A very different Boxing Day from previous years

In a markedly different economic context than last year, with fiercer and more unfair international competition than ever and less than two weeks after the end of the Canada Post strike, this year’s Boxing Day sales are set to be different from those in previous years, says the Quebec Retail Council (CQCD).

A CQCD survey of consumers reveals that 73 per cent are concerned about their financial situation, prompting many to rethink their shopping strategies ahead of the sales season.

According to CQCD President and CEO Damien Silès, more people this year have chosen to wait for discount days like Black Friday or Boxing Day. Last year, 40 per cent of shoppers held off until major sales days, compared to 56 per cent this year.

“Last year, it was more spread out over time, but this year, sales days are much more important to consumers,” said Silès in an interview with The Canadian Press.

“We see that people are increasingly prioritizing these discount days to make their purchases. Boxing Day sales remain a deeply rooted tradition, but economic challenges persist for consumers, online shopping is growing, and the sales period is longer than ever.”

For Silès, there is no doubt that the Canada Post strike has significantly impacted this year’s Boxing Day sales.

“The Canada Post strike altered consumer habits for a month, pushing more people toward online shopping,” he added.

“We can see the aggressiveness of online retailers who capitalized on the Canada Post strike.”

Unfair International Competition

The international economic context also plays a role in this year’s sales. According to Silès, Quebec retailers have little choice but to adapt to a global marketplace that disregards Canadian regulations.

“We’re in a global context where you can buy items within 24 hours at very low prices on websites, often with abysmal quality,” the CQCD CEO explained.

“Local retailers are forced to respond to this, or they risk going out of business because it’s often unfair international competition.”

Silès lamented the burden placed on local retailers to comply with numerous safety standards, while thousands of unchecked foreign products enter Canada.

Three weeks ago, the CQCD and about 20 businesses sent an open letter to Ottawa urging the federal government to ensure the enforcement of existing regulations.

“What we’re asking for is the ability to control, verify, and ensure fair and equitable trade, which is far from the current reality,” Silès said. “In China, they’ll manufacture the same product (as here) without adhering to copyright laws and flood the Quebec market within 24 hours at rock-bottom prices, without being inspected or verified.”

Faced with fierce international competition, Quebec retailers are adapting through initiatives such as developing circular commerce and eco-responsible marketing.

According to Silès, Boxing Day sales account for up to 40 per cent of Quebec’s annual retail revenue, which totals nearly $178 billion in sales, representing 7 per cent of the province’s GDP.

Despite the challenges, Silès still expects a “very busy” Boxing Day. However, he reminds consumers to remain respectful and courteous to retail workers who spend the day welcoming customers in their stores.

This report by The Canadian Press was first published in French on Dec. 26, 2024.