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AI and Human Touch: Brands Invest in Dual Approach to Meet Rising Customer Service Demands [Capterra Research]

By
Mario Toneguzzi
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Graphic credit: Capterra

According to research by Capterra, demand for customer service looks to be increasing, and brands plan to invest in both employees and software to handle this.

As in most industries, artificial intelligence (AI) may offer some solutions here. The technology has the potential to automate customer interactions and streamline back-end processes, said the report.  

And another Capterra report found that in a crowded marketplace, exceptional customer service can help brands stand out from the competition. But delivering on the promise of a great experience can be costly — it requires good people plus investment in customer service tools and processes. What’s more, customer service can be hard to scale. The more customers you have, the more effort it takes to keep them all happy.

Kampus Production

Eduardo García Rodríguez, an Analyst at Capterra, said a lot of brands are using different customer service support channels, but most stick to traditional ones – 82 per cent of survey respondents use email and phone calls as the most available channels.

Eduardo García Rodríguez

“So what we’ve seen here is that there’s a need to really find a hybrid between email and phone calls, and that tends to be live chat or chat bots. So there’s a kind of need for companies to diversify their customer service channels and use technology for that. Why? Because, I mean, in the end, hybrid live chat rep with representatives, or even chat bots, they address 24/7 interactions. They also provide attachments and they’re scalable as well. So I think there’s a kind of need to try and address those kind of issues. 

“Another key point is, when choosing the software you want to use, it is important to cater to customer demands. And something we have seen here is that there is a demand for immediacy and timeliness. We’ve seen this because 89 per cent of customers that use phone or live chat, they speak within 10 minutes with a representative, and the further 65 per cent you have, the statistic they say that issues are resolved in the same time frame. So it’s really important that addressing timeliness is an imperative for companies, and the best way to do that is when they’re seeking their software tools, it’s ones that cater to this kind of timeliness. 

“Why? The costs of meeting these demands is quite high. We’ve seen that 95 per cent of respondents track their customer satisfaction. So for them, customer feedback is essential in the same way that it’s essential for marketing, for sales, they seek that quantitative feedback, that measurable, customer satisfaction, and tend to do that with all the software tools. Customer satisfaction software can help them do that because it provides surveys and feedbacks. So the need to address timeliness is imperative as well for these kinds of companies.”

Rodríguez said research indicates 79 per cent of respondents in the Capterra survey say that the introduction of AI capabilities and customer service has impacted customers positively.

“AI is not perfect. It’s not always a solution to every customer service problem. It’s just it’s a solution to some. So respondents, they appreciate the benefits of AI, 64 per cent think it can reduce response time. 60 per cent believe it can save money. However, people are also realistic about the limits of AI and where it makes sense to bring in a human touch. AI cannot perform certain human tasks. We talk about multi language conversations, analyzing data, routine tasks. AI is very proficient in that. But humans are also considered to outperform AI and other tasks such as personalized interactions.”

Here are some of the key findings from the Capterra research:

  • 68 per cent of those whose company uses AI-powered customer service software have reported an increase in productivity levels;
  • Companies that are adopting AI tech for their customer service are putting measures in place to secure customer data in response to security concerns, such as secure data storage (68 per cent), data encryption (59 per cent);
  • 60 per cent of companies are offering customers the option to choose between AI and human-assisted interactions;
  • 54 per cent of Canadian businesses report increases in customer service satisfaction scores over the past two years, despite the low investment in customer service software solutions. However, half of respondents are already using AI in their customer service operations, which is impacting both customers and employees positively;
  • Over 80 per cent of those polled said their company offers phone or email support, while large proportions also provide help via live chat (49 per cent), social media (47 per cent), and SMS (46 per cent). 82 per cent of companies offer live phone support, but only 51 per cent use call centre software. Despite the added efficiency, just 35 per cent of those who don’t already use it have formal plans for an investment;
  • Customer satisfaction is a key performance indicator for customer service teams, with 95 per cent tracking it. A crucial determining factor for customer satisfaction is speed, and 89 per cent of respondents report that customers are able to speak to a representative on the phone or via live chat within 10 minutes. In fact, 54 per cent of respondents cite an improvement in customer satisfaction compared to two years ago;
  • 42 per cent of senior staff surveyed report that their company has plans to hire more customer service staff in order to keep up with growing demand. Beyond increasing headcount, companies are also looking to AI to offer solutions to problems like speed and cost, as 64 per cent of respondents believe AI can reduce response times, and 60 per cent believe it can save money. In fact, 68 per cent of those whose company uses AI-powered customer service software customer service representatives have reported an increase in productivity levels;
  • In certain areas, representatives believe that AI agents can outperform humans, for example in multiple language conversations (58 per cent), analyzing data and generating insights (55 per cent), routine tasks (46 per cent) and avoiding biases (45 per cent);
  • 79 per cent of respondents think that AI tools have an overall positive impact on customers. This is corroborated by the fact that 54 per cent of customer service representatives who say that their company uses AI-powered customer service software have reported an increase in customer satisfaction as a result;
  • However, no new tech is without its drawbacks, and maintaining customer trust will be a challenge to AI implementation, as cited by 40 per cent of respondents. Other challenges include ensuring accurate information (45 per cent) and maintaining customer privacy or security (31 per cent);
  • As the use of AI surrounds itself with concerns about data privacy, companies are putting measures in place to secure customer data, such as secure data storage (68 per cent), data encryption (59 per cent), secure communication channels (52 per cent), and incident response and reporting (49 per cent). Moreover, 83 per cent of representatives who use AI-powered customer service tools say they have received training on handling customer data when using it. For those customers who are wary of AI, 60 per cent of companies are offering customers the option to choose between AI and human-assisted interactions.

Canadian Retail News From Around The Web For August 19, 2024

By
Retail Insider
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Canadian Retail News From Around The Web

News at a Glance

Retail Insider is streamlining its Canadian retail news from around the web to include a handful of top news stories that can be viewed quickly during the day. Here are the top stories from the past few days.

MEC got lost in the woods. Has it found its way back to the path? (BC Business)

Store worker at Showcase refuses to sell customer item unless he signs up for loyalty program (Toronto Sun)

Combating retail theft in Winnipeg (CTV)

Man buys Rose Apothecary building from Schitt’s Creek and plans to open a new store (BlogTO)

‘There needs to be changes’: Downtown Vancouver store fed up after spending $300K to fight constant crime (CTV)

Grocery Stores Linked To Housing Projects in Calgary (Everyday Tourist)

Nova Scotia Leads Canada in Shoplifting Rates, StatCan Data Reveals (Retail Insider)

Beloved Weyburn plant shop owner dies, leaving legacy of creativity and kindness (CBC)

Regina food bank opens new location with grocery-shopping choice model (Star Phoenix)

New Brunswick’s Last Holdout, Miramichi, Lifts Sunday Shopping Restrictions (Retail Insider)

Toronto fire says downtown building evacuated, at risk of collapse (Global)

Pickering jewelry store robbery caught on video, 3 suspects at large (Toronto Sun)

Listeria Outbreak Exposes Gaps in Canada’s Food Safety System [Op-Ed]

By
Sylvain Charlebois
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The reaction to the recent Silk and Great Value plant-based dairy recall has been perplexing, to say the least. Despite three confirmed deaths now linked to the listeria outbreak, the first fatality occurred back in August 2023—almost a year before the official recall on July 8, 2024. Yet, there has been little public explanation for this delay. Both the Public Health Agency of Canada (PHAC) and the Canadian Food Inspection Agency (CFIA) have been responsive and transparent in their investigation, identifying Danone’s Pickering Plant as the source. However, aside from a vague statement released by Danone in July, the public remains largely in the dark. The company’s name has scarcely been mentioned, raising many unanswered questions.

So far, cases have been reported in Ontario, Quebec, Alberta, and Nova Scotia, with all three fatalities occurring in Ontario. This scenario is reminiscent of the 2008 listeria crisis involving Maple Leaf Foods, albeit on a smaller scale.

During the 2008 recall, Maple Leaf Foods was responsible for the deaths of 23 Canadians, with 57 confirmed cases of listeriosis. The first cases were reported just weeks before the recall, not months. The recall itself was massive, targeting over 200 cold cut products and receiving intense scrutiny from both the media and government officials. The aftermath led to significant changes in Canada’s food safety surveillance system, including the addition of new CFIA inspectors. Michael McCain, then CEO of Maple Leaf Foods, issued multiple apologies, most notably on August 18, 2008, when he stated that he didn’t need lawyers or accountants to “do the right thing.”

The 2008 crisis became one of Canada’s most well-known case studies in risk communication and food safety. Media coverage was relentless, with reporters asking tough questions and demanding transparency from Maple Leaf Foods about what was happening at their North York plant. A class-action lawsuit followed, which was settled months later for $27 million.

Another factor might be the busy news cycle this year, dominated by the Olympics and the U.S. Presidential election. However, it’s worth noting that 2008 also had its distractions, including the Beijing Olympics and Barack Obama’s historic campaign to become the first Black president. Despite these events, the listeria crisis still dominated headlines for weeks.

It’s also possible that Canadians have become more desensitized to food safety issues over the years. But desensitization doesn’t diminish the importance of transparency and accountability, especially when lives are at stake. Canadians deserve to know how this recall could have been prevented and why it took nearly a year after the first casualty to issue the recall. The timing of the recall, right in the middle of summer when fewer people pay attention to the news, only adds to the frustration.

In contrast, the current situation with Danone has received far less attention. The 2008 recall involved a highly Canadian company, Maple Leaf Foods, at a time when Canadian-made food safety incidents were rare. Danone, a foreign company, might not evoke the same level of scrutiny or public concern. Additionally, the media landscape has changed significantly since 2008, with fewer journalists available to cover such stories due to industry-wide cuts and layoffs. One could argue that the 2008 media environment, with its more robust coverage, played a crucial role in holding Maple Leaf Foods accountable.

Now, as Silk plant-based milk products slowly return to store shelves, the number of those sickened continues to rise, and the death toll may increase further. Hearing directly from Danone about how they plan to prevent future incidents would go a long way in restoring public trust.

Canadians deserve answers, and they deserve them now.

Nova Scotia Leads Canada in Shoplifting Rates, StatCan Data Reveals

By
Retail Insider
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Photo: Shutterstock/Licensed

Nova Scotia has emerged as the province with the highest rate of shoplifting incidents in Canada, according to a recent analysis of Statistics Canada crime data. British Columbia follows closely in second place, as retailers across the country grapple with increasingly brazen theft attempts amidst rising living costs.

The Canadian crime data for 2023, released by Statistics Canada in late July of this year, paints a diverse picture of shoplifting rates across the nation. While Quebec reports the lowest rate at 155.19 incidents per 100,000 people, Nova Scotia stands out with a staggering 676.97 incidents per 100,000 residents. This stark contrast highlights the varying challenges faced by retailers in different regions of the country.

Nova Scotia’s shoplifting woes have been on a steep upward trajectory. In 2022, the province reported 5,923 shoplifting incidents, translating to about 578 crimes per 100,000 people – a 115% increase from the previous year. The situation further deteriorated in 2023, with the rate jumping by approximately 17% to 678 crimes per 100,000 people, totalling 7,176 individual shoplifting instances. Law enforcement responded by more than doubling the number of charges laid, with 853 individuals facing legal consequences in 2023 compared to 417 in 2022.

British Columbia, the runner-up in the unfortunate ranking, has also witnessed significant increases in shoplifting rates. The province recorded 31,391 shoplifting incidents in 2023, marking a 12% increase from the previous year to reach about 568 incidents per 100,000 people. The surge follows an even more dramatic spike of almost 18% from 2021 to 2022. 

While some provinces like Alberta have seen slight declines in shoplifting rates, others such as Saskatchewan and Manitoba have experienced substantial increases. Ontario, being the most populous province, unsurprisingly reports the highest absolute number of shoplifting crimes, with 61,629 incidents in 2023. However, its per capita rate remains lower than several smaller provinces.

Retailers across Canada are responding to these trends with various measures. In Alberta, some liquor stores have installed ID scanners at entrances to deter potential thieves, although this practice has raised privacy concerns. In Manitoba, the provincial government has pledged to fund additional police presence in high-risk areas to combat shoplifting.

Spanish Jeweler PdPaola Looks to Open Stores in Canada

By
Retail Insider
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Photo: PdPaola

Spanish jewelry brand PdPaola, known for its contemporary designs, is setting its sights on the North American market with an ambitious expansion plan that includes Canada. The company, which has gained popularity in Europe and beyond, is now poised to make a significant impact in North America.

At the helm of this expansion effort is Jason McNary, PdPaola’s newly appointed CEO for its North American operations. With 25 years of experience in the retail sector, including successful stints with Spanish brands like Unode50 and Hoss Intropia, McNary brings valuable expertise to guide PdPaola’s growth in this crucial market.

The company’s strategy for North American expansion is said to be multifaceted, combining digital prowess with a strong physical presence. As a digital-native brand, PdPaola will initially focus on strengthening its online presence. And, recognizing the importance of brick-and-mortar locations in establishing brand identity, the retailer has set an ambitious goal of opening approximately 100 stores across the United States and Canada within the next three years.

Photo: PdPaola

New York City will see the first PdPaola store opening in November, marking the beginning of a series of launches in major metropolitan areas. Dallas, Houston, Miami, Boston, Washington D.C., Los Angeles, and Las Vegas are among the cities slated for future openings. The initial phase of this expansion will target high-street locations and shopping centers, aiming to create a strong visual presence in key retail hubs. There’s no word yet which city in Canada will see the retailer’s first physical stores.

The company’s approach to the North American market is both cautious and optimistic. Drawing from experiences in other international markets, PdPaola aims to adapt its strategies to suit local preferences while maintaining its global brand identity. This balanced approach reflects the company’s commitment to thoughtful expansion and long-term success in the competitive North American retail landscape.

New Brunswick’s Last Holdout, Miramichi, Lifts Sunday Shopping Restrictions

By
Retail Insider
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Photo: greatermiramichirsc.ca

Miramichi, the last New Brunswick city to maintain restrictive Sunday shopping hours, has officially ended its long-standing policy. The change, effective immediately, allows retail stores to operate beyond the previously mandated noon to 5 p.m. window on Sundays.

This decision marks a significant shift in the retail landscape of Miramichi, a city that has held onto its Sunday shopping restrictions long after most Canadian municipalities abandoned similar practices. The city council’s recent vote to lift these limitations reflects a growing recognition of changing consumer habits and the evolving needs of both residents and visitors.

The push for change came from the Retail Council of Canada, which initially brought the proposal to the city council in May. Despite the delay in implementation, city officials took a measured approach, carefully considering the potential impacts on local businesses and the community before making their decision.

One of the primary motivations behind the change is the city’s increasing tourism. Miramichi has been experiencing a rise in visitor numbers, and the restricted shopping hours were seen as a potential deterrent for tourists looking to explore and spend in the area. Prior to this change, many visitors and even local residents would often travel to nearby towns without such restrictions to do their Sunday shopping, resulting in lost revenue for Miramichi businesses.

The new policy does not mandate that stores must stay open for extended hours on Sundays. Instead, it provides businesses with the flexibility to set their own operating hours based on their individual needs and customer demands. Many retailers in the area have already expressed plans to extend their Sunday hours, anticipating increased foot traffic and sales opportunities.

Miramichi’s growing population has also played a role in this decision. The city has been attracting newcomers who were unaccustomed to the limited Sunday shopping hours, creating a demand for more flexible retail options. The influx of new residents, combined with changing expectations from long-time citizens, contributed to the push for modernizing the city’s retail regulations.

While some long-time residents may need time to adjust to the new Sunday shopping landscape, city officials and business leaders are optimistic about the positive impact this change will have on the local economy. The extended hours are expected to create more job opportunities, increase consumer spending, and potentially attract new businesses to the area.

Pusateri’s Fine Foods Initiates Bankruptcy, Closes Multiple Locations

By
Retail Insider
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Image: Pusateri's Bayview Village

Upscale Toronto-based Pusateri’s Fine Foods is restructuring its operations by consolidating its presence to a single location on Avenue Road. The move comes as the company faces ongoing financial challenges, leading to the closure of multiple outlets and the initiation of bankruptcy proceedings for several entities within the Pusateri’s group.

The decision, communicated by co-owner Ida Pusateri in a memo to suppliers on Friday, marks a turning point for the Toronto retailer which became a chain with multiple stores. The closures affect several prominent locations, including Pusateri’s Bayview Village, Pusateri’s Yorkville, Pusateri’s Little Italy, Pusateri’s Kitchen, and Pusateri’s Financing. The Pusateri’s outlet at the CF Toronto Eaton Centre will remain operational, albeit in a limited capacity, focusing solely on food service for now.

The consolidation strategy follows the recent closure of the Bayview Village location, which shut its doors last weekend. Paolo Pusateri, head of marketing at the retailer, attributed the closure to “ongoing financial pressures impacting business operations, lingering effects of COVID, and higher operational costs.” 

Saks Food Hall by Pusateri’s – CF Toronto Eaton Center (Image: Dustin Fuhs)

The Yorkville location on Bay Street, a fixture in the upscale high-density neighbourhood since its opening in October of 2003, also ceased operations in February 2024, indicating the company’s downsizing efforts at the time.

The restructuring aims to address the financial challenges that have been mounting for the grocer. Several suppliers have said that there have been delayed or missed payments for recent orders, highlighting the severity of the company’s financial situation. By consolidating operations, Pusateri’s says it hopes to “right-size” the business and pave the way for a “sustainable and profitable future.”

Despite these challenges, the company has expressed a strong commitment to maintaining its supplier relationships as it navigates this transitional period. The memo emphasized that this consolidation is crucial for “the long-term success and sustainability of the brand,” suggesting a strategic pivot rather than a complete retreat from the market.

Bay Street entrance to the former Pusateri’s Fine Foods at 57 Yorkville Avenue in Toronto. Photo: Craig Patterson

Pusateri’s Fine Foods has been an important player as an upscale grocer, considered to be a pioneer as an upscale market in Toronto. From its humble beginnings as a small produce market on St. Clair Avenue in Toronto’s Corso Italia neighbourhood, the business evolved under the leadership of Cosimo Pusateri and his wife Ida. They transformed Pusateri’s into a “fine-food emporium,” renowned for its imported goods and specialty products, including prosciutto, artisanal breads, gourmet cookies, and premium olive oils and balsamic vinegars.

Following Cosimo’s death in 1995, Ida Pusateri continued to steer the business alongside her brother Frank Luchetta, who currently serves as President and CEO. Their leadership saw the expansion of Pusateri’s into multiple locations across Toronto, cementing its status as a luxury grocer.

At one time, Pusateri’s had several stores in the Greater Toronto Area, all of which have closed. Prior to the Yorkville and Bayview Village closures, Pusateri’s shuttered its Oakville location in 2018 after just two years of operation, and closed its food hall at Saks Fifth Avenue at CF Sherway Gardens in 2023.

Former Oakville Pusateri’s store. Photo: Pusateri’s

The company had previously announced plans to open a new 10,000-square-foot store in Toronto’s Little Italy, touted as a return to its roots. That Pusateri’s location, initially slated to open in the summer of 2023, faced ongoing delays and now won’t be opening at all.

Pusateri’s Fine Foods will focus its operations on the Avenue Road location, and we’ll follow up with any new information. 

IKEA Canada reaches 5 million Family Members with rewards and sustainability focus [Interview]

By
Shelby Hautala
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Image: IKEA Canada

IKEA is celebrating its family loyalty program after gaining 5 million members. The program was launched five years ago and offers immediate rewards and affordable furniture to members. 

“Our intention with IKEA Family is really to create ongoing, personal, and rewarding relationships with our customers and our members to help them make IKEA feel like a family to them. We are really focused on making the IKEA experience even more affordable, convenient, and engaging for our IKEA Family members,” says De’ana Torresan, head of customer engagement and loyalty for IKEA Canada. 

“Thanks to five million” campaign 

To celebrate the milestone of reaching five million members in Canada, IKEA launched a Thanks to five million campaign which started on July 22nd and ends on August 31st. During this period, IKEA Family members have an opportunity to participate in giveaways where five members won a 500 dollar gift card each. 

“We are thanking our five million IKEA Family members by giving them a chance to win one of five 500 dollar IKEA gift cards. This campaign is a way for us to celebrate this significant milestone and to show our appreciation for the ongoing support and loyalty of our members.” 

Scarborough Town Centre IKEA (Image: Craig Patterson)

Perks of the IKEA Family membership 

To create lasting and rewarding relationships with consumers, the IKEA Family membership makes the shopping experience more affordable. The program includes monthly offers, free coffee or tea, sell-back program, bonus meals, and more. The membership is free to join. 

Torresan says IKEA Family members are exposed to monthly offers on a variety of products, ensuring consumers can furnish and decorate their home affordably. Torresan says it selects its offerings to be relevant to the season, aligning with what consumers are looking for throughout the year. 

“We really try to be seasonally relevant in the product offers to our members, tailoring our IKEA Family product offerings to key seasonal activities and life at home activities. Additionally, our engagement data helps us understand our members better, from their demographics to their purchase behaviours, enabling us to offer personalized and meaningful benefits. For instance, beyond just product discounts, we provide services like extended playtime for children and our sell-back program, making the IKEA experience more holistic and customer-focused.” 

Unlike other loyalty programs, Torresan says members are able to enjoy benefits immediately upon joining. Consumers are offered free coffee and tea and for every ten meals purchased, members receive the next one free and this is in addition to the Swedish Thursdays where IKEA Family members get 50 per cent off. 

Torresan says nearly nine million free coffees or teas have been enjoyed by members. 

“One of our most popular perks is the complimentary coffee or tea available to members every time they visit an IKEA store. This simple gesture not only enhances the shopping experience by offering a moment of relaxation, but also encourages more frequent visits, fostering a sense of community within our stores,” says Torresan. “Additionally, our bonus meal program rewards members with a free meal for every ten meals purchased and our Swedish Thursdays offer 50 per cent off entrees for IKEA Family members. These dining benefits add a significant value and make our program stand out by providing tangible, immediate rewards that our members appreciate and look forward to.” 

Scarborough Town Centre IKEA (Image: Craig Patterson)

Sell-back program 

The IKEA Family membership also allows consumers to sell their preloved IKEA items back to the store in exchange for in-store credit, supporting sustainability by giving furniture a second life. 

“Members can easily submit their items online, and once approved, they receive in-store credit which can be used to refresh their homes. This initiative has been incredibly successful, with nearly 185,000 items being given a second chance through our program. It is a win-win for our members and the environment. By participating, members not only benefit from the in-store credit, but also contribute to a more circular economy, aligning with IKEA’s commitment to sustainability.” 

The sell-back program rolled out across Canada in 2019 and is only a part of the IKEA Family program as one of the exclusive benefits. 

“The inspiration behind the sell-back program is to make circularity more accessible for our IKEA Family members, and in turn, the furniture that is sold back to IKEA is actually given a second life through resale in our stores or through donation. We know the program has seen amazing results year after year and have had a great response from IKEA Family members.”

Looking ahead 

Torresan says when looking ahead, she says hopefully the IKEA Family membership offers will include more options and more relevant seasonal offerings. The program will also like to increase engagement with its members. 

As the program continues, Torresan says the program will also continue to make the IKEA experience more affordable and convenient for members through product discounts, services, and other benefits. 

“In terms of the evolution of IKEA Family, we would love to start to tap more into engagement with our members. So really looking beyond transactions and purchases, but how can we interact with our members in more meaningful ways that go beyond purchases. We want to recognize and reward the behaviours that strengthen their relationship with IKEA, making members feel valued and appreciated as part of the IKEA family.” 

Coffee retailer Nespresso launching unique Pavilion boutique in Quebec [Interview]

By
Mario Toneguzzi
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Nespresso Pavilion in Sweden. Photo credit: Nespresso

Coffee retailer Nespresso is launching its new Pavilion boutique in Quebec.

The new concept will open initially at the Centre Les Rivières at Trois-Rivières at the end of August. 

Nespresso said the new Pavilion pop-up design utilizes modules that offer flexibility and adaptability to meet market demands.  

Nespresso Pavilion in Sweden. Photo credit: Nespresso

The development of the new concept for the temporary format focused on several key aspects:

  • Creating a contemporary consumer experience that appeals to a younger audience while still catering to existing customers.
  • Designing smooth, engaging, and personalized journeys that can meet all types of consumer needs and expectations.
  • Offering a warm, welcoming, authentic, and effortless atmosphere that aligns with the brand positioning. The ever-evolving markets and diverse consumer needs require flexible spaces that can easily adapt to different requests in terms of size and layout. Therefore, we envisioned a space that is autonomous, self-supporting, and flexible, while also being easily usable and attractive, representing the Nespresso brand worldwide.

“The New Pavilion can be easily positioned in an open space, allowing consumers to experience it from all angles: visually through external communication and physically through transparent displays that create a seamless connection between the interior and exterior,” it said.

Nespresso Pavilion in Sweden. Photo credit: Nespresso

“Key features include: Enhanced elegance and attractiveness. Use of recycled and recyclable materials. Creation of a closed, yet inclusive environment. Inside, customers will find a tasting touchpoint at the core of the space, but also all the available categories such as Coffee, Accessories, Machines, Recycling, and Tasting.

“The new Pavilion was conceived based on the study of its primary product: the pod, including its shape and size. This harmonious relationship was also reflected in the display modules, ensuring a consistent reference to the pod. An arch was thus designed, lightweight yet structurally sound, capable of housing the display and storage elements that showcase Nespresso products.”

Nespresso said the choice of materials was driven by the intention to convey a message of authenticity, warmth, inclusiveness, and transparency in a language that resonates with Nespresso members and attracts the attention of new and young buyers. 

“The goal was to create a cozy and inviting atmosphere, ensuring users feel comfortable while exploring Nespresso products within the temporary store. The material selection reflects a natural, organic, yet refined aesthetic, characterized by the beautiful contrasts between raw-natural elements and sleek-smooth surfaces. This elegant and contemporary design harmoniously combines with materials that are easily recognizable by Nespresso customers,” it said. 

Carlos Oyanguren

Carlos Oyanguren, President, Nespresso Canada said: “We invite coffee lovers to visit our new pop-up boutique in Les Rivières Shopping Centre. In the modern yet timeless design of this brand-new concept, we are bringing the ultimate coffee experience to Trois-Rivières.”

Anne-Valérie Guidollet

Anne-Valérie Guidollet, Vice-President of Sales and B2C Channels, Nespresso Canada said:“We are proud to see this latest pop-up concept design being implemented in Trois-Rivières, Quebec, as the first retail location globally. It is always exciting to set foot in a new market, not to mention with a new boutique concept. Come and discover it by yourselves!” 

Daniel Morin, Retail Development Project Manager for Nespresso, said the spaces are

Daniel Morin

completely modular. The way that HQ has designed them is that they come in different formats depending on the market’s needs and the space that’s available,” he said. 

The Pavilion itself also comes in different formats – rectangular, circular, square.

The one in Trois-Rivières will be 233 square feet. It will be in a common area, close to the main entrance and not far from the food court. This will be the company’s 10th boutique in Quebec. 

Canada will be the first location internationally to launch this concept as a full boutique. There’s one open in Sweden but it’s not a full boutique. 

“Moving forward they’re all going to be like this worldwide,” explained Morin. “So this is the new format.

“The brand is constantly evolving. They want to make sure that the pop-up was consistent with the new brand design of the overall permanent format boutique. It’s just a constant evolution. The design team is refreshing the look and feel of the boutiques and the pop-up boutiques on a regular basis.

“Following the big revamp of our boutiques it naturally made sense to use some of those same concepts and apply it towards the pop-up as well.”

Nespresso Pavilion in Sweden. Photo credit: Nespresso

Impact Kitchen Expands in Toronto with 2 New Locations, Eyes NYC Market [Interview]

By
Mario Toneguzzi
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Impact Kitchen Midtown (Rendering: Impact Kitchen)

Toronto-based Impact Kitchen is expanding to two more locations in the city with plans to also break into the New York City market in the near future.

Impact Kitchen was founded in 2015 by Josh Broun, a former personal trainer and nutrition expert, and Frank Toskan, co-founder of MAC Cosmetics. Its mission is to empower people to choose healthier foods that supply the energy and drive they need to take on the rest of their day.

Impact Downtown Rendering, Image Supplied
Impact Downtown Rendering, Image Supplied

The first location opened October 2015 in the Corktown area of Toronto.

“We’re a nutrition-focused, all-day restaurant and cafe,” said Broun. “We have our food philosophy that we adhere to. We consider ourselves chef-driven and collaborative with a team of nutritionists. That’s the way we’ve built our menu since day one.

“We’ve been fortunate to open up in great communities and over these last nine years we’ve really grown our community across Toronto.”

Currently, five locations are open with two new ones opening up in Toronto in the next couple of months – one in the Yonge and Sherwood area (just north of Eglinton) and one at Bay and Wellington.

Broun said traditionally the Impact Kitchens have been between 2,800 and 4,000 square feet. The next two will be both under 3,000 square feet because of the way the real estate opportunities and the locations presented themselves.

Impact Kitchen Midtown (Rendering: Impact Kitchen)
Impact Kitchen Midtown (Rendering: Impact Kitchen)

He said the brand looks for a vibrant community when it is setting up shop.

“Whether it’s a lot of boutique gyms in the neighbourhood, whether it’s running or walking, biking trails, we’re kind of surrounded by those in all our locations,” said Broun. 

“We’re definitely in a position to continue to grow here in Toronto. Our next big bet will be New York City. We don’t have a lease signed yet, but we’ve got the approval from our investor to bring Impact Kitchen to Manhattan and Brooklyn,” said Broun.

“We’ve got a road map until 2030 of where we want the brand to go. More locations in Toronto and then Manhattan and Brooklyn. I think I can confidently say we’ll be over 15 locations.”

Partners in the business include Brett Toskan and Alex Casale.

Future Impact Kitchen at Brookfield Place, 181 Bay St (Image: Dustin Fuhs)
Future Impact Kitchen at Brookfield Place, 181 Bay St (Image: Dustin Fuhs)

The two new Toronto locations will be at 2555 Yonge Street opening in September and 181 Bay Street opening in October.

“With our growth, our commitment to being better, we stick to the high standards of our food philosophy. We’re committing to no seed oils, no gluten and no refined sugar in our menu items. And an investment and unwavering commitment to our hospitality,” explained Broun.

“Just trying to continue to have a level of excellence as we grow. Some brands maybe lose that. It’s a massive focus for us to only get better as we scale the business.” 

According to the company’s website, Impact Kitchen was founded on the belief that food has the power to shape our daily lives – that real, wholesome ingredients, prepared simply and with integrity, can provide us with the energy to take on the day with purpose and optimism.

“Josh had always been inspired by Frank’s story of successful entrepreneurship and dedication to impacting the community, and the two built a strong relationship over many years of working together with Josh as Frank’s trainer. During their sessions, they would discuss the gap in the Toronto marketplace for healthy places to eat and drink, and over time, an idea began to brew: what if there was a place that made living a healthier lifestyle easy and accessible?” says the company.

“So they created a place where anyone can be confident that the food they are eating supports the life they want to lead. We work closely with our farmers and suppliers to ensure all our fresh, local, and organic ingredients are of the highest quality. With the support of our team of chefs, nutritionists, and wellness experts, we are dedicated to ensuring each item on our menu has a nutritional purpose (and tastes amazing too). Whether you stop into a location for a coffee or power bowl or are looking for healthy catering, Impact Kitchen strives to become part of your everyday.”

“We are going to make it with high quality ingredients or we aren’t going to make it,” said Frank Toskan.

Impact Kitchen’s mission is to empower our community to eat healthy, nutritionally-dense foods with a focus on quality and sustainability. We know that what you eat matters, and we seek to make an impact by choosing local, ethically-sourced ingredients that will nourish you and help you thrive everyday.

Additional Photos:

Photo Credit to Tisha Riman

  1. Team Impact @ Impact Midtown, 2555 Yonge Street

2. Team Impact engaging the community at 181 Bay Street on Announcement Day:

3. Team Impact engaging the community at 2555 Yonge Street on Announcement Day

4. Team Impact @ Impact Downtown, 181 Bay Street

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