MONTREAL, Feb. 2 /CNW Telbec/ - With retail sales in Quebec of $99.9
billion and a 6.6% increase in these sales over 2009, Quebec's retail
sector exceeded the 2% forecast for 2010 and experienced its strongest
growth since 2005.
These are some of the findings of a study on the results for 2010 and
the economic forecasts for 2011 released today by the Conseil québécois
du commerce de détail (CQCD)/Retail Council of Quebec. The study was
prepared by Groupe Altus. It reveals that employment in the retail
sector is stable, with 448,000 persons employed, thus maintaining the
sector's position as the leading employment sector in Quebec. The study
also reveals that Quebecers' savings rate was very close to the
all-time high for the decade in 2009, and reached 4% in the third
quarter of 2010.
Retail sales for the year 2010, both in Quebec and in Canada, grew at a
faster rate than before the crisis of 2008-2009. In Quebec, they
increased by 6.6% in 2010, reaching $99.9 billion, just short of the
$100 billion mark. In the country as a whole, sales grew by 5.1%, to
$436.4 billion. In this context, Quebec saw a significant drop in the
number of commercial bankruptcies, confirming the trend of the last
Certain sub-sectors experienced better performance in 2010. In Quebec,
four retail sub-sectors exceeded the 6.6% average growth rate: service
stations (20.9%), home furnishing stores (11.6%), automobile and auto
parts dealers (10%) and sporting goods, hobby, book and music stores
(8.6%). On the other hand, only two sectors saw a drop in sales:
renovation, hardware, building and gardening centres (-1.1%) and
miscellaneous retailers (-1.3%).
With regard to personal finances, Canadian households' consumer credit
was down slightly in 2010, at 42%. Quebecers' personal disposable
income grew from $26,031 in 2009 to $26,725 in 2010. However, it is
lower than the personal disposable income of $29,499 observed for the
country as a whole. The gap in personal disposable income between
Quebec and Canada grew to -10.4% in 2010, compared with 10% in 2009.
With a personal savings rate of 4.6% in 2009 and 4% in the third
quarter of 2010, Quebec households are approaching the savings levels
that existed before the 2008-2009 crisis.
In a context where employment remains weak and confidence continues to
decline in Canada, it is important to remain cautious in forecasting
retail sales for the year 2011. Consumer spending and consumer
behaviour will be influenced by a slight increase in inflation and in
consumers' disposable income. On the other hand, employment and
interest rates should remain relatively stable in 2011, or possibly
Consequently, the CQCD is forecasting a 3% to 3.5% increase in retail
sales in Quebec in 2011.
The year 2011 is also expected to be marked by several major issues for
the retail sector. Consumer affairs, the environment, labour relations,
promotion of careers, as well as issues concerning the study of payment
methods in Canada will be widely discussed in the public arena. A third
phase of the reform of the Consumer Protection Act, focusing
specifically on consumer credit, is expected in the first quarter of
2011. The environment will also be at the heart of the debates, with
three projects relating to residual materials management. Finally, in
Ottawa, the question of fees charged to merchants for the use of credit
and debit cards will be addressed in three ways: by the Task Force for
the Payments System Review created by Finance Minister Jim Flaherty, by
Bill S-201, and by the decision of the Competition Tribunal concerning
the restrictive and anti-competitive rules imposed by the major credit
and debit card networks on merchants using their payment systems.
All the data from this study are available at: http://www.cqcd.org/fr/communications/quoi-de-neuf/item/35/ .
The Conseil québécois du commerce de détail (CQCD) is proud to promote,
represent and enhance the image of the retail sector and the retailers
who belong to it in order to ensure the development and prosperity of
the sector. The CQCD is an association of retail and distribution
businesses representing more than 70% of retail-related activities in
Quebec and is an indispensable voice for this major sector the economy.
SOURCE RETAIL COUNCIL OF QUEBEC
For further information:
Director of Communications and Marketing
Conseil québécois du commerce de détail
Tel.: (514) 842-6681, ext. 200 or 514-604-6273