THE BIG STORIES TO WATCH IN 2016
Prices will increase - Here comes luxury - e-retailers will cause pain
In many respects, 2015 was a year to forget for Canadian business. Are the prospects for 2016 any better? Globe reporters look at the year ahead in six key areas for Corporate Canada.

Retail
Retailers are bracing for a year of fast-paced change that could hit their bottom lines even as they raise some prices. A weak Canadian dollar will push up some import prices, although consumer resistance may force some merchants to swallow the added currency cost. At the same time, new luxury players will expand in Canada and help shake up that market amid the rise of e-commerce and shrinking physical stores. And 2016 will bring more pain for retailers in oil-squeezed provinces, particularly Alberta.
 
Merchandising sales are projected to rise 3.6 per cent in 2016, compared with an estimated 2.2 per cent in 2015 and 4.6 per cent in 2014, said retail consultant Ed Strapagiel.

"The biggest issue is still the economy - it's simply not recovering in any significant way," he said. The retail slowdown in the second half of 2015 will carry over into the first half of 2016, with some pickup by the end of the year, he predicted.

In the mall, landlords will feel the strain of empty stores in the wake of U.S. Target Corp.'s 2015 departure and other faltering retailers' closings. The changes are rapidly redefining the retail landscape as digital powerhouse Amazon.com Inc. and other e-commerce players step up their efforts while brick-and-mortar stores increasingly scale back. Retailers will need to find ways to marry their physical and digital stores and better serve the ever more important mobile customer. theglobeandmail.com

2016 Retail Sales to be better than 2015 -
Up 3.5% to 4% range vs. '15's mere 2.3% increase
In an analysis of Statistics Canada figures for up to October 2015, Strapagiel estimates total retail sales will reach $513.8 billion in 2015, a 2.3% increase from 2014. We're ending the year on a low ebb, maybe even a sour note, depending on the retailer."

The picture for 2016 is a little bit sunnier: retail sales growth should be in the 3.5% to 4.0% range, says Strapagiel. He expects 2016 to have a slow start with growth modestly accelerating as the year plays out.

This year, Canadian retailers will continue to be challenged with higher costs of imported goods due to the low Canadian dollar. However, there is a silver lining: Canadians are more likely to spend their dollars at home, and retailers can encourage more Americans to cross-border shop, says Strapagiel. marketingmag.ca

Food Prices Soaring 20% in Canada is Driving Increased Theft
Stealing meat: Grocery stores fighting shoplifters in Montreal
Grocery stores are coming up with innovative ways to stop shoplifters, and some fear the rising price of food could lead to an increase in the amount of theft.

The Food Retailers Association of Quebec estimates that $600 million worth of food is stolen from stores in Quebec each year. Meanwhile the price of food went up by 4.1 percent in 2015, and is estimated to rise by an equal amount in 2016. In dollar figures, that's about $300 more per year for a family of four.

Recently we've seen 20 percent [increases] especially in meat and they're predicting it's going to go up even more. And that's not just for meat but also for other products like fruits and vegetables and all of that," he said.

With the increase in prices comes a change in thefts from stores, with some people targetting meat. Stores have been fighting back by attaching sensors to packaging, and in some cases putting sensors inside the packages of meat prepared by grocery store butchers.

No solution is perfect, however, and Menard said thieves have been spotted ripping meat out of packages and slipping it inside plastic bags in an attempt to avoid detection. ctvnews.ca

Hudson's Bay agrees to accept gift cards from other stores
Canada's oldest retailer, The Hudson's Bay Company, announced this week it will allow consumers to trade in gift cards from other stores in order to make purchases at the Bay. Under its Gift Card Advantage program, Hudson's Bay customers will receive an offer for the cards they want to trade in, said Tiffany Bourré, the company's director of external communications.

"This program will be a first in the Canadian marketplace, as current exchange programs only offer a prorated cash equivalent," Bourré told Global News. globalnews.ca

The Canadian Push Continues
28 international retailers opened freestanding Canadian locations in 2015

 

Ottawa, CN: Peoples Jewelers robbed of over $133,000 in Smash and Grab
On 1/4/2016, at approximately 8:28 pm, a Peoples store at the Billings Bridge Plaza, in Ottawa, ON, was the victim of a smash and grab. Four male subjects entered the store and began smashing two solitaire showcases at the back of the store. The subjects were in the store for three minutes.

Edmonton, AB: One suspect in custody
after cell phone store armed robbery
Police have one man in custody after a number of armed robberies at cell phone stores in and around our city. The EPS teamed up with RCMP after a robbery at the Rogers Wireless in Leduc on December 16, 2015. Shortly after, police issued a press release asking for information on the whereabouts of one of the suspects. On Tuesday, Dawit Abraham Atsbaha turned himself into Edmonton police. The 20-year-old is facing one count each of robbery with a firearm, forcible confinement, and disguise with intent to commit robbery. He's being held in custody until he's scheduled to be in court on January 28, 2016. Police believe that two other people are involved in at least some of the robberies. 630ched.com

Saskatchewan RCMP use social media to nab robbery suspects
RCMP used social media to help find three suspects after a grocery store and gas bar was robbed in Lafleche, Sask. On Dec. 29, just after 10 p.m. an alarm went off at the store after what RCMP called a "smash and grab" style theft. Surveillance video footage showed a pickup truck ram into the side of the building and three suspects run into the store. RCMP said 52 cartons of cigarettes and a lot of hard liquor was taken from the store and thrown into the truck before it took off from the scene. After the robbery, RCMP released the surveillance video on Facebook and YouTube. Witnesses began to call the RCMP with information about the video and different parts of the crime, which RCMP said helped them identify the suspects. cbc.ca

New Brunswick: RCMP seek suspect in attempted armed robbery at McDonald's

Humboldt, Sask.: Prepaid credit cards snatched by thief at 7-Eleven

Okotoks, AB: RCMP Looking For Suspect In New Years Day Mac's Robbery

Clinton, BC: RCMP Looking for Grocery store Armed Robbery Suspect

Maple Ridge, BC: Men caught inside jewelry store facing burglary charges