Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson
Big Box Outlet Store, Western Canada’s leading liquidator, is continuing to expand its retail footprint.
Jeff Driedger
Jeff Driedger, President of the company, said the brand just opened its 19th location in Sherwood Park, Alberta.
“We have our 20th under construction right now in Lethbridge. It will be opening later in the summer,” he said.
“In just over a year, we’ve gone from 11 to soon to be 20 locations.”
Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson
All locations are in Alberta and British Columbia.
“A lot of those expansion locations have been in Alberta. We’ve opened five new locations in Alberta. We’ve been opening stores in BC as well. We opened three new locations in BC during that time.
“We’re talking to a few landlords. We’ll see what happens. We want to continue to grow. We think eventually there’s room in the market for 40 locations for us in Western Canada and eventually we want to be a national player.”
The company has its head office in Abbotsford, BC.
Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson
The typical size of a store is 15,000 to 20,000 square feet. Some stores are a little bit smaller and some a little bit larger.
The first store opened 39 years ago.
“We grew slowly for a bit and have taken off in the last year or so,” said Driedger.
Big Box Outlet Store offers a wide range of products from around the world, including new, manufacturer-direct, seasonal closeout, refurbished, and open-box items. Its selection includes electronics, fashion, outdoor gear, hardware, kitchenware, appliances, furniture, and even groceries.
Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson
Formally known as MTF Price Matters, Big Box Outlet Store has been family-owned by the Funk’s since 1985. The core of the brand has kept focus ever since on finding brand name items through its reverse logistics purchasing channels, in order to sell products to customers at heavily discounted prices.
“Our mission is to help people afford everyday life,” said Driedger. “And we think particularly in this economic cycle people’s budgets are stretched, they’ve seen inflationary pricing have a big impact on their pocketbooks and they’re looking to save some money. And we’re part of that solution. We really do believe in that mission and that is what kind of excites us to grow our company.
“Generally speaking we do better in suburban locations than urban locations. Part of that is the size of the location that we’re looking for as well. They tend to be more prevalent in suburban locations but a lot of our customer base would be families and so in those areas where families tend to live, those suburban areas. But we serve a pretty diverse customer group overall.
“Sometimes it’s difficult for people to understand what it is that we do because we’re a discounter but you will find brands in our stores. So you’re not necessarily what you might see in a Dollar Store or you might see in a liquidator. You really will find brand name products at better prices. We sell almost 50 categories, everything from grocery to furniture to large appliances, outdoor recreation gear. If you look at our assortment, it’s really quite unique.”
Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson Inside the Big Box Outlet store at Sherwood Park Mall in Sherwood Park, Alberta. Photo: Christa Patterson
Wendy's at 357 King St W, Toronto (Image: Dustin Fuhs)
Wendy’s Canada is looking to expand more throughout Canada, including doubling its footprint in Quebec in 2024. The brand has also opened a new location at Blue Jays Way in Toronto, which is under its newest concept: Global Next Gen design and will be renovating existing locations to match the new change.
“Wendy’s new location at Blue Jays Way is not just about convenience, it is about bringing a state-of-the-art dining experience to our customers,” says Dana Calvert, the chief development officer for Wendy’s international. “With our Global Next Gen design, we are enhancing the way people interact with our brand, offering a sleek, modern environment and the latest digital technology to ensure speed and accuracy in every order. This opening marks a significant milestone in our ambitious growth plans across Canada.”
Dana Calvert
Calvert explains that the new design features a kitchen layout that provides more flexibility and allows Wendy’s to expand into non-traditional spaces. Customers at the new Blue Jays Way location and future locations can expect a modern interior design enhanced by technology, including mobile digital ordering options. All new locations will feature this concept and existing locations will be renovated.
“Our Global Next Gen design features a streamlined kitchen layout that offers greater flexibility and will offer a modern interior design. Additionally, we are committed to renovating our existing locations to incorporate this innovative design, including restaurants that have already started renovations this year – ensuring a consistent, high-quality experience across all Wendy’s restaurants.”
The design will include new innovations such as a mobile order pickup system and will increase efficiency, such as new lighting and HVAC, to decrease energy consumption: “a win for our economies, but importantly for the environment.”
Wendy’s at 357 King St W, Toronto (Image: Wendy’s)Wendy’s at 357 King St W, Toronto (Image: Dustin Fuhs)
Doubling in Quebec
Wendy’s will double its restaurant footprint in Quebec by 2024 and reach the Company’s goal of 50 restaurants serving Wendy’s favourites across the province by 2030.
Wendy’s is looking to double its footprint in Quebec by the end of 2024 and wants to reach 50 restaurants by 2030. Currently, Quebec only has 15 Wendy’s locations. Three locations have already opened in Sherbrooke, Papineauville, and in Thetford Mines which opened on May 24th.
The expansion will see new restaurants opening in both urban centres and suburban areas, with a focus on accessibility and convenience. Calvert says Wendy’s is partnering with several new franchisees and helping existing franchisees to expand in the province.
We are thrilled to announce our ambitious plans to double our footprint in Quebec by the end of 2024 and aim for 50 restaurants by 2030. Currently, Quebec only has 15 Wendy’s locations, but we see tremendous potential for growth in both urban centres and suburban areas. We have already made significant progress with new openings in Sherbrooke, Papineauville, and Thetford Mines,” says Calvert. “This expansion focuses on accessibility and convenience, ensuring that our high-quality food and service are easily available to more customers. Our goal is not just to increase our presence, but to become a beloved brand in every community we serve in Quebec.”
National Expansion Plans
Wendy’s in Ottawa, Ontario (Image: Wendy’s)
Looking beyond Quebec, Calvert says the brand will continue to expand across Canada as they have lined up new franchisees.
“We have a growth strategy across the entire country. We have our existing franchise base highly engaged and committed to growth. We have also recruited 24 new franchisees in the past few years who will also build a brand. So you will see Wendy’s showing up from small markets, urban centres, and non-traditional spaces. We have the local team highly engaged to deliver on that growth with our franchises and we have high confidence that we have commitments for growth across the entire country.”
As the brand continues to expand, Calvert says they are looking for locations that are around 2,000 square feet and will be focusing on high traffic areas in Montreal, Vancouver, and Toronto.
“Canadians can expect the best in the business from our local real estate team, franchisees, and expert brokers, who will be accelerating our leasing plans to bring more Wendy’s to more people, more often. Our new Global Next Gen restaurant at Blue Jays Way is the latest example of pairing Wendy’s iconic favourites with an iconic location strategy to reach both loyal, local customers and the many visitors to the area. We will continue to challenge the status quo, evolving our restaurant experience to bring Wendy’s to our fans anytime, anyplace, anywhere.”
Wendy’s at 357 King St W, Toronto (Image: Wendy’s)
Sainte-Catherine Street in Montreal needs to improve its occupancy rate by another eight per cent to be considered fully recovered from the pandemic, says a report from real estate firm JLL.
Canadians have increasingly displayed a heightened appetite for new in-person socializing and entertainment experiences given the pandemic and its isolating effects, which should influence how empty spaces will be filled out in the near future, it said.
Jesse Provost
Board game cafés, escape rooms, virtual reality, and competitive socializing concepts are among the most popular small-sized entertainment concepts that would add a much-needed element to an otherwise well-rostered street, added JLL.
“Already renowned as an entertainment hub, new concepts are sure to benefit from the many nearby residential projects delivered in recent years, adding to the mix of office workers, tourists and university students. The much-anticipated new light rail transit line, which will connect the four corners of the city to the downtown core will attract people who might otherwise have decided to stay in the suburbs. Sainte-Catherine Street is literally at the heart of Montreal’s business, cultural, and entertainment districts. All the ingredients are there for a vibrant and lively mix of entertainment concepts,” said Jesse Provost, Associate Vice President, Retail at JLL.
La Maison Simons on Sainte-Catherine Street (Image: Dustin Fuhs)
With the pandemic creating a public shift toward online shopping, pop-up stores are becoming more commonplace. Whether it is digitally-native clothing retailers looking to obtain a physical presence, or local retailers affected by the pandemic looking to make a comeback, pop-up stores are excellent at generating hype and giving retailers the opportunity to safely test a market before making a larger commitment, said JLL.
“It’s anticipated that Sainte-Catherine Street will become home to many first-in-market pop-up concepts in the coming years given the street’s prominence and ability to attract foot traffic,” said the report.
“Unlike typical retailers, pop-ups thrive on temporary presence. By doing this, pop-ups can promote a sense of urgency from their customers, inviting them to shop at their store prior to their imminent closure.
“Some pop-ups that have recently opened in the GMA include Arkad, Zellers, and Turquoise’s Treasures. Another pop-up coming to Montréal is Shein, a clothing e-retailer that is set to arrive in July. The brand had recently opened a four-day pop-up in Toronto, which created a steady stream of line-ups and was deemed largely successful.”
Image: SHEIN
Johanne Marcotte, Executive Vice-President Property Management, Retail at JLL, said: “With catalogs of products available at their fingertips, consumers are looking for experiences that go beyond traditional shopping. Retailers can meet these changing preferences by offering pop-up formats which hugely benefit them. Temporary locations and activations provide an opportunity to gather real-time reactions from customers, understand market demand and evaluate the long-term visibility of their concept. This flexibility enables brands to fine-tune their strategies, product offerings, and customer experience based on their direct feedback.”
Johanne Marcotte
The report said the luxury sector is one of the retail categories that has seen almost uniformly positive results in North America and was one of the first categories to bounce back after lockdown restrictions were lifted.
“While the current elevated interest rates and the economic uncertainty that they bring can be challenging for price-sensitive consumers, it’s important to note that affluent luxury consumers experienced relatively little turbulence during the pandemic,” said JLL.
“In turn, these shoppers should continue to overcome current economic obstacles and provide much-needed consumption stability. The sustained demand for premium products should provide a ripe opportunity for luxury retailers. According to a Business of Fashion survey, just under 80 per cent of respondents expect to visit luxury stores as often or more frequently this year compared to 2022. Just over 50 per cent of respondents plan on visiting a luxury store each quarter . . . Some luxury retailers that have recently teased future openings in the GMA include Tiffany & Co, Louis Vuitton and Gucci.”
Sainte-Catherine is the commercial artery of downtown Montréal. Reaching residential areas, the street stretches for over 11 kilometres and can be accessed by nine metro stations. Tourists and locals alike gravitate towards Montréal’s premier high-fashion district, which is home to many of the city’s most popular retailers such as Simons, Apple, Canada Goose, H&M, and more.
Provost said the most important thing that came out of the JLL report is the indication of an increase in activity on the street.
“We have been seeing retailers either relocating, moving or leaving,” he said. “Overall, there’s activity on the street. We’ve also seen rents start reflecting the new reality and with increased activity landlords are starting to ask for more net rent on the street.
“I think pre-pandemic the street was experiencing some turmoil or some difficulties with the street renovation project. This continues but we are seeing the light at the end of the tunnel. Some majors are relocating such as Apple which is going to be one of the largest in Canada. Alo Yoga is also going to be opening across the street from the new Apple. There are new players in the market.
“Are we back to pre-pandemic? I would say very close to that and with a lot of optimism in the future . . . There are quite a bit of retailers looking at Sainte-Catherine Street for two reasons. One, I think the people at Royalmount did an excellent job of bringing attention to Montreal as a market. So there’s a lot of first to market within that project. Many of those may look to do a second in the downtown core some day. And other retailers which didn’t see themselves as the right fit for Royalmount are also considering Sainte-Catherine Street. We’re seeing new players consider Montreal on the national or even international scale now.”
All three major intersections on the high street saw their pedestrian counts double between 2021 and 2023, with the Sainte-Catherine and Guy intersection registering the highest increase at 153 per cent, followed by Sainte-Catherine and Peel at 126 per cent, and lastly with Sainte-Catherine and Crescent at 114 per cent, said the JLL report, adding that overall, foot traffic between the intersections increased by 127 per cent from 2021 to 2023.
According to STM data, ridership in metro stations neighboring Sainte-Catherine Street have increased year over year. Between 2021 and 2022, ridership increased by an average of almost 72 per cent across stations near Sainte- Catherine Street, which is significantly higher than the STM’s overall average of 49 per cent. Among the neighboring stations, Peel recorded the smallest increase in ridership (64 per cent), while Lucien-L’Allier witnessed the highest growth (88 per cent), said JLL.
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 several days.
Entrance to the new L'OCA Market in Sherwood Park, Alberta. Photo: Christa Patterson
New grocery/market concept L’OCA Quality Market, has launched in Sherwood Park, Alberta, just outside of Edmonton, with plans to expand the brand to other locations.
Ben Cochrane, Partner with the company, said plans are already in the works to open a second location in Edmonton hopefully by the end of the year.
He said the brand is working with a grocer in the Crestwood area of Edmonton who is retiring after 65 years in the business. L’OCA will be taking over the spot where Andy’s IGA has existed with a smaller format of 21,000 square feet.
Video tour of L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson Entrance to L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson Inside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa PattersonInside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa PattersonInside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson
“Stay tuned for a couple of announcements. We’re just finalizing a couple of things. Certainly, there’s one coming in another large suburb of Edmonton. Sooner than later, probably open in late 2025 or early 2026. Much more similar format to Sherwood Park, so larger scale, two restaurants, the whole thing,” said Cochrane.
Any thoughts of going beyond the Edmonton market?
“I’d love to. I think there’s opportunity. I get phone calls and texts and emails all the time from Vancouver, Winnipeg, Calgary, all kinds of people, asking when you opening here. I’m going to get my own backyard in order first, I was born and raised here in Edmonton, know the market a little better than the other ones, but we’d love to take the brand further afield and keep growing.”
Inside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa PattersonInside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson
The brand’s mission is to change how people experience food.
“It’s not your regular grocery store at all. Our mission kind of evolved into being do food differently. We’ve really taken that to heart. We want to bring some of the old world traditions, stuff you would see in more European style markets where the baker is baking right in front of you, things are actually made from scratch, it’s not frozen and shipped in from somewhere else and then just thrown into the oven. We actually make everything on site,” said Cochrane.
“We want to work with customers and educate them about the food that they’re consuming and where it’s from. Our butcher, we partner with a ranch just outside of Whitecourt, Alberta, about 100 miles away, and all our meat is butchered in shop right here, everything from the ground beef to the prime rib.
“We wanted to make (a grocery store) a little bit more fun, and engaging and exciting and interactive.”
Inside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa PattersonInside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson
The 48,000-square-foot Sherwood Park store opened May 10.
“The reception’s been great. The community has been unbelievable. The first two weeks were an absolute zoo here. We ran out of parking constantly. But it was great. It was great to see that everyone was excited to have us in the community and kind of welcome us with open arms,” said Cochrane.
“It’s been great. It’s been growing every week. We’re starting to see a lot more regulars coming and doing their weekly shops, getting to know customers, customers getting to know staff.”
It’s a full service market with a butcher shop, bakery, patisserie, coffee roasting, a full grocery assortment of the best quality products from Canada and the local environment as well as around the world, a massive deli, market style produce with many local options, and a specialty department that has cheeses from around the world.
Also, it includes two full-service restaurants (Pyro and Oro) which is an integral part of the experience. Pyro is a casual concept with a wood-fired grill, a large format restaurant. And Oro is a modern Italian restaurant.
Inside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson Inside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson
Tofino chef Paul Moran, 2019 winner of Top Chef Canada and a former Michelin Star recipient, has been brought on board by L’OCA.
“The location is great. It’s only 15 minutes from downtown Edmonton. It’s a great community. A great family oriented community. A lot of sports get played here, a lot of teams, and things like that. We’re trying to work with a bunch of different people to activate this as another community space – kind of make grocery shopping a little more fun and exciting and involved,” added Cochrane.
“It’s a great community. There’s a lot of families here so the more we can teach people about food as they come of age, it benefits everyone for a long time.
Inside L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa PattersonParking area at L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson Shopping carts outside of L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa PattersonFront parking on Baseline Road for L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson Outdoor terrace at L’OCA Quality Market in Sherwood Park, Alberta. Photo: Christa Patterson
Holiday Guest Services at Tsawwassen Mills (Image: Tsawwassen Mills)
Salesforce’s initial 2024 holiday predictions indicate an interesting season ahead for retailers, as they navigate the shifting preferences of shoppers worldwide.
Though the Canadian economy is predicted to be stable into late 2024, retailers will still be faced with anticipating a myriad of other factors influencing shoppers, from convenience to the novelty of AI in their purchasing journey, said Salesforce.
The report said Chinese shopping apps will take market share as 63 per cent of Western consumers plan to purchase from Chinese shopping applications during the upcoming holiday season.
Also, shoppers will embrace AI to search for the perfect gift. This year, 53 per cent of shoppers are interested in using generative AI for gift inspiration. Salesforce predicts search will drive a nearly 3x better conversion rate compared to traffic not engaging with site search.
Dior Christmas tree/display at Yorkdale. Photo: Craig Patterson
Caila Schwartz
Caila Schwartz, Director, Consumer Strategy & Insights for Salesforce, said shoppers are taking on more debt. According to Salesforce research, 37 per cent of global shoppers say they’re using their credit cards more today than they were a year ago, while 32 per cent report using alternative credit services like “buy now, pay later” more frequently.
And, 43 per cent of consumers are carrying more debt compared to 2023.
“According to the Salesforce Shopping Index, online order volumes have been falling since 2022 and decreased by two per cent year over year in the first quarter of this year. In fact, 47 per cent of shoppers say they are buying the same amount, while 40 per cent are buying less compared to last year,” she said.
“When they do buy, they’re trading down, buying discounted merchandise, and seeking private labels. Only 15 per cent of consumers reported making no tradeoffs based on price. Consumers’ credit balances are increasing because they’re offloading inflation onto high interest credit cards.
“To balance this risk, consumers are saving more than ever. When asked to rank where their disposable income is going, most consumers said savings is their top priority, followed by physical goods, with experiences coming last. This is in marked contrast to last year when savings ranked last behind physical goods and experiences.”
Schwartz said consumers today are very price conscious and they’re making decisions based on prices and this is across all economic levels.
“It’s really hitting everyone,” she said.
“They’re feeling the pinch and with interest rates so high that feels even more burdensome to them. So we see that consumers are making tradeoffs.”
SHEIN Montreal Pop-up (Image: SHEIN)
Schwartz said consumers are looking for the best deal and this environment is primed for a takeover by Chinese shopping applications.
“In the last six months, two-thirds of consumers from Western markets made at least one purchase on Aliexpress, Cider, Shein, Temu, or TikTok. Why are they choosing these platforms? According to 58 per cent of consumers, these shopping applications offer the lowest prices,” she said.
“Which application beats the rest in the West? Temu is the clear winner, with 43 per cent of Western shoppers purchasing on this platform within the last six months. But for Gen Zers, Shein is the top destination, with half of this group placing an order recently. Retailers must pay attention: 63 per cent of Western consumers plan to purchase from Chinese shopping applications.”
Discount stores and retailers like Walmart are benefiting in this challenging economic environment.
“Walmart in their Q1 earnings talked about how they’re actually doing very well right now and it’s because they’re seeing the high income earner trading off and picking Walmart over other retailers, especially for those essential items,” said Schwartz. “Those lower priced or lower tier providers and retailers are doing quite well because the price conscious environment is hitting every single consumer.”
Image: Salesforce
She said based on what Salesforce is seeing in the data and what the current macroeconomic conditions indicate, unless there’s significant changes to interest rates and prices do not continue to rise at the rates that they’re continuing to rise at, the expectation is that we will continue to see “this level of pain for the consumer beyond the holidays.”
Retailers continue to face logistics challenges with costs but Schwartz said they shouldn’t push the shipping expenses back on shoppers. Free shipping offers are a top-three reason why consumers choose to make a purchase from a particular brand or retailer. And with shoppers focused on cost this year (rather than shipping times and return policies), discounted and free shipping are table stakes for the industry. In fact, over half of shoppers say they are more likely to purchase online than in store if delivery is free.
“For many years now, product recommendations and chatbots powered by AI have made merchandise discovery and issue resolution faster and more personalized for shoppers. And consumers have leaned in: Last holiday season, 17% of online purchases were influenced by AI – both predictive and generative. That totalled a whopping $199B of onlines sales worldwide in November and December. This year, consumers will increasingly leverage AI – knowingly or not – to search for the right gift at the right price,” explained Schwartz.
“In fact, 53 per cent of shoppers surveyed said they are interested in using generative AI for inspiring the perfect present. This holiday, generative AI search is poised to bring significant changes to consumer expectations and experiences thanks to big tech platforms. For example, as Google embeds Generative AI into its search product, consumers will adopt and act in more conversational ways when they search online. This means retailers can transition from keyword searches to natural prompts to find products on their websites. Brands like Instacart are already embedding generative AI into their search functionality, making the shopping experience more natural and intuitive. “
Three Ships Beauty at Detox Market (Image: Three Ships)
Three Ships Beauty, a Canadian natural skincare brand, is looking to continue to expand in Canada and in the United States market, including the goal of signing retailers such as Sephora. The brand will also be adding new collections due to demands and will be enhancing its retail and e-commerce experiences.
Connie Lo
The brand has recently been provided 3.5 million dollars, a fund from BDC Capital’s new Thrive Venture Fund with participation from strategic and angel investors, which will help the brand meet its goals.
“This is huge for Three Ships Beauty. Thanks to this funding from Thrive, we can expand our market reach and build more awareness around the products people already love. And with the right team in place, there is no limit to what we can achieve together,” says Connie Lo, co-founder of Three Ships Beauty.
About the brand
Three Ships Beauty at Detox Market (Image: Three Ships Beauty)
Launched in 2020, Three Ships Beauty is a natural skincare brand dedicated to using products with science-backed, plant ingredients without any fillers or chemicals. In addition, all of its packaging is 100 per cent made out of recycled materials.
The brand relaunched in 2020 as it was originally open under a different name.
Laura Burget
“Before Three Ships Beauty launched in July of 2020, we were actually operating the company under a different name, which was New Body. Back then, our brand language was much different, it was much more cheeky and we would use a lot of tropical imagery and tropical language within our products,” says Laura Burget, co-founder of Three Ships Beauty.
After noticing its demographic was a bit older than what they thought, which is around the millennial demographic instead of teens to mid-twenties, the brand changed: “So that led us to changing a lot of our messaging and also our product development to make sure that we appeal to this slightly older demographic,” says Burget. “The brand changed its name, product names, website, brand voice, and imagery – everything has changed.”
Three Ships at Whole Foods (Image: Three Ships Beauty)Three Ships at Holt Renfrew (Image: Three Ships Beauty)
Connie Lo and Laura Burget, co-founders of Three Ships Beauty, has received several skincare awards and was listed in the Forbes 30 under 30 as a leader in the clean beauty industry in 2022.
“We have a constant line of communication open with our consumers. Our level of differentiation is in our obsessive vetting of natural ingredients, ensuring our products are gentle and effective for sensitive skin. By ensuring that we don’t have common irritants or synthetic in our products, we are finding it leads to a lot of customers with sensitive skin finally finding a brand that doesn’t irritate their skin, doesn’t cause them to have rashes or have adverse events from using these new products. So I think that is a huge differentiator for us, is how gentle, yet effective, all of our products are,” says Burget.
Consumers can find a variety of products to match their skin needs such as toners, serums, creams, and masks. If a consumer is unsure of what products they need, Three Ships Beauty’s website provides a skin quiz that will guide you to the right product, making online shopping easier and faster. Currently, the brand has 23 skin care products with more coming later, such as body products.
Three Ships Beauty’s products can be found in retail stores across Canada and in the United States, such as Whole Foods, Indigo, and Hudson Bay.
Funding impact
Image: Three Ships Beauty
The funding for Three Ships Beauty will allow the company to grow its operations further, improve its retail and e-commerce channels, and will provide them the opportunity to spread more awareness about the brand and its products.
Currently the brand has a full-time team of 12, including its warehouse, but will now be able to hire more staff within the next two years.
“We have been able to get to this point with just those 12 full-time workers, but hiring more senior leadership is a huge goal for us for the next two years. And then of course, we will continue to invest in retail marketing and online marketing. I would say around 40 to 50 per cent of our fundraisers will be going into marketing,” says Lo.
Next stages for the Canadian market
Three Ships Beauty at Detox Market (Image: Three Ships)
From a retail perspective, Burget says the brand will continue to sell and grow at its existing retailers and will be hiring someone to continue to grow new retail distributions.
“The strategy we are thinking of is breaking out the Canadian retail landscape by the different types of retailers that our consumers are shopping at. For example, having a different strategy for dermatology clinics versus the natural beauty retailers and then having different forms of communication according to each type of retailer, so I am really excited about this new strategy,” says Burget.
Lo says when it comes down to its e-commerce strategy, “it all comes down to hiring.” Most of the brand’s marketing, such as email and SMS marketing, have been completed externally. However, Burget and Lo say as the brand is continuously growing, they are going to be hiring someone for an internal position. The brand will also be placing more focus on its website and will be hiring in-house roles for ad and media buying.
“The website is something that we haven’t had one team member responsible for and we haven’t done much in terms of website optimization. So we have actually sent out an offer to a full-time hire that comes over to us from Shopify and is going to be managing our website,” says Lo. “So the money we received has really placed us in a position to allow us to hire more people.”
As for expanding into retailers, Burget says the goal would be to land Sephora in Canada as “there is so much alignment between our customers and their shoppers.” The brand does not have any plans to open a standalone store as Burget says there are still lots of opportunities for them to partner with other reputable retailers. Outside of Canada, the brand will also continue to expand across the US.
“In five years, we want to be the clear leader within the natural beauty industry and in particular, help to set the new standard within natural beauty. We believed that there needs to be a legal definition and we want to be the brand leading the charge.
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.
Anatomy of a Leader: Meghan Roach, President and CEO of Roots
With a strong background in the world of finance, Meghan Roach has been steering retailer Roots for the past four years in what she describes as a “relentless pursuit of strategic growth and robust financial stewardship.”
Her financial journey began with her grandfather, who worked for Bell Canada. His started his career digging telephone poles, then became an early investor in the stock after learning about the employee share program. He gifted Roach her first Bell stock when she was just 12, and this ignited her passion for investing.
She still holds Bell stocks, adding, “I cannot bring myself to sell it, but my portfolio is now much bigger. I have always loved learning about companies and had a passion for finance and economics.”
Founders with Meghan Roach at the original cabin where Roots started in celebration of the 50th anniversary of Roots (Image: Roots)
Roach was born in Pembroke, Ontario, just outside of Ottawa and she associates much of her leadership style today with her up bringing.
“My father was a dentist and from a young age I spent time in his office. Whether it was helping with x-rays after school, cleaning on weekends, or sitting with my mother while she did the books, it was clear to me early on how much hard work and perseverance you need to make a business successful,” Roach said.
She left Pembroke midway through high school to attend Lakefield College School, an international boarding school that first piqued her interest in working globally.
She initially went to Queen’s University where she graduated with Bachelor of Commerce, then pursued a Chartered Accountant designation, before obtaining her MBA with Distinction from the University of Oxford.
At Queen’s she considered pursuing investment banking, working in her second year as an intern at National Bank Financial, where she had an opportunity to learn about trading, credit risk management, and investment banking.
“After the summer, I decided I wanted a deeper understanding of companies at a ground level and chose to pursue a Chartered Accountant designation,” she explained.
It worked out well for Roach, who early in her career leveraged her time at KPMG to obtain a coveted role at Teachers’ Private Capital, the direct private equity group of the Ontario Teachers’ Pension Plan. Roach was also made an FCPA, FCA earlier this year. The distinction of Fellow (FCPA, FCA) formally recognizes CPAs who have rendered exceptional service to the profession and in their communities and becoming an FCPA is the highest honour a CPA can receive.
“I joined Teachers’ at an interesting time. Lehman had just crashed and the volatility it created in the portfolio was unparallelled. One of my portfolio companies was heavily dependent on advertising and almost overnight it lost more than 50% of its revenue,” said Roach. “While a difficult period to manage through, when COVID-19 hit, I was able to reflect and draw on some of the lessons I learned during this time.”
Image: Meghan Roach
Transition has been a constant in Roach’s career. She was also at Teachers’ when they moved from geographic to sector focus and supported the set up of the software and consumer sectors. Shortly, thereafter she moved to England to purse her MBA at the University of Oxford, then joined Searchlight Capital Partners in its London office.
“When I joined Searchlight, the team was midway through raising their first fund. It was a fantastic experience to be there at the ground level, working to build sectors of focus and investing strategies.” Roach added, “I was coming from a large, well-established fund and it forced me to go back to thinking like an entrepreneur.”
Her time in private equity exposed Roach to both the investing and governance side of companies. She has held numerous private and public company board and audit committee roles in Europe and North America. Currently, she sits on the board of Roots, acts as a Vice Chair for the Holland Bloorview Kids Rehabilitation Hospital Foundation, a member of the Advisory Board of Shift Canada, and a member of the Investment Committee for the Nature Conservancy of Canada.
“The exposure I had to boards early in my career has been impactful in defining my approach as a CEO, particular those boards where multiple stakeholders were involved,” indicated Roach. “It has been fascinating to see the inside of a board room as an investor and now an operator and to consider the different priorities of each group.”
The Weeknd concert in Toronto, wearing one of the jackets designed in collaboration with the Japanese artist MR for the 10th anniversary of the Weeknd’s Thursday album (MR x The Weeknd x Roots) Image: Roots
In 2015, while she was at Searchlight Capital, the company purchased Roots, which began her journey with the iconic retail brand.
Before becoming the President and CEO of Roots in May 2020, she was on the company’s Board of Directors and Audit Committee from 2015 to 2017, then became Interim CFO in August 2019 before taking on the Interim CEO in January 2020.
It was an interesting transition for her because she went from being on the investment side of the retail sector to being on the board and then jumping into Roots on an interim basis and then full-time.
When Roots made it official and promoted Roach to her current role she said: “Over its 46 years, Roots has established a highly engaged and loyal consumer base, strong omni-channel capabilities, and a solid core product offering. I look forward to working with the talented and dedicated team at Roots to continue to build on this great foundation.”
Roach said what she liked about the brand was having an opportunity over a long period of time to develop a relationship with consumers and creating an emotional connection and driving common values together.
“Working with a heritage brand is unique. One must balance the legacy perceptions of the brand with the need to modernize and the long-term relationship many customers have with it,” she said.
What’s interesting about retail is the fact-driven nature of it. She likes the idea that in the industry you can try and test a number of different things and you can get an immediate consumer reaction.
“That’s a fascinating environment for me, as someone with a love of analytics,” added Roach.
Meghan Roach (Image: Roots)
She also steered the retailer through the challenging time of COVID-19.
“Despite the challenges it posed to Roots as a business, it was one of the most invigorating experiences of my career,” she said. “There was no room to be indecisive. We had to make choices quickly with limited information, while balancing the health and safety of our employees with a constant financial threat.”
And she did it with two small children at home.
“When COVID hit, we were living in a condo and my husband was also working from home,” added Roach. “My kids were literally running in and out of my meetings all day, but we made it work. It was a challenge that also brought me closer to my team, mainly of whom were dealing with the same pressures at home.”
Meghan Roach at the WXN Top 100 (Image Provided)
In November of last year, Roach was named one of Canada’s Most Powerful CEOs. The Canada’s Most Powerful CEOs Award recognizes individuals who exemplify the attributes of a powerful visionary with a strong foundational character, a sense of integrity, and the ability to elicit public trust.
“I am humbled to be recognized as one of Canada’s Most Powerful CEOs by WXN (Women’s Executive Network). This award is a testament to the incredible team at Roots, whose dedication, innovation, and commitment to excellence have propelled us forward, even in challenging times,” said Roach at the time.
As a leader, she described her style as being honest, transparent, approachable.
Her expectations of her team are clear as are the goals and objectives for the company.
“When times were tough, like during the pandemic, I was very transparent with the challenges we faced. When times were good and we were doing well, I was also clear with the team about what had gotten us to this place. I think that is really important as a leader. Being transparent, being honest, being direct, but also understanding that they are all people and we are all working together towards a common goal.”
Meghan Roach (Image: Roots)
Outside of work, Roach loves to spend time with her family and traveling.
She’s also passionate right now about muay thai, which is a martial art.
“I’m really enjoying it. It is a great stress relief as you cannot think about anything but muay thai (at VRTU Muay Thai) when you’re doing it. It’s also a very physically demanding sport,” she said.
“Loblaw’s decision to terminate multi-buy discounts is a controversial move that has both supporters and detractors. While it promises to level the playing field for all consumers, the long-term impact on prices and consumer choice remains uncertain.”
Loblaw announced the termination of its multi-buy discounts, such as “buy 2 for $4.99” or “one for $2.99,” effective immediately. This pricing strategy has been a contentious issue for consumers for years. The change will specifically impact Loblaw-owned No Frills stores, the company’s primary discount banner and Ontario’s most popular stores. Both the Parliamentary Committee and the Competition Bureau have long criticized this practice, with even Minister François-Philippe Champagne calling for its end.
New small format No Frills opens in downtown Toronto (CNW Group/Loblaw Companies Limited – Public Relations)
The practice, known as “volume discounting,” has been viewed by many as discriminatory against certain demographics, such as individuals who live alone or seniors who consume less food. According to a Dalhousie University survey conducted by Caddle last year, 38.1% of Canadians disliked the practice and wanted it eliminated. The only other industry tactic more reviled was shrinkflation, where the quantity of a food product is reduced while the price remains the same.
Volume discounting emerged years ago as a response to a surge in bulk-buying by consumers, largely inspired by the Costco model. Costco encouraged consumers to think big, promoting the idea that larger quantities yielded better deals. As volume discounting gained popularity, so did the criticism. Many argued it led to more food waste, as consumers were forced to buy more food to obtain a better deal.
However, a recent study in the European Economic Review found that ending volume discounts had unexpected consequences. Grocers in parts of Europe began offering more single-unit discounts, motivating high-consumption households to shop more frequently and purchase more. Loblaw likely read that study.
Conversely, a study in Health Economics suggested that multi-buys led more consumers to buy larger quantities of unhealthy foods.
Ending the practice is certainly a savvy political move for Loblaw and will likely be seen as a win by many consumers. However, the real impact will depend on how No Frills sets prices moving forward. Multi-buys or volume discounting benefited both retailers and suppliers with excess inventories or those wanting to promote certain products. This decision indicates a possible shift in the supply chain environment. This change does not guarantee a drop in prices or that deals for those who don’t need to buy in bulk will become more affordable. It merely ensures everyone is treated equally, which does not necessarily translate to better or more affordable treatment.
No Frills in Ajax (Image: Field Agent Canada)
The timing of Loblaw’s announcement in July is telling. Consumer reactions will likely vary; while some will celebrate, others may take their business elsewhere.
Ultimately, it remains unclear if this was the best decision for consumers, as it could deprive some of the opportunity to save through volume discounts. Large families and groups benefited from these discounts. Volume discounts also helped the supply chain manage inventory more effectively. The ideal solution would have been to offer the same unit-price deal to those who requested it, as some grocers already do, giving consumers more choice.
Prices at No Frills will need close monitoring to determine if this change truly benefits consumers. If Loblaw promises low prices, especially at No Frills, the company should honour this pledge without multi-buy discounts and avoid using this decision to raise prices for all, merely to appease a vocal minority. It will also be interesting to see if other grocers follow suit.
