Dive Summary:
- Analysts are predicting that the launch next month of Target Canada will create an "all-out retail war."
- Stagnating retail sales are likely to send retailers like Canadian Tire, Loblaws Joe Fresh, Old Navy, Sears Canada and Walmart Canada into a push to retain customers.
- Walmart is already planning to counter Target by spending $450 million to open new stores across Canada, while Sears is planning a round of layoffs and Best Buy plans to close 15 of its Best Buy and Future Shop locations, with 900 layoffs expected there, as well.
From the article:
Analysts are predicting that Target’s arrival in Canada — which begins next month, with the first wave of store openings — will start a war the likes of which have rarely been seen in Canada's comparatively tame retail sector. But Target’s arrival is coming at what appears to be an inopportune moment for Canadian retailers — just as evidence grows that Canadian consumers are running out of steam. ...
