roblox, he suggests that future retail experiences might incorporate game-like elements to engage younger consumers.
“Those are the consumers of the future,” Bergfeld notes, referring to younger generations accustomed to digital interactions. He said he envisions a world where physical purchases might come with digital twins for use in virtual environments, adding another layer of value and engagement for tech-savvy consumers.
There are still unknowns of what AI will hold for the future of retail, particularly as it evolves. Bergfeld said retailers will have to balance innovation with consumer trust and regulatory compliance. The future of retail lies in creating personalized, efficient, and engaging experiences powered by AI but anchored in human understanding — Bergfeld’s insights highlight the transformative potential of AI in retail, from enhancing loyalty programs to revolutionizing customer service and creating novel shopping experiences. As the technology advances, retailers who successfully integrate AI while maintaining a human touch will likely lead the industry into its next era. And given how quickly things are changing with AI technology, that era could be here sooner than we expect.
