Canadian retail sales grew 2.7% in April, with discretionary spending up only 0.5%. Swiss sportswear brand On uses Verity’s warehouse drones to boost inventory visibility. Canadian shoppers are reluctant to adopt new retail tech and wary of social media ads, says Capterra Canada. Automation-related software revenue is growing faster than WMS, reports Interact Analysis. Meanwhile, Red Sea violence is causing shipping gridlocks and soaring costs.
Canadian Retail: Modest Growth and Shifting Trends
Canadian retail sales grew 2.7% in April, with discretionary spending up only 0.5%. Concerns over grocery prices are driving shoppers to local grocers. The housing market boosted sales in home furnishings, building materials, and electronics. Despite population growth, Alberta’s retail sales saw modest gains. Ontario’s heat wave raises questions about summer shopping patterns, interest rates, and AI’s impact on e-commerce.
Source: Retail Insider
Sportswear Brand On Enhances Fulfillment with Warehouse Drones
Swiss sportswear brand On partners with Verity to boost inventory visibility with warehouse drones. This technology aims to reduce stockouts and misplacements. Currently deployed in one U.S. facility, the drones are part of a broader strategy to improve product availability and order fulfillment, aligning with industry trends for efficient inventory management.
Source: Supply Chain Dive
Canadians Are Skeptical of Retail Tech and Social Ads
Canadian shoppers are least likely to adopt new retail tech and wary of social media ads, says Capterra Canada. Only 13% start shopping on social media and 83% don’t want social media tracking purchases. However, 41% welcome AI recommendations. Canadians prefer traditional e-commerce, prioritize price, and distrust social media influencer reviews. Improved search filters and loyalty programs could enhance their shopping experience.
Source: Retail Insider
Rapid Growth of Warehouse Automation Software
A report from Interact Analysis shows that automation-related software revenue is growing faster than warehouse management software (WMS). Valued at $7.2 billion in 2023, the warehouse software market is expected to reach $16.6 billion by 2030. Automation software, 31% of the market in 2023, will grow to 46% by 2030, driven by automation and robotics. Automation software is projected to grow at a 19.5% CAGR, outpacing WMS’s 8.6% growth rate.
Source: Inside Logistics
Rising Ocean Shipping Costs Amid Port Congestion
Red Sea violence is causing shipping gridlocks and soaring costs. Disruptions have led to port backups in Asia and Europe, tripling the cost of shipping a 40-foot container since last year. Rates from Asia to the U.S. East Coast are now $7,000. Importers are front-loading orders, worsening congestion. Delays and higher costs are impacting retailers and manufacturers, with container leasing prices also surging.
Source: The Wall Street Journal
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