Bargain hunters are likely to return empty-handed from their shopping sprees at the mall or supermarket in the coming months. The sales will indeed be less frequent this year, they will apply to a more limited number of items and the discounts are also likely to be much less generous.
Posted at 5:00 a.m.
If customers still have both feet in the snow, it is currently the winter boots and coats that La Cordée, a specialist outdoor retailer, is offering at a reduced price. However, only a few models are showing discounts, because Steven Poirier, vice-president of purchasing at La Cordée, fears that he will run out of stock… for next winter.
“We are more selective about the models that we put at a discount, he admits on the phone. In a normal year, we would put the entire department with a percentage discount, and that would be settled. To be honest, we are worried about the delivery of next winter’s products. Yes, we want to push inventory and entice our customers to buy. But if we don’t manage to sell our coats this winter, we’ll be very happy to have the stocks next winter. »
PHOTO ALAIN ROBERGE, THE PRESS
Steven Poirier, vice-president purchasing at La Cordée
Consumers looking for a bike and a pair of cross-country skis will have to give up on future price reductions, according to Mr. Poirier. “There are categories like cycling or cross-country skiing where, as soon as the product comes in, five days later, there’s none left. We never have time to put discounts. And do we want to put discounts? The demand is so strong that we do not need to do it. »
In the field of footwear, Jean-François Transon, president of Club C and Nero Bianco, wants at all costs to “protect his inventory”. “It’s supply and demand: if I have fewer products and I have an equal demand, no, I won’t have sales. I will find myself [avec des rayons] empty too quickly. We will protect our stock. »
Currently we are on sale. There are price cuts, but it’s much less aggressive than last year. [Avant], it could go, on some models, up to 50%. There, we do not exceed 10% and 15%.
Jean-François Transon, president of Club C and Nero Bianco
Like La Cordée, the boss of Club C fears the seasons to come. Shoes for summer and fall could trickle down to its stores. So much so that he advises parents to buy shoes for their children in anticipation of the start of the school year in September before the end of this school year.
“I already have indications indicating that some models will be missing for the summer, that they will be delayed, and the same thing may happen for the start of the school year, explains Mr. Transon. A mother who is used to shopping in July for back to school, I would advise her to shop in May or June. »
Price increases
The price increases facing retailers are dissuading many from labeling discounts on their merchandise. “In furniture, we have as many promotions, but I would say that it is the discounts that are less great, explains David Larivière, executive vice-president of furniture and appliance stores Germain Larivière. [Comme détaillant], we have price increases of 20% to 30%, so it is very difficult to add all these increases to the current selling price. We are subsidizing the prices a lot right now. »
The company, which has three stores, currently gives the equivalent of the taxes as a discount to its customers. “Our margins are much lower than before. Discounts are given accordingly. »
PHOTO ALAIN ROBERGE, THE PRESS
David Larivière, executive vice-president of Germain Larivière furniture and appliance stores
“In general, I don’t see how a company can make sale after sale without significantly increasing its original price, because prices are increasing everywhere,” notes Lili Fortin, president of Tristan.
According to her, there will still be end-of-season sales, but those which, in certain stores in March and April, could be done on all the merchandise, for example, are likely to become rarer. Mme Fortin also adds that mega-sales have never been part of the company’s DNA, always trying to ensure that the first price displayed “is the right price”.
Pierre-Olivier Mercier, founding president of the WLKN boutiques, known in particular for their comfortable cotton clothing, also explains that he does not have a lot of sales in general. “We still have a major advantage: we sell cotton 12 months a year,” says Mr. Mercier. He therefore does not need to liquidate stocks to make room for the next season’s clothes.
Also in the grocery store
The promotions offered on products in supermarkets will be less important over the next six to eight months, which means that the prices offered will not be as low as usual. This assertion, Francis Parisien, vice-president for eastern Canada of NielsenlQ, which analyzes in particular consumer trends and behaviors, made it at the beginning of last week during a presentation organized by the Conseil de la transformation of Quebec (CTAQ).
Although less generous, the promotions are not about to disappear. This is at least what the president and CEO of Metro, Eric La Flèche, said during a press briefing on the sidelines of the annual general meeting of shareholders, held on January 25. . “I wouldn’t say there are going to be fewer promotions. We strive in each of our [enseignes] to offer the most value possible, the best value for money. We will always keep impactful promotional programs in all our [enseignes]. »
Customers
Moreover, how do customers react to this irregular supply? “There are certain frustrations that are understandable, observes, at La Cordée, Steven Poirier. Of course, it creates an emergency effect. Consumers today shop less. If he finds what he wants in a store, he won’t take the risk of looking elsewhere. He will jump on the product because he knows that when he comes back, he may not be there anymore. »
Regarding the decrease in the number of sales, Lili Fortin sees for her part a certain way of calming the discontent of certain customers. “People who shop off-price were almost frustrated when the item went on sale three days later. So that solves a problem for us. »