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Cadillac Fairview Partners to Launch Design Incubator at CF Toronto Eaton Centre [Interviews/Photos]

By
Mario Toneguzzi
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DESIGNwith at CF Toronto Eaton Centre (Image: Katya Koroscil/DESIGNwith)

Shopping centre owner Cadillac Fairview has partnered with DESIGNwith and OCAD University to launch a new design incubator at the CF Toronto Eaton Centre, bringing together a diverse range of designers, students and community members.

Jason Anderson

The incubator will serve as a dedicated learning lab to explore the circular economy for creating lasting, social good, said Cadillac Fairview. 

“We’re proud to open the DESIGNwith studio alongside our passionate partners, showcasing the powerful social impact we can achieve together,” said Jason Anderson, Senior Vice President, Brand & Marketing, Cadillac Fairview. “This is a first-of-its kind experience for Cadillac Fairview and as long-standing city builders, we’re excited that one of our largest retail properties in the world can purposely serve our community as the common ground for thoughtful design, research and knowledge sharing.”

DESIGNwith at CF Toronto Eaton Centre (Image: Katya Koroscil/DESIGNwith)
DESIGNwith at CF Toronto Eaton Centre (Image: Dustin Fuhs)

Caleigh Silmser, Senior Brand Manager for Cadillac Fairview, said when the idea came to CF of creating this design incubator space the company was so excited to partner with OCAD on the project. 

Caleigh Silmser

“This is such an important thing for CF in being able to deliver our purpose in transforming communities for a vibrant tomorrow,” she said. “And it further helps us deliver on our focus of sustainability and creating a circular economy which is the focus of the space. It really is a perfect match to be able to bring up an industry with academia and the community together in such a vibrant property like CF Toronto Eaton Centre.”

Ranee Lee

“As an OCAD University instructor, it’s always a delight to see my students get out into the community and do work for the social good,” said Ranee Lee, founder of DESIGNwith. “The DESIGNwith studio is also an opportunity to level the playing field for learning and design, which are often inaccessible for many within our own city. We’re grateful to Cadillac Fairview for opening up this significant community space to us, as it is truly only by approaching community differently that we can expect to achieve different results.

“The space at Cadillac Fairview really allows us to have an actual physical space to democratize learning and teaching and sort of taking that learning and teaching from my perspective, as associate professor at OCAD University. So taking that, I come out of the ivory tower of university and into a place with community through a mall. And so together we’ve built this space in order to have a hub for OCAD students, designers, residencies and also community members to learn and work together through different workshops and exhibitions.”

DESIGNwith at CF Toronto Eaton Centre (Image: Katya Koroscil/DESIGNwith)

Ana Serrano, OCAD University’s President and Vice-Chancellor, said the university is thrilled to extend its collaboration with Cadillac Fairview following the success of last year’s CF Art Corridor Project on Yonge Street, located above CF Toronto Eaton Centre, which made public art more accessible to the community.

“With this new initiative, we’re excited to create a place where the public can learn more about the impact design has on everyday items through hands-on learning and workshops.”

Ana Serrano

The incubator is located on Level 2 between the Dundas Street station entrance and Canadian Tire and the studio will function daily as an incubator space for OCAD University students, a student resident, designers and community members who will use the space to research, learn, and share their exploration of the circular economy through classes, research and hands-on design. 

“The reason we chose that particular location really comes down to classic leasing. It was available and it hadn’t been leased out by anyone yet and it actually was a vacant space that was formerly used for storage,” said Silmser. “So we thought, why not create this beautiful, dynamic community space in a place that was previously unoccupied. That’s why we chose that location. And it actually works out really well because it’s a high traffic zone . . .  and there will be students and faculty coming through the Toronto Metropolitan University. So lots of people will be able to pass by and see and be inspired by the space.”

When asked if the concept could be replicated in other CF properties, Silmser said: “Right now this is a unique partnership between DESIGNwith and the Toronto Eaton Centre . . . It is the perfect middle point between DESIGNwith and OCAD University. There’s no immediate plans to expand this project to other properties but we’re always exploring new ways to innovate and if this is a success we will absolutely look at ways to integrate the learnings from this into our other CF locations. We’re pretty excited. There’s nothing else like this in the market right now. It feels like an opportunity for CF to be a thought leader and really innovate in this space.”

Throughout the year, DESIGNwith will open to the public for ticketed events, starting with a sneaker-making workshop, a circular design student exhibition and natural-dyeing classes.

“The vision for creating a space that minimizes ecological impact also helped influence its design. The 635-square-foot studio was built with 40 per cent repurposed materials thanks to the thoughtful design from partners Design Workshop Architects. These elements were salvaged from other CF locations and previously used store fixtures, including the front doors and windows as well as the track lighting inside,” said Cadillac Fairview.

DESIGNwith at CF Toronto Eaton Centre featuring mural by Daria Joyce (Image: Dustin Fuhs)
DESIGNwith at CF Toronto Eaton Centre (Image: Dustin Fuhs)

“Among the makers and designers who are part of the DESIGNwith studio are Katya Koroscil, DESIGNwith intern, and Ernesto Ramirez, a furniture design intern from Durango, Mexico; both students are in their third year of industrial design at OCAD University. Both students co-designed a furniture collection for use in the incubator space with Industrial Design Professor Ranee Lee and Lee Fletcher, the founding partner at Fig40 and principal at Fletcher Scott Studio. The studio furniture pieces are designed with sustainability, flexibility and affordance in mind, and are made with easy-to-use dimensional lumber and readily available fasteners. This achieves the goal of sharing designs that are producible for anyone, by anyone.

“Also joining the space is DESIGNwith’s student resident, Deanna Badi – an industrial designer with a focus on environmental sustainability. Badi is working on grant-funded research to produce a biodegradable, water-repellent solution for natural fibre outerwear jackets she designs and sews herself.”

The company said one of the first workshops to be hosted at the DESIGNwith studio will be led by footwear designer Nelson Silva, who has more than 20 years of professional experience in the field and focuses on sustainability and innovation in footwear. His five-week sneaker workshop will use upcycled fabrics for shoe-making, as part of DESIGNwith’s goal of democratizing design and knowledge through teaching and making. These workshops are open to the public, but half of the seats will be offered to marginalized community members and students ensuring equity and inclusion, said Cadillac Fairview.

Federal Government ‘Is the Consumer’s Worst Enemy’ as Food Prices Rise in Canada [Op-Ed]

By
Sylvain Charlebois
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Loblaws at Maple Leaf Gardens in Toronto (Image: Dustin Fuhs)

It wasn’t a good week if you’re a consumer on a tight budget and that group includes most of us. Consumers are under attack right now, literally.

We’ve just learned that Canada’s food inflation rate was at a record 9.7%, in May. Everyone is noticing higher food prices, and no section of the grocery store is immune to what is going on right now. What is hitting Canada is a global phenomenon and food prices are not going to come down anytime soon. The world will see a shortfall in commodity production this fall which could push prices even higher worldwide. Supply chain issues, coupled with a new inflationary cycle triggered by the Ukrainian conflict are impacting the food industry’s ability to fill shelves. The shift is so incredibly sharp, many vendors can’t agree with grocers on pricing, pushing them to put their business on hold, as we saw with Frito Lay and Loblaws earlier this year. There are many stop-sells out there.

The macroeconomic picture is one thing. But some policies in Canada are just making things worse. The Canadian Dairy Commission (CDC), a crown corporation, believed a second milk price increase was necessary for dairy farmers. Earlier this week, we learned that milk prices on the farm will rise again by 2.5%, after a record increase of 8.4% in February. The increase this winter was so severe that most dairy alternatives are now either priced the same as milk or lower. This time, Dairy Farmers of Canada, one of the most powerful lobby groups in the country, requested another mid-year increase due to “exceptional circumstances,” without telling us where the data is coming from.

To add insult to injury, the Commission’s decision to raise milk prices was made by a federal public body operating for several months without its full complement on the board. The board only has two members – two – and both are in dairy farming. Conflicts of interest in the dairy sector are rampant at the Commission, in politics or even in academia. Many scholars in Canadian universities are not just researchers but essentially advocates for their funding agencies representing the dairy industry. The power and influence of dairy boards are beyond belief. If only Canadians realized. The fact that both Dairy Farmers of Canada and the Canadian Dairy Commission are one is deeply disturbing. Canadian consumers need to be heard.

More Canadians would empathize with dairy farmers who face higher costs of production, if only the Commission would share more data. The lack of disclosure is very much about asking Canadians to support an inefficient dairy sector, more than properly compensating farmers. But now, by fall, this newly announced increase will price the dairy section at the grocery store out of the market and we stand to lose many more dairy farms. 

Ottawa is also coming forward with new labelling rules for saturated fats, sodium, and sugar. Health Canada’s front-of-package-labelling was long overdue as it will make our food healthier. But the new policy is also aiming at a key single-ingredient product many Canadians enjoy: ground meat. Ground beef and pork are some of the most affordable sources of animal protein we have right now. Based on what is being presented, only extra lean ground meats are exempt from the new labelling. If this goes ahead as planned, grocers will cease to carry more affordable ground meat, making the meat counter even more expensive. It’s just ridiculous.

Ottawa is the consumer’s worse enemy right now. It needs to think through some of these ill-timed policies which will make food even more expensive. Minister Freeland’s so-called anti-inflation plan presented last week won’t do much for Canadians at the grocery store. Many were hoping for tax breaks, anything to ease our fiscal burden, as many countries have done so in recent months. But Freeland opted to make a ‘microwave’ announcement, basically ‘reheating’ programs that are already in place, just like clapping with one hand, if you will.

Recently, the NATO Secretary General claimed the war in Ukraine could last years. However regrettable this assessment may be, this is what Ottawa needs to focus on for the foreseeable future. Farmers need help with inputs to prepare for fall, winter, and next spring. Ottawa should also become one of the world’s most influential trade advocates and prevent other countries from hoarding food. More nationalistic protectionism can only make things worse.  

Warehouse Workers at The Bay Go on Strike: Interviews

By
Mario Toneguzzi
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E-commerce warehouse workers picket at The Bay Fulfillment centre. (CNW Group/Unifor)

More than 330 e-commerce warehouse workers at HBC Logistics (The Bay) are on strike with the union saying negotiations broke down suddenly after the company refused to offer an increase in compensation for the past year, when workers continued to provide services without a contract during the pandemic.

“These workers stepped up to help The Bay cope with a surge in online shopping during COVID-19, even postponing bargaining when their collective agreement expired in May, 2021,” said Unifor Ontario Regional Director Naureen Rizvi, in a statement. “Now it appears Canada’s flagship retailer is cynically exploiting the goodwill of its employees to cheat workers out of the pay increase they should and would have received.”

“This is a company that received assistance from taxpayers by accessing the Canada Emergency Wage Subsidy (CEWS) during COVID but is now choosing to take advantage of the people who actually worked through the pandemic,” said Dwayne Gunness, Vice-President of Unifor Local 40.  

The warehouse workers process online orders from across the country at the HBC Logistics location in Scarborough, Ontario.

HBC Logistics in Scarborough (Image: Google Streetview)

The union said HBC Logistics has only offered pay increases on a go-forward basis only, refusing to acknowledge the retroactive period worked since May 2021.  

Unifor is Canada’s largest union in the private sector and represents 315,000 workers in every major area of the economy. 

“The Bay is committed to the collective bargaining process and hopes to continue its discussions in good faith,” shared a spokesperson for The Bay. “We have made fair, reasonable and competitive offers which included meaningful wage increases for associates. While we are disappointed the Union has taken this action, we are hopeful that a resolution can be reached quickly. In the meantime, there is absolutely no disruption expected to customer orders.

“The Bay appreciates the hard work of its associates, particularly those who worked through the height of the pandemic when a wage premium was provided. Accordingly, the company has now offered meaningful wage increases far in excess of what associates at the Scarborough Logistics Centre have received in the past. The union’s characterization of the bargaining process and the time leading up to it is simply inaccurate.”

“Having sat on the side of business in union negotiations we don’t know the full financial story of the Bay, not anymore as they are no longer a publicly traded company,” said George Minakakis, CEO, Inception Retail Group, and author of The New Bricks & Mortar: Future Proofing Retail. “I have always questioned their ability as a brand to remain relevant in the midst of a great deal of competitors globally.  However, employee relations with a brand should go beyond unions and be focused on customers. 

George Minakakis

“Both the union and The Bay need to sit down and have an earnest discussion about the future of retail and what increases in wages mean to the longevity of the brand and the impact on consumers. In addition I have learned over the years that union activity for pay or even unionizing retail like it’s happening at Starbucks and recently at an Apple store in Baltimore, these are signs of employee relations not being effective. No pay will resolve this issue. Besides, The Bay is not Amazon and the business economics are different.  

“Employees deserve to be paid a fair wage but if it is to the detriment of a business everyone loses. Finally, we are entering a period of economic uncertainty. Everyone on all sides needs to be mindful of the future.”

Image: HBC Logistics Scarborough

Following the split of HBC between stores and e-commerce, this action would appear to impact online services provided by The Bay, said Gary Newbury, a retail supply chain and last mile expert and Rethink Retail’s Top 100 Retail Influencer in 2021 & 2022 | CITT’s Innovator Award 2020.

Gary Newbury

“Fortunately for the disaggregated group, my understanding is many online sales are still fielded by local stores so there is a (costly) workaround for the retailer to mitigate such action to cover sales from the Scarborough fulfillment centre,” he said.

“As we know HBC’s only revenue during the provincial lockdowns was via online operations, and it appears HBC relied on the goodwill of staff to extend working practices beyond the expired collective agreement. I am not aware of any “hero pay” that was paid to these specific workers, which may have rubbed salt into the wound if there had been.

Image: HBC

“Nonetheless, increasing discontent with treatment of essential workers (warehouse, transportation and stores staff) post pandemic, as we “return to normal” will likely see increasing localized action. As we continue to see record levels of employment and open jobs, HBC needs to think clearly about how to handle this situation, as there remain plenty of open vacancies for good paying warehouse roles across the GTA.”

David Ian Gray

David Ian Gray, of Vancouver-based Canadian retail advisory DIG360 Consulting Ltd., said: “It no doubt would like to sell its products to this same group and other workers. It’s a bad look for The Bay, particularly with the optic of taxpayer funded wage subsidies. 

“It also is in a competitive hunt for workers across both Divisions.

“Broadly speaking, one wonders if COVID days of higher pay for warehouse workers is about to recede in favour of store associate wages.”

Walmart Launching 30-Minute Grocery Delivery in Greater Toronto Area

By
Mario Toneguzzi
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Image: Walmart Canada

Retail giant Walmart is piloting a 30-minute delivery service in the Greater Toronto Area.

Depending on whether the drivers are to be using cars for deliveries, or the deliveries will be small enough for motorcycles, it’s a big move. This is a project that’s going to reach more than 40% of GTA households, so a motorcycle accident lawyer may be worth having on retainer just in case.

The project is powered by Instacart and facilitated directly through existing Walmart stores and reaching more than 40 per cent of GTA households.

The project is powered by Instacart and facilitated directly through existing Walmart stores and reaching more than 40 per cent of GTA households.

“Launching Walmart Now, our new Canadian convenience offering featuring our quickest delivery speeds, is proof that Walmart Canada is here to drive change in the eCommerce space,” said Laurent Duray, Chief eCommerce Officer, Walmart Canada, in a statement. 

Laurent Duray

“We’re nimble, we’re determined and we’re here to change the way Canadians shop online with Walmart. Piloting 30-minute delivery is a milestone in our roadmap to making it faster, easier and more convenient than ever to shop with us.”

“We’re proud to grow our relationship with Walmart Canada to launch Walmart Now  – a streamlined way for Canadian customers to access the groceries and goods they need from Walmart in as fast as 30-minutes,” added Chris Rogers, Vice President of Retail at Instacart.

Chris Rogers

“Customers today expect convenience and quick delivery paired with broad selection. We know these components are fundamental as retailers seek to build the best online grocery experience for their customers. By collaborating with leading retailers like Walmart and providing Instacart Platform solutions that are purpose-built for grocery, we’re making it easier for retailers to get customers exactly what they need, when they need it.”

Nearly 4,000 of Walmart’s most-shopped items will be available to customers through Walmart Now, picked and delivered from 10 existing Walmart locations. Instacart uses Carrot Storefront, part of the Instacart Platform suite of enterprise-grade technology solutions, to enable Walmart Now.

Instacart, a leading grocery technology company in North America, works with grocers and retailers to transform how people shop. The company partners with more than 800 national, regional, and local retail brands to facilitate online shopping, delivery and pickup services from more than 70,000 stores across more than 5,500 cities in North America on the Instacart Marketplace. 

INSTACART SHOPPER SELECTING GROCERIES FOR A CLIENT AT WALMART PHOTO: INSTACART VIA WALMART

“Piloting in the Greater Toronto Area, the Walmart Now service provides customers with the opportunity to shop from Walmart’s wide assortment of fresh groceries, pantry and household essentials like pet, baby and personal care items, snacks and more with delivery in as fast as 30 minutes. It’s the latest example of how Walmart is unlocking its stores’ capabilities and leveraging its existing footprint to enhance its omnichannel experience for customers and provide more choice,” said the retailer.

Walmart Canada operates a chain of more than 400 stores nationwide serving 1.5 million customers each day. Walmart Canada’s flagship online store, Walmart.ca, is visited by more than 1.5 million customers daily.

The company said the Walmart Now service is the latest way it is investing to make its omnichannel experience the best in Canada, including:

  • Unlocking its store assortment to make more than 65,000 items, including apparel basics, toys, personal care and house cleaning essentials, available through online grocery pickup;
  • Enabling customers to pick up their orders faster than ever before through Express Pickup and Mobile Check-In, available nationally;
  • Establishing 2-Hour Delivery across Canada in select markets, with same-day and next-day delivery available across the country, reaching 85 per cent of Canadian households; and 
  • Repurposing existing space in stores to enhance its online grocery option, like integrating new state-of-the-art technology in its Scarborough West store to help associates pick orders six times faster than a traditional sales floor.

Automated Pizza Oven Concept ‘PizzaForno’ Plans to Launch Thousands of Locations in North America [Interview]

By
Mario Toneguzzi
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PizzaForno HQ on King Street (Image: Dustin Fuhs)

The innovative automated pizza oven concept, PizzaForno, continues to build on its brand with 54 current locations and plans to grow to thousands of locations across North America.

The artisanal pizza is made fresh to order in three minutes and can be accessible 24/7.

Les Tomlin, co-founder and president of PizzaForno, said the company currently has 52 locations, primarily in Ontario, with many in the cottage corridor. It also has a partnership with foodservice company Aramark, which it launched in March 2020, for locations in institutional settings such as university campuses.

“Our goal is to get to 20,000 locations by 2026 and a lot of that will be driven by our continued growth in Canada post-COVID and we also launched in the US (recently). We had launched in Michigan as a trial market a year ago and now we’ve launched Houston and New Orleans. Three each and they’re on their way to 15 each by this fall. We’ve also signed San Diego. That will be launching this fall with a commitment for 50 units over the next 18 months.

PizzaForno (Ottawa – Clarence)
PizzaForno HQ on King Street (Image: Dustin Fuhs)

“We were building our business during COVID and everyone was working remotely. We never really had a head office. We only had five employees pre-COVID and now we’re 18. So we kept saying we need a downtown office. I live very close to that 225 King East location and kept walking by it and saying what a great space that was probably sitting vacant for a year pre-COVID,” said Tomlin, adding the idea was to take over the space for its corporate office for employees. 

Les Tomlin

“But we wanted to turn that great patio space into the world’s first 24/7 pizza patio. So we did that. We built the patio with tables and umbrellas. It is as far as we know the only 24/7 pizza patio in Canada where you can go get pizza any time of the day and sit down and enjoy it on a patio in the heart of downtown Toronto.”

The company was founded in 2018 by Tomlin and William Moyer.

In 2020, PizzaForno was honoured with the Restaurants Canada 2020 Innovation Award. 

“The technology around PizzaForno has actually been around in France for the better part of 15 plus years believe it or not. There’s over 2,000 operating locations, not under our brand, with the technology throughout France and some in Spain. We saw the technology there and immediately had this great idea that with a brand attached to it, this technology could have the ability to disrupt the pizza business in North America,” said Tomlin.

PizzaForno at University of Toronto – Scarborough (Image: Pizzaforno)

“It just solves so many restaurateur issues with respect to expensive real estate, with respect to labour, with respect to speed and convenience. So we had the idea. Came back to Canada and started working on the formulations for the recipes themselves for the pizzas that would appeal to a North American market. It took about eight months doing some R&D on that with a culinary team from France and we launched our first beta test unit in downtown Toronto to get all the tech systems ironed out and we had our first initial launch at our flagship store at the time which was 1235 Bay Street in Yorkville.”

In early June, PizzaForno appointed Travis Edmonson, former Vice President of Franchise Development at Mr. Gatti’s Pizza and former Vice President of Franchise Sales & Development at Marco’s Pizza, as Chief Development Officer.

Having worked with a variety of pizza brands, including Simple Simon’s Pizza, Cheezies Pizza, Marco’s Pizza, and Mr. Gatti’s Pizza, he has a proven track record of success at devising strategies in the industry. In addition, he’s worked with Pollo Campero, Gigi’s Cupcake Franchise, and ExecuFran, LLC, said the company.

PizzaForno Pembroke (Image: PizzaForno)

“We’ve built up our senior leadership team because we know we’re headed across the entire US in a short amount of time and needed the right support to take us there,” said Tomlin. “As we continue to break into major US markets, we know that Travis’s background in franchise development will turn our easy-to-scale business model into the next fastest growing pizza brand.”

“We have something the pizza industry has never seen before, as we have the units, technology and support in place to make PizzaForno a household name,” said Edmonson. “We know this small square footage required pizzeria can fit perfectly in high-traffic areas all around cities, vacation spots, universities, hospitals and more.”

PizzaForno projects to open a minimum of 50 units in the US by year end.

Video Interview: CultivatR Creates Unique Online Farmer’s Market

By
Mario Toneguzzi
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Dan Berezan, Founder, CultivatR, discusses the unique concept of an online farmer’s market.

Berezan talks about what the company does, how it came to be, its growth during the pandemic, why consumers like this idea, its reach and plans for the future.

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.

Interviewed this episode:

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Canadian Retail News From Around The Web For June 23rd, 2022

By
Retail Insider
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Canadian Retail News From Around The Web

News at a Glance

Retail Insider is streamlining its Canadian retail news from around the web to include a handful of top news stories that can be viewed quickly during the day. Here are the top stories from the past 24 hours.

Gap-Owned Athleta Announces 5 More Canadian Stores to Open in 2022 [Interview]

By
Mario Toneguzzi
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Athleta Mapleview Centre (Image: Christine Lim)

Athleta, part of San Francisco-based Gap Inc., is expanding into Canada with five new stores to open this year.

Recently, a location at Mapleview Centre, in Burlington, Ontario, opened in 4,260 square feet of space and it is the performance-lifestyle store’s third company-operated Canadian location.

Last year, Athleta expanded into Canada with the launch of e-commerce in August, followed by the opening of its first company-operated stores outside of the U.S. in September at Park Royal Shopping Centre in West Vancouver, and in November at Yorkdale Shopping Centre in Toronto.

Athleta said it will open four additional stores this year at CF Chinook Centre, Calgary; CF Sherway Gardens, Etobicoke; West Edmonton Mall, Edmonton; and 1035 Robson Street, Vancouver.

Athleta Mapleview Centre (Image: Christine Lim)

“The addition of five new stores this year is an extension of our entry strategy and launch success. Athleta’s Canadian business is a key contributor to long-term growth, and we believe our store fleet growth strategy will get us there as we see Canadians return to in-store shopping,” said Jenelle Sheridan, VP and GM Athleta Canada.

Jenelle Sheridan

“We have learned a lot about the Canadian customer since launch – including where our online demand is coming from as well as what she is most interested in from our brand. We’ve leveraged these insights, combined with the 30+ years of experience our sister brands (Old Navy, Gap, Banana Republic) have operating in the Canadian market, to help inform our location selection for these five new stores in Ontario, Alberta, and British Columbia.”

She said the four additional stores will open this Fall in Canada.

“We’re committed to growing our Canada business, including opening additional new stores in the market in 2023. We have a plan to expand our brand steadily throughout the country from coast to coast,” added Sheridan.

Athleta Mapleview Centre (Image: Christine Lim)

“We identified a strong product market fit for our brand in Canada – our differentiated product offering (both performance and performance lifestyle), inclusive range of sizing, commitment to sustainability – we are B Corp certified – and our focus on empowering women and girls really resonates with the Canadian consumer.  We saw a whitespace in the market that we could fill.”

Sheridan described Athleta as a purpose-driven brand with a powerful mission to empower women and girls to realize their limitless potential. Athleta stores highlight the brand’s versatile, on-trend performance lifestyle products as well as serve as a hub for community.

“Designed for women, by women, Athleta was built on the premise that what unites active women and girls is stronger than any obstacles in their way, and sport and fitness create confidence, courage and powerful bonds,” explained Sheridan, adding that women and girls of all ages are the retailer’s target customer and the company has versatile performance-lifestyle product for every aspect of her life. 

Athleta Mapleview Centre (Image: Christine Lim)

“Our performance lifestyle product is unlike anything else in the market.  We are offering beautiful, technical, conscious apparel for all aspects of her busy daily life – from the gym or trail, to running errands; from the office, to a night out.

“At the beginning and during the pandemic our customer was gravitating towards our studio and recover product styles – think products like tights, joggers. However, we have seen a real shift as she has started getting back out into her daily life and starting to travel. She is looking for versatile product that makes her feel polished but comfortable. This is why our performance lifestyle product is so unique – it provides the versatility she is looking for, with the comfort and functionality she doesn’t want to lose.”

Athleta was founded in 1998.

Athleta stores highlight the brand’s versatile, on-trend performance lifestyle products for women and girls.  The stores feature inclusive sizing in more than 200 styles ranging from XXS-2X, in-store styling appointments, free alterations, and wellness-focused community events.

Athleta on Robson Street (Image: JLL)

The company said its Canadian entry has made a strong first impression with consumers. In the first quarter of this year, the brand’s new customer acquisition goal exceeded expectations by over 40 per cent as brand awareness continued to rise with a combination of new product offerings, localized marketing and events with the launch of Alicia Keys and Simone Biles collections, and partnership with the Toronto Six Women’s professional hockey team. 

Athleta became a certified B Corp in 2018, joining more than 230 certified B Corp businesses operating in Canada. Today, 70 per cent of Athleta products are made with at least 30 per cent more sustainable materials like recycled polyester, recycled nylon, organic cotton, Tencel or Fair Trade.

Athleta apparel is available at its over 230 company-operated stores across the United States and Canada, through its catalog, and at Athleta.com.

Online Retailers in Canada Facing Barriers to Entry Amid Growing eComm Competition: Expert Interview

By
Sean Tarry
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It’s almost passe now to discuss the “shift” in consumer behaviour and preferences with respect to the recent movement of purchases away from brick-and-mortar locations toward online channels. It’s behaviour that, once precipitated by impacts of COVID-19, became set and is not likely to revert back to pre-pandemic norms. As a result, many businesses across the country and, indeed, the world are placing greater focus and emphasis on investments to enhance their digital ecosystems in order to capitalize on the current online boon. They are investments that are very much intended to facilitate and generate further revenue for organizations as they expand the channels by which their customers can purchase their goods. However, as David Nagy, digital pioneer and Founder of eCommerce Canada, points out, simply putting product online doesn’t guarantee success and growth. In fact, he suggests that in order to reap the rewards currently available in the omnichannel world, retailers must first determine their capacity to succeed.

“There’s no question that a ton of opportunity has recently opened up online for Canadian retailers,” he says. “But those who think that they just need to replicate their in-store inventory on their website or a third-party marketplace to increase their sales are approaching their digital transformation from the completely wrong angle. Extending a retailers’ presence online means leveraging channels and opportunities to build community and perpetuate their message. It’s about reaching a likeminded audience that they never would have had the chance to communicate and interact with. And, this audience, for every retailer, exists in every country throughout the world. Digital has proven to be the most effective, efficient and low cost means by which to broadcast the brand and its message. It represents growth of engagement and impressions in the market and the ways in which you’re being shared by people. Pragmatically speaking, however, because businesses are judged by the revenue they bring in, success online is ultimately evaluated by increases in sales. And, there are a few things that every successful online business has in common.”

Creating critical differentiation

In fact, as Nagy explains, there are three distinct qualities or attributes displayed by retailers that not only succeed online but, in some cases, realize opportunities to expand their businesses significantly, at a global scale. The first of these three attributes, rooted in a brand’s uniqueness, should provide initial indication to any organization whether or not pursuing real growth online is worth their time, effort and the financial investment that will be necessary in order to build out and enhance their digital ecosystem.

“One of the most dramatic and obvious impacts of the pandemic, not just from a retail point-of-view, has been the accelerated digitization of everything around us,” he asserts. “It’s changed the way we communicate and share information. And, at the onset of the pandemic, there was a lot of opportunity for those who could get past the technical hurdles and get their products online. However, the market has become flooded with competition since then with commoditization happening in just about every vertical. As a result, there’s a lot of digital noise out there at the moment, which correlates to increases in costs related to acquiring new customers and effort required to get the attention of the digital consumer. Today, in order to cut through the noise and preserve any chance at all of achieving success online, retailers have got to create or highlight differentiation between themselves and their competitors. This is most effectively done through the way in which they tell the story of their brand and their ethos – what their organization believes in. If executed genuinely and effectively, a strong brand message will inevitably create white space for retailers looking to stand themselves apart from others in the market.”

Barrier to entry

Another consequence of the recent spike in ecommerce activity among Canadian consumers, despite the number of online competitors out there, is the bounty of opportunities that have popped up, somewhat arbitrarily, for drop-shippers on third-party marketplaces. Nagy recognizes that it’s a fantastic way to move inventory and capitalize on the moment. However, many of these instances are rarified, driven by hot trends, that are not sustainable with respect to generating and growing success over the long term. In order for a brand to equip itself with a sustainable approach to online sales, their product, in addition to their message and brand positioning, must also possess qualities of differentiation and uniqueness.

“We’ve seen too many times before the scenario in which someone sells a product that’s being driven by a fad,” he muses. “Initially, it sells really well and the person or brand selling it thinks that they’re going to make a million bucks. But, usually sooner rather than later, a competitor or competitors enter the market with more of that product at a cheaper price and the opportunity evaporates. The online ecosystem is very smart and unbelievably predatory. So, in order for brands to distance themselves from this trap and any potential competitors, they’ve got to ensure that there’s clear differentiation around their product, like the acquisition of significant intellectual property or mastery over an aspect of the supply chain. What this does is make it extremely difficult, preferably impossible, for anyone else to easily and cost-effectively enter the market with the same or similar product. It inhibits others from replicating what the leading brand is doing, preventing them from catching up to them.”

Market expansion

In addition to establishing adequate uniqueness and differentiation within the brand and its product, two critical components of a successful ecommerce business, retailers will want to assess their ability to grow in the digital space. It isn’t often enough to do well regionally online, explains Nagy, adding that the very nature of the digital landscape and ecommerce business is all about scale. In order to understand whether or not a business has scalability within the online world, he says, the brand has to analyze and, if possible, remove any hurdles that might be in its way.

“If there are inhibitors or restraints to expanding a retailers’ market, then it may be more challenging for them to find success online,” he says. “Profitability online is dependent on the ability to scale. If things like shipping, packaging and talent acquisition prohibit a retailer from growing their market and operation, then they may not possess enough scalability on the internet. Selling to other provinces, countries or people of different languages might also be an issue. In addition, there are, at times, marketing agreements with distributors and suppliers that may also prohibit growth outside of Canada. There’s a whole host of things that could prohibit and prevent a business from scaling online. It’s up to the retailer to understand all of these factors at play and determine whether or not they pose any restrictions to their growth on the digital landscape.”

Patience and focus

It seems that retail, along with most other industries around the world, is changing, entering in full into a new age of digitization and evolution. And, as part of this evolution, brands are realizing the massive amounts of opportunity that are available to those that can achieve differentiation through the storytelling, experience and product that they offer. They are opportunities that Nagy is well aware of. However, he advises that in order for a brand to properly and effectively establish itself online – for a retailer to really succeed and grow in the digital space – patience and focus are paramount.

“These three attributes are possessed by every great ecommerce brand that I’ve ever come across. And, if you can achieve these three things within your business, you’re probably on the cusp of globalization. However, you’ve really got to be smart about picking your battles. Growing too quickly can kill a business. So, timing is critical. When the water parts for you just a little bit – when you know that you’ve checked these three boxes and you’re confident in the profitability of your operation – you might be ready to really ramp up efforts toward growth and market expansion.”

For information about the ways in which eCommerce Canada can help your business compete in a digital world, visit ecommercecanada.ca

ABURI Restaurant Group Launches Japanese Grocery Store Concept Set for Expansion in Canada

By
Mario Toneguzzi
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ABURI Market (Image: Leslie Seto)

ABURI Restaurants Canada, the team behind award-winning restaurants Miku and Minami, have launched their first premium Japanese Washoku concept, an elevated grocery experience, in West Vancouver.

“The pandemic was a turning point for us, paving the way for new ideas in hospitality,” said Noriaki Okubo, Chief Operating Officer of ABURI Restaurants Canada. “With ABURI Market, our goal is to expand our company beyond restaurants, educate consumers on the values of ‘washoku’ within Japanese culture, and show shoppers how to use, enjoy, and incorporate our products into their everyday lives.”

The market has opened in a 4,000-square-foot space at 1350 Marine Drive, with specialty food counters, ready-to-eat seafood, tableware, and exclusive imported goods from Japan. It features high ceilings, educational how-to videos, and several stations to explore, including fresh sushi, made-to-order bowls, sliced-to-order Iwate A5 wagyu, and desserts. ABURI Market also has a section for grab-n-go items, frozen meal kits, imported Japanese sauces, snacks and candies, similar to its popular ABURI To-Go locations.

ABURI Market (Image: Leslie Seto)

“We’re trying to introduce Japanese culture along with unique Japanese food. What’s different from regular grocery stores, especially other Japanese grocery stores, is that, not to talk down our other competitors, but other Japanese grocery stores have been around for many years, and haven’t really evolved for the last 30-40 years, so our concept is completely new,” said Okubo.

Noriaki Okubo

“More than half of our sales are prep food … Different food concepts within the store as well as products we import directly from Japan that have never been in the Canadian market yet.”

The Market has a small patio area where people can also sit down and eat. He said the Market introduction was basically a response to the COVID-19 pandemic.

“When COVID happened, there was a big shift in our industry. People stopped dining out. I think that’s starting to recover. But I think people now are more used to picking up food and just eating at home. Grab and go style,” added Okubo.

ABURI Market (Image: Leslie Seto)
Seigo Nakamura at ABURI Market Grand Opening (Image: Leslie Seto)

ABURI Market joins a vibrant retail mix at Grosvenor Ambleside.

“In 2008, I opened Miku in Vancouver, after falling in love with the city, and introducing Canada to Aburi Oshi Sushi and our contemporary Japanese cuisine,” said Seigo Nakamura, Founder and CEO of ABURI Restaurants Canada. “And now, I am excited to launch our first premium Japanese Washoku concept, ABURI Market, where people can experience authentic Japanese food and goods in a new way at home, on the beach, patio or with friends.”

Nakamura, owner of the Tora Corporation in Japan, is the visionary behind ABURI Restaurants’ Miku, Miku Toronto, Minami, Gyoza Bar, TORA, Hana, Minami Toronto, and grocerant ABURI To-Go, which is a smaller concept of the Market. The company has seven restaurants – three in Vancouver and four in Toronto.

“His unique concepts and business strategies have led to the creation and spread of Aburi style cuisine across Canada. A trendsetter in all aspects, Seigo is never satisfied with settling for the norm. His unique twist on Aburi cuisine was created over a decade ago by innovating the idea of traditional Japanese flame-searing with the decadent and creamy sauces of French cuisine,” says the company.

ABURI Market (Image: Leslie Seto)

“Driven by this unconventional concept, Seigo introduces this fresh and addictive Aburi cuisine to the world. Seigo also promotes the unique company philosophy of ‘Ningenmi.’ Literally translated as ‘the human flavour,’ Ningenmi is a Japanese term used to refer to a person with outstanding human qualities: sincerity, thoughtfulness, and passion. Seigo is a strong advocate of spreading ningenmi to his team, promoting a positive team dynamic within his restaurants.”

Okubo said the company does plan to expand its Market concept. 

“We plan to open, looking at different options in Toronto or somewhere else. But we’re also looking at smaller concepts. ABURI Market is our flagship and we would have smaller stores strategically located in areas that we feel it’s a good market for,” he said.

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