The 6th edition of the LoyalT study, by R3 Marketing and Adviso, indicates the number of loyalty programs held since 2017 has increased in Canada, with 52 per cent of people subscribing to more than 13 programs.
However, there is a saturation in the number of programs people use (7.36 in 2023, compared to seven in 2021). High-income women are the ones who use programs the most. And although Canadians have more loyalty cards, only 51 per cent of them are actually used.
Hans Laroche
“Loyalty programs are being tested by new consumer behaviours and the new economic context. People now evaluate the value of a program not only by the exchange of points or discounts offered but also by the relevance and level of personalization of communication initiatives, in terms of content and/or offers,” said Hans Laroche, Senior Consultant Loyalty Adviso/R3 Marketing.
“Experience and ease of use, especially on mobile, as well as the ability to accumulate and redeem points across all channels are also important criteria for loyalty program holders.
Image: Chipotle Loyalty Rewards
The study of 10,000 Canadian respondents listed the following Top 10 loyalty programs in the country:
Proxi Extra
Chipotle
Mondou
PC Optimum
SAQ
Starbucks
Domino’s Pizza
Walmart
Ultramar
Irving
Paul Lafortune, Lead Consultant and Relational and Loyalty Marketing with Adviso, who was involved in the study with Laroche, said customers are hurting because of inflation and higher interest rates and they’re looking where they can grab a deal with loyalty programs.
Paul Lafortune
Consumers today want points for their transactions. They want free items. If they can get any type of rewards for surveys, they like that as well.
“Personalized offers seem to be a go with customers,” said Lafortune. “They really like it . . . They’re based on your past purchases.
“They want content. They want exclusive information, content, on products, on the company, shopping experiences.”
Image: Proxi Extra
The report said loyalty programs have evolved significantly over the past 24 months. Notably, the acquisition of Air Miles by BMO, Scene+ aiming to establish itself as the new coalition program in Canada, and programs developing a premium component like Triangle, Uber One, and Lululemon.
“The LoyalT study’s analyses show a direct correlation between inflation and loyalty. In the last 12 months, 80 per cent of respondents have noticed a decrease in their purchasing power. In the previous study, content personalization was an influencing factor in behaviour,” said the report.
“Today, program users are willing to switch to a competitor in the same sector if the new program is more generous. The generosity of a program revolves around several dimensions, including the accumulation of points on total purchases (basic points) and the ability to earn additional points related to engagement (using the mobile app, participating in a contest, or writing a review) as well as exclusive discounts offered to members in-store, which have become increasingly popular in Canada but have existed for over 30 years in the U.S. and Europe.
“It becomes essential for a brand or retailer to understand its customers and their buying behaviours and use this data to enhance the offers presented, which, when relevant, constitute added value for members.
Mondou Cuddle Club Loyalty Program McDonalds Rewards (Image: Dustin Fuhs)
Other highlights of the study include:
51 per cent of members primarily use a mobile device to view program communications. This is an increase of four per cent from 2021. Points on each transaction are the most coveted reward type;
26 per cent of respondents say they modify their purchases to accumulate points;
49 per cent of respondents are members of Amazon Prime. Since 2019, the program has doubled its membership in Canada. 47 per cent of program members say they visit retailers more frequently to accumulate benefits. 18-34 year olds are among the strongest program users.
“The study reveals the most effective loyalty programs in the eyes of consumers. This is a very important part of the equation but not 100 per cent correlated with their business performance. Only brands that see loyalty as a business strategy and not just as a marketing operation benefit from the best economic returns, and only the best programs will remain relevant and profitable,” said Elizabeth Henry, CEO, Partner at Adviso.
R3 Marketing is a consulting firm specializing in relationship marketing and loyalty, created by Lafortune and Laroche, who have over 60 years of experience in the field. Adviso is a marketing agency.
Columbus Cafe at 283 Adelaide Street West in Toronto (Image: Columbus Cafe)
France-based Columbus Café & Co, with its authentic Parisian experience, is launching its first Toronto location and expanding its Canadian footprint in partnership with retail giant Indigo Books & Music Inc. to open 11 Indigo and Chapters locations across Ontario and Quebec, with six cafes opening in 2023.
Simon Plante, Vice-President of Development in Canada for the brand, said the first store in Toronto is a standalone location at 283 Adelaide Street. It is located in the PJ Condos residential development.
The company has 11 locations in Quebec.
Columbus Cafe at 283 Adelaide Street West in Toronto (Image: Columbus Cafe)
“We position ourselves as the coolest coffee shop in the industry,” said Plante. “If you walk into the store, the Columbus Café, you will see a unique design. We have a very special vibe, very young, urban, very cozy and warm as well.
Simon Plante
“We have Parisian bistro chairs because the chain was founded in France in 1994. So we bring a little bit of France into the concept. And you can feel it in the recipes as well. For example, all of the players in this industry have a breakfast sandwich with eggs and bacon which we also offer but in our breakfast sandwich there’s also dijon mustard. In every recipe, there’s a French twist to it.”
Plante said it was natural to start the brand in Canada in Quebec because of the shared language and cultural similarities.
“We wanted to establish in Quebec and so the next natural step is of course Ontario because it’s the largest market in Canada. People have a lot of money to invest. Consumers have lots of money to spend in restaurants. The population is growing. The economy is very strong in Ontario as well,” he said. “So for us it was the next natural thing to do.”
Plante said Columbus has signed for 11 locations within Indigo and Chapters with six of them to open this year.
Columbus Cafe has used Tony Flanz and his team at Think Retail for its Canadian real estate needs.
Future Columbus Cafe at Indigo in CF Toronto Eaton Centre (Image: Dustin Fuhs)
“The first ones to open will be in Cambridge, Barrie and CF Toronto Eaton Centre,” he said. Those are all within Indigo stores.
Most of the new openings will be in Ontario in the next two years except for one which will be Quartier DIX30, a commercial lifestyle centre located in Brossard, Quebec.
“Most of them will have their own exterior entrance that have signage on the facade of the shopping centre. We’re going to have our own patio as well,” said Plante.
He said the company doesn’t have a final number yet of how many locations it will eventually partner with Indigo/Chapters on.
“The goal is to do as many as we can,” added Plante. “I think Indigo has the same feeling. We have a really strong relationship.
“We are also considering expansion in Western Canada. So there will be more opportunities moving forward.” That will include both standalone locations and partnerships with Indigo/Chapters.
“We are very excited to open in Ontario. I think this partnership with Indigo is a great opportunity for us to show our brand to people. In the last 12 months we have lost one or two good locations in Toronto because the landlord decided to go with another tenant simply because they didn’t know what Columbus is. But now thanks to this partnership a lot more people will know what Columbus is and people will fall in love with the brand and the concept.”
Columbus Café & Co in Montreal (Image: Columbus Café & Co)
The first North American café debuted on Mont-Royal Avenue in Montreal in 2020.
It was founded in 1994. The brand grew because of its premium coffee products and varied menu—sandwiches, salads and Buddha bowls, plus an array of quality baked goods and sweet treats—housed in modern inviting spaces where customers can enjoy a quick bite or linger with friends over coffee and a meal.
In 2001, the company opened its first café outside of France—in Brussels—and three decades after its inception, Columbus Café & Co operates more than 200 locations across France and internationally.
Jim McLellan
“We are excited to join forces with Columbus Café & Co Canada to bring this amazing Parisian café experience to the Indigo community,” said Jim McLellan, VP Real Estate, Indigo. “I am confident that Columbus Cafe & Co’s gourmet food and drink will further elevate our customers’ experience as they shop for their next great read or gift for a friend or loved one.”
Maxime Mayant
”We’re delighted to partner with Indigo, a beloved Canadian company that shares the same values as we do,” said Maxime Mayant, President of Columbus Café & Co Canada. “We are excited to create a new experience and further elevate the shopping experience at Indigo.”
Columbus Cafe at Carrefour Laval (Image: Think Retail)
Columbus Café & Co will be opening at the following Indigo and Chapters locations:
● Indigo Cambridge (Ontario)
● Indigo Barrie (Ontario)
● Indigo Toronto Eaton Centre (Ontario)
● Indigo Brossard (Quebec)
● Chapters Vega (Ontario)
● Indigo Erin Mills (Ontario)
● Indigo Thunder Bay (Ontario, 2024)
● Indigo Kanata (Ontario, 2024)
● Indigo Heritage Greene – Stoney Creek (Ontario, 2024)
Exterior of Hudson's Bay in downtown Vancouver on December 19, 2022. Photo: Lee Rivett
Consumer spending is expected to drop this holiday season as Canadians face mounting financial challenges, says a new report by Deloitte Canada.
The report, 2023 Holiday Retail Outlook – The weight of the season: Financial strain curbs holiday spending, said Canadian consumers are more and more concerned about housing costs, credit card debt and the impacts of a potential recession.
Consumers will be cautious, savvy and selective this holiday season, looking to shop around widely to find the best deals and get the most value for their money.
While Canadians’ trust in retailers is being challenged driving them to shop around for the best holiday deals, retailers will more than ever need to optimize their pricing and promotion strategy this season. This year’s holiday season shows signs of stagnation in e-commerce growth, with many consumers embracing the omnichannel experience. Despite inflationary challenges, some Canadians are willing to pay more for sustainable products and services, more likely for those younger and females, added the report.
CF Toronto Eaton Centre (Image: Dustin Fuhs)
Marty Weintraub
Marty Weintraub, National Retail Leader for Deloitte Canada, said the report is forecasting a soft holiday season.
“Spend is probably going to drop around 11 per cent,” he said. “And of course this is clearly on the backs of the financial pressures, the customer and the shopper has been under for some time, continues to be under, and we’re simply seeing this work its way through the system as interest rate changes start to take effect as people start renewing their debt, the pressures, along with inflation on food and cost of living, it’s just a lot to put on someone’s back. So that’s clearly going to impact how much we spend.
“At the same time, those that are going to continue to shop are also going to be extremely hungry for deals. If you look at our prior reports, Canadians love deals in the best of seasons. We’re going to see a real amped deal-seeking culture from a shopper perspective because of the pressure on the wallet. So we’re expecting quite a promotional holiday season to capture as many of those dollars at the retail level as every retailer can capture.
“Along with that and maybe a little bit on the other side, with these rising prices that we’ve seen some of this playing out over time . . . we’re seeing some what I call hairline cracks in shopper retailer trust because of prices going up and we have over half of Canadians thinking prices will continue to go up through the holiday season – the notion of are prices going up because it’s sort of a gouging opportunity versus a necessity, we’re seeing an all-time high from a shopper perspective, based on our survey, that the trust between shopper and retailer it’s showing to be a challenge. That’s a third insight which shouldn’t be underestimated because it’s not about right or wrong unfortunately. It’s about what people think and that perception is creating some challenge for retailers.”
Home Goods at Canadian Tire (Image: Dustin Fuhs)
Weintraub said a key signal by consumers from the report is that they are only going to buy what they need, not necessarily what they want. Everyone is looking for deals and that includes high income earners.
“We’re going to see growth in spend to those value-oriented players and probably a reduction in spend in anyone in what I like to call the mushy middle where their value proposition is not so clear to the customer. You’re not luxury. You’re not discount. You’re somewhere in the middle. They will suffer the most,” he said.
Here are some of the report’s key findings:
Canadians will significantly reduce their holiday spending this year, with 47 per cent expecting the economy to weaken in the next year and 67 per cent concerned about recession impacts. Also, 55 per cent of consumers are worried about rent/mortgage increases, and 33 per cent are feeling anxious about how to pay for holiday gifts;
Canadians intend to spend an average of $1,347 over the holiday season this year, down 11 per cent from last year, with notable decreases in charitable donations (-40 per cent), gifts (-18 per cent) and gift cards (-14 per cent), though holiday spending on travel is forecast to rise 11 per cent;
While 76 per cent of Canadians expect prices to rise this holiday season, 73 per cent suspect retailers have been increasing prices unfairly;
Canadians are willing to shop widely and go the extra mile–literally–to find the retailers that deliver the most value for their money. They will visit an average of 16.5 stores and websites this season, up 37 per cent from last year, planning to shop for holiday gifts at Amazon (69 per cent), mass merchant retailers (61 per cent), and warehouse membership clubs (40 per cent);
This year’s season shows signs of stagnation in e-commerce growth as consumers plan to spend 41 per cent of their holiday budget online, plateauing since 2021; and
Despite inflationary challenges, 55 per cent claim they are willing to pay extra for sustainable/ethical products and services, more likely for those younger (65 per cent for those 18-34 vs. 47 per cent for those 55+) and females (60 per cent vs. 49 per cent males).
Gift Cards at Bath and Body Works in CF Toronto Eaton Centre (Image: Dustin Fuhs)
“While excitement for the holidays can bring joy and anticipation, economic conditions this year will make for yet another challenging holiday season. Canadian consumers plan to reduce their spending and stretch their holiday budget, putting more effort into shopping around in the store and online as they search for the right gifts and the best value for their money,” said the Deloitte report.
“This shift in behaviour means retailers will need to re-examine and refine their value proposition. Price is certainly an important component, especially this year, but it’s not the only one. Product availability, the shopping experience, fast checkouts, free delivery, easy returns—every touchpoint along the customer journey is an opportunity for retailers to deliver value to Canadian shoppers. With the right moves, retailers can position themselves to keep tills ringing this holiday season.”
For many retailers, the holiday season is make or break time.
Weintraub said if shrink is out of control for retailers that alone is a big problem and a big deal on the bottom line. Together with fewer gross margin dollars that are going to come just from pure shopping during a very important season, “we could be seeing some fallout come January or February depending on how the holiday goes. And if it goes the way Canadians are saying it’s going to go I’m not sure we’ll see a wave of bankruptcies and CCAA (Companies’ Creditors Arrangement Act) and stuff like that. We might see some more. We typically do because the smaller ones that are not well financed, not on strategy, don’t stand for something clear, likely are higher risk. We could see some store closures.”
Weintraub said despite the financial pressures Canadians are facing, there are some things that have been working in their favour. Wage growth has been decent. Employment rates are good right now but that’s expected to deteriorate as company’s continue to work through the challenge. Pandemic savings rates used to be quite high. But they’ve been coming down and stabilizing. And consumer confidence isn’t the greatest right now.
Burberry is moving into the main floor of the former Pottery Barn space at 100 Bloor Street West in Toronto. Photo: Craig Patterson
UK-based luxury brand Burberry is relocating its Bloor Street flagship store in Toronto after almost 15 years at the same location. Sources tell Retail Insider that Burberry has secured the main level of the former Pottery Barn space nearby, and as a result will be vacating its current location at 144 Bloor Street West.
The new Burberry store will span about 6,125 square feet on the main floor of the former Pottery Barn at 100 Bloor Street West, and will feature soaring ceilings and a unique facade. The former Pottery Barn was said to be difficult to lease because of a heritage protected facade that was once a movie theatre, and the space has remained without a permanent tenant since Pottery Barn exited in 2015.
JLL listed the 100 Bloor space and negotiated the deal for Burberry’s relocation.
Former Pottery Barn space at 100 Bloor Street West in Toronto. Construction will soon begin on a new Burberry store. Photo: Craig Patterson
CBRE is now listing Burberry’s multi-level space at 144 Bloor Street West, which presents a unique opportunity for a new retailer. Arlin Markowitz of CBRE explained how the entire seven-floor building’s exterior can be branded, creating a unique opportunity on the street for a major global name. From 1950 to 1978, Holt Renfrew occupied 144 Bloor Street West with a store spanning about 60,000 square feet on several floors, of which 32,000 square feet was retail space according to historical records.
Burberry opened its 9,000 square foot flagship at 144 Bloor in November of 2009, at a time when the world was coming out of a financial crisis. Bloor Street was the second location for Burberry in Canada, following the 2006 opening of a standalone 3,200 square foot storefront at the Shangri La Hotel on Alberni Street in downtown Vancouver. Burberry opened more standalone stores after 2011 at Yorkdale in Toronto and at CF Chinook Centre in Calgary.
It’s not yet known if Burberry will open more stores in Canada — there’s currently no information on negotiations for a store at Royalmount in Montreal (opening August of 2024) or Oakridge Park in Vancouver (opening in 2025), both of which will include a substantial roster of standalone luxury brand stores.
Current Burberry store at 144 Bloor Street West in Toronto. Holt Renfrew occupied the building from 1950 until 1978. CBRE is now leasing the space. Photo: Craig Patterson Marketing materials for 144 Bloor Street West, via CBRE Toronto Urban Retail Team
Burberry also operates concessions at Holt Renfrew in Vancouver, Calgary, Mississauga, Toronto and Montreal. Until last year, Burberry also wholesaled at retailers in Canada including Nordstrom and Saks Fifth Avenue, prior to pulling back distribution to focus on concessions in multi-brand retailers. The shift to concessions resulted in the Burberry spaces at Nordstrom in Vancouver becoming concessions (prior to Nordstrom’s exit from Canada in the spring) while Burberry boutique spaces shuttered at Nordstrom in downtown Toronto and Yorkdale as well as at Saks Fifth Avenue in downtown Toronto.
Bloor Street in Toronto is seeing substantial construction activity as new luxury brands move into the area. We’ll continue to report on new developments in the area as new leases are signed and announcements are made.
Once again, Home Depot Canada has taken the Halloween lead with a variety of collections such as its new 13-foot Jack Skellington – something you can’t find anywhere else. Konstance Sevastos, the Division Product Merchant at The Home Depot in Canada, and Emma O’connell, the Online Merchant for Seasonal Decorations at The Home Depot, discuss what consumers can find for this Halloween season, its new e-commerce experience, and trends.
Early Halloween Shopping
Home Depot Canada (Image: Dustin Fuhs)
Both Sevastos and O’connell have seen an increase of Canadians shopping earlier for Halloween and have seen products sell out as soon as July. The trend for consumers shopping earlier can also be seen at retailers across Canada for back to school and Christmas.
“We typically start seeing searches starting late June or early July. To support this, we make sure pre-sale options are available on our top items like Skelly, Jack, Pumpkin King, and more. This ensures customers who do start their Halloween decor search early secure the high demand items, while at the same time – keeping our stock ready to go for customers who begin shopping closer to the spine-chilling date,” says O’connell.
The Home Depot, Sevastos says, is known for its large Halloween decorations including its 13 foot, 12 foot and 10 foot skeletons. The pre-sale for these items were in July and were sold out within 24 hours. The company restocked these items, but have once again sold out, people looking to buy these items will have to wait until next year’s Halloween.
“This year, we only did the presale for the big products and that is what consumers are looking for as it is hard for them to get their hands on it if they went to the store. We are the only ones with these assortments,” says Sevastos. “We also have a new character – the 13 foot Jack Skellington and we also still have our existing 12 foot tall skeleton called Skelly and then we have our 12 foot Pumpkin King – everything was sold out within 24 hours.”
Trends This Halloween
Image: Home Depot Canada
Sevastos and O’connell say the biggest trend right now is consumers buying skeletons. In addition to these giant products, Sevastos says consumers can find 8 foot skeletons, inflatables, and accessories such as stretchy spider webs, danger tape, and more.
“The current Halloween trends reflect a dynamic mix of nostalgia-driven choices and a fascination with giant decorations. Nostalgia for classic movie characters like Freddy Krueger and the Minions have brought them back into the spotlight and they are ready to make an appearance on your lawn,” says O’connell. “Larger than life decorations are also captivating consumers looking to make a big impact. The desire for personal expression and creativity is encouraging individuals to take their Halloween celebrations to new heights, and we are thrilled to help people create memorable and unique experiences during this Halloween season.”
Although there is nothing Barbie themed – The Home Depot offers more classic decorations.
“From inflatables and outdoor decor to lights and indoor accessories- our product selection is carefully curated to ensure you have everything you need to transform your home into a Halloween haven. We don’t have anything in pink in our Halloween assortment as of yet; however, our selection does include characters reminiscent of past classic Halloween lore like Freddy Kruger and our new giant addition the 13-foot Jack Skellington, as well as haunting recreations of beloved characters like Yoda to help you create a unique movie inspired Halloween experience,” says O’connell.
To make it a bit different every year, Sevastos says although they keep the big skeletons every year – they try to switch up colours and bring in ad-ons such as skeleton lights. By doing this, Sevastos says it brings some newness to the product offering and even if a consumer has already purchased a skeleton in the past, new ad-ons will keep them coming back every year for more.
New Webpage Experience
Home Depot Halloween (Image: Dustin Fuhs)
The Home Depot has launched a new website to feature the main skeletons.
“This year’s Halloween for consumers on the e-commerce side promises to be an exciting and immersive experience, with a strong focus on replicating the in-store ambiance and offering a brand-new experience that will truly captivate shoppers. Our new online web experience will prominently feature larger than life characters, ensuring consumers can easily explore and find all the accessories they need to create the perfect Halloween look. These characters will be showcased with high-quality images and detailed descriptions, providing shoppers with all the necessary information to make an informed decision,” says O’connell.
Currently, the e-commerce platform is the same as the in-store assortment, but O’connell says they are continuously looking for new ways to develop their online product offerings due to the growing demand for Halloween products.
No matter what budget people have going into Halloween – The Home Depot makes sure everyone can enjoy a festive Halloween. Online, people can find cheaper Halloween options under the special section where they can find Halloween decorations under fifty dollars and there are budgeted options in-store as well such as smaller skeletons.
As for in-store experience, Sevastos says consumers are enjoying the displays, are interacting with them, and are posting their experience on social media – “every weekend is an event for customers,” says Sevastos.
“Our aim is to continue delivering an exceptional shopping experience, both in-store and online, and to provide our customers with the variety and convenience they desire. We are enthusiastic about the future possibilities and look forward to enhancing the options available to our valued online customers,” says O’connell.
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.
Mararamiro, a home decor store based in Toronto and owned by a married couple, is going to be celebrating its third anniversary and has opened its first retail store recently at the end of September. This is in addition to its shoppable studio space downtown.
The brand first opened in 2020, but instead of having a traditional retail store, the founders opened a shoppable studio space – the first and only shoppable photography studio in Canada.
“During the pandemic, there were many lockdowns and a lot of retail stores were not allowed to open physically, so we decided to go with the concept operation, what we call a shoppable studio. I think the timing worked well in that it aligned with the time when a lot of marketers were turning to influencers for content creation,” says Terence Kwaramba, the co-owner of Mararamiro. “ It kind of allowed us to marry the idea of selling home decor online, but having our studio as a showman, a backdrop for many content creators and it was a creative way for us to market and get the word out about our home decor to the world.”
Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)
The studio is located in Leslieville in the East End of Toronto and can be booked by the community and brands who are looking for a unique space for photography. All the furniture in the 700 square foot studio is from Mararamiro and has been used by influencers, e-commerce brands, and for personal use such as family portraits, bridal photos, proposals, engagements, and even weddings. Tessier says larger brands they have hosted include Knix and Province of Canada.
Tanya Tessier
“It was a really uncertain time to open a traditional brick and mortar retail store. So we really were trying to get creative. We were a new company and did not have an online following at the time, but we knew we wanted to launch online first and so we needed to get creative in terms of marketing and how to be discovered without a brick and mortar,” says Tanya Tessier, the founder of Mararamiro.
Tessier said during lockdowns there was a lot of demand for photography, creating websites, e-commerce platforms, and brands were relying on influencer marketing. They recognized a gap in the city and created a safe space where brands, content creators, and even larger companies could go for their photography needs. The idea came through traveling to Copenhagen a few years back when they experienced a shoppable apartment.
“We found it resonated with a lot of people because they were looking for content that looked more authentic in a way and our studio provided that. And so for the past few years, we have been pushing the concept of a shoppable studio. But we think that now with us turning a corner of the pandemic, we feel the time is now to really follow the true dream that we have had – to establish some retail presence and see where that takes us,” says Kwaramba.
Retail Space Has Opened
Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)
The first retail space for Mararamiro is located at 2090 Dundas Street West in Toronto, close to Roncesvalles. The space is just under 1000 square feet and consumers can expect “a really curated experience that goes beyond traditional retail.”
Consumers can find a variety of products through its e-commerce platform, studio, and in the new location such as decor, furniture, rugs, apothecary, and more. Products at Mararamiro are handpicked items from around the world.
“I know everybody claims to do this, but we offer something that is quite different and we don’t see that a lot in Toronto. There are lots of mass produced items out there and we want to focus on authenticity and craftsmanship, and we need a stage for smaller brands and artists. We are looking at going beyond just retail and thinking more as retail with purpose,” says Kwaramba.
Each product comes with a rich history such as where it came from, who made it, and information about the product.
“We just launched new carpets and rugs for example that are made in Ethiopia. When somebody purchases that, you get a video of the process of the people actually making your rug, not just the stock video – but people making your rug and you also get a personalized note from the makers in Ethiopia,” says Kwaramba.
As for future plans, the brand is aiming to grow its online offerings and to solidify its presence in Toronto under the brick and mortar. As for long-term goals – Tessier and Kwaramba say they would like to explore opening in multiple locations in Toronto or into other Canadian cities.
Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)
Tessier comes from a background in home decor as she worked as a creative director and a product development manager and throughout the years, fell in love with decor.
“I spent the majority of my career traveling the globe, sourcing, and developing products for other major retailers. I fell in love with the whole process and the stories behind all the products and then at the beginning of the pandemic, Terrence and I were actually on a belated honeymoon in Bali and that is when I learned the art company I worked for was closing their Canadian operations and I lost my job, There was a lot of reflecting, but it has always been my dream to have my own store so that is where it was born,” says Tessier.
The name Mararamiro Tessier says is borrowed from the Shona language of Zimbabwe, which is where Kwaramba is from and means “a manner of living that mirrors one’s values and attitudes,” says Tessier. Which Tessier says matches Mararamiro’s concept.
“We did not want to be just a store, but we really wanted to be a space for people who appreciate the quality over quantity, authenticity in the products they purchase, and people who really want to put forth a thoughtful approach to creating their living spaces,” says Tessier.
Additional Photos from Mararamiro’s Dundas Street Retail Storefront
Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)Mararamiro at 2090 Dundas Street West, Toronto (Image: Mararamiro)
Diabetes drug Ozempic is shown at a pharmacy in Toronto on Wednesday, April 19, 2023. (THE CANADIAN PRESS/Joe O'Connal)
The surging demand for weight-control drugs, prominently Ozempic, is not only aiding countless individuals in shedding excess pounds but is also noticeably tempering growth projections for the packaged food sector. What’s even more striking is the speed at which this transformation is occurring. Indeed, the food industry is now exploring how these medications might potentially reshape the future of food consumption in Canada, with potential consequences for the way Canadians eat in the coming years.
Let’s begin by discussing the medication itself. Referred to as GLP-1 drugs, these pharmaceuticals mimic a hormone that signals fullness to the brain, encouraging individuals, including those already taking diabetes medications, to eat less and make more health-conscious dietary choices. Originally developed to manage Type 2 diabetes, many now regard them as a miraculous solution for weight loss, actively seeking insights from their healthcare providers. The demand for these drugs, fueled in part by the millions of TikTok viewers, has resulted in shortages. With the exception of Ozempic, Health Canada has approved very few similar drugs, like Rybelsus, which can be taken orally. Unless individuals have insurance coverage, the cost of these treatments can range from $600 to well over a thousand dollars per month.
According to data from Statistics Canada, in 2021, approximately 29% of Canadian adults aged 18 and above were categorized as obese, with an additional 36% falling into the overweight category. While the prevalence of overweight adults remained relatively stable between 2015 and 2020, there was a notable increase of approximately three percentage points in the prevalence of obese adults during the same period. This translates to roughly one-third of the Canadian population grappling with weight-related issues. Given these statistics, it’s no surprise that interest in these treatments is on the rise.
The food industry is starting to take notice of this shifting landscape. Just last week, a Walmart executive disclosed to Bloomberg that the retail giant observed that individuals using GLP-1-type drugs like Ozempic tend to purchase slightly fewer groceries than other customers. As a result, Mondelez International, renowned for its popular snacks such as Oreos and Ritz crackers, experienced a 7.7% drop in its shares over the following two days.
PepsiCo also weighed in on this matter last week while reporting its financial results. Although PepsiCo demonstrated robust financial performance in the most recent quarter, it has cast doubts on the prevailing notion of a potential market downturn driven by Ozempic. The traditionally resilient PepsiCo stock has, however, suffered a significant decline of almost 13% over the past six months, mirroring broader sell-offs within the food industry. Shares of Mondelez, the maker of Chips Ahoy! Oreo cookies and Cadbury are down almost 12% in the last 6 months. Nestle shares, the largest agribusiness in the world, are also down 8%, just in the last 6 months. These declines have ignited discussions on Wall Street regarding the implications of the growing prevalence of new weight-loss medications.
Walmart Eglinton (Image: Field Agent Canada)
This situation leads us to question whether the profitability of the food and snack industry is fundamentally intertwined with a consumer base grappling with excess weight. This question inevitably raises ethical and moral concerns. Undoubtedly, with share prices being impacted by these developments, these companies risk being seen as purveyors of unhealthy foods if consumers start losing weight.
Should the “Ozempic phenomenon” become a reality, it could pose a significant challenge for consumer product and goods companies. Their task would be to transition from being viewed solely as providers of convenient food to being recognized as solution providers for individuals on a weight-loss journey in a potentially leaner marketplace.
In the initial stages of introducing weight-loss drugs, factors such as adoption protocols, regulatory hurdles, and associated costs are likely to constrain their widespread use. Time will be the ultimate judge. However, it is clear that these drugs are creating apprehension among many in the food industry and among shareholders.
IKEA Canada collaborates with Mason Studio on larger-than-life KALLAX installation (CNW Group/IKEA Canada Limited Partnership)
Retail giant IKEA Canada has ambitious plans for its continued omnichannel transformation in the coming years.
Selwyn Crittendon, CEO and Chief Sustainability Officer, IKEA Canada, who has been in the role for about two months, said the retailer’s vision is to create a better everyday life for Canadians.
Selwyn Crittendon
“And this has never been more meaningful. Our culture, our values and our purpose unite us as co-workers and they continue to be our compass as we transform to be leading omnichannel retailers,” he said.
“This is all about really understanding our customers – transforming into the retailer our consumers want IKEA to be. We need to be available. We need to be accessible and we need to be affordable. But more importantly how do we also strengthen areas of sustainability that make their lives even more meaningful. That is what the purpose and what the future really looks like – a more omnichannel IKEA and an IKEA retailer that can showcase not only solutions that provide great services and really, really give opportunities for young at heart or old at heart a great place to work.
“So IKEA will turn into not only a great place to shop but we are going to be the greatest place to work very soon.”
Image: IKEA
So what does the omnichannel transformation mean for the future?
“We started a journey here especially with our fulfillment network. We’re really creating that fully integrated fulfillment operation. We have our stores which really have been beacons for IKEA – our iconic flagship stores. But they’re now also transforming into fulfillment units,” said Crittendon. “So they’re also supporting how we get our goods closer to the many consumers that can’t really come and see us every day.
“The minute our stores get turned into fulfillment units, we’re supporting with pickup locations, we have some units that are doing their entire (omnichannel) process all on their own. So they’re not connected to a central hub or a central DC (distribution centre). They receive their goods, they ship out their goods, they package their goods. Really what we’re doing is transforming our retail locations into fulfillment locations but still have the wonderful proprietary inspiration solutions and products that you’ll find in any IKEA store globally.”
About a month ago, IKEA held a grand opening in Beauharnois, Quebec, of its latest Distribution Centre and Customer Distribution Centre in Canada to enhance the omnichannel retailer’s operational efficiency, providing its retail locations and customers with unparalleled convenience and swift service.
The new facility is the first IKEA Distribution Centre in over three decades and aligns with the brand’s commitment to enriching the lives of its customers by offering quality products for a better life at home, said the company.
IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)
Crittendon has been with the company for close to 23 years.
Founded in 1943 in Sweden, IKEA is a leading home furnishing retailer, offering a wide range of well-designed, functional home furnishing products at prices so low that as many people as possible can afford them. IKEA Canada is part of Ingka Group which operates 389 IKEA stores in 32 countries, including 16 in Canada. Last year, IKEA Canada welcomed 26 million visitors to its stores and 189 million visitors to IKEA.ca.
Crittendon said in the future the retailer will be looking at how current stores can be part of the company’s fulfillment network.
“So you’ll see more and more that our units are fulfilling more of those consumer orders that are happening online,” he said.
“You’ll see more of these smaller pickup points like our partnership with Penguin Pickup happening across Canada. You’ll see us really tapping into the smaller format stores like Plan and Order points. And where we see the next expansion areas in the country we will come back with more traditional large format stores as well too.
“Right now I can’t say where or when but absolutely looking from an omnichannel approach how do we get to areas of the country without a physical touchpoint . . . and if we have the possibility with our fulfillment network already we can provide those orders to those customers. Greater accessibility. We’re going to be talking about more affordability with our prices and our services and then looking for reach. How do I get the consumers that can’t get to us today or we can’t get to them and finding new and unique opportunities.”
IKEA at Deerfoot Meadows (Image: Ivanhoe Cambridge)
He said the company is partnering with FedEx to unleash at least more than 2,000 parcel pickups where it can get goods quicker to customers where IKEA may not be.
“Right now it’s more important than ever for us to really listen to our consumers and be present in the conversations they need us to be there,” added Crittendon. “So what they’re screaming loud and clear right now is affordability and that’s what you’re really going to hear from IKEA for the next couple of months. It’s really screaming.
“Coming very soon, IKEA Canada will be launching some financial services that will help consumers be able to attain the solutions that they need at affordable monthly prices as well too.
“I am working aggressively to really hear our consumers and our co-workers. They’re telling me we need to be more accessible. I can’t really share any new openings right now at this instant, but I do have some things working in the background so we can become more accessible to many more.”
Earlier this year, IKEA Canada announced plans to inject more than $400 million into projects that expand fulfillment capabilities in the Greater Vancouver and Toronto Areas. IKEA Canada’s investment will help the brand continue to meet the evolving ways that customers shop today, while supporting their commitment to help Canadians enjoy a better life at home.
Image: IKEA Canada
That included expanding fulfillment capabilities at IKEA Richmond.
In the Greater Toronto Area, IKEA Canada said it intends to build a new Customer Distribution Centre in Hamilton, Ontario in 2025 that will support expansion throughout southwestern Ontario. IKEA Etobicoke and IKEA Vaughan will also undergo expansions by 2025 to strengthen their store fulfilment capabilities and further enable the company to keep in-demand products available and delivery times as short as possible, while also supporting future growth in the market.
IKEA Canada continues to expand its diverse network of customer meeting points including Plan and order points now open in Boisbriand and Brossard, QC as well as Kitchener, ON, Canada’s first city-centre store in downtown Toronto, and the highly anticipated small-format store at Scarborough Town Centre.
IKEA Pick and Order Point Boisbriand (Image: IKEA Canada)Scarborough Town Centre IKEA (Image: Craig Patterson)IKEA Canada collaborates with Mason Studio on larger-than-life KALLAX installation (CNW Group/IKEA Canada Limited Partnership)
IKEA Canada welcomed consumers to the first-ever IKEA Canada Open House Event hosted at renowned Canadian design firm, Mason Studio. The event celebrating life at home was on display at Mason Studio’s headquarters and Cultural Hub at 91 Pelham Avenue for consumers to visit October 13th – 15th from 10am – 4pm daily. At the conclusion of the exhibit, most product displayed will be donated to Furniture Bank, a Toronto based charity and social enterprise.
“The IKEA Canada Open House Event will spotlight a larger-than-life art installation highlighting one of the brand’s most iconic and coveted storage products, the KALLAX shelving series. The KALLAX shelving series which was designed over 40 years ago by in-house Product Developer, Börje Lindgren. Mason Studio has reimagined this legacy product in a dramatic scale that blends the lines between storage and contemporary design while featuring the IKEA brand’s iconic blue and yellow. Incorporating the essence of IKEA’s playful spirit and iconic products, Mason Studio designed an exhibition to ignite discovery, interaction, and connection,” said the company.
IKEA Canada collaborates with Mason Studio on larger-than-life KALLAX installation (CNW Group/IKEA Canada Limited Partnership)(CNW Group/IKEA Canada Limited Partnership)
The space also featured:
Nytillverkad – As IKEA celebrates the brand’s 80th anniversary, it reintroduces carefully selected favorites from its design archive. The Nytillverkad collection connects iconic designs of the past with the dreams and needs of the present and future. The event spotlights the second launch of the Nytillverkad collection where the brand is showcasing ’70s and ’80s designs with product highlight including Niels Gammelgaard-designed SKÅLBODA armchair and JÄRLÅSA side table.
IKEA Kreativ – IKEA will also highlight how design and technology comes together through the recently launched AI-powered and digital experience, IKEA Kreativ.
Complete sleep – Visitors will experience a complete sleep sanctuary which highlights all six of the IKEA sleep essentials including comfort, light, temperature control, air quality, sound control, and colour and furnishings.
Seasonal collections – Visitors will be able to preview holiday collections such as the Scandinavian-folklore-inspired VINTERFINT collection and the AROMATISK collection designed to support the festivities around Diwali.
IKEA Canada collaborates with Mason Studio on larger-than-life KALLAX installation (CNW Group/IKEA Canada Limited Partnership)
Tip Top Construction at Galarie De La Capitale (Image: Tip Top)
Canadian retailer Tip Top, specializing in men’s dresswear, is opening four new stores in Quebec, re-entering the province for the first time in two decades.
And it’s coming back with a new look and feel.
“We are excited to be returning to the Quebec market, the fashion capital of Canada,” said Lance Itkoff, CEO of Grafton Apparel Ltd. (Tip Top). “There is no one else in Quebec doing what we do, and we see a real need in the market, which presents a tremendous opportunity for both us and our customers. Our new concept stores, which have been extremely successful across Canada, focus on outfitting men for the most special events in their lives, or as we say, ‘Perfect Moments, Perfectly Dressed’.
Lance Itkoff
“Along with our real estate partner Oberfeld Snowcap, we are continuously looking for new development opportunities across the country. Within Quebec, we have targeted upwards of 20 malls, and are in a position to continue growing as the right spaces become available. The choice to launch first in Montreal and Quebec City was simple, as these cities present the biggest base of need for both special event and go-to-work men’s apparel. Both Galeries d’Anjou and Galeries de la Capitale are located in suburban hubs with heavy foot traffic where we feel our value proposition resonates strongest.”
Tip Top Construction at Galarie De La Capitale (Image: Tip Top)
The initial two stores are slated to open this fall with a third and fourth confirmed for early spring 2024. The first location will open its doors on Thursday, October 19 in Montreal at Galeries d’Anjou and the second in Quebec City on Thursday, November 2 at Galeries de la Capitale.
“Why weren’t we in Quebec? That was a question that we were scratching our heads about. I’ve been with the company for seven years now and when we were in the deep dark recesses of COVID we really had to take a good hard look at our business strategy and what was it we wanted Tip Top to look like when we came out of it,” said Itkoff. “It really offered us the chance to move the brand forward by 10 years probably in two years.”
Tip Top’s roots date back to 1909 and today the retailer has more than 80 stores across the country.
Tip Top continues to roll out its new prototype stores and is renovating existing locations across Canada to reflect the brand’s reimagined look and feel. The retailer says interiors will attract shoppers with a bright and airy vibe featuring the Tip Top Event Shop, which is disrupting the status quo by providing consumers with a one-stop shop for all event solutions.
The Event Shop is a newer concept that makes the shopping experience simple and seamless. It mirrors a real-life catalogue displaying countless options to help shoppers find everything they need in matching colours and patterns to suit up for their special event, all in one visit to Tip Top, it said.
Itkoff said the merchandise was changed in the stores to speak to eventing.
Tip Top Markham (Image: Tip Top)Tip Top Event Shop (Image: Tip Top)
He said the company now plans to open more stores in the future in Quebec.
“It’s pretty exciting times. Boy, if you told me two years ago we would be talking about what we’re talking about I would have been happy to be having that conversation then,” added Itkoff.
“We believe that the opportunity is for a total right now we’ve identified 16 locations (in Quebec) we’d like to be in. We are actively working with Oberfeld on identifying the right spots at the right malls. The good news is we have the ability to move quickly when we get the right opportunity. The better news is we don’t have pressure. We haven’t gone out and announced that we’re opening up x amount of stores. So we have to open up a store even if it isn’t the right location in the right malls. We don’t have that pressure.
“So we’re going to open up stores when it makes sense. When we can find the right space in the right mall. We have a fantastic space in Square One. We’ll be opening that up in April. We have a right size store format where we’re plus or minus 2,500 square feet.”
Tip Top recently opened in Markville and Vaughan Mills and “those stores have been doing phenomenally.”
