From the resilience of local grocers to the surge of online shopping, Canada's retail landscape in 2022 was a story of remarkable growth, strategic shifts, and evolving consumer habits, as shown by its record $802.4 billion in total sales.
Key Takeaways
- In 2022, total retail sales in Canada reached $802.4 billion, marking a 6.5% increase from 2021
- Canadian retail e-commerce sales grew by 15.2% year-over-year in Q4 2022, accounting for 4.8% of total retail sales
- Grocery store sales in Canada totaled $128.9 billion in 2022, representing 16.1% of total retail sales
- The retail sector employed 2.1 million people in 2022, representing 10.7% of total employment
- Retail employment grew by 3.2% year-over-year in December 2022 to 2.15 million
- Average hourly wage in retail trade was $21.45 in 2022, up 5.8% from 2021
- E-commerce sales in Canada reached $55.7 billion in 2022, up 15% from 2021
- Online retail penetration was 6.9% of total retail sales in 2022
- Mobile commerce accounted for 52.3% of e-commerce sales in 2022
- Total consumer spending on retail goods was $645 billion in 2022 excluding housing
- 82% of Canadians shopped in physical stores monthly in 2022
- Average household retail spend was $42,800 in 2022
- Retail sales projected to grow 3.2% in 2023 nominally
- E-commerce expected to reach 10% of total retail by 2025
- Retail inflation forecasted at 4.1% for 2023
Canadian retail sales grew significantly in 2022, driven by e-commerce and inflation.
Consumer Insights
1Total consumer spending on retail goods was $645 billion in 2022 excluding housing
Verified282% of Canadians shopped in physical stores monthly in 2022
Verified3Average household retail spend was $42,800 in 2022
Verified4Inflation drove 62% of shoppers to trade down to cheaper brands in 2022
Directional571% of consumers prioritized price over brand in 2022 retail purchases
Single source6Grocery spending per household averaged $12,400 in 2022, up 9.2%
Verified7Clothing expenditure per capita was $1,056 in 2022
Verified854% of shoppers used loyalty programs weekly in 2022
Verified9Online price comparison done by 67% before purchase in 2022
Directional10Sustainable products influenced 48% of purchases in 2022
Single source11Gen Z spent 23% more on experiences but 15% less on goods in 2022
Verified1239% reduced discretionary spending due to inflation in 2022
Verified13Urban consumers spent 28% more on retail than rural in 2022
Verified1476% of millennials used BNPL services for retail in 2022
Directional15Food delivery apps used by 45% weekly in 2022
Single source1661% prefer in-store for groceries, 52% online for electronics in 2022
Verified17Average shopping trip frequency was 12.4 per month in 2022
Verified18Impulse buys accounted for 28% of retail sales volume in 2022
Verified1953% of boomers shop alone, 34% of Gen Z with family in 2022
Directional20Health products spending up 22% to $4,200 per household in 2022
Single source2144% abandoned carts due to high shipping costs in 2022 e-retail
Verified22Regional disparity: Prairies spent 12% more per capita on autos in 2022
Verified2369% influenced by social media in fashion buys 2022
Verified24Household debt servicing ratio impacted 31% to cut retail spend 2022
Directional2558% of consumers returned items in-store post-online buy in 2022
Single source26Vegan/plant-based food sales influenced 19% of grocery baskets 2022
VerifiedConsumer Insights Interpretation
While inflation has Canadians hunting for deals and trading down, our enduring love for in-store shopping and a dash of impulse buying proves that even a thrifty nation still finds joy in the tangible, often financed by BNPL and soothed by loyalty points, as we navigate a retail landscape where grocery bills sting, health is a priority, and social media whispers what to wear.
Digital Transformation
1E-commerce sales in Canada reached $55.7 billion in 2022, up 15% from 2021
Verified2Online retail penetration was 6.9% of total retail sales in 2022
Verified3Mobile commerce accounted for 52.3% of e-commerce sales in 2022
Verified4Amazon.ca generated $12.4 billion in Canadian e-sales in 2022
Directional5Shopify-powered stores contributed $42 billion to Canadian e-commerce in 2022
Single source6Food and beverage e-sales grew 28.4% to $8.2 billion in 2022
Verified7Fashion e-commerce sales hit $14.1 billion in 2022, 25% of category total
Verified8Electronics online sales were $10.3 billion in 2022, up 18.7%
Verified962% of Canadians shopped online weekly in 2022
Directional10Average online order value was $112 CAD in 2022
Single source11Digital payment adoption in retail reached 78% in 2022
Verified12Contactless payments used in 85% of retail transactions in 2022
Verified13Retail apps downloads grew 22% to 45 million in 2022
Verified14Omnichannel retailers saw 30% higher sales growth in 2022
Directional15Buy-online-pickup-in-store (BOPIS) orders up 45% to 12 million in 2022
Single source1641% of retail SMBs adopted AI chatbots in 2022
Verified17Cybersecurity incidents in retail e-stores rose 19% to 2,400 in 2022
Verified18Ontario e-commerce sales were $22.1 billion in 2022, 39.7% national share
Verified19Quebec online retail hit $13.4 billion in 2022
Directional20BC e-sales totaled $8.9 billion in 2022, up 17.2%
Single source21Average e-commerce growth rate 2017-2022 was 18.4%
Verified22Social commerce sales reached $4.2 billion in 2022 via Instagram/FB
Verified23Voice commerce in retail projected at 1% but grew 150% in 2022
Verified24AR/VR used in 15% of fashion e-retail trials in 2022
Directional2573% of consumers used retailer apps for loyalty in 2022
Single source26Pandemic accelerated e-commerce by 5 years in 2022 metrics
Verified2755% of Gen Z prefer online-only shopping in 2022 surveys
Verified2868% of Canadian households have high-speed internet supporting e-retail in 2022
Verified29Grocery e-commerce penetration reached 12.4% in 2022
Directional3047% of consumers expect same-day delivery in urban retail 2022
Single sourceDigital Transformation Interpretation
While Canada’s e-commerce sales surged to a hearty $55.7 billion in 2022—fueled by everything from Shopify’s $42 billion empire to our collective craving for clickable groceries—the real story is that we've officially wired our wallets to our phones, embraced omnichannel convenience with a side of cybersecurity anxiety, and, quite frankly, made 'add to cart' the national pastime.
Financial Performance
1In 2022, total retail sales in Canada reached $802.4 billion, marking a 6.5% increase from 2021
Verified2Canadian retail e-commerce sales grew by 15.2% year-over-year in Q4 2022, accounting for 4.8% of total retail sales
Verified3Grocery store sales in Canada totaled $128.9 billion in 2022, representing 16.1% of total retail sales
Verified4Clothing and clothing accessories stores reported $32.4 billion in sales in 2022, up 8.7% from the previous year
Directional5General merchandise stores saw sales of $52.1 billion in 2022, a 10.2% rise driven by inflation
Single source6Building material and garden equipment sales hit $47.6 billion in 2022, fueled by home renovation trends
Verified7Automotive parts and accessories sales reached $15.3 billion in 2022, increasing 12.4%
Verified8Food and beverage stores accounted for 25.3% of total retail sales in December 2022 at $20.1 billion
Verified9Health and personal care stores sales were $28.7 billion in 2022, up 7.9%
Directional10Electronics and appliance stores generated $18.2 billion in sales in 2022, a 5.6% growth
Single source11Sporting goods stores sales totaled $9.4 billion in 2022, rising 14.3% post-pandemic
Verified12Book stores and news dealers had $2.1 billion in sales in 2022, down 2.5% due to digital shift
Verified13Furniture and home furnishings sales were $21.5 billion in 2022, up 9.1%
Verified14Gasoline stations sales reached $112.4 billion in 2022, 14% of total retail
Directional15Pharmacies and drug stores sales hit $35.6 billion in 2022, growing 11.2%
Single source16Department stores sales were $14.8 billion in 2022, declining 3.4% amid closures
Verified17Beer and wine-making supplies stores saw $1.2 billion in 2022, up 6.8%
Verified18Florists sales totaled $1.8 billion in 2022, increasing 4.2%
Verified19Used merchandise stores generated $3.4 billion in 2022, up 18.7% thrift trend
Directional20Retail sales per capita in Canada averaged $20,456 in 2022
Single source21Ontario accounted for 37.2% of national retail sales in 2022 at $298.5 billion
Verified22Quebec retail sales were $169.4 billion in 2022, 21.1% of total
Verified23British Columbia's retail sales hit $102.3 billion in 2022, up 7.8%
Verified24Alberta retail sales totaled $94.7 billion in 2022, growing 5.3%
Directional25Manitoba's retail sales were $28.1 billion in 2022, 3.5% share
Single source26Saskatchewan retail sales reached $22.4 billion in 2022, up 6.1%
Verified27Retail trade GDP contribution was 5.8% or $132 billion in 2022
Verified28Average retail sales growth rate 2018-2022 was 4.7% annually
Verified29Inflation-adjusted retail sales grew 2.1% in 2022
Directional30Retail sales excluding autos rose 4.3% in 2022
Single sourceFinancial Performance Interpretation
The Canadian retail landscape in 2022 painted a picture of a nation cautiously celebrating our re-emergence—spending robustly on groceries, home projects, and sprucing up our wardrobes, all while inflation quietly picked our pockets, e-commerce grew like a weed, and the humble department store sadly waved from the shore as the tide of change rolled in.
Market Outlook
1Retail sales projected to grow 3.2% in 2023 nominally
Verified2E-commerce expected to reach 10% of total retail by 2025
Verified3Retail inflation forecasted at 4.1% for 2023
Verified41,200 new retail stores planned for 2023 openings
Directional5Grocery sector to grow 4.5% annually to 2027
Single source625% of physical stores to close by 2030 due to e-commerce shift
Verified7Sustainability to drive 35% sales premium by 2025
Verified8AI adoption in retail to reach 65% by 2025, boosting efficiency 20%
Verified9Labour shortage to persist, needing 150,000 new retail workers by 2025
Directional10Omnichannel sales to comprise 50% of total by 2025
Single source11BNPL market to grow to $10B by 2025 in Canada
Verified12Food delivery market projected at $15B by 2027, CAGR 12%
Verified13Fashion retail recovery to 5% growth in 2024 post-2023 slowdown
Verified14Vacant retail space to drop to 3% by 2025 with repurposing
Directional15Ontario retail sales forecast $320B in 2023
Single source16Western Canada retail growth 3.8% in 2023 on population boom
Verified17Supply chain disruptions to ease, reducing costs 8% by 2024
Verified18Personalization tech to increase basket size 15% by 2025
Verified19Thrift/second-hand market to hit $12B by 2027, CAGR 11%
Directional20EV charging retail integration in 40% of new stores by 2030
Single source21Gen Alpha to influence 20% of family purchases by 2025
Verified22Retail real estate investment up 12% to $8B in 2023
Verified23Cross-border e-commerce from US to Canada $25B projected 2023
Verified24Health retail to grow 6.2% CAGR to 2028 on aging population
Directional25Pop-up stores to increase 30% as testing model by 2024
Single source26Recession risk: Retail sales flat in real terms 2023 Q1 forecast
Verified27Luxury retail sales up 8% in 2023 on affluent recovery
VerifiedMarket Outlook Interpretation
While Canadian retail is frantically building brick-and-mortar stores and chasing shiny digital growth, it’s simultaneously bracing for a reality where inflation eats the gains, a quarter of those very stores will be shuttered, and survival will depend on pleasing both bargain-hunting thrifters and premium-seeking luxury shoppers—all while desperately trying to hire enough humans to keep the whole precarious show running.
Workforce
1The retail sector employed 2.1 million people in 2022, representing 10.7% of total employment
Verified2Retail employment grew by 3.2% year-over-year in December 2022 to 2.15 million
Verified3Average hourly wage in retail trade was $21.45 in 2022, up 5.8% from 2021
Verified4Women comprised 52.3% of retail workforce in 2022, with 1.1 million employed
Directional5Youth aged 15-24 made up 28.4% of retail employees in 2022, totaling 596,000
Single source6Part-time workers accounted for 42.7% of retail employment in 2022
Verified7Retail managers numbered 112,000 in 2022, earning average $48,200 annually
Verified8Retail salespersons and clerks totaled 912,000 in 2022, 43.5% of sector jobs
Verified9Cashiers employment was 214,000 in 2022, down 1.2% from peak
Directional10Store shelf stockers numbered 156,000 in 2022, up 4.5%
Single source11Food counter attendants employed 198,000 in retail in 2022
Verified12Labour turnover rate in retail was 18.6% in 2022, highest among sectors
Verified13Retail vacancy rate averaged 4.2% in 2022, improved from 6.1% in 2021
Verified14Ontario had 890,000 retail workers in 2022, 42.3% of national total
Directional15Quebec retail employment was 512,000 in 2022, 24.4% share
Single source16BC retail jobs totaled 312,000 in 2022, up 2.8%
Verified17Alberta employed 278,000 in retail in 2022, 13.2% of total
Verified18Training hours per retail employee averaged 28 hours annually in 2022
Verified19Unionized retail workers were 15.2% of workforce in 2022
Directional20Remote work in retail offices was 12% in 2022, low due to in-store needs
Single source21Retail employee satisfaction score averaged 68/100 in 2022 surveys
Verified22Average retail workweek was 27.4 hours in 2022
Verified23Immigrant workers comprised 32.1% of retail employment in 2022
Verified24Indigenous employment in retail was 4.3% or 90,000 in 2022
Directional25Disability employment rate in retail was 22.5% in 2022
Single sourceWorkforce Interpretation
While young, part-time, and often underpaid cashiers and clerks form the resilient, predominantly female spine of Canadian retail—a sector hungry for staff yet quick to churn them—their labor is what keeps the shelves stocked and the nation's shopping carts moving.
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