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Canadian retail sales July 2024

Posted on by darion

JC Williams Group Analysis

The Canadian retail market showed a mixed performance in July 2024, with overall sales up 2.0% year-over-year. However, excluding automotive, food and pharmacy, there was a slight decline of 0.5% year-over-year in discretionary spending, indicating continued caution among consumers and changing spending patterns across retail categories.

A significant factor impacting the retail landscape was the LCBO strike, which had a significant impact on alcohol sales in Ontario. Beer, wine and liquor stores saw a significant decline of 6.6% year-over-year, with YTD results also down 3.8%. This decline not only reflects the direct impact of the strike, but also suggests a broader trend of changing consumer preferences for alcohol consumption. Interestingly, the impact on supermarkets and other grocery stores was less pronounced, with a decline of only 1.0% year-over-year, indicating a potential shift in where consumers purchase their alcoholic beverages.

In contrast to the challenges faced by the alcohol sector, General Merchandise Stores delivered strong results, posting a year-over-year increase of 3.1%. This growth can be partially attributed to the success of promotional events such as Amazon Prime Day in July. Many Canadian brands strategically offered competitive sales and discounts during the period, contributing to solid category growth, with YTD results up 4.7%. However, Prime Day still had an impact on e-commerce sales, with a year-over-year increase of 6.9%.

For perhaps the first time since legalization, the retail cannabis sector faced headwinds, reporting negative growth with sales down 3.9% year over year and down 1.0% year over year. This unexpected decline came despite expectations of strong results in July due to the LCBO strike, which was expected to drive consumers to cannabis products. The sector’s challenges were further underscored by the announcement that Tokyo Smoke would close 29 stores and file for creditor protection, signaling potential saturation and regulatory challenges in the retail cannabis market.

As fall approaches, several factors will impact retail sales results:

  • How will smaller basket sizes/spends during back-to-school shopping season impact overall retail sales?
  • What is the expected impact of hosting multiple Prime Day events (summer and fall) on overall retail sales during the holiday season?
  • What impact will the reduced number of forest fires compared to previous years have on retail markets, especially in areas where such incidents have occurred before?
  • How can retailers mitigate the effects of unexpected weather-related disruptions?
  • How do YOU ​​plan your marketing strategy, given that holiday promotions start earlier every year?

If you need support with your holiday strategy, get in touch with the JCWG team!

Canadian Retail Sales by Product Category, Same Month Comparison

July Sales July 24 July 23 A year ago
All stores 69 457 362 68,124,865 1.96%
Motor Vehicle and Parts Dealers 19 194 078 18 097 693 6.06%
Gas stations 7 096 643 6 917 023 2.60%
All stores Less Automotive 43,166,641 43,110,149 0.13%
Food and beverage stores 13 337 704 13 574 500 -1.74%
Supermarkets and other grocery stores* 9 265 663 9 360 078 -1.01%
24-hour shops 795,198 841 735 -5.53%
Specialty food stores 964,156 910 886 5.85%
Beer, wine and spirits stores 2 312 688 2 461 800 -6.06%
Health and personal care stores 5 619 743 5 217 743 7.70%
All stores except Automotive, Grocery and Pharmacies 24 209 194 24 317 906 -0.45%
General Merchandise Stores 9 310 224 9 035 070 3.05%
Furniture, home furnishings, electronics and household appliance stores 3 444 385 3 546 934 -2.89%
Furniture stores 1 184 967 1 263 925 -6.25%
Home Furnishing Stores 688,443 660 250 4.27%
Electronics and household appliance stores 1 570 975 1 622 759 -3.19%
Clothing and accessories stores 3 382 989 3 411 564 -0.84%
Clothing stores 2 624 181 2 608 757 0.59%
Shoe stores 389 022 429 164 -9.35%
Jewelry, luggage and leather goods stores 369 786 373 643 -1.03%
Sports, hobby, book and music stores 3 791 708 3 971 133 -4.52%
Building materials and gardening equipment 4 279 887 4,353,207 -1.68%
Various retail stores 2 489 722 2 608 501 -4.55%
Marijuana retailers 440 701 458,435 -3.87%

Canadian e-commerce sales

E-commerce sales July 24 July 23 Percentage change
A year so far 25 675 930 24 331 857 5.52%
Year to year 3 589 532 3 356 461 6.94%

Canadian Retail Sales by Store Category, Year-to-Date Comparison

One year so far, end of July July 24 July 23 Year to year
All stores 454,122,846 449,674,856 0.99%
Motor Vehicle and Parts Dealers 125 761 558 124,551,331 0.97%
Gas stations 45,114,367 45 124 827 -0.02%
All stores Less Automotive 283,246,921 279 998 698 1.16%
Food and beverage stores 87 963 074 87,323,125 0.73%
Supermarkets and other grocery stores* 62,861,860 61 777 492 1.76%
24-hour shops 4 996 503 5 158 594 -3.14%
Specialty food stores 5 995 128 5 714 539 4.91%
Beer, wine and spirits stores 14 109 585 14 672 497 -3.84%
Health and personal care stores 38 305 606 36,236,257 5.71%
All stores except Automotive, Grocery and Pharmacies 156,978,241 156,439,316 0.34%
General Merchandise Stores 60 394 775 57 700 970 4.67%
Furniture, home furnishings, electronics and household appliance stores 23 489 825 23 748 424 -1.09%
Furniture stores 7 797 891 7 991 644 -2.42%
Home Furnishing Stores 4 619 352 4 817 671 -4.12%
Electronics and household appliance stores 11 072 583 10 939 106 1.22%
Clothing and accessories stores 21 652 503 21 942 001 -1.32%
Clothing stores 16 743 907 16 886 867 -0.85%
Shoe stores 2 528 628 2 623 653 -3.62%
Jewelry, luggage and leather goods stores 2 379 967 2 431 480 -2.12%
Sports, hobby, book and music stores 24 642 527 25 851 025 -4.67%
Building materials and gardening equipment 26 798 608 27 196 897 -1.46%
Various retail stores 16 044 263 16 991 296 -5.57%
Marijuana retailers 2 887 003 2 917 017 -1.03%

Retail, Canada, All Stores, By Geography

Region Year to date 2024 Year to date 2023 Year to year
British Columbia 61 219 601 61,273,325 -0.09%
Vancouver 30 586 666 30 125 219 1.53%
Albert 58 733 440 58 610 552 0.21%
Prairies* 30 212 334 29 590 842 2.10%
Ontario 169,063,064 167 759 320 0.78%
Toronto 76 009 265 76,439,840 -0.56%
Quebec 102 031 569 100 701 098 1.32%
Montreal 50,683,653 50 251 622 0.86%
Atlantic Canada 31 220 769 30 180 687 3.45%
Territories* 1 642 073 1 559 031 5.33%

Related:

Canadian retail sales post strong gains amid decline in discretionary spending in May (JC Williams Group analysis)

Declining Sales and Footfall Plague Canadian Retailers (JC Williams Group StatCan Analysis)

Canadian retail saw strong gains in February, fueling summer buying speculation (JC Williams Group analysis)