Based on coverage from CBC and To Do Canada.
Zellers is making a comeback, and it’s not just a nostalgic trip down memory lane. The iconic Canadian retailer is set to relaunch with a fresh approach, starting with a soft opening at Londonderry Mall in Edmonton on October 30. This marks the beginning of what the company calls Zellers 3.0, a modern twist on the department store concept that aims to meet the needs of today’s shoppers.
Zellers 3.0: A New Retail Experience
The new Zellers stores will be significantly smaller than their predecessors, ranging from 30,000 to 50,000 square feet. This shift reflects a strategic move towards a more intimate and accessible shopping experience. The reimagined stores will offer a curated selection of apparel, accessories, home goods, and seasonal merchandise. Notably, some traditional Zellers categories like toys and pharmaceuticals will be left out, as the company focuses on areas where it can offer competitive value.
Joey Benitah, Zellers' Chief Operating Officer, emphasized the importance of value, stating, "That's the one thing that never goes out of style." The Benitah family, with a long history in Canada’s retail market, acquired the Zellers brand from Hudson’s Bay Company. They see this relaunch as a unique opportunity to revive a beloved part of Canadian culture while adapting to modern consumer demands.
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Strategic Expansion and Community Engagement
Zellers plans to expand quickly into key markets by forming adaptive partnerships with landlords. This strategy allows the company to repurpose select former Hudson’s Bay spaces into efficient stores. While the exact number of new locations remains under wraps, Benitah has expressed ambitions to bring Zellers back to every major market across Canada by Spring 2026.
In addition to retail, Zellers is renewing its commitment to community engagement. The brand will reintroduce its famous mascot, Zeddy the bear, with a new family section called Zeddy’s World. Customers will be able to purchase and personalize Zeddy bears, with full production expected by 2026. Moreover, Zellers is developing a national partnership with pediatric oncology camps to support children affected by cancer, continuing its tradition of charitable work.
Challenges and Opportunities in the Canadian Retail Landscape
The relaunch of Zellers comes at a time when the Canadian retail landscape is facing significant challenges. Many former Hudson’s Bay locations are being reimagined to fight a Canada-wide retail slump. The Benitah family’s experience and connections in the retail world have enabled them to move swiftly from concept to reality, but they acknowledge that redesigning these spaces will come with its own set of challenges and opportunities.
While Zellers won’t be reviving its famous diner, the brand is exploring exciting new food and beverage concepts to enhance the shopping experience. This approach aligns with the company’s goal to offer a fun, interactive environment for customers.
In summary, Zellers is poised to make a significant impact with its modernized retail concept and strategic expansion plans. By focusing on value and community engagement, the brand aims to carve out a unique space in the competitive Canadian retail market. As the first new store opens in Edmonton, Canadians will be watching closely to see how this iconic brand reinvents itself for the future.
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