Last week, Whole Foods Markets fired nine store managers out of its Washington, D.C. stores. According to the grocery giant, these individuals had committed improprieties in managing a profit-sharing program for their own advantage.
According to the Associated Press, managers at nine separate stores in Virginia, Maryland and Washington, D.C. have been terminated. Those individuals had been found misusing the chain’s “Gainsharing” program, which awards bonuses to hourly employees whose departments come in under budget.

Whole Foods has not offered comments on the nature of these misdemeanors or specified which locations were affected. “We took swift action, but, relative to the rest of the company, this manipulation only happened in nine of our locations,” says company spokeswoman Brooke Buchanan.

“Gainsharing,” which allows employees to receive benefits for their cost-saving measures, has been criticized as a way for employers to determine how to best cut labor costs. As such, this program rewards workers in the short term, but could potentially eliminate their jobs in the long term.

The Canadian Gift Association (CanGift) is thrilled to announce Pharmasave Broadmead in Victoria, B.C. as the 2016 Retailer of the Year. Locally owned and operated by Andrea Hyndman, Satnam Lalli, and Michelle and Dave Jeske, Pharmasave Broadmead opened in 1991, recently celebrating 25 years in business.

At the entrance of the 10,000 square foot store, customers are greeted with vignettes of beautifully displayed giftware and décor items from around the world, and around the corner. The giftware department encompasses over 2,000 square feet of retail space with brands, such as Indaba Trading, Abbott, Torre and Tagus, Bovi and many more.

“It is an incredible honour to win Retailer of the Year from the Canadian Gift Association,” says Rhea Cavelti, store manager. “Being awarded this from our peers is very humbling. Our team is inspired by our customers and the thrill of finding the perfect products for them.”

The store is involved in many fundraising campaigns including Canucks for Kids, Canadian Cancer Society and Variety the Children’s Charity. Local non-profit groups, schools and community fundraising efforts have also been strongly supported. In addition, the team has won the Pharmasave Charity Champions Regional Award six years in a row and Pharmasave Store of the Year seven times in the last 24 years.

CanGift’s Retailer of the Year Awards are based on criteria that are vital to retail success including: visual merchandising and store design; business achievements; advertising and public relations; and community involvement. The winners are officially awarded at the Salute to Excellence Awards Reception, hosted by celebrity designers Glen Peloso and Jamie Alexander at the Spring 2017 Toronto Gift Fair.

With 2016 drawing to a close, it is important for businesses in all industries to look towards future growth. Various experts are suggesting that next year, digital will be the aid of choice for Canadian companies.

Of course, this digital expansion will include the expansion of e-commerce capabilities. While in 2016, e-commerce sales accounting for only about 2 per cent of total retail sales, retail industry expert Doug Stephens told the Canadian Press that it is growing quickly.

According to Stephens, who runs consultancy firm Retail Prophet, e-commerce it’s growing at a pace of 15 per cent each year, compared with 3 per cent growth in bricks-and-mortar sales. Stephens notes that customers expect the process of buying online to be as seamless as purchasing the item in a store.

“The ability to serve customers online and particularly on a mobile device, to be able to ship quickly and to be able to ship either free or at the lowest possible cost [is necessary],” he said.

Additionally, more retailers will be incorporating more digital elements into their stores. Retail strategist Kelly Askew also told the Canadian Press that in 2017, “(retailers will be) moving away from some of the gimmicky and gadgetry that we’ve seen until now, like digital screens you can interact with but they don’t really add to the experience.”

Simply put: beef up your digital experience for consumers in order to stay on top. Those who continue to ignore the growing medium may fall short.

With store closures and low sales, Sears Canada is attempting to turn things around with an entrance into the grocery business. The Toronto-based department store chain has partnered with two specialty supermarket operators to run food markets at some of its retail locations.

Brandon G. Stranzl, executive chairman of Sears Canada, says this move should drive more traffic to Sears locations—shoppers visit grocery stores much more frequently than they do department stores.

The announcement comes as Sears Canada is struggling with finances: this year’s third-quarter report showed doubled losses from the same time last year. Quarterly revenue was $625.2 million, down 21.1 per cent from the third quarter of 2015, which showed $792.1 million in revenue.

“We’re not, obviously, happy with where the business is financially,” says Stranzl, adding that things won’t improve “overnight.” To help speed this process along, Sears has been redesigning stores and leaving more retail space for new partnerships.

Sears follows in the footsteps of companies like Walmart and Shoppers Drug Mart, which both entered the grocery business in recent years. For independents, this move may or may not spell trouble: with these fully integrated department stores moving into the grocery category, smaller retailers will have to increasingly compete for market share.

Last week, Costco Wholesale announced the opening of its first Business Centre in Canada. The new concept targets businesses in the food service, convenience store, and restaurant industries.

Located in Scarborough, the 127,000 square-foot location will operate differently from the company’s other warehouses: 80 per cent of its product offerings only be available at the Costco Business Centre, including various fresh foods and confectionary items.

The centre will also offer next-day delivery with a new truck fleet, as well as business-friendly hours that start at 7AM.

“Costco’s Business Centre will help our local businesses grow by providing them with the products they need in a timely manner,” says Toronto Mayor John Tory. “This is good for business and it’s good for our economy.”

Baskets will also be four times larger than those at the traditional Costco locations, according to Andree Brien, senior vice-president at Costco Wholesale Canada. Additionally, the stores will be quieter, with businesses taking advantage of extended hours and delivery options.

This new development could spell trouble for other wholesalers in the grocery, restaurant and convenience store industries, who may have to reconsider some of their operations in order to remain unscathed. The Business Centre, which is set to open in March, will be open to anyone with a Costco card.

Dr. Hauschka, the natural beauty and skincare giant, has partnered with a new Canadian distributor. Masson Agencies Ltd., located in Quebec, will be handling the brand’s Canadian ventures.

With over 50 years of experience, Masson is fully equipped to manage the company’s Canadian operations. With clients like Gucci, Givenchy, and Esthederm, their team has a wealth of familiarity with the high-end skincare market.

“We are honoured and blessed to be working with such an established brand,” says Jacques Masson, president of Masson Agencies. “We look forward to working with Dr. Hauschka and furthering the brand’s Canadian presence.”

Effective January 2, 2017, Natural Organic Food Co-op will have a few new changes to their team.

Chris Williams, has accepted the challenge of Brand/Category Management, and will become their Sr. Brand Manager. Chris will also continue to help the team with yearly and quarterly sales planning duties. Chris’s 10 years of ONFC Retail/Marketing experience and understanding retailer needs will prove very valuable as they progress into 2017 and build Vendor Programs with all customers and vendors. Chris will continue to report John Landsborough.

Ha Le has accepted the challenge of their In-take Role (New and Line Extensions), and will become the New Listing Co-ordinator.  Ha has proven herself very valuable in assisting their team with various brands as a Junior Brand Manager and will be able to use her extensive Supply Chain Management and other management experiences at ONFC. Ha will now report to Jamie Fedorko.

Larissa Ahlborn has accepted the challenge of Brand/Category Management, and will become ONFC’s newest Brand Manager. Larissa has made so many in-roads and improvements in her two years with ONFC from their In-take processes and with her previous Brand Management experiences will enhance and strengthen their Brand Management Team. Larissa will now report to Chris Williams.

Monica Walker will now focus on managing the Outside Sales Team as Outside Sales Manager and building and supporting their dynamic sales team. Monica has been very instrumental in the building the Brand Management Programs while utilizing her Broker, Vendor and Retailer experiences at ONFC. Monica will fully focus on a very challenging and dynamic marketplace of being on the road and building the sales of the Top 300 Accounts for ONFC. Monica will continue to report to John Landsborough.

Congratulations to Chris, Ha, Larissa and Monica on your new roles.