Uncertainty is nothing new for Canadian retail – businesses continue to feel the pinch of stretched consumer budgets and a hyper-promotional environment that’s bringing forth added pressures on margins and cash flows – but now with persistent inflationary stressors and the looming threat of US tariffs, what’s a retailer to do to find success in 2025?

These challenges, and many others, require retailers to become more vigilant about their strategies and how to seize opportunities to maintain profitability. This is certainly true for the leadership teams at La Vie en Rose and Rudsak, two of Canada’s most recognizable brands, and longstanding clients of Richter, a Business | Family Office firm. Rudsak and La Vie en Rose have faced similar challenges — both external, like economic pressures, and internal, like adapting their customer engagement models — and their journeys each highlight the importance of adaptability, discipline, and focus, in an evolving retail environment.

Customer Experience and Loyalty: Delivering Quality and Consistency

In 2025, a key area of concern for retailers is how to enhance the customer experience, ensuring consistency across both physical stores and e-commerce platforms. This is a prominent theme for both La Vie en Rose and Rudsak, whose focus on customer loyalty and personalized service has helped them weather shifting market conditions.

La Vie en Rose has worked attentively to stay true to its core customer base, focusing on delivering consistent experiences that prioritize diligence in pricing and product offering. According to François Roberge, La Vie en Rose President and CEO, it is about “respecting our customers and keeping a focus on what we do best,” rather than trying to broaden product offerings just to diversify. “While it seems like everything is moving faster and faster these days, one thing remains constant to us: appreciating our customers, and treating them with respect,” says Roberge. Their mission emphasizes authenticity and confidence—values that have resonated with their loyal customer base for years.

Rudsak’s success similarly hinges on knowing its customers and providing a personalized, in-store experience. “It is about understanding how to connect with your unique customer. What works for one may not work for the next,” says Evik Asatoorian, President and Founder of Rudsak. Rudsak recently made a big investment with Shopify and now has an integrated, sophisticated POS system. “Now with customer profiles and order history, we have customer data at our fingertips, enabling us to customize in-store experiences even more,” says Asatoorian. This omnichannel approach has helped Rudsak deliver exceptional customer service and build lasting relationships.

Real Estate: A Strategic Balancing Act

The shift towards e-commerce has prompted many retailers to reassess their positions on real estate. While online sales are essential, brick-and-mortar stores remain a vital part of the customer experience. This is a position La Vie en Rose believes in firmly, “many brands have focused their efforts on being online, which is certainly important, but have neglected the importance of storefronts and in-store experiences. True omnichannel is the future of retail, but there must be a balance of brick-and-mortar and e-commerce to achieve success,” notes Roberge.

Retail advisory expert and Richter partner Vanessa Velentzas emphasizes the ongoing importance of brick-and- mortar stores, noting that the in-person brand experience cannot be matched online. “However, retailers must reevaluate their real estate strategy to ensure their locations and footprint align with changing consumer behaviour,” she explains. “Retailers should consider things like lease renegotiations in low-traffic locations or take advantage of more flexible terms, such as pop-up stores to test new markets. Ultimately, thoughtful strategies involve finding a balance; the online presence needs to be optimized while physical stores in key locations should continue to drive brand awareness and engagement.”

Another important element in finding the right retail-real estate strategy is how to balance the transactional with the emotional. Rudsak’s in-store, personalized service is an essential touchpoint, helping customers connect with the brand, and reinforces its reputation for trust and quality. “We feel that this is incredibly important. Fashion is an emotional transaction,” notes Asatoorian.

Pragmatism, however, comes when decisions need to be made on actual locations. For Roberge, each store location must contribute to the brand’s presence and profitability. Roberge advises, “I would rather be recognized as the best in lingerie and swimwear, more than anything else. The store itself is simply a place to do business. You cannot be emotionally attached [to the locations].”

Inventory Management: Maximizing Cash Flow

In today’s climate, availability of cash flow will determine which retail businesses survive. Roberge notes, “retailers forget to manage money that is sleeping in inventory.” Velentzas agrees, saying “effective inventory management is crucial. Retailers must optimize inventory levels and focus on turning their inventory into dollars. Failing to do this will leave retailers with outdated inventory and limited resources to invest in projects that enhance customer experience, ultimately putting them at risk of losing relevance and falling behind more agile competitors.”

For both retailers, sustaining the right stock is a cornerstone for achieving future growth goals. With an ethos of quality over quantity, Rudsak keeps its inventory levels in check while ensuring that the products it offers hold their value, further reinforcing the brand’s commitment to craftsmanship. For La Vie en Rose, Roberge also emphasizes the importance of keeping inventory at healthy levels and knowing when it’s time to let go, stating, “If it’s not working this year, it won’t next year. It’s better to take action rapidly”. This, for La Vie en Rose, is as crucial to remember in the day-to-day as it is for their future as they begin to execute their plans to expand into the US.

Staying Focused and Adaptable

Regardless of what is in store for 2025, both leaders agree that staying focused on the customer is essential to long-term success. As Asatoorian puts it, “focus on connecting to your unique customer, not the general mass,” highlighting the importance of understanding the customer’s specific needs and preferences. “Stay true to who you are and do it well,” he advises. “We understand and appreciate fashion influence, but we will never compromise our brand to keep up with the volatility of trends. Quality and service above all, are most important. People can see through the gimmicks.”

Roberge underscores the need to focus on financial discipline and customer engagement: “No cashflow, no projects. Pay your debts and focus on your business to avoid giving the banks leverage. Retail is a cashflow business, therefore the health of your balance sheet is critical. Adopt a cash-focused mindset.”

“La Vie en Rose and Rudsak are pillars of Canadian retail, and we’ve been privileged to work alongside them for years as they’ve achieved goals, realized strategic visions, and established a groundwork for ongoing success,” says Velentzas. “Mr. Roberge and Mr. Asatoorian exemplify true leadership, with unwavering commitments to quality, authenticity, and putting the customer first.”

Richter’s Role in Retail Strategy

Richter is a Business | Family Office that provides strategic advice on business matters and on families’ financial and personal objectives across generations. With close to 100 years of experience advising at the intersection of family and business, Richter has developed an integrated approach to help private businesses overcome obstacles and build sustainable success. Whether for business, personal, or both, Richter is uniquely positioned to address the needs of Canada’s most successful entrepreneurs, private clients, business owners and business families, helping them chart a clear path to shape their legacies for the future. Richter’s multidisciplinary team continues to innovate to create value for its people, clients, and community throughout Canada and in the US.

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More from Retail Insider:

• La Vie en Rose Continues to See Exceptional Growth
• Rudsak Celebrates 30 Years of Style and Global Expansion

*Partner Content. To work with Retail Insider, contact Craig Patterson at: craig@retail-insider-com