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Walmart Canada Announces $50 Million Investment in Associate Career Development [Interview]

Image: Walmart Canada

Walmart Canada is investing $50 million over the next five years in associate career-driven learning and development, offered through programs at top-tier schools in Canada.

The company will cover the cost of tuition, books, and course fees for associates through its Live Better U (LBU) education program.

AnnMarie Mercer

“We believe there is a path for everyone at Walmart and we want to remove barriers to high quality education,” said AnnMarie Mercer, Chief People Officer, Walmart Canada. “We’re proud that through LBU, we’re offering our associates a program designed with them in mind. LBU meets associates where they are on their educational journey by offering online, flexible programs to help them balance work, life and school.

“As the retail environment, and I’ll actually go beyond just the retail environment, the world around us is changing quite rapidly and as we think about the future how do we ensure that we’re continuing to upskill our associates to meet the needs both today and in the future. That’s kind of the genesis behind LBU. It’s really about upskilling for the future.”

Live Better U Canada (Image: Walmart Canada)

LBU offers a path for all associates, whether they’re looking to accelerate their growth, get in-demand credentials, or receive a degree or licensing for a specialized role. The course offerings were curated based on the new and future needs of the business. Some offerings include:

  • Growth accelerators such as English as a Second Language, French as a Second Language and GED courses;
  • In-demand courses and certificates such as project management, data analytics, omni retail, ecommerce, business communications and strategy; and
  • Degrees and licensing for pharmacy technicians and opticians, with more to come.

“As we think about talent, every organization is looking for critical skills for the future . . . We want to make sure we have a path for all. Within Walmart we have very different career paths and associates can explore whether it’s a pure retail operations side or a career in HR, a career in technology, data, etc.,” said Mercer. “And given our size as an employer, 100,000 associates across Canada, we want to (ensure) we are creating opportunities for our associates to grow and that is both within our local market as well as preparing and creating paths for individuals internationally, given that we operate in many different markets around the world.”

Image: Walmart Canada

Mercer said the program in Canada will likely touch thousands of people across the country.

She said the retailer wants to ensure associates are trained and equipped with the skills of the future so they stay and grow with Walmart Canada. All eligible permanent part-time, full-time, and salaried Walmart Canada associates can apply to LBU.

“LBU has been a game-changer in the U.S. these past five years, and we’re thrilled to expand our footprint and offer this life-changing benefit to even more Walmart associates,” said Lorraine Stomski, SVP, Associate Learning & Leadership, Walmart Global. “Our participants are more likely to be promoted and less likely to leave the company than their peers, meaning it helps our people and our business. Nearly 120,000 Walmart U.S. associates have taken advantage of the opportunity to grow with the company while building a brighter future and better life. We can’t wait to see that impact continue to grow with this expansion.”

Walmart has more than 400 stores across Canada.

LBU is the latest offering in a comprehensive learning and development offering at Walmart Canada. Last year, they launched an internal talent marketplace: an AI-enabled platform that provides visibility to career paths within the company. In addition, associates have access to OnDemand learning platforms including Harvard Spark, Harvard ManageMentor, and ExecOnline.

“LBU is a part of a whole ecosystem of learning. Earlier this year we launched another program called OnDemand Skills and this is various different programs through key partners . . . It’s an element where you can take and upskill any time, anywhere. That’s for various different disciplines. It could be for data. It could be many different topics,” said Mercer.

“We also have our Walmart Academy which is really around building critical skills that we require which are job requirements for today. And LBU is really about preparing for the future. So that way we’ve got various different streams as we think of the whole talent ecosystem of how do we build pathways for all of our associates when, how and where they want to take it.”

Mercer said associates have told the retailer that they want to continue to grow, to continue to learn. This gives them the opportunity to continue to build skills for a future career with the company.

“I think we’re really excited about this because everyone is looking for critical skills in the future. We really have taken an internal first approach in a way that we can continue to grow our talent. They’re ambassadors of our culture and what we believe in. We have a very strong purpose as an organization with a save money, live better purpose. We believe that across all the things that we do,” she said.

“So if we can continue to develop talent within our organization, those are great leaders for the future as well.” 

Eliminating Plastics Should not Jeopardize Food Security In Canada [Op-Ed]

Eataly Bloor Street (Image: Dustin Fuhs)

Plastic undoubtedly remains a significant environmental concern, and there is a widespread consensus that it demands immediate attention. While addressing plastic bags and utensils presents relatively straightforward challenges, the real dilemma lies in addressing plastic packaging, particularly within the grocery store sector. This summer, the Canadian government introduced the Pollution Prevention Planning Notice (P2), a targeted initiative aimed at primary food plastic packaging used for food. P2 seeks to compel Canada’s largest grocery retailers to formulate pollution prevention strategies with a focus on reducing, reusing, and reimagining primary food plastic packaging, with a strong emphasis on incorporating recycled materials. Kudos to the government for taking this vital step.

A striking statistic reveals that roughly one-third of all plastic packaging in Canada pertains to grocery store food packaging, much of which is designed for single-use purposes. From juice boxes and produce bags to yogurt containers and meat trays, the sheer ubiquity of such packaging necessitates immediate action. Initially, Environment Climate Change Canada (ECCC) proposed voluntary industry targets, but it is not challenging to envision a progression towards more stringent obligations over time. However, recent developments indicate a notable shift in the approach’s tone, as the industry’s commendable efforts to reduce plastics are seemingly undervalued. ECCC appears to remain impervious to reasoning beyond ideology and seems to overlook the potential consequences of hastily pursuing plastic elimination, effectively sidelining science-based policymaking.

The ramifications of P2 could be profound for our access to fresh produce. Canada imports approximately $7 billion worth of fruits and $3.5 billion in vegetables annually. International trade plays a pivotal role in ensuring affordable food for Canadians. While we export our food globally, we also depend on global markets for our sustenance. Hence, the economics of food packaging hold immense significance, both domestically and internationally. Surprisingly, many foreign suppliers who provide produce to Canada remain unaware of P2 and its potential repercussions. Over the years, several food manufacturers, including Nestle, have exited the Canadian market for various reasons, withdrawing some brands. P2 could further discourage key suppliers that support our healthy aspirations.

A few years ago, a comprehensive assessment led by one of Canada’s foremost supply chain management and food waste experts, Dr. Martin Gooch, projected that ineffective packaging could lead to nearly half a million metric tonnes of increased food losses and waste compared to current levels, valued at CA$2.5 billion. It’s worth noting that this estimate is considered conservative. Significantly, the highest losses are anticipated in perishable commodities vulnerable to damage or those necessitating specialized packaging. Plastic packaging often extends the shelf life of products sensitive to ethylene, a natural ripening agent produced by fruits and vegetables. For example, carrots are susceptible to ethylene produced by neighbouring produce, which shortens their shelf life, affects their appearance, and diminishes their taste. Less appealing produce at retail translates to reduced consumer desirability.

Loblaw Empress Walk (Image: Dustin Fuhs)

The report’s findings were quite specific, indicating that beans would suffer the most significant increase in losses at 100%, followed by soft berries and cucumbers at 90%. Leafy greens (73%), carrots (61%), cherries and grapes (50%), beets (45%), and soft fruit (34%) would also see substantial losses. Across the 20 commodities currently sold prepackaged in plastic, moving away from plastic packaging would result in a 17% increase in loss. In essence, the elimination of plastics could inadvertently impact food prices at retail.

ECCC’s most significant oversight appears to be its failure to consider the unique logistical and trade realities of Canada. It seems that ECCC is primarily influenced by ideas drawn from European studies. However, it’s crucial to note that in the UK, for example, a far greater proportion of fresh produce sales are prepackaged compared to Canada. Less frequently mentioned is the fact that even these changes would lead to increased labour requirements, higher operational costs, and other forms of pollution, such as supply-chain emissions. More comprehensive data and a thorough scientific evaluation of the consequences are unquestionably required.

There is no denying the urgency of eliminating plastics from grocery stores. However, it is equally vital to understand the potential repercussions of such actions. Currently, it appears that ECCC is indifferent to the future blame that may be solely directed at the food industry for higher food prices when it was the implementation of ECCC’s policies that contributed to this outcome. And ECCC is fully aware it can evade accountability.

A more nuanced approach is undoubtedly warranted – one that adeptly balances environmental objectives with the economic and logistical realities of Canada’s food industry.

Neo Coffee Bar Announces Major Expansion Plans, Including New Downtown Toronto Locations and a Foray into Japanese Cocktails [Interview]

Future Neo Coffee Bar on Spadina (Image: Dustin Fuhs)

Neo Coffee Bar, which opened its first location in Toronto in 2015, is planning a major expansion with a number of new downtown locations as well as eventually growing the brand to other places in the region.

Sari Samarah, President and CEO, Broker of Record for Value Insight Realty, which is handling Neo’s real estate needs, said the brand today has two stores and a third and fourth that’s been confirmed.

Sari Samarah

“We can announce the Exchange Tower in The Path, which will open this winter and our fourth location,” he said. “The store at 57 Spadina Avenue should be opening by the end of this month.”

“The Taylor is owned by Tricon, world-renowned developer who has provided the beautiful property for our newest Neo Store.”

Jeremy Hurwitz, Director of Retail, Tricon Residential, worked with Samarah on the transaction.

“The Taylor is one of Toronto’s most desirable residential rental addresses and an experience at the centre of it all,” shared Hurwitz. “We are thrilled for this bespoke Neo Coffee Bar to open in our mixed-use project and elevate the community. Partnering with best-in-class retailers such as the Kinka Family is crucial to providing the amenity rich product that enhance the lives of our residents.

“The Taylor’s apartment feature premium touches and high-quality craftsmanship brought together by celebrated interior designer Cecconi Simone. It’s a place you will be thrilled to call home.”

Existing Neo Coffee Bar stores are located on Frederick Street in the St. Lawrence Neighbourhood and one at Bay and College.

Future Neo Coffee Bar at 57 Spadina (Image: Dustin Fuhs)
NEO COFFEE BAR ON FREDERICK STREET IN TORONTO (Image: NEO COFFEE BAR)

Samarah has a connection with the Kinka family which is a Japanese restaurant group with brands such as Kinton Ramen, Kinton Izakaya, Jabistro and Kintori Yakotori.

Samarah said the brand is working on several other new locations that could be for next year and others that could be for the following year.

“We are planning on opening another three to five new locations in 2024 and continuing to grow more rapidly into 2025 and beyond,” he added.

“Our current focus is expansion in Toronto and the GTA, however we will also expand to the suburbs soon as well. We’re working now on something in Mississauga and North York. It’s not all urban locations.

“We’re looking for high traffic locations with approximately 800 to 3,000 square feet. Highly dense populations with strong traffic and large daytime population locations.”

Future Neo Coffee Bar in Exchange Tower (Image: Dustin Fuhs)
Future Neo Coffee Bar in Exchange Tower (Image: Dustin Fuhs)

According to the brand, Neo is “the perfect spot to sit and catch up on the day’s news while enjoying your caffeine fix. We are neighbours with schools and big offices alike, and we make everyone feel like they have a community space to share.”

“At NEO COFFEE BAR, we want to serve you with a serene coffee experience. Tastefully designed aesthetic where you find respite from the city is a pillar of focus for us. Enhanced by curvilinear concrete walls, warm wood accents, and modern furniture, our refreshingly minimalist, light-filled coffee bar is beautifully furnished with bench seating, pedestal tables, and spacious booths. The space provides a unique, out of the mold, look and feel, and provides a coffee oasis away from the hustle of downtown Toronto.”

In May 2022 the magazine Architectural Digest named Neo one of the 23 most beautifully designed modern coffee shops: “With the mission to make Neo Coffee Bar the neighborhood’s regular haunt, local architecture firm Dialogue 38, Inc. infused the Toronto outpost with that classically cool look: Curvilinear concrete walls, plenty of wood accents, and modern furniture all nestled into a minimalist space.”

Image: NEO COFFEE BAR
Neo Coffee Bar at 161 Frederick St in St. Lawrence Market Neighbourhood (Image: Dustin Fuhs)

Samarah said one of the unique features of Neo Coffee Bar is that its style is Japanese. 

“The location at Spadina is going to be open late and it’s going to have cocktails and a larger food offering. The brand is known as a coffee shop but for the Spadina location it’s going to be open late. So you have a Japanese cocktail bar and coffee shop at the heart of King and Spadina. It’s going to be something exciting that people won’t expect from the concept. It’s also a 3,000 plus square foot space,” he said.

“I foresee us expanding more heavily over the next few years. The energy I feel for what’s about the happen is similar to that of Kinton Ramen in it’s early years of expansion. And the profitability on coffee can be stronger than the full service restaurant model because you don’t need the same type of build out infrastructure.”

Ren’s Pets Expands Toronto Footprint with Three New Stores, Launches Extensive Halloween Collection [Interview]

Ren's Pets Halloween Display (Image: Ren's Pets)

Ren’s Pets recently opened two locations in Toronto and has one more planned for this month, just in time for this year’s Halloween shopping.

Larissa Wasyliw, Vice President of Ecommerce and Marketing at Ontario-based Ren’s Pets, says more than ever people are shopping for Halloween, not just for themselves – but also for their pets.

Larissa Wasyliw

“We are really excited about Halloween. It is actually one of the most celebrated holidays people will have with their pets. And what we are seeing, since the pandemic, is that everybody has pets as there was a high adoption rate. Pets are being included in all of the Fall and Halloween activities because people really think of their pets as part of their family,” says Wasyliw.

Ren’s Pets Halloween Display (Image: Ren’s Pets)
Image: Ren’s Pets

Each Ren’s Pets store will now have their Halloween supplies ready. For this year, consumers can find a variety of Halloween themed products such as costumes, accessories, toys, treats, and Fall themed clothing.

“When we did our orders for this year, we really had in mind that coming out of the pandemic – people were wanting to celebrate quite a bit. One of the most popular things we have ordered this year was pyjamas – Halloween pyjamas for your pets, which is really fun. People right now are going all out and celebrating big, and we really expect that to happen this year with pets.”

Along with other retailers, Wasyliw is seeing an increase in consumers shopping earlier for Halloween, meaning Ren’s Pets have dropped their Halloween collection earlier than ever before.

What Consumers Are Looking For This Halloween

Halloween Pugs (Image: Ren’s Pets)

Wasyliw says consumers this year are looking for premade costumes, such as pumpkins, tacos, and hot dogs – which all seem to be a popular option this year and for past Halloweens. She also sees consumers buying a blend of products and accessories to add to what they already have or to create their own costume.

Consumers are not only spending money on Halloween costumes, but also products to lead up to Halloween.

“The other thing consumers are looking for is not so much even a costume, but seasonal attire. So we have little hoodies that are ghosts and different fun things. Shoppers would like to dress their pets up in clothing that represents Halloween around the season, and then they put the actual costumes on for Halloween to celebrate the actual event.”

Image: Ren’s Pets

Although Wasyliw says consumers are being cost effective right now and are watching their pocketbooks – people still love to spoil their pets. Ren’s Pets is seeing consumers reusing a costume, but then adding onto it by buying accessories or placing their disposable income into hoodies, extra seasonal clothing, and treats.

“That is what we are seeing this year. We are also seeing people buying their pets special treats for Halloween as we do offer cookies and different little treats for pets that are themed with flavours or different creations just for Halloween.”

Ren’s Pets will have costumes available such as cow costumes, superheroes, tacos, hot dogs, and although they do not have Barbie specific costumes, Ren’s Pets do carry a lot of dresses and accessories that could be used for a Barbie costume. Consumers have the option of shopping online, in-person, and even have the option of ordering through DoorDash.

Social Media Stars & Contests

Image: Ren’s Pets

For the month of October Ren’s Pets will be celebrating cats all month, have a special one week flyer that is dedicated to the season, and will have contests.

One popular trend Wasyliw is seeing is shoppers having matching costumes with their pets and to include the whole family.

“We have always done pet costume contests which are really fun and then this year, we have been talking about how to make it extra special. And one of the things that we noticed, is that people love to match their costumes with their pets costumes, especially in Toronto and in our urban stores. So we have been thinking about really fun marketing activities and social media activities that we can do with our consumers and their pets.”

As an example, Wasyliw says she remembers a picture of a pet from one year dressed up as a hot dog and their owner was dressed up as a bottle of Ketchup.

“Because of this, their costumes really become social media stars. The pet parent loves their pet costumes and they post it all over social media channels. We have just about seen everything which is amazing and that is why we love our pet photo contest.”

This year, consumers can expect to see photo events and people can bring in their pets to get their photo taken with a different backdrop in each store. Ren’s Pets will also have treat samples as “pets always love to try something new and exciting with the Halloween flavour.”

In addition to the Halloween season, Ren’s Pets will also be getting ready for Christmas which will start in November and instead of Black Friday, they will have Bark Friday. “We do the 24 days of Christmas where we offer deals for our customers across the whole month of December, so it is a perfect timing to get these stores open.”

New Stores

Ren’s Pets Toronto Beaches (Image: Ren’s Pets)

As of the end of September, Ren’s Pets will have opened twelve new stores in 2023; they have recently opened two new locations and are opening one more at the end of the month.

One store recently opened to the public was in the Toronto Beaches neighbourhood on September 2nd. This location is one of Ren’s Pets’ smaller format ‘urban concept’ stores and is right across from a dog park on Queen Street East.

Ren’s Pets Markham (Image: Ren’s Pets)

The second location opened on September 16th in Markham, and the third store will be in Oshawa and set to open September 30th.

“We have been having great success in the GTA. Markham is a perfect fit for us to build out a store and then finally on the 30th, we are opening up in Oshawa. So those three do wrap up our twelve stores we have opened this year, which is just a phenomenal fast paced growth for the company.”

By the end of September, Ren’s Pets will have 57 locations across Canada.

Retail Insider is also able to confirm the first two stores in 2024 will be in Collingwood and Napanee.

Canadian Retail News From Around The Web For September 18th, 2023

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 several days.

Government calls for meeting with CEOs of Canada’s biggest grocery chains to talk food prices (CBC)

Are grocery stores greedy or a scapegoat? Group pushes back on feds’ ultimatum (CityNews)

Turmoil in Indigo’s C-suite leaves Canadian publishers reading between the lines (Globe & Mail) ****

Indigo’s future at stake amid executive exits, economic fears: analysts (Global)

Reitmans reports drop in Q2 sales, profit (Fashion United)

Simons CEO On Leading Canada’s Fashion Retailer Into A Data-Driven, Sustainable Future (Forbes) ********

Shane Grant joins Lululemon’s board (BIV)

Canadian shoppers turn to discount retailers to fight inflation (CityNews)

Grocers fail to pass along full Nutrition North food subsidy to shoppers, study shows (U of T)

Roots Launches Iconic Collaboration with Barbie® To Honour 50th Anniversary (Newsire) ****

Canadian Tire Corporation Completes Private Placement Offering of C$600 Million Unsecured Medium Term Notes (Newswire)

Sobeys parent reports profit boost as B.C. workers vote to strike over ‘insulting’ offer (Financial Post)

N.W.T. store shelves filling up again after wildfires disrupted supply chain (CBC)

Pop the cork: Calgary wine shop comes to Edmonton’s 124 St. (Alberta Prime Times)

$50 million food distribution centre opens its doors in Ingersoll (CTV London)

‘Winnipeggers are going to be thrilled’: Heritage director on work at former downtown Bay building (Global)

Browns Shoes to Return to Toronto’s Bloor Street with New Storefront

Future Browns Shoes on Bloor Street (Image: Dustin Fuhs)

Montreal-based footwear retailer Browns Shoes is returning to Toronto’s Bloor Street after closing a store nearby about four years ago. The new Browns store will be on a busier stretch of Bloor Street near Holt Renfrew, and it will become a draw for the area that otherwise lacks footwear retailers.

The new Browns Shoes store will span nearly 4,300 square feet at the base of the 60 Bloor Street West office tower. Browns will be between Alo Yoga at 60 Bloor and and the Holt Renfrew flagship which occupies much of the ground floor at 50 Bloor Street West.

Eric Ouaknine

Eric Ouaknine, Vice President of Retail at Browns Shoes, said that the new Bloor Street store will feature a totally new and unique store concept that would include 20 foot ceilings, and custom finishings throughout. Customers will be able to enter the store from within the lobby of 60 Bloor, as well as from Bloor Street itself.  “We’re excited to be back on Bloor Street, in what we feel is one of the busiest stretches of commercial real estate in Canada”, Ouakine said.

Rendering of the new Browns Shoes store at 60 Bloor Street West in Toronto. Image supplied.

The store will house Browns’ in-house brands as well as various other brands ranging from athletic to designer. In recent years Browns Shoes has focused more on its own core brands, maintaining quality and design, while also carrying a range of complementary brands that have attracted loyal shoppers.

Browns will be a welcomed addition to the Bloor-Yorkville area, which has only a handful of footwear retailers. Current footwear retailers in the area include a Ron White store at the Manulife Centre and a JP Fortin store at the Yorkville Village shopping centre (formerly Hazelton Lanes), as well as La Canadienne which replaced a Kate Spade store in 2021. Holt Renfrew also features a sizeable footwear offering in its adjacent women’s store and nearby men’s store, while some multi-category specialty retailers in the area are also carrying shoes.

Browns Shoes has recently been expanding and relocating stores while also opening new ones. The company could have a further opportunity for growth, given Nordstrom’s recent exit from Canada. It’s estimated that Nordstrom’s Canadian footwear sales were about $150 million across its six full-line stores. Given the lack of competition in Canada, Browns has the opportunity to gain further market share.

Future Browns Shoes on Bloor Street (Image: Craig Patterson)
Future Browns Shoes (Far Left), Holt Renfrew (Centre) and Future Arc’Teryx at the Holt Renfrew Centre on Bloor Street (Image: Dustin Fuhs)

Browns has had a presence in the Bloor-Yorkville area since the 1970s. Its first store was at the Hazelton Lanes shopping centre. In 2008 it relocated to 110 Bloor Street West where it remained until just before the pandemic. Higher foot traffic at the new 60 Bloor store is expected to result in higher sales.

Various footwear retailers have vacated Bloor-Yorkville over the past decade, including Stuart Weitzman, Davids Footwear/Capezio, Speccio, Tanya Heath, Town Shoes, Shoe Warehouse, and others.

Oberfeld Snowcap represents Browns Shoes as brokerage in Canada.

We’ll follow up on this story when Browns opens its Bloor Street store.

IKEA Unveils State-of-the-Art 1 Million Square-Foot Distribution Centre in Quebec [Interview]

IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)

IKEA has opened its massive Distribution Centre and Customer Distribution Centre in Beauharnois, Quebec, near Montreal, to enhance its omnichannel capabilities.

The facility is just over one million square feet – the size of 13 American football fields – and it replaces the company’s Brossard DC/ CDC, which is 925,696 square feet.

Mathieu Rochon

Mathieu Rochon, Central Fulfillment Unit Manager and Director of Beauharnois’ Distribution Centre and Customer Distribution Centre at IKEA Canada, said the facility will become a cornerstone of progress, serving not only as a hub for its operations but also as a testament to its unwavering dedication to delivering excellence and being a home away from home for its co-workers. 

“We have two main businesses in this Distribution Centre. The first one is delivering to the stores. We distribute to stores from Winnipeg to Halifax. Mostly the East Coast and Central Canada and the GTA and also to customer distribution centres in the GTA and these are locations where we send e-commerce orders directly to the customers,” said Rochon.

“This new centre can house 244,000 pallets on site here. This is why it’s so important for us to distribute to the stores and be more efficient, store more goods and be closer to the customer and be more efficient that way.”

IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)
IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)

The retailer said the new Beauharnois facility is the first IKEA Distribution Centre in over three decades.

It said the state-of-the-art Beauharnois Distribution Centre and Customer Distribution Centre will play a pivotal role in streamlining IKEA’s logistics operations, ensuring that products reach customers’ homes with increased speed and accuracy. By optimizing its distribution network, IKEA aims to further elevate the shopping experience and meet the ever-evolving needs of its valued customers by notably using automated storage and retrieval systems as well as automated goods to person picking and packing solutions, it said.

The new Beauharnois location was awarded LEED Silver certification and is equipped with 20 electric vehicle chargers for co-workers and guests. The retailer will install 15 electric vehicle chargers for commercial fleets, in December, supporting IKEA Canada’s ambition to provide zero emission home deliveries by 2025.

The facility will have over 380 workers.

At the heart of the IKEA Beauharnois Distribution Centre and Customer Distribution Centre are over 380 co-workers.

The retailer operates 16 stores in Canada.

IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)
IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)

A DC is a central warehouse that receives goods from suppliers and distributes them to stores and CDCs. In Canada there is only one DC in Beauharnois that services IKEA stores in Manitoba, Quebec, Ontario, and Atlantic Canada. BC and Alberta stores are serviced by a DC in the United States that is in closer proximity to them.

A CDC holds stock for home delivery and pick-up orders where each order is individually picked and packed for final distribution to the end customer, either directly or through a hub. IKEA Canada maintains CDC sites in Beauharnois, Mississauga, Vancouver, and a third-party facility in Kleinburg, ON.

“We are unique in Canada,” said Rochon. “We distribute to both the stores and the customers directly and we’re the only unit in Canada that does that.

“There’s a lot of automation in here. We want to be fit for the future. We want to be a leading omnichannel retailer in Canada . . . so we really invested in automation.”

The company said the Beauharnois CDC is using a first of its kind interface solution in IKEA that creates an interaction between the carton creation machine (Packsize) and our Warehouse Management System (WMS) that knows the size of the customer order. This means the right size box can be prepared for the customer order automatically saving time and materials for co-workers.

An Automated Storage and Retrieval System is installed to receive, store, and pick full pallets of merchandise. This system comprises over 90 per cent of the storage and handling capacity for the unit.

The CDC employs Goods-To-Person Picking using a tote bin Automated Storage and Retrieval System that receives and stores less than full pallet quantities of product for customer direct orders. This system brings totes to a picking station to fulfill orders, then returns the totes to the storage array.

IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)
2019 Construction Photo of IKEA Distribution Centre in Beauharnois, Quebec (Image: IKEA)

Atelier Munro Expands with 2nd Canadian Made-to-Measure Menswear Store in Calgary’s Beltline Neighbourhood [Interview]

Atelier Munro Calgary (Image: Mario Toneguzzi)

Amsterdam-based menswear brand Atelier Munro has opened its second store in Canada in Calgary after it launched the made-to-measure store in Toronto last fall.

In Calgary, the store is in the Beltline neighbourhood, just outside the city’s downtown core. The Toronto store is on Hazelton Avenue. And the brand has a small pop-up showroom in Vancouver on Carrall Street.

Joachim Baan

Joachim Baan, Atelier Munro’s Creative Director, said the brand began in both Amsterdam and Toronto around the same time. So it has roots in both countries. 

“(Calgary) is our third flagship store but we have around 70 shop-in-shops around the world. We have quite a big footprint in The Netherlands and in the U.S. A little bit in Belgium, Germany, Austria and Spain, South Korea. It’s growing organically,” he said.

“We made this idea of creating not a normal store as every other brand. We made it also more kind of a house to really translate this idea of craftsmanship and craft and quality into this space where you can come in.”

The AM House Calgary
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)

Typically, made-to-measure menswear was only a shirt and a suit. But the brand has extended that into the full wardrobe with other items such as shoes to jeans to outerwear – to create the idea of personal style for consumers.

“We create made-to-measure clothing as singular as the men who wear it. Essentially, we listen to your every preference, from taste to fit, and make it a reality. The result? One-of-a-kind clothing that’s never forgettable, always flattering, and naturally reveals something of its owner,” says the brand on its website.

“Because it fits you better in every sense. Working with an advisor, you’ll be able to curate your clothing. It will be crafted to your body, your individual taste, and the things you care about. It means you’ll always look your best and feel your best.”

Baan said Canada has been a good market for Atelier Munro in previous years. It has done a lot of business through Harry Rosen. 

“So there were already a lot of people who were in the know of Atelier Munro and Calgary was our second city in terms of consumers that already knew the brand. We felt it was the logical next step after Toronto.” he said.

Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)

Baan said the brand hopes to have a good mix of flagship stores and wholesale partners in Canada where it will be present with shops-in-shops.

“Of course the flagship store is always the place where we can sell the brand as the most perfect way and it’s a way to show how the brand is different from like-minded brands,” he said.

“It’s always the game of finding the right city with the right amount of people we want to reach. We can definitely grow into a few more stores in Canada – a few more flagship stores like this. But we can also imagine it growing more towards the wholesale or even smaller boutique shops. For example in The Netherlands we will be opening this December our first boutique store. It’s really a smaller store.”

Additional Photos from Atelier Munro Calgary

Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)
Atelier Munro Calgary (Image: Mario Toneguzzi)

Esprit to Open 1st Canadian Flagship in Vancouver in December, Eyes Toronto for 2024 [CEO Interview]

Future Esprit on Robson Street (Image: Martin Moriarty)

Lifestyle retail brand Esprit is making a comeback in Canada with a store set to open in Vancouver on Robson Street in December.

William Pak, the retailer’s Executive Director, Chief Executive Officer and Chief Operating Officer, said a location will also likely come to Toronto next year. 

William Pak

The brand initially began in 1968 in San Francisco by Susie and Doug Tompkins who were the same founders of North Face.

“This brand grew into a cult classic in the 60s and 70s to the point where it was a top five brand in the world in the 80s. This one was something people saw with Benetton back then and Calvin Klein was just dominating the denim space and Tommy Hilfiger at that time. These were the big brands. Ralph Lauren,” said Pak.

Future Esprit on Robson Street (Image: Martin Moriarty)

Mario Negris and Martin Moriarty of Marcus & Millichap Canada worked with Kate Camenzuli of CBRE on the Vancouver Esprit transaction.

“Back when it was in the 80s, it was the first organic cotton company in the world. It did real people campaigns, meaning they didn’t use models for a certain campaign. They used real people. It was such a big phenomenon that it grew into every single market in the world by the 90s. It was listed on the stock exchange in 93 and became very large in Asia and Europe and the U.S.

“It became a very forward thinking lifestyle brand and in the late 90s the couple that founded it got into a domestic argument and they had to sell the company to a distributor in Germany. This German company moved the headquarters to Germany 25 years ago and then it started departing from what it was known for including good quality clothing and fit and design and all of that’s gone because Germany’s not the most fashion in tune place. So the company kind of went away. It closed every store in the U.S. and Canada 25 years ago. They tried to open a few stores here and there in 2004 to 2010 but they closed quickly because it was from Germany and not their real heritage.

“They had thousands and thousands of stores. It was quite big. Around three years ago it went into insolvency proceedings in Germany at the beginning of the pandemic. That’s when I came into the picture, working with a group that bought the company out of the restructuring. I spent about a year and half kind of cleaning the company in terms of the financial, the supply chain, the credit. There’s no more bank debt. So it’s a clean company.”

Future Esprit on Robson Street (Image: Martin Moriarty)

About a year ago, Esprit started to rebrand with a new design, new store concept, new clothing, new website.

“There’s about 600 stores in Europe still that remained. Still a large presence. We opened in SoHo (New York), we opened in L.A. earlier this year and then we’re opening in Miami, Chicago and Vancouver is opening in December on Robson Street. That’s going to be the new store concept,” said Pak. 

“We tried to do Toronto at the same time but when the property we were negotiating on changed hands they wanted to redevelop the block. So we have to find something again in Toronto.

“The U.S. and Canada is like a brand new re-entry. It’s been gone for so long that people don’t really remember what happened to it but they do remember the name or came across it somewhere. But it’s a very strong brand affinity in the U.S. Canada as well. We’ve got over a million customers in the database from before. Quite a long history.”

FORMER WEST EDMONTON MALL STORE. (PHOTO: SUPPLIED)

Pak said the retailer is also talking to a couple of wholesalers, distributors or department stores to try and open by the second quarter next year.

“So a lot more ramp up next year and we really wanted to make sure that at least the Vancouver store is open before the holiday season,” he said.

The company is now headquartered in New York.

When Esprit Holdings Ltd. released its financial results in late August for the first half of 2023, Pak said: “Over the past six months, the Group has diligently implemented a range of progressive initiatives aimed at revitalizing its growth trajectory. The management remains optimistic about the anticipated outcomes of these initiatives, expecting them to yield tangible results during the second half of this year. Encouraging signs have already emerged from the June results, indicating positive developments. Moreover, the Group has an exciting array of upcoming events in the second half of this year. These dynamic endeavours are expected to not only strengthen the Group’s market position but also propel its overall success to new heights.” 

Image: Esprit

The company said it continues to fortify its presence in both the US and international markets, as it aims to restore the brand to its original, elevated, and globally recognized brand position. 

“ESPRIT has successfully revitalized its global footprint through strategic expansion into North America. Several retail store openings are underway for launch in the latter half of 2023 in key cities such as permanent stores in Los Angeles, New York and Vancouver, and pop-up stores in Chicago, Los Angeles and New York. In Europe, the retail team is developing shop-in-shops under a brand-new elevated concept within twenty of ESPRIT’s best European retail and franchise locations. These have been instrumental in creating buzz and reinstating ESPRIT’s prominence on a global scale,” it said.

“The Company is set to revolutionize the online customer experience with a simplified and innovative technology platform. Currently live in South Korea, this platform will be introduced to the US market by Q3 of 2023, followed by its launch in Europe by mid-2024. Simultaneously, the digital team is working on developing a modern data stack, scheduled to be completed by mid-2024, which seamlessly connect customers and products. By harnessing the power of artificial intelligence and large language models, ESPRIT aims to solidify its leadership position in the industry, providing unparalleled customer engagement and satisfaction. 

“The Company is dedicated to embracing cutting-edge technology and implementing best industry practices to elevate customer experience. The on-going projects aimed at developing innovative in-store omnichannel digital solutions for stores-of-the-future to provide digital and hyper-personalized service experiences for upcoming Flagship and Experium stores, ensuring customers to experience the best when interacting with ESPRIT. 

“ESPRIT is thrilled to introduce a captivating new collection that exemplifies unparalleled quality and exquisite design. Among the highlights is the highly anticipated unveiling of a new denim line developed at the Group’s innovation centre in Amsterdam. Additionally, there will be a launch of an in-house developed kid’s apparel line, catering to children aged two to twelve. With these exciting additions to the product assortment, ESPRIT continues to redefine fashion excellence and cater to the diverse needs of valued customers.”