, excluding petroleum, dropped 2.8 per cent and 2.3 per cent, respectively, in April from March, according to Statistics Canada data released on Friday. Analysts surveyed by Bloomberg had expected manufacturing sales to drop two per cent and wholesale sales to fall 0.9 per cent.
“Feedback from respondents highlighted the impact of the recent tariffs imposed by the United States on Canada’s manufacturing sector,” Statistics Canada said in a press release.
Manufacturers said they were experiencing price increases as well as rising costs for raw materials, shipping and labour. One-third said demand for their products had changed.
Trump’s tariffs include 25 per cent duties on goods that are non-compliant with the
“The implications for April and second-quarter GDP are squarely negative and recession risks are alive and well,” David Rosenberg, economist and founder of Rosenberg Research & Associates Inc., said in a note.
Andrew Grantham, an economist at CIBC Capital Markets, said the data suggests that GDP growth for April will be downgraded from a “surprisingly positive” first estimate of 0.1 per cent, and could be the prelude for second-quarter growth “tracking flat.”
First-quarter GDP growth came in at 2.2 per cent, well ahead of estimates for 1.7 per cent.
On the manufacturing front, petroleum and coal, vehicle sales and primary metals, such as aluminum, contributed the most to April’s decline.
Excluding petroleum and coal, manufacturing sales fell 1.8 per cent in April from March and are down 2.7 per cent year over year.
“Adding insult to injury was the 6.8 per cent month-over-month contraction in new manufacturing orders,” Rosenberg said.
Orders have fallen in two of the past three months, he said, adding that orders for “big-ticket durable goods” shrivelled 10.5 per cent in April, “the sharpest slippage in nearly three years.”
Rosenberg said this data is “key because new orders are, after all, a leading indicator and the mother’s milk for future demand.”
On the wholesale front, sales fell in six of the seven subsections, accounting for 81.6 per cent of the total.
Motor vehicles and parts led the decrease in April, falling 6.5 per cent, a U-turn from March, Statistics Canada said.
As the tariff war got underway, Ontario and Quebec were singled out as being among the provinces most vulnerable to Trump’s tariffs, something the latest manufacturing and wholesale data supported.
Ontario manufacturing sales dropped 2.4 per cent in April, or $31 billion, representing the largest dollar decline since March 2024. Quebec’s contracted the second-most in dollar-terms, down $17.5 billion, the fourth straight monthly drop.
Ontario also recorded the largest decrease in wholesale sales in dollar terms as the sector contracted $910 million — a decrease of 2.1 per cent.
for a second consecutive time at 2.75 per cent at its June 4 announcement.
“How the Bank of Canada can just sit on the sidelines as a casual observer is a good question as the disinflationary output gap widens further,” he said.
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Unilever workers in Ivory Coast say the global consumer goods giant is violating their collective bargaining agreement in refusing to ensure severance pay if layoffs take place after the company sells its business there, documents show.
British-based Unilever is selling all of its shares in its struggling Ivory Coast unit, which employs some 160 people, to a local consortium of investors led by wholesale distributor Société de Distribution de Toutes Marchandises Côte d’Ivoire (SDTM).
Unilever Cote d’Ivoire manages the consumer giant’s domestic and international brands in Ivory Coast, but SDTM will only take over Unilever’s domestic brand business, according to an internal memo dated April 8. Unilever has not said how its international brands will be sold in Ivory Coast in future.
Workers began staging protests at Unilever offices in Abidjan on April 25, fearing the unit’s falling turnover in recent years and the loss of the international brand business will trigger layoffs after the sale, which is expected to close by June 20.
Their collective bargaining agreement with Unilever, seen by Reuters, states that in the event of layoffs associated with disposing of its Ivory Coast business, Unilever will give employees severance pay equal to “one month of average gross salary per year of seniority, with a maximum of 18 months.”
The bargaining agreement, dated from 2004, was confirmed by management in 2007 and remains valid, according to Lex Ways lawyer Soualiho Lassomann Diomande, who represents local staff.
The agreement also pledges “medical coverage for a maximum period of six months.”
A Unilever spokesperson did not comment on the agreement.
However, in a meeting at the Labor Inspectorate in Abidjan on April 25, the head of Unilever Cote d’Ivoire, Arona Diop, stated that workers’ rights and salaries would be decided by SDTM, and not regulated by the collective bargaining agreement, according to minutes of the meeting reviewed by Reuters.
Unilever confirmed it was selling the Ivory Coast unit but said in a statement to Reuters: “the proposed transaction is by way of a sale of shares, which does not result in the termination of employees’ contracts.”
“Severance pay is not therefore relevant, as employment continues,” it added.
Unilever’s international brand portfolio has accounted for more than 60% of Unilever Cote d’Ivoire’s turnover, according to three Ivory Coast employees, which totalled 34.6 billion CFA Franc in 2023.
Since the share sale excludes the most important brands, job security is at risk, said Diomande.
Moreover, under article 16.6 of the Ivorian Labor Code, any substantial modification of an employment contract requires the prior agreement of the employee, Diomande added.
“No assurances have been given regarding job security,” said a Unilever Ivory Coast employee, who did not wish to be named.
Contrast with Europe
The severance rights Unilever guaranteed under the collective bargaining agreement are a lot more generous than required under Ivory Coast labour law, according to Diomande as well as two workers interviewed by Reuters.
According to the International Labor Organization’s EPLex database website, workers in Ivory Coast are entitled to severance pay equal to 30% of their gross monthly wage per year for those who have worked up to five years. The percentage rises to 35% from the sixth to the 10th year and 40% for above 10 years of service.
Unilever said early last year it would axe 7,500 jobs globally as part of a turnaround to save about 800 million euros ($913.12 million).
Diomande said Unilever’s treatment of its Ivory Coast staff contrasted sharply with how it treated staff in Europe.
Last month Unilever agreed to guarantee its ice cream workers’ employment terms in Europe and Britain for at least three years after the business’ spin-off, Reuters reported, tripling the usual period in such deals despite no legal requirement to do so.
The generous terms agreed in Europe reflect the power of local unions and strict labour laws on the continent.
Workers in the Ivory Coast told Reuters they had asked Unilever to guarantee the same conditions, including severance pay, for two years, one less than what was granted to roughly 6,000 Unilever workers affected by the ice cream spin off in Europe and Britain.
“Not applying the same conditions in Ivory Coast is unequal treatment and negative discrimination,” Diomande said.
Understanding Dynamics: Recognize that the holiday retail season is crucial for both shoppers and businesses, with strategies that blend creativity and commerce to maximize success.
E-Commerce Growth: Capitalize on the increasing trend of online shopping by optimizing your website for mobile use and facilitating user-friendly checkout processes as more consumers shift to e-commerce.
Enhanced In-Store Experiences: Focus on creating memorable in-store atmospheres with festive decorations and interactive elements to attract foot traffic and boost customer engagement.
Economic Factors: Stay aware of consumer spending habits and inflation impacts, adjusting pricing strategies and leveraging personalized marketing to enhance shopping experiences.
Supply Chain Management: Address supply chain challenges proactively by maintaining good communication with suppliers and exploring local partnerships to ensure consistent inventory availability.
Effective Marketing Strategies: Utilize targeted marketing campaigns and promotions to engage customers, differentiate your offerings, and drive sales during the peak holiday season.
As the holiday season approaches, the retail landscape transforms into a vibrant hub of activity. Shoppers eagerly search for the perfect gifts while retailers ramp up their strategies to attract customers. It’s a time when creativity meets commerce, and understanding the dynamics of holiday retail can make all the difference for both consumers and businesses.
You might wonder how trends shift during this bustling season and what strategies retailers employ to stand out. From innovative marketing tactics to the latest shopping technologies, holiday retail is a fascinating blend of tradition and modernity. Whether you’re a consumer looking for the best deals or a retailer aiming to boost sales, diving into the world of holiday retail will unveil insights that can enhance your experience and success.
Overview of Holiday Retail
Holiday retail represents a critical period for small businesses, characterized by heightened consumer activity and strategic marketing efforts. As shoppers navigate your storefront in search of gifts, understanding their behavior becomes crucial.
In 2022, U.S. holiday retail sales reached approximately $936 billion, marking a significant year-over-year increase. Small businesses play a vital role, as they emphasize personalized customer experiences and unique product offerings. Utilizing local marketing strategies helps capture foot traffic and online shoppers.
Engaging with customers through social media and email marketing builds loyalty. Creating promotional events, like small business Saturday or holiday markets, attracts more foot traffic to your storefront. Incorporating festive themes into your displays enhances the shopping atmosphere and encourages impulse purchases.
Adapting to holiday shopping trends, such as omnichannel strategies, provides customers with a seamless experience. You can achieve this by offering click-and-collect services or ensuring your online inventory reflects in-store stock availability. Leveraging data analytics helps you track consumer preferences, optimizing your offerings.
Understanding these dynamics enhances your opportunity for success during the holiday retail season while fostering community relationships.
Trends in Holiday Retail
Holiday retail trends significantly impact how small businesses operate during the festive season. By understanding these trends, you can create strategies that enhance customer experiences and drive sales.
E-Commerce Growth
E-commerce continues to expand, shaping the holiday shopping landscape. In 2022, online sales during the holiday season increased, signaling a shift in consumer preferences. Small businesses can capitalize on this growth by optimizing websites for mobile use and incorporating user-friendly checkout processes. Utilizing social media platforms for ads can direct traffic to your online storefront, creating more purchasing opportunities. Offering convenient options such as local delivery or click-and-collect services can enhance customer satisfaction and drive completion rates.
In-Store Experience Enhancements
In-store experience enhancements remain vital as customers seek immersive shopping experiences. Small businesses benefit by creating a memorable atmosphere through festive decorations, personalized customer service, and engaging product displays. Interactive elements, such as in-store events or workshops, can attract foot traffic and promote community engagement. Leveraging technology, such as digital price tags or augmented reality experiences, can offer customers unique interactions. Focus on creating a welcoming environment that encourages customers to explore your offerings and extend their visit, ultimately increasing sales.
Impact of Economic Factors
Economic factors significantly influence holiday retail dynamics, shaping both consumer behaviors and small business strategies. Understanding these factors can help you tailor your approach for optimal success.
Consumer Spending Habits
Consumer spending habits fluctuate during the holiday season. You’ll notice increased spending on gifts, experiences, and festive items. Many consumers plan their budgets earlier, often seeking out deals and promotions. Personalized marketing approaches, such as targeted emails or social media campaigns, can effectively leverage these spending habits. By creating unique shopping experiences in your storefront, you can attract more customers and encourage higher spending.
Inflation and Pricing Strategies
Inflation directly affects pricing strategies during the holiday season. Rising costs for goods can pressure small businesses to adjust prices without losing customers. Implementing competitive pricing, promotional discounts, or bundled offers can maintain consumer interest. Emphasize your unique value propositions to differentiate from larger retailers. Transparent communication about pricing changes can foster trust and encourage customer loyalty during economically challenging times.
Challenges in Holiday Retail
Holiday retail presents significant challenges for small businesses as you navigate increased consumer demand and competition. Understanding these obstacles can empower you to develop effective strategies to enhance your operations.
Supply Chain Issues
Supply chain disruptions often intensify during the holiday season, affecting inventory availability and delivery timelines. Delays in shipments from suppliers can result in stock shortages, potentially causing missed sales opportunities. You might face rising transportation costs as logistics companies adjust rates to accommodate increased demand. Maintaining communication with suppliers about lead times and exploring multiple sourcing options can alleviate some of these challenges. Investing in local partnerships can also streamline inventory management, ensuring that your storefront remains well-stocked and responsive to customer needs.
Workforce and Staffing Concerns
Hiring adequate staff becomes crucial during the holiday rush, as customer volume increases. Competing with larger retailers for seasonal employees may pose difficulties for your small business. Offering competitive wages, flexible schedules, and a positive work environment can attract talent. Cross-training employees ensures versatility, allowing staff to fulfill various roles during peak hours. Additionally, investing in training boosts employee confidence and productivity, enhancing the overall shopping experience in your retail space. Prioritizing staff engagement can lead to higher retention rates, fostering a stronger team during critical sales periods.
Successful Holiday Retail Strategies
Successful holiday retail strategies focus on attracting customers and enhancing their shopping experience. Emphasizing tactical marketing and effective customer interactions is crucial for small businesses to thrive during this peak season.
Marketing and Promotions
Crafting targeted marketing and promotions catapults small businesses into the spotlight. Utilize local advertising methods, like community newsletters and social media posts, to reach your audience effectively. Offer limited-time promotions that create urgency, such as discounts on specific items or bundled gift sets. Leverage accessible storefront displays to showcase seasonal products, encouraging shoppers to step inside. Highlight unique value propositions, such as handmade items or locally sourced goods, to differentiate your small business from larger retailers.
Customer Engagement Techniques
Implementing engaging customer interaction techniques boosts loyalty and sales during the holiday season. Create a welcoming atmosphere in your storefront, utilizing festive decorations to evoke holiday spirit. Host in-store events, such as product demonstrations or crafting workshops, to draw foot traffic and foster connections with customers. Encourage feedback through surveys or in-person conversations, allowing you to tailor services to meet customer preferences. Utilize personalized marketing, such as targeted emails, that address previous purchases or highlight new arrivals, proving that you value their business and enhance their shopping journey.
Conclusion
Navigating the holiday retail landscape can be a game changer for your business. By embracing innovative marketing strategies and enhancing customer experiences you can stand out in a crowded market. Understanding consumer behavior and adapting to trends will not only boost your sales but also foster lasting relationships with your customers.
As you prepare for the holiday season focus on creating a unique shopping atmosphere and leveraging technology to streamline processes. Remember that every interaction counts and personalized touches can make all the difference. With the right approach you can turn this busy season into a successful opportunity for growth and connection.
Frequently Asked Questions
What are the key trends in holiday retail for 2023?
As holiday retail evolves, key trends include a significant rise in e-commerce and omnichannel strategies. Retailers are focusing on mobile optimization and enhanced online shopping experiences, while also enhancing in-store atmospheres with festive decorations and personalized services to attract customers and boost sales.
How can small businesses improve their holiday marketing strategies?
Small businesses can improve holiday marketing by utilizing localized advertising, engaging customers through social media, and implementing personalized email campaigns. Offering promotions, hosting events, and leveraging data analytics to understand customer preferences are also effective strategies to attract foot traffic and enhance sales.
Why are personalized customer experiences important during the holidays?
Personalized customer experiences are critical during the holidays as they foster loyalty and create lasting impressions. By tailoring interactions and offers to individual preferences, retailers can enhance customer satisfaction and increase the likelihood of repeat business, which is vital for small businesses.
How do economic factors influence holiday shopping behavior?
Economic factors, such as inflation and changing consumer budgets, significantly influence holiday shopping behavior. Shoppers may seek deals and be more cautious with spending, prompting retailers to adjust pricing strategies, emphasize unique value propositions, and maintain transparent communication to build trust.
What challenges do small businesses face during the holiday season?
Small businesses often face challenges like supply chain disruptions, which can lead to inventory shortages, and competition for seasonal employees. Effective communication with suppliers and offering competitive wages and flexible schedules can help mitigate these issues and enhance customer service.
What strategies can retailers use to enhance the in-store shopping experience?
Retailers can enhance the in-store shopping experience by creating a welcoming atmosphere with festive decorations, offering personalized services, and hosting interactive events. Engaging with customers through meaningful interactions and gathering feedback can further strengthen customer relations and drive sales.
How important is data analytics for holiday retail success?
Data analytics is essential for holiday retail success as it helps retailers understand consumer preferences and shopping trends. By leveraging this data, businesses can optimize product offerings, forecast demand accurately, and create targeted marketing strategies, significantly improving their sales performance.
“Historically, software application development has been a challenging process, often constrained by hardware and platform limitations,” says Binqi Zhang, a director with PwC Australia’s digital engineering practice. “This led to the development of containerization as a way to decouple applications from underlying infrastructure—basically providing applications with everything they need to be deployed on any infrastructure or digital platform.”
Over time, however, containerization led to a proliferation of self-contained applications, creating its own challenges for technology teams, especially in a world of frequent software updates. Kubernetes is an automated system for managing containerized complexity, greatly reducing operational challenges by enabling organizations to run multiple containers and scale them up without the need for manual coding. It enables policies to be set centrally and code changes to be rolled out more quickly.
At the same time, Kubernetes can constantly monitor the “health” of containers and balance load to distribute traffic and deploy compute/storage resources as needed. It also supports security by identifying traffic patterns that could compromise containers and signal a cyberattack.
