FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)
Israel-based, Fox Group-owned home goods retailer FOX HOME has launched in Canada with its first storefront recently opening at CF Toronto Eaton Centre in downtown Toronto.
FOX HOME has positioned itself in the Canadian market as a home and lifestyle brand, offering casual home products for kitchen, tabletop, bathroom and home decor. The product line is designed in-house, which allows for “constant innovation, offering fashionable products that are refreshed for every season, adapting to the trends and diverse needs of its customers,” according to the brand.
“We are thrilled to bring FOX HOME to Canada and to offer Canadians a fresh perspective in the realm of lifestyle and home design,” said Talia Porat, CEO and Chief Designer at FOX HOME. “FOX HOME offers innovative and unique homeware products for many rooms in the house, including the dining room, kitchen, bedroom, and decorative pieces. We are confident Canadians will fall in love with FOX HOME and have the products be an extension of their homes.”
FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)
The 4,000 square-foot retail space was formerly home to outdoor fashion retailer Eddie Bauer, which saw the brand shutter its location at CF Toronto Eaton Centre. The location at CF Fairview Mall was also closed as the brand looked to shift concepts and reposition itself in the Canadian market, under the new ownership of Authentic Brands Group.
Eddie Bauer at CF Toronto Eaton Centre closed in January, with construction hoarding being installed days later to share the new tenant. As part of the research of FOX HOME, Retail Insider was the first to report that FOX HOME had planned on entering Canada, with a confirmed initial eight stores in Ontario.
The first location was announced to be CF Toronto Eaton Centre, followed by June and July openings at the Yorkdale Shopping Centre (which is now officially open), CF Fairview Mall, Square One Shopping Centre and CF Sherway Gardens. The brand will open stores in Vaughan Mills, Upper Canada Mall and Scarborough Town Centre by the end of 2023.
FOX HOME also has a Canadian exclusive e-commerce platform at foxhome.ca.
FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME Canadian Stores (Image: FOX HOME)
FOX HOME was established in 2010 and is part of Tel Aviv-based FOX GROUP, the group responsible for bringing Nike, Mango and Laline into the Canadian market.
Fox Home operates more than 95 stores worldwide, mainly in Israel.
Retail Insider will be following the brand as it continues to expand the FOX HOME brand throughout Ontario and into new markets.
Additional Photos from FOX HOME at CF Toronto Eaton Centre
FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)FOX HOME at CF Toronto Eaton Centre (Image: Dustin Fuhs)
Retail Insider is streamlining its Canadian retail news from around the web to include a handful of top news stories that can be viewed quickly during the day. Here are the top stories from the past 24 hours.
London Drugs continues to cautiously expand its footprint in Canada with an approach of assessing the market and resetting its cost structure.
The company recently opened its latest new location in the Shawnessy Village Shopping Centre in Calgary and its new renovated and relocated store in Abbotsford, BC, in the Sevenoaks Shopping Centre. The Abbotsford Highstreet location will be closing on June 25.
Image: Clint Mahlman
Clint Mahlman, President and Chief Operating Officer of London Drugs, said increasing costs of running a business, particularly government costs, have slowed the process of opening new stores in Canada and renovating stores.
“We’re assessing the market and resetting our cost structure,” he said. “I think if you look at what some of the economists are saying that we’re probably into a good year if not two years of a consumer that is very challenged for a bunch of different reasons depending on which economist you talk to.
London Drugs Shawnessy in Calgary (Image: London Drugs)
“Canada is different than the U.S. because we have a different structure but we’re always tied to the U.S. The U.S. has things like this banking crisis that they’re going through with the regional banks. That’s causing interest rates to be higher than we would otherwise have in Canada. Canada has still, according to some economists, a lot of pent-up savings that have allowed for a slow cushion – a lot of post-pandemic demand travel being a good example where people are still out spending.
“For those reasons, I think the economists are right that we haven’t seen the recession. However, those things don’t mean that discretionary income is being spent in retail overall. When we read the experts’ opinions, we’re probably into a good couple of years of malaise in the economy with customers being very uncertain, having to watch their dollars very carefully and until there’s some certainty of what’s happening with the economy and interest rates they’ll be very cautious on discretionary spending.”
Founded in 1945, B.C.-based London Drugs sells to every province and territory in Canada through its online store www.londondrugs.com and has 80 physical stores in more than 35 major markets throughout British Columbia, Alberta, Saskatchewan and Manitoba.
The greatest concentration is in BC followed by Alberta, with five in Saskatchewan and one in Winnipeg.
“E-commerce is an important part of our business. After British Columbia then Alberta, Ontario is our third largest market for e-commerce in Canada. We sell to every province and territory in Canada through our e-commerce,” said Mahlman.
“Shawnessy (in Calgary) is a market we’ve been trying to get into for a very, very long time. We had wanted to get in there about 20 years ago when it was developing and for a bunch of different reasons we didn’t proceed. And as Calgary has shifted and moved and all these different retail nodes, it was always on our radar screen to see if it would come up.”
It is the company’s ninth location in the Calgary area.
London Drugs Airdrie, AB (Image: London Drugs)
He said another relocation of a store is taking place this year in Airdrie, Alberta, just north of Calgary.
“We have another store that’s yet to be announced that will be a net new location in one of our markets,” added Mahlman.
“It’s a very tough retail landscape at this moment and retail just gets tougher all the time with the intensity of the competition. One of the biggest issues facing all retailers right now, not unique to London Drugs, costs are rising faster than we can pass on prices that a customer’s willing to pay. Obviously these inflationary times are really, really challenging for retailers.
“The inflation comes from a number of different avenues. One of the avenues that’s not discussed a lot is the amount of government shift of cost to retailers. It can happen in a number of different ways . . . For retailers that are a very people-intensive business that has a particularly amplifying effect . . . Obviously all governments are struggling with the post-pandemic costs they incurred. So taxes, fees, anything that remotely looks like a government cost is going through the roof.
“This isn’t anything new. So as more and more costs increase and the cost of labour and the availability of labour have been going through, we embarked two years ago on a major initiative, what we call Galileo. And Galileo is to kind of rebuild the infrastructure of the company so we can be much more efficient, reduce our overall cost of operations through investment in technology and automation and artificial intelligence where it applies. And also through that provide better tools for our team to operate. At a high level, that’s been our focus. So our focus hasn’t been on opening a lot of stores, a little bit of renovations. Costs of renovations for the same reasons. We’ve noticed that municipalities throughout Canada have certainly increased their development costs, their building permit costs, the time to get permissions has really lengthened. So for those reasons we’ve slowed down on doing a lot of renovations and new stores because it’s becoming extremely costly.”
KaleMart24, the “Whole Foods Market” of convenience stores, has secured two leases to open its first two stores in September in Montreal.
KaleMart24 is being spearheaded by Oussama (Sam) Saoudi, who is the founder and CEO of Montreal-based Toro Beverages, which revolutionized the energy drink industry by introducing Canada’s first matcha-powered energy drink.
“KaleMart24 is breaking through the mold of c-stores being associated with junk food by offering healthier choices that cater to a mobile savvy younger generation. It is a natural convenience store chain that focuses on providing better-for-you products. It was founded in January 2023 with the vision of offering a convenient shopping experience for health-conscious millennials. The store combines the convenience of a traditional convenience store with the principles of a “Whole Foods Market”, catering to customers who prioritize healthy, natural, organic, and wholesome products,” said Saoudi.
“KaleMart24 offers a wide range of carefully curated products, including select fresh produce, natural and organic snacks, beverages, natural personal care items, pet care items and eco-friendly household products. The store emphasizes transparency and works closely with local and sustainable suppliers to ensure the highest quality standards. With a commitment to promoting healthier lifestyles, KaleMart24 will also provide resources and educational materials online to help customers make informed choices about their purchases.”
He said it was natural to launch KaleMart24 in Montreal because it is the company’s base and it’s a great city. Saoudi listed several reasons why the company is opening its first stores in the city:
1. Health-conscious population: Montreal has a population that values healthy living and embraces natural and organic products. There is a growing trend towards wellness and sustainability, making it an ideal market for a natural convenience store like KaleMart24. The city’s residents are likely to appreciate and support a store that caters to their health-conscious needs;
2. Diverse and multicultural city: Montreal is known for its cultural diversity, attracting residents from various backgrounds. This diversity brings with it a wide range of dietary preferences and health-conscious lifestyles. KaleMart24’s commitment to offering a diverse selection of better-for-you products would resonate with Montreal’s multicultural population;
3. Established local food scene: Montreal boasts a vibrant local food scene with numerous farmers’ markets, organic co-ops, and independent food producers. This creates opportunities for KaleMart24 to establish partnerships with local suppliers and showcase locally sourced products. The store can tap into the city’s existing network of sustainable agriculture and support the local economy;
4. Thriving urban lifestyle: Montreal is a bustling city with a strong urban lifestyle. Convenience is a key factor for individuals living busy lives, and KaleMart24’s concept of a natural convenience store aligns well with the needs of urban dwellers. By providing accessible, healthy options in convenient locations, KaleMart24 can cater to the demands of Montreal’s fast-paced lifestyle;
5. Supportive entrepreneurial ecosystem: Montreal has a thriving entrepreneurial ecosystem with resources, support networks, and incubators that foster the growth of innovative businesses. This ecosystem can provide valuable support and guidance to KaleMart24 during its launch and early stages of operation;
6. Tourist attraction: Montreal is a popular tourist destination, attracting visitors from around the world. By establishing a presence in the city, KaleMart24 can cater not only to local residents but also to health-conscious tourists seeking convenient and wholesome options during their stay; and
7. Environmental consciousness: Montreal places a strong emphasis on sustainability and environmental initiatives. KaleMart24’s commitment to responsible sourcing, eco-friendly products, and supporting local suppliers aligns with the city’s values and can help build a loyal customer base that appreciates these efforts.
“Considering these factors, launching KaleMart24 in Montreal presents an opportunity to tap into a health-conscious market, leverage the city’s diverse food scene, cater to the urban lifestyle, and align with the values and support of the local community,” said Saoudi.
He said KaleMart24 has signed leases to open its first two stores in September in the Berri-Uqam Metro Station and in the Jarry Metro Station.
“We aim to get to 30 stores by 2025 and to over 250 by 2030,” said Saoudi.
“We analyze the demographics of the area, including population size, income levels, and education levels. Look for locations with a significant population of health-conscious individuals who are likely to appreciate and patronize a natural convenience store. We assess the demand for better-for-you products in the area. Research local consumer preferences and trends, such as the popularity of organic or natural products. Look for areas with a growing interest in healthier lifestyles and a lack of convenient options for purchasing such products.
“We consider the accessibility of the location. Look for areas with high foot traffic, proximity to residential neighborhoods, office complexes, gyms, or universities. Easy access to public transportation facilities is also important to ensure convenience for customers. We evaluate the competitive landscape in the area. Identify existing convenience stores, grocery stores, or health food stores and assess their product offerings and customer base. Look for locations where there is limited direct competition or a gap in the market that KaleMart24 can fill.
“We consider the physical infrastructure of the location. Look for spaces that are suitable for a convenience store layout, with sufficient square footage for product displays, checkout counters, and storage. Also, ensure the availability of utilities, such as water, electricity, and internet connectivity.”
He said the concept of KaleMart24 resonates with consumers for several reasons.
In recent years, there has been a significant shift towards healthier lifestyles, with more individuals seeking natural and organic options KaleMart24 caters specifically to this growing segment of consumers who prioritize better-for-you products. By offering a wide variety of wholesome and nutritious options, the store addresses the increasing demand for healthier alternatives in the convenience store industry.
“Traditional convenience stores often lack healthy options, making it challenging for health-conscious individuals to find suitable products on-the-go. KaleMart24 bridges this gap by combining the convenience of a traditional convenience store with a focus on better-for-you products. This unique approach allows consumers to make healthier choices conveniently, even during busy schedules,” said Saoudi.
“Consumers today are more concerned about the sourcing and production processes behind the products they purchase. KaleMart24 places a strong emphasis on transparency, working closely with local and sustainable suppliers. This commitment to responsible sourcing resonates with consumers who value eco-friendly practices and want to support businesses that align with their values.”
He said KaleMart24 goes beyond just selling products. The online website will provide educational resources and materials to help customers make informed choices about their purchases. This commitment to customer education builds trust and loyalty among consumers, as they appreciate the opportunity to learn and make healthier decisions.
Overall, KaleMart24’s focus on providing better-for-you products, convenience, transparency, and education aligns with the evolving preferences and values of health-conscious consumers, making it a compelling concept in the market, he added.
Think Retail is working with KaleMart to grow the brand.
“The plan is to open several more locations in Montreal throughout 2023 and 2024, while looking to Toronto for further growth. The ideal store size ranges from 750 to 1,250 square feet in high-traffic areas with heavy pedestrian foot traffic, such as near Metro stations, train stations, airports, universities and high streets,” said Tony Flanz, CEO of Montreal-based Think Retail.
In recent years, the rapid advancement of Artificial Intelligence (AI) technologies has significantly transformed various industries, and the food industry is no exception. AI’s emergence in the retail and service sectors has brought forth a plethora of opportunities and challenges. As AI algorithms become increasingly sophisticated, they offer food companies the ability to gain valuable insights into consumer behaviour, predict preferences, and even anticipate changes in dietary choices.
One recent study by our Lab gauged the opinions, concerns, and expectations of Canadian consumers regarding the use of predictive analytics and AI within the food industry. By understanding consumer perceptions, we can already gain valuable insights into the ethical, privacy, and social implications associated with AI adoption.
In collaboration with Caddle, a cross-national survey was conducted last month, encompassing a substantial sample of 5,525 respondents. The first part of this survey was to gauge consumer awareness regarding the utilization of AI in various contexts, particularly within the food industry. Additionally, the survey aimed to explore consumer perspectives on the potential impact of AI on the job market, concerns related to privacy, and apprehensions surrounding the misuse of the food industry to harm populations. Results were interesting.
When asked if they are worried about the use of AI in either the grocery industry or food service, while 26.5% are worried about the potential negative impact on jobs, 21.8% are concerned about privacy. Only 16.3% believe it’s a good idea. When asked if they are willing to shop at a grocery store knowing the company uses AI, while 30.2% are comfortable with the concept, 50.2% don’t know how they feel about it. Many remain confused about AI.
When asked about the use of AI for personalized recommendations for groceries or restaurant menu items, 23.4% think it’s a good idea. Other Canadians either think it is not necessary (31.6%), are not sure how they feel about it (28.5%), or are worried about privacy (16.5%).
The survey also looked at whether Canadians think that AI could improve grocery shopping or restaurant experiences. A total of 47.7% believe AI can offer faster checkout times at the grocery store, and 28.5% believe AI can offer a more personalized experience. A total of 28.0% believe AI can provide better product or dish recommendations.
In response to the question, “Will the use of AI in the grocery industry or restaurant sector become more widespread in the future?” the survey revealed that 48.3% of Canadians hold the view that AI will indeed become more prevalent in these sectors. On the other hand, 36.8% expressed uncertainty about the future adoption of AI.
In the survey, participants were asked about their level of trust in companies to use AI ethically within the grocery industry or restaurant sector. The results indicate that 40.3% of respondents expressed a lack of trust in food companies’ ethical use of AI. Interestingly, this figure is nearly twice as high as the 21.9% of Canadians who share the same sentiment towards food companies’ utilization of AI at present.
One of the questions posed in the survey aimed to gauge respondents’ opinions on the potential risks associated with the increasing utilization of AI in the food industry. Specifically, participants were asked whether they believed this growing trend could result in food supplies being exploited as weapons, thereby endangering consumers. Out of the respondents, 27.0% expressed concerns regarding this possibility, while a notable 48.2% admitted to having no clear perspective on the matter.
In essence, most Canadians don’t know what to think of AI, but many fear it. Trust is the essential ingredient for a successful recipe in the food industry’s AI revolution. The report revealed a concerning disparity as the number of Canadians who don’t trust food companies with AI is nearly double those who do. Building trust through ethical practices and transparent use of AI will be vital to meet the evolving needs of consumers.
Retail Insider is streamlining its Canadian retail news from around the web to include a handful of top news stories that can be viewed quickly during the day. Here are the top stories from the past 24 hours.
Future COBS Bread at Front Street and Sherbourne in Toronto (Image: Dustin Fuhs)
COBS Bread bakery is celebrating its 20th anniversary and has plans to expand up to 350 stores within the next five years.
COBS Bread started in Australia as Baker’s Delight in 1980 as a small family business and expanded into Canada in 2003 with its first location in North Vancouver. 20 years later, COBS Bread has 160 locations in Canada and is aggressively growing.
“We are growing faster than ever before and we are excited to celebrate our 20th anniversary. It has been a great 20 years and we look forward to another 20 more in Canada. We will be celebrating by offering up a specialty birthday scone and there will be some other treats consumers can take advantage of during our 20th anniversary in July,” says Aaron Gillespie, President of COBS Bread.
Looking Back
Image: COBS Bread London Northwest
Gillespie says the most important lesson they have learned throughout the last 20 years is that it is all about the customer, having the right products, and finding the right franchisees. While the brand sticks to its traditional roots, Gillespie says they have learned to bring new items to the menu to meet consumer needs.
“In the early days, we did a lot of product development when we came to Canada. For example, at the start we didn’t sell cinnamon buns, but now they are our best-selling products. We have also since developed a range of very successful scones to meet the needs of the Canadian consumer and a range of other products. So, while we are still staying true to our brand values, it is really important to us to meet the needs of local tastes and meet what the people want,” says Gillespie.
Gillespie said at the start they tried to make COBS Bread a corporate owned model, but then realized it would not work well for them and instead invested into franchises who “live and run the community bakery,” Gillespie said.
Aaron Gillespie
“They are able to develop a team and deliver our great product, great customer service, give back to the community, and be connected to their community in a way that you know nobody else can. So, the level of experience that we want to deliver is best done by an invested partner, so that has to be one of the biggest lessons we have learned,” says Gillespie.
Gillespie said each franchise gives back to the community by donating products that don’t sell by the end of the day to charities or community organizations, through its End of Day Giving program. Gillespie said over 560 million dollars worth of products has been donated across Canada.
Consumers can find a variety of products at COBS Bread such as sandwich bread, artisan bread, fresh baked treats, savoury products, and more and can count on all products to be fresh and all products are baked fresh from scratch daily.
Aggressive Expansion Plans
COBS Bread Bakery at 171 E Liberty St (Image: Dustin Fuhs)
Currently, COBS Bread has 160 locations in Canada and is planning to add 200 stores within the next five years.
“There is no reason why we can’t. In Australia we have over 500 bakeries and Australia is a slightly smaller country than Canada and that is what we hope to do and think we can. So, we have mapped out up to 500 locations we would like to go, without including Quebec, and I think once we get to 350, we will feel we are starting to reach a good level of presence,” says Gillespie.
Elizabeth Cosulich
Elizabeth Cosulich, the Senior Real Estate Manager for COBS Bread, says the next location to open will be in Toronto at Front St E. and Sherbourne St., and will be the first downtown Toronto location.
“It is an exciting time for us to be in the bustling St. Lawrence Market District and the bakery will be open in the next month,” says Cosulich.
In addition to the downtown Toronto location, Cosulich said there will also be openings in Milton and Sault Ste. Marie in the next few weeks. Other locations that are in the works include Brooklin (Whitby) and Ottawa, Abbotsford, Calgary, and more in the Greater Toronto Area. Dates and locations are not confirmed.
Upcoming 2023 bakery openings include:
Canada
Highstreet (Abbotsford, BC) –End of June
Cambie & 8th – Vancouver, BC – Early Aug
Milton Mall, South Milton, ON – Mid June
Brooklin (Whitby), ON – End of July
Churchill Plaza (Sault Ste. Marie) – ON – August
Stafford Centre (Ottawa, ON) – late August
Brookdale Plaza (Peterborough, ON)
Yorkson (Langley, BC)
Bolton (Bolton, ON)
US
Compo Acres – CT
Merrick – NY
Oceanside – NY
Eastchester – NY
Greenvale – NY
Lake Grove – NY
Carle Place – NY
Plainview – NY
The next province COBS Bread would like to enter in would be New Brunswick.
“We would love to be in New Brunswick, we are already in Nova Scotia and New Brunswick would be the next place for us in the Maritimes. We would also love to expand more into Saskatchewan and Manitoba. We currently have two bakeries in Winnipeg and four bakeries across Saskatoon and Regina, so we would love to see more in those provinces,” says Gillespie.
Locations usually range from around 1,200 square feet to 1,500 square feet and Gillespie said they look for locations in neighbourhoods, supermarkets, and with independent retailers.
COBS Bread is also looking to expand further internationally. Currently, Gillespie said they have two locations already open in Connecticut, United States and the goal would be to open between 25 to 30 stores within the next three years and hopefully 300 locations within 10 years. Although Gillespie said they are currently focused on expanding more in Canada and in the United States, he would like to expand into other continents such as Asia, but there are no immediate plans.
Eco Dhalla, owner of the company, said the brand had a great, loyal downtown customer prior to COVID as it had five retail stores in southern Ontario at big shopping centres. But those were downsized to just one, at Vaughan Mills, during the pandemic.
“I suppose they want us back and we want to be back. We love the downtown, the excitement, the energy. It’s a great tourist spot. I think the core of the city is opening up a little bit more. Companies are coming back more,” said Dhalla.
Haight & Ashbury in CF Toronto Eaton Centre (Image: Dustin Fuhs)Haight & Ashbury in CF Toronto Eaton Centre (Image: Dustin Fuhs)
“I think commuting wise and office wise they are about 65 per cent back to traffic. I see in the next year to two years hopefully the banking sector and the larger companies will have all their employees back and not working at home so much. So it just made sense to go back downtown.
“We are also pursuing any pop up opportunities in the GTA. That’s where we’re based. We would love to get into Yorkdale and open a pop up there. We want to go back to Square One as well. Anything we can get exposed somehow, to get these opportunities we would jump on them right away. We’ve had great success with them.”
Haight & Ashbury in CF Toronto Eaton Centre (Image: Dustin Fuhs)Haight & Ashbury in CF Toronto Eaton Centre (Image: Dustin Fuhs)
The inception of the brand started in 2010 and it hit the market in 2012. It was more on a wholesale capacity and did a lot of trade shows in Canada and the U.S.
“It was a small collection that was a hobby that grew into probably one of the largest menswear collections I’ve done. It just keeps growing,” said Dhalla.
“Conceptually, my influence came from living in the UK. I grew up in England and the fashion sense started then but I also lived in California and worked for a company and had the opportunity to work in California and travel to San Francisco where I noticed (the) Haight-Ashbury (neighbourhood) when I lived there was just a cool place to hang out.
“Then eventually much later in my career I found out that the historical reference was a bit more meaningful to me where the United Nations was actually formed there. Things like that kind of resonated and stayed in my mind and in my heart. That whole make love not war movement forced the American government to more peaceful methods during that time in the late 60’s.
“Things like that hit a nerve emotionally for me. I enjoyed the peaceful sort of message that came and resonated out of Haight-Ashbury always. And that’s why when I came up with the logo it actually is a peace sign but it’s an H and A put together. It’s into a peace symbol which is really what these hippies of the late 60’s, early 70’s were always after. Sure they loved their marijuana and tattoos and whatever but the main message was really just to be peaceful. I just blended that with a name that I liked with a bit of fashion that I grew up in the UK studying. Haight & Ashbury was born.”
Haight & Ashbury in CF Toronto Eaton Centre (Image: Dustin Fuhs)Haight & Ashbury in CF Toronto Eaton Centre (Image: Dustin Fuhs)
Dhalla said one of the key ingredients of the company’s success is that it doesn’t sell complete suits. It sells blazers, pants and vests separately.
Most of the production is out of Turkey with a lot of Italian fabrication.
“Our target market would be 20 to 50, maybe even more. Fashionable guys,” added Dhalla. “Price point wise we’re positioned somewhere more in the middle than we are anywhere else. We’re definitely not low price point. We’re positioned somewhere in the middle.”
After establishing itself as a wholesale company, it moved into having five retail stores in southern Ontario at big shopping centres.
“Of course after COVID we downsized everything. We kept our Vaughan Mills location which is the flagship. It’s about 30,000 square feet and switched the entire model to pop up. We’ve been at Vaughan Mills for so long we started pop ups maybe seven years ago and never looked back,” said Dhalla. “We’ve just been doing pop ups everywhere and Vaughan Mills is the longest pop up we’ve done.”
Retail Insider’s Craig Patterson talks about his recent trip to see retail in Montreal. The conversation with Lee includes a discussion on what’s being seen downtown including vacancies on Ste-Catherine Street as well as the city’s amazing food halls. Craig also visited the Royalmount project which is set to open next year, and toured other areas including the city’s Gay Village.
The Weekly podcast by Retail Insider Canada is available on Apple Podcasts, Stitcher, TuneIn, Google Play, or through our dedicated RSS feed for Overcast and other podcast players. Also check out ourThe Interview Seriespodcast where Craig interviews guests from across the Canadian retail landscape as part of theThe Retail Insider Podcast Network.
Announcer 0:00 This is a Retail Insider PodCast. You’re listening to “The Weekly”.
Lee Rivett 0:08 Welcome to this week’s episode of “The Weekly” by Retail Insider. I’m Lee Rivett and I’m joined with the owner and publisher of Retail Insider Media, Craig Patterson, to discuss this week’s most read articles on retail-insider.com. So thanks for joining me, Craig!
Craig Patterson 0:22 Hello, everyone.
Lee Rivett 0:23 Now Craig and I were both traveling over the last couple of weeks. I was in third world countries without a lot of retail – so that’s not as relevant for this conversation. But Craig sashayed off to Montreal and was able to visit a number of retail locations there that we wanted to cover during this podcast. So Craig, where would you like to start?
Craig Patterson 0:41 Yes, yes. So hello, everyone. I had a great little trip to Montreal. I was there. I was there for a few days. And it was definitely mixed. I was really impressed with some of the stuff that I saw, I got to tour Ste. Catherine Street, I got to take a tour with executives from Carbonleo of the Royalmount project. And I got to look at a few neighborhoods in the area as well. So we can do a quick little run through some of the observations in Montreal, which was a wonderful time because the weather was great as well.
Lee Rivett 1:06 Perfect. Well, let’s start out with Ste. Catherine Street. And just for our listeners information, we do have a couple of photo tours of Ste. Catherine Street in Montreal about a year ago. So if you want a little bit of like photo reference, or maps of the area that we’re going to be talking about, I’ll include it in the show notes. But, Craig, tell us about where you stayed and what you thought posting Catherine Street?
Craig Patterson 1:27 Yeah, yeah, I stayed actually at a really interesting residence just near Holt Renfrew Ogilvy, which is on the west side of the main commercial strip of Ste. Catherine Street. So I got to walk up and down Ste. Catherine Street a few times (this would be Ste. Catherine Street West technically), one of those things actually off the bat that was a little bit concerning, whereas the number of retail vacancies on the street. I was got to do a bit of a tour with Maxine for shad, who’s wonderful Montreal correspondent with Retail Insider, he was pointing out some of the retailers that had shut down quite recently, including I think, an Aldo store that had shut down the day before we were going for that walk. So kind of a little bit concerning. I mean, this is obviously an opportunity for new retailers to be able to come into Ste. Catherine Street. But at the same time, I were called Eva Freed actually formally at the Montreal Gazette on social media also pointing out that there was a particular block nearby near the Holt Renfrew Ogilvy, which I think only had one business on it and the rest had shut down. So yeah, definitely, there’s going to need to be some new tenants put into various parts of Ste. Catherine Street. Part of the reason for that could be construction as it continues to progress along, there is a multi year upgrading of the street, which will include a new public realm. What we’re seeing so far is quite good in terms of the plans and what’s already been finished. But this is going to be disruptive to the street.
Lee Rivett 2:43 And there’s quite a bit of construction going on there. Is it going as expected or is there issues with the construction as well?
Craig Patterson 2:50 Construction isn’t quite as what was expected initially where they were going to have heated sidewalks and they were going to have garbage that would be sucked down into the ground, it would be done through technology. I guess the city for budget reasons ended up not making that full investment, which is I think, really too bad because this is the future of Montreal we’re dealing with here. But unfortunately, economics have to come into play and money isn’t unlimited.
Lee Rivett 3:13 Fair enough. And what about Peel Street? You went there too, right?
Craig Patterson 3:16 Yeah, I got to meet with the team from the Marine group. Wonderful people there. We were looking at Peel Street and what’s happening there. So they’ve got a retail space for lease which was most recently occupied by an American Eagle store.
Lee Rivett 3:27 When isn’t other things happening as far as activities on Peel Street as well?
Craig Patterson 3:31 Peel Street, it’s going to be great. The Grand Prix is coming in a few weeks and that’s going to be shut down. They’re already starting to set up for things. So really, Peel Street becomes a place that sits quite vibrant jewelry store, Mejuri, recently opened on Peel Street, which is encouraging. It’s across from the Harry Rosen store. And I believe I was talking to Sheldon Mintzberg of Marine Group who was explaining how eventually the there’s some construction that’s going to be happening on Peel Street and a bit of a boulevard put in in terms of trees and upgraded landscaping. It sounds like it’s going to be quite lovely. So I’m excited for the public realm. I really do think Montreal does a better job than Toronto with its public realm. And same thing with Vancouver is does a better job overall. Peel Street is coming to its own as well.
Lee Rivett 4:15 Awesome. And I think you went to a couple of food halls as well if I’m not mistaken.
Craig Patterson 4:20 I had an opportunity with Maxime to check out some food halls. We went to the “Time Out” food hall which is located at the Montreal Eaton Center. It had techno music playing it was really busy and vibrant. Lots of people were there. We had some really great food. I had this Portuguese chicken caesar salad and he had some Portuguese chicken poutine anyways, it was terrific. I forget the name of the place we went to. But we also got to check out (I was full at that point. I couldn’t eat any more) the food experience at Place Ville Marie, which also had a like a big almost techno party happening because it was a Thursday night and this is something that happens weekly, I guess at least when the weather is better. So that was quite neat to see also the C2 conference was on so there’s lots of people in Montreal this week. And we checked out the food hall called Le Central which is a bit more authentic. The stalls are not quite as uniform I guess you would say is that the other two food halls but it’s restaurants from the city that have set up and anyways, I everything just looked fabulous. I really enjoyed the vibrancy of downtown Montreal in its food halls.
Lee Rivett 5:20 Sounds yummy. Is there any other updates from the luxury retailer perspective that you had as well?
Craig Patterson 5:26 So closer to Holt Renfrew Ogilvy. I checked out some of the retail there Rue de la Montagne has is become a bit of an upscale Street. It’s got a Chateau d’Ivoire jewelry store. Construction is almost finished it was as was a new build. It looks almost like an ivory house or palace wherever you want to call it which will be the translation into English. I didn’t go inside but it looks like a very lovely store. It’s the it’s one of the most prestigious jewelry retailers in Canada. I think I noticed some stores like All Saints had closed on the stretch. Montblanc, the expensive pens and jewelry is still there. Tiffany has a store at the Ritz hotel right at the corner of mountain and Sherbrooke Street. Now my understanding is that Tiffany will be closing right around the time into next year when the royal mount project opens because royal mount has confirmed about a 5000 square foot Tiffany store and I wrote about that a few months ago. So it’s looking like there won’t really have a will any luxury retail actually on Sherbrooke street eventually, when that Tiffany store closes and also in the Ritz. There was a pop up for Christian Louboutin shoe store, which is interesting because there’s also a Christian Louboutin down at Holt Renfrew Ogilvy. There separate shops for men and women on the respective men and men’s and women’s floors within that store, but nevertheless, the Ritz is is quite a prestigious address in Montreal and on Sherbrooke street. So you know, we’ve got some prestige there and then I took a little walk around Sherbrooke Street in the 1980s and even into the 1990s there were luxury retailers on the south side of that street. And most of them are gone. Unfortunately the the former Cartier store that was in Montreal in the 80s the stairs have been destroyed in front of it it was this bowed facade kind of curved facade with this marble, almost like a little jewel box but over the years there’s been really no retail tenants there and the building has fallen into disrepair and it was quite sad to see the stairs broken and chopped down into nothing because last time I’d had to look up there and 2019 the stairs were intact but I remember they were cracked and I have some photos of it as well. So you know wear and tear during the pandemic or whenever that situation took place.
Lee Rivett 7:46 So sorry to hear about like history disappearing there. But did you get into any of the department stores while you’re there as well?
Craig Patterson 7:53 Had a chance to go further down Ste. Catherine Street and check out Lamaze on Simon’s I bought lots of stuff there. I gotta tell you the selection of things like shorts, T shirts and tank tops and that are quite fashionable and underwear for men (I’m just speaking for menswear) is tremendous. At Simon’s the store itself could use a renovation, I would say it’s just not up to the standard – of in terms of the interior – of the newer stores that you would see such as you know, Park Royal and West Vancouver, downtown Calgary, Londonderry and Edmonton. You know, those stories are a little more architecturally interesting because they’re newer and they were designed by amazing architects and built by great builders. So at some point, I’m sure that downtown Montreal store hopefully we’ll be getting a few updates just to make it a bit more dramatic. Because, again, the store is actually great in terms of its product. It’s just, you know, it doesn’t quite look the same as the other ones, but I can’t fault Simon’s at the same time, it’s an expensive thing to do for renovation. The store is probably among the top three in the chain. If not maybe the top one in sales. I’m not sure I don’t have insight into that recently.
La Maison Simons, 977 Saint-Catherine St W, Montreal (Image: Dustin Fuhs)
Lee Rivett 8:53 It is great that Simon’s busy there. But for Ste. Catharines generally, is it busy or is it more of a ghost town like some of the other retail streets have turned into unfortunately after COVID?
Craig Patterson 9:05 Ste. Catherine Street generally was really busy. The weather was beautiful one day this there on I think Sunday it was 30 degrees but just packed with people It felt busier than Toronto actually. So that shocked me. I went to the Montreal Eaton center. Quite a few vacancies on the upper level there but at some point there’ll be built in as well. So it’s the center was redeveloped and emerged into one larger shopping center. And there’ll be a big Nike store opening there. Uniqlo opened a couple of years ago its biggest store in Canada and Browns has a B2 store in there which is absolutely gorgeous. To Decathalon is in there. There’s a Lululemon pop up store in there which I don’t think a sticking around for at least it’s probably closing next year but so yeah, very, very interesting tour of the Eaton center as well.
Lee Rivett 9:57 When I know that with Hudson Bay, it had downsize a little bit. Did you have a chance to go take a look at how the new right size downsized Hudson Bay looks at this point?
Craig Patterson 10:06 What is that 685 Just by my memory says Ste. Catherine Street West. It’s about a 655,000 square foot department store. Eventually, the plans are anyways to put an office tower at the back of it and redevelop and maintain the heritage facade but to build about a 300,000 square foot Hudson’s Bay store whether it’s currently 655,000 and adding in a big terrace on the roof anyways, it’s this big redevelopment that we’ve reported on Retail Insider. So I had an opportunity with Maxine, we snuck upstairs to some of the shuttered floors. So we were at level six and seven, we got to see an old restaurant and an old buffet and the kitchen and an old furniture floor. And it was neat just to wander around and check out these areas of Hudson’s Bay which had shut, it’s really kind of disheartening to see a big flagship store like this, which ones had a really big restaurant in it, I’d never been up there before. It must have been, I don’t know, 20,000 square feet or more like this huge food experience. And that was actually what we remember from those department stores back in the day when they were really a place for people to come into a draw. And clearly this Hudson’s Bay store, which had been a Morgans store before that until I think 1972 was an experiential store. So it was interesting to see some of the history and what the store looked like in the past, recognizing that department stores in North America have definitely lost their way including Hudson’s Bay, and are no longer those same experiences in terms of food and beverage that they were before. So I got to really enjoy seeing that if anyone wants to look at my Instagram, I’ve got a section of Instagram archive stories that includes one on Montreal, and I take a tour in there. So have a peek if you are so inclined, because the public is not allowed up there. So you’re not gonna be able to see it yourself unless you have a friend who is able to get up there for you. So check it out there.
Lee Rivett 11:56 Well, let’s hop into Royalmount because I know that was a very exciting project for you. We reported on it in the past, we can have that in our show notes as well. But to refresh my memory were in Montreal is Royalmont?
Craig Patterson 12:10 Kind of in the middle of Montreal Island, technically, the land is Town of Mount Royal, this is going to be a really exciting project, I think it’s scheduled to open around August of 2024. So a bit over a year from now, you know all things working out with construction. So cross fingers, because I really want to go to this opening. I’m so excited, I had to look at some of the more tenants that are becoming and I’m not going to announce them publicly out of respect for Carbonleo, the landlord or this building it. But there’s more confirmed tenants in there. But the ones we can talk about because it’s been reported and announced is the new Rinnai Beauty Hall. I think I pronounced that right, hopefully, really interesting beauty experience that’s going to be brought in there but about 36,000 square feet. I don’t think there’s anything like it in a shopping center in North America currently. So that I found to be quite interesting. They are bringing in an aquarium, the freeing in all kinds of restaurants, food and beverage where you’re big and small, there’s going to be a food hall. Lots of outdoor patio opportunities they’re going to have in this outdoor plaza. Then the indoor area of royal mount, say where the luxury retailers are and other retailers area is going to have these massively dramatic glass ceilings, which I think are really exciting. So it’s just going to look beautiful. I’m very, very excited. I cannot wait to see this project when it is done. It is one of the most exciting retail projects, I think in Canadian history. And yeah, he also Best of luck to everyone at Carbonleo. Anyone doing construction everyone there? People doing leasing? I cannot wait to see this to be done. And the impact on downtown, of course, could be a little bit profound. I mean, we’ve talked about this before, I don’t have to go into details. But in terms of the high end retailers we’re seeing at Royalmount, I think there could be a bit of an impact downtown Montreal. And specifically, I think Holt Renfrew Ogilvy, because some of the luxury tenants that I saw on the floor plan, and some that haven’t already been announced are also at Holt Renfrew Ogilvy. So there’ll be a bit of a battle of the downtown versus Royalmount, kind of like what we see with Bloor-Yorkville and Yorkdale in Toronto, so I’ll leave it at that. But I’m just so excited for this Royalmount project after my tour, I gotta say thank you to Michael and the team there for taking me around. And it was definitely one of the highlights of my trip, as well as the spring so far.
Lee Rivett 14:22 To round out the podcast here, can you talk a little bit about your neighborhood retail that you were able to kind of wander through and see? We talked about the mega projects and neighborhoods but what about the small neighborhood ones?
Craig Patterson 14:34 Montreal is such a wonderful city. It’s got these high density neighborhoods with these, you know, triplex or kind of apartment buildings, but they all have these entrances. Sometimes they have these winding stairs. I climbed up some of these staircases and Dear God, they can be precarious, so I’m surprised we don’t hear more deaths. Perhaps people falling down the stairs. I’m sure it happens. But the commercial around these neighborhoods is just terrific. There’s lots of local retailers. Again, Montreal just has this wonderful urban experience that you don’t really see in Western Canada, I find in the cities because because there are newer and see these older eastern cities, I think just have this amazing urban fabric that you don’t see in the West. And I just love it, I had a chance to I stayed with a friend for the last two days near the Gay Village in Montreal, and which is it’s probably maybe the best one in North America. Honestly, I can’t say I haven’t been to all of them. But I’ve traveled around over the years. But it’s got to be close to being the best. It’s quite long. Lots of interesting businesses and restaurants. But also there’s an issue with homelessness and drug use, which is quite unfortunate. And part of that is because social services have been moved to the neighborhood. I think that could include a safe injection site, I was speaking to some people, but my french isn’t the best and no accents. But definitely social services are partly being blamed for that. And I can even say I live in Bloor Yorkville in Toronto. And we’ve got a respite center and another things and that’s led to an increase in crime in the area. And, and I say that as someone quite knowledgeable with this, I used to work at Covenant House and I know Covenant House definitely had an impact on the crime rate in the areas in Vancouver where the shelters are. So it is what it is. And I’ll call it out and stand by what I say because that is the situation and that is unfortunate for the village there is that this this could pose a bit of a longer term problem for the area just given the vagrancy that we’re seeing in the area around drug use and you know, other issues that we have with mental illness which unfortunately is part of our society so but nevertheless it’s still an incredible place to visit for those that are so inclined check out the Montreal Gay Village and pride should be coming up I don’t actually know when it is but it’s it’s all in the summer as it is with every city pretty much so and that’s pretty much what I’ll do to wrap up my little tour of Montreal. I absolutely loved it. I can’t wait to go back.
Lee Rivett 16:43 Nice. Thank you for just going through your trip. It wasn’t necessarily an article that was very popular, but we wanted to highlight it for this podcast. So thanks Craig for chatting going through it with me and hopefully chat with you next week.
Craig Patterson 16:55 Thank you so much everyone for listening here today. And thank you Lee for chatting. Take care and bye for now.
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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.
