Canadian shoppers demand value, personalisation & trust

SOTI research suggests Canadian retailers face rising pressure to win over cost-conscious shoppers while meeting growing expectations for personalised digital experiences and stronger data protection.

The findings come from a survey of 13,000 consumers across 11 countries, including 1,000 respondents in Canada. SOTI said the results show inflation, technology use and security concerns all shaping shopping choices.

Spending pressure

The research found that 83% of Canadians are shopping more carefully. It also found that 64% of Canadians said economic factors have influenced their ability to purchase their usual items in the past 12 months.

SOTI placed Canada among the most affected markets in the study. It reported higher figures in the US at 69% and similar levels in Mexico at 65%, Australia at 63% and the UK at 62%. The research reported lower levels in Germany, Italy and Sweden at 50% and in the Netherlands at 49%.

The survey data also pointed to changes in day-to-day purchasing behaviour. SOTI said 43% of Canadians are reducing impulse or non-essential purchases. It reported 31% check product origin and 38% actively choose to buy Canadian-made goods.

Retailers have faced several years of uneven consumer demand, with households adjusting budgets and prioritising essential spending. The research suggests these pressures now sit alongside stronger interest in where products come from and how they are produced.

"Canadians are navigating a cost-of-living crunch by being smarter with how and where they shop," said Shash Anand, SVP of Product Strategy, SOTI.

"They're prioritizing price and increasingly supporting local brands that align with their values. Retailers who leverage technology to improve operational efficiency, whether through smarter inventory management, dynamic pricing or personalized loyalty offers, will be better positioned to maintain trust and customer retention even in a tighter economy," said Anand.

Digital expectations

The survey suggests Canadian consumers increasingly expect technology to shape the shopping experience across stores and online channels. SOTI reported that 53% of Canadians want retailers to offer more connected, personalised technology experiences.

The research found that 50% of Canadians choose retailers that use technology to make the in-store experience more personalised. It said 55% choose online retailers for the same reason.

Retailer mobile apps remain a key part of this shift. SOTI reported that 48% of Canadians use retailer apps for loyalty points, faster checkout or exclusive offers.

These findings arrive at a time when many retailers continue to invest in loyalty programmes and digital channels, while also managing store costs and supply chain variability. The report data suggests shoppers now expect digital services that match their price sensitivity and their preference for convenience.

"Canadian consumers are digitally savvy and want retailers to make technology more rewarding, not just functional," said Anand.

"Our report found that 53% of Canadians would like to see more technology-enhanced shopping, which is a clear sign to retailers that they must integrate connected and secure mobility platforms across apps, devices and in-store experiences to truly differentiate in this competitive market," said Anand.

Security concerns

The survey also pointed to high sensitivity around privacy and cyber security. SOTI said 84% of Canadians are concerned about at least one privacy or security issue when shopping online or in-store.

It also reported that 86% of Canadians hesitate to buy from a retailer that has suffered a cyberattack. The figures indicate the potential commercial impact of data incidents as retailers expand their use of apps, digital payments and connected systems in stores.

Retailers have increased their exposure to cyber threats as they connect more devices and rely on third parties for payment, fulfilment and customer engagement tools. The survey suggests that many consumers now weigh these risks when deciding where to shop.

"Canadian consumers are open to personalization, but only if they can trust retailers with their data," said Anand.

"Retailers must invest in systems that don't just secure transactions but also protect every connected device and apps in their ecosystem. At SOTI, we're seeing Canadian businesses focus on strengthening mobility management, compliance and visibility to meet these rising expectations. Trust has become a core currency of loyalty in retail," said Anand.

SOTI said its research expanded to cover 11 countries, with Italy and Spain included for the first time. The sample included 2,000 respondents in the US and 2,000 in the UK, with 1,000 respondents in each of the other markets surveyed.