Buy Canadian movement appears to be losing steam. Can holiday sales revive it?

Despite recent information suggesting the purchase canadian river front is losing steam clean, some business owners are hopeful the boom they've been seeing will continue through Black Friday sales and throughout the holiday shopping season.

The movement took off earlier this year after consumers switched to Canadian-made products in an effort to boycott the United States following a trade war and threats of annexation from president Donald Trump. 

But since its peak, recent data suggests the trend has fallen off.

Statistics Canada’s latest report found that nearly 70 per cent of businesses “did not experience an increase in sales of their Canadian products” over the past six months. Only about 13 per cent of businesses said they had seen an increase, whereas the remainder weren’t sure. 

Experts say inflation and the removal of some of Canada’s counter tariffs on U.S. Products have made the items less expensive and may mean consumers are returning to old habits. 

A recent Bank of Canada survey also found that most people said they weren’t willing to pay more than an additional 10 per cent for a Canadian-made product. 

“There seems to be a long-lasting shift in the general public towards prioritizing Canadian goods and services,” said François Neville, a strategic management professor at McMaster University’s DeGroote School of Business. 

“Whereas that sentiment was probably at its height shortly after the initial wave of tariffs from the Trump administration, it certainly seems to have waned a little bit.” 

Unless more divisive comments come out of the White House over the next few weeks, Neville says he’s uncertain whether Buy Canadian will take priority this holiday season. 

“If we think of the types of gifts that are being purchased over the holiday season, oftentimes these are the types of products that are not necessarily manufactured in Canada,” he said, referring to toys that are usually made in China. 

Despite the reported softening of the Buy Canadian sentiment, some businesses say they’ve seen steady support throughout the year. 

Clothing retail owner Julie Brown says that in every month since January her business, Province of Canada, has nearly doubled its sales compared to last year.

To keep up with the demand, she said they’ve had to almost double their warehouse and office staff. 

“We are seeing a huge push for buying Canadian,” said Brown. 

“It certainly hasn’t slowed down for us for the holiday season, and I think we’re gonna see a strong December as well.” 

Shop Makers president Chris Sharanewych, whose cross-Canada stores feature products made by local artists and entrepreneurs, says the company is also an exception to the statistics. 

This year, Shop Makers has opened seven new stores — and could have opened more, according to Sharanewych. Compared to last year, he says they saw about a 20 to 40 per cent increase in sales each month. 

But Sharanewych says he recognizes that people are strapped for cash and Canadian products can be more expensive, which could be why businesses find their items aren’t selling. 

“With Canadian product, naturally that cost is going to be a bit higher,” he said. 

“There are consumers coming in and, you know, comparing our product that probably, traditionally is 20 per cent higher than going online," he said. "But again, we really just try to emphasize the fact you are supporting Canadian.” 

A Business Development Bank of Canada (BDC) survey found that while each Canadian household is expected to spend an average of $943 on holiday gifts this year, 59 per cent of that (or $553) is expected to go toward local products and services — an increase from last year.

“When you do that, you create jobs in Canada,” said BDC’s chief economist Pierre Cléroux. 

He added that 46 per cent of Canadians are “saying that they will spend more on Canadian products and services this year.”  

The BDC says if Canadians re-direct $100 more of their existing holiday budget to Canadian products, they will inject about $13 billion into the economy. 

Black Friday deals arrive early with shoppers eager for deals

“I think the government is limited in what it can do and it doesn’t want to cause a terrible backlash,” said Robert Cory. “But citizens can vote with their wallets.” 

But for others, price will play a big part. 

“Ideally, if you can get Canadian, I'd get Canadian," said Gregory Jourard. "Just, you got to keep the budget in mind.”

Videojournalist

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