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.
Upscale French fragrance and candle brand Diptyque is building its first standalone store at Toronto’s Yorkdale Shopping Centre that will open within a few months. It’s part of a direct-to-consumer expansion for the brand which for years has been available in upscale multi-brand retailers.
The Yorkdale Diptyque storefront will be in the mall’s new ‘luxury wing’ anchored by Louis Vuitton to the north and Furla and Nespresso at its south-end. Diptyque will join other nearby beauty brands including Aesop and a large Sephora store.
More Canadian Diptyque locations are expected to open with Jeff Berkowitz of Aurora Realty Consultants negotiating leases on behalf of the retailer. Ideal Diptyque retail spaces could be in malls and on streets with mall locations ideally being in the 600-700 square foot range while street front stores may occupy as much as 1,000 square feet.
Diptyque was founded in 1961 by interior designer Christiane Gautrot, theatre set designer Yves Coueslant, and Desmond Knox-Leet, a painter. The brand, which sells fragrances, candles & home, skincare, and home decor, has stores globally as well as distribution in upscale retailers.
Photo: SpaceNK
Candles are typically priced in the $50-$100 range depending on size, with some more expensive ones approaching $500. Diptyque fragrances are typically well over $100 and a room spray was priced at $92 on a Canadian retailer’s website.
In the United States, Diptyque has more than 20 stores in major markets with a mix of street and mall stores in upscale locations. Some stores are on luxury streets while others are located a bit off the beaten path in trendy places close to affluent population areas.
The Diptyque brand was introduced to Canada via wholesale channels, with retailers such as Holt Renfrew, Nordstrom, and Saks Fifth Avenue carrying the brand in Canadian stores. The multi-brand retailers are expected to retain distribution despite the direct-to-consumer brick-and-mortar expansion.
We’ll follow up on this story when the Yorkdale store opens.
Of the many changes and forced evolutions that have been precipitated by impacts of the COVID-19 global pandemic, the digitization of the world around will certainly be recognized as one of the most significant. It’s changed the way people everywhere consume and share information and the methods by which we communicate and engage with one another. Through the retail lens, it’s served to transform consumer preferences concerning the ways they interact and shop with their favourite brands, leading to a recent and thoroughly documented explosion in ecommerce sales for merchants across the country. In short, the digitization of the industry, which continues unabated, has gone a long way toward altering and expanding the retail ecosystem, challenging retailers’ capacity to deliver the service and experience that customers are increasingly expecting. In fact, according to Katie Swett, eCommerce Product Lead at Square, it’s an evolution that’s prompting merchants throughout the industry to reassess the traditional retail model and adapt in order to provide the Canadian consumer with the options they seek.
“The COVID-19 global pandemic has really changed the way retail functions,” says Swett. “It shifted consumer behaviour, accelerating their adoption of online channels, providing many who were relatively unfamiliar with ecommerce with a crash course, flattening the technological learning curve as they discovered the capabilities, ease and convenience of online retail. It’s changed their perception of the shopping journey, increasing their expectations concerning flexibility with respect to the way they pay for purchases as well as the ways in which their orders are fulfilled. It’s forcing many retailers to examine and assess how they service their customers, adapting in ways they may not have previously been accustomed to, developing new fulfillment methods like local delivery and introducing flexible payment options like ‘buy now, pay later’ in order to meet those increasing needs. These developments are allowing retailers everywhere to blur the in-person and online worlds into a singular and digitally-enabled experience. Two-day shipping is great. But two-hour pickup might be even better.”
Digitally-induced trends
Swett goes on to explain that, along with retailers’ need to develop and deliver a seamless omnichannel experience, which includes options like purchasing online and picking up in-store, ordering online for home delivery and curbside pickup, there are a number of other digital trends that have been brought about by the pandemic. She says that with greater flexibility and options comes increased adoption of new modes and channels and a deeper exploration by the consumer of the options available to them. As a result, and perhaps a by-product of the current digital revolution, people are beginning to increasingly leverage their mobile phones as a means to make purchases at checkout. It’s a trend that’s been developing for some time, recognizes Swett, but one that she believes is approaching a tipping point within the industry.
“One of the biggest shifts in purchasing preferences that we’ve experienced over the past couple of years is the Canadian consumers’ willingness to use their phones for contactless payments,” she asserts. “In fact, many customers are no longer carrying a physical wallet with the assumption that they can use their digital wallet to complete a transaction. It’s leading retailers to place an even greater emphasis on providing their customers with a seamless mobile phone experience in order to help them drive online sales. Merchants are much more aware of the fact that online ordering is supported by a great mobile phone experience that integrates and blends seamlessly into the overall shopping experience that they offer their consumers. Going forward, it’s going to be critical for retailers across the country to ensure that they develop a mobile-driven approach to commerce in order to meet this growing consumer preference.”
Photo: Square
Owning retail success
As a consequence of enhanced online sales and the plethora of opportunities presented to retailers online, Swett says that it’s important for those entering into the vastness of ecommerce to own their success. It might seem easy to some to simply put product online with the help of a third-party marketplace provider. Afterall, there are numerous examples and case studies detailing the growth and success that many retailers have experienced by virtue of doing so. However, Swett warns that, despite these instances, there is a lot that merchants are giving up when they make the decision to sell through these channels.
“It’s incredibly important today, in light of the digital opportunities available to those operating within the industry, for merchants to own their own success through ownership of their own direct digital order channels,” she says. “Similar to what happened in the airline and hospitality industry years ago, retailers are quickly recognizing this. Owning their own channels through which they sell to their customers provides them with much better control of their margins and greater control and associated opportunities related to the ways in which they market their businesses. But, most importantly, by owning their own selling channels, they own their relationships with customers, allowing them to better understand their needs and build a strong connection to the brand.”
Seamless reordering
Another trend that’s on the rise, according to Swett, is the rapid development of loyalty programs, rewards and offers by retailers in efforts to capture repeat engagement with consumers. Driven by a combination of increased competition for the consumer’s spend and an expanding retail ecosystem that offers an ever-increasing number of ways by which consumers can find the product they’re looking for, retailers are increasingly looking to loyalty programs and rewards as a way to differentiate their brands. And, although Swett recognizes this fact, she says that offering the consumer a seamless reordering experience is critical in supporting the objective of these marketing efforts.
“Many businesses understand that acquiring new customers is exponentially more difficult and expensive than engaging with existing customers,” she says. “As a result, many merchants have decided to direct a lot of their resources and efforts toward ensuring a seamless reordering experience, making repeat purchases as easy and convenient as possible. It’s essential for any merchant who puts in the time, effort and resources to develop these loyalty programs and incentives to support them with a digital purchasing experience that brings them back in conjunction with great rewards and offers.”
Realizing full retail potential
To help merchants operating across the country compete in an increasingly digitized world, Square – one of North America’s leading financial services and digital payments providers – offers a range of software and hardware solutions that enable clients to turn their operations into profitable online businesses. Swett acknowledges how intimidating a foray into the online world might seem to many small- and medium-sized merchants and understands the hesitance in investing time and resources into a complex venture with a plethora of moving parts. However, she explains that it’s with this understanding in mind that drives Square and the work that it does on behalf of clients, helping them achieve the full potential of their businesses.
“There are many challenges related to managing a merchants’ online business. However, the two challenges that we focus on helping them solve for is in lowering the associated costs as well as filling in the knowledge gap with respect to ecommerce and digital channels. Cost has historically been very prohibitive for merchants who are just getting started with low margins. At Square, we are committed to lowering that barrier, offering merchants a free Square Online option. With this product, they pay only when they make a sale and can get up and running fast. With respect to knowledge, much of our effort is focused on reducing this barrier by not only developing and setting up these online experiences, but by also helping merchants identify the opportunities that are available to them. There is so much potential available to small- and medium-sized businesses as a result of the digital transformation that we’re experiencing. We want to help them realize it in full.”
For information concerning the ways Square and its suite of commerce solutions can help your business optimize opportunities for success and growth in an increasingly digitized world, visit https://squareup.com/ca/en
*Retail Insider partnered with Square for this content.
Vince Guzzo Video Interview: The Current State of His Businesses and Predictions of Mass Retail Closures in Canada
Vince Guzzo, a well-known Canadian entrepreneur and judge on the Dragons’ Den TV show, discusses the economic pain entrepreneurs have faced during the pandemic and what they need to do to survive. He starts off discussing challenges with his own businesses including theatres, consumer goods and real estate and then predicts that many businesses will close in Canada this year and discusses how interest rate increases will further affect both businesses and consumers.
The Video Interview Series by Retail Insider is available on YouTube.
Connect with Mario Toneguzzi, a veteran of the media industry for more than 40 years and named in 2021 a Top Ten Business Journalist in the world and the only Canadian – to learn how you can tell your story, share your message and amplify it to a wide audience. He is Senior National Business Journalist with Retail Insider and owner of Mario Toneguzzi Communications Inc. and can be reached at mdtoneguzzi@gmail.com
Also check out the other series offered by Retail Insider, including The Weekly podcast and The Interview Series, which are both available on Apple Podcasts, Stitcher, TuneIn, Google Podcasts, or through our dedicated RSS feed for Simplecast and other podcast players.
RioCan Real Estate Investment Trust announced that Harden will assume third-party property management for the REIT’s 18 Quebec retail properties.
Harden is a second generation, family-owned real estate company whose primary focus is owning and operating commercial, residential, and industrial properties in many communities throughout Quebec and Ontario.
RioCan said the partnership strengthens RioCan’s regional position, leveraging Harden’s local expertise and full suite of property management capabilities tailored for the market, including leasing, development, construction, and administration services.
Harden x Riocan
Jonathan Gitlin
“With a common focus on performance, customer-centrism, and cultural excellence, we are confident that Harden is perfectly positioned to manage our retail portfolio in the Quebec region,” said Jonathan Gitlin, President and CEO of RioCan. “RioCan’s Quebec properties have proven resilient through the pandemic and there are significant growth opportunities embedded in the portfolio. Harden’s long-established and in-depth understanding of the local real estate landscape will further support growth and extract value from our presence in this market.”
Tyler Harden, co-CEO of Harden with his brother Chris, said the company will work closely with RioCan to provide their tenants with exceptional service and well-maintained properties that it and their customers will be proud of.
Tyler Harden
“We are confident the Harden team has the expertise and talent to execute our strategy of enhancing the experience and value of the portfolio. We will accomplish this by curating a synergistic mix of uses, providing a high-quality retail experience and eco-responsible environment, and investing in the communities we serve,” he said.
RioCan and Harden said they have an established relationship, with each owning a 50 per cent interest in Les Galeries Lachine in Montreal, where Harden is responsible for the management, leasing, and redevelopment of the property. Recently, RioCan agreed to sell a 50 per cent interest in the Trust’s Mega Centre Notre-Dame property to Harden for $34.5 million. The transaction closed on March 30th.
Mega Centre Notre-Dame (Image: RioCan)
“We also knew it was something we could help them out with the rest of their portfolio. We had certain conversations over the last couple of years and ultimately they made a decision they would like for us to be the ones that work within their portfolio in Quebec as partners in certain instances and in this particular case basically as property managers as well as taking care of the leasing, the construction and the development or redevelopment of their properties. So that’s our role.
“So for us we’re really excited to be able to partner with RioCan or expanding on our current partnership that we have had with them for the last couple of years. What does this does for Harden it allows us to continue to scale our business, comprised of quality retail portfolio in Quebec and give ourselves development opportunities within the portfolio to lean on the services that we offer, namely development, leasing, construction and our management platform, to be able to extract maximum value for obviously the partnership but most importantly putting together a program where the retailers are living obviously in that portfolio as well other services that we are going to be adding are able to do so proudly and confidently and not have issues from a day to day perspective, or very little. That’s essentially our role within this partnership.”
Harden said the relationship with RioCan is also adding a lot of square footage to its development pipeline which is positive and productive for the company. The 18 retail properties in Quebec comprise just over 2.55 million square feet.
RioCan Greenfield (Image: RioCan)
As of December 31, 2021, RioCan’s portfolio included 207 properties with an aggregate net leasable area of approximately 36.4 million square feet (at RioCan’s interest) including office, residential rental and 13 development properties.
Harden, who’s head office is located in Vaudreuil-Dorion, Quebec, currently owns and operates over five million square feet of net leasable area of commercial space. It has several projects under development – two million square feet of net leasable area of industrial, 500, 000 square feet of net leasable area of commercial, and over 2,000 residential units.
Tyler Harden said the company’s roots began in 1949, where his grandparents founded a jewellery store named Harden’s Jewellers, located in Hawkesbury, Ontario; a small town on the border of Quebec and Ontario. In 1975, William Harden (Tyler’s father) joined the family business and expanded it to a total of 7 stores; along with his brothers, Reg and Brent.
Harden was founded by Tyler and Chris’ father, William, in 1985. Over the following years William had developed several commercial properties in Ontario and Quebec, mostly retail shopping centers. Chris and Tyler joined the business in 2006 and 2008, respectively, and worked very closely under their fathers’ guidance and mentorship until this past January where they were appointed Co-CEOs.
“We were confident that Harden was the right partner to help them unlock the value embedded within their Quebec portfolio. We had certain conversations over the last couple of years and ultimately RioCan made the decision to expand our current relationship and in this particular case become asset managers that are responsible of the management, leasing, construction, development and redevelopment of their properties.”
Centre St-Martin (Image: RioCan)
“We’re very excited to be able to partner with RioCan and expand on our current partnership that we had formed in 2019. This partnership allows Harden to continue to scale our business, comprised of quality retail properties and give ourselves further development opportunities within the portfolio.”
Harden and RioCan agreement applies to the following properties :
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.
Frank And Oak Co-Founder Ethan Song Discusses What He’s Doing After Exiting the Retailer
Craig and Ethan Song discuss Ethan’s new NFT venture that he launched following his exit from Frank And Oak, as well as his analysis of the future of retail post-pandemic.
The Interview Series 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 our The Weekly podcast where Craig and Lee discuss popular content published on Retail Insider which is part of the The Retail Insider Podcast Network.
Interviewed this episode:
Ethan Song – Chief Executive Officer at RareCircles
Drop us a line at Craig@Retail-Insider.com. You can also rate us in Apple Podcasts or recommend us in Overcast to help more people discover the show!
Background Music Credit: Hard Boiled Kevin MacLeod (incompetech.com). Licensed under Creative Commons: By Attribution 3.0 License. http://creativecommons.org/licenses/by/3.0/
Walmart Canada will be opening a new state-of-the-art, 140,000-square-foot Supercentre with sustainable features, including a 125,000-square-foot green roof, in Marché Central, one of Canada’s top performing power centres and Montreal’s premier value shopping destination.
The store will open in the summer of 2023.
Walmart will be located in the shopping centre’s sixth retail phase on 30 acres of adjacent land which QuadReal Property Group has slated for development.
Andy Clydesdale
The shopping centre has five phases with a retail mix of 60 tenants in an open, large format with 16 campus-style buildings equalling a gross leasable area of over one million square feet.
“We are thrilled to be adding Walmart Canada to our retail offering at Marché Central, especially a partner who shares QuadReal’s commitment to environmental responsibility through waste reduction, waste management and green roofs,” said Andy Clydesdale, Executive Vice President, QuadReal Property Group. “Our goal with Marché Central’s Phase 6 expansion is to strengthen the value-oriented offering, enhance tenant synergies and solidify Marché Central’s dominant position in both Montreal and Canada. Walmart is central to that retail strategy.”
Marché Central has a strong roster of national tenants such as Costco, Réno-Depot, TJX brands and Staples.
Marché Central (Image: QuadReal)Marché Central (Image: QuadReal)
Jay Camacho
“This Walmart addition is not only huge for us as we embark on our Phase 6 expansion, it, along with Costco on the other end, anchors the entire 100 acre project. We are very focused on adding to Marché Central’s already strong service and value-oriented tenant mix and we want to do that with partners who share our thinking as it relates to sustainability initiatives, green space, etc,” said Jay Camacho, Senior Vice President, Retail, QuadReal Property Group.
“From a food and beverage perspective, Giulietta Pizzeria, which offers homemade pasta and Neopolitan-style wood-fire oven pizzas and Zyara, which specializes in Lebanese and Mediterranean gastronomy are both recent additions to the Marché Central family. From a fashion perspective, we added a 6,600-square-foot American Eagle Outlet and a 7,500-square-foot Under Armour to our mix. Last, but not least, we welcomed Canada Computers at 10,000 square feet to our venue.
“As we expand our project, we are working on prioritizing active transportation on the site through safe and continuous pedestrian courses as well as, through the addition of a cycling network. Additionally, as we evolve the property, we are also very focused on creating an atmosphere that’s conducive to longer dwell time. Last, but not least, we are very fixated on creating a sense of place at Marché Central so stay tuned as we continue to activate our Public Square with our various programming initiatives. Coming up in May we have a great event to celebrate Spring complete with floral vendors, family craft workshops and more.”
Marché Central (Rendering: QuadReal)
Marché Central (Rendering: QuadReal)
Marché Central (Rendering: QuadReal)
Despite the pandemic, Camacho said Marché Central is literally a billboard for when the fundamentals are right, everything works like clockwork. It remained at 98 per cent occupancy throughout the pandemic which it attributes to a great retail mix as well as, location, location, location.
“When it comes to convenience, accessibility and visibility, this site is really second to none,” he said.
“Leasing for Phase 6 is well underway so expect more news to follow in the very near future.”
Marché Central (Image: QuadReal)Marché Central (Image: QuadReal)
Walmart said it will be hiring about 300 people to work at the Marché Central location and is investing approximately $20 million in the project.
Cyrille Ballereau
“Montreal is an extremely important market for us and we’re incredibly excited to be growing in Quebec and offering even more shopping options for our customers,” said Cyrille Ballereau, Walmart Canada Regional Vice President for Quebec. “We are always listening to our customers and this investment shows we’re committed to providing the best service possible at our everyday low prices. More Quebecers are choosing to shop with us online via curbside pickup and this unique store design will allow our associates to better serve busy families to save them time and money.
“We’re also implementing several sustainability features because Walmart’s goal is to make as light a footprint on the planet as we can. We can’t wait to open this store next year as we continue to grow in Quebec.”
The retailer has 71 stores in Quebec and more than 14,500 associates across the province.
The Marché Central Walmart will include:
A natural refrigerant for store refrigeration with a transcritical CO2 system;
LED lighting with advanced lighting controls throughout the store, backroom and offices;
Ultra-low flow lavatories, urinals and water closets;
Recycled content within building materials and low VOC finishes.
Image: Walmart Canada in Quebec
Walmart Canada’s sustainability plans for the store will complement those of QuadReal Property Group’s for the shopping venue which include:
Implementation of rain gardens within the parking area to manage water on-site (bio-retention);
Revegetation of the site for the reduction of heat island effect (bio-diversity);
Prioritization of active travel methods via safe and continuous pedestrian courses as well as the implementation of a cycling network (active mobility); and
Integration of additional electric vehicle charging stations.
ReturnBear at CF Toronto Eaton Centre (Image: Dustin Fuhs)
Canada’s first end-to-end returns solution, ReturnBear, is expanding its national footprint in premier Cadillac Fairview malls in Ontario, Quebec, Alberta, British Columbia and Manitoba.
Sylvia Ng
“The growth of e-commerce has spotlighted one of online retail’s biggest problems: returns. More online shopping means more online returns. Returns are costly for merchants and a hassle for customers, and up until now there has been no streamlined process to make this easier for Canadians,” said Sylvia Ng, CEO of ReturnBear. “We are on a mission to make retail returns easy and accessible for everyone. We are proud to expand ReturnBear and provide a cross-country solution for Canadian retailers and shoppers alike.”
ReturnBear, which is backed by Cadillac Fairview and the Ontario Teachers’ Pension Plan, was established in October of last year.
“We’re an end- to-end returns solution with a focus on Canadian retailers. What we’re trying to do with ReturnBear is to make returns honestly just really easy for the consumer and efficient for the retailer and then obviously through those two things make it better for the planet because it’s a huge environmental problem,” said Ng.
Image: ReturnBear
Canadians can now find ReturnBear in the following CF locations:
Ontario
● CF Toronto Eaton Centre
● CF Fairview Mall
● CF Sherway Gardens
● CF Fairview Park
Quebec
● CF Carrefour Laval
● CF Promenade St Bruno
Alberta
● CF Chinook Centre
British Columbia
● CF Pacific Centre
● CF Richmond Centre
Manitoba
● CF Polo Park
CF Fairview Mall (Image: Dustin Fuhs)
Ng said ReturnBear has convenient new package-free drop off locations, enhanced product offerings, and new merchant partners. Its SaaS solution has been updated to include a merchant admin app to manage return operations, analytics to monitor return trends, a consumer experience designed to make self-serve returns quick and convenient, and a tablet application for ReturnBear kiosk staff to efficiently accept returns and process exchanges, refunds or store credit.
The expansion comes in tandem with ReturnBear adding new retailers to its merchant-base, including Mint Green Group (home to household brands like K-Swiss), Franc, California Cowboy and Numi, said the company.
Jose Ribau
“When we announced our partnership with ReturnBear last year, we knew Canadians would respond positively to the unique, multi-retailer return offering,” said JoseRibau, Executive Vice President, Digital and Innovation at Cadillac Fairview. “We recognize shoppers’ pain points when it comes to online returns and are prioritizing convenience through national expansion across our CF properties, as well as support for retailers by reducing reverse logistics costs and operational challenges when it comes to returns. It’s a win-win for everyone.”
Ng said Canada is a large and geographically dispersed country, making shipping costs very high. The national expansion of ReturnBear is in locations that are close and convenient to consumers.
“It’s almost like you and I in our daily commutes would almost pass by one of these Cadillac Fairview malls and in that case it’s easy to return something as part of your daily commute. With those savings we are helping the environment as well as helping the retailers take those goods back in a more efficient way,” she said.
The first two ReturnBear locations started in Toronto.
ReturnBear said it simplifies the end-to-end return experience by streamlining the process for retailers, providing a one-stop solution where shoppers can drop off their returns without printing labels, repacking their products, or having to wait in line at a post office. ReturnBear’s software is integrated into the merchant’s website, providing a self-serve experience for customers to initiate returns and exchanges, and choose the drop-off or mail-in option for their return that is most convenient to them.
Merchants that use ReturnBear can offer a self-serve return and exchange experience to their retail customers, providing an automated return process that is consistent with existing in-store and e-commerce practices, and the convenience of packaging-free drop-off options. ReturnBear’s hands-on item quality control, repacking, and batch shipping ensure that products get back into forward supply faster – saving brands money, and reducing the risk of product waste. With features that include store credit bonuses, the ability to create custom return rules, and analytics that help retailers identify patterns and opportunities for improvements, ReturnBear removes manual intervention from merchants’ online returns operations, and helps them bring more convenient experiences to their customers.
Image: ReturnBear
“We basically offer retailers two main things. The software components to handle returns and exchanges and the logistical component of handling returns and exchanges,” said Ng.
“On the software side, what we provide a retailer is a few things. One is a consumer-facing application for the consumer to actually do self-serve returns. We also offer a software application for the retailer to manage all those returns . . . There’s also reporting and analytics for them to optimize all of their entire system.
“There’s actually a third app that we give them for their retail locations to be scanning the returns in and hook into our system that way.
“On the logistical side, we help the retailer . . . when the consumer drops off their item into the mall, we take it and we do the processing on the retailer’s behalf. We will check to see if it’s in a resellable condition. If it is, we will re-pack it, see if there’s any refurbishing required, and pack it back into the condition they need to be to be sold immediately. So by the time it gets back to their warehouse or into their brick and mortar location it is completely ready to sell. And we are able to do that a lot faster than most retailers are able to do it themselves.”
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.
