HAPPY HOLIDAYS! Retail Insider Goes On Vacation

Image: Galeries Lafayette, Paris
Happy Holidays, Readers! We're taking a break and heading to the United States to do some research and to visit family. If any interesting retail news comes up while we're away, we'll try to post it here, or at least mention it on our twitter (@retailinsider_) and our Facebook page: www.facebook.com/RetailInsider

Recent world tragedies remind us to hold our loved ones tighter and to live each day to its fullest. Live, have fun, and please be responsible and respectable to your family and fellow-shoppers. 

We'll be back full-steam in the New Year with a new "look". In the mean time, one of our insiders will update our Facebook and Twitter pages, as well as post any "emergency" articles to Retail Insider's website if anything huge happens while we're away. That might include, for example, if The Hudson's Bay Company was purchased by France's Galeries Lafayette, if Japan's Seibu takes over Canada's Sears, or if the world ends December 21st. None of these are likely to happen, of course, so this website will likely remain temporarily quiet. 

Except for laughter, if you watch these full holiday episodes of Are You Being Served. Department store retailing at its finest ;)





Happy Holidays everyone! From the gang @ Retail Insider.


Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com


DOLCE & GABBANA Opening Free-Standing Toronto Store

Image: audrinajulia.blogspot.com
*Update: Dolce & Gabbana's Toronto store opened July 27 2013*

*UPDATE: Flare Magazine has reported this store will be 835 square metres, or almost 9,000 square feet. We'll update readers when more information becomes available*

Dolce & Gabbana will open it first free-standing Canadian store at 111 Bloor Street West. The building is 6945 square feet, and the store will occupy most of the space over two floors. Dolce & Gabbana confirms the store will include a full range of men's and women's fashions, accessories and footwear.

Toronto will be the sixth North American city to have a free-standing Dolce & Gabbana store. Dolce & Gabbana has free-standing boutique locations in Bal Harbour Florida, Beverly Hills California, Las Vegas Nevada, New York City and Short Hills, New Jersey.


Dolce & Gabbana currently has a women's shop-in-store at Holt Renfrew's Bloor Street flagship location. Our Holt Renfrew insider says that, to the best of their knowledge, the Holt Renfrew Dolce & Gabbana shop-in-store will remain.


The 111 Bloor Street building is a reconfigured heritage building that previously housed a Louis Vuitton boutique (which recently moved to 150 Bloor W) and before that, a multi-brand mens/women's retailer called Giorgio Couture.


Dolce & Gabbana website: www.dolcegabbana.com




Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

Sears May Sell More Store Leases. Good For Canada.

Sears Yorkdale, Toronto. Future Nordstrom Location? Image: CityTV
Sears CEO Calvin McDonald appears more willing to entertain offers for Sears store leases. This could provide opportunity for new Nordstrom, Target, Simons and other retailers looking to expand in Canada. 

A Sears insider notes that the company is willing to fight hard to improve its financial position, and has started to divest of some real estate interests. For example, yesterday, Sears sold its stake in a Medicine Hat, Alberta mall for $43million. Yesterday (Wednesday December 12) the store issued a special dividend of $1/share, for a total of $102million. Both show a potentially aggressive move by Sears to go head-to-head with Target. 

To quote Calvin McDonald:

“When people call, our due diligence is to evaluate that conversation. When we evaluate our portfolio of stores and look to find the balance between trading value and real estate value, our focus is very much on trading value in the organization. We are not in discussions with anybody, but we constantly evaluate our portfolio and look for opportunity for value.”

Calvin recognizes the value in Sears Canada's assets and may be willing to shore-up its financial position by divesting some real estate holdings. This is HUGE news, as Sears has some of the best large-format retail real estate in Canada. Sears already sold interest in three store leases for $170million, paving the way for Nordstrom's Canadian entry. We're asking our Sears insider to monitor their situation and with what other store leases they may release. 


Sources: Sears Insider, Financial Post.

Sears Canada website: www.sears.ca




Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

More Target and Nordstrom News Coming Soon!

Retail Insider is meeting with a Target Canada insider tomorrow to discuss Target's Canadian stores. We apologize for this brief, relatively uninformative article but our research this week is taking more time than we expected.

We'll be getting an update on Target store openings and locations, as well as possible new Target locations not included in former Zellers locations.

We will also be examining the format and size of Canadian Target stores and how they will vary slightly from American locations. We're learning that American retail entrants into Canada sometimes modify their Canadian store formats. We recently mentioned this with Nordstrom.

Today we spoke to a Nordstrom insider and we've got new information on what Nordstrom's Canadian stores will look like. This article will come early next week, as we have information to organize and holiday parties to attend.

Retail Insider will take a break (mostly) over the holidays (December 17-26) and will return full-steam after the New Year. We will be traveling to the United States to visit with family and to research American retailing trends. We'll certainly have much to discuss when we return, including our analysis and comparisons of American vs. Canadian retailing.

Retail Insider will also have a 'new look' in the New Year. We are working with a website developer to bring a fresh, interesting look to the website.

Bookmark our page and check back often. Also follow us on Twitter and Facebook, as we often post articles and comments not found on this website. Links are below.

Target Canada website: www.target.ca

Nordstrom website: www.nordstrom.com


Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com



Hudson's Bay Company to Eliminate Most Private Label Brands

The Hudson's Bay Company will concentrate on five private-lable brands, while dumping 20 under-performing private-label brands. It wants to increase private label sales from a current 9% to 15% of sales by 2017. By next Fall, the only in-house brands at Hudson's Bay will be:

1) Hudson's Bay Company Signature,
2) Lord & Taylor,
3) 1670
4) Gluckstein Home and
5) Black Brown 1826.

Private label brands are twice as profitable as carrying designer brands. They're also 'exclusive' (not found elsewhere), potentially benefitting a retailer if popular.

Hudson's Bay Company Signature is the somewhat pricey Hudson's Bay striped merchandise label carried at selected Hudson's Bay stores, selected Lord & Taylor stores in the US and at the two new Hudson's Bay airport stores we previously discussed.

1670 will be an entirely new label to be launched autumn 2013. It will feature contemporary men's and women's fashions at 'moderate price-points' according to an industry insider who had little other information.

The Lord & Taylor and Black Brown 1826 labels hail from Hudson's Bay-owned Lord & Taylor. Lord & Taylor is an upscale American department store chain often compared to the likes of Nordstrom (and a notch above Hudson's Bay, price-wise).

Gone will be such labels as Alfani, Expression, INC, Hudson North, Hudson Room, and others. In all, 20 in-store labels will be discontinued.

Private-label merchandise has done well at Macy's in the US, making up about 20% of Macy's sales.

Source: Insider X, Globe & Mail.

Hudson's Bay Company website: www.hbc.com




Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

Sears Canada Concentrating on Small Markets: Good News for Nordstrom?

Image: affaires.lapresse.ca
Sears Canada will concentrate on rural and mid-market communities for future growth. These markets provide less competition and, according to Sears Canada CEO Calvin McDonald, will allow Sears to grow like it did initially in its 1950's Canadian inception.

Granted, this isn't the 1950's. But is Calvin on to something? And will Sears Canada give over more prime retail space for Nordstrom's Canadian expansion?

An industry insider speculates Sears will concentrate on smaller markets and suburbs while selling-off its larger downtown and some prime suburban space to increase cashflow. This could pave the way for more Canadian Nordstrom locations. This is speculative and Calvin McDonald, himself, says he wants Sears Canada's flagship location to remain at the Toronto Eaton Centre.
Toronto's Yorkdale Mall includes a 190,000 sq ft Sears. Nordstrom wants it. Image: Wikipedia

An insider at Oxford Properties expressed frustration with Sears' lack of cooperation in releasing some prime leases, including Sears' Yorkdale Shopping Centre location. Nordstrom is said to want it, and Oxford wants to deliver. Yorkdale recently went through a major expansion as we previously reported.

Sears might just become a successful retailer. Sears Canada is using its credit card database to study past consumer spending. It hopes this information will direct it to target shoppers and increase sales.


Sears Canada's customer database was initiated in 1953 and includes about 4.5 million credit card holders. Analysis led to the re-introduction of Sears' Jessica fashion line, and management hopes further analysis will be able to determine consumer wants and needs, including the requirement for a new bed mattress or new shoes, for example.

Sears Canada is struggling financially, and its CEO Calvin McDonald wants to make it profitable by 2014. This is a tall order considering that Sears has reported losses for the past 12 quarters.


Sears CEO Calvin McDonald. Possibly describing Dolly Parton. Image: http://southbayview.blogspot.ca
Sears is still either #1 or #2 market-share retailer in Canada for such product categories as bed mattresses, women's dresses, men's formal wear and major appliances. At the same times, Sears is significantly reducing its concentration of electronics and toys, deferring to strong Canadian competitors.

We are watching Sears Canada closely, as it may still be a viable Canadian retailer. At the same time, we're rooting for Sears to give up prime retail leases so Nordstrom, Simons and other interested retailers can comfortably continue their Canada-wide expansions in a market with limited retail space.

Sears Canada webiste: www.sears.ca



Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com


Big-Box-Retail Coming To Downtown Canada

Costco in Downtown Vancouver, BC. Image: oztravelfiles.blogspot.com
On Monday we mentioned Target's imminent arrival in Canadian downtowns, including Vancouver and Toronto. Today we'll briefly examine the tendency towards big-box retailers moving into city centres.

Big Box retailers such as Wal-Mart, Costco, Michael's, Canadian Tire, Best Buy and others have traditionally been found in suburbs. As thousands of new condo dwellers populate Canadian downtown cores, ground-floor retail space in condo developments is increasingly being occupied by larger-format retailers previously limited to the suburbs.
Aura condo tower to include Marshall's and Bed Bath & Beyond. Image: http://www.condo-living-west.com
Toronto's Aura at College Park, for example, will be a massive residential tower with about 180,000 square feet of retail in its podium. Retail at Aura will include Marshall's, an American value-priced retailer. Bed Bath & Beyond will also be at Aura. Winners is already located in an adjoining building, and two grocery stores complete the retail area known as 'College Park'.

Big box retail downtown isn't new: Vancouver got a Costco store downtown in 2006. Included are about a thousand condo units in three towers (a fourth was recently added). Downtown Vancouver and Toronto have since opened numerous big-box stores including Winners, Homesense, Future Shop, Canadian Tire and others. As urbanites continue to flock into downtown cores, popular big-box retailers will continue to follow.
Canadian Tire in Downtown Toronto. Image: lazyphotographr.wordpress.com
Retail Insider will be keeping up with what large-format retailers will be moving into Canadian city centres. Target is actively seeking central Toronto and Vancouver space and we have been informed that at least one Downtown Toronto location has been secured. Target could open as many as three stores in Downtown Toronto, alone. A Downtown Vancouver location is in the works but a site hasn't been secured at this time. Downtown Calgary and Montreal should be watched closely, and even Edmonton is seeing a renewed vibrancy in its downtown core that will be followed by substantial retail.

Aura website: http://www.collegeparkcondos.com

Marshall's website: www.marshallscanada.ca



Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

Niagara Outlet Mall Approved

Outlet Centre Proposal Image: Pellow + Associates Inc. 
The green light has been given to start construction on a 650,000 square foot outlet mall in Niagara-on-the-Lake, just north of Niagara Falls, Ontario. It will be called 'The Outlet Collection at Niagara' and is the most recent of several outlet malls to open in Canada in the next few years. 

Site preparation and construction is expected to start in the next few weeks, according to a source at Niagara-on-the-Lake Town Hall.  Ivanhoe Cambridge will develop the mall. The mall will open in two phases; one at 550,000 square feet while a second 100,000 square feet will be completed at an unspecified date. 

Ivanhoe Cambridge website: www.ivanhoecambridge.com




Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

'City Target' Coming to a Canadian City Near You


Target Canada is in the process of searching to obtain locations for several smaller-format 'City Target' stores in Canada. These will be located in city centres. We'll start revealing potential locations this week, and we'll give you a peek at what a City Target looks like. 

City Targets are generally about 30,000 square feet smaller than regular Target stores, measuring about 80-100,000 square feet. They carry less variety than full-sized Target stores but really, who needs huge BBQ's when you live in a downtown condo? 
City Target, Chicago. Image: Racked Chicago
This is City Target in Chicago. It's about 100,000 square feet and is in a heritage building. It even carries groceries, which is convenient for urban dwellers. 

This week we'll provide details of what City Targets will be like, and how they will differ from larger suburban Target stores. 
City Target, Chicago. Image: Racked Chicago
This week we'll also continue our discussions regarding new Canadian outlet shopping, and we'll provide more details on Nordstrom's entry into Canada, including an update on a possible West Edmonton Mall location. Stay tuned!

Photo Source: http://chicago.racked.com (blog that inspires us)

Target website: http://www.target.com


Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com


OUTLET MALLS: Coming to a Canadian City Near You!

Image: http://putthison.com
Various Canadian cities will be getting American-style outlet malls. One of our commercial real estate insiders informs us that RioCan development is in the process of securing outlet mall location space in Edmonton, Calgary, Ottawa and Toronto. Calloway REIT is also scouting Canada-wide locations for outlet malls and is already developing outlet malls in suburban Toronto and Montreal.

Southern Ontario will be getting several outlet malls, and British Columbia's Lower Mainland will also get more than a couple. Both locations already lose bargain-shopping to closely-located American outlet malls. 
Woodbury Common. Image: 5starstravel.ca

We are consulting with our real estate broker insiders to try to get first-to-press insider info on new outlet mall developments in Canada. Stay tuned! 


Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

Hudson's Bay Trading Company Opening at Vancouver Airport

Image: Hudson's Bay Company
The Hudson's Bay Trading Company will open at Vancouver International Airport's International Terminal. We previously reported on the same store's recent opening in Toronto's airport. 

The Vancouver store will be 1040 square feet and will open March 2013. The store will be operated by LS Travel Retail North America. 


Hudson’s Bay Company President Bonnie Brooks said: “This is another exciting milestone for us as we continue to offer new and unique shopping options and destinations. Opening our shop at Vancouver International Airport will provide an enhanced shopping experience to customers during their travels and gives everyone the chance to own a piece of iconic and stylish Canadian memorabilia.” 

Image: Hudson's Bay Company
This retail concept is a brilliant way to bring the Hudson's Bay brand to international travellers. Hudson's Bay stripe-branded products are already available at Hudson's Bay stores in Canada as well as at selected Lord & Taylor stores in the United States, also owned by The Hudson's Bay Company. 

Source: http://www.moodiereport.com/document.php?c_id=6&doc_id=33370


Hudson's Bay Company: www.hbc.ca


Hudson's Bay stores: www.thebay.com





Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

Holt Renfrew's hr2 May Open in Vancouver's McArthurGlen Outlets

Image: Holt Renfrew
A commercial real estate insider has just informed Retail Insider that Holt Renfrew's hr2 lower-priced/discount concept is considering a location at Vancouver's proposed McArthurGlen Outlets near Vancouver International Airport.

We have few details about the potential move and we're providing links to our previous articles about 1) McArthurGlen's Vancouver outlet proposal and 2) Holt Renfrew's hr2 concept.

The same insider informs us that hr2 is actively seeking other Canadian locations for its new discount designer retail concept. Keep reading Retail Insider, as we haven't seen other news sources reporting information we're being provided by industry insiders.



Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com

Maison Simons West Edmonton Mall North Section Now Complete

Image: West Edmonton Mall
La Maison Simons opened its West Edmonton Mall store on October 31st. The store was incomplete, as a northern section had yet to be completed. The North section is now open, and here are the pics. 
Image: West Edmonton Mall


Image: West Edmonton Mall
The new space includes an expanded selection of men's and women's clothing, more change rooms, and access to its customer service area on the second level.

We think this is, easily, the most attractive store in Edmonton and one of the best in Canada.

Here is a link to our article on the October 31st opening of Edmonton's La Maison Simons.

La Maison Simons website: www.simons.ca

West Edmonton Mall website: www.wem.ca



Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com









Canadian Nordstrom Store Layouts: Insider Info

Salon Shoes (featuring Miu Miu). Image: doyoudesire.com
One of our Nordstrom insiders is involved with Canadian store planning. Our insider provided us some information about the layout of Canada's first four Nordstrom stores. First hint: Shoes will take a substantial square footage in each store.

Retail Insider is going to provide selected Nordstrom store details in the next couple of weeks because 1) We're too busy to do it on one long article and 2) We want you to keep coming back to read our website.  And believe us it will be worth it. In January our website will look substantially different and will include new features including podcasts, for example.

Today we'll have a brief peek at the layout of the Toronto Sherway Gardens store. Sherway's Nordstrom store will be two floors and will be about 138,000 square feet. The store is considered to be a 'satellite' store eventually complimenting a Downtown Toronto flagship location that will be announced after negotiations are completed. The Sherway store's layout will be fairly 'typical' of a Nordstrom store, to be explained below.
ebar at Nordstrom. Image: mattconstruction.com

Ground Level:

The ground-level of the Sherway Nordstrom will include a small, quick-food and coffee concept called 'ebar' at the store's mall entrance. As one enters the store, women's shoes will be presented in three departments. Next to e-bar will be a department called 'Salon Shoes', which includes designer footwear such as Valentino, Gucci, Prada and others. Two other adjacent women's shoe departments will be beside it ('Women's Shoes' and 'Brass Plumb Shoes' - both less expensive), all serviced by a substantial storage area behind.

The ground level will include two women's handbags departments; one for 'regular' bags and one for 'designer handbags'. Designer handbags may include Jimmy Choo, Yves Saint Laurent and others (it's too soon to say). Jewelry and small accessories will be nearby.

A typical cosmetics department will be included on the ground-floor. Nordstrom cosmetics departments are typically densely-packed and adhere to a somewhat uniform look.

Menswear will be located on the ground floor. Men's shoes will be an important part, to be located next to women's shoes (to share storage space). Menswear will include departments at various prices including 'The Rail' (casual/denim), men's clothing, men's 'furnishings', men's sportswear and selected pieces from men's 'designers' department, to be revealed at a later date.

Childrenswear and shoes will also be located on the ground floor.
Collectors, Fashion Valley San Diego. Image: doyoudesire.com
Second Floor:

Nordstom's Sherway second-floor will include several women's departments. 'Collectors' is the name of Nordstrom's designer women's department, typically carrying such designers as Dolce & Gabbana, Gucci, Valentino, Oscar de la Renta and others. St. John womenswear may be carried in its own department, and licensing negotiations for the brand are underway.

Other women's departments will include 'Via C' (contemporary designers), Savvy (contemporary sportswear), t.b.d (trendy contemporary), Individualist/Point of View/Studio 121 (all less-expensive women's departments), as well as dresses, coats, lingerie, hosiery, sleepwear, and possibly larger-sizes and petites (known as 'Encore' and 'Petite Focus', respectively).

Our Nordstrom insider noted that the Sherway Gardens store may be less-well stocked than some American Nordstrom stores due to 1) its relatively small size and 2) Canadian designers are tightly distributed and many Nordstrom designers already have licensing contracts with either Hudson's Bay or Holt Renfrew. So we can expect a slightly different Nordstrom store in Canada, though our source confirms customer service and shoes will keep Canadian shoppers coming back to Nordstrom, Sherway Gardens.

Retail Insider will post regular articles about what is to come with Nordstrom's entry into Canada. We've also interviewed a prominent retail analyst who says Nordstrom has good things but also challenges in the Canadian market. It will be worth the wait. Keep reading and stay tuned!

Nordstrom website: www.nordstrom.com

Sherway Gardens website: www.sherwaygardens.ca



Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com





"Green Bay" in Waterloo: Future Department Store Model?


A reader sent us photos and a description of an enviro-friendly or 'green' Hudson's Bay department store in a Waterloo, Ontario mall. What first impressed us was the changing colour/video screen of its interior-mall signage, video above.

And below... it can even do images. We like. Back to the article...

We were provided some exterior and interior shots. The store is clean and modern, not unlike a suburban Macy's or Nordstrom in the US. The store is at Conestoga Mall in suburban Waterloo. 
Looks a bit like a Macy's or Nordstrom. Source: Eric, lulumen.blogspot.com
We were not familiar with this 120,000 square foot store until our reader provided us with the pictures and description provided below. And it's worth a quick read, as this particular department store is quite innovative. From the September 17 2008 press release"

(Bonnie Brooks, President/CEO) ... "as well as appealing to the community's environmentally
progressive nature through unique green initiatives like solar panels, wind turbines, energy efficient lighting and even recyclable carpet."Among the store's many green innovations are:

    -  Special energy efficient lighting inside and out - LED exterior
       signage lights, which uses 10 percent of the energy required for
       conventional lighting; Fluorescent lighting uses energy efficient T8
       and T5 ballast which save energy and reduce cooling loads while
       providing same lighting quality within the store.
    -  High efficiency roof top units use ozone friendly R410A refrigerant.
    -  Accent lighting uses highly efficient Metal Halide light fixtures.
    -  Solar panels mounted on the front of the store enabling the store to
       draw less power from the local grid.
    -  Two wind turbines, which will generate enough electricity to offset
       the power consumption of an average home.
    -  White TPO roofing to reflect heat and reduce thermal islanding; the
       cooler roof reduces the need for air conditioning and is recyclable at
       end of life.
    -  Waterless urinals and touchless water faucets and toilets for water
       conservation.
    -  Carpet tile is recyclable.
    -  Fully automated energy management system controlled by HBC.
Store's interior. Source: Eric, lulumen.blogspot.com
The store includes distinctive with frosted glass accents and chrome finishing throughout.
Image: Eric, lulumen.blogspot.com

That's pretty impressive. With recent changes to Hudson's Bay, we can expect newly renovated store interiors to be similar to those at Hudson's Bay's newly renovated Yorkdale store, as we previously posted

We will be featuring more inovations from current and future Canadian retailers, including City Target and Walmart. Stay tuned! 

Source: Eric (thank you!) and his blog: lulumen.blogspot.com

Hudson's Bay website: www.thebay.com

Conestoga Mall website: www.conestogamall.com

Press Release: http://www.newswire.ca/en/story/305757/waterloo-becomes-home-to-canada-s-first-green-bay-store



Retail Insider on twitter: @retailinsider_

Retail Insider on Facebook: www.facebook.com/RetailInsider 

Got any retail insider info? insider@retail-insider.com