Advertisement
Advertisement
Home Blog Page 902

Special Edition 16: BarterPay Targets Retailers in Canada with Idle Inventory

exc-5ef3731aa10f227f328560e4

An off-schedule podcast discussion with John Porter, Founder & CEO of BarterPay. Mr. Porter discusses the BarterPay community which chooses to leverage idle inventory in the BarterPay network for products & services that offset real cash costs.

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.

Interview Details

  1. John Porter, Founder & CEO of BarterPay
  2. Retailers Across Canada Embracing BarterPay Platform Amid COVID-19

Subscribe, Rate, and Review our Retail Insider Podcast!

Follow Craig:

Follow Retail Insider:

Listen & Subscribe:

Share your thoughts!

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!

Listen on Google Play Music

Share your thoughts!

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!

Canadian Custom Suit Company Launches AI Tech for Virtual Measurements

Photo: Suitablee

Montreal-based tailoring company Suitablee has launched a unique and innovative service using technology to create custom-tailored suits that are available online.

“We wanted to make the traditional art of tailoring smarter,” said co-founder and CEO Jean-Sebastien Siow. “We thought, ‘How do we operationalize, make this efficient, and eliminate the errors and guesswork?’”

AI Eliminates the Need for Guesswork

Using Artificial Intelligence, the company, owned by two engineer brothers Jean-Sebastien and Jean-Jeremie, who is COO, used infrared body scanners and data from thousands of body measurements to create an online tool that eliminates the need for store visits, guesswork, and corrections. The sizing questionnaire includes 12 straightforward inquiries to generate custom garment measurements, patterns, cuts, and fit preferences, all on their online platform.

With its combined design tool and online fitting technology, the company is now able to deliver a perfectly-tailored suit, tuxedo or dress shirt 95 per cent of the time, explained Jean-Sebastien Siow.

The company’s roots began in October 2015.

“We started brainstorming probably a year before that. Just putting ideas together. Finding what the issues were with the menswear industry and just sort of mapping out a vision for it,” said Siow.

The automation part of the company using AI to automate sizing was launched just recently.

“We started off working in rain and snow going to people’s homes, measuring them, learning everything we needed to do to be successful clothiers and we said look we need to make this easy. It needs to be affordable. It needs to be accessible,” he explained.

“Data is key in today’s world and we’ve measured thousands of people over the last five years and we’ve become very good at it – understanding things such as measurements but not only measurements but how do body measurements translate into actual garment measurements.

 

 
 
 
 
 
View this post on Instagram
 
 
 
 
 
 
 
 
 

 

Quarantined Times. 💈 • • • #customsuit #suit #threepiecesuit #checksuit #menswear #mensfashion #instabrands #love #summershoot

A post shared by SUITABLEE (@suitablee) on

 

 
 
 
 
 
View this post on Instagram
 
 
 
 
 
 
 
 
 

 

Custom suiting at its finest. 😯 • • • #customsuits #threepiecesuit #menswear #mensfashion #tailoredsuits #madetomeasure #weddingsuit

A post shared by SUITABLEE (@suitablee) on

“We would take about 20 to 25 measurements. We would take images. So we had an infrared scanner that we developed and we were basically taking body scans of all of our customers to sort of understand how do measurements translate into actual body shapes, into shoulder curves, are you hunched, are you not hunched. How does that impact actual garment and patterns? We’ve been able to collect all that data through not only manual measurements but through qualitative sort of answers.”

Bespoke is now Remote

The Suitablee website offers customers the option to click on the “Create Your Own Size” button and answer 12 questions, ranging from height measurements to the client’s typical posture. They can then use the state-of-the-art design tool, which includes hundreds of fabrics and designs, to further customize their suit. When complete, the order is placed, and the data is used to tailor the garment according to the precise specifications. The suit is then shipped and delivered within four weeks.

“We wanted to simplify it,” said Siow. “We can serve someone in Miami just as well as we can serve someone in L.A., without having to send a professional to take measurements.

“The vision for the company was to make custom suits accessible online for anybody in North America at a price that was affordable. We now have a wealth of knowledge and data with respect to serving our customers.”

Siow said the company’s services are available to anyone in North America.

“Customers who purchase custom suits online I think have been used to in the last five to 10 years entering their own measurements. That option exists but we definitely recommend going with our automatic sizing,” he said.

“For the customer who likes the true bespoke experience, going into a store, getting sized up, five six times, that’s not our customer. Those customers like to pay $2,3, $4,000 and get the full six-week experience of having to go back and forth. We’re sort of like the middle of the 20 year old all the way up to 50 year old guys that don’t like shopping, guys that don’t like to leave their homes. They want to pretty much be able to click . . . they just want the process to be easy and seamless and it needs to be affordable.

“It’s the typical average guy who buys clothes online but is willing to make a step further beyond buying off the rack ready to order sizes.”

Toronto’s Leslieville Flea Adopts New Hybrid Virtual/In-Person Approach to Markets

PHOTO OF VENDORS AND SHOPPERS AT THE LESLIEVILLE FLEA AT ASHBRIDGE ESTATE. PHOTO: THE LESLIEVILLE FLEA

Curated Toronto flea market Leslieville Flea has shifted into the digital world, embracing virtual markets as the COVID-19 pandemic has temporarily halted its in-person community events.

And now that physical distancing measures are being lifted and the pop-up market is preparing to re-launch its in-person markets, Leslieville Flea plans to move forward with a hybrid approach that combines the best of both worlds.

Co-founders Brigid Elmy and Christine Roberts launched Leslieville Flea in 2013 to help local businesses and artisans get exposure and sell their products. The market specializes in vintage goods, sustainable products ,and handcrafted items.

“We started because of the need to provide platform for small business and for artisans to be able to show their wares,” says Elmy.

PHOTO OF VENDORS AND SHOPPERS AT THE LESLIEVILLE FLEA AT ASHBRIDGE ESTATE. PHOTO: THE LESLIEVILLE FLEA

The duo typically hosts 15 to 18 one-day or two-day markets throughout the year in locations around the city, such as Ashbridge Estate, the Distillery District, and the Broadview Hotel. “We’ve been all over the city,” Elmy says.

Experimenting in the Face of COVID-19

When the pandemic began, Leslieville Flea was forced to cancel its April market. Once it became clear that physical distancing requirements would be in place for an extended period of time, Elmy and Roberts decided to try hosting an online market in May. Over a period of several days, participating vendors had the opportunity to take over Leslieville Flea’s Instagram Stories to promote their items. The participating vendors are also listed on Leslieville Flea’s website.

Although many retailers have gravitated towards online and e-commerce alternatives throughout the pandemic—some for the first time—for a concept like Leslieville Flea, shifting online presented an especially drastic change. Elmy says the in-person markets are opportunities for locals to gather in their community.

“The outdoor markets [we host] are not just about shopping,” she says. “They’re really about community, and a community of vendors, and connecting to a neighbourhood and getting out and saying hello to your neighbours.”

Since the virtual concept meant a major change in dynamic, it was an experiment for Leslieville Flea.

“We honestly didn’t know how well it was going to go at first, but it was very well received by both our vendors and our shoppers,” Elmy says. “People were really missing the flea market; they wanted to be able to reach out and connect with vendors again, and to be able to get the really unique items (our vendors offer). You wouldn’t see these items in a regular store, so people really missed that.”

PHOTO OF MODEL WEARING FASHION ITEMS FROM VENDORS. PHOTO: THE LESLIEVILLE FLEA

A Digital Presence Means More Opportunity for Vendors

In addition to the positive response from existing customers and vendors, Elmy and Roberts realized that the digital concept unlocked the opportunity to expand the market’s reach to a much bigger audience.

“We can now go anywhere, we can go across Canada, and that is one of our future plans,” Elmy says.

Given the success of the inaugural online market, Leslieville Flea hosted a second digital market in June, in partnership with Toronto’s west-end Stackt Market. Through the partnership, customers could pick up the online items they’d purchased in-person at Stackt. That provided an option that both customers and vendors appreciated, Elmy says.

With Toronto having entered Stage 2 of the reopening framework in late June, allowing more businesses to resume operations, Leslieville Flea is now planning to resume its in-person markets. The first is planned for Sunday, July 19th in the outdoor space at Ashbridge Estate. A series of new measures aim to help keep attendees safe, including hand sanitizer upon entry, a requirement for vendors to wear masks, a distance of at least six feet between booths, and one-way traffic aisles.

Even though the traditional markets are getting back on track, however, Leslieville Flea also plans to continue with its virtual markets, offering a hybrid approach for vendors and customers. The next virtual market will begin on July 13th. “It gives people an option and it gives us reach,” Elmy says.

Retail Privacy Challenges in Canada Amid COVID-19

ANIMATED IMAGE INDICATING THE CONTACT TRACING SYSTEM

COVID-19 has raised a number of privacy law issues. In particular, the proliferation of contact-tracing apps has resulted in a virtual “arms race” to develop effective measures to be used by public health bodies to locate sources of the virus and slow down the spread.

The Canadian government recently announced that they are collaborating with Shopify and Blackberry on an app that the Federal government would own and operate, set to launch as early as July 2020. Use of the app will be entirely voluntary but, if fully implemented, the personal data of as many as 30 million Canadians’ personal information will be given to the custody of the Federal government. How this app will differ from the Trace Together app developed and deployed in Alberta remains to be seen.

While details of the app have not yet been released, the larger question remains as to what privacy law challenges retailers face, and what they must do to remain compliant with public health measures. Here are some of the potential privacy issues that retailers may face in the era of COVID-19.

Retail Location Outbreak “Hot Spots”

In South Korea, aggressive-contact tracing included the mandatory download of an app programmed to send text alerts to people who have been to establishments where an outbreak has occurred or where an infected person may have shopped. The app uses GPS coordinates from customer mobile phones to identify anyone who may have been to the same location. While the text does not identify the name of the person(s) who were infected, it gives a specific date and a range of time of the transmission. The objective is to advise other customers who may have been there to take action by getting tested for COVID-19 and to abide by local public health laws.

In comparison, the new app for Canada, according to Prime Minister Justin Trudeau, will be “completely anonymous, because it’s low maintenance, because it is completely respectful of your privacy, — including no location services or geotagging of any sort”. Despite this, retailers may still face challenges in their obligations to provide personal information to health authorities.

From a retailer’s standpoint, the disclosure of an outbreak to the public may have a negative effect on business, as prospective customers may wish to avoid a “hot spot”. Even if a retailer has taken extensive measures to add protective measures, such as wearing masks, sanitizing, installing plexiglass barriers, limiting traffic for social distancing, and spacing out merchandise and tables, this may still result in negative publicity.

There are, however, instances where Canadian retailers have proactively advised the public of outbreaks at their locations. In addition to notifying the media, Superstore and London Drugs sent e-mail advisories to all customers on their mailing list in order to advise them of outbreaks at certain locations, or instances where no outbreaks occurred but where staff have tested positive. By disclosing this themselves, without divulging any personally identifiable information about the affected employees, these brands demonstrated corporate responsibility and adherence to public health safety measures. Additionally, the self-reporting complies with local Occupational Health & Safety regulations.

Protecting Employee Privacy

One key responsibility retailers must adhere to is to safeguard employee privacy. Because an employee’s diagnosis of COVID-19 is his or her personal health information, it must be safeguarded in the same way as other sensitive personal data, such as Social Insurance Number, financial information, home address, and the like. Therefore, employers are not at liberty to disclose the identity of the employee who tested positive, at least not to the public at large. The same obligation applies to a retailer’s customers, although it may not always be possible for a brand to know which customer has tested positive, as patrons may simply browse or pay in cash, leaving no trace of their identity (except perhaps in surveillance videos recorded on security cameras).

Despite this obligation to safeguard privacy, retailers may be required to provide the personal information of their employees on Covid-19 to public health authorities that may require it. For instance, under the federal Personal Information Protection & Electronic Documents Act (PIPEDA), a private entity is obliged to disclose personal information they hold to a government institution that requests and requires it. Specifically, this would include instances where a public health body has the legislative authority to compel the disclosure of this personal information in a public health emergency, such as BC’s Freedom of Information & Protection of Privacy Act (FOIPPA). The intention of both the private and the public sector privacy legislation is to harmonize the circumstances under which personal information may be disclosed during a pandemic, and not to act as barriers to disclosure. Similarly, there are provisions under health laws that provide an additional avenue where personal information may be shared for public health reasons.

This does not mean that a retailer is free to provide all information they may have on their staff to a public health body. The retailer must disclose only the employee’s personal information as required by the public health authority for contact-tracing purposes. Retailers must not publicly disclose the name of the infected employee, as that person has their own privacy rights under the law. Additionally, “outing” the name may lead to unintended negative consequences, such as “doxing” on social media, and the resulting public humiliation that accompanies such nefarious practices.

Privacy Compliance: The Retailer’s Challenge

From a practical standpoint, what should retailers do to comply with privacy legislation? Although there is no uniform Canadian legislation at this point, there are a number of privacy laws and guidelines that may provide some workable solutions.

As a privacy best practice, retailers should only collect, use, and retain the personal information they need in order to do business, disclose it only to those who have a legitimate reason where it is necessary to do so, and destroy the data if it is no longer needed. The over-collection of personal information without a legal basis can lead to privacy complaints and discipline, such as the Loblaws gift card controversy from October 2019. In terms of regulatory penalties, look no further than the Competition Bureau’s hefty $9.5 million penalty against Facebook where third-party personal information was collected without proper consent or notice.

An example of a best practice comes from an Order issued by Dr. Bonnie Henry on the guidelines to re-opening and operating restaurants during a state of emergency. When a restaurant, café, or pub must collect and retain the contact information of one person per dining party, in order to provide provincial medical officers with the information required to perform contact tracing. It is not dissimilar to collecting the name, phone number, and e-mail of patrons who use OpenTable or other online restaurant booking services. After 30 days, the information must be destroyed in accordance with the Order.

The Future of Retail in Privacy

Retailers must operate on the principle of collecting only what they actually need, not what they think they need, and not over-collect personal information “just in case”. Retailers must always remember that they are responsible for the personal information they collect, and also ensure that they are not improperly disclosing personal information, which may lead to not only an invasion of privacy, but to large corporate fines. Privacy, even in the time of a global pandemic, must not be waived if a brand wants to maintain its integrity.

Balmain Expands Canadian Presence with Multiple Shop-in-Store Boutiques

INTERIOR OF NEW BALMAIN BOUTIQUE AT YORKDALE SHOPPING CENTRE. PHOTO: AMACHRIS CORPORATION

French luxury brand Balmain is expanding its presence in Canada by opening partner boutiques housing the brand’s ready-to-wear fashions for both men and women. The shops are part of a partnership with Holt Renfrew, which is rolling out the new Balmain spaces that feature the latest design, including ample use of glass and millwork with a ‘Parisian’ inspired design.

Last week after Holt Renfrew reopened its store after a temporary closure, women’s Balmain boutique was unveiled in Holt Renfrew’s highly productive store at Toronto’s Yorkdale Shopping Centre. The 440-square-foot Balmain shop-in-store is located on the second level women’s fashion floor. The Balmain boutique features Parisian-inspired finishes that include Versailles oak floor panels with each plank having been aged manually. Ample use of mirrors in the space creates a more expansive feel that contrasts with intricate millwork and fixtures, highlighting the edgy women’s Balmain fashions that are contained within.

The Yorkdale women’s boutique follows the recent completion of a men’s Balmain space also in Holt Renfrew at Yorkdale Shopping Centre, located on the store’s main level in the recently completed menswear department. The men’s Balmain space also features Parisian-inspired finishes including mirrored walls that differentiate the shop from other vendors on the floor nearby.

Custom retail build specialists Amachris Corporation brought both of the Yorkdale Balmain spaces to life. This included general contracting work and the overall build-out of the in-line women’s boutique, which took about seven weeks to complete. All millwork and fixtures were fabricated in Europe and delivered to Canada. Amachris Corporation also built the stunning 6,000-square-foot ‘world of’ Gucci concession at Holt Renfrew Yorkdale which was profiled in Retail Insider in the summer of 2019.

Amachris Corporation built a men’s Balmain shop-in-shop in the Holt Renfrew flagship store at CF Pacific Centre in Vancouver. The Vancouver Balmain boutique was the second of its kind in Canada for the brand.

Last fall, Holt Renfrew unveiled a women’s Balmain space at Holt Renfrew’s Vancouver store, though it lacks the intricate interior detailing of the two Balmain spaces at Holts Yorkdale. Vancouver was the first store in Canada to feature a dedicated Balmain space, and the brand is now growing its presence in Canada through a partnership with Holt Renfrew.

At Holt Renfrew Ogilvy in Montreal, which reopened this month and is nearly completed, Balmain men’s fashions are housed in an area within the 40,000-square-foot men’s floor that was unveiled in the spring of 2019. Women’s Balmain fashions was unveiled last week as well in a shop-in-store on the third floor.

Balmain has been growing its presence in Canada over the past several years. Holt Renfrew began carrying the edgy brand several years ago amid increased competition from several other retailers that picked up Balmain in years past. When department store retailer Hudson’s Bay revamped its luxury women’s department ‘The Room’ in Toronto in October of 2009, Balmain became one of the key brands that helped make The Room a significant destination for affluent women living in and visiting the city. Balmain was also part of the brand matrix of The Room in Vancouver when it opened in September of 2011. Balmain men’s fashions are also carried on the fifth-level men’s floor of Hudson’s Bay’s flagship on Queen Street in downtown Toronto.

Saks Fifth Avenue, which opened its downtown Toronto flagship in 2016 in the same building as Hudson’s Bay, features an assortment of Balmain fashions for both men and women. Holt Renfrew, which has been beefing up its luxury brand offerings in response to the increased competition, is taking things one step further by creating dedicated boutique spaces while at the same time offering various luxury vendors dedicated leased concession spaces inside of Holt Renfrew stores.

Quebec City-based La Maison Simons has carried the Balmain brand for several years within the men’s and women’s ‘Edito’ designer departments at several of its stores. A handful of other retailers in Canada also picked up the line, which saw a ‘rock and roll’ resurgence under the direction of designer Olivier Rousteing who became the head designer at Balmain in 2011.

Sources say that Balmain could open standalone stores in Canada in the coming years as the brand grows its direct-to-consumer channel. Balmain is said to have been interested in opening a freestanding store on Yorkville Avenue in Toronto as well as a unit in downtown Vancouver near the Alberni Street ‘Luxury Zone’. Balmain announced last year that it planned to open a network of stores globally amid a direct-to-consumer push for the brand — though it remains to be seen if COVID-19 has impacted those plans.

Balmain was founded in Paris by fashion designer Pierre Balmain in 1945. In 2016 Mayhoola Investments acquired Balmain for a figure reported as close to €500 million. Balmain has seen rapid sales growth since then as the brand grows its wholesale channels as well as its standalone boutique presence that includes stores in major cities such as Paris, London, and Milan, as well as US cities including New York City, Los Angeles, Las Vegas, and Miami.

Pierre Balmain was born in France in 1914 and after studying architecture, he began designing dresses. He worked for atelier Robert Piquet and others and after serving in the French air force, he opened his first boutique at 44, rue François 1er in Paris. He released his first collection in October of 1945 and his first fragrance, called ‘Jolie Madame’, in 1949. After Pierre Balmain’s death in 1982, the house was led by Erik Mortensen, who was described by Vogue magazine as “Pierre Balmain’s right hand” — Mr. Mortensen had worked as Mr. Balmain’s assistant since 1951. In 1982, Peggy Huynh Kinh joined Balmain to provide artistic direction for women’s ready-to-wear and women’s and home accessories license studios. After Mr. Mortensen’s retirement in 1990, designer Hervé Pierre took over until 1992 when New York City-based designer Oscar de la Renta took the reins of Balmain until his exit in 2002. Under Oscar de la Renta’s direction, Balmain’s designs took on a more modern and simple aesthetic that was in contrast to the more ornate and glamorous designs of previous designers. The shift was due, in part, to the decline in the popularity of haute couture and related looks.

In 2005, designer Christophe Decarin joined Balmain with a goal of transforming the brand. That included introducing expensive and flashy pieces that were in sharp contrast to Balmain’s designs in years past. Jewel-encrusted women’s jackets with exaggerated shoulder pads costing well into the thousands of dollars shocked fashion followers. At the same time, Hollywood celebrities and the wealthy began to embrace the rock-and-roll styles under Mr. Decarin’s direction — the very high price point also offered differentiation from other luxury brands. Mr. Decarin left Balmain in 2011 amid claims that the brand had become more about his star status rather than the clothing itself.

Designer Olivier Rousteing replaced Mr. Decarin in 2011 after joining the company in 2009 — Mr. Rousteing had previously worked under noted Italian designer Roberto Cavalli. Mr. Rousteing maintained some of the design ethos of his predecessor while lowering prices to be more accessible, though Balmain’s fashions are still priced into the thousands of dollars to this day. Mr. Rousteing is said to have also brought a ‘fresh take’ to the brand’s aesthetic, including adding an Asian influence to the clothing in an effort to attract an Asian demographic, which continues to be responsible for buying a substantial percentage of luxury goods globally.

In 2017, Olivier Rousteing debuted Balmain’s first accessory line, which became an immediate hit with brand fans. In December of 2018, he introduced a new logo for Balmain with a simplified font that marked a departure from the more ornate design of years past.

We’ll continue to follow Balmain’s growth in the Canadian market.

Study Shows 10% of Retail Tenants in Canada Looking to Permanently Shutter

A new survey by commercial real estate firm Colliers International indicates that 10 percent of retail tenants are working on plans to permanently close their businesses.

It said 92 percent of the tenants who could close down are operating small businesses.

“Small businesses are more at risk of closing as a result of not having cash flow to survive a crisis of this magnitude. If all of these tenants were to close, it would lead to a 10 per cent decrease in retail rent collections and a seven per cent increase in retail vacancy based on total square footage assuming there is no new leasing taking place,” said the report, Retail Recovery: Regulations, Cost Increases and Adaptation.

“Similar to any other global crisis, we believe that COVID-19 will impose new ways of doing business that will inevitably change the market and retail. Retail is constantly evolving, and our tenant base has been widely adaptive, with 83 percent reacting to the pandemic by modifying their business in some form. 74 percent of retailers are exploring new sales channels with 41 percent of these tenants looking into online sales and 33 percent exploring alternate sales channels.

“This is in line with the current industry trend towards omnichannel retail. We are seeing retailers of all sizes and types investigating and adopting an omnichannel approach. Owners can support retail tenants’ omnichannel efforts by implementing curbside pick-up programs and proactively managing line-ups and wait times. “

Jane Domenico, SVP & National Lead, Retail Services | Canada for Colliers, said 10 per cent of business closures is a “significant” number.

“We started the conversation talking about the consumer and making sure those initial forays of the consumer are well planned, well thought out, because consumers have a lot of choice today moreso than ever before in my opinion – with online and bricks and mortar,” said Domenico. “We need to make sure that those consumers are satisfied with their experience or else they’ll go elsewhere. And that number will increase as a result.”

She said many small businesses are responding positively to service customers in different ways such as curbside pickup at shopping centres.

“I see expanding beyond what is seen as the traditional,” added Domenico. ‘Retailers have adopted change throughout. These are entrepreneurs. They do it without even thinking about it. I can’t tell you how many retailers, fashion local retailers, that are selling masks now on the high street.

“Being able to look at those opportunities in a cost-effective and profitable way . . . that’s going to be adopted at an accelerated pace.”

Other key findings from the Colliers survey include:

  • 56 percent of retail tenants think government restrictions are very reasonable or reasonable, 24 percent feel they are unreasonable or very unreasonable, and 20 percent are neutral;

  • 42 percent of respondents want more business-specific regulations, while 29 percent feel regulations should be easier to understand and 28 percent believe the regulations need to be more flexible;

  • 93 percent of businesses believe adhering to these regulations will increase overhead costs. Of these businesses, retail tenants were 1.2 times more likely to believe they will face additional costs. As a consumer-facing industry, retail stores require more cleaning, physical distancing protocols and additional staff;

  • The median retail business indicated their overhead costs would increase by around 25 percent. According to Statistics Canada, retail’s average operating profit margin was 4.8 percent in 2018;
  • Gyms, personal care, healthcare and medical tenants will be the hardest hit as these respondents indicated their overhead costs will increase the most, by 30 percent;
  • Tenants across all retail types anticipate that their revenue will start rebounding over the summer to reach 45 percent on average compared to the same period last year. This represents an average increase of five per cent per month from June to August. This increase is dependent on lockdown restrictions easing, businesses reopening as planned and a subsequent revival of consumer confidence;
  • Of the tenants who have a plan to offset the increased costs, 47 percent indicated they would reduce expenses and 17 percent indicated they would raise prices; and
  • As revenue rebounds, 37 percent of respondents believe that more than 75 percent of their workforce will return to work by the end of the summer, while 26 percent say they will rehire 51-75 percent of their workforce. 23 percent believe 26-50 percent will return, and 14 percent think less than 25 percent will be back by summer’s end.

“In a post COVID-19 world, retailers need to do everything they can to reassure consumers that it’s safe to return to brick and mortar retail. Owners can support their retail tenants by helping them apply for government programs, revising leases and implementing flexible operating hours,” said the Colliers report. “While retailers have traditionally shaped the consumer experience, COVID-19 has created a new responsibility for both owners and tenants to actively participate in driving consumer confidence and helping restore foot traffic.

“For the foreseeable future, tenants will need to utilize common areas, such as parking lots, for queuing and curbside pick-up programs. Owners can support this process by ensuring there is signage that encourages physical distancing and orderliness, in addition to hiring additional staff to manage queues.

“‘COVID-19 readiness’ will become a major competitive advantage for well-managed malls and strip centres: Historically, consumers selected shopping venues based on factors such as convenience, proximity and parking. An important factor that has emerged from the pandemic is the ‘readiness’ of the retail centre and how safe the consumer feels when shopping. Owners can support ‘COVID-19 readiness’ and encourage an increase in foot traffic by: Implementing new technologies that assist with physical distancing, scheduling in-store visits, showing the number of shoppers in stores, and communicating new health and safety measures; and Creating targeted communications that show consumer what owners and tenants are doing to create a safe shopping environment by highlighting cleaning and disinfecting schedules.”

How St. Louis Bar & Grill is Cautiously Reopening Restaurant Spaces

EXTERIOR VIEW OF PEOPLE SITTING ON NEWLY-REOPENED ST. LOUIS PATIO WITH SAFETY PRECAUTIONS IN PLACE. PHOTO: ST. LOUIS FACEBOOK

St. Louis Bar & Grill is in the process of reopening its doors to the public after months of COVID-19 shutdowns. The precautionary measures taken by the sports bar to ensure the health and safety of staff and customers are extensive, and quite possibly the calibre that all restaurants and bars should be wishing to emulate going forward.

When faced with the opportunity to reopen, many restaurateurs, although excited by the prospect, are finding the practical aspect of the task daunting. With so many regulations and safety procedures to adhere to, navigating your altered business model in the wake of COVID is complicated. In the spirit of maintaining a restaurant’s atmosphere despite the changes and generating revenue once again — while ultimately ensuring everyones’ safety — St. Louis Bar & Grill have done a stellar job, at least on the surface that is. With a surprisingly high number of Canadians claiming to be nervous at the prospect of returning to restaurants and the government mandates still prohibiting indoor dining, only time will tell how the food and beverage landscape will fair in a post-COVID world.

Last week Retail Insider was taken on a virtual tour of St. Louis’ Yonge and Davisville location to showcase the safety measures implemented by the popular Canadian bar as it readied itself to reopen.

SIGN USED TO INDICATE A SANITIZED AND READY-TO-USE TABLE

Due to operate at government-regulated capacity, physical distancing measures are in place, ensuring guests and employees stay six feet apart at all times. A redesigned floorpan to accommodate 50% capacity helps with this implementation. The restaurant is fitted with directional arrows on the floor and numerous signs and posters on the walls outlining the regulations imposed and reminding people to adhere to them. These signs stretch throughout the interior and exterior of the establishment. There is ‘before you enter’ signage at the front door, alerting guests not to enter the premises if they are experiencing COVID-19 symptoms.

The bar has installed plexiglass shields between and around all booths, creating a bubble-like atmosphere for parties dining within the restaurant. There is also a limit on the number of people allowed to dine per table.

Regarding table settings and service, tables are empty, void of condiments — which can be brought by a server upon request — and food is placed at the end of the table to maintain physical distancing measures between staff and customers.

All reusable menus have been shelved for the foreseeable future and replaced with single-use, recyclable menus that are disposed of after ordering. There is also the option for guests to order on their smartphones using a QR code accessible at all tables.

In the wake of COVID-19 St. Louis has created a new role within its employment lineup: Chief Sanitization Officer. The role of the Chief Sanitization Officer is to clear used glasses, plates, utensils etc., and the CSO is also responsible for sanitizing door handles and other high-traffic touch-points. The CSO is solely responsible for these duties. All surfaces are disinfected after each use and once the CSO has sanitized a table it is clearly marked with a tent card to indicate that it is ready to be occupied by the next party. In addition to this precautionary measure, each server is equipped with their own personal sanitizer that they carry on their person at all times.

Spray sanitizer is available to all guests upon arrival at St. Louis, alongside an employee who’s priority is to welcome guests and educate them on implemented protocols.

Staff screening and health checks occur during every shift, including temperature checks and an extensive list of appropriate questions regarding the status of each individual’s health etc. All front of house and back of house staff are required to wear face masks at all times.

St. Louis Bar & Grill Founder, Brent Poulton, spoke to Retail Insider about his optimism regarding St. Louis’ future and the importance of maintaining a positive atmosphere for guests in a potentially anxiety-inducing situation. “I feel very optimistic going forward because I believe we’re all creatures of habit and those habits don't change overnight. All we can do as a brand is create trust between us and the customers. What we’re doing is identifying peoples’ expectations of what a safe dining environment looks like and we’re striving to create and accommodate that.”

“What we've always emphasized and relied on is the personality and culture behind the brand. I don't think the fact that people are wearing face masks or are sitting beside plexiglass shields is really going to change peoples’ experience. You’re going to get people who are extremely nervous but we hope to be able to prove that we’ve taken all the necessary precautions to keep people as safe and happy as possible.”

Calgary Co-Op Launches Unique Hyper-Local Private Brands

VIEW OF CO-OP STORE AND SURROUNDING PARKING LOT. PHOTO: CALGARY CO-OP

The Calgary Co-op grocery chain has launched two new private label brands on its store shelves with a look and feel of having a connection to the company’s hyper-local ties to the city.

The two new brands — Cal & Gary’s and Founders & Farmers — can be found in Co-op’s 23 area food stores.

“We are seeing a strong desire for shoppers to be able to buy and support local, as well as purchasing products that cater to their personalized tastes. We’re proud to offer a wide variety of local products, as well as curated quality products throughout our store. Cal & Gary’s and Founders & Farmers are a great representation of our brand and values,” said Ken Keelor, CEO of Calgary Co-op.

Keelor said private brands are what define the identity of a retailer. They’re part of the personality that the retailer has in the marketplace.

Private Brands can Leverage Stores

“If you look at a retailer like Trader Joe’s, they’re well-known for their private brand. If you think about Loblaw, many people don’t even realize President’s Choice is a Loblaw brand. They think of President’s Choice as a national brand,” said Keelor. “Creating your own brand really helps you bolster the brand you’re trying to be as a company. It’s exclusive to your stores. Consumers can’t find it elsewhere. In other words, if you like a Trader Joe’s item you can’t find it at their competitors. You’ve got to go to Trader Joe’s.

“Your brand is then able to reflect the geography that you operate. So for Calgary Co-op our Cal & Gary’s brand and our Founders & Farmers brand is meant to reflect, especially Cal & Gary’s, Calgary, the city -- and we do that through ‘Calgaryisms’ on the product that we have some fun with and Founders & Farmers is in many ways reflective of our roots as a cooperative, founded by ranchers and farmers and local producers.”

Curated for the tastes of Calgarians, the Cal & Gary’s line of products offers a fresh take for Calgarians. Using quirky “Calgaryisms”, Cal & Gary’s products give shoppers a smile and confidence to know this brand understands how they like to eat: local favourites with truly global tastes.

Cal & Gary’s products feature a nod to Calgary’s local features and humour.

Founders & Farmers is an everyday value line of products rooted in quality. With a nod to the folks who started the Cooperative, it honours their humble dedication to providing quality goods and finding a better way to serve their friends and family. Some Founders & Farmers products feature local producers who grow the food.

Keelor said a company’s private brand has a life of its own, an image of its own, and if you create your own you can match it up to the brand you’re trying to portray to your customers.

“It becomes part of your identity,” he said.

Keelor said it takes a long time to create a private brand product. It can take up to two years to develop a single item.

Chris Gruber, the company’s senior director for private brands, said Co-op has just over 600 private label brands in its stores today with another 200 to 250 under development which are planned to launch between August and September.

“It takes some time to ramp up and we’re fortunate that we’ve got some good local and other suppliers that are working very efficiently with us to date. They understand our quality and the brand standards that we need to deliver the program to our consumers and members,” she said. “Lots of work in the pipeline and this is going to be an ongoing product development and a brand launch, not just a label launch, but really it is about building the brand that sort of connection with our community.”

Choosing “Only Alberta” Products

Other private brands include Cal & Gary’s Organic and in 2018 Calgary Co-op introduced its “Only Alberta” with only Alberta beef, chicken, and lamb products.

“Our focus is to try and get as much as we can locally,” added Keelor. “But there are many categories that you just can’t get locally. We are certainly tapping in as much as we can to our local vendor community and we’ve had some success and there’s some more to come to which is in development.

“The angle with these brands is if we can create the product in Calgary then we will.”

Keelor said Calgary Co-op is on a path to double the number of local items in its stores. A few months ago, it was at 1,200 items with the goal being 2,400 to 2,500 items. Today, it’s at about 1,700 items.

“That’s very important because reflecting local is not just about creating your own brand locally when it comes to our private brands but also about some local producers who simply want to have their brand in our stores and we want to be the place where they can grow and almost be a jumping off point to potentially across the province or the country,” he said.

Calgary Co-op, owned by members, is one of the largest retail co-operatives in North America. Its locations in Calgary, Airdrie, Cochrane, High River, Okotoks, and Strathmore include: food centres, pharmacies, gas stations, car washes, commercial cardlocks, home health care centres, wine, spirits and beer locations, and cannabis. It has more than 400,000 members, 3,850 employees, assets of $627 million, and annual sales of $1.3 billion.

Personal Information Collected by Retailers Must not Perpetuate Discrimination: Expert

ILLUSTRATION OF DATA COLLECTION

The recent unsettling reports that US retailer Anthropologie had been racially profiling its Black customers was alarming for several reasons, amongst which it came to light that this was common practice at its affiliated companies Free People and Urban Outfitters (all three are owned by the parent corporation URBN, and all three store banners are in Canada).

Aside from the systemic racism that was perpetuated through operational training and not corrected through sensitivity training, the issue of racial profiling on Black, Indigenous, and People of Colour in Canada and the United States arose at a time when public discourse on the topic is at all-time high. From a privacy perspective, this naturally raises the question as to whether personal information collected by retailers may inadvertently perpetuate systemic discrimination, even if technology and personal data are in and of themselves agnostic.

The concept of “profiling” in data privacy is used heavily in the EU General Data Protection Regulations, commonly referred to as the GDPR. It is defined in Article 4(4) as follows:

“Profiling” means any form of automated processing of personal data consisting of the use of personal data to evaluate certain personal aspects relating to a natural person, in particular to analyse or predict aspects concerning that natural person’s performance at work, economic situation, health, personal preferences, interests, reliability, behaviour, location or movements”.

The GDPR is considered the gold standard in global data privacy protection. Canadian data privacy laws, which has both Federal and Provincial versions that work harmoniously with one another, are deemed to have adequate safeguards similar to the EU’s. Retailers often have EU customers and wish to transfer data across borders to business partners and their own foreign offices, using the GDPR as a compliance mechanism. Even Canadian brands recognize the value of complying with GDPR as a harmonization tactic.

Applying GDPR as a Harmonizing Tactic

In the absence of comprehensive American federal consumer privacy legislation, the U.S. has a framework agreement, known as the Privacy Shield, to permit transfer of personal data between them and the EU. Americans brands also use GDPR as a compliance mechanism to strengthen their commitment to the Privacy Shield. This therefore means ensuring that profiling is performed correctly, because doing so through automation may negatively affect the rights of, and produces potentially detrimental legal effects, concerning natural persons. Under Article 22, all persons under the GDPR have the right to object to any decision based through automated decision-making that includes profiling.

Retailers often compile considerable personal information from their customers, including their home address for delivery, credit card, and other payment information, and purchase history, in order to perform directed marketing (usually in the form of e-mails and SMS texts). For instance, even though a customer disclosing their date of birth to a retailer to qualify for a “free gift” or additional benefit may seem benign, it is still personal information that the retailer must safeguard, the loss of which may result in legal liability if it were compromised.

Additionally, the transaction history a customer has with any brand is also personal data, as is any image of them captured on security cameras while shopping in the store. If a retailer also has a customer’s measurements or images, then that is also considered biometric information. Even metadata collected via web cookies or web beacons while online shopping contains location, traffic, and subscriber (customer) data that is classified as personal data under the GDPR, which retailers may aggregate and use to provide services and create marketing.

With such a rich cluster of information on their customers, retailers are now able to potentially evaluate natural persons and make decisions on their past history with the brand, and make decisions on those customers. This is not necessarily a bad thing if a retailer wishes to better understand their customer and grow their business, particularly if they specialize in a particular niche clientele. Responsible collection of personal information can only help a brand connect with their customers and tailor their goods or services to meet those expectations.

For instance, if a customer spends a certain amount of money per year with a brand, they are likely to be considered the most loyal or the top spenders. However, in combining that data with other identifiers, such as the customer’s address, race or ethnicity, measurements, and credit history, is it possible to profile other customers in the same database to determine and predict behaviour? While profiling as a practice is not in and of itself racist, technology may inadvertently include and exclude key customer demographics. This may mean that automated decision-making through profiling might prevent extending offers and invitations, such as to private sales, credit card offers, or other benefits, to potential customer groups who may not fit the targeted demographic, based on aggregated group identifiers, which may be a form of discrimination. Doing so may imply that a brand is not inclusive, a blight that cannot be explained away by a social media consultant or publicist posting a black square and an apology on social media.

Profiling can be Used for Good

There are ways to use profiling for good, as long as it is performed in a way that is compliant with privacy laws, and in an information-agnostic way that does not inadvertently prevent customers from participating on the basis of immutable characteristics such as race. The author of the article Utilizing PIAs to Limit Institutional Discrimination and Bias recommends that having a privacy officer or legal counsel complete a privacy impact assessment on electronic systems may be a way to uncover unconscious bias that technology does not and cannot recognize.

Similarly, conducting a privacy impact assessment on a project during the design phase, such as marketing surveys or advertising campaigns, is an additional safeguard that can not only help a brand comply with the GDPR and other binding regulations, but also to ensure that unconscious biases are examined and eliminated to promote inclusivity.

In an era when retailers are collecting more and more data from customers to effect service delivery, it is incumbent on retailers to not only safeguard their personal information, but to use that data for good. Privacy and protection of personal information is not just due diligence, but also one of the most effective ways to develop customer brand loyalty, diversify a retailer’s clientele, and commit to the fight for racial equality and equal opportunity. After all, unconscious biases are very last season.

Retail Council of Canada Webinar: In Conversation with Lululemon CEO Calvin McDonald

RCC WEBINAR INCLUDING IMAGE OF CALVIN MCDONALD

By Retail Insider

Retail Council of Canada is hosting its fourth online webinar in a series called In Conversation with Retail Leaders in Canada. Lululemon CEO Calvin McDonald will speak with Retail Council of Canada president Diane J. Brisebois at 12:00 pm Eastern/9:00 am Pacific on Tuesday, June 30, as part of the webinar series featuring one-on-one conversations with Canada’s top retail leaders.

Tickets for the webinar featuring Mr. McDonald can be purchased here.

Calvin McDonald will explore lessons learned including how lululemon adjusted its business model while maintaining customer trust throughout the pandemic, as well as how the retailer is looking to future shake-ups to the industry as a whole. While lululemon’s online sales skyrocketed this quarter, it was not enough to offset the decline of in-store sales. However, as many people are exercising from home right now, McDonald says lululemon is well-positioned to take advantage of the growing popularity in athletic apparel. Learn more on June 30 by signing up for the webinar.

In Conversation with Retail Leaders in Canada is an online series that launched earlier this month featuring in-depth conversations between RCC President and CEO Diane J. Brisebois and Canada’s top retail leaders and industry insiders. The webinar series aims to assist everyone in the retail industry who has been forced to reconsider how their organization’s teams, operations, inventories and policies will need to adjust to ensure a strong retail recovery.

Following Mr. McDonald’s segment on Tuesday, the In Conversations with Retail Leaders in Canada webinar series speakers include:

  • Haio Barbeito of Walmart Canada, July 9 2020 at 4:00pm – 5:00pm EDT

  • Greg Hicks, President & CEO Canadian Tire Corporation Ltd., July 15, 2020 3:00-4:00pm EDT

[Buy tickets to be part of the conversation with Lululemon CEO Calvin McDonald]

*Partner content. To work with Retail Insider, email: craig@retail-insider.com